Author: Daron Stenvold

Maximize Your Resources – Part 2

Last time we talked about the first three areas to work through in maximizing your current resources. They were:

  • Recognize the obvious
  • Unconventional breakthroughs
  • Face the facts

 

Today we’ll cover the next three, which are:

  • Reveal your business’ soul
  • From breaking even to breaking the bank
  • Stand up and stand out

 

Reveal Your Business’ Soul

Every business has a soul, and you likely felt it the strongest when your business was just starting. It’s that passion, newness, and momentum you had at the very beginning. Sometimes that can get lost along the way as your business gets stagnant and set in its ways. You have to break out of that rut and get back to your business’ true soul.

The philosophy of putting your client’s needs above your own is the true key to success. You need to serve your clients, not sell to them. They want to build a relationship based on trust, not a used car. Add to these responsibilities your ability to solve problems, handle special situations, be a friend to your clients, and focus on offering valuable, high-quality products/services. Only then will you get back to the basics and find you have more resources than you thought.

From Breaking Even to Breaking the Bank

One of the classic and most used ways to attract clients is to offer them a ridiculously low price on their initial purchase and lock them in for future purchases. You see this approach with movie or book clubs and even credit card companies who offer lower interest rates for the first six months.

Essentially, you are offering them a deal on their first purchase and then you offer them back-end and add-on products along the way. These are naturally higher prices and will bring them into an intimate relationship with you and your company.

Stand Up and Stand Out

You need to stand out from the pack among your competitors. The only way you can do this through consistency and value. You do this by discovering what your USP (Unique Selling Proposition) is and perfecting it. Here are some tips to help you find and develop your USP:

  1. Look for unfilled needs in your industry.
  2. Use preemptive marketing.
  3. Use a technique that is clear and to the point.

This wraps up this post. If you need help with any of these areas and techniques, try our GUIDED TOUR to access a wealth of resources and tools.

Maximize Your Resources – Part 1

Over the next few posts, we’re going to talk about how to take a hard look at your current resources and get the most out of them. This can help your capital go further and increase your profit margin.

Today we’ll cover three different ways to maximize what you already have. These include:

  • Recognize the obvious
  • Unconventional breakthroughs
  • Face the facts

 

Recognize the Obvious

Sometimes when you are too close to something, you can’t make out the big picture. You need to step back and take a hard look at the resources you currently have in front of you. You are surrounded by opportunities that can boost your career and help your business become more successful.

Unconventional Breakthroughs

Don’t sit around waiting for breakthroughs. You need to create them yourself. A breakthrough is merely a new way of doing things or finding a new thing to do for the same or better results. It would be best to have regular brainstorming sessions and encourage your team to come forward with breakthroughs or ideas any time they have them.

Some great examples of breakthroughs are:

  • A health and beauty company discovers a side effect of a product that can be re-marketed and sold.
  • A company creates a roll-on deodorant inspired by the shape and size of a ballpoint pen.
  • Nike’s founder poured rubber onto a waffle iron and created the most innovative and successful running shoe ever.

 

When attracting or strategizing for a breakthrough, there are some key objectives you need to keep in mind. They are:

  1. Look for the hidden opportunity in every situation.
  2. Look for at least one cash windfall for your business every three months.
  3. The more value for your client, the better your breakthrough.
  4. Create multiple streams of an idea to find the best breakthroughs.
  5. Effective breakthroughs remove all risk or resistance.

Face the Facts

Before you can put your breakthroughs to work, you need to face the facts of the processes and systems that are not working for you and work to correct or get rid of them. System analysis is an excellent way to do this. Once you have a listing of your strengths and weaknesses, you need to compare those to your competitors’ strengths and weaknesses.

You can present some great questions to you and your team to get a handle on where your business is right now. They are:

  1. Why did I first start this business? Why am I in this industry?
  2. What products/services did I offer then? Which were the most popular?
  3. Why are my customers/clients buying from me right now?
  4. How did I generate new customers/clients then?
  5. Which of my marketing efforts were bringing in the best results?

Once you’ve got some answers to these questions, you’ll know better how to approach your weaknesses.

