NZ Sales Manager e-Magazine Issue 69

1 / www.nzsalesmanager.co.nz

MARCH 2013 Issue 69

NZ’s e-MAg foR sAles leAdeRs

Putting the U in your USPMeasure what gets results

Focus your prospecting

PROFESSIONALISING SALES

http://bit.ly/NZSMweb


www.nzsalesmanager.co.nz / 2

THIs WeeK's MusT ReAd

PRofessIoNAlIsINg sAles

The UK National Sales Agenda

PuTTINg THe u IN youR usP

How to develop your unique selling point

MeAsuRe WHAT geTs ResulTs

Actions not dollars

ResouRCe CoRNeR

To sell Is HuMAN

The surprising truth about persuading, convincing and

influencing others.

QuICK fIx

foCus youR PRosPeCTINg

It’s not what you sell, it’s how you sell

CAleNdAR

THe Close

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fRoM THeedIToR

You may be wondering why we are

leading with an article about the

state of selling in the UK. I have long

held the belief that the purpose of

this magazine is to help the sales

and sales managers out there, but

also to help raise the importance of

selling in business and support the

evolution of selling into a profession.

Although the article addresses the

issues facing the UK, the issues

described here are global and very

relevant to New Zealand.

With respect to national standards

in sales, and sales qualifications, we

are at least seven years behind the

UK. Hopefully in New Zealand, 2013

will be the year that we can say the

first suite of sales qualifications were

formally introduced.

A stand out comment for me from

the article is from Beth Rogers, who

says refers to the performance of

Finland, where the “government

encourages sales education

because new companies in their

small local market have to go global

very quickly.”

Replace Finland with New Zealand –

we have the same challenge. What

we need now is the government

visibly encouraging sales education

in the way the UK are setting out

to do.

ABOUT /Short and sharp, New Zealand

Sales Manager is a free e-magazine

delivering thought provoking and

enlightening articles, and industry

news and information to forward-

thinking sales managers, business

owners and sales professionals.

EDITOR / Paul Newsom

ART DIRECTOR / Jodi Olsson

GRAPHIC DESIGNER / Sevim Dogru

GROUP EDITOR / Trudi Caffell

CONTENT ENQUIRIES /

Phone Paul on 04 586 4733 or email

[email protected]

ADVERTISING ENQUIRIES /

Phone Richard on 09 522 7257 or email

[email protected]

ADDRESS / NZ Sales Manager, C/- Espire

Media, PO Box 99758, Newmarket,

Auckland 1151, NZ

WEBSITE / nzsalesmanager.co.nz

IssN 2230-4762

NZ sAles MANAgeR Would lIKe To ACKNoWledge THe suPPoRT of ouR MAjoR PARTNeRs

Happy selling

Paul

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Discover how to seize on buying triggers to create a profound influence on your sales figures

Clear and develop the 4 question categories that uncover your prospects needs every time, amplify their passion, and convert like a dream!

MARCH 19 & 20 AUCKLAND CITYSimply click here to find out more or phone 09 5240999

“My national team now sells consultatively as a result of the SalesStar.com’s interventions. We have had an overall (32%) improvement in closing ratios as well as a (27%) growth in top line sales with a better margin. They do make it easy to grow sales, and the positive results are instantly measurable.” Matt Cutler – MD Active Safety

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PROFESSIONALISING SALES


MusT ReAd

A new year is always a good time to take

stock, but 2013 is a particularly good time

to review the position of sales in the British

(and world) economies and to consider what’s on

the agenda. That’s because there remains a pressing

need to optimise business skills in the continuing

challenging climate, and there are encouraging signs

in the past few years that selling and commercial

skills and methods are receiving more attention.

How we move forward, building on this momentum,

could be critical to competitiveness and the target

we all want — recognition of the professionalism

of salespeople.

The UK National Sales Agenda



At first glance, the signs are

not that great. Figures from

various sources show that there

are 25% fewer high performing

solution salespeople in the UK

than globally, that about 30% of

salespeople are in roles they are

not suited for, and that students

rank sales as lowest for status, job

security and satisfaction.

