It’s true… at least for 99% of wannabe entrepreneurs and their businesses. Customers don’t really give a s*** about you, your product or your business.

The good news? It doesn’t have to be that way and the alternative means better retention, more sales, raving fans and big profits.

Creating caring customers doesn’t have to be hard. Today I’m sharing the psychological secret that can systematically turn crowds of strangers into hordes of loving clients. Here’s how to make it happen…

Imagine building a business where your customers genuinely care about you. They care so much they open every email you send, look forward to any phone calls and act on any recommendation you make. In other words, they’re infatuated and they consider their relationship with your business a top priority.

Sound like the kind of client you want? Then you’ll need to make it happen with:

The psychological recipe

1. Sell a product that transforms people (and the way they think)
2. Require a significant commitment (i.e. make it “expensive”)
3. Turn away prospects who don’t want “transformation”

Here’s an example:

Last week I was invited to give a talk to an insurance & investment company. These are big corporate players – but the same principals apply, even for solopreneurs.

In the past, this firm has successfully sold savings products (per-week contributions) to people by picking a price point so low that no one could be bothered to say no.

Make something cheap enough and salesperson will have no trouble selling it. The prospect simply thinks:

“Thats peanuts! Whatever… I’ll do it.”

The bad news: These customers had terrible retention or “lifetime value” – they were dropping off and canceling their savings plans (as easy as just not paying) like crazy!

Why?… Because they just didn’t care. They didn’t care about the company OR what the investment they’ve signed up for.

The solution?

My job was to help the sales people at this company realise that they weren’t in the business of selling investments… They’re in the business of selling transformation.

They’re selling a transformation of the way you (the customer) think about your personal finances, savings and investment. They’re transforming consumer debt, stress and worry into security, foresight and optimism.

Second, I encouraged them to raise the price of their sales. Encouraging prospects to contribute significant dollars towards a savings plan would help the product be perceived as significant. The client would consider it as a serious investment and stick with the commitment to save.

Finally, the company had to turn away the prospects who would only contribute pocket change to their savings… They’d have to choose only to do business with people committed to transforming their finances.

What does this mean for you?

Psychology tells us that the more people care about a product, the more they’re willing to pay for it.

The most expensive consumer products are produced by companies people feel enormously passionate about.

As entrepreneurs, this is the position we need to be in. When we sell things for lots of money… we win! Better customer retention helps too.

The secret to creating customers “who care” is to sell them a transformation. To do this, we must turn away the lame prospects who don’t want to transform… they’ll end up being more trouble than they’re worth anyway.

• Blogger Johnny B. Truant does it by transforming the way people think about doing business on the internet.
• Ferrari do it, by transforming the way people think about driving from A to B (and how cool they look while in-transit).
• Micro-lending Kiva does it by transforming the way entrepreneurs think about fighting poverty.
• The best health clubs, airlines, cell phones, chiropractors and restaurants all do it.

You can do it too.

Sell transformation, have your customers make a significant investment and turn away everyone who isn’t committed.

I try to sell transformation to all of my clients, my consulting work costs more than piano lessons (but it sure is worth it). I also refuse to work with people who aren’t willing to radically shift the way they approach business.

What transformation could you offer? Let me know my leaving a comment below…

This is the final instalment in a series of articles on Sales Management – for people managing their own sales (every entrepreneur is), corporate team leaders or anyone in between.

So far, I’ve revealed an outline, covering off the essential steps: Great Beliefs, Reasons to Act, Outcome Clarity and Wilful Action.

The total acronym (for memory-ease) looks like this: GROWS

The S stands for “Skills” and it comes last because sales skills are not important.

At least, they’re the least important part of the formula.

The reasoning is simple: When you can check off the GROW part of the formula, you’ll find it easy to knock on the door, pick up the phone and/or ask for the money.

Sneaky sales skills and Jedi brainwashing techniques are only desired by folks without Great Beliefs. I’m talking about salespeople who know, deep down, that their product is shitty and their customers are suckers.

Motivational seminars and tape-sets are necessary for sales people who don’t have enough genuine “Reasons to Act”… Why should motivation be difficult?! It doesn’t have to be.

If you can master the first four steps of the formula, all that Outcome Clarity and Wilful Action will equip you with the sales skills you need.

IT architecture systems sales people (I know some read this blog) will be waving their hands in the air, screaming “What about product knowledge?!”

It’s true – knowing your product is critical. I’d like to think it’s the one “skill” that goes without saying.

Conclusion:

Master the GROW and Skills will follow.

