Get It Right and Satisfy Customers, Not Satisfice a Situation for the Sale

Recently, I’ve written about two aspects of the sales funnel that are typically overlooked though they directly contributing to revenue.  However, you’ll never reach the right customers without a successful branding process and you won’t be able to sell products (or services) if you don’t understand your competition from a shifted perspective.

Now that you know what your potential purchases aren’t getting from the marketplace and have identified who your company truly serves, the next best step is to capture how you can satisfy the right customers.

There are all sorts of acronyms for the sales funnel.  TOFU, MOFU, BOFU… AIDA… ARC… SPIN — you get the point (even if you don’t get all the acronyms).

A robust sales funnel has six stages:

• Awareness -  this opportunity may be achieved through organic or paid email marketing, search engine placement or social media messaging where you are identifying prospective consumers out of the entire client opportunity
• Consideration - once the connection has moved to interest, consumers begin searching for information to evaluate how they can meet their identified needs through website research and eCommerce reviews
• Preference - this stage cultivates relationships and can influence perceptions on the value of your solution, where informed consumers make a well-timed decision for the best product or service for their situation
• Purchase - once the conversion has been made for the consumer to become your customer, using a systemized follow-up methodology that doesn’t rely on human memory improves opportunities for touch points and increased positive interaction
• Loyalty - repeat business is essential, though if ‘forced’ or achieved via lack-of-choices, your business is contingent on satisficing needs
• Advocacy - leading to increased revenue, the best funnel is supported by word-of-mouth endorsement

Wait.  What’s that word satisficing? It happens after sales, after all the interaction and research, so you must have done things right, right?

Wrong.

If you’ve put the wrong effort into getting any sale, then you aren’t satisfying anyone (except maybe a short-sighted sales manager).  What you’ve been doing is throwing spaghetti on a wall to see what sticks and gets you to your target number.

That’s satisficing — it’s taking a “sales suspect” and giving them most of what they want rather than fulfilling all that they need with your solution.

Here’s an example.  You sell two microwaves (one at 1100 cubic inches at 700 kw power and the other at 900 cubic inches and 1000 kw power).  A consumer needs a microwave, and he likes to reheat leftovers quickly.  This means a higher power machine.

Mr. Consumer comes to your website and sees the two options. But the higher power microwave won’t fit his current leftover dishes.  So he will either have to shop for new dishes after buying your smaller cubic inch microwave or he will have to wait longer to heat his meal evenly.

This is satisficing — it makes the consumer pick something he doesn't want to get an option he does want, where he is not being totally satisfied with the process or prospects even if he purchases from you.

While easiest to describe in the purchase and post-purchase phase as its easier to quantify, this may occur in every and any phase of the funnel.  

This is when you could be satisficing:

• Awareness satisficing -  providing a limited opportunity for learning about your products or (perhaps worse) giving the right message on the wrong channel where your future loyal customers don’t listen 
• Consideration satisficing - having inventory available immediately, though it doesn’t meet the specifications the future loyal customer wants (this is a needs-based miss), or having gaps in your communications strategy for web research
• Preference satisficing - frequently involving delayed or delinquent responses to inquiries, or involving a top-heavy sales pitch without reliable facts and outside endorsements
• Purchase satisficing - shoddy packaging, generic (or absent) thank you messaging, or not having the right suggested complementary purchases that exceed expectation stop your sales funnel dead in the water
• Loyalty satisficing - a one-time customer will not return to your company for future needs 
• Advocacy satisficing - the only impact here is negative if you’ve failed in any previous step

Strong strategic branding addresses the first three errors, which is why you spend time before pushing a product to answer the right questions.  Beating the competition before you get started addresses the last three errors thereby avoiding quicksand.

Don’t just set the target numbers and hope to make monthly sales, or you won’t have very many months to make sales. Fix it.  Do the right thing at the right time by identifying what people want and then giving them more.

Remember, there is a human behind the curtain even in the new “fake news” filters, a future topic in these articles where we’ll discuss the importance of real reviews versus the rumor mill affecting your business.

Heather M. Hilliard is Principal and Chief Strategist for R. Roan Enterprises, LLC, a professional services consulting firm supporting businesses in pointed areas of expertise as well as with individuals for targeted projects or career development. For more articles like these, visit her posts on LinkedIn or on G+. 

