Business Growth Pillars

The 8 Pillars of Business Growth

Creating The Foundations For Growth Section Content Page 13 Life Purpose and your Business Vision

Page 15 Attraction Based Business Marketing

Page 22 Guiding Principles

Page 27 Sales Process

Page 38 Multi-channel Marketing

Page 44 Customer Relationship Management

Page 48 Recruitment

Page 53 Cash is King

13 1. Life Purpose And Your Business Vision Our true purpose in life is often never defined and an opportunity to live the life we desire is consequently missed.

The importance to you in life and business is evident but very rarely mentioned as a key business driver. That is until now.

Consider the life purpose of Richard Branson or Steve Jobs or Bill Gates – for sure it’s NOT to make masses of money – more likely “deliver massive value to every customer that we come into contact with by opening up….?

Your business must have a solid anchor and that‘s your business purpose derived from your life purpose. In times of stress and worry, this will be the place you visit to regroup and re-motivate yourself. So please, spend a little time defining your own purpose and transferring it to a business purpose statement. However, it should not be confused with Vision, Mission and Values- we deal with these in the next section. To find yours, we suggest one of the three alternatives listed below.

Discover your life purpose in about 20 minutes Take out a blank sheet of paper or open up a word processor where you can type.

Write at the top, “What is my true purpose in life?”

Write an answer (any answer) that pops into your head. It doesn’t have to be a complete sentence. A short phrase is fine.

Repeat step 3 until you write the answer that makes you cry. This is your purpose.

Jack Canfields Approach.

Jack Canfield is America’s Success Coach and co-founder of Chicken Soup for the Soul.

Canfield sums up purpose this way: “You were born with an inner guidance system that tells you when you are on or off purpose by the amount of joy you are experiencing. The things that bring you the greatest joy are in alignment with your purpose” He states what you are here to do is what will give you the greatest amount of joy when you are doing it. In his book, The Success Principles, he offers the following Life Purpose Exercise...

List two of your unique personal qualities, such as enthusiasm and creativity.

List one or two ways you enjoy expressing those qualities when interacting with others, such as to support and to inspire.

Assume the world is perfect right now. What does this world look like? How is everyone interacting with everyone else? What does it feel like? Write your answer as a statement, in the present tense, describing the ultimate condition, the perfect world as you see it and feel it. Remember, a perfect world is a fun place to be.

Example: Everyone is freely expressing their own unique talents. Everyone is working in harmony.

Everyone is expressing love.

Combine the three prior subdivisions of this paragraph into a single statement.

Example: My purpose is to use my creativity and enthusiasm to support and inspire others to freely express their talents in a harmonious and loving way.

Finally, he states that without a purpose in life, it’s easy to get sidetracked on your life’s journey. It’s easy to wander and drift, accomplishing little.

But with purpose, everything in life seems to fall into place. To be “on purpose” means you’re doing what you love to do, doing what you’re good at and accomplishing what’s important to you.

14 15 Questions To Discover Your Life Purpose and a few examples...

The following are a list of questions that can assist you in discovering your purpose. They are meant as a guide to help you get into a frame of mind that will be conducive to defining your personal mission.

Simple Instructions: Take out a few sheets of loose paper and a pen.

Find a place where you will not be interrupted.

Turn off your cell phone.

Write the answers to each question down.

Write the first thing that pops into your head. Write without editing. Use point form.

It’s important to write out your answers rather than just thinking about them.

Write quickly. Give yourself less than 60 seconds a question. Preferably less than 30 seconds.

Be honest. Nobody will read it. It’s important to write without editing.

Enjoy the moment and smile as you write.

The 15 Questions are...

1. What makes you smile? (Activities, people, events, hobbies, projects, etc.)

2. What are your favorite things to do in the past? What about now?

3. What activities make you lose track of time?

4. What makes you feel great about yourself?

5. Who inspires you most? (Anyone you know or do not know. Family, friends, authors, artists, leaders, etc.) Which qualities inspire you, in each person?

6. What are you naturally good at? (Skills, abilities, gifts etc.)

7. What do people typically ask you for help in?

8. If you had to teach something, what would you teach 9. What would you regret not fully doing, being or having in your life?

10. You are now 90 years old, sitting on a rocking chair outside your porch; you can feel the spring breeze gently brushing against your face. You are blissful and happy, and are pleased with the wonderful life you’ve been blessed with.

Looking back at your life and all that you’ve achieved and acquired, all the relationships you’ve developed; what matters to you most?

List them out 11. What are your deepest values?

Select 3 to 6 and prioritize the words in order of importance to you.

13. What causes do you strongly believe in?

Connect with?

14. If you could get a message across to a large group of people. Who would those people be?

What would your message be?

15. Given your talents, passions and values. How could you use these resources to serve, to help, to contribute? ( to people, beings, causes, organization, environment, planet, etc.)

Examples of life purpose and how these transfer to a business.

Here is a sampling of life purpose statements that we have either found or helped clients create.

Hope it inspires you to find your purpose in life and business. a. My mission is to create, nurture, and maintain an environment of growth, challenge, and unlimited potential for all those around me. b. My life purpose is to energize, connect, and inspire purpose in others. c. My mission is to enliven, encourage, and reinspire the love of music for children in public schools. d. My purpose in life is to be a mom: to empower independence, self-reliance and confidence in others through being a positive, supportive role model. e. My life purpose is to live and mentor an authentic, adventurous, spiritual life, while being a catalyst for positive change. f. With friendship and affection, I will interact with others to improve my home life and obtain pleasure and recognition. g. My purpose in life is to grow continually and use my wisdom to help others grow through teaching and encouraging them while making a difference in their lives and the lives of those around them.

Now you have the motive for your business.

15 2. Attraction Based Business Marketing The New Modern Way To Run A Business

By John Astley – Founder Astley Bryden Associates Ltd I’ve always believed our minds are vastly under used and we have the internal power to control our lives. If we learn to harness this force in our businesses, great things can happen.

Are you ready to discover the secret that lies deep within your business?

If you were to discover the secret behind most successful companies and why so many fail, would this be something you’d want to use in your business?

If that secret were a simple formula that drives your business to greater profits, attracts more new customers, have existing customers spend more and stay with you longer because every single part of your business was vibrant and attractive, would you want to know how to use it?

If the answer to both questions is yes then you are in the right place because you’re about to discover how to present your business in a convincing and attractive manner and become a market leader, never to worry about your future growth or wealth again because it will be assured.

Half the secret is positioning.

The simple fact is that there are literally thousands of potential customers that could benefit from your service or products. To get their “attention” and “attract” them instead of “pursue” them you need to follow a few “law of attraction in business” rules.

1. Establish yourself or others in your business as an authority.

Offer great “what to do” advice to your target market but don’t tell them exactly “how to do it” – in order for you to give the right advice, you’ll need a consultation to review the exact situation. Let them come to you. (Position Yourself as an Authority: (page 89 2. Unique Selling Proposition based positioning.

Find a unique position in the market where your business is positioned as the leading influence.

Example: “No1 authority in Attraction Based Business Marketing”. Instead of constantly perusing, you’ll attract and save a fortune in advertising costs. (Page 25)

3. Target a niche market.

Your research will reveal specific targets like seniors who want more income, parents with students likely to go to University. Target one group at a time and remember there are riches in niches – parents with students can be tradesmen or doctors – your approach is likely to be different for each 4. Provide motivational reasons for buying.

Know your customers desires and provide them with BENEFITS that motivate to buy or join you.

5. Deliver captivating, information rich presentations. Change pursue to attract by: speaking at events, dinners, conferences and win new customers at virtually no cost. writing articles that cause people to search YOU out run online Groups where your prospects join you on a journey leading to a business relationship based on trust and respect.

16 The Other Half Of the Secret Is Language..

Attraction works at all levels of the business and is never exclusive to one skill, department or task – it should be universally adopted as the way to structure everything from the USP, the sales presentation, the classified advert, the business presentation to the employee/ customer newsletter, formation of the Vision, Mission, Values, Goals and Objectives. It should be built into the very thinking and fabric of your business.

In fact the first two years were hell on wheels literally – Does any of this resonate with you - no office, second hand car, 50,000 miles a year, mobile phone welded to my ear, one bed flat in London, hotels around the country but, we won an enormous amount of business and built a firm foundation.

MITIE stands for Management Incentive Through Investment Equity – over 69 millionaires were created by the time I retired

The Secret of Making People Like You – Tell them a Story.

in 2003. Now, with over 61,000 employees, an order book of £2.1bn and a sound reputation for innovation, the future seems bright.

23 years ago, I was lucky to be in the right place at the right time and made a decision that changed my life for ever.

I met with three men, at that time they were my competitors: I listened while they revealed plans to become the leading building services Company in UK. Their story was so compelling I resigned my position as MD of a highly successful National Cleaning and Maintenance Company, took out a massive loan to add to an already huge mortgage, took a drop in salary and sacrificed any life outside of work for the next 13 years and became a founding member of one of the greatest UK business success stories.

I knew working for someone else would never realize true wealth: that making my boss rich whilst having no opportunity to share in the success of a business was not in my script and that if I was to reap reward from my talents and efforts, I needed to be in on the equity. At last I was.

Three months in, we ran out of money and 5 of the best salespeople in the industry had to go. Having attracted them away from other Companies, 4 were personal friends, I realized this was not going to be and easy ride.

Breaking into the top end of our market was difficult – competitors were entrenched, customers skeptical of our capabilities and we were stretched way beyond the limit most of the time. We felt we were taking two steps forward and three back.

Meanwhile, we’d gone public and the City were taking notice of our performance – 30% growth year on year revenue, profit before tax and earnings per share were enough to secure a platform to ratchet up the Group development and bring in Institutional Investors.

Exciting as it was to see our business grow, the real challenge was to confront us when we ran out of people we knew to recruit.

However, there was no similar structure or ethos in any of our competitors, so were able to select the very best teams in all the trades and industries we now worked.

And that unique ethos was to prove critical as more services were added – now we had a contracting arm – design and installation of electrical/mechanical plant: building refurbishment: property maintenance and a services division providing cleaning, security, catering, M&E maintenance and waste management.

17 Attraction Based Business Marketing continued...

MITIE stands for Management Incentive Through Investment Equity – over 69 millionaires were created by the time I retired in 2003. Now, with over 61,000 employees, an order book of £2.1bn and a sound reputation for innovation, the future seems bright.

It’s a great story and one I desperately wanted to share with others in a book started 15 years ago. Since then I’ve researched over 200 Companies, worked closely with 5 Corporations across the World and finally found the secret that MITIE and all Good to Great Companies have buried deep in their culture.

This manual is the result and the carefully crafted content has already helped hundreds of business owners transform their thinking, help complete a comprehensive business makeover and have their competition weeping with envy.

