Frustration in the Darkness

The economic frost of the past 18 months has weighed heavily on the psyche of sales and business development representatives at professional services firms.

Although its use in prose is tired, it is certainly true that misery loves company. That’s why my dinner on Saturday night with one of the Washington, DC region’s most accomplished commercial real estate executives was so comforting.

“Q4 of last year was the worst business climate I have seen in the two decades I’ve been working in my industry,” he explained. “I got so desperate I started digging through old files in storage to identify contacts I could call. Made a lot of outreach. No responses. No deals.”

I can attest to that as I have just weathered the longest sales dry stretch in my career. Though Strategic Communications Group (Strategic) picked up additional assignments from a number of existing clients, we failed to win a single piece of new business for nearly six months.

It was not a case of falling short in PR agency reviews. In fact, we only elected to participate in a single formal evaluation. Rather, this desert of sales closes was attributable to the early adopter phase of corporate adoption of social media marketing, combined with the uncertainty created by the down economy.

I did move a handful of deals to the cusp of closing only to have them derailed for some unexplained reason.

Why unexplained? That’s because at the moment of decision my prospect went completely dark. No reply to voice messages. No Email response. There was simply no communication whatsoever.

While I realize telling someone “no” or “not now” isn’t pleasant, simply falling off the grid of communication with someone you’ve built a relationship with is unprofessional and intolerable. At the very least, the honest disclosure of the factors that influenced the no buy decision is incredibly valuable for any sales rep.

Am I just venting? Yes…maybe a little. Yet, I suspect most sales and business development execs reading this post are nodding their head in sympathetic recognition.

Oh, my cold spell is over as Strategic has picked up several new client assignments just this month. Please look for the posting of press releases on our corporate Web site in the coming weeks.

The Jump from Online Connection to Meaningful Relationship

During one pre-teen summer my parents insisted I maintain a group of pen pals. While it was a good exercise to develop writing skills, my interest in these far-off connections fizzled quickly. There just wasn’t any personal bond.

Even when there is emotion involved, relationships defined by a geographic separation typically meet the same fate. Consider all of those long-distance romances that eventually run tepid.

Does this need for in-person interaction also apply to contacts established in social networks?

You betcha! In fact, it is an absolute must if your goal is to derive professional value from the relationships initiated in online communities. There is only so much trust and transparency that can be forged through tweets, Facebook updates or LinkedIn messages.

This past April I wrote a blog post entitled “Three Phases of Social Media Maturation” based on Strategic Communications Group’s (Strategic) experiences implementing social media marketing programs for clients like Microsoft, BearingPoint, Monster, British Telecom (BT), TANDBERG, GovDelivery, among others. It’s during phase three – what I referred to as “The Last Mile” – which more intimate interaction with social media needs to occur.

Here are a few tactics we are employing to make that happen:

1. Corporate sponsored meet-ups: they are an effective way to bring together a myriad of contacts who share similar professional backgrounds and experiences to talk business. We organize and host, thereby positioning Strategic’s client as the community bind.

Better yet, time a meet-up in conjunction with an industry conference or event.

2. Thought leadership Webinars or teleconferences: organized to discuss a particular topic and often featuring one or more speakers, this is an effective way to establish credentials while creating a more meaningful bond.

For instance, a recent Webinar produced by Strategic in partnership with the Software Information and Industry Association (SIIA) has led to a number of exciting business discussions.

3. Good, old-fashioned sales calls: that’s right…there is nothing more powerful than the human voice and its ability to convey meaning and insight. Pick up the phone and call those social network connections. The result will be an important step towards fostering an actual relationship.

The Sunny Side of Madoff

Although he turned out to be a liar, cheat, thief, con-artist, swindler and all around charlatan, Bernie Madoff does present an impressive list of admirable qualities.

OK…let’s put aside for a moment the Ponzi scheme that cheated wealthy individuals, charities, non-profits and a myriad of other investors out of billions of dollars. Rather, focus on the fact that for decades Madoff successfully convinced the best and brightest to put their trust (and cash) in his hands.


Here is my list of Madoff attributes that every corporate marketer and sales representative should aspire to emulate:

1. Get access to the inner circle. The number one rule in sales is to connect with decision-makers who have money. Madoff navigated his way into country clubs, business groups, fundraisers and other professional settings where he cultivated relationships with those with wealth and power.

2. Create an eco-system of champions. It wasn’t merely Madoff pushing his fund. He was able to build an extensive network of money managers and investment advisors who directed their clients into his clutches. This channel strategy brought Madoff the scalability and reach needed to fuel the Ponzi scheme’s thirst for new capital.