Ben Turner, sales director at

the ISMM, notes that buyers in

particular have a poor perception

of salespeople’s credibility, and

about half would not be proud

to sit on the other side of the

table and be a salesperson. “But

research by consultancy DDI,

in its global sales perceptions

report, shows that this is not just

a problem in the UK, but a global

one,” he says.

Generally, salespeople are mostly

ranked as only fair to good at

what they do — very few are

graded as excellent — and it’s

a middle-ranking performance

that does not appear to be

improving, at least as judged by a

majority of buyers.

What hasn’t helped in the UK is

the string of mis-selling scandals

and high pressure tactics of

the utilities and mobile phone

companies, and it seems that

no sooner than one approach

is curtailed, another appears,

whack-a-mole like, such as the

current spate of automated

calls about payment protection

insurance and the dreaded ones

about checking your PC for

viruses, although most of those

come from abroad.

B2B selling as well is by no means

immune to poor and sometimes

unethical practices, such as

massive fines in the US for drugs

companies misrepresenting

their offerings in the healthcare

supply chain.

What the ISMM has now started

is a campaign to put selling

on an equal footing with other

professions to address these

shortcomings, building on some

already solid foundations. There

is plenty of material that gives

strong leads on what ‘good’ looks

like in selling, such as the annual

surveys from CSO Insights and

Miller Heiman, which give many

and detailed metrics on what top

performing sales organisations

tend to do better, and any

number of sales methods and

salesperson performance rating

books, consultancies and training

firms. But as Turner points out,

what is required is the kind of

research base that colleagues

in marketing have developed,

and this should be underpinned

by a partnership between

government, academia, industry

and institutes such as the ISMM.

This is where there is some

encouraging progress, as the UK

now does at least have a set of

National Occupational Standards

for sales, developed in 2006 by

the National Sales Board.

In turn, in England and Northern

Ireland, Ofqual is the agency that

then regulates awarding bodies

for qualifications, which includes

the ISMM — and on Ofqual’s

website there are no fewer than

67 ISMM sales qualifications

from levels 1 to 6 that conform

to the Qualifications and Credit

Framework (QCF), and which

are based on the National

Occupational Standards and

available to training organisations

approved by the ISMM to deliver.

If that sounds complicated, it

is — and there just isn’t enough

promotion by government of the

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importance to ‘UK plc’ of the benefits that properly

accredited and researched training frameworks

can bring to the workforce. That said, as Turner

points out, the situation for sales is far better than

a few years ago — with the interest now in sales

academies, in particular, there are now several

thousand sales and sales-related personnel taking

these qualifications, rather than hundreds, in major

companies such as AXA, BT, SIG and Virgin, and

there is also strong interest from overseas for

this approach to sales learning, which the ISMM

is promoting.

“It’s not about a particular sales methodology but

about salespeople understanding that there is a

range of approaches that can be applied to their

profession,” says Turner, who adds that the current

trend to focus on value applies as much to what the

salesperson brings to the table as professionals as

to their solutions. It’s a view reinforced by work by

McKinsey, which we reported in 2010, that buyers

most value the ‘sales experience’ they encounter,

and respond best to fewer, meaningful and highly

knowledgeable interactions.

More recently, we ran an in-depth article by Nick

Lee, professor of marketing and organisational

research at Aston Business School, and Ian Luxford

of Grassroots, on research on the qualities that

people associate with salespeople.

Given that there are hundreds of thousands

of sales and sales-related personnel in the UK,

there is huge scope to enlarge the reach of sales

professionalisation, building on the standards

and qualifications, although these are by no

means the last word in what works, and there is a

MusT ReAd


9 / www.nzsalesmanager.co.nz 9 / www.nzsalesmanager.co.nz

MusT ReAd

major opportunity for the UK

to become a leader in more

research. What is needed? Says

Turner: “We asked Nick Lee, who

has strong sales interests, what

it would take to position the

UK in selling, as marketing did

successfully several decades ago.

