widely across selling fields. But the rule is the same: “Reps should know their ratios,” she emphasizes. “Most do not.” When a company argues the sales cycle is long, the consultant applies a standard test. “Say it’s the middle of 2016. I say, okay, how was 2015? They should already know most of the answer if it’s an 18-month cycle.” Managers should be looking ahead – but, often, do not. “They look at the end of the pipeline. They should be look- ing at the beginning. Instead of looking at what is closing this month, they should be looking at first contacts and ask- ing, ‘Is this going to get us business down the line?’”
GOODBYE BILLY The sales guru agrees. “Lots of salespeople spend 70 percent of their time with 20 percent of their potential cus- tomers – the ones they get comfortable with. Every time the guy goes to Des Moines, he has to see Billy. Well, Billy has bought something every month for 50 years and he’s going to keep buying every month. The rep and his man- ager confuse this. They think the orders from Des Moines come from the effort.” “Your most precious resource is this moment of time,” he emphasizes. “It’s nonrenewable.” The basic problem, in his view: “Nobody is measuring the return on time invest- ment. They just have to go see Billy.” So the guru recommends benchmarking the entire sales
force in revenue per selling hour. “Say they average $2,000 per hour. Anything they do for less than $2,000 hourly, we’re going to take a look at. If they go to their favorite ac- counts for only $500 per hour, that tells you something.” In industrial sales, the problem is often lack of effort. “Over the years, a rep builds a book of accounts. They get their compensation out of the book and don’t need to go outside it. You can’t make them work to earn more than they want to earn.”
Commission plans help, but only up to a point. “Man- agement assumes salespeople want to maximize their commissions and, therefore, revenues. That rarely works after a certain level. They are all living on old efforts and a book of accounts that pays very well.” Managers may keep senior reps out of fear they will lose the account. “Management has not gone out to the account to establish rapport in years,” he notes. “Some account managers couldn’t find the account. They have abdicated their responsibilities and set up a situation where reps can blackmail them.” The solution? “Managers must spend enough time on the road to know everything their team is doing.” The next step is tougher. “Nobody calls me subtle,” he says. “I’m a Mack truck. I tell them, ‘You have too many reps.’ Nobody plays football in the NFL for 20 years from seniority. You have to beat out the younger players.”
USING ALL THE TIME So you’re out of the cubicle, on the road, and headed for just the right accounts or prospects. As any veteran road warrior knows, that still leaves plenty of time for sitting and
looking at a windshield, a seatback full of in-flight maga- zines, or just a desk-full of receptionist’s flowers. What do you do with that time?
One unconventional sales warrior has a few extra tips. “One of the dumbest mistakes salespeople make is show- ing up late for appointments,” he says. “It sounds obvi- ous, but – when you are visiting a new location – it is easy to be late.” So schedule to hit the client’s parking lot 15 minutes early. “You have 15 extra minutes. You can do your computer work. Use your handheld to look at your cli- ent’s Website. Comb your hair. Most importantly, go over possible objections. Collect your thoughts. Get ready to perform; prepare yourself mentally. The curtain is about to go up.” Then, says the warrior, “You are ready to walk into the office with the chime going – right on time.” There are a number of ways to allocate the sales day – none of them perfect for all selling situations, but all important for devel- oping a schedule that makes sense for you. “Use your handheld as a self- management tool. I divide the day three ways, then set the alarms. Ting-a-ling, it’s time to get on the phone. I make my calls early, then go to my appoint- ments. I estimate how long it takes to get there, then add 15 minutes. You can
“ You must put in the extra hours. Selling is not a 9-to-5 job.”
use a good map or a GPS system. Or call the front desk and ask for directions.” The guerrilla likes the receptionist option, because it gives him another opening. “When you arrive, you give the receptionist a little something as thanks for the direc- tions. It’s corny, but it works.” The key to prospecting visits is the golden rule of guer- rilla selling: “Everybody likes to buy, but nobody wants to be sold,” he says. “We all want to be in control, so, right up front, I say, ‘I’d like to take seven minutes of your time.’ Then I set a timer on the prospect’s desk. When it dings at seven minutes, I stop and say, ‘As promised, I made my point briefly. Would you like me to continue?’” This makes another point: Customers’ time is valuable, too. They will reward you for respecting it. No matter how you slice and dice your selling time, it’s still a belly-to-belly selling world. Whether you get face to face over an Inter- net connection or in the flesh, nothing replaces getting – and staying – close to prospects and customers. Never make the mistake of thinking you’re unforget- table or indispensable.
SELLING POWER NOVEMBER 2016 | 25 © 2016 SELLING POWER. CALL 1-800-752-7355 FOR REPRINT PERMISSION.
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