The Key to Incremental Sales… New Business Development

                                       

New Business Development is the buzz word across many companies’ sales forces today. New business comes from two basic sources… finding new customers for your product or service or offering new products or solutions to existing customers to expand and add incremental revenue.

Whether seeing a new prospective client or an existing customer with a new opportunity, research suggests only one in 50 deals are struck at a first meeting.  Yet many sales people give up after just one or two call backs. The Key… A NBD sales strategy will give you a major edge on competitors.

Studies reveal that only 2% of sales occur when two parties meet for the first time.  The 2% who buy at a first meeting actually represent the Thin Market for your product or service…. They have already considered your solution, and already know what they're looking for. You were lucky enough to call on the right person at the right time with a solution that meets their immediate needs. But, in truth the other 98% will only buy once a certain level of trust has been established.

There are many reasons why people who could benefit from your product, service or expertise do not buy. Inertia; lack of time; too many other things on their mind; concern about cost; cash flow; budget constraints etc… None of these is a negative. They are just psychological and transactional realities you must become aware of and recognize - which is why follow-ups are SO important.

Thinking like a customer or consumer, isn't it amazing how often we personally have express interest in a product or service but did not hear back from the sales person or company again? It happens all the time. Research shows, amazingly, that only 20% of sales leads are ever followed up. In other words, 80% of potential opportunities are lost without trace simply due to lack of follow-up.

I was fortunate to spend some time with Brian Tracey on his last visit to Toronto and he shared his company’s research in NBD… Many studies carried out at different times, in different places, by different market research companies over a number of years have reached the same conclusion… that 80% of non-routine sales occur only after at least five follow-ups.

Think about that.  It takes at least five continuous follow up efforts after the initial sales contact, before a customer says yes. There are some fascinating statistics on this:

44% of sales people give up after one "no"

22% give up after two "no’s"

14% give up after three "no’s"

12% give up after four "no’s"

That tells you that 92% of sales people give up after four "no's", and only 8% cent of sales people ask for the order a fifth time.

Once you're aware of these statistics you should stack the odds in your favour by introducing a Five  no’s strategy, where you maintain contact with prospects until each one of them has said "no", or "not now", or "not yet" at least five times. Every time you're in contact you have an opportunity to advance and build the relationship. This is the same methodology we use effectively in the appointment setting phase of our sales process.

There's also the fact that 63% of people requesting information on a company today will not purchase for at least three months - and 20% will take more than 12 months to buy.

Contacting your prospective and existing customers frequently builds trust and professionalism and keeps 'top of mind' awareness.  Several questions beg to be asked… What meaningful communication strategies do you have in place right now to maintain top of mind awareness once someone has been in contact with you?  How do you nurture your clients so that they learn to trust you and see you as a professional organization?

This suggests that traditional sales tactics of going into sales situations armed with a list of “sure fire” sales closes expecting to make sales with every prospect… every time…is unrealistic and outdated. Professional marketers get to really understand their clients and their issues; solve their problems; illustrate projected sales potential and the ROI they can expect to achieve. They build relationships and trust by engaging in a long term client sales strategy.

 

Metroland’ s recent investment in the new Pulse Research program will assist in illustrating how our clients can increase sales and gain additional revenue. We will be able to show the potential number of customers and projected revenue for our clients by business segment or product, how customers are actually reached by our marketing initiatives as well as social media over the previous 30 days etc… and how they can target their marketing investment for incremental business as well as defining ROI in terms of just how many customers they need to see a return on their advertising investment with us.  All in an easy to produce one page presentation tailored to each client by segment. 

For more conversation on NBD or to register for our next available New Business Development course or webinar contact Lauren at lnicoletta@metroland.com.

 

The Process of Success...

We have all started in new roles or jobs...  the elation and excitement comes first then the apprehension about what we need to learn, the new corporate culture, and the new people with whom we'll be working. It is a process we have all been through. I remember my first manager reminding me of the proverb “you have to learn to walk before you can run”. So true...  even our own Donovan Bailey, who held the world record in the 100 meter dash from 1996 to 1999, admittedly grew into success and developed his skills over time.

