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The On-Demand Economy

More and more workers are moving away from traditional jobs and towards the “gig” economy of on-demand roles that have a finite time frame.  Some of the startling trend from the Yahoo article (emphasis mine):

The report said the number of independent workers in America is expected to grow from 30.2 million to roughly 37.9 million in 2020, in part due to businesses seeking flexibility and also because young adults are more comfortable in the lifestyle.

Adding occasional independents, the projected number of US adults working independently will grow to an estimated 54 million or nearly 45 percent of the private, non-farm workforce, the group said.

I’m not sure what this effect will have on sales positions.  Perhaps the distributor/rep model that has been prevalent in certain sales for decades will become a common structure for companies.  I find it difficult to outsource a customer relationship especially if you are in a service sale.  Perhaps the development will be salespeople who have specific relationships with large companies and provide the channel to those decision makers?  Again, this is the distribution model that has been in manufacturing for decades and it would appear this model has the potential to expand in the very near future.

Make Time To Daydream

I’m not kidding.  From the Harvard Business Review:

Thanks to our smartphones, tablets, and laptops, it’s easy to be working all the time. But our devices can actually make us less productive by interfering with an important mental process: daydreaming. To be effective, our brains need opportunities to be “off,” which is hard when we’re constantly taking in new information through our devices. And research has found that letting our minds wander facilitates creativity and long-term thinking. If we’re facing a challenge that needs new ideas, we’re more likely to find some if our minds drift away from the problem for a while. So the next time your mind starts to wander, let it. Don’t check your favorite website or your email. Instead, walk to a window and think about the people and cars going by, close your eyes and notice the sounds around you, or go for a short walk. And remember: leave your device behind.

Cultural Qualifying

I ran into an old coworker, whom I consider a good friend, at a coffee shop this Friday morning.  He is the VP of Sales with 75 or so direct reports.  His company is international with a majority of their revenue occurring in Asia.

He was telling me about sales training he held for the entire sales team.  The focus was on negotiating and, more specifically, how to ask the right questions to qualify the opportunity.  The Asian sales reps balked at some of the questions based solely on their approach to qualifying.  Let’s just say they prefer to take a more passive, unquestioning approach which leads to prayer rug forecasts and lower revenue.

Obviously there are some cultural issues when it comes to qualifying.  Anyone who has been to Japan knows that there are certain formalities you have to follow to honor your counterparts.  However, I would argue that the qualifying issue is an individual issue.  At the risk of sounding overly simple, sales is a difficult profession that requires a skill set that is uncommon to the majority of the population.

The training that my friend provided was not provocative, excessive nor “risky.”  It was simply communication made clear by a sound questioning strategy.  This approach is the essence of qualifying.  It spans cultures.  It leads to the important point that if you are attempting to hire stronger salespeople, you must incorporate an assessment to get an x-ray of the salesperson’s abilities.  Do they have the right mix of talent and motivation to ask the difficult questions required for successful selling?

If you are looking for a solution, we can help.

The Lost Art of Decorum

Maybe I am aging faster than I will admit, but I have seen a trend in the professional workplace that is unsettling.

Decorum.  As defined by Webster, it is “correct or proper behavior that shows respect and good manners.”

One of the things I tell hiring managers is that the initial candidate interview is as good as it will get.  The candidates’ behavior, manners, etiquette, communication, etc. will never exceed their level as observed in that first interview.  Therefore, the candidate’s decorum should be exemplary in that interview to the point where it is memorable.

Sadly, I simply am not seeing this exemplary decorum nearly as much as I used to 15 years ago.  Perhaps as a society we are simply becoming more crass.  Nonetheless, the interview should be treated as hallowed ground and respected in such a way that crassness does not permeate it.

I have noticed this change not only in the younger generation, but also the Boomer generation.  I have observed aging leaders, who have become out of touch with the younger generations, find a connection (earning laughs) by being crassly provocative.

