Canvas Magazine | Buying Digital by Conduit, Inc.

supporting print sales & Marketing Executives

March 2010

Buying

Digital Itâ&#x20AC;&#x2122;s as simple as finding someone willing to listen

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CANVAS january 2010

Buying

Digital It’s as simple as finding someone willing to listen

s the industry defends its merit in an electronic world, many print salespeople find themselves trying to connect with clients on a different level. Historically, it was a numbers game. Fill the funnel with prospects, get your name in front of them, be offered the chance to quote, and then keep your fingers crossed that you get the order. And it worked. For a long, long time, a “quote and hope” strategy was able to provide a substantial living for thousands of print sellers. There was a time when clients only knew print as print. They understood that offset lithography was how you printed brochures, annual reports, or any other type of collateral. In turn, they had a sourcing strategy that fit perfectly with the “quote and hope” sales process the reps were offering.

CANVAS

Buying Digital

The game has changed. Offset printing is declining and many commercial printers are investing in digital equipment. Sales people are starting to think in terms of an overall solution and are spending time uncovering the deeper needs of their clients. As technology has changed, so has the sales process. However, what about the buying process? Are clients aware of digital? Are clients less educated about what is available? And if they are informed, then why buy digital? Stephen Watson, VP and COO of The National WW II Museum in New Orleans, has begun to take a serious look at buying more digital printing and utilizing variable data. As he focuses his efforts on raising funds for his museum, direct mail is vital. As a non-profit that depends on war veterans and their family’s donations, a direct marketing campaign is the key component to the museum’s income. Due to the need to reach multi-generational donors, Watson must find a way to connect with multiple demographic groups. Traditional offset printing and direct mail just won’t cut it. According to Watson, “We are beginning to test these techniques and see a big opportunity in the future for VDP and the integration between channels. Cultivating new donors is extremely important for non-profits as is the ability to connect the younger generation through VDP to a family member who lived the World War II era.” As you listen to Watson speak, his desire to increase donations is a derivative of connecting with a variety of segments. The connection he creates with the younger generation will not only keep them donating, it will slowly move them up the value chain as donors. As tailor-made as Watson is as a

As the printing industry stares change in the face, a level of fear has emerged and resulted in the idea that the specific solutions demanded by clients are too sophisticated and complicated. P6

CANVAS january 2010

digital and VDP client, he is not getting the support from his printer that he needs. As print sales representatives worry about getting in front of their prospects more, Watson says that he wants the same. In fact he needs it. “There really was not a lot of conversation between me and my printer when it came to VDP. My printer does not talk to me nearly enough as I would like” stated Watson. It seems as though there is a great need for marketers to find people and develop messages that resonate. However, there is a gap between their specific needs and the printers ability to deliver both the production and the consultative remedy for variable data programs. Watson went on to say, “I understand the basics of what VDP means, but customers like us need help from the printer for the data cleansing, understanding the information from the VDP mailings, and lastly, predictive modeling.” Many customers have strong relationships with advertising agencies. However, many of the agencies are more focused on developing creative as opposed to the execution of a campaign. The

printer must fill this gap or lose the connection with the client forever. As in Watson’s case, a variable campaign is needed but the understanding and knowledge around execution and managing data is lacking. Ian Watters of Loyalty Builder in Portsmouth, NH, has utilized the digital capabilities of his printer, Uni-Graphic, while partnering with his sales representative, Bob Stuart, to develop excellent relationships with clients like Timberland and Sullivan Tire. Although, Watters is the point person and communication lead for the clients, Uni-Graphic acts as a strategic advisor for both customers. This relationship seems to be a long way from the generic “quote and hope” world of offset lithography. According to Watters, “A joint solution between the agency and the printer is the key. The team can sell a solution rather than just print and keep the customer informed about the process at all points.” He believes that the relationship works for many reasons. Understanding customers intimately is the common denominator to success. “We go to great lengths to investigate the client’s needs before we even propose putting a campaign into effect.” Once the needs are defined, Loyalty Builder and Uni-Graphic concentrate their attention on relevance. In other words, it is important to determine what type of things the end customer will respond to. As Watters underlines, “it is relevance over quality that resonates with customers.” The lesson is an interesting one in this day and age. As the printing industry stares change in the face, a level of fear has emerged