I also uncovered a very effective way to help you make your business attractive…

Tell a story – and this is how to do it.

The “Origins Journey” Tells of the owner or originators journey similar to mine above – this helps position you and become an authority. (Page 89) “Case Studies and Testimonials” (Page 75) Your “Elevator Pitch”.

(Page 26) Story telling works well in the Attraction idiom I have created.

How a New Discovery Made a Plain Business Irresistible.

Positioning for Influence and the language of attraction can be achieved partially through this powerful communication – this is how to structure your story.

This style of story focuses on your product or service and assumes there was a time when it did not exist.

Stage 1 - The Ordinary World – as it was.

Tell about life before _______________

The Power Of Story Telling Story telling is so powerful because it allows the writer to join their personal values to those of the readers and bring the reader into the story at a level where they are actually the star of the story. To do this you simply talk about what the reader wants to achieve in your story.

The art and science was discovered by Joseph Campbell and related in his wonderful book The Power Of Myth There are four places you can use a story for impact and to attract.

“The Heros Journey” We can adapt his findings to suit our general business stories.

Stage 2 - The Problem What was it like to___________________ Why did you buy or use_______________ What was it like to ___________________ How did that make you feel____________ Stage 3 – The inciting event What made you finally say enough is enough and get serious about doing something about this?

Stage 4 – Crossing The Threshold The very first thing that was tried.

18 Attraction Based Business Marketing continued...

Stage 5 – Trials and Tribulations The problems that were encounter with x – y – z?

What other options were tried that didn’t work out The problems that were encountered on the quest for_____ Stage 6 – Two steps forward – three steps back Did you ever think of giving up?

Stage 7 – Escalating Stakes

If you follow the template, your stories will flow and create massive attraction.

But there’s more you can do…

Take the first step to creating Attraction in your business – A Health Check!

Whether you’re starting out or well established, a simple health check will help you focus on key areas to develop in your business attraction strategy.

The BIG Question is... does your business have a coordinated strategy for internal and external communications that attracts? o

What gave you the courage to keep looking to keep trying

o

Stage 8 – The Inner most Cave o Describe the lowest point on your journey to finding________?

At what point did________enter the picture?

o

Stage 9 – Death and Rebirth

o

What happened when you tried it or introduced it

o

Stage 10 – The Final Ordeal

o

How long did it take to eradicate the problem?

Stage 11 – The Journey Home

o o o

How is you life different now How does it feel to be able to _______ instead of having to ______________ Stage 12 – Sharing the boon What did people say when they first saw you doing__________ Have you helped others get involved/ solve their problem

Can you honestly say you’ve established yourself as an authority in your industry or profession?

Do you constantly market to niche markets with motivational reasons for buying?

Do your Vision, Mission and Value statements attract stakeholders and customers?

Does your Business Goal spell out what the business is to achieve in the next year in clear and attractive language?

Do your objectives build confidence and lead the internal team towards achieving your Business Goal in clear attractive language.

Is your USP so powerful it eliminates all competition?

Is you Elevator Pitch so compelling, it drives people to ask “tell me more” Do your adverts gain new prospects every day.

Does you PR have the same attractive message as your USP? Are your presentations or proposals so attractive, captivating and full of information rich content that customers come to you?

If the answer to any of the above is no, the formula to use is…

A = A+I+D+C+A. Attraction = Attention+Interest+Desire+Convince+Action

19 Attraction Based Business Marketing continued...

Attention.

Do you make these mistakes when attracting new customers?

The first thing you must do in ANY communication is grab your targets attention – immediately! Compile a Headline as your attention grabber.

Don’t waste words on your Company name or explaining what you mean. The only thing a reader or listener is interested in is “what’s in it for me? So tell them – use the headline to make a statement that will engage the reader and show them what you have to offer. Do this and they will soon know your name. “(When you see the headline introducing this paragraph, do you immediately ask yourself “What mistakes is he talking about? What if they are costing me and my business money?”

This headline is easy to change and use almost anywhere in your business. Can you think of where to use a similar version?)”

Interest.

Are you ashamed of the communication messages in your business?

Benefits “what’s in it for me” are all anyone is interested in – not you, not your business or your product/service so once you have their attention, develop interest by stating the benefits – not the features.

Instead of stating the Feature i.e. use A.I.D.C.A. in your business – Explain the benefits…

Example “a simple formula that drives your business to greater profits, attracts more new customers, have existing customers spend more and stay with you longer because every single part of your business is vibrant and attractive”

Desire.

Can you spot these needs in your customers?

The only way to create this is to meet your prospects exactly where they are. Link your product benefit to a life style benefit and you’ll arouse desire.

Do you possess the product or information that will make them taller; thinner; sexier; happier; popular; rich; successful; safer; appear younger or feel better in some way? Then you must clearly communicate the LIFE STYLE benefits of what you are offering to them, or you have wasted an amazing opportunity. You’ve missed that hidden PROFIT. The more you know in advance about your target audience the more successful you will become at reaching their emotions and you will be just a moment away from sealing the deal.

Example. “ you’re about to discover how to present your business in a convincing and attractive manner and become a market leader, never to worry about your future growth or wealth again because it will be assured and you’ll be rich”.

Convince Suppose this happens in your communications People are skeptical, so you must next convince.

Here many marketers are too lazy. You must use customer testimonials (use the story format), test results, newspaper comment, statistics, examples... and clear, worthwhile guarantees.

The order you use this formula is not important but generally, desire and convince can be interchanged or used in the same sentence.

Example “ If you find anything that even approaches xxx for content or price, not only will we…. “

20 Attraction Based Business Marketing continued...

Action.

Case Study

Who else wants new customers by the thousands?

My USP for Astley Bryden Associates…

Your audience is paying full attention, they like what you can do for them and they desire whatever it is you are offering. Now tell them exactly what they must do to get it from you.

Make it easy. You don’t want to tire them with lengthy forms or dampen their enthusiasm by dragging them through unnecessary pages on your website just to purchase a product.

Don’t risk losing them. If you give them reason to put off taking action to another time when they hope to be less busy, they will never get around to it. Armed with the information you have given them, they will get a similar offer from a competitor just because they made the purchasing procedure easier.

Don’t forget to re-assure your prospect of your commitment to service; what they can expect if they are not satisfied and how important their confidentiality is to you.

Answer their questions before they ask. Put yourself in their shoes. You would like to know how long it will take for a response to your request or to deliver the goods. In fact, make sure that you have considered delivery of goods and services from every angle before advertising. Have everything in place to fulfill your promises.

The action you may suggest does not have to be 'place an order' – it could be 'join our newsletter', 'become a member' or 'take a Health Check'!

Example! “Take the next step to creating Attraction in your business - Health Check!”

Leading World-Class Business Growth Specialists!

Test against the attraction Formula…

Attraction Leading – suggests the most important – also suggests we are leaders of people.

Interest World-Class – Ranking among the foremost in the world; of an international standard of excellence; of the highest order.

Business – places us firmly with our target market – entrepreneurs and leaders.

Desire Growth - An increase, as in size, number, value, or strength; extension or expansion Convince Specialists - a person who specializes in or devotes himself to a particular area of activity, field of research – in this case business growth Action – Not built into the statement leaving us free to direct our customers or prospects to whatever actions are appropriate.

My Positioning.

No 1 Authority on Attraction Based Business Marketing We have created a position in the market that only we can fill and we are the authority. We researched many successful businesses and learned what was different. The result was clear.

They have learned to attract rather then pursue.

So we place ourselves as the authority and attract attention when we deliver our USP and Elevator pitch.

21 Attraction Based Business Marketing continued...

Background to Attraction Based Business Marketing and how this can work for you.

How a simple mistake turned me into a Law of Attraction ambassador.

“I picked up a book in 1974 that changed my view on life purpose and helped answer three questions.”

• • •

What is the Law of attraction?

What part does it play on our lives?

Why is it so important in business?

The Law states: I attract to myself, whatever I give my focus, attention, or energy to; whether wanted or unwanted. If you think about being broke, poor, lonely and believe your thoughts guess what? That is exactly what you'll be. This Law applies to your life and every other person's life on the planet. Like all laws, it is impartial and impersonal, which means it works when you want it to and when you don't want it to. Everything comes to us through the most elemental law of physics - Like Attracts Like!

Like Attracts Like is nothing more than the Law of Attraction. It is absolute and has nothing to do with your personality, your religious beliefs, being a "good" or a "bad" person or anything else. No one lives beyond this Law. It is an unquestionable law of the universe.

How did I find out it’s presence?

“Now at first, I didn't want to believe it. It was my circumstances that had brought me to where I was. I couldn't possibly be responsible.

Those circumstances were none other than a failed business venture that brought me to the brink of bankruptcy at the age of 25.

Then I read in James Allen's - As A Man Thinketh,” Circumstance does not make the man; it reveals him to himself. “Imagine starting to believe in yourself and your infinite possibilities.

Imagine believing you deserve everything you want out of life. Imagine getting everything you want out of life. Once you apply the Law of Attraction everything is possible”.

“Then I came across Napoleon Hill’s - Think Act and Grow Rich, the author explains that” the philosophy taught in the book can be used to help individuals do or be almost anything they want in this world.” The text of Think and Grow Rich is founded on Hill's earlier work The Law of Success, the result of more than twenty years of research based on Hill's close association with a large number of individuals who achieved great wealth during their lifetimes.

Later came The Secret.

“The Secret, “described as a self-help film (and later a book), uses a documentary format to present the Law of Attraction. As described in the film, the "Law of Attraction" principle posits that feelings and thoughts can attract events, from the workings of the cosmos to interactions among individuals in their physical, emotional, and professional affairs. The film also suggests that there has been a strong tendency by those in positions of power to keep this central principle hidden from the public.

“But what convinced me that all this was not hocus pocus was those who appeared in the film and the book.

Something told me here was a phenomenon more powerful than I’d so far understood and that I might not be able to fully grasp how, but thinking over my life, I began to see where it had touched my outcomes driven largely by my thoughts.

For example, I decided at the age of 21, I would be a Managing Director of a Company. I had no idea in what business or profession (I had studied to become an electrical engineer and was unsure whether this would allow me to reach my goal) I went on to achieve the goal and brought myself to the verge of bankruptcy after a business venture failed but never looked back once over that hurdle.

The amazing thing looking back was the power that one decision had over my life – I never applied for an MD ‘s position but spent the rest of my working life as either that or CEO. So the Law of Attraction does work for me at least and that was why I started to search for the reasons why some business succeed and others don’t.”

22 3. Setting Guiding Principles That Constantly Drive Your Business To Greater Success The New Modern Way To Run A Business Background.

Guiding principles; Vision, Mission and Value statements; Strategies; Goals and Objectives; USP and Elevator Pitch are essential to your business because they explain everything about the business and it’s direction. They guide you along the path to success and help you get back on track as time moves on. We’ll deal with each group separately but remember to use the Attraction Formula.

