Bill Abbott

1
Introduction

• Bill Abbott
• Background
• Experience
• Education

2
Experience

• District Sales Manager
• Merchandising Manager
• Founder
• President
• Senior Category Strategies Manager
• Commercial Real Estate Broker

• Grocery Bag Carrier
• Newspaper Delivery Boy
• Showroom Clerk
• Showroom Manager
• Account Executive
• Marketing Specialist
• Merchandiser
• Sales Associate
• Corporate Marketing Manager

3
Education / Achievements

• Achievements and Designations
• A friend and former student of Alan Leongs UWB
• Bachelor of Arts Business Administration UWB
• MBA SPU
• Advisory Board Member UWB

4
Sales / Management / Customer Service

• Sales
• Sales Management
• Customer Service

5
Introduction

• Is anyone here in sales?
• Is anyone here in sales management?
• Is anyone here in customer service?

6

• Selling is the ultimate survival skill.

7
The Sales Profession

• Some people simply love the sales profession yet
• Some people simply hate salespeople
• Whats up?

8
Sales A Rewarding Profession

• Tangible rewards
• Compensation
• Trips
• Prizes
• Events

• Intangible Rewards
• Freedom
• Social contact
• Prestige
• The sport

9
Salespeople

• What are their typical characteristics?
• What do they actually do?

10
Positive Characteristics

• Analytical
• Brave
• Communicatorsskillful
• Competent
• Disciplined
• Empathetic
• Energetic
• Entertaining
• Ethical
• Helpful

• Organized
• Problem solvers
• Reliable
• Resilient
• Social
• Solution providers
• Sponge like
• Thorough
• Trustworthy
• Winners

11
Contingent Characteristics

• Adaptive
• Ambitious
• Clever
• Competitive
• Creative
• Independent thinkers
• Influencers
• Innovative
• Intelligent
• Learners..quick

• Non conformists
• Persistent
• Proud
• Report, policy and meeting averse
• Self motivated
• Shark like
• Strategic
• Theatrical
• Tough

12
Negative Characteristics

• Dishonest
• Egotistical
• Follow up poor
• Greedy
• Incompetent
• Pushy
• Selfish
• Shortsighted
• Slimy
• Sneaky
• Unethical

13
Essential Roles of the Salesperson

• Accountants
• Bill collectors
• Business analysts
• Closers
• Coaches
• Coordinators
• Consultants
• Counselors
• Diplomats
• Influencers
• Interpreters
• Job producers/savers
• Locksmiths

• Managers accounts
• Obstacle eliminators
• Pain in butt purveyors
• Presenters
• Prospectors
• Qualifiers
• Representatives
• Scouts
• Soldiers
• Solution providers
• Stimulators of the economy
• Suppliers of information

14
Leadership Support is a Given

• Leaders clearly understand that salespeople are
• The Kings servant and messenger
• The face and future of the company
• The initial force for all forward motion

15
Nordstroms Inverted Organizational Pyramid

• See the Nordstrom inverted organizational
  pyramid
• Customers
• Sales and Support People
• Department Managers
• Store Managers, General Managers etc.
• Board of Directors

Spector
16
Nordstrom Inverted Pyramid

• The Inverted Pyramid represents the companys
  philosophy and structure, placing customers at
  the top. Next are those who directly serve
  customers

17
Good Salespeople UnderstandThe Sales Process

• The Glengarry Glen Ross Sale Processes
• Attention, Interest, Desire, Action
• ABC
• The Sales Process
• Prospecting
• Greeting
• Establish relationship
• Qualify needs Why, what, where, when, how
• Presentation, demonstration, information
• Transform interest to desire
• Overcome objections
• Close the sale
• Execution and follow up

18
Good Salespeople UnderstandBuying Motives

• Buying motives are 1,000 times more powerful
  than selling skills. Make that 10,000. Gitomer
  

19
Buying Motives

• More sales
• Greater productivity
• More profit
• Better image
• More customers

• Loyal employees
• Better morale
• Less hassles
• More free time
• Differentiation

20
Great Salespeople Understand

• You gotta sell yourself. J. Girard
• People dont like to be sold, but they love to
  buy. - Gitomer
• You can only earn a commission using a sales
  technique, but you can earn a fortune building
  friendships and relationships. Gitomer
• Your best new prospects are your present
  customers. - Gitomer

21
Great Salespeople Understand

• The benefit of maintaining relationships versus
  seeking new ones.
• Existing product existing customer
• New product existing customer
• Existing product - new customer
• New product - new customer
• Amount of expense and effort for each?