These three areas we’ve gone over give you a jumping-off point for how to utilize your current resources to their fullest potential. If you need any help with your strategic or systems analysis, try our GUIDED TOUR to work with one of our amazing business coaches.

5 Killer Mistakes – Part 3

The last two posts covered the first four of the killer mistakes you can make that will not only make you lose your fish but possibly your entire company. Today we’re going to talk about the fifth killer mistake: Up Cash Creek Without a Paddle.

Even when a business is profitable, there’s still a chance of running out of cash flow. You have to always be prepared for a slow in sales or a surge in expenses. One of the keys to balancing your cash flow is to get your clients to pay on time. This can seem like a nightmare, but is absolutely essential to a successful business.

Here are some tips to speed up the payment process:

  • Always send invoices on time and adjust your records for potential audits.
  • Learn how the client processes payments on their side and find out precisely where to send invoices.
  • Find out who’s in charge of processing orders and payment, so you know who to contact if needed.
  • Have a follow-up procedure in place, just in case.
  • As a last resort, call your contact to ask questions.
  • Always make sure your invoices are correct before sending them out.

 

You also need to make sure your cash flow is protected. You can do this by:

 

  • Always know which accounts need paid and when.
  • Negotiate with your suppliers for the lowest cost possible.
  • Have a bank contingency plan in place.
  • Build your own inventor network.

 

These are all great ways to protect your business’s cash flow and prepare for fish transitions and slow sales. These last few lessons are all about finding and catching your big fish clients. These clients are essential to your success, and your need to carefully and correctly work through each of these steps for the best success.

If you need help with any step of the process of catching your fish or subsequent big fish clients, try our GUIDED TOUR for access to a wealth of great tools and resources as well as our business coaching staff.

5 Killer Mistakes – Part 2

In the last post, we covered the first two of the five biggest mistakes you can make in dealing with big fish clients. Today we’ll cover the third and fourth ones: Taking on More Than You Can Handle.

When you take on too much, your business can’t keep up, and therefore you can quickly lose control of everything and find yourself barely functioning. You want your business to be successful, no doubt, but you need to plan how you will handle the growth. Your clients expect excellent customer service and high-quality products/services. They don’t know or care about your behind-the-scenes operations required to get those things done.

  • Look for these signs that you are taking on more than you can handle:
  • Clients’ needs aren’t being met.
  • Employee morale is low, clients are upset, and you’re in a panic.
  • You have to react in emergency mode to save accounts.
  • Your current clients are suffering from trying to keep up with new business.
  • Profits are going down.
  • You are just trying to pick up the pieces of your business.
  • Your clients/customers leave.
  • Resources are being reallocated.

 

There a trick called the Mock Fish Plan. This plan can help you react positively when you are facing some or all of these things and help you get your business back on track. This plan will:

  • Help increase sales in a short period of time.
  • Alter your products/services for the better.
  • Fulfill the promises you made to your clients.

 

There are six steps to this plan:

  1. Bring in your best team and have them all help to meet the fish needs.
  2. Review your operational system.
  3. Anticipate future problems better.
  4. Communicate better.
  5. Include costs in your quotes.
  6. Always have a back-up plan.

All Your Eggs in One Basket

You can allow your company to become dependent on any one fish. Eventually, or for specific periods, there will be a slowing down period with your fish. To stay in the game, you need to diversify.

If you’ve ever mishandled a fish, you could drive away potential fish as well. In order to keep balance and prepare for a healthy future, there are a few things you can do.

  • These things include:
  • Stay in the loop and try to know what’s going on inside your fish company.
  • Constantly reinvent yourself and stay at the top of your industry.
  • Stay exclusive.
  • Try to secure multi-year commitments and contracts.
  • Spread your contracts out.
  • Price your products/services correctly.

 

You will also need to work to reduce your dependency on your fish. Generally, this can be measured in sales or profits. Please take a look back at the process we’ve used thus far to snag more fish to keep this all in balance.

These are the ways you can help avoid the killer mistakes that can make you lose it all. If you need help with any of these tips or tricks, try our GUIDED TOUR to get the help you need fast.