It seems that any printer that focuses their conversations on how their clients create connections rather than traditional offset print has a good chance to succeed.

and resulted in the idea that the specific solutions demanded by clients are too sophisticated and complicated. Meanwhile, the messages that bombard the print community are focused on selling marketing

CANVAS

Buying Digital

services, managing campaigns, and being

and imaging rather than the message.” He continued, “If an end cus-

a solutions consultant.

tomer gets material and sees it personalized, they are not going to no-

More and more, it becomes clear that the clients are just as confused. They are being

tice or care if the color is off. They key is whether or not the message resonates with them.”

bombarded with messages focused on ROI

In 2006, Unisource was getting ready to start a new business

or ROMI (Return on Marketing Investment),

model in Detroit with some different dynamics than their tradi-

while being held responsible for providing

tional model of distribution. They no longer had multiple sales-

immediate feedback or stats about the suc-

people to engage the print clients. In addition, they altered their

cess of their campaigns. They may know

entire offering. The challenge for the corporate marketing group

print in the traditional sense, but they need

was to connect with clients, build some sort of relationship with-

the direct feedback that a digital print cam-

out physically being in front of them, and get them to buy. The

paign can provide.

goal was explicit, but the means was unclear.

As an example of the confusion that truly

The answers of how to connect were available and the per-

exists at the client’s level, Watters recalls his

son who found a way to connect with them and offer some real

Today, buying digital is not a well defined science. What is well defined is the idea that clients need to build relationship and validate their investments more than ever. efforts to sell Timberland a VDP solution.

knowledge would win their hearts. Whether that person resided

“We have not yet been able to sell them

in a printer, an agency, or a software company made no differ-

VDP because the client could not figure

ence. The fact is that Unisource had a need for connection and

out how to manage the data and segment

they had no allegiance to who the answers came from.

the customers”. The end customers are not

The campaign was a resounding success as Unisource used a

necessarily more sophisticated than what

combination of digital printing and variable data to connect and

the printers can handle. In this case, they

ultimately sell twice as much as they did in the previous year. The

simply were unable to create relevant seg-

key component was the individual from the printing company that

ments. Any printer can partner or outsource

took the time to understand what the objectives were and how he

this capability if they just uncover the need.

could leverage his capabilities.

It seems that any printer that focuses their

Today, buying digital is not a well defined science. What is well

conversations on how their clients create

defined is the idea that clients need to build relationship and

connections rather than traditional offset

validate their investments more than ever. When explaining his

print has a good chance to succeed.

partnership with Bob Stuart, Ian Watters explains, “We developed

As Watters stated, “it is NOT about the

over arching strategies that were above board and empowered

quality of print. That is where print reps go

print. More importantly, we were more proactive in our sales ap-

wrong. They focus too much time on color

proach rather than being order takers.”

Be sure to visit HP’s Graphic Arts about the future of digital print and variable data.

CANVAS january 2010

Fast Facts

Marketing-GAP

» The study also indicates that con-

Tracking Study, conducted

sumers are more receptive to the

2009

fare as well, with only 27% of adults being happy to hear from them.

by online market research

direct marketing of products and

company fast.MAP and the UK’s Di-

services which interest them or

» Marketers are also failing to keep

rect Marketing Association (DMA),

come from trusted brands. More

up with growing consumer aware-

shows that marketers are continuing

than nine out of 10 (95%) of con-

ness of data protection; the mar-

to underestimate the percentage of

sumers “are happy to receive” in-

keting expert panel expected 57%

consumers who welcome items of direct marketing.

» Of the 1,367 panel members (whose

demographics

reflect

those of the UK), 51% expressed an interest in receiving marketing emails about companies they know. However, a panel of 300

marketers predicted that just 28%

of consumers surveyed were happy to receive printed direct mail.

formation from their favored super-

of consumers to always tick the

markets and stores through one or

‘opt-out’ box on marketing com-

» A further 38% of consumers sur-

more marketing channels and 73%

munications to prevent their data

veyed were happy to receive

are happy to receive information

from being passed to third party,

printed direct mail (marketers as-

on local restaurants. However, the

when in fact 90% of consumers

sumed only 30% would).

financial services industry didn’t

always do so.

would be happy to do so.

