MARKETING IN THE BAD TIMES: HOW TO SELL MORE OF YOUR
PRODUCTS AND SERVICES EVEN IN A RECESSION!
By Dr. Jeffrey Lant
You don't have to be John Maynard Keynes to know the
American economy is sickly. Day after day we keep getting
hit with a litany of awful news that gives us business
owners a sick feeling in our stomachs. Couple this with a
war, the new federal taxes and a whopping postal rate
increase thrown in for good measure, and it's no surprise
Advil has become our drug of choice.
But the truth is, we don't have to roll up and die during
bad times like these. There are things we can do. And I'm
going to check them off right here and now so that you can
continue to sell your products and services and avoid as
much of today's pain as possible.
Have A Plan
One of the reasons many business owners are at risk during a
recession is because they don't have a plan to get through
it. It isn't enough, Oliver Twist-like, to simply want
"more", you need to set a precise objective -- and then work
towards it daily. Thus, if you want to get through this
recession in good shape, write down your overall sales goal
for the next six months or a year. Then break this down into
sub-objectives for each of your products and services. You
can't achieve an objective unless you know what that
objective is, so give yourself an overall sales objective
and objectives for each thing you're selling. Now post them
so you can see them every single day.
Spend Your Time Where There's Money To Be Made
Recessions necessitate focus. You can only spend your time
and resources where there is a good likelihood they'll pay
off. Thus, you've got to know where you've been making your
money... and where you haven't. Thus, divide the receivables
into these categories:
- major accounts. These are people who regularly buy
substantial amounts of your products/services and who
account for disproportionate amounts of business compared to
the time you put in tending them.
- potential major accounts. In your professional opinion,
these are people who could buy more of your product/service
if you made a good case. You've simply got to target them
for development.
- smaller accounts. These are people who buy some of your
products and services once in a while but are not, in your
considered opinion, going to buy much more of what you're
selling. Or they are new accounts you've just started
working with.
Let's take a look at what you should be doing with each
category.
Major Accounts
In good times, people get lazy about their major accounts.
They've made the connection way back when, now month in,
month out these sales roll in. Because humans almost always
prefer sloth over action, these major accounts, no matter
how important they are, often get neglected. But in a
recession, you just can't neglect them. Thus, target each of
your major accounts for attention. Call -- or where
appropriate visit -- each account to find out the following:
. what are their plans for the near- and long-term;
. where might your products/services fit in;
. how do your products/services help them;
. are they assessing any competitive items to what you're
selling?
During your meeting, take the opportunity to present
information on other products/services you've got... and
where you think they might fit in to your major account's
priorities.
Confirm anything you've agreed to in writing... and follow
up appropriately. Resolve to stay in close touch with this
account and to do what you've promised to do quickly.
Note: just recently, I had a meeting with the sales
representative of a major printing firm that wanted some of
my business. I asked the sales rep to prepare for this
meeting by bringing two specific pieces of information to
it. Despite the fact that he had over 2 weeks to get them,
he came entirely unprepared. Further, during the meeting I
asked him to gather for future reference information about
certain kinds of papers, rates for inserting material, etc.
I waited two weeks for this information and then called him.
When I did so he admitted he hadn't gotten this information
either... and had, in fact, completely forgotten about
sending it. Yes, he was unprepared again. Yet this man
considers himself a professional, considers that he is aptly
representing his company and no doubt thinks he's cleverly
establishing a relationship with me!
However, I feel nothing but contempt for someone who so
obviously doesn't know how to establish a business
relationship and feel sorry for the company that's paying
him. Not only are they not getting their money's worth but
his ludicrous "business" practices are in fact actually
jeopardizing the account everyone in that company says they
want to foster. This is both stupid and sad, of course, but
there is a lesson here for you! Heed it.
Potential Major Accounts
These are people you've decided could buy substantially more
of your product or service but for one reason or another,
you've never made much of an effort with them before. But
this is a recession! And now you've got to hustle. Therefore
once you've identified these prospects, here's what you
should do:
- draw up a "you get" list for each customer. This is a list
of benefits they get from doing business with you. I call it
a "you get" list, because each benefit you offer the
prospect starts with the words "YOU GET... " The benefit
then follows. Now I'd like to point out that while you're
working on this list in your office, you should consider it
a draft list. That's because after you talk to the prospect
either by phone or in person, you may very well alter the
list, changing items or their priority, based on what the
prospect says. Don't worry about that. The important thing
is that you have a preliminary case for the prospect about
he gets. Note: if you meet with the prospect and intend to
hand this list to him, clearly mark it "draft" and tell him
when you'll be sending the amended version based on what
he's told you.