Next time we’ll talk about the last of the killer mistakes and how to combat it from hitting your business hard.

5 Killer Mistakes – Part 1

There are five big mistakes you can do that will kill a deal with a big fish. They are:

  1. Not meeting the client’s expectations
  2. Mishandling a client crisis
  3. Taking on more than you can handle
  4. Putting all your eggs in one basket
  5. Up cash creek without a paddle

Any one or combination of these can not only kill the partnership, but they can take down your company as well. We’re going to take a bit of time to talk about each of these; we’ll cover the first two in this lesson.

Not Meeting Client’s Expectations

It would be best to give your clients exactly what you promised during the negotiation portion of your relationship. If an event does happen where there is no way to meet the client’s expectations, not only do you have to find a way to fix the situation, but you also have to find out where it all went wrong.

A couple of things could have contributed to this problem:

  1. Bad salesmanship. This could mean the salesperson was trying too hard to seal the deal and didn’t listen to the client’s needs.
  2. Lack of communication. This breakdown occurs between the salesperson and your operations department.

In order to avoid these mistakes, you need to put a clear plan of action into place that all of your sales staff needs to follow:

  • Think before you speak.
  • Give yourself a break.
  • Perfect your process.
  • Pre-format over-deliverables.
  • Stay hands-on throughout the entire process.
  • Define success.

Mishandling a Client Crisis

Crisis’ will happen, but how you respond and fix them will define your company and your interaction with your clients’. You need to respond quickly and effectively. This will help you gain even more trust and confidence from your client.

Some simple tips can help you deal with any client crisis:

  • Take responsibility and apologize, no matter who is at fault.
  • Act swiftly and effectively.
  • Step in and take control of the situation.
  • Never point fingers or place blame.
  • Stay in constant communication with your client.
  • Stay calm throughout the situation.
  • Keep your eye on the ball.

Now that you know the top two mistakes you can make to kill a big fish deal, you’ll know better how to avoid making these mistakes in the first place and know how to put a plan of action into place in case of a crisis.

If you need help with any of this, try our GUIDED TOUR to get all the help you could ever need.

Next time we’ll talk about the 3rd and 4th killer mistakes you can make in working with big fish clients.

Keep Up the Momentum

In the last post we talked about negotiating with your big fish and nurturing and building on the relationships you are creating. Today we’ll talk about the power your fish has and how to utilize that for your benefit.

One of the most critical aspects of this is to keep your cheerleader cheering. This refers to the ally you created in the company and who needs to stay loyal to you to continue a profitable partnership with your fish. You can keep your champion going by offering or doing several things to show appreciation. Some of these things are:

  • Share the limelight.
  • Help them thank their company with new products and services.
  • Emotionally connect them to your company.
  • Know when to leave them alone.
  • Keep your “family” happy.
  • Stay on the front lines.

 

Now that you have some ideas for building solid relationships, you need to seek out people to build these relationships with. These alliances will help you get more prominent clients that stay with you forever. You can often get in the door by offering them something in exchange for something they need:

  1. Power
  2. Information
  3. Better work experience

These are all great ways to feed your alliance. You need to go into a relationship considering the things a big fish can offer you besides money. These can include:

  • The opportunity for your business to expand
  • The opportunity to learn from the experience and find ways to grow
  • The opportunity to improve your processes, systems, and other means of doing business

 

These are some of the best ways to keep your alliances going strong, and your partnerships fresh and content.

If you need help with any of these tactics, try our GUIDED TOUR for great tools and resources that can help you every step of the way.

Bring Them Flowers

There are a few things you need to do and consider preparing for your first face to face meeting:

  • Make a list of what you want to accomplish during the meeting.
  • Anticipate potential concerns from the client.
  • Check to make sure you are entirely prepared.
  • Listen more than you talk.
  • Bring support staff with you.
  • Use and respect the clients’ format.
  • Always follow through.
  • Ask for what you need and seal the deal.
  • Simplify your prospects life.
  • Find ways to boost your credibility.
  • Build and nurture relationships.
  • Learn from “no.” Find out what didn’t work, so you know how to change it for the next time.