The GROWS formula guarantees your business (or your commission check) massive growth.

If you’re a salesperson or sales manager, it’s time to put this stuff into action.

Here’s to 2010 being your best year yet.

(Click here to read the “Formula for Super Effective Sales Management” from the start)

It doesn’t matter whether you’re involved in any kind of selling or not, this fourth step in my Sales Management series is useful for everyone.

Why? Because it’s all something both you and I all need all the time.

Sales people need to it the most. For every entrepreneur, or at least the successful ones, it is the fundamental ingredient in any given day, project or business!

Read on to discover why…

Wilful Action

… is so important:

For starters, it’s the most blatantly obvious step of all. Whether you’re getting sales across the line or doing anything significant at all, Wilful Action is critical.

Duh. You already knew this.

Then why aren’t you doing it? Thing is, the most obvious step in the formula for Sales success (or indeed, “Life” success) is the step that entrepreneur wannabes ignore the most.

Here’s how they get away with it:

They convince themselves that it’s okay to stay embedded on the couch. They do this with a crazy notion they call “tomorrow”.

The idea is very seductive. Tomorrow is a magical place on the other side of the sunset, filled with boundless possibility and potential… and possibly unicorns.

Lazy folks, with ten years of habitual procrastination under the their belts, see it all happening tomorrow. Tomorrow is the place where they effortlessly launch themselves, with energy and joy, towards their goals.

So don’t worry about today.

In fact, you better rest up because tomorrow is going to be such a big one.

Time to wake up?

I’ve never met a single person who has lived a single day of tomorrow.

There is only ever today. Take that as deep and meaningful as you need to.

It is time to join the group of people who do things today.

It’s a small tribe, but it’s growing. Best part? It’s fun and it gets easier… day after day.

Do yourself a favour and make it happen… today.

PS Want more info on Wilful Action? Check out the riff I wrote (click here) in response to Seth Godin’s latest ebook.

This is the third in a series of articles that break down the exact formula you need to smash sales targets… no matter if they’re your own, or your teams goals.

If you’ve been following the series (and you should be!… subscribe here) then you’ll be aware we’re building up an acronym of steps. So far we’ve got G (Great beliefs) and R (Reasons to act).

Read on to find out (and profit from) the next step:

Today we’re all about:

Outcome Clarity

This is a really simple one and you’ve probably heard it before.

In fact, Outcome Clarity is the featured topic of everyone’s favourite personal development movie The Secret.

When you have Outcome Clarity, you know what success looks like.

It’s more than that. You’ll know what it feels, smells and sounds like!

The best sales managers know how to incentivise their teams and themselves… and they know it isn’t always as simple as offering an extra percentage or two of commission.

A real world client of mine wanted to offer a luxury car as a bonus to the top performing sales rep. My advice was simple: Take the team to the car dealership for a test drive.

Once you feel the contours of the leather seats and hear the engine purr (or roar)…. you’ve got Outcome Clarity.

The icing on the cake would be to snap a picture of the sales person in the car while they’re test driving it.

Back in the office, pin the picture right above their workstation so everyday they see where they’re headed.

Another fantastic take on Outcome Clarity is from Jonathan Fields. He wrote an article a while back, about motivating his daughter to study (check it out here). It elegantly explains the principal of Outcome Clarity with the added bonus of Jonathan’s brilliant writing style.

When your goal isn’t a car or a test drive isn’t easy to find, you’ll need a practical tool for creating Outcome Clarity in your mind.

The tool is here, pre-packaged for your convenience:

(answer these questions on paper)

How do you know when you’ve really made the sale?

Where will you be when you get final, total confirmation of your success?

What will you be feeling at that moment?

What would you look like? What expression would you be wearing?

(then visualise)

Step into the vision and see things out of your own eyes. What does the future look like when you’ve succeeded (made the sale)?

Now step out of the image and imagine it as poster of you in that moment.

Hang the poster in your mind.

Make the poster bigger.

Turn up the colours so they’re brighter… just like you can on a TV screen.

If you’re not feeling excited about making sales, it’s because you haven’t found your moment of Outcome Clarity.

It’s less about the actual selling and more about the moment the sale becomes REAL to you (or your team).

For many people, this could be the moment where they spend their earnings… or when they win the bonus incentive (like the car).

For more analytical types, it could be at the end of the month when a report of sales statistics is produced and reviewed.

It differs from person to person, but there is one thing you can be totally sure of:

All sales people need Outcome Clarity

Just like Great Beliefs and Reasons to Act…. if you don’t add Outcome Clarity into the mix, you’re not going to get even halfway decent sales results.