Even for Donovan, success did not come overnight and few would have guessed he would come out of nowhere and in just under 10 seconds put Canada on top of the track world in the 1996 Atlanta games. Bailey came to Canada at age 13 and even with his tremendous natural ability was cut from track for missing practice and lack lustre performance... preferring to focus on his first love basketball in High School in Oakville. He later opted to pursue a business career but he wondered if he was wasting his athletic potential.

He decided to begin training and competing as a 100m sprinter part-time but without the proper direction he did not reach his potential right away.  Athletics Canada also missed on developing his talent. They didn't take him to either the 1991 worlds or 1992 Olympics. He didn't even run in the relay at the '93 worlds. Not until Glenroy Gilbert, who would later be one of his partners in 1996 Canadian 4 x 100 Gold, introduced him to a coach named Dan Pfaff did Donovan’s star begin to rise. Donovan credits Pfaff’s processes for development with helping him find his way, build on his natural talent, and navigate in a heavily competitive environment... on boarding him to the world of track if you will.

True on boarding is just that a process... an opportunity to focus on the skills and effort needed to reach your potential. We realize you may be relatively new to sales or may come to Metroland with a wealth of experience & natural talent.  Your individual skills and abilities have already been recognized in the recruitment process and that is why we chose you. You too recognized the tremendous opportunities Metroland provides and also chose us. Together we will work toward success for you individually and as a part of the Metroland family.

This year we have launched our newly expanded sales On Boarding process designed to support new sales hires with an initial two week On Boarding session and monthly follow up webinars and in class sessions.

The initial two week session covers Sales Skills training including; understanding Thin Market, Product Positioning, Objection Handling & Closing in the Media & Advertising environment, New Business development, Package & Campaign Selling, Consultative Selling, Layout/Design, Digital Certification, extensive Sales Skills Role Play/Practice & Individual Presentations and Team Competition. Attendees will also gain enhanced self awareness through personal psychometric testing and evaluation using Thomas DISC methodology including 1 on 1 review to plan for success & sales manager post training coaching guides & tools.

Follow up sessions include; Month 2 - Time & Territory Management (2 Hour Webinar), Month 3 - Challenges /Opportunities & Presentation Skills - (Full Day), Month 4 - Negotiation Skills (2 Hour Webinar), Month 5 - Diagnosing Solutions & Individual Customer Analysis (2 Hour Webinar), Month 6 -Consultative Selling & Key Account Management - (Full Day).

When asked what advice he would give Canadian youth who dream of becoming world-class athletes... Donovan responded...  “Set no limits to what you can achieve, shoot for the moon, you have unlimited potential and great resources’, get out there train hard and get ready”... Success will follow.

The (New) Sales & Marketing Transition…

If there is one thing for certain… change happens. What we sell today and how differs greatly even from a few short years ago. Yes.. . sales fundamentals stay the same but the requirements of the market and the challenges professional sales people and sales managers face have changed… clients are more demanding, product offerings may be more complex , and there are more choices in the marketplace… we have to constantly improve our skill sets just to keep up let alone achieve sustained success. On top of that… research has shown that traditional sales methods are increasingly unproductive.

I recently spent some time with Kevin D. Crone former CEO of the Dale Carnegie Business Group in Canada and author of Canada’s Monday Morning Mentor. Kevin shared some insights from a 2013 worldwide research project the Dale Carnegie Centre of Excellence commissioned to find out what has changed in today’s sales environment across all sales channels and industries.

This is some of what Kevin shared from their research…

•       Only 14% of customers see you as unique

•       Business owners view 90% of enterprises as being commoditized – (comparing apples to apples... how do we differentiate?)

•       Sales stories are tired and they all sound alike. 

•       Only 38% of customers appreciate “service” “responsiveness” and “high quality products”

•       However, 62% of customers appreciate help, advice, coaching on how they can reduce costs or increase revenues

•       Every buyer has A.D.D.  - Info overload leads to buying inertia

•       More sophisticated buying pressures, consensus based buying, increased risk aversion, greater demand for customization, & a demand to reduce the complexity of the purchase

“Customers think they know it all! ... So they immediately ask... where are my discounts?”

