Friday, August 27, 2010

The Top 10 Laziest Sales Tactics

The amount of "lameness" on the part of sales people (and some marketers) has now come to a point that I think a public flogging is in order. To those Michael Scott’s of the world (and I like Michael), know that we are on to you. The following tactics have never, and will never, produce a lead.

1. Filling out a company's contact form on the website with ”contact me if you need…” Yep, I’ll get right on that.

Mike, for example, was able to jam an entire spam email onto our company contact form...impressive.  Sure, I will take the time to read the entire message box and get back to you. 

But wait, sensing that I might not take him seriously, he submits the form again 2 minutes later.

2. Sending an email blast with the generic intro of "Dear Sir." Forget everything you've learned about 1 to 1 marketing, personalization, relevancy, this just might work.  Just get a list, and go.  

3. Even better, the telemarketing version of the "no effort" approach.  Cold calling and asking; “can you please tell me who handles…”  Instead of you doing your job, you're now asking me to do it for you -- beautiful. 

4. Some telemarketers have taken it to a whole new level. Love the folks who leave a message without saying why they are calling, but then ask you to call them back. And my personal favorite -- the rep who invented the "I'm returning your call..."   It's like the guy you knew in college that spent hours figuring out how to cheat for a test, instead of using the time to study.

5. Advertising your services in the comment section of a blog.  Let's take Jeff D, he didn't even try to hide it in a link.  He went straight for the kill.                

It's not all bad because he does give me "props" at the end of the ad..."I like your information it is helpful to me."  Mmm, is it helpful because it gives you an opportunity to display spam?   Apparently so, because Jeff D comes back 6 days later, this time pimping new services, Website design and development.  Notice I get no "props" this time.  Pretty tricky changing the name of the company, almost didn't catch him.  
To Jeff D, and all the other spammers, know that bloggers decide whether or not to post your comments.  The comments above never made it public, I saved them for my own personal enjoyment, and this blog post.   Also, know that Blogspot, as well as other platforms, now have enable spam filters.  Good luck on future postings. 

6. Posting a discussion within a Linked-in group that isn’t a discussion, but rather, an advertisement for your company…it’s not a discussion; it’s spam, and it’s annoying.

Take Mr. Gupta for example, at Web Box Office. He's advertising "Learn the secrets to success with attendee-funded webinars." Sounds good, huh. Guess who's paying for the webinar...you are, Mr. attendee, if you register.

7. Using the yellow pages as your prospect database. I’m not kidding, people are still using it. Just wait until they find out about the internet.

8. Offering something FREE, unless it is truly FREE.  Taking a credit card number so you can start billing a customer after a "free" trial is not free.  This is not selling, it's scamming.   There are rules, some people call them laws, governing this practice.  See FreeCredit Report.com for an example of how not to do it.   

9. Any email coming from Nigeria, or any other country, offering a fortune if you could just help them  by giving them your social security number, bank account number, etc.  To good to be true, something for nothing?  Any of this ringing a bell?  Ok, maybe I'm a little bitter because I'm still waiting for my $1M from the British Lottery Authority.

10.  Actually, couldn't think of a 10th, but I'm sure there's one or more out there.  I'd love to hear your experiences.  Add your "Top 10" story in the comment section, but please easy on the spam.  Jeff D takes up a lot of my time.    

Wednesday, August 11, 2010

Social CRM - "Many to One" Marketing...or is it Sales?

Social Relationship Management and Social CRM are terms that are now being thrown around for new technology platforms that are enabling multichannel execution.  Companies like Lithium Technologies have created platforms that allow companies to run hosted communities, listen across a variety of social media channels, and manage content to and from social networks in one integrate tool.

While marketing has steadily evolved from "one to many", to "one to one", Social CRM is now creating the opportunity for "many to one."  For example, a customer tweets a question about a product (e.g. is it worth the money) on Twitter, a customer advocate brings that comment into a company's online forum where another customer answers it.  The customers response to the question is then tweeted by the company to promote sales of the product.

The promise of Web 2.0 has always been about customers selling to customers.  New Social CRM tools are now enabling that by consolidating platforms.  But this has the potential to raise issues over who gets credit for the sale.    If the true ROI on social media is revenue, which many research studies are now suggesting, then who gets credit for the sale by a customer to a customer?   Does marketing get credit for creating the customer advocate who convinced the customer to buy or does the sales person who "owns" the customer?   And what about the customer who made the sale...what do they get?

