Hammer or Nail Gun?

I posted an article the other day that obviously generated some thoughts...so I figured I would re-examine the topic. After posting "How To: Incorporating Twitter Into YOUR Business" I received this email...

"Jason,

After reading your article it made me think. I am a 52 year old sales manager and I am getting a little fed up with young people getting rid of old fashion networking for this new "social media". Back when I was starting out we put our nose to the pavement and sought out valuable relationships. Now you "young guns" think that it can all be done on the internet. Not meaning to bash your article but I think this Twitter and Facebook crap is just that...CRAP!"


While confused (given that the individual found me on a BLOG), I was not up upset. Sometimes the best learning occurs when we take our views and allow others to critique them. Being an introspective person is a great foundation for continuous growth.


So what I will do now is give you, and this anonymous author, my thoughts on why I feel that this technology is so important...


Earlier today I was speaking with Donna Fisher (www.DonnaFisher.com), one of the leading experts on networking, and we were discussing the direction networking is going. Donna is an active user of Twitter, Facebook, and LinkedIn and she believes that while networking is still built around the same framework, there are numerous tools on the market that allow us to reach a community that was previously unavailable.

After thinking about Donna's point of view I decided to share some supporting thoughts of my own...


What do you mean "Hammer or Nail Gun"?


Networking is much like building a home in the fact that it takes a great deal of time and there are not many shortcuts that can be made. When building a home, time and quality have a strong correlation with one another. We must still pour the foundation and begin piecing together the frame. If it is something that we want to last, then we must give it the appropriate attention and focus it needs.

The difference in building homes now is, we are using nail guns...not hammers! Using a nail gun does not change the way a home is built or eliminate the need for a solid foundation...it just makes us more efficient at our task.

Would you say that using a nail gun takes away from the structural integrity of a home?

I don't believe so.


The key is not whether we are using a hammer or a nail gun. The most important factor is that a professional is the one placing the nails.


If we take an unprofessional person and give them a LinkedIn account then we will, more than likely, see the development of shallow relationships. That beings said, if we give that same unprofessional individual a face to face meeting, I don't think it will increase their potential for establishing long term relationships.

It is not the mode by which we make the connection...it is our purpose when pursuing the relationship!


Simply put...

If we take a genuine interest in other people and seek out ways to help them, we will be build lasting relationships!


Thoughts?


Thank you to all of you for your feedback, whether it supports my view or not! Both groups impact my growth and the growth of those around me. I hope you have a great week and feel free to offer suggestions for future YOUNG GUNS blog posts!

Jason@aplayersonline.com

Tricks, Tactics, and Techniques...5 Things Purchasing Professionals Do To Influence YOU!

A little over a year ago I did a month-long research project on the "Purchasing" profession. In that month I interviewed over 25 purchasing professionals, went through numerous online classes, and read every negotiation/purchasing book the national association recommended. When I decided to start this project, I had no idea what I was getting myself into. In this blog I am going to share, with you, a few of the tactics and strategies that purchasing professionals, around the world, use to influence sales professionals!

Some thoughts to consider before we start...

1. This information is not industry specific. I interviewed purchasing professionals from wide range of industries.

2. Not all purchasing professionals fall into these categories. When searching for purchasing professionals to interview, I asked for the toughest, most aggressive purchasing professionals out there. The reason for doing so is so I could illustrate the extreme...which would make everything else a cake walk!


That being said...let's get started!


Who are these "purchasing professionals"?

- They are some of the most intelligent and passionate professionals I have encountered.

- Purchasing professionals live, eat, and breathe negotiating. This is not a hobby for them...it is their life!

- They are some of the most consistent learners I have ever seen. Purchasing professionals are regularly reading, going to workshops, and listening to industry audio programs.

-They are extremely competitive! Almost every individual I interviewed had some history of playing a highly competitive sport. They don't only want to beat us...they want to dominate us!


In the next section we will discuss 3 things...

1. I will illustrate the strategy used....

2. What the purchasing professional hopes to gain by using it...

AND

3. How we, as sales professionals, can defend these tactics!




Price Is Too High - This is one of the most used and most effective strategies used in the purchasing profession. This might as well be an introduction for some PAs. Purchasing professionals sometimes have not even considered the price but they feel it is a great way to start the conversation!


Goal of PA- To get the sales professional out of their comfort zone. The number one goal of a purchasing professional is to identify 3 things... - Will the sales professional break on their price? - How fast will the break? - How far will they break? The more price is addressed or defended...the more power it has in a negotiation!