All this makes it extremely difficult to solve customer problems let alone get them to spend their time doing so when they think they have the answers.

The study also suggests what is needed to compete…

Customers don’t actually know their needs like we think. - They are too close in the business. (Doctors can’t heal themselves.)

The top 20% of salespeople are “Value Creators” - (They get over 50% of the sales and are getting better)

The “Value Creator - creates value with every contact in the process. (53% of customers value the advice the most)

What do the Value Creators look like?

•       They are bold, interruptive coach like salespeople who disrupt a customer’s thinking teach their clients, how to reduce costs or increase revenues and continue doing so.

•       They begin calls by giving interruptive perspectives that shed new light on business problems and listen to trends and motivations of customers and then re-think offering/story to match motivations

•       Develop industry insights and point of view that elevates customers thinking and match their perspectives to the insights that the customer hasn’t thought of yet.

•       “Package” offerings/services to solve their problems that lead to your unique benefits & strengths

•       Tell a compelling story including costs, business case, ROI

•       Know how business works, industry insights, market trends & educates customers on trends

•       Can handle complexity - (They help buyers get what they want & need)

•       Help navigate alternatives to reduce risks

•       Can dialogue well & control the sales process. (Closing!!!)

This all makes sense but are they (Carnegie) alone in their perspective?

Harvard University also recently conducted an international study with thought leaders in sales and sales management. These included top sales leaders in major corporations, leading academics who have published in the sales field, and senior practitioners within sales associations or research-oriented sales consultancies.

What they found was that today’s Professional Sales People and Sales Managers need a distinct set of skills and abilities.

•          Business Acumen and Customer Insight - specifically, beyond what the customer has articulated. In complex relational sales, customers expect sales people to act as Business Consultants and demonstrate a broad strategic understanding of their business and how our solutions will Impact Bottom Line.

•         Relational Skills - across all the research in sales and key account management, Trust is repeatedly cited by customers as important in their selection of a supplier.

•         Managerial & People Management Skills - ethical standards and integrity, adaptability, & openness to change, and strong influencing skills.

•         Cognitive Skills - innovative problem solving; mental toughness, resilience and the ability to work under pressure and Identify Sales Opportunities with both Existing Customers, as well as with New Business.

In fact, there is plenty of evidence & research that high-performing sales people are those who listen and respond, who are flexible, adaptive, and who think in terms of developing a solution to an emerging customer problem in the real world of ever-increasing customer expectations and more emphasis on return on investment and value. A trusted professional who challenges customer concepts and builds a true business partnership to grow their business and achieve success...

After all isn't

 that is what they really want?

3 Ways to Start Every Day Better

 BY Tom Searcy

Great athletes put the odds in their favor by having a routine that helps them start each day right. Why don't you? Here are three tips to do just that.

