Where oh Where are your customers?
According to a recent Harris Poll, probably surfing the web.
Having an online business presence makes good sense. A website can be a greatmarketing channel to capture customers who may not frequent brick and mortar businesses.
Consider this recent Harris Poll by Harris Interactive. In December 2009, a new poll found that internet users are spending an average of 13 hours a week online. (Usage varies – one in five adult users are online for two or fewer hours and one in seven are on for 24 hours or more.)
From 1999 to 2002, adults spent an average of 7 hours a week online, and from 2003 to 2006 they spent approximately 8 to 9 hours. In 2007 usage increased to 11 hours and last year, after the financial crisis, it jumped to 14 hours.
A few of the likely causes for the increase are that people are becoming more adept at using the internet, they watch TV more often online, and they purchase more frequently online. The recession is also considered to be a factor as people have a tendency to stay home more often.
Whatever the reasons for the increase, it is becoming more crucial for companies to have some online presence. Fifty percent of all of those polled stated they had made a purchase of products and services within the last month. Adults aged 30 to 64 were more likely to make purchases than those who were under 30 or over 65. If your target market lies in the 30 to 64 age range, there is even more incentive to set up a website and begin to drive people to it through a variety of marketing channels.
The Path to Direct Mail Success
Target your mailing. Whether you purchase mailing lists or create lists of your own, the more you zero in on your ideal customer, the better your results.
Write right. No matter how many words you use in your mail piece, make sure the copy is compelling and correct.
Clearly outline the benefits to your reader. Remember to include the features and benefits of your services or products.
Create compelling headlines. A headline is the first item to capture attention – be sure it succinctly sums up your point or offer.
Include a call to action. Consider what you want the customer to do, and then be sure to ask them to do it. Ask your reader to use a coupon for a discount, pick up the phone, or visit your website and enter a discount code.
Use memorable clean design. Clean, simple design that helps you get your point across will be more useful than design that obscures your message.
Proofread! You spend a lot of thought and time on your mailings. Spend a little more time and be sure all of the information is correct.
Keep your database up-to-date. Using in-house lists? Make sure they are kept current. Do not waste money mailing to bad addresses. Update or delete bad addresses after each mailing.
Be prepared to follow-up. Follow-up with another direct mail piece that offers an increased benefit, a phone call, an informational mailing, or any other necessary marketing actions.
5 Effective Alternatives for Selling your Products and Services
When entrepreneurs first start a business they understand that they alone have to sell their products and services. All owners reach a point where they ask themselves, “How can I sell my products or services better?” As a seasoned executive with over 30 years experience, including VP of Worldwide Sales for a $35 million division of a multinational corporation, I’ve identified 5 effective alternates for selling your products and services. Let’s go through the positive and negatives of each one!
1. Owner as Rainmaker
As the founder and owner you know the Product and/or Service best and truly understand the true costs so you are less likely to undervalue the product. Most clients prefer to work with the owner because there is an assumed trust since the owner is not considered a “salesman.” The problem of course is that the owner takes to selling usually when business tends to slow and what happens is this takes away his focus from running the business. When the owner is selling, there is little time to stop and establish a sales plan?
Luckily there are other options available!
2. Inside Sales Personnel
A direct, hourly Employee who sole purpose is selling and providing Prospects with Pricing, preparing written Quotations is a great alternative. These inside sales reps are trained so that they are able to Handle Technical Questions and many companies have inside sales reps deal with both Existing and New clients. By working with existing clients, the sales rep are able to up-sell them. Each business is different but inside sales reps are frequently responsible for Some “Cold Calling” and they have limited ability to negotiate discounts. Because they are direct hourly employees, they may participate in a light Incentive Program of between 1-3% of sales value.
3. Outside Sales Personnel
An outside sales person is typically a Direct Salaried Employee. They are normally on a Commission/Incentive Plan. They need to have extensive technical knowledge of the product or service although they could rely on an inside application engineer, depending on the type of company and it’s product complexity. Outside sales personnel may deal with both existing and new clients but there time is best spent working on acquiring new clients. It is important that territory and assigned customers be clearly defined. Written guidance is required on what authority exists on discounts and other concessions. One of the biggest challenges for companies is establishing an effective written commission plan that will motivate the employee, yet not create any administrative or financial problems.
4. Manufacturer’s Reps/Agents
These are not employees and paid only on sales closed. Companies usually pay the commissions, which can range for 5-20%, on a pay when paid basis. It is important that the company identify a proven manufacturer’s rep organization that is well recognized in the industry and is committed to support the companies goals. Agreements should not only address the companies goals, but should have legal review to ensure that they are in compliance with all laws. Many factors need to be evaluated prior to using this sales channel. Agent is a term that is normally restricted to international sales and advice should always be obtained before appointing an agent.
5. Resellers/Distributors/Private Label/OEMs
Although each of these terms is unique, they have been combined for the purpose of this discussion. The key factor is that they buy and resell your products. However they are representing your company and it is important that a detailed contract be executed. In some cases you may be granting them an exclusive right in their defined market to promote and sell your products. The reseller usually buys your product based on an order already received. Distributors usually have a list of defined products and prices that they can quote. Some, but not all, distributors will actually hold inventory of your product. Because they take title you have to be careful in how much you try and control their sell price. A private label situation is when you reach an agreement that the seller can place their name on your product an sell it as if it was their product. An OEM is a company that uses your product as an integral part of a larger device that they are selling.
With over 30 years experience as a Senior Executive (President, Executive Vice President, Managing Director, Director) in marketing, sales and operations, David Barton heads up Global Management Advisors LLC. He can be reached
Keys to a Successful Relationship with Independent Sales Representatives
So you hired a commissioned Sales Representative, now what? Here are some thing to remember as you embark upon a new sales strategy using Sales Representatives:
- Implement a signed contract with them covering their territory, their product line, your product line, payment terms, their responsibility for collections, and termination procedures, and contract life.
- Keep them informed about inquiries, new orders, and shipments to customers in their territory.
How to Increase Sales In a Slow Economy
Most business owners are not equally qualified in every facet of their business. That is why we hire specialists to round out our organization’s team. However, today you find yourself with shrinking sales and you just can not find the cash to pay a new sales person. It’s time to create sales yourself. Here are a few ideas’ that helped me when I was in your position.
- Designate the first hour of each working day to be spent on personal selling. Thank customers for their recent order. Start with the most recent and work backwards.
- Listen to your customers and be willing to adapt your product and service to their needs.