Vision, Mission and Value statements.

Vision Where the business is aiming (Vision) – what the business will do (Mission) and how it will do it (Values) Your vision should project a compelling story about the future. When Steve Jobs said, “An Apple on every desk,” well there wasn’t then an Apple on every desk. In fact, there won’t ever be an Apple on every desk. That’s OK. The vision can be figurative, rather than literal.

The mission explains why the organization exists – it describes its contribution to society and the value it creates for its customers. To say it more poetically: The mission explains the purpose of the organization and it captures its soul – the mission of an organization is its most fundamental reason for being.

Values describe what you and or your management team really care about. What you hold dear. What makes you tick and how you will behave.

Relationship between Life Purpose and Vision statements Your life purpose will surely drive the vision for a business but may only be a part of it.

Example of Life Purpose statement.

To bring joy, happiness and love to the lives of my family, friends and acquaintances by sharing the huge amount of knowledge and skills I have accumulated.

Vision Statement for a business run by the owner above.

To be the World's leading business growth Company most admired for it's Associates, partnerships and performance and creating unmatched customer loyalty.

We bring this vision to life through the power of our unique program and our outstanding people... working together... everywhere.

Overview of a vision statement Your Vision is what you want to become – Your Vision doesn’t predict the future – it creates it.

If used well, your Vision promotes change in the desired direction.

To be effective – your Vision must be imaginable, desirable, feasible, focused, flexible, communicable and challenging If your systems, structures, everybody’s daily behaviors, etc., are not truly aligned with your Vision, you are not using one of the most effective leadership tools you have to align, to control, and to motivate your entire workforce: your Vision.

Mission: To develop your mission statement, look beyond the obvious things such as salary and benefits and ask yourself "Why do I work?" "What greater purpose do I serve?" That will help you determine your purpose-or mission. An example is, "To get satisfaction from helping young children experience success."

23

23 Guiding Principles continued...

Values: You may also want to put your core values down on paper. These values describe the beliefs that guide every action you take.

Some examples could be: Treat all people with respect. Act with honesty and integrity.

Write your mission, vision and values into your workbook because they will help achieve your dreams.

Set your Financial Goals for the coming year and create the objectives to achieve them.

This part of the process requires you to set your financial goal for the coming year and compile to objectives you’ll use the meet them.

Step 1. Set your goals and enter into your Business Growth Workbook Section 3 Step 2. Using the 5 techniques you selected and entered in your Workbook, turn them into SMART objectives and enter to your Workbook.

Choosing Strategies.

Complete the checklist questionnaire...

Note on creating SMART objectives from Techniques. SMART stands for:-

This process will reveal the most likely strategy to suit your business growth goals along with the techniques and tactics to employ. !"#$%&%$'

Ticks in boxes 1 -8 suggest you need to work on Pillars of Growth.

Ticks in boxes 9-24 suggest you need to work on Business Resource Strategy

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Ticks in boxes 25-37 suggest you need to work on New customer Strategy Ticks in boxes 38-47 suggest you need to work on Customer Spending Strategy

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Ticks in boxes 48-56 suggest you need to work on Customer Retention Strategy There are no right or wrong answers – each NO tick is a hidden profit source but you will need to prioritise the top 5 and enter them into your Workbook ready for the next stage.

Arrange your Free Consultation to confirm the strategies and techniques to use in building your growth plan

To convert techniques into SMART objective is simple

24 Guiding Principles continued...

To convert techniques into SMART objective is simple –

Objective 1: To achieve New Marketing

Example: Number 33 from Checklist.

We will introduce and test 10 new marketing techniques during the year and those that meet the criteria for success of at least 20 responses per test, will be woven into the business by June 2013

“Collect and use customer Testimonials”.

Convert this to a SMART objective to meet your business growth Goal Set up a process to collect 50 testimonials from top 100 most profitable customers by 31st June 20xx stating the benefits they enjoy most about our product. Convert these to case studies for use on the website, in promotional material and Youtube.

Review the whole process and include the Law of Attraction.

Example Annual Business Goal (designed to communicate and attract and using the law of attraction formula).

“Our net profit will double by Dec 2013 from £x to £x because of our commitment to:1 - New Marketing techniques.

2 - Excellent customer service.

3 - Introduce a customer referral system.

4 - Our continued product improvement Mastered.

5 - Training for all our operatives in the coming year.

Our customers will be delighted and will enjoy a number of special offers and events throughout the year.”

There follows an example of the objectives applying to the Goal. Assuming the business is using a strategy to sell existing product to existing markets, turning this goal into SMART objectives will be how the business growth plan is formed.

Techniques.

Our investors will benefit from increased profits and diversification of our marketing effort.

This will contribute £25,000 profit by Dec 2013

Objective 2: To achieve Excellent Customer Service.

Capture new leads from the website and track them through to becoming customers.

- Enter all current customers and record their purchases.

- Use the AutoResponder to contact each customer on a monthly basis with a Newsletter and special offers.

- Create Campaigns for the testing of Marketing techniques.

The benefit to our customers will be - Great offers at great prices The benefit to our investors will be - Increase profits - We will be able to cross market with increased regularity This will generate an extra £20,000 in new sales and campaigns.

25 Attraction Based Business Marketing continued...

Objective 3: To achieve Referral System.

Objective 6: To achieve training operatives.

Introduce a referral system throughout the organization by June 2013

All our operatives will be trained in the following skills.

- First Aid - Health and Safety COSHH regulations - New product development features and benefits to our customers.

Benefits to our employees - Job satisfaction - Job security

The benefit to our investors/business - increased customer base at no increase in overhead.

It will achieve the following results - 500 referral leads that generate £50,000 new business in the year ending 2013.

Objective 4: To achieve Product Improvement We will use our team of engineers to develop 2 new improvements to our xxx product and launch them in June 2013 and December 2013.

The benefit to our customer will be: - Peace of mind.

- More leisure time Benefit to investors/business - Product becomes even more unique and attractive.

These improvements will generate increased sales of £30,000

Objective 5: To achieve Special Events and Offers Hold an exclusive, Customer Only Invitation event with a special introductory offer to the improved product in June 2013 and December 2013.

The benefit to our customer will be:- Big saving over new customer prices.

Target 250 customers to attend generating sales of £20,000

Clearly, this business is able to use their Goal and Objective statements to attract and satisfy both stakeholders and customers by creating harmony and confidence.

Whilst these statements and guiding principles are important, arguably the most important public statement you’ll make is the Unique Selling Proposition, an exciting, essential element of attraction. We present our findings next.

Create Your USP and Elevator Pitch Guiding principles and business goals are not always the face a business presents to customers but a Unique Selling Proposition certainly is.

It must be carefully crafted to attract customers but it has a more vital role. It is the launch pad for your advertising and communications strategy.

How to Create a World Class Unique Selling Proposition.

Clearly the Law Of Business Attraction plays a major part in determining a USP. So the first task is write down all the customers desires - not the needs, the desires.

26 Guiding Principles continued...

Check List • The statement must contain at least one benefit.

• The proposition must be one that the competition cannot or does not offer.

• It must also be so strong it will move people to buy your product or service without question.

• The differential cannot be trivial and it must be important to the reader.

• Try it on anyone – if they say “who cares” it’s not a USP • If they ask “How do you do that” or “Tell me more” it is.

• It doesn’t just compete (we’re the best) it eliminates (we’re the only).

• Does it answer the question “Why should I do business with you?”

Example.

The USP is as a bedrock for communications From this statement can flow all sales copy, presentations and written communications – it can be the foundation of your campaigns, packaging, offers and special promotions.

Take time to write it – it is so important.

Here are some of the better known USP’s that drive household names.

Staples gets attention with, "Yeah, we've got that."

"You get fresh, hot pizza delivered to your door in 30 minutes or less -- or it's free." Domino's Pizza Writing Your Elevator Pitch.

There are many ways to write a USP but only one objective.

Have the target audience ask to know more…

“M&M’s melt in your mouth not your hand” Once M&M established this claim as their USP, the competition could not state they did the same, "You get fresh, hot pizza delivered to your door in 30 minutes or less -- or it's free." Domino's Pizza Domino were very clever here because they wiped out the opposition completely as we suggested earlier but there is a downside. The cost to deliver this promise was high to start with because extra delivery drivers had to stand around waiting for orders.

Here is the simplest, most effective and easiest way to compile your statement.

Elevator Pitch 60 secs - split into 4 x 15 secs slots - Tell a story - Human interest Humane, Empathy – use a condensed version of your Origins Journey.

- Your solution - the product or service - How you are different - What the business will do or a call to action Example

We firmly believe that business owners and leaders are unsung heroes battling through red tape, searching out new customers and markets, fighting banks for financial support and doing it, in the main ON THIER OWN.

The proposition from FedEx was also demanding on logistics but they pulled it off eventually.

It can be a lonely place.

But that has changed recently.

Now everyone in business can use the most modern, proven methods to grow their business without attending

"When it absolutely, positively has to get there overnight".

Warning!

Make your USP and your proposition beyond the reach of your competitor but make sure you can deliver.

courses, meetings, seminars, tele-conference calls, webinars or expensive conferences.

Created by Astley Bryden Associates through our leading business growth specialists who all run their own independent businesses, this unique program can benefit any size and type of enterprise and spur them to meet their growth goals year on year.

To find out more....( tailor the end to the situation)

27 4. Optimse Your Sales Process And Create A Product or Sevice Profile Create the Sales Process

The sales process is a systematic and logical progression through a series of defined steps that are reasonably expected to result in the completion of a sale (we believe that 8 steps define the process although these differ slightly between B2B and B2C). The ultimate goal of any sales process is to secure new business for the company while establishing rapport with the client that may prove useful at some future point in time. While sales processes may vary from one situation to another, just about every model for this type of procedure will include a few basic elements.

The most important statistic and a fundamental blockage in most sales processes is the recognition that 80% of sales are made on the fifth to twelfth contact. See table on page 37. "#$#%&'#!(#&)*! +,&(-./!0#&)*!

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Generating leads.

The beginning of the sales process is usually considered to be the sales lead. The basic lead is simply general contact information that the salesperson can use as a basis for investigating the potential for making contact and possibly generating interest in the products and services offered by a business.

Leads may be obtained in any number of ways, including the purchase of direct mail and email addresses, organizational listings of businesses and other entities, and even picking up business cards at a convention.

There are over 130 marketing channels so never a shortage of opportunities to create leads.

