#SeriouslySocial - The Radio Show
The Humanistic Approach to Sales and Marketing
Join Simone Douglas for her first radio show episode, part 2, with the IBGR Network – Results Radio as she shares her insights into The Humanistic Approach to Sales and Marketing.
Week three of your seriously social journey, a path that changed the way I do business forever and whose benefits regularly surprise me in terms of the opportunities they generate. One of our biggest challenges is the balance between selling to the new and servicing the old.
It is easy to get distracted by all the noise in the business world at large but jump day is your chance to settle in and work on your business in ways that allow you to make the most of your opportunities today, tomorrow and forever.
One of the challenges in an established business as you continue to scale is finding that happy medium between servicing the existing clients and maintaining those relationships and acquiring new clients that help you to continue to grow. In today’s show we take what we have covered in the previous episodes and evaluate the challenges and opportunities in getting this right.
IBGR is committed to your success and our programming is designed to give you the tools and resources as well as the one percenters you might be missing that are the difference between feeling like you are treading water and chasing your tail versus on the up track and master of your domain..
Have a fantastic week, hopefully we have turned your hump day into jump day and you are all fired up for success.
Show Objectives – The Why
Striking the right balance between new and existing customers can make you a happy camper – or leave you running in place. The reality of most businesses is that investment in acquiring new customers comes at the expense of nurturing relationships with existing ones, and vice versa. Herein lies the great importance of optimizing the company’s new-to-existing customer revenue ratio, what we call the “customer revenue mix.”
Key Issues – Owner Perspective:
- What is the ideal revenue mix between new and existing customers?
- Is there a correlation between the customer revenue mix and a company’s success?
- Customer retention strategies versus acquisition strategies
- Handing over key accounts as you scale
- How to balance your sales time between prospecting and nurturing
What You Need to Know – The What
- Analyzing your customer ratios
- How does your mix balance against your stage of evolution as a company
- What retention and acquisition strategies do we have in place and what are we missing
- What is our process for our customers journey with our team
- Balancing resource allocation and automation to keep everyone happy and maintain growth..
What You Need to Do – The How
- Basic customer ratio calculations to health check your exposure or opportunity.
- Complete review of resource allocation to account management versus acquisition
- What are the touch points we maintain with our existing customers personal and automated? Are we actually executing them or did we just put them in our strategy document.
- Identify who has the best retention in the organisation and why
- Identify who has the best acquisition ratio to lead and why
- Make a list of and review all of your marketing plans for acquisition and retention and identify opportunities for improvement.
Previous: Episode C3.008 Identify New Users for Existing Offer
Next: Episode C3.010 Customer Recovery
Written by Simone Douglas
The Publican & Licensee of the Duke of Brunswick Hotel, Executive Director for BNI Adelaide North one of the biggest networking organisations in the world, the driving force behind South Australia’s leading social media agency, Social Media AOK and now best-selling author with her first book “Seriously Social – turning your online game into real-world gain”.
You can connect with Simone on any of her seriously social platforms
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This is William Eastman managing partner for growth works media station director for IBGR. One of my jobs is finding great on air talent consultants and business owners presence and a story to tell. We’re expanding our broadcast team to represent our four core time zones North America, Australia, New Zealand, Singapore and the Philippines, the Indian subcontinent and the last of four, United Kingdom, Ireland, Europe and Africa. If you are a small business consultant or business owner would like to audition for an on air slot in our six hour show cycle, contact station director and that is programming at IBGR.network. We will respond to your email within one business day. Thanks for listening and don’t miss this great opportunity to put the world back to work and grow with us. Thanks.