CMO Council Marketing Facts

f those polled, 40% said they will be dipping into their direct marketing budgets to fund SMM activity.

An increasing number of companies are diverting their direct

marketing budgets into social media, new research has revealed. According to multi-channel marketing firm Alterian, 66% of marketers will be investing in engaging consumers via social media channels over the coming 12 months. The number of search queries worldwide totaled 131 billion in December, an increase of 46% over the same month a year earlier, according to digital marketing company comScore. In related news, the recent Marketing-GAP Tracking Study found that 95% of people are happy to receive promotional material from supermarkets they shop at regularly.

P10 CANVAS january 2010

of people are happy to receive promotional material from supermarkets they shop at regularly.

You Were Raised Better Than That!

his past Holiday Season, I finally drew a line in my

• sign it with your first name only

family’s sand: if you are old enough to go to school,

• if possible, mail your card to the recipi-

feed yourself, be responsible for your personal hy-

ent’s home address

giene, and access Facebook, you’re old enough to Thanks; make it a great month and al-

say ‘thank you’.

And I don’t mean a phone call (although that would be my sec-

ways try to remind yourself that the daily

ond choice), an email, or a text message. I mean a genuine hand

implementation of the ‘Rule of One’: (one

written thank you card.

more call, one more quote letter, one more

No more IPODs, train sets, or gift cards that go unacknowl-

task, one more lap around the track, one

edged. No more of those special die cut graduation envelopes

more serving of vegetables, one more

(the ones that when the inserting is done properly feature a pic-

thank you note, up one hour earlier) can

ture of one of our Presidents) that for all you know got lost in the

make all the difference in your world.

mail. No more, no more, no more. There’s a life skills lesson to be learned here and I guess I’m going to be my family’s teacher. How about you Mr./Ms. Professional Sales Person? Are you on board here? How many ‘thank you’ cards did you send out last month? Did you get one to: • Your CSR for staying until the middle of the night to check some proofs? • Your best customer for his loyalty and friendship and business? • Your estimator who turns things around in less than a hour? • Your new customer for that first order?

Craig McConnell

• That outside supplier who ‘saved your bacon’ on a rush job?

President

• The buyer who took time out of her day to learn more about

PrintGrowPro, Inc.

why she should do business with you? • Your neighbor who watched your kids because you had a press okay? If there is an easier way to show creativity, sincerity, and humor, I don’t know what it would be. If there is a faster way to set yourself apart from the masses, I don’t know what it is (everyone can find five minutes). By the way if you take my advice and decide to make this a part of your weekly prospecting plan, here are some ‘thank you’ card pointers: • write legibly (duh!) • spell correctly (remember what a dictionary is for?) • use a quality card stock (think Crane’s) • before you write, practice writing a line several times (we don’t write much anymore)

CANVAS P11

P12 CANVAS january 2010

Winning Them Over Why providing solutions for your prospects is not enough Salesperson: “Are you having any problems with your current supplier?” Prospect: “No, not really. They are pretty good.” Salesperson: “Oh, um, OK. If you ever want a quote on something you need or if they mess up, here is my card. I would love to be your No. 2 backup loser supplier.” Pathetic, isn’t it? So why is this response being delivered by lame salespeople around your industry every day? It’s because since 1963 we have all been told that sales is about finding the pain and providing a solution. In fact, the term Solution Selling should now be lumped into the cliché category with “at the end of the day” and “it is what it is.” Not because we shouldn’t be providing solutions when selling, but because we should not ONLY be providing solutions. Let me explain. To provide a solution means there is a problem that exists for the prospect. But what if they have no problem? Does this mean you have no chance? Well it shouldn’t. You need to retrain your mind to believe that only part of your job is to provide solutions. The other part is to seek out people who are happy with what or who they use, and make them happier.

