Selling to Big Companies Blog

How to Develop Credibility - When You're Not Credible

What are the main issues you face when you target new vertical markets where you don't  have any experience in that area. Also, how do you overcome these problems?

I get asked those questions frequently. But usually it's after the decision has already been made and the poor salespeople are struggling to gain a foothold in the new vertical market.

If you're considering moving your company in a new business direction, here are my suggestions:

Your biggest issue will be credibility. Corporate decision makers don't want to be your first client in a vertical market. They don't want to have to educate you since it takes up their precious time.

Even though you're a good company, they know that your lack of experience could lead to time-consuming and costly errors. They don't want to risk this happening.

1. Move into the market slowly.
Don't bet your company on success in the new vertical. Study the industry. Learn their terminology. Know their competitors. Double check for "fit". I've seen way to many companies leap into new markets because they sense greater opportunity there than in their current market space.

2. Define the business case.
Uncover how they're currently handling things related to your offering. What are the common status quo scenarios? What business objectives will they have difficulty achieving unless they change the status quo? What are the financial ramifications of these? Then define the value they'll get from changing to your product/service.

Potential clients need to hear a strong value proposition that clearly articulates the business outcomes they'll realize by using your offering. Use business terminology, not techie talk.

3. Create linkage.
If possible, try to create a link between your current customer base and your new one. If all your clients are schools and now you want to move to theme parks, you need to be able to clearly articulate why it's relevant.

As an example, last week I had lunch with a good friend who spent over 20 years in marketing with a large accounting firm. She was laid off a while back. Now she wants to work with technology companies.

After analyzing both industries, combined with her experience we realized that her expertise was in helping company's implement strategic changes in their marketing. That positioning makes sense to potential decision makers - and minimizes the "you don't have any experience with companies like mine" objection.

4. Pursue smaller opportunities first.
This significantly reduces the decision maker's perceived risk in moving ahead with a new player in the market. Then, make sure you do a superb job on delivering on what you promised. After that, pursue additional opportunities within the account to expand your footprint.

5. Train your salespeople on all the above.
Without this knowledge, they will flop. That I can guaranteed 100%. Ultimately these people have to make it happen. Don't send them into the field with some worthless PowerPoints explaining your technology in excruciating detail. They need to be able to have intelligent business conversation with decision makers.

6. Create field-ready sales tools.
Focus especially on the early stages of the sales cycle. Your sales reps are going to have a tough time setting up meetings. Show them how to integrate their value proposition into phone calls, voicemails and emails.

Give them relevant white papers and case studies that are closely aligned with this new market segment. They must be able to show your company's expertise to customers, so this is a necessity - even if you're moving to a new market.

Create a "question matrix" that outlines what they should be looking for on calls and the questions they should ask to uncover this information. Develop customer-focused PowerPoints to use on follow-up meetings.

7. Pray!
It takes a lot of hard work to succeed in a new marketing segment. Implement the above suggestions and your chances of success increase. Rush blindly ahead and you'll most likely waste tons of money, put your firm in financial distress, frustrate your sales force and create incredible internal animosity.

Q & A with Sales Blogcast

Doyle Slayton from Sales Blogcast recently interviewed me on my thoughts re: selling to big companies. As you might imagine, I had a few ideas on what it takes to be successful.

In Part I, he asks me:

• What are some of the key concepts for selling to big companies?
• How do you go about targeting the right amounts?
• What advice would you give a salesperson who is frustrated because nobody is calling them back?
• What type of voicemail messages work best?

Click to read my answers to Part I.

In Part II, Doyle & I talk about these questions.

• Can you share a few best practices for overcoming obstacles and finding creative ways to get your foot in the door?
• How do you make an impact during the initial meeting?
• How do you create breakthrough value propositions?
• How do you coach sales professionals to differentiate themselves from others?

You can read Part II here.

Q&A: How to Pick Up New Accounts from Co-Worker Who Left Company

Turnover is common in sales jobs, so this salesperson's dilemma is likely something you'll encounter in the upcoming months.

Question: One of my peers resigned and I've inherited some of her big accounts. 