About £40 million was his answer.

“That may seem a large sum but

not when set against possibly

a million customer-facing staff

generating more than a trillion

pounds worth of business year

— but presently the government

ranks selling lower than

hairdressing in its priorities.”

What there appears to be — and

which is a common government

failing — is a lack of ‘joined-up’

thinking, such that initiatives

started a few years ago tail off,

and different departments have a

fragmented piece of the action,

such as it is. A good example is

the position of business studies

in school and higher education

— the 14–19 diplomas started

by the last government now

have lukewarm support, while

the interests of industry are split

between the Department for

Education and the Department

for Business, Innovation and

Skills. On business studies

courses, such as A levels, selling

is rarely mentioned as part of

the curriculum, despite the

government’s own surveys,

by yet another body, the UK

Commission for Employment

and Skills, showing that sales

and customer service are among

the skills most lacking in the

workforce and are also among

the jobs with high vacancy rates.

There are more young people

taking up sales apprenticeships

now, but relatively few compared

with other subjects such as

business administration.

A few bright spots are in some

schools that have adopted ISMM

level 1 and 2 sales qualifications

as part of their business

studies teaching.

Beth Rogers, head of marketing

and sales at Portsmouth Business

School, who was on the National

Sales Board, comments: “I fear

that other countries are

going to overtake the UK on

sales skills. It will not come as

a surprise to anyone that sales

education is currently booming

in the US, because business

sponsors of higher education

want sales-ready graduates.

“What may be more of a wake-up

call for the UK is the performance

of Finland, where the government

encourages sales education

because new companies in

their small local market have

to go global very quickly. In a

developed economy you don’t

get to grow fast internationally

by being cheaper at anything,

http://bit.ly/srnr4p

www.nzsalesmanager.co.nz / 10www.nzsalesmanager.co.nz / 10

MusT ReAd

This article provided by IsMM, and first appeared in the january issue of ‘Winning edge’. To find our more visit www.ismm.co.uk

“It’s not about a particular sales methodology but about salespeople understanding that there is a range of approaches that can be applied to their profession.”

you get it by knowing how to

grow your revenue by being

smarter and better at creating

value for customers with very

different needs.”

Adds Rogers: “The labour market

report for sales commissioned by

the government in 2008 revealed

huge gaps in the sales skills

needed by employers, and post-

recession, in 2012, the

latest report for

sales shows

the same

problem

persists.

We have world-

class occupational

standards for sales, but more

publicity is needed to ensure they

are leveraged by UK plc. The

government quite rightly pays

attention to legislating against

bad selling, but policymakers

should consider how important

it is to encourage good selling in

its place.”

Rogers was one of a group of

sales activists invited to a House

of Commons roundtable recently

by Toby Perkins, shadow minister

for small businesses, and the

ISMM, to discuss sales skills

and qualifications as part of the

campaign. Perkins is a rare MP

— he has a sales background —

and is firmly behind the push for

raising the bar for the profession.

“I went into telephone sales

straight from school, was in IT

sales for seven years and in sales

and sales management roles in

the recruitment industry,” says

Perkins, who adds that he was

initially placed with an employer

by a specialist sales training firm,

as companies such as Pareto Law

do today. He has also run his own

company, Club Rugby, a rugby

kit distributor.

Perkins sees a big gap in what

he terms ‘enterprise skills’ at

all levels, and would like to see

much more emphasis on such

skills in education and work

experience. He points out that

students often have completely

unrealistic expectations about

jobs and careers — “There just

aren’t many jobs for forensic

scientist for kids who’ve been

watching CSI Miami — but about

10% of jobs in the UK are in

sales.” He agrees that selling

has been largely written out of

business studies courses, and it is

a particular problem for his remit

— small businesses — which tend

to lack the resources to train

their own people and must rely

on the market. More joined-up

work between education and

business, helped by government,

is certainly needed, says Perkins,

noting that apprenticeships

are not being pushed enough,

and ideas such as more

businesspeople on school

governing bodies are among

those he is investigating.