If you are marketing online or use your website to create leads, they should be collected into a CRM system with an auto-responder

28 Optimise the Sales Process continued...

How to do it Identify Mr. Prospect The first step in finding the ideal prospect is defining who that mythical person might be. If you’ve been selling the same products for a while, you probably have an idea of what to look for based on your successful sales in the past – all you need to do is sit down with a pen and a piece of paper and write down a list of those desirable qualities. If you’re new to sales or to the particular product you’re trying to sell, you may need to talk with some of your colleagues. That might include other salespeople, your sales manager, and even people in other departments such as customer service or marketing.

Choose a Strategy Let’s say you’ve done the above exercise and determined that your ideal client is married, in his mid-thirties, has an annual income of £50,000 or more, owns his own home, and has an executive-level job. Now you can start thinking about where you would find such a person. The usual rule with lead generation, as with most aspects of sales, is that you either need to invest lots of time or lots of money to do it well.

Investing Time If you decide to invest time in getting leads, that means research.

- For the above example of the perfect prospect, you can start by identifying the most affluent neighborhoods in your area.

- Then you can prepare a sales letter and mail or hand-deliver it to those locations.

Or you can simply try going door-to-door.

- If online sales are your forte, you can identify websites where your prospects might hang out, like the local homeowner’s association website, and buy ad space or post your information on the site.

- Another option is to become a member of organizations where your prospects can be found... local churches, chambers of commerce, the yacht club, the high-priced gym, etc.

- That gives you the opportunity to meet and greet prospects in an informal setting.

Just be careful not to get too pushy or your tactics will backfire.

Investing Money If you’d prefer to invest money to find leads, you can buy existing lead lists.

- Be careful to work with a reputable list broker, such as Dun and Bradstreet or Yell – otherwise you may find you’ve just wasted your money.

- You can also try buying leads directly from the source, such as a magazine that your prospects are likely to read.

- Finally, you can buy ad space in those magazines to get prospects to come to you.

Qualify leads The next step in the sales process involves the conversion of a lead into a prospect. This is accomplished when two events take place.

- First, the salesperson determines that the lead is a viable candidate to purchase the products offered.

- Second, the lead is contacted and expresses an interest in learning more about the goods and services offered.

- Once interest is established, the salesperson begins to establish rapport with the prospect and looks for ways to increase interest in making a purchase.

29 Optimise the Sales Process continued...

- Cultivating this interest leads to identification of a need. At this point in the sales process, the salesperson is providing the prospect with specific applications for the products that are sure to result in a cost and/or time savings for the potential customer.

- Here the salesperson is learning more about the culture and business model of the prospect and relating those functions to the products for sale in such a way that they become increasingly attractive to the prospect.

- However, not everyone on Earth will be a prospect for your product or service. If you're pitching to people who truly don't need or can't buy what you have to sell, you're wasting your time. So take a few minutes to qualify your leads before launching into a full-bore sales presentation.

How to do it Are they the decision maker?

Is the person you're talking to authorized to buy from you.

- In B2B sales you may need to seek out a purchasing person, the department head, the office manager, or even the company owner.

- In B2C your prospect may need or want to share the decision with a spouse, parent or significant other.

What Do They Have?

Find out what the prospect already owns that's in the same category as your products, and get as much detail as possible.

- If you're selling cellphones, don't just ask if the customer already has a phone... ask questions like...

• “How long ago did you buy it?

• What model and manufacturer is it?

• Do you have other mobile devices (e.g. laptop, iPad)?

• Do you have a land-line phone as well?”

How Do They Feel About Their Current Product?

Dig for what their likes and dislikes are about it.

For the cellphone example, you would ask questions like, - What features do you use a lot?

- What features do you never use?

- Is the phone bigger or smaller than you'd like?

- How about the size of the keys (for nontouchscreen phones)?

- How's the reception from your home, work, etc.?”

Are They Able to Switch?

They may not be able to buy right now.

Most often that's a budget issue – they simply can't afford to buy right now.

Other times, it'll be something like a contract that hasn't expired yet or a key person who's out of town on vacation. ask a few time-qualifying questions like, - How soon would you want to put this in place?

- If I show you how you can save money/save time/improve yourself/etc., would you be ready to buy today?”

Is Your Product Really Better Than What They Have?

Sometimes the prospect already has something in place that works great for them, and buying your product really wouldn't benefit them. In that case, don't try to fast-talk or pressure them into buying from you. It's much better to confess, - Mr. Prospect, I think that your current setup is just fine for you right now. The prospect will appreciate your honesty and you'll have a great chance of making the sale later on, when their situation changes (e.g. their product breaks down or their current provider hikes the fees way up).

30 Optimise the Sales Process continued...

Presentation and Proposals According to psychologists, when most people are asked to rank their fears they put “fear of public speaking” above “fear of death.” In other words, if they're attending a funeral they'd rather be in the casket than giving the eulogy!

Whether your presentation is to a prospective customer, the local Chamber of Commerce, or your CEO – you need to plan ahead and know what you're going to do. Just having a game plan and doing a little rehearsing beforehand will make your presentation easier. Here are a few other tips to help you get the most from your presentations.

How to do it Structure is vital. Here is the most successful presentation format we have used and developed.

- Story – Start with interesting relevant and current story – the attention grabber.

- Introduce people involved in your presentation and thank client for the opportunity.

- Tell them what you’re going to tell them – The Agenda - Tell them how and how long – video, powerpoint, handouts – any admin matters.

- Tell them – the presentation proper.

- Tell them what you told them – go over the agenda again but this time pick out one or two major benefits you have over competition.

- Summarise the benefits to the customer if you win.

- Take Questions and answers Do Your Research Know what your audience is looking for, and tailor your presentation to fit. Not only will this interest your audience, it will add to your credibility if they know you've done your homework.

Look Professional If you want your audience to take you seriously, you need to look serious. When in doubt, wear a suit. If the occasion is more casual, at least make sure you look pulled together – not sloppy.

Get There Early Plan your arrival so you'll be on time, allowing for possible delays such as traffic and road works.

Few things give a worse first impression than making your audience wait for you.

Build Rapport Find out who exactly will be at the meeting, and try to collect personal information about the major decision makers. The Internet makes this fairly simple. Don't just Google these folks; check out Facebook, LinkedIn, Twitter, etc. for more information. Knowing the CEO loves fly fishing gives you a great conversation point.

Stand Up Whilst it is usual and mostly advisable to do your presentation while standing – it helps your energy level – there are occasions that sitting down eye to eye is better. Make that decision early in the planning to avoid confusion.

Check Your Volume If you're speaking to a large room, confirm that everyone can hear you before you launch into your pitch.

Content Give Benefit Statements with facts.

- Don't just say “If you buy my product, you'll save money.” Instead, say “Customers who use the LL4 model save an average of £1200 per year.”

31 Optimise the Sales Process continued...

Bring Case Studies / Testimonials Find an example of someone who did exactly what you're proposing, and tell their story. If you can't find anything that exactly matches, at least bring some testimonials from satisfied customers.

Illustrate Your Point Have something for your audience to look at – photos, graphs, slides, whatever.

Brochures work well because you can leave them with your audience as a reminder of your presentation.

Ask for Feedback When you finish discussing an important point, pause and ask if your audience has any questions. By inviting a response, you draw them into the presentation and get them thinking.

Speak to Individuals Try to learn as many people's names as possible ahead of time. Then when someone speaks up, address them by name when you answer.

Listen for Clues If someone mentions that they've had a particular problem, stress how your proposal can help solve their problem. If your audience is kind enough to tell you their hot buttons, don't waste the information!

Watch Body Language If your audience is leaning forward in their seats and nodding, they like what you have to say. If they're leaning back with arms crossed, they're skeptical. Snoring is also a bad sign.

Use a Trial Close at the End This means taking your audience's temperature on what you've just presented. You can say something like, “Does this sound right?” or “So is that what you're looking for?”

Leave Time to Chat After your formal presentation is over, try to get some less formal talking time with the decision makers to help build more rapport. This might be a Q&A session, or just a chat. If you're talking to a prospective customer, you might ask for a tour of their building.

The Proposal.

This step in the sales process usually results in the presentation of a formal quote or proposal for the purchase of the products as well or instead of the presentation. This step can be very complicated or as simple as preparing a simple one-page document. Often, the prospect determines this part of the process, based on the purchasing procedures that are part of the prospect’s corporate culture. The quote or proposal is often followed with a formal contract that includes all the terms and conditions that apply to the business relationship but before the final contract is signed, there is usually the need to negotiate and handle objections.

How to do it In many organisations, the conversion rate of proposals to sales is poor because it not easy to write a winning document. We have drawn upon our experience as successful bidders in some of the largest construction, service and public sector contracts and from our studies of what the human being at the other end of the process is most likely to want.

People buy from people not proposals and you need to win both challenges.

- Firstly, the way to win any contract or bid, is know exactly what the customer is expecting from a new contract or purchase. This takes research and a great deal of work. If you come to know the customer better than your own relatives, you’ll win the bid.

32 Optimise the Sales Process continued...

Secondly, you must have a solution that not only meets requirements but demonstrates your capability to be flexible and responsive to unforeseen issues and challenges that may arise but be aware that too much padding and fluff, may cause the buyer to believe you have overpriced the solution.

What is the purpose of a sales proposal?

Apart from situations where you need to establish large amounts of technical or legal detail before you can present a final solution and price, your proposal should only be a written confirmation of what has already been agreed with the client or what is requested in a tender or ITT (invitation to tender). Indeed, sometimes a proposal isn't necessary at all: sometimes just a letter will do.

You can look on a proposal as a good way of documenting and reminding the buyer: - Of their need to change (the original problem) - How to deal with the consequences of buying - Why they should buy from you (the value compared to the cost) - Why they should buy now What should go into a sales proposal?

A sales proposal can act as a checklist in your selling process, identifying gaps in your understanding of the clients needs or in your solution. You'll need to fill those gaps before you send out your tender. For strategic proposals, we recommend organising the content around the main steps in the selling process, using: - Our understanding of your situation - Method and approach (i.e. the solution and benefits) - Associated timescales and costs - Information about the company - Terms and conditions

We'll look at each of these sections in more detail, below.

Our understanding of your situation The purpose of this section is to: - Remind the client of their original problem - Spot any gaps in your selling process - Show you understand the client and that you are in alignment with them Method and approach The purpose of this section is to show and prove how you will meet their requirement. So you need to describe - What will be delivered and how it meets the requirement - You can describe your project implementation plan, post training and support, plus any guarantees there may be - Any assumptions you have made - Why you are different and are the best value - Their input Benefits The benefits is the most important section â&#x20AC;&#x201C; it describes what you will do for the customer and why you are better than others. It can be covered in the method and approach section or can be a section in their own right that we recommend.

Associated timescales and costs In this section you should describe: - The timescales and costs associated with this project - The payback, if at all possible - The key points concerning payment terms (such as VAT, currency and expenses) Information about the company By the time you are delivering a proposal to the buyer, you should have already established you and your company's credentials with them but remember that others who have no knowledge of you may be reading the proposal so do spell out all the credentials.