3. Build a perception of desirability. This was the brilliance of Madoff’s pitch. A prospective client was informed there was simply no opportunity for them to participate in the program because it was in such high demand. A week or so later a call was placed to inform the target that Madoff would make an exception just for them. Of course, they had to wire the money right away.

Before you express outrage, please understand that in no way do I condone Madoff’s illegal actions or make light of the pain he caused his investors. His life in prison is well deserved.
However, his deftness as a marketer and in sales should be recognized.

Plus, my mom always taught me to look for the good in everyone. It has always been said Hitler was a wonderful dancer, right?

ISO Sales Mojo

During challenging economic times the executive suite often becomes obsessed with any methodology, technique or best practice that may improve sales efficiency.

That fixation fuels lots of activity. Management consultants churn out how-to books at a pace that would put prodigious author Nora Roberts to shame. Sales coaches and trainers organize Webinars to peddle their services. And professional organizations – in an attempt to remain relevant to its membership – organize roundtable discussions and events.

I arrived yesterday at the Tower Club in Tysons Corner, Virginia searching for the magic that would stimulate Strategic Communications Group’s (Strategic) sales mojo. We’ve been fortunate to have signed on with a number of exceptional new clients this year. Yet, the number of new business opportunities coming down the path has cratered in the past six months like no time in our 15 year history. It’s a bit unnerving, to say the least.

A roundtable discussion hosted by the Association for Corporate Growth (ACG) National Capital Chapter brought together three speakers who I thought might provide an in-the-trenches view of sales success in today’s market. Their thoughts, advice and tips were right on target.

Here’s a recap of the most relevant comments organized by speaker:


Cliff Sink
Vigilos

There is no magic formula when it comes to sales metrics. They will be unique to each company.

What most people think of marketing is actually marketing communications. The role of marketing leadership is to understand customers, the company’s value proposition and expectations of the sales cycle.

A famous line from every sales person is, “This deal can open up a new market for us.” Be careful not to enter a market of one.


Alba Aleman
Citizant

Merely measuring tactical sales activities like number of calls or meetings proved ineffective. It created an inaccurate view of the health of the pipeline. Today, we measure each sales rep on outcomes, including quality opportunities, win ratios and sales quotas.

Sales don’t own profitability of a contract. That’s the role of operations management, supported by the executive team.


Jerry Marterella
Market Accel

There are two types of sales pipelines, healthy and unhealthy. And like accounts receivables, pipelines age.

Prospecting for new business is a fly wheel that is always turning. It’s an ongoing activity because timing when the customer has a need is an uncontrollable aspect.

Each company has to uncover its colossal distinction which it ten supports with credibility, coherency and clarity. These are the components of effective messaging.

Never hire a sales person just for their rolodex. They need to bring the business development skills. And, always remember, hire slow/manage easy – hire fast/manage hard.

Why "Sell" Isn't a Four Letter Word

Public relations professionals live in a professional box. Our work and contributions are certainly valuable as the awareness and third-party credibility we deliver creates an environment in which a company can more successfully execute its growth strategy. Yet, the return on investment of a PR spend is inherently difficult to measure.

This is why in difficult economic times there is an across the board cut in public relations budgets, as well as other hard-to-measure marketing tactics such as advertising and brand promotion.

A number of respected communications consultants have argued companies that invest in marketing promotion during a downturn will increase brand awareness at a lower cost, while typically realizing an uptick in sales when the market begins to grow. Yet, this contention falls flat because corporate leadership is evaluated on measurable benchmarks today (i.e. sales and profitability), not some fuzzy hope for the future.

Into this environment arrives social media as a channel to reach prospects, partners, investors, employees and market influencers in a more measurable, targeted fashion. The business case for a company to fund an investment in social media is clear and compelling:

-produces leads from prospects who have self-identified
-supports sales cycle and cross-sell activities
-enhances search engine optimization (SEO)
-increases the success of co-marketing and partner programs
-improves customer relationships
-delivers awareness and market positioning

Public relations execs are the most qualified to deliver on the promise of social media for an organization because we excel at developing content that engages, educates and entertains. You’d think PR folks would enthusiastically wave the social media flag pointing to its comprehensive and measurable ROI.

That’s not the case though. In fact, there are a number of social media consultants who fall back to a murky, difficult to measure value proposition. No…no…social media is not for sales activities, they argue. It’s strictly designed for community and conversation, and any company that employs social media for promotional purposes simply doesn’t get “it.”

Great, I’ll see you on the unemployment line. What I really want to know is when did “sell” become a four-letter word?

We view things differently at Strategic Communications Group (Strategic). We understand that commerce occurs when a person makes a buy decision. It’s a customer signing a contract. An investor acquiring stock. Or an employee agreeing to come aboard. And our role as PR/social media consultants is to help our clients move their business forward more quickly and in a measurable way.