Our defense- stand our ground. If we break on our price right out of the box, the purchasing professional will say to themselves, "Wow, they are breaking already! If they are dropping the price this fast then they must have some significant room to move!" In response, we can also ask one of these three questions in response... PA Statement - "Mary, I am sorry but you product is too expensive!" Our Answer- 1. "Ok John...help me understand how you evaluate price. Is it cost of ownership or the initial cost? 2. "Compared to what?" (definitely an edgier answer but will let them know we are holding firm) 3. So! It's worth it! (very edgy response...but can be extremely effective in the right scenario)





Nice Guy- This is where a purchasing professional will attempt to create a friendly relationship right off the bat. They may ask about our family, compliment our professionalism, or even ask about our hobbies. They will do whatever they can to get us to like them!


Goal of PA- To get us to let our guard down. It is a very effective tool to get us to compromise our position...because we enjoy working with them. They feel that if we like them then we will be willing to give up a chunk of the margin.


Our defense- Think about our family, our home, our car. Will that individual send our children to college? Will that friend pay our mortgage? We get up each day to tend to our business and that is what we must focus on...our business. If that person has a genuine desire to establish a relationship with us, they will understand our position.





The Guilt Trip- Have you ever made a mistake during a meeting? Have you ever showed up late to an appointment? Quoted a customer the wrong price? Didn't know an answer to a question you should have? Have you ever forgotten to call a prospect back? If we have answered yes to any of these then we have given the purchasing professional a gift. They will take our mistake and use it as leverage in the negotiation.


Goal of PA- To make us feel so bad for our mistake that we are willing to drop the price just to make it up to them. This one is not used as often but, when used, is almost always effective! - Salesperson- I'm sorry...$150 is as low as I can go. - PA- That is as low as you can go?! You showed up 30 minutes late and you are lucky to be sitting in my office right now...and now you are saying $150 is as low as you can go? - Salesperson- I apologize for being late. I guess I can do this for you for $140. (their forgiveness becomes a concession they have given us. Now that they have given us a concession...they want one from us!)


Our defense- Apologize and move on! We will make mistakes and it is crazy for anyone to believe that we will be perfect. That being said, should we give away $10,000 of our company's profit for being 15 minutes late? I don't think so. We must apologize and jump right back into the negotiation...without baggage!





The Nibbler- is when we have come to an agreement, we are about to sign papers, and the purchasing professional says, "You do have a rebate program don't you? Do you give discounts for paying early? Training for our people is included in this price, right?


Goal of PA- is to give us a taste of the sale and drive us to start giving things away. They use this tactic to get us right on the cusp of the sale and begin asking for a few more things. Sales professionals can be much more giving when the salivation begins.


Our defense- When we begin giving things away it can become a slippery slope. Part of the reason this tactic is such a success is because is is almost never recognized, in the heat of the discussion. We must focus on the big picture and not get tempted by the idea of closing a sale. At this point in time we must pause and say, "Are these things important to you? If you would like, we can re-work the contract to make sure that you get everything you want. Would you you like me to begin re-working the contract?"





The WOW!!- If we have a product that is relatively pricey in the industry the purchasing professional may say..." $60,000?!?! WOW!!"


Goal of PA- To get us to begin lowering the price or start giving away concessions. They want us to feel like we are about to get kicked out of the office. This is really just a strategy to get us to question our position...and it is very effective.


Our defense- Stand our ground. We may say something along the lines of, "Yup $60,000 is right. I would sell it for $75k if they would let me." If we are confident in the price of our product they will hear it in our voice. If we second guess the price...so will they!






These are just a few of the many tactics used in the purchasing profession. I hope this helps and please let me know if you have any questions regarding the material.

Jason@aplayersonline.com

How to: Incorporating Twitter into your business!

I know most of us have heard of Twitter but many are still asking themselves a few important questions...

Why should I use Twitter?

AND...

How can I incorporate this tool into my business?

In this blog I will share with you a few keys to maximizing Twitter and using it to create a "following"...


What is Twitter?
Twitter is another great addition to the social media "force" that has taken the world by storm. Twitter gives individuals an avenue to relay information to each other on a regular basis and in a rather timely fashion.

From my experience, there are two types of "Twitterers"...

1.The individual that will Twitter the morning "play-by-play" of how their teeth brushing is going. If a storm comes through you will be informed of the sounds, size, and direction of the rain fall.

AND...

2. Individuals that will send out numerous articles/videos/links to new information. Twitter has become a platform for professionals to share valuable information that is relevant to their industry.


My blueprint for incorporating Twitter into your business...


How to: Start "Following" Others

1. Locate as many industry contacts/experts we can and begin "following" them.

2. Once we have built up a list of individuals that we are following then begin to weed through the list by sorting out those that we would consider a "#1" (those that give you the play-by-play of their day). This "weeding out" is what will make Twitter a business tool and not a scheme to raise our text message bill!