33 Optimise the Sales Process continued...

Executive summary For longer proposals, you may need to include an executive summary at the front of the proposal. The purpose of this section is to: - In general terms, tell the reader what he most wants to know, or needs to be told.

- Reiterate the issues important to the buyer and state your solutions to them. One way of doing this is to use the overview sections from the main sections contained in the proposal.

Have a plan It is important to have a plan so that you can ensure your proposal is ready in time and, if more than one person is involved, the responsibilities of each member of the team.

You may wish to have a sign-off process. We suggest someone not involved in writing the proposal proof-reads the proposal, and that you have a checklist.

Create a "skeleton" document You can break your proposal down into chunks, organised around a skeleton of topic headings.

These headings can be structured to form a storyboard that will guide the buyer through your proposal. These headings can help you to be consistent and to be complete.

Writing tips Take care over the vocabulary you use. Here is some advice regarding the words you use: - Keep your vocabulary simple to aid the buyer's understanding. For example, "use" is better than "utilise".

- Use the buyer's words and phrases, where possible.

- Be consistent with the terminology you use.

- Check your document for any spelling mistakes.

- Have a clear presentation format.

As the proposal may be confirming what the buyer already knows, he is likely to scan the document. So it makes sense to help the buyer by having a clear presentation format with all the major sections labeled.

Use a pyramid style of writing The pyramid style of writingâ&#x20AC;Ś Start every section with a summary statement to encourage people to read on.

- Follow this with the supporting details that justify your summary statement.

- Have an introductory sentence before every list, table and picture, so the buyers know what they relate to.

- Use the active voice ("we will...") to avoid being ambiguous.

- Use the right tools Conclusion In summary: - Apart from situations where you need to establish large amounts of technical or legal detail before you can present a final solution and price, your proposal should only be a written confirmation of what has already been agreed with the client. Indeed, sometimes a proposal isn't necessary at all.

- Present at the right time in the buying/selling process and donâ&#x20AC;&#x2122;t make the mistake of expecting the proposal to replace closing the sale verbally.

- A well written and professionally developed proposal can win a sale and show the buyer you really understand their requirements and have a solution that meets their needs. It can also sink you competition - Remember, people buy from people not proposals so yours must be part of a total process that involves a lot of interface with the client.

- People buy for emotional reasons, but will justify their decision with rational reasons.

Make sure you win on both counts

34 Optimise the Sales Process continued...

Negotiation and handling objection.

This is one of the most important steps in the process and where a sales person (or you) demonstrates their skill. As we view this element with such importance, here is a simple method of dealing with objections.

How to do it Listen to the Objection.

- Don't jump all over the prospect as soon as he says “But what about-.”

- Give him a chance to explain exactly what's bothering him.

- Don't just tune him out, either – listen.

- You can pick up some really valuable clues from the way a prospect phrases his objection.

Say it Back to the Prospect.

- When you're absolutely sure the prospect is done talking, look thoughtful for a moment and then repeat back the gist of what he's said.

- Something like “I see, you're concerned about maintenance costs” is fine. This both shows that you were listening and gives him a chance to clarify. “Well, it's not so much the cost I'm worried about as the downtime.”

Explore the Reasoning.

- Sometimes the first objections aren't the prospect's real concern. For example, many prospect don't want to admit that they don't have enough money to buy your product, so they'll raise a host of other objections instead.

- Before you launch into answering an objection, ask a few exploratory questions, like - Is product downtime a particular issue?

- Have you had trouble with it before?”

Draw the prospect out a bit.

Answer the Objection.

- Once you understand the objection completely, you can answer it.

- When a customer raises an objection, they're actually expressing fear.

- Your task at this point is to relieve their fears.

- If you have specific examples, such as a story from an existing customer or a few statistics, by all means present them – hard facts make your response stronger.

Check Back with the Prospect.

- Take a moment to confirm that you've answered the prospect's objection fully.

Usually this is as simple as saying, - Does that make sense? or - Have I answered your concern?

Redirect the Conversation.

- Bring the prospect back into the flow of the appointment.

- If you're in the middle of your presentation when the prospect raises his objection, then once you've answered it quickly summarize what you'd been talking about before you move on.

- If you've finished your pitch, check if the prospect has any other objections, and then start closing the sale.

Negotiations may stray into the technical arena or focus on price, delivery or many of the other issues important to the customer but in our experience, handling the issues as objections is a great way to conclude a deal.

35 Optimise the Sales Process continued...

Closing the sale.

Closing is simply the completion of the business sale. At this juncture, the prospect becomes a customer of the salesperson and has authorized the creation of a vendor/client relationship. The closing includes the placement of the first order along with the acceptance of the quote or proposal, and the official signing of the contract. At this point, the salesperson has completed the sales process and passes the new client off to support personnel who oversee the order fulfillment and also work to keep the customer happy.

How to do it One of the hardest lessons for new salespeople is the importance of closing every sale. The close doesn't have to be as difficult as it seems.

If you presented the product well and responded to the prospect's objections, the close follows naturally. Here are a few specific options.

The Assumptive or Trial Close The assumptive or trial close is the most generic, and is the one you'd use if you haven't been able to fit the prospect to a more customized close. After you've made your presentation and answered the prospect's questions, you ask a question that assumes your prospect is about to buy the product. Here are a few examples: - Would you prefer red or blue?

- Our standard delivery can have this to you

by Tuesday, or will you need our rush delivery option?

- Will ten units do for a start?

- I can get you a 10% discount if you pay for a year in advance, would that work for you?

It shouldn't be too difficult to come up with a handful of similar assumptive questions that fit your product(s) or service(s).

The Time-Limit Close This is a good one to use if your prospect utters the fatal phrase “I'd like to think it over first.” Pause for a beat, then nod thoughtfully and say something like this: “I can certainly understand your wanting to think about this, but I want to let you know now that the model you'd like is a popular one and we're usually under stocked. I'd hate for you to be stuck with a model that's not as good a fit just because this one's not available tomorrow!”

Or you can mention a discount that will expire in two days, or a promotion such as a gift with purchase that's about to end. Of course, this only works if such a limitation exists – don't ever lie to a prospect!

The Custom Close If you've qualified the customer well, you've probably gathered a lot of information about their preferences (color, size, features, quality level, amount they're ready to spend, etc.). When you're ready to close, look at your notes and say something like this: - “So, you need an LCD TV that's big enough for everyone in the living room to see clearly, that costs not more than $500, and you'd prefer it in silver. Are there any other features you'd like?”

- Wait for the prospect to answer, then assuming they say 'no' smile and say...

- “Luckily our XCL 5560 is a perfect fit for you! It has all those features plus it comes with our advanced sound system, and it's yours for just £399. All I need is your signature and I'll have it delivered right to your home by the end of the week.”

Still smiling, hand over the contract and point out the signature line. Since you've already accounted for everything the prospect says they want in a TV, it's unlikely they'll back out now.

36 Optimise the Sales Process continued...

Asking for referrals.

Create a Business Profile for reaching new customers

There is no right or wrong time to ask for referrals but one thing is certain – it must be a part of the sales process as it is by far the cheapest and most successful way to prospect.

And this is why.

For you to create a seriously profitable business, you must understand your business profile from which you can adapt and improve your marketing efforts.

Studies show that a salesperson is six times more likely to close a sale to a referred lead as opposed to a cold lead. That means you can generate six times as many sales if you focus on getting referrals than if you spent that time cold calling! A huge increase in sales and, as a bonus, less cold calling to do – what more can you ask for? And if you open your eyes, you'll see opportunities for referrals all around you.

We deal with this issue in more detail later in the program.

CRM and analysis If you’ve not been converted to CRM yet and don’t have any method of recording your customer’s relationship and history with you, then the time has come to take it on board. We deal with this as part of the 8 pillars later.

Analysis is part of creating a product or service profile that tells you the average life-time spend of a customer, how much each sale costs and makes, the conversion rates through the process – all to be recorded in your CRM. Conclusion While all these elements are found in one form or another in any sales process, there is no one definitive sales process diagram that is used by all salespeople. The exact structure of a sales process is usually determined by the market sector and industry, the policies and procedures of the vendor company involved, and even to a degree any type of governmental or trade restrictions that may apply. It is also important to note that a sales process may be completed within a matter of minutes or take months, depending on the circumstances surrounding the sale.

Company A is a Website design and build company.

They employ 3 people whose job it is to make appointments for the 3 salespeople to go and sell.

On average they make 10 appointments a week.

Total 30 each week On average, 1 in 3 of these will convert to a sale of £2000 Each week therefore they bring in £20,000 sales.

That is the profile for Company A Company B. is a shop that sells furniture.

They advertise locally and spend £1000 per week on ads that bring 60 new people through their doors every week.

On average 20 of them will buy furniture valued at £500 Total of £10,000 per week in sales.

Company C is a small company selling Health and Safety training videos over the Internet. After the first year, it knows that 1 in 100 visitors to the site buy a £30.00 video. They have focused their advertising to attract 1000 potential customers every day.

They therefore sell £300 per day and they can continually improve on that performance.

In all these 3 cases we have strong businesses, not for the amount of profit they make, but because they make it using a proven system that has emerged from their market testing and they can predict what the future holds if they continue doing the same things.

37 Optimise the Sales Process continued...

Don’t give up too soon.

There is a perception that after 3 contacts a prospect is not worth pursuing. The following facts dispel that theory and should be included in your process.

So if you’re like half of all businesses and make no more than one follow-up to your prospects, you’re leaving 98% of your income on the table fro someone else to pick up.

How many cars do you buy in a lifetime? The dealer with the right profile and product when you are ready to buy is likely to get your business and you determine when you buy not them. So find ways to stay with your prospects until they are ready to buy.

People stop buying from business for a variety of reasons…

48% of sales people never follow up 25% of sales people make a second contact and stop 12% of sales people make only three contacts and stop consider this…

2% of sales are made on the first contact 3% of sales are made on the second contact 5% of sales are made on the third contact 10% of sales are made on the fourth contact.

80% of sales are made between the fifth and twelfth contact

1% die 3% move away 5% follow a recommendation 9% find better perceived quality 14% are dissatisfied 68% leave because of indifference because they don’t feel valued.

Since we’ve spent a lot of time and money finding ways to get to new prospects, we should make sure our sales process includes at least 10 contact points otherwise we may as well flush £10.00 notes away.

38 5. Become A Multi-channel Marketing Organisation The New Modern Way To Run A Business Become a multi-channel marketing organization.

What is multi-channel?

Multi-channel marketing is offering customers more than one way to buy something - for example, from a Web site as well as in retail stores. For manufacturers, multichannel marketing also includes the use of partners, sometimes known as channels, who market directly to the customer as consultants, repackagers, or retailers.