So, the next time you plan a social media initiative don’t shy from tying the campaign to measurable lead generation and sales goals. You’ll get funding for your program and deliver an ROI that helps your company grow its business while enhancing your own value to the organization.

Winning Proposition in New Business

There was a good article in yesterday's Ad Age e-newsletter about how small agencies can effectively match up against global firms when competing for new business. The writer -- Phil Johnson of ad shop PJA -- dedicates an equal amount of editorial to assessing competitor weaknesses as he does to playing up his firm's strengths.

My take: always focus on what you as an agency do incredibly well, relating that to what you perceive to be the client's priorities and requirements. At Strategic Communications Group (Strategic), we evaluate many new client opportunities that simply don't line up well with our core competencies.

It's tough to pass on new business. Yet, our experience has taught us that working with the right client at the right time in their maturation leads to great work. And that is a winning proposition for everyone involved.


Know Your Opponent
http://adage.com/smallagency/post?article_id=127956

Defying the Trade Show Conundrum

Corporate marketing executives often acknowledge their inability to clearly measure the return on investment from their programs. That’s why there is a cliché in the industry that half of the marketing budget wasted. The problem is no one knows which half.

This is especially true when it comes to a company’s participation at a major industry conference or trade show. There are lots of costs, including the purchase of space, development of a booth and signage, marketing and sales collateral materials, and on-site advertising and sponsorships to draw traffic. Then there are the employee-related expenses incurred from travel and hotel, as well as the time to staff the booth.

The budget required for participation at even a modest-sized conference can easily top six figures. Even for such a significant spend, the return often remains fuzzy. Yet, the opportunities for lead generation, networking and branding presented at trade shows make the marketing investment a must-spend for most companies. It is just rare for a majority of an industry to come together in a single location.

This trade show conundrum was top of mind recently when I spent a few days at Access Intelligence’s Satellite 2008 industry conference (http://www.satellitetoday.com/satellite2008/) in Washington, DC. Despite the overall economic softness, providers of satellite technologies, services and products are faring quite well. The number of exhibitors and attendees was up, and the calendar was filled with interesting panel discussions during the day and vendor-sponsored networking events at night.

All of this activity created a challenging environment for an exhibitor to achieve its objectives at the conference, thereby realizing a measurable ROI. I spoke with a number of marketing and sales executives to learn what tactics they employed to make Satellite 2008 a smart investment for their company.

Even at big shows, think small. While a trade show allows a company to reach a broad segment of the market in a single location, it’s critical to personalize messaging for each high-value prospect in attendance. The weeks leading up to the conference present an ideal opportunity for sales executives to contact targets to invite them to visit the booth or, even better, arrange for one-on-one meetings.

At Satellite 2008, Ken Siegel, sales director at satellite services firm Knight Sky, LLC (http://www.knight-sky.com/), booked six prospect and partner meetings at the conference through his pre-show outreach.

View a conference as a platform to make a major announcement. We often tell our privately-held clients that a contract win, product launch or significant executive hire is only news when you choose to announce it. Trade shows present the ideal venue to issue a press release as it’s possible to increase analyst and media interest via in-person meetings.

Give a lot of consideration before deciding on a formal press conference though. Journalists often have meetings throughout the day and just don’t have the bandwidth to attend a group briefing.

Define a plan to qualify booth traffic. I typically take a few hours at every conference I attend to walk the exhibit hall. It gives me a chance to learn about new products and technologies on the market. Rarely am I a qualified prospect though. However, most corporate representatives are content to rattle on for 10 to 15 minutes without asking me a qualifying question, such as “what do you do?”

Exhibitors should train its staff to quickly assess who presents themselves at the booth. Prospects and partners get time and attention. Competitors, wanderers and mouse pad collectors get a brochure.

Be everywhere…without the spend. A number of companies at Satellite 2008 did an exceptional job leveraging partners to increase their own visibility. Thrane & Thrane (http://www.thrane.com/), a satellite terminal manufacturer, invested in their own booth and a hospitality suite. Yet, it was their display of product and demos with distributors that elevated their presence. I counted Thrane terminals showcased in about a half dozen booths.

Promote your corporate thought leaders. Most conferences offer a myriad of speaking and panel opportunities to exhibitors and industry experts. Public relations representatives should be on the phone with the conference organizers months in advance to offer up executives.

There are also typically one or two speakers who cancel at the last minute. Make a call a week before the show to see if you can slot an executive in to a recently opened spot on the conference agenda.

Finally, once a presentation opportunity is secured the prep work is more than pulling together a few Powerpoint slides. Will the conference organizers let a panel discussion be videotaped? It’s worth asking as that content makes for an excellent YouTube video to share with prospects who couldn’t attend the show.