Heavy Hitter Sales Blog

Avoid the Year End Deal Cesspool!

 

Here’s one of my favorite year end sales stories… READ BRIAN'S STORY BELOW …”                  

    

Brian was presenting his forecast in front of his teammates and explaining why a deal that he had originally forecasted to close in the quarter came in three months later. Here’s his story.

    

Brian was excited that the account he had worked on for months had selected his software solution. After several weeks of ensuing price negotiations, a $300,000 purchase order was submitted into the customer’s capital expenditure software system (referred to by the customer internally as the “CES system”). Since several weeks were left in the quarter, Brian expected that he would receive the purchase order well before the year end cutoff.

    

In Brian’s mind the deal was done. The purchase order would be printed and signed and he forecasted the deal accordingly. However, Brian was quite surprised to learn that the rules-based CES system required that a purchase of that magnitude be approved by twenty-one different people. The purchase order had entered the cesspool of order approval.

   

Because of this elaborate sign off procedure, it would take another three months before all twenty-one signatures were gathered. In the meantime, Brian embarrassingly had to explain to his manager why a deal he had positively guaranteed would close wouldn’t.

   

His assumption about the purchase order turnaround time was dead wrong. If only he’d had the foresight to ask about the details of the procurement process before he committed the deal on his forecast. During a recession you should expect every purchase approval to take three to four times longer than normal. Because every organization exercises another excruciating level of diligence to ascertain whether or not the purchase is absolutely necessary.

 

Other Articles That May Interest You:

 

The Seven Deadly Sins of Salespeople

Why Did We Lose the Big Deal?

Q4 Forecast! Exaggerators, Sandbaggers, Heavy Hitters

The old saying that time is money is actually wrong. Time is actually far more important than money. Time is your most valuable possession. It’s also finite. You only have so many days in a month or quarter. That’s why I am not a big fan of making salespeople fill out laborious sales call reports, activity reports, and other long-winded forms.

 

However, there is one form that I consider sacred, the forecast. Your forecast is the measuring stick of your credibility. It is the visible amalgamation of all your years of experience, sales intuition, intensity towards your job, and attention to detail. In my mind, a complete, accurate forecast is more than a chore that comes with being in sales, it’s proof you belong in sales. It is also a direct reflection of your character, integrity, and work ethic.

 

Through the years I have found three basic types of forecasters; exaggerators, sandbaggers, and Heavy Hitters. Exaggerators are happy ear forecasters who take customers’ words at face value. When asked why they have committed a particular deal they will say, “The customer told us they like our solution.” They seem to have forgotten the old adage that “all buyers are liars.”

 

Other exaggerators are rose colored forecasters who interpret every piece of information in their favor. For example, a customer might say, “We understand your product so there’s no reason for you to demonstrate it.” They’ll interpret this as a positive sign even though all the other vendors are demonstrating their products.

 

Exaggerators continually paint the future as being so incredibly bright that management is hesitant to fire them. While this quarter might not look so good, the next one is always going to be fantastic. They are so convincing that it takes management several quarters to catch on to the ruse.

 

Sandbaggers are secretive forecasters who try to get buy giving as little information as possible on the forecast. They figure the less information they give, the less exposure they have to management’s questions.

 

Heavy Hitters forecast per their conscience. Irregardless as to whether they will have a good or bad quarter, they tell it like it is. They ignore the braggadocios, hyped-up forecasts of their teammates and consider it a personal obligation to be honest to themselves, their managers, and the company. 

 

So now it’s time to conduct a quick exercise. Open up your forecast and take a look at all your deals. What type of forecaster are you?

 

Other articles that might interest you:

 

The Seven Deadly Sins of Salespeople

Why Did I Lose the Big Deal?

60 Second Overview: Heavy Hitter Sales Psychology

Sales Linguistics is Sales 2.0! Steve Martin Interview

I was recently interview by Mathew Schwartz for “Follow the Lead: Zoominfo’s B2B Sales and Marketing Blog” Here’s the interview:

 

BEST ASSET FOR SALES EXECUTIVES DOESN’T COST A THING

 

The terms have seeped into the sales lexicon: Sales 2.0, Sales 1.5, Web 2.0. The terms remind us that Philip K. Dick was probably onto something regarding where the 21^st century is headed.  But terms such as Sales 1.5 and Sales 2.0 really mean getting from Point A to Point B, and that has a timeless quality.