Make the objective clear and be sure everyone on your team knows what success tastes like.

What does sales success look like to you? Let me know in the comment section below…

It doesn’t matter if you’re running a mum & dad startup, an enormous sales team or working for yourself as a basement internet marketer…

Sales Management is critical to your business success.

If you’re one of those people who is passionate about an idea but feeling icky about selling it, then your personal, inner sales management is even more critical.

This article is the 2nd part of a series where I break down a simple psychological formula.

The formula is used by sales and management wizards to lead their teams (and themselves) towards blisteringly hot sales performance… and everything (the reward and impact) that comes with that.

Last time we covered off the 1st step of the formula: “G” (standing for “Great beliefs”)

These were the beliefs that are mandatory for any salesperson dreaming of A-league results.

Today we’re going to look at the second step in the formula:

Reasons to act

It’s 9am, you’ve just arrived at work or your home office. You know, deep in the back of your unconscious, that selling needs to happen today.

We all know that without sales, there is no business.

Nevertheless, you open emails, reorganise your filing system, clean your desk and make a few comfortable calls to friends or suppliers.

You procrastinate.

Why?

Behind every great salesperson is a reason- or five.

These reasons drive the salesperson to get up in the morning early, to make those critical cold calls.

They inspire the salesperson to score another appointment instead of surfing the couch.

Here’s what you need to know:

Every single action we take in our lives is driven by reason.

It’s a simple carrot and stick situation. If we’re contemplating doing something (skydiving, cold calling or asking that pretty girl on a date), we first have to acquire significant reasons why we must do it.

We CAN do a lot of things. We SHOULD do even more things.

How big is your list of things you SHOULD do?

Action only happens when we convince ourselves (via that little voice in our mind) that we MUST do something.

We do this through reasoning… by thinking through all the different carrots and sticks that might motivate us.

Quick tip: It usually takes a bit of stick to get us off the couch and a glimpse of the carrot to keep us going once we’ve started.

But wait, you’ve already got reasons

If you’ve got reasons for making sales but you’re not actually doing it, then you need more reasons. Perhaps you just need reasons that make you feel something.

If you’re in business, you’ve probably got reasons for being there. These are the same reasons for making sales… but if you’ve got a bit of the ol’ cold call reluctance, then you probably need to brainstorm a bunch more.

Here’s what to do:

Ask yourself (or your sales team) the following four questions.

What pain prevents you making sales?

We’re talking emotional or physical pain (or suffering) of any kind. These are the sticks that get in the way of sales… and make the couch look that much more tempting.

Answers would typically include: “Cold calling is scary” and statements like “It’s uncomfortable to ask for an order.”

These are all lame excuses but they’re worth acknowledging all the same.

They are the minor reasons you’re up against as a sales manager – the mental obstacles you must help yourself and others overcome.

The truth is, the discomfort of making a call is enough to stop most people doing it… or at least cause chronic procrastination.

Identify the reasons (the pain) you’re up against and quickly move on to…

What can be gained by making sales?

We’re focusing on the positive stuff with this question. This is the typically easy one that all average sales managers ask… but only the great managers extract super compelling answers.

Have the salesperson focus on their ultimate carrots like financial freedom, tropical holidays, fast cars and rolex watches.

Then, be sure that they have some short term, achievable carrots dangling right in front too.

These could be as simple as a sunday golf game for hitting the week’s target or a five star dinner for winning that big account.

As an entrepreneur, it’s up to you to create your own short and long term carrots.

Many self employed folks make the mistake of skipping short term carrots by waiting for some big payoff in the distant future. While this is exciting, it’s often difficult to maintain consistent motivation and sales activity.

Likewise, most employees require a combination of both carrots – it’s rare to find a sales rep willing to work super hard for a “maybe one-day IPO”.

Vision boards, goal setting and The Secret are all about finding positive reasons (carrots) to take action.

Positivity is seldom all it takes, so move on to the next question…

What will it cost you not to take action?

This is the ultimate stick. This question forces you and your team to look closely at your procrastination habits and think about where they are taking you.

What will procrastination, continued over 5 years, ultimately cost you? Could it cost you your business, your dreams or your self respect?

It’s okay to be negative sometimes (I call it “strategic negativity”) since negative thinking will give you some reasons to get off that couch.

Very often positivity fails… and it’s the fear of failure (or worse; of mediocrity) that causes us to switch from procrastination to action.

