Starting Your Own Business: What to Expect Part II

In the second of this two part series based on Discover Card’s “Small Business Watch,” we’re looking at information derived from small business owners that will better prepare you to take that next step into entrepreneurship. Here are some things you might not know but better be prepared for:

• Nearly one of three business owners, 31 percent, indicated they work at least 10 hours or more per day on average. Only out of five non-business owners, 19 percent, worked the same each day.
• 15 percent of small business owners work every day of the week, more than twice as many, 6 percent, as the general population. Similarly, 28 percent of small business owners work six days a week, compared to 15 percent of the general population.
• Nearly half of small business owners, 47 percent, said that they always or mostly work on official holidays.

So if you’re used to a 9 to 5 life, think twice before starting a business.

• More than half of the business owners, 52 percent, took seven days or less off work last year, compared to 36 percent of the general population.
• 59 percent of small business owners define a “day off” as being available for calls and emails, working some time or even working all day at a remote location. Only 32 percent of the general population does the same.
• More than half of small business owners, 55 percent, said their spouses approve of them checking email when they are off from work, compared to 37 percent of the general population.
• “Small business owners are really focused on serving their customers every day. Our survey found that 40 percent of them carry wireless devices to keep in touch with their customers and clients when off work." “Being a small business owner often means that you are always open for business.”

When you’re a small business owner, your life is your business and your business is your life. It’s not even a matter of overlapping; they are totally intertwined.

Also, if you already own a small business or you’re thinking about starting one, then check out our new small business consulting service and give us a call for a free initial consultation.

Prospecting Seminar DVD Now Available

With the release of my new DVD, Prospecting Skills That Work, I’d like to thank everyone for their feedback and comments over the past year about my earlier audio program on effective prospecting, Don’t Count The Yes’s, Count The No’s. It was the success of that program which prompted me to do an educational (and entertaining) hour-long seminar on prospecting and have it released on DVD. Make sure to check out the video clip below. You can also for the purchase page.

In my new video, you’ll learn to:

• Overcome call reluctance to always reach your goal.
• Develop a powerful script for setting more appointments.
• Use an accountability system that is easy to implement and use.
• Handle objections more effectively than ever before.
• Stay consistently motivated and form positive new habits.
• And much more …

Prospecting Seminar DVD Now Available

Length: 3:30

Response to The Simplest Way to Save Money

Back in January, I posted an entry, The Simplest Way to Save Money: Ask. In it, I told the story of how my wife and I saved $350 on a new water heater we had installed simply by questioning the quoted price. I also gave other examples of how to save money just by questioning every company you do business with and asking for price breaks and special deals.

Recently, I received the following comment regarding this article:

“Although I appreciate and agree with the point of your post I would add that you should comparison shop also. What appears in the accompanying picture is your garden variety water heater. Walk into any Sears and you will find the top rated (both efficiency and heating) 55gal water heater for around $350 with an install cost of $450 for a total of $800. Somehow I think your plumber saw an opportunity and took it.”

RJT

It just so happens that a Consumer Report site for blogs had linked to this entry and posted an excerpt as well as a picture of a typical water heater in an unfinished basement. Unfortunately, this picture is not mine and does not do justice to my situation.

So I can see why the commenter made that suggestion.

However, this got me thinking, and I’d like to point out some very important things that far too many salespeople seem to forget on a regular basis:

• Not every customer wants the exact same thing. Remember, customers buy for their reasons, not the salesperson’s. Find out what those reasons are first, DON’T ASSUME.
• Before you make assumptions about what a customer has, get all the facts first. It’s very possible a customer might be paying more because they’re getting a lot more.

Let me explain.

I love getting a deal as much as the next person, but I also love speed, ease and convenience as much, if not more. The last thing I feel like doing when it comes to saving just a few hundred dollars is comparison shopping. My time is extremely valuable.

Just one trip to Sears would kill at least two hours, not to mention the fact that Sears is not exactly at the top of my list when it comes to service and quality salespeople. To go to two or three other places would kill an entire day, minimum. If I kill a day shopping for a water heater, I’ve lost money, no matter how much I’ve saved.

Now once I’ve found the water heater, I need to depend on an independent plumber who does installations for Sears! Not something I feel like doing. Most plumbers are independent business people working on their own. While they might be very good at what they do, many are lousy business people who don’t understand good business practices, such as, showing up on time; quality customer service; and backing up your promises.