Overall, Perkins sees the

application of standards as

charting an ethical framework

for a very large range of

professionals, from junior level

out of school, as he was, up to

those earning a lot at the top of

their careers in sales and sales

management. “There should be

a supportive role for government

and after the initial roundtable I

will be learning more about good

practice and what the landscape

looks like around the country.”


www.ismm.co.uk


The phrase Unique Selling Proposition (USP)

was coined in the 1940’s by Rosser Reeves of

Ted Bates and Company. Reeves was a smart

man for the times, he also came up with the slogan

“melt in your mouth and not in your hands” amongst

other hugely successful advertising campaigns.

BUT IS HIS CONCEPT STILL RELEVANT TODAY?

We can all get put off by jargon, but whatever

you call it, a USP is still the single most important

marketing element in your repertoire. Don’t let the

old school language put you off. It’s very much

How to develop your unique selling point

By Heather Grace Smith

PUTTING ThE U IN yOUR USP


the right school of thought, as

relevant now as then, and it will

be long into the future.

Reeves broke his concept

of USP down into three

separate components:

• The proposition must be

unique (not shared by the

competition).

• The proposition must be

strong enough to have mass

appeal.

• The proposition must clearly

specifically explain the benefit

to the purchaser.

IS IT REALLY THAT EASY?

Well, it’s not easy for most people

to define their USP; it takes a bit

of work. But a good USP makes

it really easy for a customer to

recognise and resonate with your

business’ offering so it’s well

worth the effort you put in.

WHAT MAKES A GOOD USP

IN 2013?

A good place to start is your

point of difference. For example,

‘great customer service’ is not a

point of difference – everyone

claims that. So you need to

find out what is unique about

your business and that means

researching your competition to

discover what you do differently.

Difference isn’t enough though.

To have a true USP, that point

of difference has to offer real

benefits to your customer. What’s

changed between the 1940’s

and now is that many companies

have more than one product

or service – so you need to be

thinking about the USPs for each

of them. Aiming for a one-size

fits all approach from the get-go

tends to water down your USP.

It’s better to start with the detail.

SO HOW DO YOU COME UP

WITH A GOOD USP?

There are four key steps that will

help. Firstly, understand what

your competition does badly;

never bag the competition,

but do get to know where you

perform better. That way, you

can turn their mistakes on their

head and reframe it as a positive

proposition for your customers.

That brings me to the second

step – understand your

customers’ and the problems

they’re having or trying to solve.

If you can solve their problem,

you’ll make a connection.

Thirdly, you need to believe in

yourself, give your customer

evidence and assurance;

guarantee your promises.

Guarantees help you achieve

mass appeal – look at Bunnings

for example.

Finally, you have to understand

your target markets and get the

details right for them. If you’re

selling an anti-aging as well as

an anti-acne skin care regime,

you can’t expect your different

audiences to buy from one

single message. Put time into

developing the USP for every part

of your market. From there you’ll

find the overarching truth for your

proposition as a whole.

http://bit.ly/n7nuij


It can seem daunting to come up with a USP but talk

to the people who know; your team, your clients,

and importantly get external advice. Turn features

into benefits and check your assumptions –

IS THAT BENEFIT REALLY RELEVANT TO YOUR

TARGET AUDIENCE? DO THEY REALLY CARE?

A single competitive advantage does not always

mean a strong USP but combining them can. So if

you look at your top four competitors, chances are

you’ll find a number of elements that you do better

than each one of them. That’s where you’ll find your

USP, by combining the special things you do so that

no other competitor can match it all.

Once you have the detail, your USP needs to be

succinct and visible at every point of contact; from

websites and packaging, to every member of your

team being able to explain it readily and easily. If

you need help to achieve that, get the help you

need because when you get it right, it’s meaningful

to the right people and it works. By the way, don’t

forget to update your USP from time to time as your

business evolves, it important you stay relevant to

your target market.