So figure it out and make sure all your team know the ultimate mental, physical and financial cost of not taking action.

Go light a fire and then answer question 4…

4. What is to be gained by taking action TODAY?

This final question is very similar to the 2nd one… but with one enormous difference:

It forces you to make today important.

The number one reason behind all sales procrastination is faith in tomorrow. Faith that slacking off today is okay because there is always the day after today.

Sorting out this problem, for you or your team, is as simple as finding a reason why today is more important than tomorrow.

Successful entrepreneurs know that the answer is all about exponential growth. They know that action today creates fantastic results in six months times.

No action for six months creates nothing in six months time – except frustration and regret.

Can you wrap this up?

The four questions you’ve just read provide the starting point for finding all your own reasons. If you want to perform as a sales person, you need reasons why they must.

The second letter in our five step acronym is “R” for “Reasons to Act”

The final question is the most important because all sales happen today (never tomorrow).

Everyone’s reasons are different – since they must be reasons that you personally feel the significance of.

What is your leverage? What can be gained by you taking action today?

As always, your answers are more important than my questions. Let me know what you think in the comment section below.

Selling is a critical, make-or-break skill for every entrepreneur

If you’re serious about growing your business, hopefully you’ve already got some sales stars helping you achieve the dream.

As a leader, your top objective is to keep those sales people (or yourself) operating at the peak of performance (and profit) with one simple caveat: Never let them burn out.

Many business owners make the mistake of assuming sales management is easy, but without the right skill toolbox, it will always be an uphill struggle.

This article (1st of a series) breaks down a simple psychological formula which you can use to inspire top performance from your sales people and yourself.

In my recent “Leadership Cheat Sheet” post, I revealed the precise (psychological) formula that top leaders use to inspire their teams to the lofty heights of mega-performance.

This article fills in the blanks by breaking down the specifics of that formula when applied to sales.

We’re going to start off with Step 1 of the formula and go through the other steps in the four subsequent posts in this series.

The formula is going to be especially useful for super small businesses – simply because those entrepreneurs have to become their own sales managers. It’s a whole lot more difficult to manage yourself (and kick your own ass from time to time).

For simplicity’s sake, I’ve written this article referring mainly to “the sales rep”… so I may be talking about YOU, or your team, depending on your situation.

Whether you’re a leader of others or still just planning to be one someday, this formula is one you can use right away for an immediate sales boost.

The pre-plan (what we’re after)

We first have to define our reason for using this formula. The goal, in other words.

In this case, we’re really shooting for the basics: High performance and consistency.

The later is the most important. We’ll flesh this out more in part three.

Great beliefs (that are required for effective sales)

There are five basic beliefs that are superbly useful for sales reps to possess, ticking away at the back of the unconscious mind, paving the way for the enormous action and energy that puts dollars in the bank.

It’s worth mentioning that I’m not too concerned with the inherent “truth” of these beliefs… rather, I only care what kind of results we get if we presuppose certain beliefs to be true. (Sort of deep and philosophical for those who care to ponder what this means)

The five beliefs:

The Industry

The sales rep must believe in the industry, what it’s all about and why. Ethical considerations (if any) must be cleared up.

Example:

Most sales reps in Life Insurance struggle with “believing in the industry” – except the ones with a historic family tragedy where cover was much needed, but missing. These folks tend to be big believers and top performers. It’s no coincidence.

 

The Company

It follows naturally that a strong belief in the company is required. The “what it’s all about and why” factor is important. This question is what most lame “corporate values” statements are trying to answer.

Answering the question right simply means having a worthwhile reason and purpose for being in business. Being cheaper isn’t one. Being better is.

Additionally, your sales rep must have a strong belief in your company’s ability to deliver on promises. The bad news (for some) is that this means having an established track record of delivering quality work or product, on time.

The Product

The third belief has to be a faith in the product itself. Many executives tend to (falsely) assume that belief in the company means belief in the product.

Many businesses start out with a product worth believing in.

However, as companies grow and products are revised, phenomena like Feature Creep and changes in competitors products can compromise the integrity of your product.

Many organisations (examples include the big photocopy firms) make another mistake: Using a super-duper, ultimate up-sell.

This is when the sales guys are encouraged to up-sell as many half-useless, secondary products/services as possible.

Typically, sales metrics will reveal very few of these deals get closed (the client picks the cheaper, just-what-is-necessary option) mainly because the reps are never really pushing them very hard.

The sales rep knows the deal is a con and deep down, no sales rep worth her salt wants to turn valued customers (who trust her) into suckers.