 

For sales veteran Steve Martin, author of “Heavy Hitters Sales Psychology: How to Penetrate the C-Level Executive Suite and Convince Company Leaders to Buy,"  the new Sales 2.0 emanates from something that technology can never compete with: our mouths. “Sales executives haven’t thought about the most important weapon they have,” said Martin, a sales consultant whose clients include Akami, AllState, IBM and McAfee. “They haven’t optimized their mouth and the words they speak. While they may have ten years of sales experience, they know nothing about sales linguistics-- the study of the customer’s mind uses language during the decision making process.” Martin said verbal communication – and learning how to use words with myriad levels of decision-makers who are involved in the sales process – is the way to cultivate sales, digital age or no.

 

“The major problem [in sales] is that there’s very little difference between products,” Martin said. “The only differentiation is how salespeople can speak [to customers] in a unique way so customer down their guard and starts to tell the salesperson what they’re trying to accomplish.”

 

Martin, whose blog focuses on sales strategy and advice, said that “sales 1.0” terms smack of a traditional sales pitch. “Using words like ‘reliable,’ ‘easy-to-use,’ ‘scalable,’ ‘industry leader,’ they mean nothing to prospects,” he said, adding that senior sales execs often suffer from using antiquated terms in the sales process (and then mistakenly pass those habits along to newbies). Prospects get “anaesthetized by these words, which are not attached to any psychological needs.”

 

When they reach prospects to start a conversation, sales execs have to stop reciting the proverbial sales pitch. They also have to understand how customers use language throughout the sales process; how they interact; how they speak to each other and how they speak to sellers both individually and collectively.  “Increasingly, when you’re on a sales-call presentation it’s in front of a group, so you have to understand a person’s authority within a group  is not necessarily commensurate with title and only their language reveal this” Martin said.

 

Martin cites a “Heavy Hitter” as a species of “communications chameleon,” or someone who can bond with different levels of buyers and influencers through the ability to speak different languages (but the same tongue). For example, “if you’re speaking to an engineer about network products, you have to be able to speak with specification about technology,” he said. “But when you speak with the CIO, his orientation is on how run to a business operation. They speak two totally different languages.”

 

It’s like a crash course at Berlitz. But it doesn’t have to be.  More than half of the battle to getting a better read on linguistics is taking personality out of the equation. “Traditional personality assessment as it relates to sales calls is obsolete and unimportant,” Martin said. “The better way to map out the sales cycle is based on how decision makers receive and  interpret information and how they act when they are alone with the salesperson as opposed to with a  group of colleagues. Because a person’s environment will dramatically impact what they say and how they say it. In reality, sales linguistics is the true new Sales 2.0!”

 

Other Articles That May Interest You:

 

Sales Linguistics: The 7 Different C-Level Languages

60 Second Overview: Heavy Hitter Sales Pscyhology

Great Sales Quotes From C-Level Decision Makers

My new book Heavy Hitter Sales Psychology: How to Penetrate the C-Level Executive Suite and Convince Company Leaders to Buy is based upon Based upon more than 500 interviews with C-Level executives. The book provides psychological strategies and linguistic tactics to secure C-level meetings, expert advice on how to prepare for and conduct C-level sales calls and presentations, and specific instructions on what to say and do during meetings. Throughout the book I have inserted comments from the executives I interviewed. Here are a few of my favorite quotes along the title of the person who said them:

   

“Every salesperson is trying to get into my office and explain how their wonderful products will save me tons of money. Very few do because most don’t understand what it takes to sit across the table from me.”  Chief Executive Officer

   

“If you understand what I am trying to do—here’s how I can help you in the short and long term, and here’s how I have done it at other places—then there is a partnership quality to the relationship, not just a vendor and a supplier.” Chief Executive Officer

   

“The vendor we chose has a group of smart, dedicated, customer-oriented people. To a great degree, I don’t think their products and services are different from their competitors’. They distinguish themselves with their people.” Vice President of Supply Chain

   

“Their salespeople have an order taker mentality. They are not a value-added layer. Even some of the most senior people on our account tend to not come to me with strategic thoughts or ideas for the future but come to me and say, “What do you need today?” Executive Vice President of Worldwide Operations

  

“Their salespeople need some type of a more senior level executive overview, something that resonates with high level executives. Senior executives only have two seconds to look at something and figure out if it matters. Our top executives still aren’t sure what their product does. I think they assumed it is a bleeding-edge product, and they are not risk takers.” Senior Vice President of e-Commerce

   

“This was a huge decision for our company, a huge purchase we would have to live with for many years. I was worried we wouldn’t get it right.”  Chief Executive Officer

   

“It’s a pain in the ass to switch vendors. It’s a pain in the ass to analyze whether you should or not.” Vice President of Purchasing