- once you've got your list, schedule a visit either by
phone or in person. Note I say "schedule." Don't just call
up and expect the prospect to drop everything to talk to
you. Major account visits -- especially in a recession --
are terrifically important. Remember, they represent the
possibility of substantial future orders with minimum
maintenance. Therefore, ask for the amount of time you'll
need (30 minutes is a good estimate) and schedule this time
in advance, even if you have to have the meeting by phone,
as I have so many of mine.
- take notes during the meeting. Learn from the example of
the disorganized and, yes, disrepectful, sales rep that I
cited above. You need to know what the prospect wants, what
his plans are and intentions, and you need to know what he
needs from you to be able to factor you in to his plans. So
be prepared. Personally, when I'm calling my accounts, I use
the phone at my computer terminal and simply enter the
information into a form I already have in memory. This means
I don't have to transfer data from my execrable handwriting
into the computer, thus saving time and ensuring that I have
complete notes for the meeting.
- follow up appropriate items promptly. This may seem
obvious to you, but I assure you that the follow-up skills
of most Americans are atrocious, as my example above
illustrates. Conclude each meeting, whether by telephone or
in person, by ticking off exactly what you've both agreed to
do... and when you will be doing your part. If it will take
you more than two weeks to get the details you've promised
to the potential major account, then send a note reiterating
what you've promised to do and when the prospect can expect
the information he needs. This note should go out at once.
Getting new accounts at any time, and particularly getting
them in a recession, is primarily a function of just two
things: 1) the benefits you have for the prospect and 2) the
systematic way in which you present these benefits and
follow up any and all engagements you've made with the
client towards securing his business. Thus, Benefit +
Systematic Procedure are your watchwords.
-- Smaller Accounts
All accounts are not going to turn into major accounts. Each
business derives a certain amount of its income from
smaller, intermittent sales. That's life. However, you can
help yourself here, too, by:
- making sure all your marketing communications concentrate
on the "you get" benefits;
- creating offers that get these smaller accounts to buy
faster and buy more;
- targeting these accounts at regular intervals so they
never forget who you are;
- remembering to ask people who have just bought to buy
again immediately.
Let's take a look at each of these points.
"You Get..." -- Again!
Here we are again back at "You Get..." It you expect people
to buy from you, especially in a recession when everyone's
money is tight, you've got to spend some time on developing
your "you get" case. The most important things to keep in
mind about the "you gets" is that they must be:
- as specific as possible
- in priority order... the most important for this
particular prospect coming first
- plainly delivered and believable.
Keep in mind that the "you gets" are like a sledge hammer. You're pounding the prospect on the head, saying "You get this benefit you want," and "you get this other benefit you want," and "you get this other benefit you want". Finally it dawns on the prospect YOU CAN HELP HIM!
Adding The Offer
All these benefits that you've presented clearly will tempt
the prospect. They may, indeed, actually persuade him to
take immediate action. But probably not. He may well reason
that, though desirable, these are your standard benefits and
that they are available to him whenever he decides to take
action. But in a recession, later is fatal; in a recession
you need the money and the business NOW! This is where the
offer comes in.
The offer is a prod designed to motivate the prospect to
take immediate action and so acquire the benefits he wants.
There are many different kinds of offers -- free freight,
two for one, extra product, free premium, etc -- but what's
important is that the offer be a real benefit to the
prospect and that the offer be limited. That is, unlike the
benefits (which may seem eternal), the offer most definitely
is temporal, available only for a certain amount of time. It
is the coupling of benefit plus limited time that induces
the prospect to respond.