Younger generations communicate in…how shall I say…in an overly casual manner.  Cursing comes to mind and I have experienced it an multiple phone interviews recently.  The expletives have come out in face-to-face interviews also.  I’m not talking about shockingly blue language, but still language that simply does not fit in a high-level sales position interview.

Professional salespeople need to possess an impressive level of professionalism, or decorum, when approaching prospects in today’s business world.  A lack of this decorum being exhibited in the initial interview, when they are allegedly at their best, is a big red flag for me when considering whom to move to the next level in the hiring process.

Silence Kills Deals?

My mouth is still agape after reading this article in the MSP Business Journal – How to close a sales more effectively.

The first howler:

Anyone involved in sales knows silence can kill deals. If you present your best recommendations to a prospect and stop talking, he might say, “That’s food for thought. Let me think about it. I’ll get back to you.”

What?  No, not true.  The problem the vast majority of salespeople have is the inability to use silence.  A pregnant pause is a powerful tool that helps bring forth information.  It is important to remember that the person asking the questions is actually the person controlling the conversation.

The second howler:

They are all closed-end questions. When faced with a “yes or no” choice, the uncomfortable answer is “no.” Read the questions, answer “no” and see how you feel. It’s likely a negative answer requires justification and you can’t immediately think of reasons.

These suggestions come from the financial world which is predominantly based on selling to “consumers.”  Maybe things are different there, but in the B2B world open-ended questions are necessity.  It has been my experience that prospects are comfortable and adept at saying no.  My experience has been that close-ended questions quickly move you to the “think it over” response from the prospect.

The author clearly has a different approach to selling and perhaps it works well for him.  My take is that these tips would lead to atrocious results in the B2B world.

If you want to close more effectively, invest all, and I mean all, of your time in developing your qualifying skills.  At the end of the day, qualified deals close themselves.

4 Social Age Selling Skills

I don’t consider myself old, but I am starting to waver on that belief after reading this Selling Power article.  I started selling back in the days before cell phones and Internet, when the fax machine was viewed as such a timesaver.  Frightening by today’s standards.

The article identifies 4 selling skills you need in today’s socially-connected world.  Here are the first 3:

    1. Social Listening
    2. Social Researching
    3. Social Networking

Those 3 are critical and hopefully most salespeople are aware of these needed skills.  However, the 4th point is most interesting:

4. Social Engaging

This is the newest skill for sellers.  Consequently, it holds the biggest competitive advantage for sellers who master it quickly.  There are two types of social-engagement actions:

    1. Commenting on someone else’s post
    2. Initiating a post

I agree with the Social Engaging activity – the majority of sales that I encounter are relationship-based.  The transactional sales have moved to more automated channels.  The relationship sale is difficult to initiate by phone or email.  But an online conversation…that is a back door to initiate the relationship.  I also appreciate the thought-leader aspect of it.  If you are able to provide some value-add to the conversation, you instantly frame the relationship in a favorable (for the salesperson) light.

Interrogating A Prospect

Questions are the backbone of qualifying any sales opportunity.  Yet, many salespeople seem to flounder with this approach and I believe it comes from over coaching/training.  Ask this series of questions, use this linguistic trick, turn the tables on them…improper use of these “moves” stands out to every prospect.

To that point, here is an excellent excerpt from a recent Eye on Sales article:

We’ve all been taught the difference between closed-end and open-ended questions. We’ve been given instructions on when to use which type question.  Some trainers have given us formulas; others have given us specific questions to ask.

It’s these detailed guidelines that seem to get many sellers in trouble–that gets their questions to resemble Gestapo tactics rather than a discussion with a prospect.

So how do you use questions without intimidating or badgering?

The answer is actually quite simple—don’t interrogate your prospects.  Instead, of trying to figure out whether to ask an open-end or closed-end question here or which specific question to ask now, just ask the natural questions you’d ask your friends if you were trying to understand their problems.

I know, it sounds simplistic, but it is crucial to successful qualifying.  I have seen far too many salespeople use questions and questioning tactics in a clumsy, impersonal way.  When you experience this approach, the salesperson seems to be pulling tools out of a toolbox and using them with little to no rapport.  This approach is embarrassing to witness as it does put the prospect into the interrogation chair.

