Great video on the value of social networking.YouTube – Social Media ROI: Socialnomics.
Like my last post with David Thompson, this video was done for my sales blog, Beyond Snake Oil.Friday, after Web 2.0 Expo, I had the opportunity to sit down with Umberto Milletti, the CEO of InsideView. During the meeting, we talked about the history of InsideView and the driving forces behind the founding of the company, his upcoming Sales 2.0 Executive Series & selling in the current economic climate. It was a lot of fun meeting Umberto and you can see his fun personality come out in this video.If you’ve got a cool Sales 2.0 product and would like to be interviewed, drop me a note or give me a call.
Yesterday I spent some time with David Thompson, CEO of Genius.com. This is cross posted from my other site, Beyond Snake Oil.In the meeting, which starts with me fumbling my camera during the introduction, David & discuss Genius, Sales 2.0 & the current economic crisis and how sales people can still thrive in this environment.Unfortunately, I got a few tweets too late to ask in the meeting, but I’ve asked David to respond via email. When he does, I’ll post here.Got a suggestion (and an intro) for who I should talk to next? Want to be met with? Drop me a note.
Here is the second part of an on going series from my notes at Sales 2.0, hence the goofy title.Gerhard continued his opening keynote by sharing some really stellar recession facts. Prior to listing the actual facts, he shared an anecdote about George Schultz, who was the CEO of Ritz Carlton. George had a great outlook during recessions simply stating that people are going to continue to travel. They may not travel as much, but it is important to figure out ways to get them to stay at our hotel. This requires a huge change in looking at the world.Six Selling Rules for a Recession1.) It takes 15 – 20% more prospects to make the same number. I was really happy to see this as it aligns with my post from last week about making it in a recession. I suspect that this number will hit 25% very soon. Get your lead generation house in order ASAP.2.) Companies that reduce their sales and marketing effort in 2009 will be gone in 2010. As has been said before, now is not the time to stick your head in the shell and wait for this to blow over.3.) 22% of deals in your pipeline will be lost to the status quo. This is one of those things that I think that all sales people know, but most are too optimistic to admit. There are two types of trucks out there, garbage trucks and money trucks.
Which do you want? Don’t spend time with the garbage trucks, look for the money trucks. Score your leads more carefully and focus on companies / industries that are doing well in this market. Here is a good list to start with. Who is going to do the best with the Obama stimulus money? Start moving your marketing and sales dollars there now.4.) Companies lose 10% of their sales due to lack of insight into the sales process. In Six Sigma, one thing is wrong in a thousand. In sales, it isn’t on common to have 30 things wrong in 100.Learn from your losses, record & reduce failures. Focus on a Six Sigma style of sales where you’re always adjusting your process towards perfection. Does your average deal close in 45 days and you’re still chasing something that is 200 days old? It may be time to give that up and focus on newer, fresher opportunities.5.) Relationship quality and deal quality suffer during a recession. Avoid it. Sales people will get knocked down a lot more this year than they’ve been knocked down in recent years. Now is the time to get rhino skin. Stay positive, recognize the adjustments that there will be more failures before success, play the point not the game.6.) Today, it takes 20 – 30% longer to close a sale. Focus your time on how do you close deals faster. I used to work with a guy that said ‘Time kills deals’. Never was this truer than today’s climate. What can you do to accelerate your close time?Next up, notes from my meeting with Ken Rudin, the co-founder of LucidEra.
D’oh, I realized halfway to San Francisco that I forgot my camera. Double d’oh.So early this morning, I embarked on San Francisco to come to the Sales 2.0 conference. This is my second S2.0 and I was really honored to be asked by David Thompson and Gerhard Gschwandtner to come up on a media pass to blog the show. I’m not a live blogger because my spelling is horrendous and my attitude is snarky until I think about things, but I’ll be putting together a series of posts about the conference and the seminars I attended. I had a bunch of real work pop up, so some posts may be longer than others. I’ll finish the series with just a series of random notes throughout the day. If you weren’t here, it probably won’t make sense. Some are snarky.The opening key note was great and David always does a wonderful job engaging the audience. The theme was momentum and exciting. he quickly turned over the podium to Gerhard who asked everyone to point north. It was funny to see everyone point in different directions. I went off of where I thought 101 was, which is usually my barometer when I’m anywhere. The point was that we needed to get pointed towards true north. Tools can help, but there is a limit on to what technology can do and it is important that sales people leverage these tools appropriately to move things forward.In fact, he stirred the pot a bit by saying that sales people are 2 steps behind their customers. Often times, customers are more informed about products than sales people are. He used the analogy that we are like early animals coming out of the water but being stuck in the mud. There is too much information and we can’t get a good footing. The trick is to more quickly weed out the bad information.Entering the Conversation Economy
- Knowledge of what we know can hurt us. Gerhard went on to explain that when a group gets together, reason sometimes goes out the window. It is the Achilles heel of Web 2.0. We are now entering a conversation economy in which sales people need to ‘ditch the pitch’, develop a conversation with their customers and truly help them.
- Transactional sales are going to die in the next 3 years. If you aren’t selling in a consultative manner, you are going to starve.
- You have to live in a world of co-creation. Don’t sell, co-create with your customers. Help them build what they want.
- More science is coming to sales. A big them is around Total Quality Management (TQM). Companies need to take a Six Sigma approach to sales leveraging metrics to drive productivity in the right way
- In the old days, companies created customers. Today, customers can make or break a company.
There is no bad weather, just inappropriate clothing.