The Market

The number one reason (or excuse) for poor performance, which every sales manager hears, is all about the market “being down” or not cooperating in some way.

For a sales rep to really get out there and kick arse, they’ve got to trust (again, at the back of the brain) that the market will afford them the opportunity to hit target and win the vacation.

Good sales people believe “the market” should be ignored (when it’s bad) and that positive thinking and action will win the race.

They’re right, and the best way to convince not-so-good (or inexperienced) sales reps is to put them in the same office as the successful old hands. Incentivising the mentor relationship often helps.

The smartest organisations ensure that there is always someone to go first.

The Self

Finally, predictably, but most importantly: A sales person must believe in themselves and their own abilities.

We all know this.

However, there are a couple of psychological principals here that make all the difference:

Never tear a sales rep’s strategy down to the ground

Even though it’s tempting to “start from scratch” with a new guy, always give them a chance to be themselves and use skills from their previous job.

If the results are less than satisfactory, make sure that you develop a positive coaching relationship from the moment they come to you with questions.

Short term, tangible targets build self belief

Confidence comes from nailing short term milestones and enjoying the success. Twelve month targets are intimidating.

Offer a bonus for a 1 month KPI. Even better, work out a weekly target. Occasionally throw down a crazy challenge to focus on one major sales strategy (“Telesales week” etc). Offer prizes.

I recently offered a sales rep a weekend with a Porsche Boxster – if they successfully booked twenty appointments for the following month. Not only did this tangible, exciting goal tickle their fancy… it also ironed out an annoying too-busy then not-busy-enough cycle from their calendar.

Pay attention to feedback preferences

Humans are conditioned to accept and utilise some feedback formats better than others. It’s strange, but true and everyone is different.

As an effective leader and manager, it’s up to you to spot the preference and utilise it to keep individuals happy, driven and aware of areas for improvement.

These are the two polar opposites to watch out for, but most people sit somewhere in between:

Criticism lover

This guy needs you to tell the bad stuff like it is, but will never need reassurance that they’re doing it right (they’ll figure this out on their own, internally). Will seldom get offended by even the most upfront approach.

Validation seeker

This is someone who needs constant positive recognition of all their wins (even the little ones). They won’t believe they’re doing “good enough” until they get it. If you need them to step up the game, say nothing and watch the flurry of activity unfold.

Mastering the giving of feedback will make your life as a manager enormously easier.

Flexibility is required because even a small team will include folks from both ends of the scale.

Quick conclusion: Integrity and confidence

The two words above are the required abstract ingredients behind any consistently successful sales rep, team or entrepreneur.

The first step is to cultivate these two ideas into your business (if you haven’t already). Then put this formula into action with your sales people.

The following articles in this series will show you how. They’ll be published over the holiday period.

There is a reason for the timing: Sales leaders who want the tools to fast-track their success can digest these lessons over their vacation.

I’ll be wrapping up the series with a quick, step-by-step (free) guide to launching a sales “kick start” workshop for January. You’ll get everything you need to start the new year with some fantastic tools and psycho-savvy tricks… ensuring a record sales year from the get-go.

I’ll also be conducting the workshop in the real world (and commenting on it here) – in a closed door session with two sets of my clients’ staff.

If you’re interested, the best thing to do is to subscribe to my email list by clicking here.

That way, you’ll receive all the rest of the series straight to your inbox – allowing you to happily procrastinate reading them ‘til you’re ready.

Plus, there will be a (yet to be revealed) subscriber-only bonus. Totally free and guaranteed awesomely useful.

It’s super easy to subscribe (and unsubscribe if you want to later on). Just click here. I hate spam and will never sell, rent or share your details.

If you’ve got a question about the series or this article, drop me an email or leave a comment below.

(Click here to read Part 2 of this series)

On a sunny day last week, I walked through the historic Sydney suburb of Glebe for no other purpose than to enjoy a cafe lunch and browse 2nd hand book stores.

What I was to discover, however, was startling proof of “The Entrepreneur’s Dilemma”.

This is a social-psychological phenomena that plagues innocent business owners – sowing the seeds of self-doubt and financial disaster.

Want to know what it is?

Unisex (isn’t the answer)

On my stroll, I walked past an interesting kind of store.

A sign (you can see it on the left) lured me towards the store’s proudly displayed merchandise.

Unisex is an interesting idea simply because male/female differentiation is one of the more traditional demographic gaps.

Today, more and more businesses are discovering that increasing the gender focus of their products is a valuable move. Coca-Cola, for example, recently made the decision to market Diet-Coke to women, while reserving Coke-Zero for a high octane, testosterone driven campaign for young guys.