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Simone Douglas 2:39
We’re back you’re listening to the IBGR network. IBGR is our callsign as a radio station but we are far more than a radio station. IBGR is a network of entrepreneurs and business owners who have stood the test of time. Everything from startup all the way through to succession planning and exit plans, and everything in between. So join us today I am your on air host, Simone Douglas. This is Episode Seven in our sea lane at IBGR network sales and marketing. Go to our website at IBGR.network and download the show notes today and that will keep you on track with what it is that we’re going through. So moving right along what you need to know we’re up to the what now. So, like I said, some of the things that we actually need to look at are, you know, finding the most promising accounts and customers. So your first step is to find your happy, satisfied customers. These are your loyal base, the real foundation for your company. The easiest way to identify these people is actually through running a net promoter score questionnaire. So one of the best things that you can do at this point and it’s really valuable exercise as a business owner manager is to send out the NPS question to all of your customers to get some real feedback. Generally speaking with my guys, I even go one step further and I asked them all on a quarterly cycle to call every single client and just ask them the NPS question. Now, the NPS question or Net Promoter Score question is pretty basic. It’s on a scale of one to 10 how likely are you to refer us to your family and friends? Okay, so the thing is, we’re always very careful about referring people to our family and friends. On that scale of one to 10 what we’re looking for is that we want people in there, eights, nines and 10s. These people are your promoters. They’re the people who are out there, potentially raving about you and telling everybody how fantastic you are. So if you get an eight, nine and 10 that’s really a customer opening the door for you to explore with them, how else you can help them. So then, you know, your follow up question from that point really is, you know, maybe it’s a great time now to sit down and have a look at what else we can we can get to, or how else we can support you in your business goals what it is that you’re trying to achieve in that business to business space. Look, when it comes to identifying your happy, cust and satisfied customers from the perspective of business to consumer, social media is going to be your best indicator at that point. So you know, if you’re in that hospitality, track or tourism or anything like that, you can have things like TripAdvisor. You can have user generated content across social media platforms like Instagram and Facebook, you know, Snapchat and these days even TickTock so all of those different things are going to give you opportunities in terms of finding those people but you really need to identify those promising accounts and customers because then you can build that relationship in a way that makes you their problem solver. So again, if you’re positioning yourself in a way that you’re the problem solver for these people, then it’s an opportunity to be the go to. So if you’re always front of mind with your customers in a positive way, then it’s going to allow you to get a lot more sales and keeping your customers close, keeps them sticky. So it’s also going to aid in your retention. Okay, so all of those things allow you to increase your share of wallet from that perspective.
One of the other things, though, that you really need to know who are your struggling accounts. So who are the people who are at risk of jumping ship? Okay, so you probably have a few customers right now, like it or not, that are considering jumping ship for a competitor. Now, it might not be because you have upset them or even that your service provision hasn’t been Right, or even that your product is deficient. The reality is that we have other business owners and managers out there who are prospecting for business. And you often have people who get cold called, they’ll get cold emails, you know, particularly in the digital marketing space, it almost happens daily, you know, one or two of my clients will get an email from someone promising them the world. Now, the beauty of knowing who your struggling accounts are, means that you can start to address that before they jump ship, you know, so, again, if we go back to that net promoter score, and looking at those kinds of things, how you’re going to know that we have struggling accounts by asking that question is these are the people who are in the 1 to 3 Okay. 1 to 3 even even four and under these are your detractors. Okay, so they’re not happy with the service, potentially. Maybe they’re not happy with your communication. Maybe they just don’t like the account manager that you’ve given them or the account rep that they’re working with. So if you’re looking at all of these things, it’s really just about you know, matching the right people to deal with your customer and resolving any issues that are going on. So now a great example of that is I used to have a client a long time ago. He is a high D on the disc profile, okay? So very similar to myself, bullet point person, just want someone to do the job that they’re getting paid to do, and not get stuffed around in the process. And I don’t want to overthink it. I don’t want all the detail. And originally when I had matched one of my staff to him, the person that I’d matched to him was completely the wrong person. Okay, so they were really detail orientated. They like to over explain things they wanted consistent and constant feedback from the customer. You know, they were really diligent, but they were really bad personality match because they sat on that s end of the spectrum on the disc profiling. So if you have a customer that sits in that high D, and you give them an S type personality to deal with, they’re going to get frustrated on a regular basis. So not just looking at the direct detractors and why they’ve become a detractor, but also, having a look at the personality matching of your staff, to your customers also becomes really important. So as we find and identify these struggling accounts, you will need to put something in place that will allow you to start addressing that. And so again, the quarterly NPS health checks, as I call them, you know, are really fast and efficient way to identify that but there are other ways that we’re going to go through in the next segment that will allow you to identify those things as well. Okay.