3. (Optional) After we have identified the #1's and the #2's...then we need to set up our phone to receive Tweets as text messages. We do this so we can receive information whether we are by our computers or not (to do this just go to the Twitter homepage and click on "Devices").

- After we have set up our phones to receive "Tweets via Text" we then click on the list of who we are following. On that list we will see an "On" and "Off" next to the person. If we click "On" then we will be notified, by text message, when that individual has posted a new "Tweet". I started off by turning on about 20 people...and it became overwhelming! I was receiving text message every 20 minutes. I now have 8 people turned on and that is plenty of information for me. The key is to determine how much we, personally, want to bite off.


How to: Start Being Followed

1. Add our Twitter name to our email signature. (ex. Tweet me @ JJacobus). As simple as that sounds it can be a great way to generate a following.

2. Plain and simple...we must become a #2 ourselves! We need to post "Tweets" that bring value to others. Sorry #1's but no one is chomping at the bit to know what you are searching for in the grocery store! The people that are followed the most are the ones that are consistently sharing valuable articles and links to their community of followers.

- I post articles, my blogs, new statistics, quotes, stories, videos, etc...

3. Start following others. I don't know if it is out of respect or just an opportunistic reaction but people tend to follow us when we follow them!

4. Begin referring articles from other people and include their Twitter name in the post. (Ex. Just read a great article on vision and purpose @Champjj). This lets our followers know that "Champjj" may be someone they would like to follow. When we begin to spread the information of others then they tend to share our information as well.


These are just a few keys to start incorporating Twitter into your business! Have fun Tweeting!


Below you will find some people that I have enjoyed following...

Champjj
ScottMcKain
DonnaFisher
Steve_r_Gardner
Randy_Gage

Leading Change

CHANGE...It's a word we have all heard quite a bit of over the past few months! With Barack Obama moving into office we have been exposed to many different initiatives to make a "change". This blog is not my opportunity to jump on my political soapbox but, more so, an opportunity for me to address a key aspect of any leader's role...Promoting change!

While change can be encouraging, it should not be the focus of any leader! A true leader focuses on the vision...on the RESULT of the change! Too many times we hear of a vision built around change when the change should only be a bi-product of an inspiring vision!

Details...Details...Details, Jason...

What is the difference between motivating people through change versus vision?

The fact is, change can be very uncomfortable! Tommy Hopkins said "the price of progress is the pain of change!"

That being said, a follower will only endure the pain of the change if they believe in the vision!

Many times people may get excited about the idea of change but they quickly fade because they are blind to the purpose behind the change!

When I was in high school we had a very good golf team. Many felt that we would be a strong contender for the state championship. At the beginning of the year our coach asked us..."Do you want to win State? Do you want those rings?" It was on overwhelming yes! Our coach then said, "Well, that means that we will have to take our preparation to another level! We will practice in good weather and bad! We will outwork every other team...and we WILL win the State Championship!"

Pretty inspiring huh?

We wanted to started working right then and there! We welcomed the chance to "outwork" our competition!


Now let's cut the "vision" out of the picture and see how inspiring my coach's speech becomes...

"Today is a new day! We are going to take our practicing to the next level. Starting today we will be practicing in good weather and in bad! We will practice harder and longer than any other team across the state of Texas!"

Almost sounds like punishment doesn't it?!

When the "vision" of the state championship was set in our heads, we took ownership in the work that it would take to reach our goal! We focused on the purpose...not on the pain!

As a leader, we must promote the vision because it is the vision that will push us through the discomfort of change!


Are you focused on promoting change or communicating a vision?

What advice would you give a young sales professional?

I recently began posting questions on LinkedIn and I have decided to share some of the opinions of the industry experts in our group...I hope you enjoy!


What Advice Would You Give A Young Sales Professional?

"Be coachable. Just like you are convinced that as a 20-something, newly entered into the workforce, that you know more than any 12 yr old on the planet, remember that those who have been doing the job for 10, 20, 40 years may have some pretty good ideas, too. And some of the things you're convinced are true, may not work. Come into it with true humility, because not only will you learn more, you'll be showing a tremendous leadership skill that will get you noticed. A lack of coachability is a standard complaint about those who are just entering the workforce. Don't reinforce the stereotype."

- Steve Gardner (Owner - Five Star Speakers)

Steve's Company Website - Click HERE

"When you are green you will grow . . .when you are ripe you will rot. Your constant and consistent willingness to learn and fine-tune yourself on the basics of your selling process and products will always net the best result. And know that you are the one who can be counted on to deliver results. Both of these require discipline of your will and your schedule. Easy to type . . .not easy to do. But they will take you far."