Most top athletes go through a preparation routine before every game which starts long before they get on the field. The best ones usually start the moment they awake. They follow this pattern with a fierce devotion because it activates all sorts of subconscious and autonomic systems that put that athlete "in the zone." "In the zone" describes a condition of readiness and awareness that helps prepare that person for success.
If you eliminate the quirky, (Tiger Woods makes his hotel bed for instance), the obsessive, (Michael Phelps' ritualistic warm-ups), and the bizarre, (Rocky Balboa's dozen raw eggs for breakfast), and you just look at patterns, putting yourself in the zone to have a great day is a solid idea.
As a business owner and leader, you set the pace for the rest of your organization. Your company, even if it has just a few employees, is a reflection of you. Sharpen your company by first sharpening yourself at the dawn of each day.
Start with awakening. Let's take the first 30 minutes to get you in the zone.
1. Body--Coming out of bed, your body needs three things for certain--water, protein and movement. Without being indelicate, your systems were all working through the night and they need to complete their cycles. Starting with 16 ounces of water gets you started on the eight glasses you already know you need to get anyway and begins the benefits that moving fluids through your body starts.
You need protein in your first food of the day, even if you are going for a run or a workout. A protein shake will do. The rest of the food pyramid is open, but even if you are a very light breakfast eater, protein is important.
Movement gets blood moving, clears the mind and releases energy. Workouts with weights or cardio are great--but sometimes ten minutes of stretching is all you have time or space for. Regardless, don't let the first 30 minutes of the day get started without moving.
2. Mind--Your mind needs focus or you will waste time and energy in your morning and in your day. The most effective business owners and CEOs that I know actually focus on very few things. Those that receive their focus, receive all of their focus. A billionaire I interviewed told me one of his keys to success--he tries to accomplish only one thing per day. A very big thing, of course, but from the moment he woke up until he finished his day, he threw every available effort at that one thing. Most of us measure our days in volume, not in scale. How many checks on our list, not how important one big check might be. Pick the one BIG thing to accomplish and let your morning open up with that as the focus for your first thoughts.
3. Spirit--Part of putting yourself in the zone is achieving alignment of your core energy and your positive emotions. A proven way to do this is through a simple reflection of gratitude. Being grateful, aware of all you have, is a centering action. It starts your day with energy and calm. When you greet your employees, clients, and suppliers throughout the day knowing that you included them in your reflections, they will feel that in your interaction and it will make for a better exchange regardless of the circumstances.
The top performers in most fields put the odds in their favor by putting themselves in the zone. Figure out your Body/Mind/Spirit routine and follow it for a better day every day.

Author, speaker and consultant TOM SEARCY is the foremost expert in large account sales. With Hunt Big Sales, he's helped clients land more than $5 billion in new sales. Click to get Tom's weekly tips, or to learn more about Hunt Big Sales.
@tomsearcy

All the work you do to hire, train, engage, coach, mentor & motivate your staff can go south in a single thoughtless comment... you know.. the ones that disclose what someone may truely be feeling... choose your words wisley and think of perceptions as reality in the minds of your               Co-Workers..without who you may not have a team to lead...

17 Things The Boss Should Never Say

 "Please, Sarah, you've got to be friendlier on the phones!"
As soon as I said it, several years ago to one of my employees, I felt horrible. It wasn't so much that I had said it- it was how I said it, in front of other employees. Sarah began to tear up, I pulled her aside and apologized, but the damage had been done.
Leaders must be sensitive to the fact that the whole team is looking up to them. Everything the boss says is magnified because it's the boss saying it. Two weeks ago, I shared 17 things you should never say to your boss, and over 700,000 of you read it, so this week, I turned the tables, asking 17 bosses from fast-growing companies in the Young Entrepreneur Council (YEC) what they thought the worst thing they could say to their staff is. Here are their answers- the 17 things the boss should never say- followed by mine:

1. "That Client Drives Me Nuts!"
We all experience crazy deadlines in a high-pressure environment. Passing along our feelings of stress to our staff can cause them to feel less motivated working for a particular client. Make sure they don't lose sight of the fact that every single client is equally important, even if you have an 80/20 portfolio.

- Vinny Antonio, President, Victory Marketing Agency

2. "I'm the Boss!"

No one wants to work for an organization that doesn't respect their commitment level or humanity. If your co-workers wanted to take orders, they would have joined the army. Unless you are the military, avoid pulling rank. Every decision is a dialogue. Even if you do have the final say and aren't in full agreement (which is probable), don't make "I'm the boss" the ultimate reason for any decision.
- Geoffrey Stenrick, President, SimpleRay
-
3. "I'm Too Busy"

This statement is terse and shows a lack of empathy to the needs of your staff. It also makes your employees feel that what they are doing is not that important. Instead of telling them you're too busy, try asking them to come back at a specific time when you do have availability. This gives them confidence that they have your ear, your respect, and your sincere care about the work they are doing.

- Joshua Konowe, Founder & CEO, Uppity

4. "What's the Latest Gossip?"

When you're running a company, you set the tone for the workplace culture. If you gossip about staff members, it tells your staff that it's okay to gossip, which ultimately sets up a toxic environment for team relationships. Leave the gossip at the door.

- Allie Siarto, Co-Founder, Director of Insights, Loudpixel

5. "What's Wrong With You?"

