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More Great Posts From the World of Sales Blogs
By Ian Brodie | June 30, 2008
I like to “sharpen the saw” every now and then by keeping in touch with posts on the best sales blogs across the web. A couple of posts caught my eye this week:
Jeff Blackwell writes about Salesmanship and Empathy over on Brad Trnavsky’s Sales Management 2.0 blog. It reminded me of a conversation I had with a law firm partner last week. We were chatting over coffee about the sales skills and capabilities needed by solicitors, and she highlighted the ability to “read” a client. Her point was that different clients like to be interacted with in different ways. Some like to be involved day-to-day in the legal process, other like their lawyer to just go away and do what needs to be done and report back to them, etc. Not only does this apply to clients once the lawyer is hired - but it also applies during the sales process too. The lawyer who begins to build a relationship that “feels right” to the potential client is the one who will get the job. Jeff offers some great tips on how to build that level of empathy with customers.
Over on the Symvolli Sales Blog, Nicholas Coutts talks about Customer Retention vs New Customer Acquisition - and adds much to the age-old point of it costing 6 (or whatever) times as much to win a new customer as it does to retain an existing one.
On that very point, it’s often struck me that there’s a lot to learn from the way we deal with existing customers (if done well) that can be applied to winning new customers. There are many reasons it’s so much easier to retain an existing customer than sell to a new one. Apathy, and lock in help to explain it - but often it’s the level of trust they build up in us after experiencing our services that is the deciding factor. Why not apply this to new customers too? Why not interact with a prospect the same way you interact with an existing customer. Add value to them. Go the extra mile. Let them experience what it’s like to work with you. Then when they come to make a decision, many of the risks and uncertainties of starting a relationship with you have already dissipated - they know you already. Of course, you can only afford to do this for a select few high value prospects- but by treating your prospects like customers you can often get new customer conversion rates up to value near your existing customer retention rates.
Ian
Topics: Recommendations |
June 30th, 2008 at 11:02 pm
[...] Ian wrote an interesting post today on More Great Posts From the World of Sales Blogs. Here’s a quick excerpt: [...]
July 1st, 2008 at 5:36 am
Ian;
I once heard “Treat people as if they are your best customer and they will want to be one.”
It goes a long way to differentiating you from the competition.
I do this, to the best of my ability & that my time allows, reactively with everyone.
My only word of caution is before you do this on a proactive basis make sure the person has MAI:
- Money
- Authority
- Influence
Craig
July 1st, 2008 at 9:27 am
Two very good points. As a barristers son, I understand your empathy analogy very well. I can remember that exact spectrum of relationship with clients and the different ways in which lawyers dealt with them. The problem, I think, is that empathy is used to get a sale, but then that process stops when the sale is won. This fits nicely in with the customer retention side of things. If you empathise throughout, then you are more likely to win over the customers trust.
Case for the prosecution: Mobile phone companies - focused on new customers and poor customer service. Case for the defence?
July 1st, 2008 at 3:14 pm
Craig - I think you’re right about MAI. From my perspective the key to this is good early qualification to allow you to invest time in nurturing your high potential prospects. Treating prospects like customers is only viable if you focus on the ones who are going to turn into good customers.
Nesh - gosh, I can’t think of a case for the defense!
Ian
July 5th, 2008 at 7:38 pm
While most people compare the cost of client acquisition to maintaining a client, the other important aspect of treating prospects like client is that it will also shorten the cycle with the right prospects. TS
July 5th, 2008 at 7:40 pm
This is one of the reasons that sales presentations and even in ad copy the entire message must be repeated several times. Of course, you want to also qualify the prospect with a series of questions that will ultimately get him or her to say “yes”.
This should keep them alert and awake. If not just go back over the message again.
July 5th, 2008 at 7:42 pm
Craig,
The empathy statement is very true. This is one of the reasons that sales presentations and even in ad copy the entire message must be repeated several times. Of course, you want to also qualify the prospect with a series of questions that will ultimately get him or her to say “yes”.
This should keep them alert and awake. If not just go back over the message again.
July 5th, 2008 at 8:02 pm
Elmo - lol - nice demonstration of your own point - repetition!
Ian