Wednesday, November 11, 2015

The Role of Luck in Success

There are a lot of cliches relating luck to success including:

"Luck is when preparation meets opportunity."

"The harder I work the luckier I get."

"Chance favors the prepared mind." Louis Pasteur

The underlying theme of the above quotes is that  by preparing yourself or you company for the moment when opportunity arises is mere chance, although chance that a certain event may happen when you are prepared to take advantage of it, but hard work and preparation as well as opportunity that cause results that may appear to be luck.

So what can we do to put ourselves and our companies in a position to be lucky?

Here is a process that will help you be lucky:

  1. Develop the resources withing yourself and your company to do what you and do it well.
  2. Develop you skills, employees, systems, process and relationships that will help you take advantage of opportunities. 
  3. You need to keep looking for opportunity. If you make left handed widgets make sure you are looking for opportunities that are available to you to use your expertise in left handed widgets to produce new or innovative products. If you are not looking you will not find. 
  4. Make sure your skills and the skills of you employees are developed enough to be flexible to adjust to new situations and processes. 
  5. Approach all phases of you operation as a process and document how you do what you do, what resources are necessary and the actual steps to perform the operation so the knowledge can be passed on should you lose and employee or adjusted to improve efficiency or to perform a new task. 
  6. Develop outside relationships such as banking that allow you to quickly increase capacity if and when necessary. 




Thursday, October 22, 2015

Unique Selling Proposition


            I know of three stone fabricators that have all done business for years on the same block in a midsize town in Wisconsin. After years of a peaceful co-existence the market got tough and  one of the shops decided to put a sign in the window saying: "We make the best stone countertop is town."
            Not to be out done the second shop soon put a sign in their window proclaiming: "We make the stone countertops in Wisconsin."
            Finally, the third shop put a sign in their window saying: "We make the best stone countertops on the block."

Entrepreneur magazine defines Unique Selling Proposition as The factor or consideration presented by a seller as the reason that one product or service is different from and better than that of the competition. Your USP is the reason your customer buys from you and not your competition.

            You need to find a unique selling proposition that gives your prospects a reason to buy from you. It is best if your competition cannot easily or quickly duplicate your USP.
Without a USP the prospect can only make their decision based on price.
            To develop your USP you need to understand what you do that is different than your competition. 
If you have a number of different kinds of competition you may need to develop several different USPs to deal with each of the different types.

Wednesday, October 14, 2015

Is Your Boss Worse Than Cigarettes? | Dr. Travis Bradberry | LinkedIn

Source: Is Your Boss Worse Than Cigarettes? 
The “bad boss” has become a comedic part of work culture, permeating movies and television, but when you actually work for a bad boss, there’s nothing funny about it.
Researchers from the Harvard Business School and Stanford University meta-analyzed the results of more than 200 studies to better understand the effects of stress in the workplace. They found that worrying about losing your job makes you 50% more likely to experience poor health and that having an overly demanding job makes you 35% more likely to have a physician-diagnosed illness.

Friday, October 9, 2015

Identify (Profile) Your Best Customers

            Make a list of your best customers.  What made them good customers? Where do they live? What age group are they in? Where do they hang out?
            If you can identify your best customers and create a profile then you can go out and look for customers just like them.
            If you have several great customers from a particular area, a particular size home, or a particular age home then you may be able to look in those same areas for new great customers.
            For example if there is a nearby town that has homes that are twenty to thirty years old and are due for remodeling and upgrades it is better place to look than a subdivision only a year old where everything is new.
            The reverse is also true. You do not need to red line which means refuse to work in certain areas but if there is a town where unemployment is very high and property values are falling it might not be the place to prospect. If you do get a prospect make sure they can afford to pay you.
           
            Some things to look for:
·       Age group
·       Income range
·       Age of home
·       Value of home
·       How long the prospect has owned the home.
·       Rising or sinking home values in area
·       Retired
·       Marital status
·       Type of employment
·       Club membership
·       Age of children - grade in school
            Once you understand what kind of customer is best for you look for that customer and tailor your product to serve that profile. 

            You can also develop profiles for customers that are a problem for you. When we were building homes we used to hate lawyers because it took longer to do the contract than build the home. 

Monday, June 24, 2013

Sales is Like A Beer Wagon

Sales is like the beer wagons we see in the commercials during the last football game of the year. You need four big strong Clydesdales to pull your beer wagon. Three horses or even three horses and a pony will not successfully pull your wagon. Like the beer wagon, your sales program has four components that work as a team and are co-dependent and interrelated.

            The first component is a quality product. Quality is defined as a product that meets the needs and expectations of the consumer. If you are selling a car to a college student whose primary concern is that he does not need to put too much of his beer money in the gas tank and it will get him home once a month to see his girlfriend, then a 3-year-old economy car is a quality product. But if you are selling a car to a wealthy doctor who wants to impress his friends, neighbors, colleagues and even himself, then you likely need to offer an imported luxury car.
            Obviously, the "quality" level is different in a 3-year-old economy car and a new imported luxury car but each is quality to the consumer. Not only do you need to offer the right level of quality to the right customer but to maintain your sales program long term, you need to be honest with your customer and yourself about what you are selling. You cannot offer an economy car and sell it as a luxury car. It might work once but not in the long term. When I was selling homes, we had a saying: "Sell the sizzle not the steak." However, if you sell the sizzle you still have to make sure you have a steak. Selling the sizzle without a steak to back it up is fraud.
            The second component of your sales program is a good sales attitude and company culture. Sales is a necessary process. Without sales, there will be no product to make, no books to keep and no products to purchase. The company will fail and all production staff, bookkeeper, purchasing agent and all the rest of employees will lose their jobs.
            Not only do the salespeople have to have a good attitude, but everyone who works for the company must understand that they are part of the sales process and need to work together on sales. If the salespeople come back to production with a quality or fashion issue, the production staff must be open to making changes or adjustments. If they take the attitude that they have made widgets the same way for 10 years without making improvements along the way, then it will impact quality and sales.
            What can you do about improving your sales attitude and company culture?