#seizetheday, #makeithappen

Four Steps to Beating Your Competition

The economy is growing, so logically there are more people doing business.  More competition is still competition (even if it’s bad competition) — you end up distracted by figments instead of attracted to substance.

In this new year, on this day of “manifesting the best” in each of us, we should each focus on revelations that make us better.  Today’s topic is competition.

This isn’t a B-school SWOT analysis or a social media storyboard.  It’s a fundamental shift in your approach.  Buzzwords like schema, perception, analysis are great only when you take these small details and incorporate them into large game-changing practice.  See the trend about you and your application of knowledge rather than checkboxes or scorecards.

It’s day six of the new year (the fourth business day), and here are the four things you should have already done this week:

• Make sure you understand the industry tomorrow.  There are direct, indirect and substitute types of competitors, but that’s only looking at what exists today.  Don’t look at the gorilla in your sector; instead, look at the tiger cubs.  There are resources focused on VC recipients and patent registrations - use them.  Don't be shocked when a truck you didn’t see overtakes market leaders.  Look beyond the easy answers (like Silicon Valley players falling to hype) to those with a hunger to get ahead (like Syrian girls in new industries).

• Learn how language is shifting, both at companies and by consumers. Though you may read a lot, if you aren’t in the trenches at some point on a regular basis you will lose your communication edge.  Don’t leave it to an agency to tell you what keywords matter!  You should be defining the topics that will resonate in the market that position your brand as the solution.  Trends don’t matter in and of themselves; trending topics occur because there are people looking for solutions to problems. 

• The Internet of Things is still a function of human design.  The electronic web is still fueled for growth by people making decisions.  While cars may drive themselves, they are not free from human monitoring, programming or intervention.  Design is attractive and what draws business.  Consumers may be irrational, but if you figure out a new way to use the box or build a better mousetrap, connecting via the internet remains a tool for consumers rather than a limited decision tool.  Figure out how you use what you know in the next 18 months. 

• Scope and scale are critical to success.  Like the introductory paragraph notes, your business isn’t competing with everything; it’s only taking on those organizations which you identify as worthy of effort.  Typically, this is the big pitfall of new managers and established leaders — emotional decisions to protect turf override common sense.  This isn’t saying ignore a “gut feeling.” Don’t confuse an ocean with loyal customers’ purchasing habits; know who you are before you pick fights with insignificant non-competitors.

It was 2016 when we were reminded to understand who you are before you decided where you are going.  As you finish with the fourth business day of the new year, if you haven’t truthfully considered your strengths and direction, complete a cram session this weekend so you don’t miss out on next week’s deliverables.  

The next few weeks of articles will address core topics for improvements to focus time efficiently and sort through the noise  — stay tuned for more ways to improve the things in your world.

Heather M. Hilliard is Principal and Chief Strategist for R. Roan Enterprises, LLC, a professional services consulting firm supporting businesses in pointed areas of expertise as well as with individuals for targeted projects or career development. For more articles like these, visit her posts on LinkedIn or on G+. 

#seizetheday, #makeithappen

Just the Facts

It’s the end of the year, a time when a lot of businesses ease off the gas pedal - not because they want to give employees a break, but because they are misinformed about consumer behaviors.  This irrational input into a decision matrix loses revenue for companies around the world.

I usually write articles around hot topics to inspire, educate, encourage... helping you sort through the noise and get to the important things in life.  Well, year-end sales certainly fit this model.  If you aren’t engaged in the realities of business instead of off-target perceptions, you won’t do what’s important for customers.

If you knew the facts…

…that the fourth quarter is the new first quarter, you may be more inclined to go running into the new year with a bang on your financial statements…

…and B2B growth occurs as customers surf the internet for next year’s partners, your efforts now to reach out will be rewarded…

…so respectable sales across industries (not just retail sales) can help exceed your company goals by maintaining focus through the end of the year…

… you could keep your target market’s attention with:

• Attention-grabbing branded messaging.  This does not mean it needs to be “crafty” or “slick” — in fact, those things can hurt you.  Just as you are busy, so are they.  Know what your customer wants to hear through some valid market research to save time and headaches if you have to look back and wonder why you missed your 4Q goals.  If fewer companies are looking to be heard through cacophony of holiday ads, your messages are likely to hit the mark.