“It sorts itself out pretty fast —those who will and won’t make it with us. We are a big company, so there’s always a tendency to go with the big players. Who are your proven big-time customers? What resources do you have to get something fixed?” Chief Operating Officer

   

“They were completely unwilling to think outside the box with us. We consider ourselves unique, so we like the people we work with to treat us differently. I don’t know whether it was because the salesperson was so bad or the fact that their company is so rigid that they wouldn’t even entertain it. After I told them we weren’t moving forward with them, I almost got this autoresponse “We’re sorry to hear that; keep us in mind; blah, blah, blah.” I thought, “Don’t you want to know why, you idiot?” Chief Financial Officer

   

Other Articles That May Interest You…

60 Second Overview of Heavy Hitter Sales Psychology

Motivational Sales Quotes to Start the New Year

Aristotle's Advice for Salespeople Today

Sell High or Die! Heavy Hitter Sales Psychology

Sell high or die! You must convince C-Level executives to buy! During tough times selling to the C-Level is a mandatory skill. I am proud to announce the newest addition to the “Heavy Hitter" series of books about enterprise sales strategies for senior salespeople.

 

Heavy Hitter Sales Psychology: How to Penetrate the C-Level Executive Suite and Convince Company Leaders to Buy

 

The biggest challenge facing salespeople today is securing meetings with C-level executives and convincing them to buy in the life-or-death meetings that determine who will win the deal. Based upon comprehensive interviews with more than 500 C-level executives, Heavy Hitter Sales Psychology will help you understand how C-level executives think, how they communicate, and how to adapt your use of language to match executive decision makers'. Steve Martin provides language-based strategies that enable your message to rise above your competitors' and impactful psychological suggestions that compel executives to take action. Inside the book, you will find expert advice on

• Strategies and tactics to penetrate the C-level executive's office

• What to say, do, and present in face-to-face meetings with C-level executives

• Building rapport using sales linguistics, the study of how the customer's mind uses and interprets language

• Anticipating how the C-level mind-set impacts organizational politics and influences the complex decision-making process

• Extensive real-world examples, illustrations, and exercises to help you apply the techniques immediately 

Heavy Hitter Sales Psychology is for senior salespeople, those who have been in the field for five, ten, and fifteen plus years. The Heavy Hitter sales philosophy has helped over 50,000 salespeople become top revenue producers at companies including IBM, NEC, Akamai, Convergys, and McAfee Software.  Order Heavy Hitter Sales Psychology Here.

 

Other Articles That Might Interest You:

Heavy Hitter Sales Psychology Overview

Sales Linguistics: The 7 Languages C-Level Executives Speak

Why Did We Lose? (5 Questions for the VP of Sales)

Should You Get An MBA? Advice for Salespeople!

Next month I am going back to school. Not as a student, but to teach sales strategy once again for the Haas Business School  MBA program at the University of California, Berkeley (and for the first time at University of Southern California’s Marshall Business School MBA program).  

 

Should you go back and get your MBA? That can be a difficult question to answer. Since there are over 400 different universities that offer MBA programs across the US, let’s first take a look at the three basic programs you have to choose from.

 

Full-Time MBA Program: You drop everything you’re doing to head back to school full time and live on or near-by campus.  Admission to most full-time MBA programs require several years of work experience and they’re not cheap. Plan on spending a minimum of $100,000 (plus living expenses) to complete a two year program at a top 25 school.  For example, UC Berkeley’s Full-Time MBA program  (ranked 6^th overall in 2008 and 1^st for e-business by Financial Times) costs $48,000 per year for tuition, fees, and books alone.

 

Part Time MBA Program: Classes for these programs are conducted on weekday evenings and weekends over a two year period. The good news about these programs is that you’ll be able to continue to work (if you don’t travel too much). The bad news is you will be swamped with assignments, readings, and studying for tests. Your schedule will be fully booked and you will have very little free time for family or yourself during the school year.  The costs of these programs is about the same as a full time MBA. USC’s Marshall School of Business  and UC Berkeley’s Haas Business School part time programs (ranked 5^th and 6^th in the nation for 2009 by US News and Report) both cost about $100,000 to complete.

 

Executive MBA: These two year programs are specifically designed for  “senior” managers who work full time.  For instance, there are 136 Executive MBA students in USC’s program (ranked  #1 in 2008 by the Wall Street Journal) with an average of 13.5 years work experience. The curriculum of these programs is more real-world project/problem/case study based (as opposed to standard classroom lectures). It costs about $100,000 to complete USC’s program.

Have you been thinking about getting your MBA? Here’s my “general” rules of thought.  Be forewarned, these are only my generalizations based upon career stage and I can guarantee that your personal situation is unique.