For retailers, advocates claim that, in addition to offering the customer more options, multichannel marketing allows a business more opportunities to interact with customers - each channel can help promote the other channels.

Since Web site and phone-in mail orders collect information about the customer that a retail sale may not, these channels make it possible to develop mailing lists for future promotions and branding campaigns.

A good example of a multichannel marketing is "brick, click, and flip" â&#x20AC;&#x201C; a business that offers products through retail stores, Web site, and catalogs. At least one study says that customers of multichannel companies spend 30% more than customers of one-channel companies.

The objectives of multi channel marketing.

- Acquire new customers both directly and through referrals.

- Increase the retention rate the number of customers that return next week, month or year.

- Increase the number of visits, orders or sales per week, month or year.

- Increase the average order size get people to buy higher priced items, or more of them, or through cross selling, to buy additional new products.

- Reduce the administrative costs of handling customer purchases. The web is usually much cheaper than phone or mail.

To achieve these objectives and measure their effectiveness, marketers have been experimenting with a number of new techniques. They include: - Sending emails in conjunction with catalogs - Inviting customers and prospects to visit a web site to print out a coupon that they could take to a retail outlet.

- Paying retail customers for their email address with permission to use it.

- Viral marketing whereby customers are given an easy way to (and a reward for) recommending a product to a friend.

- Putting the URL of a web site on a product inviting the purchaser to come to the site to register, get more information, and buy more.

- Providing lower prices to web purchasers than those who purchase through other channels -airlines now do this routinely.

There are many smaller businesses that could benefit too. With a little imagination and innovation, many more multi channel arrangements can be made.

- Joint venture with a business that has the same customer base but different service (plumber â&#x20AC;&#x201C; cleaner).

- Customer event â&#x20AC;&#x201C; invite customers to a special event with a promotion and introduce a JV partner who does the same in reverse.

- Join the local Chamber of Commerce and Networking organization - Get an interview with the local radio station and write a regular article for the local paper.

- Classified advert in paper directing to a webpage to capture email and names leading to a post card and email campaign.

39 Multi-channel marketing continued...

How to measure the effectiveness of multi channel marketing It is also possible to measure the effectiveness of multi channel promotions by using a spread sheet that relates the promotion to each of the five basic marketing objectives. Here are some examples.

Examples: - Gold Customer Gifts. Some catalogers have found that a free gift to their gold customers (60% of sales) increases sales by these customers by 18%. It improves their average order size, number of orders and retention rate.

- Web coupons. Retailers give 25% off on entire web orders using a web coupon.

- Viral Marketing. Sending an email to persuade your customers to become advocates by sending emails to their friends. Hotmail.com began by attaching a tag at the bottom of every free message sent out: "Get your private, free email at "http://www.hotmail.com". People who saw the message signed up for their own free e-mail service, and sent the message to their friends and associates - A major cataloger used emails with catalogs to increase sales by 18% - BA and many other Airlines now have internet only web fares to drive customers to book there.

- Amazon pioneered with one click ordering.

Customers who use it get hooked. It boosts the retention and sales rate.

- Gross sales improve dramatically with Next Best Product. GUS in the UK increased cross sales from 20% to 40% using this technique. Banks use it extensively.

Amazon is a leader in this field.

- Using Caller ID, many companies bring their customer records and next best product on to their CSR screens and web sites. Result: increased retention, orders and order size.

How to do it So what should you do? Find out what percentage of your customers are multi-channel. Quantify their annual purchases as compared to your single channel customers. They will be significantly higher. Next, develop some strategies to shift more of your single channel customers to multi channel using your analysis to support your programs.

Result: increased retention, sales and profits at little expense.

Here a few ideas of channels you may consider using in your business.

40 Multi-channel marketing continued...

Firstly, 103 traditional offline channels.

Agents/distributors Billboards Books Brochures Buses–advertise on board & on back Business cards that make an offer Buy leads in from a lead gen company Car park ticket backs Case studies Catalogues Chamber of Commerce circulars/website Charity events Cinema still or movie adverts Circle of Influence referrals system Classified ads Club & association events Clubs & associations Clubs & association publications Competition Co-promotions - any strategy with partners Create MLM/networking marketing team Customer referral scheme Customer only events Deck of postcards Demonstrate crafts/cooking etc Direct mail Directories Door to door sales Educate staff to always promote you Fax broadcasts Franchisees Free demonstrations Free samples Get interviewed for local radio/tv Hire a box at a sports ground Infomercials to play in reception/shops/etc Joint ventures Kiosks Leaflet drop Leaflet/brochure holders Leaflets handed out on street Letterheads & compliment slips List brokers Local papers Local radio Location – improve, move or multiply Market stalls Merchandising (mugs/pens/golf gear etc) National papers Networking Newsletters Notice boards Offer gift certificates

Open days Open earlier/later than competitors Open more days per week Packaging Parish/village magazine Point of sale dispensers Postcards Posters & banners Posters in windows of local businesses Preferred supplier status Press release Produce calendars Produce diaries Public speaking at other people's events Public relations Referrals Run a competition Run a free class Run customer "invite a friend" events Sales representatives Sales agents School newsletters Sell via party plan Seminars Signage - in-store Signage - outside Signage – vehicles SMS Test Messages Sponsor a weather forecast Sponsor an event, club or charity Staff referral scheme Stand in large stores Stickers/labels on customers' equipment Supermarket "local business" rack of cards Telemarketing Teleseminars Tender lists - esp. for government contracts Trade shows Trade/industry publications Trains & Subway ads TV ads Uniform signage Vending machines White papers Win a competition Window dressing Windscreen flyers (race around car-parks) Write a column for a local publication Write guest slot for other people’s newsletter Yellow Pages

41 Multi-channel marketing continued...

And 34 Online channels

Affiliate scheme (clickbank) Autoresponders Banner advertising on relevant sites Blog commenting Blogging Buy an email list to blast offer & get signups Classified ads online (e.g.Craigslist) Create a video Domain names EBay shop EBay general listings Exchange links with other relevant sites Joint venture to other people's lists Keyword research Landing pages Online forums Outsourcing websites (Guru/Elance/Odesk) Pay Per Click advertising (e.g. Adwords) Podcast Private membership forums Public community forums Promote free webinars Refer-a-friend script for subscribers/customers Register in online directories RSS feeds SEO (Search Engine Optimisation) Social networking - Facebook, LinkedIn Twitter Video sites Viral video/audio or ebook Web 2.0 site pages Web 2.0 site profiles Write articles for others newsletters Yahoo Answers But before you do anything, consider whether Market Research would help

What is Market Research?

It is like — - dipping your big toe in the ocean before jumping in; - stepping lightly on a frozen pond to see if the ice will hold your weight; - tasting a small piece of okra prior to taking a big bite; - test driving a vehicle before obtaining a new car loan; or - trying on a new pair of shoes before buying.

As an individual, doing this kind of “research” could save you all kinds of trouble, from having your feet pinched when you walk to dying of hypothermia.

Now put your business hat on. Market research could involve — - learning whether the local economy is going downhill before opening a new upscale dress shop; - doing a patent search before investing £100,000 to manufacture a new electronic game; - finding out whether shoppers are willing to pay £39.99 for your handmade stuffed bunnies before you stitch together four dozen; - calculating whether you can make a profit if it costs 75p each to make and market your greeting cards; or - asking customers whether they’d use an espresso bar if you added one to your store.

This kind of research could save your business all kinds of trouble - from spending months sewing bunnies that don’t sell - to getting sued by an outraged patent-holder.

42 Multi-channel marketing continued...

Market research is a child of the industrial age.

Once upon a time, if you wanted shoes, you went directly to a cobbler and the cobbler made a pair just for you. When you needed a barrel, the cooper assembled one for you. The cobbler didn’t have to make 3,000 pairs of shoes and worry about who would or wouldn’t buy them.

The cooper didn’t fret about whether customers would purchase his warehouse full of bushel barrels, or whether they might suddenly demand thousands of peck barrels instead. He didn’t have to, because no warehouse full of barrels existed.

Your situation is different. Even if you offer a custom-made, handcrafted product or a oneon-one service, you are in a different marketing era.

- The chances are you can’t anticipate market demand as easily as that cobbler (who could, just by strolling through the village, see who would soon be asking for a new pair of shoes).

- The chances are you can’t always discuss price one-on-one.

- The chances are you have more competitors and you market your product or service in a larger geographical area to customers who aren’t as well known to you. And with the Internet you may find your customers come from around the world.

Market research will help you know your customers and your market just as well as that cobbler did. And once you know your customers, you’ll be in the best position to meet their needs — and your own.

Taking aim at a marketing goal doesn’t always guarantee you’re going to hit the target. In short, market research is effort you take before a venture that could save you time and money.

How to do it Market research is simply a process of asking questions or finding existing information about the market, your competition, and potential customers.

You need answers to questions such as - What kind of person is most likely to buy my product?

- Are there enough of those people for me to make money?

- How can I reach those potential buyers?

- Is someone else already fulfilling my potential customers’ needs?

Once you have the answers (the data), you then process and analyze them, converting data into information. From this information, you develop a strategy (or plan) for building your company, marketing your product, or meeting whatever other marketing goal you have. You will go through 11 steps in your marketing research: - Brainstorming your marketing idea - Forming your hypothesis - Identifying the information you need - Researching secondary sources - Checking your hypothesis - Researching primary sources - Analyzing/interpreting data - Checking your hypothesis again - Making your plan - Presenting your plan - Implementing your plan The most difficult thing about market research isn’t finding or understanding the data. It’s that market research can give you an answer you don’t want to hear.

- Market research can destroy ideas. It can tell you customers think £99 is an outrageous price for a set of plastic rain gear.

- It can tell you the high street in Islington is a rotten place to put your frozen yogurt store.

- It can tell you women won’t buy a tool set just because it comes in a pink box But if you let it, market research can point you toward successful ventures even while demolishing a cherished idea. To approach research in the right spirit, you must never let knowledge discourage

43 Multi-channel marketing continued...

When should you do Market Research?

The most important question for any business is, Will someone buy my product or service? In a way, that question is more important than, Does my product work? If you can’t sell what you produce, you won’t be in business long, no matter how good your product is.

Before beginning a new business, you need to find out the answers to the following questions: - Is there a need for my product or service?

- What kind of person is most likely to buy my product or service?

- Are there enough of those people in the market area?

- How am I going to find those customers?

- Is a competitor already meeting their needs?

- If so, can I offer something the competitor can’t?

- How much are buyers willing to pay?

- Will finding those buyers cost more than the profit margin will allow?

- Is there a profit margin?

If you own a growing business, at some point you will probably want to add a new service, extend your product line, or add a department to your store. Market research can help you do it successfully and avoid costly mistakes. By introducing a new product or service without research, you could — - end up with a warehouse full of products that remain unsold; face a discouraged staff whose calls are constantly rebuffed by customers; - find yourself facing competing products you were unaware of; - drain money from your more successful operations; and - even damage your company’s reputation.