However, there are plenty of things in the world that benefit from being unisex.

Wine (luxury or otherwise), travel and real estate seem like great examples of industries where gender is irrelevant and unmeasured. They’re unisex by default.

So what was so unusual about this cheap, “NEW” item of undetermined gender?

The sign was attached to a rack of shirts

This store was the kind of budget clothing outlet that hocks off un-branded beach clothes to passing student travellers.

Shirts (T-shirts especially) have always been potentially unisex, but no one ever advertises them as such.

Here’s why:

The store owner meant well in this scenario and the basic logic is simple: If you advertise shirts to both men and women, you should double the chance of a sale.

WRONG

When you try to appeal to anyone, you end up alienating everyone.

As you may be able to see from the photo below, the shirts are unusual… but there wasn’t anything wrong with them.

What is wrong is how full the rack was. Clearly the shirts were not moving out the door.

I can’t help but think that the store owner would have been more successful if he had put a sign up that said:

“Crazy hippy beach shirts – $5″

… because that would grab the attention of every free-thinker headed to the beach!

What does this mean for your business?

I got an email from a client yesterday, asking my advice on a proposed re-brand and new focus for her business.

As a financial advisor, she was considering the one of the following options:

1. Focus entirely on working with female business owners as a specialist advisor

2. Go after women in business, newly graduated students, young professional couples and families

Friends told her that she’d be very brave to go for option one’s niche focus. Others thought she’d be stupid to “limit” herself.

I cant help but wonder if the T-Shirt store guy was afraid of the “limitation” too.

At the heart of it, many entrepreneurs have a powerful fear of “potential loss” tickling the back of their brain. The thought of all those customers outside of your target market, who won’t buy from you, is kind of scary right???

Reality check: Be scared if you’re not in a niche

Internet marketing folks have known this truth for a while – but the lesson is just as relevant for today’s real world, brick-and-mortar entrepreneur:

By trying to target the “Mass Market” you put yourself in competition with the biggest brands in your industry. These are the corporates that have multi-million dollar ad budgets. You will not win.

The world (or even my client’s city) does not want or need another financial advisor – but an expert on helping female entrepreneurs plan their financial life might be useful.

I ended the email dialogue by challenging my client to target only entrepreneur mothers! This would take her niche to a whole other level – and give her an excuse to market to any number of coffee groups and day-care centres.

Besides, if she does a good job and word spreads… I’m positive it wouldn’t be a problem to work with the occasional non-entrepreneurial mum (or even… *gasp*… a dad).

It isn’t so much about the day to day reality of doing business – it’s about the story you are telling and the message it sends.

Let’s face it – occasionally some guys buy girl’s t-shirts (it’s actually a fringe fashion in some parts)… and women often buy small sized men’s clothes.

Let your prospect customers know who they are and why you’re right from them. Success only happens when you overcome the fears that prevent this.

What kind of message is your business sending?

Could you overcome your fear and target a more specific group of customers?

Let me know what you think – by leaving a comment (scroll down)

Cold calling tips and sales techniques leave most sales-people in the cold.

Most companies and biz owners would rather pretend cold calling doesn’t work than spend time calling freezing cold prospects.

Don’t let yourself (or your business) ignore these cold calling tips while your competitors are (secretly) using it as a bottomless goldmine…

BEST PART: The tips below literally make cold calling so comfortable, your grand mother could do it (and make loads of sales).

Cold Calling Tip #1 – Set Realistic Goals

I’m going to go ahead, be honest and level with you: The “real deal” freezing cold calling will not sell anything directly.

So many entrepreneurs (and wannabe sales-folk) set unrealistic cold calling goals – only to quit (prematurely) when they don’t work out.

Phoning total strangers and asking for credit card numbers is going to win you no friends (and the consolation prize is verbal abuse).

The cold calling “phone and ask for a sale” approach works in very few industries (I’d struggle to name three).

The realistic alternative is to incorporate cold calling as the first point of contact which feeds new prospects into your sales funnel.

When you set a realistic goal for your calling, then it’s easy to be successful. The feeling of achievement itself, for you and your sales reps, is gonna breed more success.

Here’s a couple of realistic, achievable and profitable cold calling goals:

100 “Permissions” to send info (via post or email) and follow up by phone call

If your product is top notch, you can hit this milestone in less than a week of part-time 8am-12pm calling. Try mailing out something remarkable (like a brochure in the shape of a giant tree – whatever) to ensure it gets opened. The recipient needs to notice it.