 

Salesperson late 20s-early 30s: This is the best time during your career to get an MBA . I strongly recommend you pursue a part-time MBA if you can honestly answer yes to the following question,  “Do you have the wherewithal to preserve through two hard years of studies?” Maybe you have been in sales for a few years and don’t feel a sales career is right for you. Why not go back to school full time?  Trust me on this… this is one of the few times when you will have the opportunity to re-chart your life’s direction.

 

Salesperson Mid 30’s-early 40’s: If your family obligations aren’t too considerable and your work schedule is manageable, I would recommend pursuing  a part time MBA.

 

Salesperson late 40’s and up: Focus solely on your job and maximizing your income. Sock as much money away as possible and spend as much time as you can with your family.

 

Sales Management Recommendation: Regardless of your career stage and whether you are a new or seasoned sales manager, get an Executive MBA!!! You’re going to learn tons of new stuff from some incredible faculty and work on projects with talented (and well-connected) classmates . Equally important, it may make the difference between getting that big promotion and landing your next job.

 

One last thought, just because you decide to apply to grad school doesn’t mean you are going to get in. UC Berkeley had 3,779 applications to their 2010 full time program and only accepted 240. That’ only 6%!!! Be forewarned, the application process at top schools like CAL and USC is grueling. But rest assured, the long term benefits are worth it!

 

Other Articles That Might Interest You:

 

Why Universities Don't Teach Sales

Sales Intuition, Memory, and Chester

The Truth About Older (50+) Salespeople

It hard times for salespeople (and sales managers) over 50 today. As companies downsize, they find themselves five times more likely to be let go when compared to their younger counterparts. They also have a more difficult time finding new jobs because younger sales managers have five basic fears about hiring someone older than themselves:

 

They are Un-coachable. Younger sales managers fear older salespeople are set in their ways and won’t take their directions.

 

They aren’t Technically Savvy. Younger sales managers fear they haven’t ingrained technology (PDAs, e-mail, and web-based sales force automation) into their daily working routine (nor are they up-to-date on the internet, blogs, texting, Twitter, etc).

 

They are “Washed Up.” Younger sales managers fear older reps are burned out from too many years “carrying the bag.”

 

 They Have a Poor Work Ethic.  For a variety of family, personal, or health reasons, younger sales managers question how hard they will work.  

 

They Really Want My Job! Perhaps the biggest fear of a younger manager is that he is hiring someone who may upstage him in the eyes of senior management in order to fulfill an ulterior motive of taking over his job. 

 

Given these fears, I would like offer five factors sales managers should consider when choosing between younger and more senior salespeople.

 

1. Do you have to Sell to the C-Level? The C-level Executive sell is based upon establishing credibility and trust. Who do think has an easier time establishing rapport with senior executives; a 26 or 56 year old salesperson?

 

2. It’s about relationships, not Rolodexes. Never hire any salesperson solely based on the Rolodex (if you’re under 30 you might have to look this word up) of customer contacts they claim to possess. Hire the salesperson who has a successful track record at penetrating new accounts and proven their ability of turning aloof prospects into close friends.

3. Wit. Most companies make previous experience in the same industry their main criterion for hiring. Since these salespeople command the industry nomenclature, they are assumed to be qualified candidates. A more important hiring criterion is how candidates respond to pressure. In other words, how quick-witted or fast on their feet are they, what is their ability to learn quickly, and are they able to solve complex problems in real time? In this regard, don’t judge a book by its cover and assume a little gray hair means a lot less grey matter.

4. Sales is a Mentor-based Profession. Sales organizations are mentor-based environments. Inexperienced salespeople don’t know what they haven’t seen for themselves. Usually, it’s through the “school of hard knocks” that they gain their experience. Unfortunately, this takes time. The entire team can benefit from emulating salespeople who have accumulated a reservoir of experience working with customers.

 

5. Who Do You Trust? Peek into the cockpit as you board your next commercial flight. Chances are you are putting your life in the hands of one of the 70,000 airline pilots that are over 50 years old.

 

Articles That Might Interest You:

 

Why Does My Manager Dislike Me?

The Seven Deadly Sins of Salespeople

7 Reasons Why Indy Racing is Like Sales

Over the years I have met some pretty interesting people on airplanes—people both famous and unknown, from all walks of life. One of the most fascinating conversations I ever had was with a fellow named Scott Goodyear on a flight to Indianapolis. We were seated next to each other and started chatting. When I asked him what he did for a living, he replied that he was a former Indy racecar driver who now works as a television race commentator. For the next three hours we had the most fascinating discussion about racing and life in general. As he spoke about his racing days, I could not help thinking how much selling and racing in the Indianapolis 500 are alike.