And then we need to actually know how to start cross-selling and upselling at the transaction level, so now that you’ve got a list of customers to target, whether they’re the unhappy customers or the customers at the top end, it’s time to start expanding their accounts. You know, often you’ll find that you’re unhappy customers are unhappy because you haven’t proactively identify the additional products or services that they need that are going to make their life easier. And this can also come from your sales staff, being afraid to ask the question sort of volunteer solution. So if you have an order taker, sales teams, that will bring you unstuck very often because they’ll take the order but they weren’t proactively generate the order which is what we really need them to do. So we need solutions provision sales teams, who are also interested in fostering and growing the relationships they have with their customers, not just you know, having a nice friendly conversation but actually becoming part of the customers network of solutions providers. So yeah, from there, then we get down to expanding at the portfolio level. So here your goal is to prove your value and become the preferred provider for products or product groups where you have minimal traction right now. So these might be new products or services that you’ve put on, that you now providing to your customers. Or it could just be that they’re low sellers, okay. So they’re things that you provide that perhaps highly profitable and easy to make the most of, but you haven’t put any effort into communicating the why to the customer about why these are beneficial, why they should look at outsourcing that to your business.
Okay, so again, getting some clarity around all of the services that you offer and how you market those and communicate them is going to become really important. And at the portfolio level, you want to make sure that you have all your marketing ducks in a row. So what I mean by that is, you know, do you have adequate pages on your website talking about all these things? And what’s in it for the customer and why they would be using those things. You know, do you have content plans on your social media platforms that will allow you to prequalify and pre educate your customer base, because if you’ve gone to all the effort of getting them to follow you on social media, then you know, you also need to make sure that you’ve got the most of them in terms of them then coming back and repurchasing from you. So expanding things at the portfolio level is often got a lot to do with your marketing once you’ve done the market research, because the marketing should be supporting your sales team and their goals and what it is that you’re trying to achieve. After that, we need to look at leveraging the power of pricing. So the key to increasing a share of wallet by customer is to make the transactional pricing so tempting that I can’t pass up the deal. Okay, so an attractively priced product mix strategy makes all the difference. Now product mix is different for everybody. You know, in business to business, the golden rule is, you know, bundling things into you know, bronze, silver and gold, you can pretty much guarantee most people will go for the middle track. So they don’t often want the cheapest track. But be careful when you do that, that your bronze packages or whatever it is that you’ve created, works, okay, in terms of you still making money out of it. So we’re going to then go out of our way to make sure that we have, our pricing is in train, it’s pricing that the market will bear. So the other thing that you need to be aware of is you can often increase the pricing incrementally to a point where you start to say, actually, you know, here’s the pricing tolerance level and this is what we’re going to be able to do. So we’re shortly going to take a two minute break and when we return, we’re actually going through the house. So we’ve gone through what it is that you need to be aware of. We’re gonna get on to the how you do all these things and how you make the most of it, but bear in mind that this is a network not just a radio station, so join us and become a member of our insiders network by going to our website and clicking the Join Us link. Make sure you connecting and interacting with us on social media on Facebook or Instagram, LinkedIn and Twitter IBGR network. Be sure and come and find me on my socials. You’ll find all of those at the bottom of the show notes which you have hopefully downloaded. You’ve been listening to Episode Seven. We’ll see you soon.