It's easy to get frustrated when your staff does something incorrectly but this question goes right to the heart of their competencies. It not only assumes that they have a fundamental flaw but it conveys that you've lost all trust in their abilities. It's only downhill from there.

- Kelly Azevedo, Founder, She's Got Systems

6. "You're the Only One Having a Problem"

This will only isolate your employees. It will break your staff down and make them feel alone. I believe that a majority of the time, if you were to google a question or problem, you will find many others have similar issues and concerns, and are truly seeking an answer.

- George Mavromaras, Founder and President, Mavro Inc. | Praetor Global LLC

7. "I Don't Care About That"

You need to care about every aspect of your business -- small or large. If you let you staff know that you don't care about something, why should they? Treat every aspect of your business the same and your staff will have more pride in their work.

- Josh Weiss, Founder and President, Bluegala

8. "Do What I Won't"

As business owners and bosses, we need to be willing to do whatever it takes to get the job done. Never ask an employee to do something you wouldn't do yourself. If I'm assigning a somewhat overwhelming or complicated task, I always make sure to offer myself as a helper or resource. Follow the guideline of leading by example. Get in the trenches with your employees if need be.

- Laura Land, CFO / COO, Accessory Export, LLC

9. "Don't Argue With Me"

No boss should dissuade their staff from arguing or disagreeing with them. Sometimes you may be wrong, and it's important to get that insight from your staff. Hearing their thoughts and ideas is crucial to building a business.

- Ben Lang, Founder, Mapped In Israel

10. "We've Always Done it This Way"

Just because something's been done a certain way for months or years doesn't mean that it's the best way to approach a problem. Empower your staff to think of new solutions. Openness breeds creativity, which in turn breeds innovation. And startups need all the innovation they can get, regardless of whether it comes from the CEO or an intern.

- David Adelman, Founder and CEO, Reel Tributes

11. "Just Let Me Do It"

You can’t grow your company by doing everything yourself. If you feel you have to step in every time things get hard, your staff will never learn to be self-sufficient. Give everyone a chance to succeed and encourage management to do the same. You will build a stronger company.

- Robert Delossantos, CEO, Sky High Party Rentals

12. "You're Doing Okay"

When an employee asks for feedback, never tell them they're doing an okay or fine job. Asking for feedback is a sign of potential; a desire to grow, change and get better. We typically have a good sense of what we're good at, but we don't always know what we can do better. Telling someone "you're doing fine" without giving the gift of improvement is a hugely missed opportunity.

- Susan Strayer LaMotte, Founder, exaqueo

13. "This is MY Company"

That may very well be true on paper, but you won't be much of a leader if you don't have any willing "followers." Being "in charge" is like being "cool" -- if you have to say you are, you're not.

- Mary Ellen Slayter, Founder/Managing Director, Reputation Capital

14. "It's Your Problem"

Maintaining an attitude of shared responsibilities with your employees is important to order to create the best experience and generate the best work. If an employee knows you feel personally involved in all tasks, they view their own work as being a valued part of a larger effort.

- Michael Mayernick, Co-founder, Spinnakr

15. "This is Just a Small Client / Sale"

Teaching your staff to treat the high-paying clients or the big sales differently than smaller ones is a huge mistake. This sets up your company not only for bad customer service but also for arguments amongst your staff over who gets to work on which accounts.

- Caitlin McCabe, Founder & CEO, Real Bullets Branding

16. "We Just Need PR"

Although PR is important, the staff should always be working to improve the product. Placing the focus on only needing PR insinuates that the product is complete and success is out of everyone's control. Never make your staff feel like anything is out of their control.

- Phil Chen, Co-Founder / Principle Systems Architect, Givit

17. "I Don't Care What You Think"

This sentence can end many different ways. It could be "I don't care what you think," or "I don't care if that's what XX does." Regardless of how the sentence ends, "I don't care" is a phrase that shuts down conversations rather than encouraging dialogue. It suggests you aren't open to considering others or their ideas. Exercising your role of power unnecessarily leads to a negative workplace.