 

1. You must understand the fundamental laws of your field. Indy racecar driving is very different from other types of racing. Whereas a NASCAR driver wants to stay close behind another racer in order to draft, the Indy racer needs separation and “clean air” to keep the car from careening out of control. The aerodynamic shape of the car’s bottom actually creates suction that keeps the car on the track.

 

2. Peer pressure is huge. The most stressful time for an Indy driver is not actually the race itself. It’s the time trials to determine who will take the pole position. During these trials, racers watch their competitors. Specifically, they are looking at what the driver does heading into the first turn and if he will keep the gas pedal floored. This is the measuring stick that drivers use to determine who’s a real contender.

 

3. Racing is a mental sport in which you do what comes naturally. Scott competed in ninety-seven professional races. He quit racing when it didn’t feel “natural” anymore.

 

4. You are part of a fraternity. Indy drivers share a unique camaraderie and a deep respect for one another. While they may be ruthless adversaries on the track, off the track they’ll help each other. For example, Scott’s advice is highly sought after by current drivers.

 

5. You must constantly improve in everything. I got the impression that Scott was perhaps his own worst critic. He could probably recall every race he was in and what he could have done better.

 

6. You have to take risks to achieve success. Driving more than two hundred miles an hour is risky business. Scott was in several nasty accidents and broke his back on one occasion. However, you can’t win races if you don’t take chances.

 

7. Winning is everything. Second place doesn’t really matter, and Scott should know. He came in second place in the closest race in Indianapolis 500 history. Although he lost by just a couple of feet and only .43 of a second, Al Unser Jr.’s name is on the winner’s trophy.  

 

Salespeople who don’t understand the fundamental laws of selling will crash and burn on deals more frequently than they will win them. Selling requires the same mental stamina as profession racecar driving and Heavy Hitters in both professions do what comes naturally. Salespeople belong to a fraternity as well, where colleagues keep watch on how much business you’re closing. Heavy Hitter salespeople hold themselves to a higher standard, always seeking to improve their performance and never fearing to take calculated risks. After all, winning is everything.   

 

 

Other Articles You Might Enjoy:

 

The Seven Deadly Sins of Salespeople

What $1 Million & $1 Trillion Look Like

With all the talk about the trillions of dollars being spent to combat the recession, I thought you might find the graphics below from pagetutor fascinating…

 

Here’s what $1 Million Dollars looks like in one hundred dollar bills…

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Here’s $100 Million Dollars…

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Here’s $1 BILLION Dollars... 

 

 

 

 

 

 

 

 

 

 

 

Here’s $1 TRILLION DOLLARS... And those pallets are double stacked!!!

 

How to Tell Your Kids About the Recession

Parents’ natural instincts are always to protect their children. Keeping them from danger is an innate part of our human nature. But we’re in sales and the realities of selling in a recession are hitting home—less commission, longer hours at work, and frayed nerves. If you haven’t already, it’s time to tell your kids about the recession. Here’s some ideas that might help you with this awkward conversation.

 

Put it in Perspective. There’s an old saying that a recession is when your neighbor loses his job, a depression is when you lose yours. It’s just a matter of perspective. These are tough times and while there is tremendous economic uncertainty, we have always made our way through challenges in the past. And, somehow we’ll do it again.

 

Explain What’s Happening. Your kids probably wont’ understand that the recession’s cause is a $32 trillion negative wealth effect from declining home values, weakened capital markets, and consumer debt load. But they do understand there are natural cycles to life like the four seasons. While winter time happens every year, a single cycle of the economy can take decades. We’re in the midst of economic winter, at the bottom of a cycle.

 

Cash is King, Avoid Debt. As winter approaches animals in the wild stockpile food. During winter they conserve what food they have. Similarly, we need to make every effort to save and conserve money whenever we can. The biggest lesson of all is to live within our means and avoid debt.

 

It’s Temporary. There’s a classic Merle Haggard song where he sings, “If we make it through December, everything is going to be all right I know.” Well, it’s true. These times won’t last long and we just have to adjust our lifestyle for a short while, maybe through the rest of the year. But next year will definitely be better.

 

The Ultimate Truth. Your kids are living in extraordinary times. In their lifetimes they will see incredible developments in technology and advances in medical science we cannot imagine. They will enjoy incredible careers doing what they love to do.

 

Your kids’ true heroes aren’t the latest American Idol winner or the Super Bowl MVP. It’s you. Your sacrifice and hard work is responsible for everything they have and everything they’ll ever do. And you did this for the right reason, because you love them.  Now you just have to make it through December.