22
Gitomers Rules of Sales Success

• Maintain a positive attitude
• Believe in yourself
• Set and achieve goals
• Learn the fundamentals of sales
• Understand customer needs
• Sell to help
• Believe in your company and product
• Be prepared
• Be sincere

• Qualify the buyer
• Be on time for appointments
• Look professional
• Establish rapport and buyer confidence
• Use humor
• Master product knowledge
• Sell benefits, not features
• Tell the truth
• Keep promises
• Dont down the competition

23
Gitomers Rules of Sales Success

• Use testimonials
• Listen for buying signals
• Anticipate objections
• Get down to real objections
• Overcome objections
• Ask for the sale
• After asking a closing question, SHUT UP
• If no sale, make an appointment to return
• Follow up, follow up, follow up
• Redefine rejection

• Anticipate and be comfortable with change
• Follow company rules
• Get along with others
• Understand that hard work makes luck
• Dont blame others when the fault is yours
• Harness the power of resistancereject No
• Find your success formula through numbers

24
Gitomers Rules of Sales Success

• Do it passionately
• Be memorable

25
Sales Truisms

• Deals are perishable.
• The best customers pay the highest prices.
• Confidence is perceived as competence.
• Ink boosts credibility.

26
Sales Truisms

• To maximize sales you should listen more than you
  speak.
• Relationships make margins possible and margins
  makes relationships possible.

27
Sales Management
28
The Successful Sales Manager

• Respected
• Competent
• Effective

• Trusted
• Fair
• Ethical

29
Sales Management Duties

• Negotiator
• Organizer
• Planner
• Problem solver
• Recruiter
• Relief pitcher
• Score maker / keeper
• Super salesperson
• Team Builder
• Terminator

• Administrator
• Business analyst
• Coach / Trainer / Motivator
• Collection agent
• Conflict arbitrator
• Counselor
• Decision maker
• Liaison / Mediator
• Manager of Time and Stress
• Marketer

30
Role of Coach

• Coach
• Help to set standards and goals
• Provide direction and advice
• Share practical experience
• Condition players to win
• Offer feedback on performance

31
Role of Trainer

• Trainer
• Identify areas of strength and bolster
• Identify areas of weakness and reduce
• Provide training, information and tools on
• Products
• Services
• Processes
• Efficiency Tools
• ACT data base

32
Role of Motivator

• Motivation
• Understand the sources of motivation
• Encourage positive behavior and characteristics
• Reward positive application of contingent
  characteristics
• Empower, delegate and support
• Communicate supportively
• Maintain and elevate morale
• Recognize good performance
• Stir up internal competition
• Benchmark against competition
• Ensure compensation is paid timely
• Kick a little bottom as needed (last choice)

33
Positive Characteristics

• Analytical
• Brave
• Communicatorsskillful
• Competent
• Disciplined
• Empathetic
• Energetic
• Entertaining
• Ethical
• Helpful

• Organized
• Problem solvers
• Reliable
• Resilient
• Social
• Solution providers
• Sponge like
• Thorough
• Trustworthy
• Winners

34
Contingent Characteristics

• Adaptive
• Ambitious
• Clever
• Competitive
• Creative
• Independent thinkers
• Influencers
• Innovative
• Intelligent
• Learners..quick

• Non conformists
• Persistent
• Predatory
• Proud
• Report, policy and meeting averse
• Self motivated
• Shark like
• Strategic
• Theatrical
• Tough

35
The Sales Profession

• Q Why do so many people have so little respect
  for salespeople and the sales profession?
• A It has to do with the management of contingent
  and negative salesperson characteristics.

36
Negative Characteristics

• Dishonest
• Egotistical
• Follow up poor
• Greedy
• Incompetent
• Pushy
• Selfish
• Shortsighted
• Slimy
• Sneaky
• Unethical

37
The Potential Damage

• Internal
• Functional friction generated by
• Characteristics
• Jealousy
• External
• Lost customers
• Lost sales
• Legal problems
• Damage to company reputation

38
Roles of Coach/Counselor/Terminator

• Three choices for managing
• Contingent and Negative Characteristics
• 1.) Show and/or tell them the way
• 2.) Lead them to finding their own way
• 3.) Conclude that there is NO WAY!