At The Marketing Company we say ‘make more

money in your business’ because our courses are

designed to give you the best value in the least

time, we help you with access to funding for our

training while we deliver measurably increased

expertise, we offer a guarantee on your spend with

us and we allow you to select the courses you most

require. Other companies offer some of that, but we

offer it all – that’s what gives us our USP.

for more information or guidance, contact Heather grace smith at The Marketing Company. To find out more visit www.themarketingcompany.co.nz

DISCOVERWhat do you do better than your competition? Where do they fall down? Don’t make the story about them, turn it on its head and make the story about what you do well.

COMMUNICATE Understand your customers. What problems are they trying to solve? Find a solution and check it works for them. Then you can make a connection.

PROMISE Believe in your promises and assure your clients. Give them a standard that you won’t fail to meet. Be accountable and be up front.

TAILOR Understand your proposition’s appeal for each target market and tailor your approach, messages and solutions for their real needs. Your overarching USP will come from your groundwork with the detail.

Find your USP



Actions not dollarsBy Richard Gee

MEASURE whAT GETS RESULTS

2 MINuTe ToP-uP

Many sales managers and business owners

get it wrong when they measure sales

force results.

They measure money earned, instead of actions that

need to be taken to achieve the revenue budgets.

Rather than only measuring sales in dollars per

week, you should be measuring activity. For

example measure the face to face calls per day

over a week, then measure the effectiveness of the

calls by how many became sales or quotes. This

demonstrates that the sales person is using the

employable skills they have.



Richard gee is the author of NZ sales Management – a practical approach, Practical Marketing in NZ, and other books, plus is an International speaker and sales trainer. To find out more visit www.geewiz.co.nz

A good measureable target is four face to face calls per day for five days. Twenty calls in the week will generate quotes and follows ups into business. Similarly customer service teams

might make 10 calls per hour to targeted customers and achieve measurable results of appointments made

for the sales representatives. Measure the numbers of actions, and you will get

the dollars to happen.Maybe

this

measure will

show they need training

to get better results, but it really

goes to the heart of the performance. Poor sales

are always the result of poor face to face activity. If

you don’t get in front of the customer and identify

problems to solve, then you don’t get sales.

Evidence or excuses of emails and phone calls

being done are things that should not be measured,

they are tools of the job, just like the presentation

tools of the laptop or i-pad.

A good measureable target is four face to face

calls per day for five days. Twenty calls in the week

will generate quotes and follows ups into business.

Similarly customer service teams might make 10

calls per hour to targeted customers and achieve

measurable results of appointments made for the

sales representatives. Measure the numbers of

actions, and you will get the dollars to happen.

Support

your

sales team by

sharing the numbers

at sales meetings and get

them to share their success and wins

from their measured activity, and encourage each

other to practise their sales skills more often.

It is a New Zealand statistic that sales reps only

spend 2.5 hours per day in front of customers selling

to them. Ask yourself what they are spending the

rest of the time doing. Is it driving or admin, or is it

time wasting stuff. You employed the sales rep to

sell, not spend 75 per cent of their time doing other

stuff that does not earn revenue.

Measuring the correct actions makes it easier to

manage the performance and there will be no

dispute of actions. It is black and white - calls done,

quotes done, follow up done, sales made.

Focus your sales team on what really matters and

what will be measured, not on uncontrollable stuff.

It really does work.

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To sell IsHuMAN

THe suRPRIsINg TRuTH AbouT PeRsuAdINg, CoNvINCINg ANd

INflueNCINg oTHeRs

Authors: Daniel PinkPublisher: Canongate Books Ltd.Price: $20.99 from www.fishpond.co.nz

we’re all in Sales now. Each day millions

of people earn their keep by convincing

someone else to make a purchase.

They sell planes to airlines, oil shares to sheiks,

cars to drivers. They sell consulting agreements,

magazine subscriptions, time-shares, double glazing,

broadband, fitted kitchens, car insurance, life

insurance, pet insurance! Some work in fancy offices

with glorious views, others in dreary cubicles, but

most look exactly like you. In fact, each and every

one of us spends time trying to persuade others to

part with resources - money, time, attention - though

most of the time we don’t realise we’re doing it.