 

These are all important things to do both before and during your presentation. With confidence behind your company and product, you will catch that big fish. The next step of the process is negotiation. This can seem a little intimidating, but with a few tips and tricks can become natural to you.

Here are some tips to help you negotiated successfully:

  1. Build a pricing strategy and stick with it.
  2. Prioritize what you plan to offer. This should include what really matters to you and what you are willing to give in on.
  3. Don’t give in too quickly.
  4. Negotiate with a person, not a “company.” Don’t let their answer be that they would like to, but can’t.
  5. Don’t sell yourself short.
  6. Mitigate your pricing. If you go too low, you won’t be able to raise it back up, and you need to make a profit.
  7. Don’t sacrifice quality for the deal.
  8. Your services should always count as costs.
  9. Boost margins with add-ons.
  10. Handle requests for proposals with the utmost care.

These are how you make sure that both parties are getting the best possible situation from the partnership. Once you start meeting or working together, it’s essential to continue to build your relationship so that that representative becomes a significant ally for you. They are more likely to vouch for you and build on the partnership you have with their company.

We like to call this person a champion. They are champions for your company and can bring a healthier, brighter future for your company. Here are the characteristics of a grand champion:

  • They are respected by supervisors.
  • They are socially networked.
  • They think in the best interest of their company’s long run.
  • They can navigate through the company to get things done quickly.
  • They are willing to give credit to another person.
  • They share the same business philosophy, values, and vision as you.

 

Now that you know how to negotiate for what is best for both parties and build on relationships, we’re going to talk about how to use your fish’s power to the best of your benefit.

If you need help with any of the negotiation or courting process, try our GUIDED TOUR to get access to a wealth of great tools and resources to help you be successful.

Who’s Your MVP?

In the last post, we talked about making the first contact with your prospective big fish and how to make a positive first impression. Today we’re going to talk about feeling out your prospective big fish’s personality to match the right salesperson to the fish.

You need to do this in two steps:

  1. Profile your salespeople’s personalities.
  2. Match the right salesperson to your target fish.

There are essentially three different selling personalities:

  • Sage
  • Pal
  • Pit Bull

The Sage

This salesperson offers knowledge, experience, comfort, and trust. They can make a concerned customer feel at ease. To be successful, they need plenty of information, a demo of the product/service, references, and case studies, if possible.

The Pal

Much like it sounds, this is a salesperson that shines at building relationships. They can instantly relate to the prospective client and make them seem like old friends in no time. They work best with clients looking for friendship, information, and a similar peer group as the salesperson. This can include anything from age and culture to hobbies and nightlife. While sharing experiences can be beneficial to creating a new relationship, your salesperson must always keep it professional and dignified. The resource’s this personality type needs is help pairing with the right client, entertainment (or schmoozing) budget, and the right information to meet the client’s needs.

The Pit Bull

Obviously, this personality type is a little more aggressive than the others. They are all about business and the bottom line. While this may seem harsh to many people, there is a set of business people out there who want the same thing and respect someone who can get down to business and the benefits of a partnership. This salesperson will need to be trusted with a little authority as they will likely be closing deals on the spot. They’ll need plenty of resources and access to products and services. They are best placed in environments where they can work independently, exercise their authoritative discretion, and seal deals quickly.

These can all be successful when each is used in the right selling environment. You can easily see how matching the right salesperson for the client can secure more big fish and for a longer period of time.

If you need help figuring out which of your salespeople fit into these three areas, try our GUIDED TOUR and work with one of our amazing coaches to get your big fish plan in action.

The Perfect Bait

In the last post, we talked about how to learn about your big fish and prepare for the first contact you’ll make with them. This first contact is essential to your success. You need to instill confidence in them. They need to know you can fulfill exactly what you are offering on time, at a fair price, and at the quality you promise.

Today we’ll go through the big approach and how to make that perfect first impression. Before you put together your approach plan, you need to choose with big fish you’re going after. Take a look at your notes and the research you’ve done about prospective fish. Then decide which one will be the most straightforward approach to start with.