39
Role of Liaison / Mediator

• Communications
• Team advocate
• Coordinator
• Expeditor
• Diplomat
• The Bad Cop

40
Role of Planner

• Company wide planning
• Vision
• Initiatives
• Budgeting
• Team planning
• Vision (within the vision)
• Initiatives
• Budgeting

41
Role of Planner

• Team budget development
• National
• Regional
• District
• Salesperson
• Customer
• Customer mix
• Category mix
• Individual products or services
• Sales and margin growth

42
Strategic Sales Plan Steps

• A handy reference template
• http//salestraininginternational.com/assessments/
  Sales/StrategicSalesPlan.htm

43
Role of Recruiter

• Develop a job description and a profile for
  success
• Identify and attract potential candidates
• Qualify potential candidates
• Integrate recruits into the team and company
• Prepare recruits with resources for success

44
Role of Recruiter

• Identify and attract potential candidates
• Sources
• Q Does your success profile offer any clues on
  where to look?
• Other sources
• Networks (referrals are best)
• Headhunters
• Trade journals
• Competitors
• Suppliers
• Customer Service department
• Diamonds in the rough
• First hand interaction
• Back to the productive wells

45
Identifying Good Salespeople

• Alans question, How do you separate good
  salespeople from other people in the
  organization?
• Lets give this some thought

46
Role of Recruiter

• Qualify and screen potential candidates
• Does she have the credentials required for the
  position ?
• Do we want her to do the job?
• Multiple interviews
• Personal referrals
• Cultural fit
• Likeable and enthusiastic

47
Role of Recruiter

• Is she likely to succeed in the job?
• Skills
• Limra
• Success profile comparisons
• FIRO B
• Meyers Briggs
• Are there fundamental reasons not to give her the
  job?
• Background checks (Intellius)
• Drugs

48
Screening Tests

• Myers Briggs personality test delivers a four
  letter type indicating the way a person prefers
  to make decisions, process information, organize
  life, and direct energy
• Extrovert (E), Introvert (I), Sensing (S),
  Intuition (N), Thinking (T), Feeling (F), Judging
  (J), Perceiving (P)
• FIRO-B offers insight into how an individuals
  personal needs affect that persons behavior
  towards others
• Inclusion, Control, and Affection (expressed or
  wanted)
• Compatibility and approach to interpersonal
  relationships

49
Suggested Careers for MB Types
http//www.teamtechnology.co.uk/tt/t-articl/mb-sim
pl.htm
http//www.geocities.com/lifexplore/mbcareer.htm
50
Sales Screening Tests

• http//exsel.limra.com/Products/CPplus.aspx
• 65 years of experience in selecting
  entrepreneurial sales professionals
• Frequently used by insurance and financial
  services companies
• Collects past work and life experiences,
  personality, goals, attitudes, career
  expectations, background checks
• Rates applicants probability of success in sales
  

51
Role of Recruiter

• Identify and attract potential candidates
• Compensation packages
• Q What does your industry dictate?
• Q Do you want to lead or follow?
• Most packages start with three basic choices
• Pros and Cons of each approach?
• Stage of business development?
• Additional items to spruce up the offering?

52
Compensation Models

• Pay philosophies
• Salarya fixed cost of laborto sustain and grow
  revenues.
• Salary Plus Bonusa hybrid costsales pay levels
  should be managed in reference to affordability
  and the labor markets compensation levels.
• Commissiona variable cost of salesthe more they
  make, the more we make.

Colletti and Fiss
53
Types of Performance Measures

• Volume
• Profitability
• Productivity
• Strategic Planning

• Customer conversions
• Customer penetration
• Customer retention

Colletti Fiss
54
The Base Salary Model

• Advantages

• Disadvantages

55
Base Salary Plus Bonus

• Disadvantages
• Requires explicit communication about performance
  requirements
• Can be confusing to understand
• Payout on subjective components are challenged

• Advantages
• Offers opportunity to manage selling
• Stabilizes earnings
• Rewards and penalties are consistent with sales
  and business cycles

Colletti Fiss
56
The Sales Commission Model

• Advantages
• Simple to understand
• Drives performance at V Cost
• Provides maximum incentive
• Rewards and penalties are
• immediate

• Disadvantages
• Motivates self-directing behaviors
• Limits control over selling efforts
• Creates wide swings in earnings
• Makes territory realignment difficult
• Can be quite costly

Colletti Fiss
57
Selling Environment Applications
Colletti Fiss
58
An Effective Compensation Plan

• Achieves organizational strategies and sales
  objectives
• Clearly defines performance expectations and
  payouts
• Rewards business development over account
  maintenance
• Controls the cost of sales
• Rewards top achievers for high performance

Colletti Fiss
59
An Effective Compensation Plan

• Is challenging and perceived as fair
• Avoids windfalls based on reorganizations or
  account transfers
• Proactively addresses commission split issues
• Attracts and retains people with the right skills
  and competencies

Colletti Fiss
60
Role of Scorekeeper

• Track and ensure progress toward company vision
  and goals.