10 Sales appointments with qualified prospects

This works well in the B2B market and in industries like Insurance and Finance where cold calling for home appointments is appropriate. A masterful cold caller can convert around ten percent. Beginners can expect around five.

Just a single day of full time calling will net this result. I know Insurance guys who do it all on Sunday evening.

Cold Calling is for selling “the opportunity” to sell another day

These examples show that, when cold calling works really well, it is because it bags an opportunity to contact the prospect and sell to them.

There is a psychological reason this works so well…

People are conditioned to be immediately distrustful of anyone trying to pitch them. Any attempt to accelerate the sales process beyond the comfort zone of the prospect will be met with increased resistance and resentment. Don’t do it.

A couple of points of contact will give your prospects time to warm to you, your company and your pitch. Many effective cold-callers keep a database of numbers from 6 months (or a year ago) to continue “calling back”. Do this.

Cold Calling Tip #2 – You’ve got 3 seconds. No pressure

The crucial element of cold calling (where 95% of the wannabes get it wrong) is the first three seconds after saying hello.

Three seconds is the size of the “window-of-opportunity” you have to get your prospect interested. If they’re not curious after three seconds, it means they’ll dismiss you and your offer. Instead of listening, they’ll start thinking up objections and excuses to hang up the call.

How do you create Cold Call curiosity in under three seconds?

Have a legitimately exceptional product/service: Easier said than done, it really helps if your business is doing something so extraordinarily awesome that people can’t wait to hear more. This is a long term goal for some.

Offer a quick, easy and commitment-free next step: This could be asking for permission to keep talking, or even better, asking for permission to send a free sample.

Make the prospect feel special: If they feel like the 200th prospect you’ve spoken to that day, they’re not going to enjoy the call. In B2B cold-calling you can get immediate interest by mentioning vertical market competitors who you’ve “spoken to”… and explaining why you thought your prospect would be interested.

Have an eloquent, concise scripted three second intro: You’d think this would be obvious, but so many businesses and sales reps fail to recognise the importance of a fluid introduction. DO NOT SKIP THIS STEP

A good three second intro that adheres to these principals would look like this:

“Hi <Prospect>! I’m calling for ACME gardening co. We’re doing a crazy promotion in your street by expertly mowing people’s lawns for free. If you’re interested, I just need to get a preferred date and time for your free mow.”

Regardless of how realistic it would be to mow lawns for free, do you see the cold calling principals in action here?

P.S. Secret cold calling tricks

I won’t lie – I added a few extra secret strategies into the example above. Let me know if you spotted them by leaving a comment below…

Smart entrepreneurs know the value of landing that “big fish” client or customer. Check out the business networking tips cheat sheet here…

Business networking is the only proven strategy for reeling in that big fish. Networking is the 80/20 principal in action – just a tiny bit of time invested can generate 80% of your business!

The reason? The clients really worth having will never beat down your door to meet you and probably won’t respond to your advertising either.

If you’re in retail or there is no such thing as a “big-fish” customer in your industry, then you could use the following tips for establishing relationships with the best suppliers or strategic partners.

Business Networking Tip #1: Introduction Magic

Do not underestimate the power of a live testimonial – generated, of course, by an introduction from a mutual friend. Better yet, get introduced by a raving fan customer.

You may need to coach your “introducer” to announce you to the “big fish” like this:

Introducer: “Hey Big Fish! I wouldn’t normally interrupt but I just saw my buddy at this event and I absolutely had to introduce the two of you”

If the big fish trusts and respects your introducer, then you just got their interest and attention in 5 seconds flat!

Business Networking Tip #2: Calm down and play it smart

The over-eager, rapid-fire card dispenser  wins no friends. In fact, it’s kind of embarrassing just to watch.

About once a month, I stand above my rubbish bin (trash can) and sort through the inevitable pile of business cards.

Each card gets a half-second glance while by brain searches for recognition. About 90% end up as recycling.

Being a smart player in the networking game means waiting for the ideal moment to approach your “big fish”. Striking at that right moment means you’ll have a chance to chat and create a lasting impression.

Believe it or not, it is this “impression” – not the design of your business card, that will ensure you make it into the Rolo-dex.

Business Networking Tip #3: Trying to sell will murder your chances

People do not attend networking events to be solicited by each person in the room. As desperate as you may be to kick off a relationship with this important person, resist all temptation to blurt out your pitch!