The object of market research is to help you learn what your customers want and how you should present your product. Your information should be timely and help you identify sales opportunities.

Researching the market will help you develop short- and long-term plans and help you to reduce business risks. The best entrepreneurs are risk avoiders. They identify the risk, and then they take actions to minimize its effects.

Market research is especially important for an expanding business.

A brand-new entrepreneur sometimes feels as if he or she has nothing to lose and might as well operate on guts and instinct alone. But your expanding business has plenty to lose: profits, reputation, and even its existence.

If you own an existing business, you need to know - how customers and potential customers perceive your product or service; - how that perception has changed over time; - if there is a new, untapped market for your existing products or services; - if your existing customer base is ready for a new product or service you could provide; - if your prices are in line with current needs; - if there is new technology which could enhance or destroy your business; - if the members of your target market are aging, getting younger, getting richer or poorer; and - if competitors are meeting needs you are not.

44 6. Set up A Customer Relationship Management System The New Modern Way To Run A Business Do you need it in your business?

The ultimate purpose of CRM is to increase profit. In the case of CRM this is achieved mainly by providing a better service to your customers than your competitors. CRM not only improves the service to customers though; a good CRM capability will also reduce costs, wastage, and complaints. In our view, CRM is a necessity rather than a choice.

4.0 Keep your existing customers loyal. In a recession, existing customers are gold. You want to keep them happy.

What is CRM.

Work smarter, not just harder. Finally, CRM lets your sales and customer support reps work smarter. With better information at their finger tips and best practices codified into your business policies, you can optimize service for your customers and maximize revenue.

CRM helps businesses use technology and human resources to gain insight into the behavior of customers and the value of those customers.

Here are just four ways in which CRM can boost your customer relationships and help your business grow.

1.0 Get more out of your established customers. Even when money is tight there are opportunities to sell more to some of your existing customers. The trick is to use effective techniques and offer the right merchandise at the right time, something a CRM will help you do for your business.

2.0 Identify and concentrate on your best customers. While every customer is important when business is slow, some are worth more than others. By allocating your sales efforts accordingly, you can produce more revenue per sales hour and higher average sales.

3.0 Target your customer development efforts.

Just because the economy is in a slump doesn't mean that you should stop trying to attract new customers. However, like everything else in a recession, you want to do it more efficiently.

This implies paying closer attention to lead analysis. Which leads are most likely to become customers? What are they likely to purchase?

Customer satisfaction covers a lot of ground, but basically it involves two ideas: keep your promises to customers and also meet their demonstrated needs. CRM can help you with both of these.

Features of CRM. Lead Management: Lost revenue is often a result of allowing prospects to fall through the cracks. With lead management, however, every lead is promptly routed to the right salesperson. Whatâ&#x20AC;&#x2122;s more, leads can be tracked and managed through the entire sales cycle, from initial identification to final sale.

Feedback Management: By capturing customer feedback across all channels of communication, salespeople can capture a better understanding of the needs, wants and buying patterns of their customers.

Furthermore, armed with feedback from countless touch points, a company can establish the processes required to deliver an optimum customer experience.

Order Management: When more than one department plays a part in processing an order, the margin for human error grows, as does the mound of paperwork. With order management, however, quotes are easily converted to orders, modified and saved in a single system.

45 Customer Relationship Management continued...

Territory Management: Keep your sales reps from stepping on each others’ toes with territory management, which easily creates sales territories and manages territory-based processes with workflow rules and reports.

Email Management: One surefire way to anger your customers is by failing to respond to their emails. These days, email correspondence is used to log complaints, issue requests and offer feedback.

Fortunately, email management can chronicle customer-related communications with automated tracking of customer emails. As a result, emails can be responded to in a timely fashion, and end users can establish alerts if a message has not been handled within a predetermined time frame.

Contact Management: When it comes to staying on top of your customers, Microsoft Outlook is simply not enough. That’s why most CRM solutions include a contact-management component to provide employees with a complete, 360degree view of their customers. Sales reps can view all contact and account information, as well as a customer’s purchasing history, from a central location. And reps can better manage their to-do lists by establishing alerts notifying them of upcoming tasks and events so that each customer is treated in an individual manner.

Reporting: From standard templates to heavily customized documents, CRM tools can generate detailed reports featuring contact information, opportunity pipeline information, lead-status analyses and specific customer case studies. In the end, these reports are an ideal way to organize a company’s collection of customer information and insights.

Opportunity Management and Forecasting: Opportunity management and forecasting provides a complete view of the sales and production pipeline so that businesses can accurately and quickly handle the orders they’re generating.

Marketing Campaign Analysis: How do you know if you’re getting value from the marketing campaign? CRM solutions can help monitor and analyze your advertising efforts, from trade shows to direct mail, so that every marketing pound spent is spent wisely.

Marketing Revenue Tracking: With marketing revenue tracking, a company can identify the marketing activities that generate the most sales revenue by directly linking every sales pound back to its related campaign.

Email response management: Organize email campaigns, auto-responder campaigns, follow up campaigns and introduce a new dimension to your marketing effort.

How to do it There are a number of practical issues to consider when introducing a marketing database as part of your customer relationship management (CRM) system. You will need to: - estimate the likely scale of the system - strike a balance between your requirements and your available budget - consider integration with other business systems Our recommendation You should opt for a managed CRM solution such as ZOHO where you use software that is hosted externally by an application service provider known as 'cloud computing'. ZOHO provides greater flexibility, allowing you to scale your IT requirements quickly and easily to meet the changing needs of your business.

Integrating other systems to ZOHO is simple and the set-up is easy to follow – moreover, there are many other tools within the platform that you can integrate as the business changes to a more streamlined, slick operation.

If you require more information, use our FREE consultancy program to answer your questions.

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48 7. Implement The Most Effective Recruitment, Selection And Retention Process... and introduce the most exciting career advancement package ever seen in your industry How to attract and retain the best talent - What they are looking for in a new Company.

The law of attraction clearly states that “like attracts like” so an analysis of the key drivers that pull employees toward a Company help in determining how best to prepare your process for implementation.

Recruitment of staff is and always has been a key issue for our customers and for Companies in general – when asked about the key drivers for recruiting and retaining the best talent, they offered the following observations. “Top performers nowadays are influenced more by the culture and values of their employers than financial rewards” – here is the list in descending order of importance.

• A Clear Culture and Strong Values were top of the list followed by • Training and Development, • Career enhancement opportunities.

• Diverse experience • Financial rewards • Opportunities for early responsibility The challenge How will we attract talent in the future ?

How will we develop capabilities to maintain competitiveness?

What training and development will we offer new and existing talent?

The answer.

- Be very clear about your Vision, Mission and Values.

- Offer the best training and development package in your industry.

- Be clear about how new people can grow with you.

- Offer diverse opportunities.

What are you looking for in the new recruit?

Surveys across the HR world and business leaders reveal the top eight characteristics in descending order of importance to be:1.

Intelligence 2.

Honesty 3.

Hard working 4.

Good communicator 5.

Problem solver 6.

Flexible 7.

Creative 8.

Proven experience You may choose to remove or add to suit the position but in general terms, you will not go far wrong if you use these in your process.

What are you looking for in a new Leader as opposed to an employee?

The top five characteristics to look for according to industry leaders are:1.

Good communicator 2.

Visionary and strategic skills 3.

Motivational skills 4.

Organizational skills 5.

Entrepreneurial skills 6.

Innovator 7.

Tolerance of Uncertainty Armed with this valuable insight, you can build a process for recruitment using the template below.

How to select Never select – always deselect. In other words, set your process so each decision point removes those who do not meet the criteria you have set.

This is important to avoid the ‘gut feel’ decisions that are so easily made when a bright candidate appears on paper or at the interview. You must always remain detached and influenced by the facts not emotions. This process was created in the early days of MITIE Group who now employ over 65,000 people in UK.

49 Recruitment Selection and Retention continued...

The Process

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Objective.

Select the most suitable candidate for the position of xxxxx Compile the advert content using our attraction formula and ask the right questions.

Benefits to the employee.

- Write the list of benefits you offer to an employee or associate in the form of positive statements that attract. a. State your clear culture and values b. Your training and development package c. Career enhancement opportunities d. How they will gain diverse experience e. Higher than average benefits package f. How you channel early responsibility to each team member Credibility of your company - Find words to express why your business is more trustworthy than most others.

- List your expertise.

Ask the right questions of them.

- To be included in the accompanying letter a. Why they are suitable for the position. b. Achievement they are most proud of. c. Where do they see themselves in 5 years time.

- To be included in the CV a. Demonstrate their intelligence, honesty, that they are hard working, good at communication, problem solving, flexible and creative.

Instruct on how they should respond - By email with a completed CV form and a covering letter answering your specific questions or another method.

- By snail mail - Through an agency Compile the advert including all the above and test it out against the criteria stated above. Ask others for their input or call us for our input.

(Note.1 â&#x20AC;&#x201C; the method of response is not critical but the process is).

Recruitment Selection and Retention continued...

50

De-select from the responses.

Example Advert in the education business using the criteria above.

Marketing Manager Location | £’s ann sal plus substantial bonus opportunity, pension, car allowance and healthcare.

Unlocking the Power of English We change lives by providing education, training and cultural experiences for people Worldwide. As we face increasing change and an uncertain economic climate, it remains true as ever that everything you invest in education and development will bring priceless and lifelong rewards.

In a World of almost infinite possibilities, we are focused on the right opportunities – teaching English to 10,000 students and teachers each year and supporting learning in over 50 Countries but we want to get to the next level.

You will want to work with and learn from our educational professionals who need your expertise and insight to turn their knowledge into market-leading products. As we grow, so will you and you’ll be part of the decision making team right for the word go, who’ll make strategic choices based on good information and a deep understanding of the market.

To progress, you will need to demonstrate in a covering letter, why you are suitable for the position, tell us about the achievement that makes you most proud and describe where you see yourself in 5 years time. Your CV should convince us of your intelligence and honesty and that you are hard working, good at communicating, problem solving, creative and are flexible.

If you want to play your part in helping a successful and respected education business reach it’s full potential, then visit etc etc…

Covering letter.

- If the questions you asked are not answered or are not good answers.

- Depending on the position and skills needed to perform the tasks, grammatical and spelling errors.

- Evidence they have not read or understood your advert and content.

From the CV - Evidence they do not have the basic skills you asked for and that education, attitude or social skills are lacking.

- Poorly produced with grammatical or spelling errors - Inconsistencies – dates don’t add up, contradictions.

From those remaining candidates, conduct personal interviews either by phone, in person, on Skype or other.