61
Role of Team Builder

• Articulate a vision
• A motivating vision helps illuminate the core
  values and principles that will guide the team in
  the future
• Left brain / right brain
• Interesting contradicts assumptions and
  challenges the status quo
• Encompasses passion and principles
• Sets goals Specific, Measurable, Aligned,
  Realistic, Time Bound

Cameron and Whetton
62
Role of Team Builder

• Develop credibility (respect)
• Demonstrate integrity (trust)
• Be clear and consistent
• Create positive energy
• Manage agreement and disagreement
• Encourage and coach
• Share information

Cameron Whetton
63
Role of Team Builder

• A common goal or purpose
• Good communication
• Team development
• Team attitude
• Support, encourage, and recognize those pursuing
  that vision

Desena
64
Customer Service
65
Customer Service

• Exercise
• Write down the name of a company that you
  perceive to have great customer service and tell
  us why.
• Write down the name of a company that you
  perceive to have poor customer service and tell
  us why.
• Note Give an example or be as specific as
  possible.

66
Customer Service

• What do you think of the trends in customer
  service over the last 20 years?
• Do you think that most companies view customer
  service as an investment or an expense?
• Why do you think some companies invest great sums
  of money to get in contact with customers while
  others spend great sums to avoid contact with
  customers?

67
Customer Service

• Do you think the clever companies these days are
  training their customers to accept minimal levels
  of customer service?
• If great customer service is tied directly to
  customer retention and customer retention is tied
  directly to profitability, is providing minimal
  levels of customer service the best way to go?

68
Tips and Observations

• Customer Service - Customer service is an
  investment, not an expense.
• just having satisfied customers is not good
  enough anymore. If you really want a booming
  business, you have to create Raving Fans.
  Blanchard Bowles

69
Customer Service

• Contemporary accounting methods are set up to
  track the costs of providing customer service but
  not the profitability derived from it. Any ideas?
  
• How does your company calculate the point of
  optimal yield on its investment in providing
  customer service?
• Does your company have any specific standards for
  providing customer service?

70
The Relationship of Retention to Profits

• Relationship between customer retention and
  profits
• Loyalty increases profits
• The longer customers stay the higher the profits
• (See chart How much Profit Customer Generates
  over Time)

Reichheld and Sasser
71
How Much Profit Customers Generate Over Time
HBR Reichheld Sasser
72
Customer Retention and Profits

• How does your company retain loyal customers?
• Does your company perform defection analysis?
• How do the following retain loyal customers
• Costco
• Amazon
• Southwest Airlines
• Marriott
• Nordstroms

73
Perceptions and Practices

• Establish levels of expertise and protocols for
  escalation.
• Transform care into cash - For all
  employees-from tellers to managers-who come in
  direct contact with customers, 20 of their
  compensation is tied directly to their ability to
  sell customers on buying a product that they
  dont personally sell themselves.
• Say no to no Our philosophy is to stay away
  from the N word. (Whatever/Whenever) Tom
  Limberg of W Seattle

74
Perceptions and Practices

• Give them the news-good or indifferent-as
  quickly as you have it.be honest with the
  customer and she cant be disappointed. -
  Limberg
• In customer service oriented companies,
  consistency for the consumer is always
  important. Limberg
• When USi receives an email from a client during
  business hours, it is company policy to respond
  to the client within 20 minutes. USi spokesman
• the more options the more likely the customer
  will prefer to do business with you rather than
  the competition. - Spector

75
Perceptions and Practices

• We needed to treat ourselves the way we were
  starting to treat customerswith dignity and
  respect. Gordon Bethune, Continental Airlines
• We can hire nice people and teach them to sell,
  but we cant hires salespeople and teach them to
  be nice. People are best trained by their
  parents. B. Nordstrom
• the foundation of every relationship-
  including, of course, customer service-is
  commitment commitment to honesty, to truth, and
  to service. Spector

76
Perceptions and Practices

• Some people are cut out for service and some
  people arent. Mike Dahm, Mikes Carwash
• The best cast members come to us with an innate
  desire to please other people and to get their
  approval. Thomas Martin, Starwood Properties
• When a customer takes the time to point out what
  youve done wrong, he or she is helping you
  become a better customer service company M.
  Dahm, Mikes Carwash

77
Conclusion