• Credible claims.  Don’t stretch the truth and don’t claim to be a company that you’re not.  Customers viewpoints are savvy and more educated with direct applications to help them sift through the distractions in life.  Third party endorsements are good only when they will mean something to your customer base; likewise, paid spokespersons are less effective than twenty years ago.  You can improve credibility by “walking the walk” and putting effort into strong brand foundations that help the market see what your company really does.

• Quality delivery.  The days are fading when people wanted “more for less” because they realize paying a little more for quality goes much farther.  In your products you demand excellence, so why not in your messages to customers?  Pushing strategic marketing teams for fast statements without the backbone of the product infrastructure completed is a waste of money.  Let those who are trained to perform do exactly that, and manage your own expectations when you hire superstar people to get the job done right.

By not following tradition, you can capitalize on a bit of the sales revolution by modifying your business plan.  Improve upon past performance and start the new year ahead of the curve.  Begin implementing your business’ revolution today — yesterday was for you, today is for your investments and tomorrow is for your dreams.

Heather M. Hilliard is Principal and Chief Strategist for R. Roan Enterprises, LLC, a professional services consulting firm supporting businesses in pointed areas of expertise as well as with individuals for targeted projects or career development. For more articles like these, visit her posts on LinkedIn or on G+. 

#seizetheday, #makeithappen

Negotiate a better salary - three tips and tricks

Nobody cares about you, honey - it’s all about the business.

You have to standup for yourself.  When passing into the “you’re hired” phase, many so-called experts tell you to highlight your good qualities when trying to get a better deal.  Wrong.  

With more than seven billion people in the world, the odds of someone else having those experiences and skills - even in a small town or a particular industry - I’d make a call to Vegas and wager money against you.

However, notice where I focused that last sentence - on the numbers.  It’s about numbers that work in your favor.  You need to show the new business that you know how to count. So what numbers should be important to you and why? 

Here are three tips on how to negotiate a better package from a new employer.

Problem one is all about that base.  Thanks, Megan Trainor.  The base is the focus, not the treble or other benefits.  That comes later...

Problem One: You are offered a lower base salary than you want.

Answer One: Look at the average base salary for that position in the city or region.  Then, also research the average years of people in same position.

Option One Part A: The base salary offered is lower.

Solution One Part A: You counter with knowledge of the industry by providing the average salary in a given area and incorporate the years on the job of the person in the role (if it is the same or less than yours).  Hard for a company to justify how they value you less than someone that’s average - and you don’t even have to explain how you’re better than just “average.” Use salary.com, glassdoor.com, payscale.com… you get the drift.  Compare a few, too, as Salary uses numbers from industry but Glassdoor uses employee self-reporting.

Option One Part B: The base salary offered is higher.

Solution One Part B: Don’t necessarily negotiate the base until after you review what’s next (but know you’ll likely take the offer and just want to see how to sweeten it).

Problem two is they better recognize.  Thanks, Honey Boo-Boo.  They need to recognize your work contributions...

Problem Two: You are offered either a lower merit bonus or no merit - or worse yet, a “team” bonus.

Answer Two: Refer back to Answer One. 

Option Two Part A: They offer a low or no bonus structure. 

Solution Two Part A: A bit longer explanation as bonus payments are more complicated… Review how their base salary offering compares to the average base in your profession for your job for your region for your years of experience.  If no merit is offered (or an older-model cost of living set increase), leverage it with the Solution One and a combination of your own past reviews (if they were good) to show your contributions.  Give them facts about your sales exceeding target, your patient satisfaction survey results, your student evaluations - whatever it takes for third party data to show them what they are getting.  Don’t say how great you are - third party acts are WAY BETTER and more successful. After all, you have nothing to say if the response is “no” if you just told them you are wonderful, but with metrics you can still have a second round of discussion.

Option Two Part B: They offer a  “team effort” bonus structure.

Solution Two Part B: Again longer explanation, but for a different reason than Part A. This is generally a no-win bonus as almost every job today has some system that, regardless of what you call it, is manipulated to cover cost of living increases.  Kind of like threatening with a big stick but forgetting a carrot.  These merit structures can’t be altered and this one stinks as it depends on other people not screwing up your money. However, your past performance ratings can influence a bigger base… meaning that the 3% they may say was awarded last year will be larger on a salary that’s $3,000 higher than the original offer.  Combined with the Solution One Part A, you can get a larger base salary (which means better matching for retirement, too).  Combine this personal initial agreement increase based on your past performance with Solution One Part B, you again get a larger base salary.  Refer back to point one - it’s all about the base and guaranteed money.