Targeting The Prospects At Regular Intervals
People get business, we know, because of the benefits they
offer, because of the offers they make... and, let me
stress, because they are persistent. Over the course of the
last 12 years in business, I can't tell you how often people
have told me that they wouldn't buy my products or services,
that I shouldn't darken their door steps ever again, etc.,
etc., etc. But Selective Hearing is a necessity in the sales
business and if I were certain that I had a substantial and
meaningful benefit for the prospect, I continued to bring
that benefit -- and the motivational offer -- to the
prospect's attention whatever he said. Because I knew in the
final analysis my package and my persistence would triumph.
Using this method, I became a millionaire. Without it, I've
watched literally thousands of my fellow entrepreneurs
falter and fail.
Thus, you must create a process not merely for getting in
touch once with your prospect but for staying in touch with
him. How you'll stay in touch directly depends on how
valuable his potential business is. Major accounts
necessitate regular personal and telephone follow-up.
Smaller accounts can be handled through:
. newsletters
. catalogs
. card-decks
. co-op mailings
. flyers and postcards, etc.
But the key is that you continue to target the people you've
determined are your best prospects and continue to hammer
home your "you gets" and the offers designed to get them to
act fast.
Getting Buyers To Buy Again -- Immediately
A recession, remember, is a tightening of the economy.
People have less money to spend and so fewer dollars end up
chasing more goods and services. The game, of course, is for
you to catch a disproportionate share of the available
dollars. One way you can do this is to induce your buyers to
buy again immediately after they've bought something.
It makes a lot of sense from a marketing view to target
people who have just bought from you. 1) They already know
you and have already trusted you with an order. 2) They may
already have achieved some benefits with your product and
service thus increasing their trust. 3) You can bring your
marketing message (your benefits) to their attention for
less money than you can target prospects who haven't yet
bought.
Thus, you should create a vigorous recession marketing plan
designed solely for people who have just bought from you.
Here are some ideas how to do this:
- Insert Program. What astonishes me is just how few of the
packages, I receive come with any further offers. The
company acts like what I've bought is the only thing they
want to sell me and like it doesn't matter to them if I ever
buy anything else. That's just plain stupid. One of the key
objectives of marketing is to get your prospect to read your
marketing message; if I've ordered a product and service,
you can be sure I'm going to look at that package... and
that there's a fairly high likelihood I'll look at other
things that come in the package. Thus, use this situation to
get another ACT NOW marketing message to your buyer.
As above, design a "you get" marketing communication
targeted to this prospect. And make sure it rides along with
every one of your products and services. More, make sure you
put such a flyer in every one of your outgoing pieces of
mail. The flyer I'm currently using is headed "Get Yourself
A Check For Up To $3,000 -- For Just A Few Minutes' Work"
and provides details about how the person can get a fast
check from me just by networking me into a speaking
assignment (by the way if you'd like to participate in this
recession-proof bonanza call me at (617) 547-6372 and I'll
send you the details). This flyer goes out with ALL my mail
and packages and is a regular money-maker.
- Upgrade Program. The upgrade program is particularly
useful when you sell on the phone, when you take catalog
orders, etc. After you've taken the customer's order (and so
discerned what he is trying to accomplish now), propose
other items that the customer may want to achieve his
objective. Thus, when someone calls to order one of my
books, I helpfully suggest other complementary titles.
Positioning yourself as helpful, not just a product/service,
seller will result in at least 10% of those calling you
placing larger orders -- and thus giving you a larger income
at the time you need it most.
Last Words
Too often good times mean people slack off. They don't have
to work very hard... so they don't! These same slack habits
in a recession, however, kill you. Marketing in a recession
must be pro-active; while before you may have waited
complacently for people to come to you, in a recession, you
must take full responsibility not only for identifying the
proper prospects, but working hard to refine the benefits
you have for them and bringing these benefits to their
attention in a thorough-going and focused marketing process.
In this way, you will not only survive the recession, but
prosper during it. And if it feels good to be prosperous
during good times, there's nothing more soul satisfying than
continuing to make money while all around you the world is
literally going to pieces. Follow these suggestions and
enjoy this enviable situation yourself!
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Damn the recession! Dr. Jeffrey Lant can help you make more
money selling your products and services in good times --
and bad. Use his best-selling 480-page book CASH COPY: HOW
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Don't forget to ask for FREE DETAILS on his Sales &
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Catalog through which you can order his books at 50 Follen
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