One thing is certain: social media is blurring the line between sales and marketing interactions and dialogues.   And given that, we may have to rethink our traditional views of customer coverage and relationship management.   Perhaps in the future, marketing will be responsible for managing customers online relationships, and sales for the offline experience.

Someone call HR and give them the heads up.  Territory planning, revenue crediting and roles and responsibilities might need a refresh soon.

Wednesday, August 4, 2010

Partner Marketing Model Webcast

On June 16th, I hosted a live webcast along with Bob Ray, President of GyroHSR's San Francisco office. The theme of the webcast centered on how new technology trends, like the Cloud, and shifting partner business models are opening the door for vendors to redefine the partner relationships.
Other highlights include:
  • Tech trends have shifted the focus of executives, and the recession has caused customers to be more cost conscious
  • A new focus on professional services/managed services has caused a longer sales process which means reps and partners need help selling.   
  • The average ramp time for a productive IT sales rep has gone from 7 to 10 months
  • Generally, IT execs do not feel sales reps UNDERSTAND their business
  • Engagement through data sharing, pre-packaged marketing solutions, and program planning with partners are ways to create more mindshare.
The rehearsal presentation was recorded and is now available OnDemand Presentation.  
Channel Insights Newsletter To learn more about GyroHSR’s Channel Marketing Practice and subscribe to the GyroHSR Channel Practice Newsletter please visit: Subscribe here 

Thursday, July 29, 2010

Inside the Ritz Carlton Customer Experience Model

For years, the Ritz-Carlton has been recognized for its ability to delight customers.  Although I’ve used them frequently as a best in class example for clients, I never truly experienced what makes them so good…until now.

My family and I just returned for our summer vacation where we had the good fortune of staying at the Ritz-Carlton on Grand Cayman in the Cayman Islands for the week.  While we originally booked the Marriott, a special off-season promotion through American Express and the loss of our family pet that week led to a change of plans.  

The experience was memorable even though the weather wasn’t exactly…we now understand why it’s called the off-season.  Nonetheless, during our stay we were continually delighted by the service we received. 

The Ritz-Carlton has created a perception of exceptional quality and service, and the staff delivers on it.    They are in the hospitality industry, and as a result it’s “people” business.  But their model is not just as simple as ‘serve the customer.”  They add interact, engage, and listen to the customer.  So simple and intuitive that it makes you wonder why other companies can’t do the same.   
 
Examples of how they bring this to life:    