- Andrew Angus, CEO, Switch Video

These 17 things may not be the best things a boss can say to their team, but to me, the most important factor is tone, and the circumstances under which the boss is speaking. I'm a huge support of positive public praise: the more public praise I can give to individuals on our teams, the better. But if I ever have anything critical to say, or even anything that could possible be seen as critical by anyone in the room, I've learned the importance of making that conversation private. Because when the boss speaks, good, bad or ugly, people do pay attention.

Dave Kerpen is a student of all things Likeable. He is the founder and CEO of Likeable Local. He is also the cofounder and Chairman of Likeable Media, and the New York Times bestselling author of Likeable Social Media, Likeable Business, and Likeable Leadership (coming October 30!)
To read more from Dave on LinkedIn, please click the FOLLOW button above or below.

The Young Entrepreneur Council (YEC), is an invite-only organization comprised of the world's most promising young entrepreneurs. In partnership with Citi, the YEC recently launched #StartupLab, a free virtual mentorship program that helps millions of entrepreneurs start and grow businesses via live video chats, an expert content library and email lessons.

Seven Types of Sales Managers...

Seven Types of Sales Managers

Harvard Business Review Network - Steve W. Martin,  September 6, 2013

Over the past decade, I've worked closely with hundreds of vice presidents of sales, and like all of people, each has a unique personality. Some are gregarious. Some are assertive. Some are action-oriented. But even as I observe their individual differences, I have recognized patterns of behavior, which have allowed me to catalog their styles of sales management.

I have found that seven management styles are most prevalent: mentor, expressive, sergeant, Teflon, micromanager, overconfident and amateur. Most likely, a sales leader will use several different management styles and move from one style to another depending on the situation.
To better understand these sales management styles, I asked more than 60 top vice presidents of sales from leading high technology and business services companies to estimate what percentage of their time they used a particular management style, and then to rank the applicability of the style to the success in their role on a scale of 1 (least important) to 5 (most important). Below, you will find a description of each style and the average results for the study group.

Mentors
Mentors are charismatic leaders and sales experts who measure their success using three criteria: exceeding revenue goals, creating an environment where the entire team can succeed, and helping all team members realize their individual potential. Mentors are confident in their own abilities and possess the business insight to know what needs to be done and how to do it. On average, study participants reported they used the mentor management style 26 percent of the time. In terms of importance as a driver of success, they gave mentor management style the highest ranking of all the styles at 4.3.

Expressives
Expressive managers are people-oriented with a flair for sharing their emotions and amplifying the emotions of those around them. They have a natural ability to put people at ease but are also quite comfortable extolling or admonishing the team. Expressive managers create an environment where a considerable amount of energy is focused on how their organization is thought of and perceived within the company. Study participants indicated they used the expressive management style 30 percent of the time on average and ranked the style's importance at 4.

Sergeants
The sergeant is named after the field sergeant in a military organization. Sergeants develop an intense loyalty to their team, perhaps even greater than their personal loyalty to their company. They are hard workers who are constantly worrying about their "troops." They will even sacrifice their own best interests and tolerate personal hardships if they feel it will benefit their team. The sergeant management style is used 18 percent of the time on average and its importance was ranked at 3.2.

Teflons
Teflon managers are pleasant, agreeable, and polite people. However, unlike sergeants, they tend not to have deep personal relationships with their sales team members. Another characteristic of Teflon managers is their ability to stay above the daily fray of politics. Regardless of the situation, Teflon managers are even keeled and rarely frazzled. The Teflon management style is used 10 percent of the time on average and its importance was ranked at 2.

Micromanagers
Micromanagers are the most organized and methodical of all the management types. They have a strong sense of responsibility to their company and they pride themselves on achieving their revenue goals. They tend to be all-or-nothing thinkers who want things done their way. The micromanager style is used 7 percent of the time on average and its importance was ranked 3.3.

Overconfidents
Overconfident managers tend to be more self-centered. They are charming and gregarious in public, excellent on sales calls. They tend not to be open to feedback and will get the job done their way and succeed at any cost. The overconfident management style is used 6 percent of the time on average and its importance was ranked at 1.8.