In fact, I don’t use a plumber per se; I use a plumbing, heating and cooling service. They are a business, a real business that is run like a business. They are full service. They will dispatch workmen to your home very quickly. I have never had a problem getting someone to come over when I want them there. They also have product catalogues with them so you never have to leave the house.

Once we narrowed down our choice of water heaters we looked at their quality ratings on the internet and chose the best one.

Now because the company pays the plumbers and technicians and keeps a cut for themselves, it costs me a little extra, but I don’t mind, because the convenience and peace of mind is worth it to me.

In other words, who is the customer and what do they really want?

Now for point two. This job was done quickly with absolutely the least amount of hassle. I also spent extra on a ten year warranty covering all parts and labor (ease and peace of mind), and this particular water heater (we have 2 in our house) is located in the attic. This means whoever installs it has to first bring it up a long staircase in the entry way, then has to bring it up the pull down staircase that leads to the attic. It is a job for two men, meaning additional costs. I guarantee you Sears wouldn’t have done it for $450.

As a salesperson, before you make claims about your product and service find out exactly what the prospect or client has. Far too often I find when someone tells you. “I can do the same thing cheaper,” what they usually mean is, “I can do the same thing cheaper by taking out a few things that are probably not that important anyhow.” Maybe to them they’re not, but to the customer they’re priceless.

Every customer is different. Find out what they want, and then most importantly give them what they need.

Creating Killer Sales Meetings Part II

So much of what determines a salesperson’s success is based on their attitude, commitment, enthusiasm and energy. The way they feel about themselves, their company, their clients and the products and services they sell. If they don’t believe in who they are and what they do; don’t expect the customers to believe it!

To reinforce this, a killer sales meeting should be bursting with energy and enthusiasm. Now, I know that’s hard to do; especially when people are cooped up in a hotel or conference center going from one session and meeting room to another, but there are certain little things a great meeting professional can do to keep that energy and enthusiasm at a high level.

• Make sure the room fits the audience. The wrong size breakout or general session room can absolutely suck the energy right out of your audience. Have you ever been to a sporting event where the stadium or arena was packed vs. being only half full? The difference in energy both on the field and in the stands is staggering.

As a speaker, I would rather speak in a room that’s too small for the audience and is bursting at the seams, rather than a room big enough to seat 600 for a crowd of 300. Your speakers and presenters feed off the energy of the audience and visa versa.

• Put your speakers in the right time slot. High energy speakers should open, close, and fill the dreaded right-after-lunch spot. After dinner speakers should be light and humorous. I am a high energy speaker. While I use a lot of humor and consider myself a good story teller, I should not be put in the after dinner slot because of the content level of my talks. I am not the light and airy type, yet I’ve had many companies who’ve wanted me in that slot (to answer your question, I either turn it down or convince them to put me in another slot).

In addition, watch where you place the afternoon break. I’ve found that while audiences have less energy near the end of the day than at the beginning, their lowest energy level is right after lunch. Try to place the afternoon break closer to the end of lunch than the end of the day. Give your attendees a chance to get their second wind sooner rather than later.

• Don’t let the presentation materials become the presentation.While Powerpoint is a great presentation tool, too many presenters use it as a crutch, rather than an enhancement for their presentation. Making a room full of salespeople read slides is pretty much the same thing as slipping knock-out drops into their water glasses.
• Motivation and inspiration is great;but motivation and inspiration with content is even better. While salespeople want to be motivated, inspired and entertained; they also want to be informed. Most salespeople are bottom line people. They want to receive 2 or 3 good ideas that they can implement tomorrow in order to start growing their business by the day.

It’s these subtle factors that can either kick off a killer sales meeting or cripple it. In Part III, I’ll discuss what you should expect from your speaker.

Trip Report: Phoenix and Detroit

I spent this past week speaking in Scottsdale and Detroit, and I can honestly say this was one of the best road trips I’ve had in my 21 years as a speaker. First, I have a free companion ticket whenever I fly Southwest since I fly them often, so I was able to take my wife, Linda. Second, each one of my seminars (3 of them) went beautifully.

I delivered a full-day seminar for State Farm Insurance in Scottsdale, and two seminars for the Yes! Network in Detroit. The Detroit seminars (one on prospecting, the other on goal setting) will be coming out on DVD within the next few months. Keep checking this blog for a special offer on these DVDs when they are released.