  •  The Customer Experience – not only do they understand how you might want to spend your time on vacation, they anticipate it.   For example, in the mornings by the front door they had a jogging trail map, cold towels, bottled water, and a sign welcoming back joggers.  They also set up a water cooler at the water sport station anticipating that guests want water given the amount of salt water inhaled while snorkeling…maybe that was just me.
  • The Little Things – If you preferred to run indoors, they had a full service health club complete with trainers.   The most interesting thing in the gym was a 2-inch piece of a foam noodle, commonly used to float in a pool, in the cup holder of the treadmills.   It served as shock absorber, and it elevated your bottle making it easier to reach while you where running.  I’ve been in a lot of gyms in my life and none of them have had this…only the Ritz.  Most likely this insightful and accommodating amenity came from listening to customer feedback. 
  • Going Beyond the Role –The doorman was our personal tour guide.  He told taxis were to take us for dinner, marked up maps on top snorkeling spots when we rented a car, and gave me directions on where I should run in the morning.  And of course, he inquired about our experiences each time we returned.   Similarly, our waitress at breakfast was also our personal shopper.   She told us the shops with the best deals, the best places for kids, etc.  Despite their title and/or their role, these employees played an essential part in defining our customer experience by going above and beyond the call of duty.
  • It’s about the BRAND – They understand and maintain the brand like few others.  The tennis courts by Nick Bollettieri, the golf course designed by Greg Norman, the world famous Silver Rain Spa from Sweden, and for good measure Tiffany’s onsite.   Brand was everywhere, on water bottles, towels, the morning newsletter, etc.   A premier brand that only associates with other premier brands. 
  • Creating the Perception of Value – This gets back to understanding what guests want to do during their vacation.   The Ritz charged a $35 a day resort fee.  That fee included the use of water sport equipment like snorkeling gear, kayaks, and paddleboards, but then they charged for other items like Hobbie Cat sailboats, etc.  The nearby Marriott on the other hand had outsourced their water sports to a local vendor that charged $15 a day for snorkeling gear, and $25 dollars an hour for Kayaks, etc.                                                 With a reef just in front of both hotels, guests at both snorkeled almost every day and/or used the gear to snorkel at other locations around the island.   For a family of four, we paid $35 a day for 4 snorkel sets plus the use of the other items listed above.  Marriott guests paid $60 a day simply for the snorkeling gear.  Anticipating that guests would use snorkeling gear daily, The Ritz built it into a daily fee which we learned about at the beginning of our stay, instead of feeling like we were being “nickeled and dimed” to death each time by renting daily.  Packaging “solutions” is a constant challenge for most organizations.   The Ritz understands how customers want to use their products so it can build high value solutions.  
  • Technology – the staff on the beach and at the front door wore headsets and microphones.   As I mentioned earlier the staff took the time to personalize your visit and get to know you and your name.  As you went from one location to another they would alert their counterpart that you were on your way.  This provided them time to greet you by name and to anticipate what you might want…towels for the beach, a taxi, etc.  Simple CRM, applied in a very effective manner.
  • Constant Collection and Use of Customer Information – Regardless of where their staff came from (France, Bali, England, etc.) they all took an interest in their guest’s stay.  They collected information about what they liked, disliked, and then preserved it to pass along to other guests.  In a sense, staff members built their own internal Trip Advisor based on guest feedback.  For example, one night we wanted to go to a Mexican restaurant for dinner.  I searched in a local restaurant guide and found one.  When I asked the Concierge about it, she said she never heard of it, and recommended another restaurant.  Finally I found a person at the front desk that knew where it was, but he proceeded to recommend the same restaurant as the Concierge.   Deciding that the other restaurant was too far, we went with the one I found. It was terrible.  No one knew of it for a reason.  Even the Taxi couldn’t find it despite having been on the island for 20 years, and it turned out to be only 2.5 miles from the hotel.
Ultimately the secret to their success is simple…they understand, personify, and cherish the brand, and they engage and listen to the customer.
  

Monday, June 14, 2010

Cloud Computing - Vaporware?

The Merriam-Webster’s Online Dictionary defines a cloud as a “visible mass of particles of condensed vapor.”  According to CIOs interviewed for an article in the June edition of the Harvard Business Review magazine, cloud computing might as well be defined as “vaporware.” 

The article includes research by Gartner Group VP, Mark McDonald, who found that CIOs interest in the cloud has grown from 5% in 2009 to 37% earlier this year.  However, three out of four respondents who said they were interested, reported little interest in the three key technologies it entails: server virtualization, service-oriented architecture and SaaS (software as a service)

These figures may entice you to conclude that this is a great opportunity for a salesforce to provide value in explaining the Cloud and define a company’s solution; a rare situation where the salesforce can be “solution sellers”. Unfortunately, this is not necessarily the case, according to a Forrester’s Technology Buyer Insight Study: Are Salespeople Prepared for Executive Conservations?

IT executives interviewed for the April 19, 2010 study, only 15% of executives believe that their meetings with salespeople are valuable and live up to their expectations.  
Reasons given according to the report:
  • Business leaders (24%) don’t believe salespeople are knowledgeable about their specific business.   
  • Only 34% of buying executives said salespeople understand their roles and responsibilities. 
  • And across the board, only 38% feel that reps are prepared to answer their questions. 
Could this be a case of the blind leading the blind?  Confusion around cloud computing even occurs at the highest levels of leading Information Technology conglomerates. One story accounts for the CEO of a large information technology firm asking his senior executives to explain cloud computing to him. When no one could convey a clear answer, the CEO fired back that if they can’t sell it to him, then their company cannot sell it to customers.

There is no doubt that the Cloud is making as much noise as any good thunderstorm.   Companies are reallocating resources and investments to the Cloud.  Countless marketing dollars are being spent to get companies in the consideration set.  As with any good technology trend the hype exceeds the reality.  
The real challenge seems not to be marketing the Cloud, but rather selling it.   Those companies who best enable their sales people to break through the noise will reap the greatest benefit.