Problem three is what about me. Thanks, Kardashians.  The “selfie” here though is your bank account and portfolio...

Problem Three: The benefits structure seems lower - fewer days off than what you have now or less of a retirement match than what you have today.

Answer Three: A variation of Answer One - it’s all about where you start the count.

Option Three Part A: If you are leaving a company that gave you additional days vacation after your years of loyalty, tell the new employer.  State your current paid days off, sick time, or PTO.  Speak their language.

Solution Three Part A: This is a give-away for them.  The starting "days off" package is nearly always negotiable.  If you have experience in the industry - especially at a direct competitor - this is a good area to let them know they are not as generous as where you currently work.  You don’t need them (though you may want them) - they need you and is the last thing you review.  With the above steps, they should already be paying you appropriately at this point anyway, so putting extra “V”s in the system is easy. By gaining your experience and not a starter position that would only earn the intro rate, you can leverage what you know and how long you did it somewhere else as a reward, too.  But don’t let this be the deal breaker if you’ve already handled One and Two.

Option Three Part B: The new company doesn’t match as high of a percentage for retirement or takes longer to vest their contributions to your program.

Solution Three Part B: As this set-up is extremely unlikely to change, reframe it; let them know how the math works out against you, making their offer seem cheap (don’t say that literally).  Pretend you couldn’t get a better base for the sake of math here. Both jobs are annual $100,000, but the new job offered only 3%of salary match instead of 6% match of you current employer. The new job is actually paying you $3,000 less a year - over ten years, that’s $30,000 they don’t give you (forget the investment interest).  And I didn’t even do the “harder” math of raises, promotions, or that merit bonus - so it becomes more than $30,000! Effectively, this puts your negotiation back at Option One Part A - so you need to get this loss back into your base and you can tell them this component of your request to raise the base is so you can replace the decrease to your retirement contribution at the new company. 

There’s a lot of talk about underemployment in the supposed economic recovery from the 2008 recession in addition to gender pay-gaps in certain fields and other job trending information.  Any reason for the reduction in overall wages, sluggish increase in pay, or effective results lowering by age (younger or older) or gender - people aren’t sure how to get what they think they deserve for their skills.  They don’t want to lose a chance… but will regret taking a position if they didn’t try to get what they think they deserve. If you are professional during the negotiation, it only bodes well as they know you know your business and are willing to invest in your best project - yourself.

Going back to the beginning of this article - if you don’t look out for yourself, no one else will.  Have a cheerleader to remind you how great you are, but talk numbers when you are looking to take something from them to the bank.

Sound of Chaos versus Sound of a Butterfly

This is the time of year when many people consider how to change their lives (so they can "check the box" for New Year's Resolution), yet they are so busy running around that they don't actually make improvements in their lives.  They don't take the time to think how small changes in themselves can change the world.

There is a phenomenon called the "butterfly effect."  When the smallest of events - the beating of a butterfly's wings - can alter the course of other events.  The person who researched it most used the example of how the movement of wings several weeks prior can impact the formation of a hurricane.

That's a pretty significant impact for something so small.  Juxtaposed to chaos theory of the 1890s, this 1960s revelation shows how simple systems make a huge difference.  

It also lets us know that however prepared we'd like to be, we never know all of the conditions that impact an outcome - we never know what butterfly could alter our lives when it's on its normal path.

Think of the difference your smile can make as you complete those errands - perhaps you help distract an upset child as he's being toted along another person's list of things to do.  What if the pennies you left in the change dish by the register meant that another person at the checkout could buy the bag of flour needed to make cookies for a sick relative?

Conversely, when something pretty amazing takes shape in front of you, don't rush to get to your next errand.  You should stop and see what develops from a moment of randomness, such as this Paris train station moment.  Even time seems to stand still when the broadcaster stops reading the schedule so the butterfly effect impacts everyone nearby.

http://m.huffpost.com/us/entry/5679f8a9e4b014efe0d780a6