From a list of pre-prepared, open ended behavioral questions that relate closely to the job in hand, run through the questions and note answers.

Ask questions about their life purpose and personal values Ask questions to clarify statements in CV. Look for minor inconsistencies, errors in dates, how they can prove qualifications or achievements.

De-select from the responses.

After interview consider what issues arose from your behavioral questions and whether the answers were good enough to let the candidate through this gate.

Consider the responses to your life purpose and personal value questions and whether they converge with your own and the business values. If not, de-select If the answers to your clarification questions did not satisfy you, de-select again.

Recruitment Selection and Retention continued...

51

Prove - (Gut Feel an absolute NO NO!) Never rely on gut feel – most unprofessional recruiters make the decision to hire in the first 3 minutes of an interview and spend the rest of that meeting justifying their decisions. Don’t let that be you.

Most failures in the workplace are the fault of the recruiting manager for placing the right person in the wrong position.

Seek confirmation and backup before offering anyone a position.

- Call previous employers on the phone and ask all about the candidate – offer to do the same in reciprocation. This one element has saved us making many mistakes in the past - Always seek out written references as well for back-up and if there is no previous employer to call, this becomes essential. Again, past behavior will invariably manifest itself in the future.

Deselect once more and you’re almost there.

Test.

Finally, you have a short list and depending on the level at which the person is working – the closer to you the more important the next step – arrange a final test. This is to evaluate their desire and dedication now they have met you and know more about the Company and position. You have set a goal, you have a purpose, you have direction, you know where you are going and how you are going to get there. You are more determined than the next guy to stay the course and steadfastly reach your goals and achieve what is yours to have. Would you really take on anyone who did not share the same aspirations?

- The final test is to find one from the remaining candidates who does. Ask each to produce a statement of intent for the coming 12 months if they are successful in their application and see what comes back. This will tell you much about them in terms of what they see the future to be and how much homework they are prepared to do or have done. This, if you like, is their business plan.

De-select Appoint.

Note. The more junior posts will not need the final step but remember, everyone you take onto the payroll has a dramatic affect on profit so you must not shortcut this proven selection process if you are to attract the best of the best.

Working up the best package for the best candidate is a joy and once you’ve found an outstanding candidate, don’t be governed by the industry or profession norm. Produce an innovative package, geared only to the performance outlined in your growth plan for the coming years – a package that may well pay more than you are earning and certainly more than others in your industry.

Behavioral Interviews and Questions Definition: A behavioral interview is a job interview focused on discovering how an applicant acted in specific employment-related situations. The logic is that past performance in the workplace will predict future performance something that the old traditional interview did not achieve.

Instead of asking how people would behave, you, the interviewer will ask how they did behave. You want to know how they handled a situation, instead of what they might do in a hypothetical situation.

52 Recruitment Selection and Retention continued...

Traditional Interview vs. Behavioral Interview.

Preparation for the Potential Behavioral Interview

In a traditional interview, you ask a series of questions which typically have straight forward answers like "What are your strengths and weaknesses?" or "What major challenges and problems did you face? How did you handle them?" or "Describe a typical work week."

What's the best way to prepare? It's important to remember that the goal is to DESELECT not select. So you are looking for answers that are well structured around events and circumstances they have experienced first hand and that relate to your questions. If you have never used this technique before there are a couple of rules you should follow. First, ask the questions and shut up. This is not an easy technique to master as your natural instinct when there is a pause is to step in but you must resist the temptation. As you have guessed, this does put the candidate under extreme pressure and is likely to lead to revelations they donâ&#x20AC;&#x2122;t really want you to know about. Conversely, they may not have an answer and this will tell you more about their experience.

In a behavioral interview, you as an employer has decided what skills are needed in the person you wish to hire and will ask questions to find out if the candidate has those skills.

Instead of asking how they would behave, you will ask how they did behave. You will want to know how they handled a situation, instead of what they might do in the future.

Questions in a Behavioral Interview

During the Behavioral Interview

Behavioral interview questions will be more pointed, more probing and more specific than traditional interview questions:

During the interview you're looking for these points in their answers:

- Give an example of an occasion when you used logic to solve a problem.

- Give an example of a goal you reached and tell me how you achieved it.

- Describe a decision you made that was unpopular and how you handled implementing it.

- Have you gone above and beyond the call of duty? If so, how?

- What do you do when your schedule is interrupted? Give an example of how you handle it.

- Have you had to convince a team to work on a project they weren't thrilled about? How did you do it?

- Have you handled a difficult situation with a co-worker? How? - Tell me about how you worked effectively under pressure.

Follow-up questions will also be detailed. You may ask what they did, what they said, how they reacted or how they felt.

- A specific situation - The tasks that needed to be done - The action they took - The results i.e. what happened It's important to keep in mind that there are no right or wrong answers. You are simply trying to understand how they behaved in a given situation.

How they respond will determine if there is a fit between their skills and the position the company is seeking to fill. So, listen carefully: they must be clear and detailed when responding and, most importantly, they must be honest. If their answers aren't what you are looking for, this position may not be the best job for them anyway.

Remember, this part of the process is about deselection so just because they make a good impression at this stage does not mean they are getting the job â&#x20AC;&#x201C; simply they move to the next phase.

53 7. Cash Is King The New Modern Way To Run A Business Cash is king when it comes to the financial management of a growing company. The lag between the time you have to pay your suppliers and employees and the time you collect from your customers is the problem, and the solution is cash flow management. At its simplest, cash flow management means delaying outlays of cash as long as possible while encouraging anyone who owes you money to pay it as rapidly as possible.

Measuring Cash Flow How to do it Prepare cash flow projections for next year, next quarter and, if you're on shaky ground, next week. An accurate cash flow projection can alert you to trouble well before it strikes.

Understand that cash flow plans are not glimpses into the future. They're educated guesses that balance a number of factors, including your customers' payment histories, your own thoroughness at identifying upcoming expenditures, and your vendors' patience.

WARNING! Do not assume.

- Do not assume that receivables will continue coming in at the same rate they have recently.

- That payables can be extended as far as they have in the past - That you have included expenses such as capital improvements, loan interest and principal payments, and that you have accounted for seasonal sales fluctuations.

Start your cash flow projection by adding cash on hand at the beginning of the period with other cash to be received from various sources.

- In the process, you will wind up gathering information from salespeople, service representatives, collections, credit workers and your finance department.

- In all cases, you'll be asking the same question: How much cash in the form of customer payments, interest earnings, service fees, partial collections of bad debts, and other sources are we going to get in, and when?

The second part of making accurate cash flow projections is detailed knowledge of amounts and dates of upcoming cash outlays.

- That means not only knowing when each penny will be spent, but on what.

- Have a line item on your projection for every significant outlay o including rent, o inventory (when purchased for cash), o salaries and wages, o sales and other taxes withheld or payable, o benefits paid, o equipment purchased for cash, o professional fees, o utilities, o office supplies, o debt payments, o advertising, o vehicle and equipment maintenance and fuel, o and cash dividends.

Improving Receivables If you got paid for sales the instant you made them, you would never have a cash flow problem.

Unfortunately, that doesn't happen, but you can still improve your cash flow by managing your receivables. The basic idea is to improve the speed with which you turn materials and supplies into products, inventory into receivables, and receivables into cash.

54

Cash Is King continued...

Here are specific techniques for doing this: - Offer discounts to customers who pay their bills rapidly.

-Ask customers to make deposit payments at the time orders are taken.

- Require credit checks on all new noncash customers.

- Get rid of old, outdated inventory for whatever you can get.

- Issue invoices promptly and follow up immediately if payments are slow in coming.

- Track accounts receivable to identify and avoid slow-paying customers. Instituting a policy of cash on delivery (c.o.d.) is an alternative to refusing to do business with slow-paying customers.

Managing Payables Top-line sales growth can conceal a lot of problems - sometimes too well. When you are managing a growing company, you have to watch expenses carefully.

Don't be lulled into complacency by simply expanding sales. Any time and any place you see expenses growing faster than sales, examine costs carefully to find places to cut or control them.

Here are some more tips for using cash wisely: -Take full advantage of creditor payment terms.

If a payment is due in 30 days, don't pay it in 15 days.

- Use electronic funds transfer to make payments on the last day they are due. You will remain current with suppliers while retaining use of your funds as long as possible.

- Communicate with your suppliers so they know your financial situation. If you ever need to delay a payment, you'll need their trust and understanding.

- Carefully consider vendors' offers of discounts for earlier payments. These can amount to expensive loans to your suppliers, or they may provide you with a change to reduce overall costs. The devil is in the details.

- Don't always focus on the lowest price when choosing suppliers. Sometimes more flexible payment terms can improve your cash flow more than a bargain-basement price.

7 Point plan to Survive Shortfalls Sooner or later, you will foresee or find yourself in a situation where you lack the cash to pay your bills. This doesn't mean you're a failure as a businessperson-you're a normal entrepreneur who can't perfectly predict the future. And there are normal, everyday business practices that can help you manage the shortfall.

- The key to managing cash shortfalls is to become aware of the problem as early and as accurately as possible. Banks are wary of borrowers who have to have money today. They'd much prefer lending to you before you need it, preferably months before. When the reason you are caught short is that you failed to plan, a banker is not going to be very interested in helping you out.

- If you assume from the beginning that you will someday be short on cash, you can arrange for a line of credit at your bank. This allows you to borrow money up to a preset limit any time you need it. Since it's far easier to borrow when you don't need it, arranging a credit line before you are short is vital.

- If bankers won't help, turn next to your suppliers.

These people are more interested in keeping you going than a banker, and they probably know more about your business. You can often get extended terms from suppliers that amount to a hefty, low-cost loan just by asking. That's especially true if you've been a good customer in the past and kept them informed about your financial situation.

- Consider using factors. These are financial service businesses that can pay you today for receivables you may not otherwise be able to collect on for weeks or months. You'll receive as much as 15 percent less than you would otherwise, since factors demand a discount, but you'll eliminate the hassle of collecting and be able to fund current operations without borrowing.

Cash Is King continued...

- Ask your best customers to accelerate payments. Explain the situation and, if necessary, offer a discount of a percentage point or two off the bill. You should also go after your worst customers-those whose invoices are more than 90 days past due.

Offer them a steeper discount if they pay today.

- You may be able to raise cash by selling and leasing back assets such as machinery, equipment, computers, phone systems and even office furniture. Leasing companies may be willing to perform the transactions. It's not cheap, however, and you could lose your assets if you miss lease payments.

- Choose the bills you'll pay carefully. Don't just pay the smallest ones and let the rest slide.

Make payroll first-unpaid employees will soon be ex-employees. Pay crucial suppliers next.

Ask the rest if you can skip a payment or make a partial payment.

That brings us to the end of the 8 Pillars of Business Growth and ready to capture techniques for growth.