Instead, learn to ask questions that uncover problems or issues that the person (or their business) faces. You can then position yourself as the potential solution to one (or many) of those problems….

… Take their card and leave them with the expectation that you’ll be in touch shortly to deliver the problem solving pitch.

Questions to uncover problems could include:

“What do you do?…… I see! How is your business approaching this “recession” thing?”

“What big changes in your industry do you see coming up in the next 6 months?”

… and the cheeky option when you have enough rapport:

“What is going on in your business that you’d rather be here at this event, than in the office?”

Business Networking Tip #4: The biggest mistake

If someone does hand over their card to you, do not interpret this an invitation to phone them. Certainly, never ever phone their mobile.

By phoning, you risk destroying the fragile relationship by coming on too strong and/or presenting an inconvenience they never wanted or asked for.

Email is the best bet. You can increase the chances of your message getting opened and read by telling them you’ll be sending it.

A really cool tactic is to drop off custom, beautifully printed material (with a personal note) to their company receptionist. The receptionist will pass on the papers and mention the fact that, unusually, you actually turned up to it drop off. Typically, the “big-fish” person will then invite you back for a meeting.

Business Networking Tip #5: Introduce others

Remember, networking isn’t always about you. You’ll quickly develop a reputation as a trustworthy and useful contact when you regularly introduce people who have great value to share.

Doing this requires you to get over any scarcity fears that you have. There is plenty of business to go around and helping out others isn’t going to harm you (quite the opposite!). If you struggle with this concept, you shouldn’t be attempting to network at all.

If your clients know that you are a great networker and have benefitted from referrals that you’ve provided, then you’ll get many more useful referrals from them. Everyone wins.

Summing it up:

Business Networking isn’t as easy as many people think. Firing out business cards indiscriminately without introductions is going to do more damage than good.

The simple recipe of getting introductions, waiting for the right moment, solving problems, polite follow-up and giving back will result in the biggest and best business opportunities available… best of all, it’s low cost and hardly takes any time!

This psychological (but simple) sales technique is being used by some of the world’s top entrepreneurs, including a bunch of personal development and internet marketing gurus.

Fear of being let down, disappointed or ripped off is the biggest roadblock to any successful sale.  This technique literally eliminates “prospect fear” by building a very unique kind of trust.

The strategy is unique because not too many marketers, salespeople or entrepreneurs are using it yet. They will be soon.

Hear it here first…

If we look back at marketing and sales strategies that have produced mega-huge results, a certain style of selling starts to become obvious:

Total confidence

As entrepreneurs, we want people to believe that our products and services are going to give them what they want and need… solutions to their problem.

We need them to be totally certain that this will be the case – so the obvious way to do that, is to sell with our best foot forward.

Irresistable offers, Iron-Clad Guarantees, Risk Reversal and gushing Testimonials are all fantastic techniques to make your offer look like something unbelievably-freakin’-incredible.

Here’s the problem

Consumers have wised up. Potential buyers out there are getting street smart… and now more than ever, there are thousands of these “incredible” deals out there -  all competing for attention.

When everyone offers  a “100% guarantee” the impact is lost.

As consumers, we assume there are con-artists out there (which there are) so we guess (rightly so) that those con-men are offering 100% money-back guarantees… since, after all, everyone else is doing it. The result? 100% guarantee alone means nothing, because we know con-artists use ‘em.

What can you do about it?

To be successful in business, your primary offer… whatever it is you do… has to cut through the thousands of other “amazing” offers and be unique and believable.

The good news is this: You can be believable, build rapport with your prospects and easily get attention by doing one simple thing…

Admit your flaws.

Not personal flaws… I’m talking product/service flaws.

If you tell your prospect what is wrong with your product, what you’re working on improving and specifically, who this is never going to be right for… an incredible thing happens.

You sound human.

You feel Believable.

You stick out from the crowd.

It takes guts because most business owners would rather eat off their arm than admit flaws… simply for fear of all the business they’ll turn away.

And to be honest, admitting flaws will turn away some prospects – this is a good thing, because the people who become uninterested are the ones who would have big problems with those flaws!

It’s kind of logical, isn’t it.

Be unique by admitting you’re not perfect: Make it clear that there is a “small catch” (those two words are magic for building rapport).

My iron clad GUARANTEE to you: If you make your product’s flaws an obvious part of your sales and marketing, you’ll get more and more quality customers. Both you and them will end up happier.

There is a small catch: You have to throw yourself and your business at this 100% – there’s no half-way job on being honest about oneself and one’s business.

Got a question? Use the comment section below to get detailed and specific advice.