There are a series of things to go through in choosing which fish to start with. They are:

  • Position Your Business
  • Compile Your Hit List
  • Select the Best Target

Position Your Business

You need to position your business to make the first move by listing your revenue streams, id and list your operational procedures, where your fish is initially positioned, your big-customer research, and putting it all together.

Compile Your Hit List

Start with a list of all the companies you’ve been considering. Then narrow it down to the ones who know could use your products or services. Don’t overlook obvious choices, whether they are big or small. Even small companies could be big fish in the future.

Select the Best Target

Once you’ve got your list narrowed down, you need to decide which one is the best fish to start with. You need to consider a couple of things:

  • Which have the most purchasing resources to spend?
  • Does their company vision complement yours?
  • What are their employee incentive programs as they relate to your products/services?
  • What’s the company’s real need for you?
  • Will the partnership lead you off-course?

Now you should have a target in mind to start with. It’s time to plan your approach and execute that plan.

Here’s the step-by-step plan to help you make an excellent first impression:

  1. Build and analyze your database. Divide your leads into three different categories: hot leads, great fits, and secondary leads.
  2. Send out introductory mailings to your target to introduce yourself, your company, services, products, and vision. They need to be short, clean, and concise.
  3. Follow up with your first phone call 2-3 days after they would have received the mailings. During the phone call, find out who you need to be speaking with in the future and set up a meeting with the right person.
  4. Follow up your phone call with another mailing that thanks them for taking the time to speak with you and offer more details about your products/services. Use this letter and the opportunity to set up a meeting to do a presentation.
  5. Follow up the letter with another phone call a couple of days after receiving the letter. This phone call is to help you further develop your relationship with the prospective client. You should also be able to set up a presentation meeting with them.
  6. Call again a week later if they haven’t agreed to a meeting or presentation. Ask if they received your creative letter (the second one) and if they have a minute when you can stop by and introduce yourself in person.

Now, don’t be upset if you don’t seal the deal right away. Some people simply take a little longer to woo. This can all be a little intimidating at first, but you can’t go wrong when you know you are offering a quality product/service.

Once you’ve gone through this process and make the first contact (and hopefully a good first impression), it’s time to put your best face forward, which means sending the right salesperson to seal the deal.

If you need help putting together your approach and making an excellent first impression, try our GUIDED TOUR to work with a coach and access a wealth of great resources and tools.

Untangle the Red Tape

In the last post, we talked about bringing the big-company mindset into your business and your team. Getting this mindset will help you overcome the mental obstacles that will keep you from being successful. Now that you’ve learned how to overcome that, we’re going to talk about who your fish is. It’s essential to know about the fish you are looking for before you put a plan together. We’re also going to take a moment to talk about the potential “red tape” you may encounter along the way.

The most important thing to know about your fish is their purchasing habits and procedures. There are four main things you need to work on to be successful:

  1. Responsibilities: You need to know who influences purchasing, who does the actual buying, and who can kill a deal if they want.
  2. Get on Their List: You need to know how to get on their list of people to buy from. Your name needs to not only be on the list but at the top of it and in as many categories as possible for more interaction. Ask about a procurement program and what you need to do to go through the application process.
  3. Lingo: You need to learn the company’s unique language and communications methods. These could include report names, buzzwords, and even the nicknames they have for their employees.
  4. Fiscal Budgets: It’s essential you know the fishes’ fiscal budget, so you know exactly when they plan their expenses for the year.

Now that we’ve talked a little about what you need to know about your fish, let’s a quick look at the “red tape.”

Bureaucracy might as well be a four-letter word with the emotions it stirs in all of us. “Red tape” is a necessary evil, but one you can use to learn from. There are two ways to learn from their system:

  1. Analyze their activity.
  2. Review their correspondence.

Being an outsider looking in can have its advantages too. If you hate dealing with the “red tape,” imagine how their employees feel dealing with it. If they need to crunch some numbers, offer to do it. If they need more info, make sure you are giving it to them in a user-friendly way.

The things we talked about in this lesson will help you prepare for the big approach. If you need help with any of this, try our GUIDED TOUR to find the right tools to get the job done.