Amateurs
The amateur management style should not necessarily be equated to someone who is new to sales management. Rather, the style reflects that the person is outside of their comfort zone in a new management role, working with an unfamiliar product at a new company, or in a new industry. As a result, their management style may suffer an identity crisis until they are able to build back their practical sales experience. Study participants indicated they experienced the amateur management style 3 percent of the time on average and ranked the style's importance at 1.
The structure and effectiveness of the sales department will mirror the sales management style of its leaders. This is because sales leaders naturally imprint themselves on their organization. Therefore, it can be argued that the vice president of sales is the most important person within a company because this person is in charge of an organization's most critical assets: customers and the revenue they generate.

How & Why do I need to Develop New Business?

Have you ever heard of the 80-20 rule?

In 1906, Italian economist Vilfredo Pareto created a mathematical formula to describe the unequal distribution of wealth in his country, observing that twenty percent of the people owned eighty percent of the wealth. Consequently the 80-20 Rule or Pareto Principle was born. The distribution shows up in several different aspects relevant to business. For example in business: 80% of sales come from 20% of products or services - 80% of complaints come from 20% of customers - 80% of your profits come from 20% of time spent (for us that means time actually selling) - 80% of all sales are made by 20% of sales staff & - 80% of your income comes from 20% of your customers.

Why is that important to New Business? Let me tell you a story… A number of  years ago I had a conversation with a sales rep with a company outside of Metroland & media; He was a highly successful consistent performer with an excellent history of year over year growth for the preceding 8 – 10 years. He had built his book of business on solid sales principals with clients who grew to large accounts over time. They trusted him and because of his solid reputation of meeting and exceeding client expectations his accounts recommended him to family and friends. One family who owned the majority of businesses in that area eventually all became his accounts. So much so that they represented 60% of his total income… yes that’s right one group of affiliated businesses made up 60% of his six figure income… then the unthinkable happened… He began dealing with one of the grandsons from the family on a new business venture. Everything was fine until a misunderstanding with a new business office employee threatened to send the young entrepreneur to collection over a disputed bill… His response of fix this problem or we will pull all our business went unheeded and unfortunately a small in discrepancy led to ALL their businesses choosing not to deal with the reps company over the disrespectful way one of their own had been treated. Overnight his income plummeted by 60%...

We have all lost accounts over the years due to closures, new ownership or to competitive raiding. We also know how tough it is to replace lost revenue. Most of our large accounts started out as smaller ones and they developed over time into the major accounts that make up the biggest part of our book of business…The 20% that make up 80% of our income.

The best sales consultants are constantly aware of new business opportunities. How they can find new customers or ways to develop existing accounts through new product lines and services. They have a plan for developing their New Business Pipeline (Setting up a database of prospects, Identifying their target customer, Know their Unique Selling Proposition & what they are selling, How to create a communications plan & How to automate the process) and understand the importance of cold calling on new prospects and the length of time it takes to develop successful business relationships. They truly understand their businesses USP and can vocalize it instantaneously when meeting a prospect as a succinct positioning statement about what they can do for them.

They are constantly growing their account lists by asking themselves the tough questions…

How solid are their "A" accounts (the accounts you Always call first…these are the 20% of your accounts that represent 80% of your business)? If they stopped advertising tomorrow would they be able to replace that revenue?

Do their "B" accounts (the accounts that will Buy if you make the call… but have the potential for more - if you develop them) have the potential to become A accounts? How well do they know this group of clients?

Are their "C" accounts (the accounts you Can sell but are occasional, seasonal or sporadic customers at best) maximising their penetration in their market? Are they helping these accounts brand in the off season so that they can increase market share during peak times. Are there other products or services that their more sporadic customers might be interested in?

Are their "D" accounts (the accounts that Don’t advertise because they are never called on) representing untapped potential?

New Business Development isn’t just about chasing new accounts… it’s a mindset where we capitalize on all new business opportunities. It solidifies client relationships with our constant assessment of how we can do more for existing clients at every level of engagement and identifies the potential for new clients at every corner... and with all the opportunities digital and our new products affords us what a fantastic chance to start a NEW business conversation with both existing and potential clients

For more conversation on New Business Development principals check out our New Business Development webinar on http://www.mymetroland.com..