Much of selling comes down to one simple approach – having a conversation.  Forget about the toolbox, tricks and techniques for a minute and start a conversation with a purpose to learn what you need to learn to qualify them.  The most effective salespeople are the ones who can maintain this conversational approach while still acquiring the information they need.

3 Ways The Brain Handles Info

This article is from Eye on Sales with some key points about how our brains handle information (emphasis mine):

It all goes back to how your brain is wired to work. Despite how advanced our technology has become, the brain inside your head is brilliantly primitive.

There are really only three ways that our brain handles any information that it receives:

If it’s boring or expected, the brain ignores it.

If it’s too complex, the brain dramatically summarizes it.

If it’s threatening, the brain makes you fight or run.

So what you’re saying doesn’t really matter.

Especially if the brain in the person listening to you is feeling threatened or fatigued or flat-out bored. You lose.

So how do you change this? How do you say what needs to be said in a way that gets the right people to listen without their brain killing your sales speak a few millisecond after it leaves your lips?

(It’s certainly not easy. And it probably feels awkward at first.)

But here are a few ideas to help you manage brain parts and conquer better;

  1. Ask more questions than you make statements.
  2. Don’t pretend to be somebody that you’re not.
  3. If things “don’t make sense”, say so.
  4. Talk about the “elephant in the room” first.
  5. Look between the lines for personal issues.
  6. Care on the inside.

In terms of successful selling, you cannot overstate the importance of the first bullet listed above.

Of Authenticity

I have encountered this issue of authenticity recently in a handful of situations and it has captured my attention.  Here’s why – Gen Y is all about authenticity.  As a Gen Xer, I would argue that it is high on our list also.  Yet, some Baby Boomers have a different approach to authenticity and it stems from one key approach – they believe they have to have the answer to every question.

Now I’m not talking about aerospace-grade questions, but questions regarding their field of expertise.  Recently I witnessed 3 different situations where different Baby Boomer-aged experts encountered a difficult question.  The question was clearly beyond what they knew yet all of them attempted to answer it as an expert.  Unfortunately for them, the people asking the questions did not seem to believe the Baby Boomer answers.  I didn’t believe them either.

The after effect of the interactions was simple – I no longer trusted their expertise.  The irony of it is in the fact that some of the questions were not even in their area of expertise.  The Baby Boomers did not have to provide an answer as they could have easily deferred the question.  Instead in each situation they attempted to spout some rather odd sounding answer that came across as just that…odd.

One of the most powerful communication tools is to simply state, “I don’t know.”  If that is too direct you can use, “I’m not sure.”  In a strange way, I find it edifying of the person’s expertise – they answer questions that they know and they legitimately answer with an I don’t know if it is outside of their knowledge base.

It is disarming, real and authentic.

The Money Trap

-Discounting is a hot topic in sales especially in this prolonged, down economy.  However, discounting is never the best choice regardless of the situation.  Here is a good Eye on Sales article speaking to that point.

Here is a good suggestion:

The first question I ask anyone who thinks they need to lower their price to close a sale is if they know at least 3 needs the customer has and if they have been able to measure the real value of those needs with the customer.

Exactly.  The author is speaking to qualifying which is the core of all successful selling.  This is why it is of the utmost importance to see a sales candidate’s qualifying ability in your interview process.  Do not provide all of the information to the candidate – hold some back to see if they ask for it.  Do not make the initial interview too easy – provide a little resistance.  These types of techniques give you a glimpse into the candidate’s qualifying which you can’t get from a resume.  If they cannot qualify, they cannot handle money/pricing issues.

If the candidate or salesperson is adamant about discounting, they get caught in a trap:

It’s easy to cut your price. Anybody can do it. But what I guarantee when you cut your price for the first time, you’ll do it again and again. I’ve yet to meet a salesperson who has reduced their price only once.

Always qualify candidates for qualifying to avoid this trap.

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