Parents sell their kids on going to bed. Spouses sell

their partners on mowing the lawn or putting the cat

out. We sell our bosses on giving us more money

and more time off. And in astonishing numbers we

go online to sell ourselves on Facebook, Twitter and

in Match.com profiles. In this new book from the

bestselling author of Drive, Dan Pink explores the

ways in which we can all improve our sales skills,

in every area of our lives and identifies the three

personal qualities and four essential skills necessary

to move people. Relying on science rather than

platitudes and analysis instead of exhortation, Dan

builds on his own sales experience and on the profiles

of some of the world’s best salespeople - and makes

us look again at our own sales skills.



ResouRCe CoRNeR

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QuICK fIxIT’s NoT WHAT you sell, IT’s HoW you sell.

FOcUS yOUR PROSPEcTING

you know if your sales

role demands that

you prospect for new

business, and if so, then the quality

of your prospecting will determine

your sales success. But how do you

act on this and ensure your time is

well spent?

What does quality prospecting

look like? Can you write down

the characteristics of a good

prospect? If you are sitting there

thinking that you target your

prospecting at SME’s, that is

most of NZ’s business. You will

be wasting your time on most

of them.

Take time find the specific things

that are common to your quality

prospects. If you are not sure,

look at your existing customers

and consider the reasons why,

when and how they became your

customers, and have remained

your customers.

Now go and focus

your prospecting.



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2013

CAleNdARdATe NAMe PlACe CoMPANy lINK

Tuesday 2th April Cold Calling and Prospecting

Auckland Top Achievers Sales Training

www.topachieverssalestraining.co.nz

Wednesday 3th April Winning through Powerful Presentations

Auckland Shipley NZ http://www.shipleywins.co.nz/public-training-schedule.html

Monday 8th April Winning executive summaries

Auckland Shipley NZ http://www.shipleywins.co.nz/public-training-schedule.html

Monday 8th April -

Tuesday 9th April

The sales Process Wellington Bright*Star Training

http://www.brightstar.co.nz/training/sales-process

Wednesday 10th April Customer focused Writing

Christchurch Shipley NZ http://www.shipleywins.co.nz/public-training-schedule.html

Wednesday 10th April -

Thursday 11th April

Advanced selling Wellington Bright*Star Training

http://www.brightstar.co.nz/training/advanced-selling

Wednesday 10th April -

Thursday 11th April

Advanced sales development

Auckland David Forman www.davidforman.co.nz

Thursday 11th April social Media and sales Auckland Top Achievers Sales Training


Thursday 11th April Professional Relationship selling

Tauranga The Marketing Company

http://events.themarketingcompany.co.nz/courses/3-professional-relationship-selling

Monday 15th April -

Tuesday 16th April

sales Negotiation for Results

Wellington Bright*Star Training

http://www.brightstar.co.nz/training/sales-negotiation-results

Tuesday 16th April sales basics Auckland Geewiz http://www.geewiz.co.nz

Tuesday 16th April Prospecting & gold

Calling

Auckland The Marketing Company

http://events.themarketingcompany.co.nz/courses/21-prospecting-gold-calling

Wednesday 17th April sales Management Auckland Geewiz http://www.geewiz.co.nz

Tuesday 16th April -

Thursday 18th April

scotwork Advancing

Negotiating skills

Auckland Scotwork Negotiating Skills NZ

http://www.brightstar.co.nz/training/sales-process

Thursday 18th April Key Account

Management

New Plymouth

The Marketing

Company

http://events.themarketingcompany.co.nz/courses/23-key-account-management

Thursday 25th April sales Training Course Christchurch Top Achievers Sales Training




21 / www.nzsalesmanager.co.nz2013 21 / www.nzsalesmanager.co.nz

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THe Close

“Your most unhappy customers are your greatest source of learning.”

- Bill Gates

“Your most unhappy customers are your greatest source of learning.”

- Bill Gates


Date post:	13-Mar-2016
Category:	Documents
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NZ Sales Manager e-Magazine Issue 69

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