My boss has asked me to make a personal call, then follow up with an email to introduce myself and begin a dialog with them. Also, I've been asked to send a card with a note that says, "I'm looking forward to working with you."

What should I say in my phone call and follow-up email? Any other suggestions?

Jill's Response: Think about things from your customer's perspective first.

Q&A: How to Turn a Rude Client Into a Good One & Get More Work at the Same Time

Check out what happens when you let clients very graciously know that your time is valuable too. In this post, you'll find the question sent to me, my response, and what happened when he followed my advice.

Business Professional's Question
I'm dealing a lot with bigger companies as of late, which is a good thing. However there's one issue I'm facing right now that I'm not sure how to deal with. It's the good 'ol "dropping off the face of the planet" trick that prospects AND clients seem to think is okay to inflict on freelancers and sales-folk.

Currently I'm working on a project for a firm and the VP is pretty good at getting back to me. But the rest of the staff call me at the last minute, have me quote in a big rush and then disappear without a trace for days or weeks on end. No calls, no emails, no notes. Zip, nada, nilch, nothin'!

I find this to be terribly rude and disrupting to my planning and work flow. So I've been wondering ... is it appropriate to let these folks know that I too have rules for conducting business? And that one rule is that if we're in discussion about moving forward on a project, that I expect the professional courtesy of a phone call or email within two days of our last conversation.

Am I batty thinking I can ask for this, or is it the smart thing to do?

Selling to Smaller Companies

How is selling to smaller firms different from going after larger corporations? That's a question I get asked frequently. In my book, Selling to Big Companies, I lay out a step-by-step plan on how to crack into corporate accounts.

But when you're pursuing business with small-to-mid market companies, there are some key differences.

Q&A: Advice for your marketing person

A marketing manager asks: How can I make a bigger impact? There's so many things I could do, but what's the best way to invest my time?

Immerse yourself in your customer's shoes.
Your value as a marketer depends on understanding the customer's world – and I don't mean just academically. Understand their status quo: How are they doing things today? What are their business challenges? Why would they consider changing? Find out about issues related to your product offerings. Learn how customers make decisions.  Get out in the field to meet and talk with them.

Engage your sales force.
Their input is essential. Ask them the same questions as you'd ask the customer. Don't only seek advise from the old pros who have long-term relationships with established accounts. Their job is entirely different from that of their less experienced colleagues. The best advice often comes from sellers with much shorter tenure who have achieved success fairly quickly.

Q&A: Low Performing Sales Team

A sales manager asks: My sales team has not been performing well. Since I took over this position, I've come to realize that part of the problem relates to a value proposition that isn't clearly stated. We also have a wide product and service range. The biggest challenge has been getting commitments once we introduce ourselves. What do you suggest we do? How can I better motivate my salespeople?

How Much Do You Charge?

Don't you hate it when someone asks, "What are your rates?" or "How much do you charge?" It especially bothers me when they ask it before I even know what they're trying to achieve or what their current status happens to be.

Recently a consultant asked me how to handle the above questions without being cagey or evasive. Since she never charges by the hour, but instead negotiates a project price once the parameters are well defined it was a particularly sticky issue for her.

Here were my suggestions ... and please feel free to add your ideas as well.

Help! Confused by CFO's behavior

Dear Jill,

I recently attended your L.A. workshop. When I got back to my office, I had an interesting response email from the CFO of a very large corporation that I've been trying to get to see. The CFO politely (and conversationally) said he:
• Appreciated my sales letter.
• Was very happy with his present supplier with whom he has a multi-year contract.
• Had a bad experience with our parent company five years ago.

Then he concluded that he would be happy to "talk to me" anytime." Now what do I do? Invest hours researching the other vendor's fees, benchmarking programs and more so I can show him why he should do business with us again?  HELP!

Jill says ...

"We're Happy With Our Present Suppliers"

Question: When trying to get into prospective customers, I run into the "we're happy with our current suppliers" and "we're not interested in any new vendors" response. What 5 provocative questions can be asked of a person whose head is in the sand?