CANVAS P13

Winning Them Over

Creating an opening to sale

Prospect: Acme Medical Supply. We have been with them for a

For the last seven years I drove around my

long time.

town of Kansas City in a mildly beat up Ford Escape. I was perfectly happy. I was

PRECISE Salesperson: Have you LOOKED at any other compa-

not looking for a “solution.” It wasn’t un-

nies recently?

til a savvy car salesman approached (not on a car lot) and began the slow process

Prospect: No, we have been pretty loyal to Jim at Acme.

of learning why I liked my ride. After telling him I thought it had sufficient space

PRECISE Salesperson: That’s great. They must being doing a

to haul my kid’s sports equipment to and

lot of things right. I am curious, what do you ENJOY about doing

from practice, was pretty comfortable,

business with them?

and allowed me to blast my XM radio on my drives to and from the airport, he con-

Prospect: They seem to have good prices. The service is pretty

vinced me to test drive a vehicle that had

good. Plus, they show up every few weeks to check on us. So, I

MORE space, was MORE comfortable and

guess nothing special. It’s just who we have always used.

had BETTER speakers to blast my tunes. Here we are, just a couple weeks later, and

PRECISE Salesperson: Is there anything you would ALTER or

guess what? I am now driving around in an

change about the way they have served you?

SUV I had no intention of buying only a few

Prospect: No, not really.

weeks earlier. In short, I had no pain but the guy still got an order. And I am happy

PRECISE Salesperson: Doctor, who as well as yourself if RE-

he did it.

SPONSIBLE for deciding who you purchase supplies from?

So the next time a prospect tells you they

Prospect: Me and the office manager.

are happy, resist that feeling in your stomach that tells you that you have no chance

Now take a look at the above script again. What have you

at selling them something. Because you

learned? There is no PAIN, right? So how are you going to provide

do! Just find out the following:

a SOLUTION? Well you don’t have to! From here, you will focus your presentation on the things that the prospect ENJOYED. You just

C- Who or what they are CURRENTLY using?

have to earn the right to show him how you may be able to provide

L- Have they LOOKED at any other suppli-

better pricing, better service, and perhaps more frequent visits or

ers or products lately?

calls. Had you forgotten to ask the “E” Question, you would fall into

E- What they find EFFECTIVE or ENJOY

the trap of the average salesperson and would have either walked

about the way things are done now.

out thinking you had no chance, or would have dropped your tired

A- What they would ALTER.

story about how you can be the “one stop shop.” (Yeesh)

R- Who is RESPONSIBLE for making decisions?

An effective conversation

So this month, it’s time to create a habit that is about to turn your numbers around. It’s time to seek out happy prospects. Because the way you will blow out your numbers in 2010 is by not only pro-

The most infrequently asked question in

viding solutions to those in pain, but by creating ecstasy for those

the CLEAR questioning formula above is

who didn’t know they could have it any other way. In short:

the “E” question, but it’s often the most important. The following is an example of what this would look like in the world of

“ Don’t search for prospect’s pain, search for their happiness. Then offer them ecstasy.”

medical distribution. Because the solution to your lagging sales numbers lies in the PRECISE Salesperson: Dr. Jones, who

halls of happy customers throughout your territory. By going

are you CURRENTLY purchasing your

there, 2010 is about to become the year you became famous in

supplies from?

your industry.

Brian Sullivan is author of the book, 20 Days to the Top-How the PRECISE Selling Formula Will Make You Your Company’s Top Sales Performer in 20 Days or Less. To learn more, go to www.preciseselling.com

P14 CANVAS january 2010

Will You Own the Client? Canvas will determine who will be the winners by hosting the most relevant webinar of the year. Continuing with our commitment to continuous education, our flagship webinar, Will You Own the Client, will feature Chris Petro, President and CEO of GlobalSoft Digital Solutions and Thomas Harpointner, President and CEO of AIS Media, Inc. Following this groundbreaking event, CANVAS will provide 4 supporting webinars geared towards owning the client. We have an industry immersed in technology and equipment. However the question is not what is the latest in product innovation. The most significant question for our industry is centered on clients. Who will own the client? Will it be you?

Thursday, March 25th : 2pm - 3pm EST Go to www.thecanvasmag.com to register today!