What made the trip even better was that the airline, hotels and car service were absolutely perfect! Not one problem. So I’m plugging each and every one of them.

I traveled Southwest all the way. The flight from Raleigh to Phoenix arrived 40 minutes early! We stayed at the The Westin Kierland Resort & Spa in Scottsdale. Not only a beautiful resort, but the staff couldn’t have been nicer. One night we ate at a restaurant in the hotel named Deseo. Fantastic food, great service; I recommend it highly.

Then it was off to Detroit where our flight landed 10 minutes early. We were met by one of my favorite car services in the U.S.: Metro Car. Their drivers are always on time, friendly and courteous. The cars are immaculate. If you ever have to fly to Detroit on business and need airport transportation, call Metro Car at (800) 456-1701.

Now for our most pleasant surprise of the trip. The Hampton Inn at 169 Loop Road in Commerce Township, Michigan (248-624-8100). When it comes to budget hotels, I’ve always liked Hampton Inns. They’re clean, the people are nice and you get a free breakfast. But this Hampton Inn went above and beyond our expectations.

The room was terrific. The bed was amazingly comfortable. We had free high speed internet access, both wired and wireless. The staff was fantastic. They had a free shuttle service that took us and picked us up from wherever we wanted to go. Of course, they had free breakfast, along with with a take-away breakfast bag. Check it out if you’re ever in that area.

The flight back home landed in Raleigh about 10 minutes early and, of course, Thorpe’s (919-544-4363) the best car service in the U.S. was waiting for us.

When you have a trip like this, you wonder why can’t every hotel, airline and car service fulfill the same expectations? This was not brain surgery folks.

In fact, it was as simple as attitude, commitment and caring.

Selling With a Purpose

A salesperson you work with has just come back from an appointment and you ask him, “How did it go?” Have you ever heard this response, “It was great! We were together for hours. We talked about everything. We had a GREAT conversation. I think she really likes us.” You ask if she bought anything and the reply is, “No, I don’t really think she needed anything.” Of course not, and do you know why? He probably didn’t ask.

Having "great conversations” is not selling; it is the illusion of selling. I think we can all agree that the single biggest commodity people have the least these days is "time." Do you really think you’re doing a client or prospect a favor by hanging around and talking about nothing? No, you’re just wasting their time and yours.

I have actually had salespeople say to me, “Well, I don’t want them to think I’m trying to sell them something.” Unbelievable! Let’s face it, YOU know why you’re there. I have a sneaking suspicion THEY know why you’re there. So, if you know and they know, WHAT’S THE BIG SECRET?

Here’s a very simple tip that just might help you stay focused during your presentation and keep you from having “great conversations.”

Just before you are about to walk in the door for your appointment, ask yourself, “What is the purpose of this appointment?” Once you have established this purpose in your mind, everything that goes on during that appointment should lead to the fulfillment of that purpose.

Now you’re probably saying, “What’s he talking about? My purpose is to make the sale.” And that’s true in many cases, but not all of them. You might be there to find out more about the prospect and their company, so you can come back again to present a proposal and hopefully close the sale.

In that case, your purpose is to sell the next appointment, not just to do a needs analysis. If you did the needs analysis, but walked out without a set follow-up appointment, what did you accomplish? The needs analysis was just a means to get you to your end (the next appointment). You can’t close the sale without the next appointment. If you don’t get the appointment before you leave, your chances of getting it after you’re gone drop precipitously.

Your purpose might be to close a sale. In that case you better make sure you walk out with either a “Yes,” or a “No,” since either way you’ll know how to proceed. Walking out with “I’ve gotta think about it,” isn’t going to do it. The best time for prospects to think about it is when you’re there to answer questions. If you’re not there, who’s going to answer their questions? This is assuming they’ll even be thinking about it. You must make the prospect reach a decision.

You might be there to obtain referrals. If so, make it short and sweet. Try to follow the guidelines I set forth in my two part series on referrals . This way you’ll fulfill your purpose and won’t walk out empty-handed.

Just always remember to ask yourself, “What is the purpose of this call?” Then make sure everything you do during that sale’s call is geared toward getting you to that purpose. Hopefully, this will stop you from having “great conversations.”

Be sure to check out my podcast, "Preparing for the Sales Appointment," for more tips on dealing with prospects.