- David Redabaugh (Direct Sales Manager @ Yellow Book USA)

David's Company Website - Click HERE

"DON'T JUST FOCUS ON PRODUCT KNOWLEDGE (I am shouting this from the mountain top). Your "product" only excites you.

Understand Business. Learn to read a balance sheet, an annual or quarterly report. Delve into the industry you are selling to and understand that industry's language and specific business challenges.

If you are selling to Tyson - know "catch weight" if you are selling to KPMG understand the "global cost of pursuit". Anything else is just faking it and you will always be perceived as green. The earlier you become a business expert

Read CIO, CFO, CEO magazines (all available online). Read "how to think like a CEO". The fastest way to be perceived as an equal is to become one"

- Becky Guillory (President, Bungalow4sale; Principal at Kris and Company Sales Training & Consulting Toplinked.com)

Becky's Company Website - Click Here

What does is take for us to "win in the mountains"?

Lance Armstrong will go down in history as being one of the most dominant athletes of all-time. The cyclist has not only made his mark through his numerous Tour de France victories but has also created a following by his triumphant battle with cancer.

Hundreds of individuals have studied Lance's success in the Tour de France and developed theories of why he has been so successful. The one thing that is understood, by all who study Lance, is that he wins the races in the mountains!

The Tour de France offers a variety of terrains but the most excruciating part of the race is when the riders reach the mountain stages. Already beginning to fatigue from the earlier stages, the riders begin their steep accent to the top of the mountains. As many of the riders begin to slow, there is one rider that begins to push even harder! Lance Armstrong has built a reputation around his ability to separate himself from the competition as he moves into the mountains.

When asking Lance why he is so dominant in the mountains Lance says that he focuses on the last 20% of the incline. He said that he will push harder in the last 20% of the mountain crest than any other section of the Tour de France!

When asked why the last 20% is so important, Lance communicated that it is vital to push harder because it allows him to top the crest with a great deal of momentum! That momentum allows him to reach incredible speeds on the decent. It is this mentality that allows Lance to generate drastic leads in the mountain stages.

Ok...great story Jason...but where does this fit into the world of business and sales?


To answer that, I would say that I believe that we have made our way into the mountains ourselves. With the economy the way it is, and has been, we have been tempted to slow down. We can get caught up in a pack of people that have the mentality "I just hope I can stay alive long enough for this economy to change".


My Challenge:

Do what it takes to pick up speed now, so we have momentum built up when everything does take a turn! When the economy begins to improve, the "Lances" of the business world will see themselves leaving the pack behind.

The other bonus is that this tough time will begin to eliminate the little "ankle-biters" that move in and out of the industry!


2 Ways to Pick Up Speed in The Monutains:


1. Focus On Learning

- CDs
- Podcasts
- Books
- Seminars
- Workshops
- Extended education
- etc.

2. Reevaluate Our Business Model

- We will not reach success today by doing what worked yesterday!
- Identify what it will take for us to stay ahead of the curve!
- Read "Built to Last" - Jim Collins

Free sales training? Watch Curling!

I was on LinkedIn last week and I posted a question regarding how to effectively communicate with individuals outside of your generation. I received numerous comments but one response caught my eye. Jeff Howery (Direct Sales Manager @ Toyota Sunnyvale) said the key to his success was his ability to recognize what makes different generations tick. He also gave a great deal of credit to his children for teaching him how to relate to the younger population. Needless to say, Jeff was definitely a continuous learner!

Fascinated by Jeff's point of view, I wanted to thank him for his feedback. I sent Jeff a message on LinkedIn letting him know how much I appreciated his thoughts and how I feel that continuous learning is contagious!

Jeff responded yesterday and ended up giving me one of the best sales "visuals" I have ever received...so I wanted to share it with you!

Jeff said that if you want to learn a few sales strategies...watch Curling!

What is Curling?

In Curling one teammate begins to slide a granite stone down the ice in the direction of the house ( a giant bullseye ). The sport can be compared to shuffleboard on ice! Once the "rock" is sliding down the ice it cannot be touched. The way the team controls it's direction is by sweeping the ice in front of it. The "rock" is ultimately sliding under its own power but it is the job of the sweepers to create clear the path in front of the stone so it arrives at it's desired location. That visual brings us back to the 'ol saying...

"People don't want to be sold...but they love to buy!"

Like in curling, successful sales professional recognize that the goal is not to control the customer but to tailor the path to lead the customer to THEIR desired results!

Our desire in sales is to create an atmosphere that when a sale is final, the customer feels that they arrived to that point on their own volition!

A client that buys will be around forever...but it is only a matter of time before a client, that is "sold", decides to go somewhere else!


Are you focused on creating a path that helps your customers buy?

Thanks for the great feedback Jeff!