·       Keep the customer's interest your highest priority. If your product is not the right product for the customer or you cannot meet their needs, do not proceed. If you keep the customer's interest first, two magical things happen;
o   First, you feel better about the process and your position as a salesperson.
o   And second, you will generate more sales.
·       Understand that sales is a honorable profession. Nearly every book, CD or seminar on sales includes a chapter dedicated to convincing the reader, listener or attendee that sales is an honorable profession. No other group of employees, bookkeepers, purchasing agents or production staff needs to be convinced their job is honorable. Sales is not an option and if done right, it is both honorable and rewarding. Without sales, the bookkeeper, the purchasing agent and production staff will all lose their jobs and the company will fail.
·       Realize that if you have a quality product that meets your customers’ needs, it is your duty to get it into the hands of the people it will most likely benefit. Of course, you first need to make sure you have a quality product. There is no way to feel good about selling a product your customer does not need or want.
·       Make sales a full-time activity. You do not ask your production staff to do the bookkeeping or answer the phones. Why would you ask the bookkeeper or receptionist to do sales? If your bookkeeper is doing sales, then sales is an interruption from the activities that the bookkeeper uses to define himself or herself. If an employee has the choice between routine easy tasks such as entering invoices into a computer and hard necessary tasks such as cold calling and follow-up calls, the employee will always do the routine easy tasks that he/she defines as part of their job. If they start entering a stack of bills into a computer, by the end of the day they will have accomplished something. If they make the cold calls or follow up calls, he/she might be rejected, told no or otherwise reach unsuccessful results. This bookkeeper or other employee will likely have a poor attitude toward sales.
·       And finally, you need to identify the weak parts of your sales process so you can work to improve them. If you shore up the weak parts, all employees involved in the process will feel more comfortable and perform better. Success will then, in turn, improve attitude.
            The third component of your sales program is sales skills. You need to know how to prospect, build rapport, determine needs, make sales presentations, close the sale and more. From the most basic to the subtle the skills are available if you are willing to go out and find them. It takes work not because they are hard to find, but because there is so much information available that you need to find the skills that are right for your industry and your personality.
            There are books, CDs, seminars and videos by some giants in the sales training field such as Zig Ziglar, Tom Hopkins, Brian Tracy and many others. Find the method of delivery that is most effective for you.
            You do not need to spend a fortune. I started with a local library. For me, the best way to pass the many hours I spend staring at my windshield is listening to recordings of books and seminars. You can find many of these available on YouTube for free. I download them, convert to audio and listen as I travel.
            You need to listen over and over because each time you will hear something you missed before or understand something you heard in a new way. The third or fourth time, you may understand something and how it applies to you, your customers or your industry that you missed before.
            Motivational recordings are also important to salespeople. It is hard to stay motivated. Listening to a motivational recording each morning can help you be where you need to be. Even listening to upbeat music on the way to a difficult sales call can be very helpful to get you in a mood for success.
            The final component of a great sales program is a sales process. When you produce your product or service, it is likely you have a process that you follow. Even if it is not written down, you can likely describe what it takes to make your product. If you are building a house, you have a construction schedule to follow. If you are repairing cars, you have a process for diagnosing each problem, ordering the parts, making the repair and double checking to make sure the repair was done correctly and solved the problem.

            Sales is just like that. You need to have a process to follow. If you have a process, you know what to do next and you can identify what is working, continue to use the technique. You will also be able to identify where your procedure is weak or nonexistent and you can create what you are missing or work on what is weak. A process will also help keep you on track and ensure you are not skipping the parts with which you are uncomfortable. 

Wednesday, January 9, 2013

Clean Up Your Process


At Disney World there is a sign just outside the locker-room where all the employees,  which they call them cast members,  dress.
            The sign says "Take Pride in the Product."
            They understand that even if the cast member is having a bad day or does not feel like putting on the best show that their customer is here on vacation. It might be a once in a life time experience for the guest and it is imperative that the show be fresh and exciting every time so the guest goes home and tells all their friends about their experience.
            What is your product?
            Wrong. Your product is not just a stone countertop. It is a better brighter kitchen or a kitchen better than the Jones', or a fulfillment of a dream. It is the CUSTOMER'S entire experience from the day someone from your company first speaks with the customer  up to the day when the customer is using the countertop and forgets that it was not always there.
            Your job is to make that experience superior and to make the customer happy they chose your company, use the countertop then forget about you.... until someone asks them who did this.
            If you produce an excellent or even a superior countertop but were three weeks late, did not communicate with your customer, and left a mess then you will not get repeat business or referrals. Your may never hear a complaint from the customer but the customer's friends and relatives, your prospects, will.
            The countertop you produce will be in the customers for a very long time. It will represent you so it needs to superior even if you or your employees were having a bad day when they were making the top. And as long as your  customer is in the home they will remember the experience as well, particularly if it was bad and pass it on.
            You need to clean up your production process first. Some things you need to consider as you clean up your process.