How To Use the Six Laws of Persuasion during a Negotiation

How To Use the Six Laws of Persuasion during a Negotiation

By Edrie Greer, Ph.D., Global Knowledge Instructor

Introduction

To get what you want in life, in work, and in play, requires constant negotiation with a variety of people. This involves basic communication skills, such as active listening and attention to non-verbal cues, and a clear understanding of your goals, as well as the objectives of your negotiating partner(s). To be truly effective, however, you need to know more. You should be able to communicate persuasively during the process of negotiation. Many situations you’ll face as IT managers and employees will require you to effectively negotiate to a mutually beneficial (win-win) solution, including:

1. Responding to staff members’ requests for promotions, salary increases, and other employment perks (as well as negotiating your own)

2. Negotiating with vendors for their best possible products, services, and prices

3. Convincing your team to do what you would like them to do

4. Working with external and internal clients on contracts (such as Service Level Agreements) that provide the quality services and equipment they need but in a manner that allows you to use your resources optimally

5. Persuading supervisors to buy additional equipment, accept your budget proposals, try a new idea, etc. In order to be successful in these instances, you must master the persuasion process, which will enable you to deliberately create the attitude change and subsequent actions necessary for persuading others to your way of thinking. In other words, you have to be able to “sell” your ideas in order to make changes in your favor and, in a win-win situation, provide the other side with a fair deal. This entails a process that can appeal to the intellect using logical and objective criteria, as well as a methodology that positively engages the emotions of the negotiators. The result of a successful negotiation is that all parties should believe they got a good deal.

The Six Laws of Persuasion: an Overview

Persuasion is the ability to influence people’s thoughts and actions through specific strategies. To become adept at this skill, you must first understand some basic principles, called the Laws of Persuasion. These six laws by themselves are neither good nor bad, but describe how most people respond to certain circumstances.

Psychologist Robert Cialdini wrote the seminal book on the Laws of Persuasion, titled Influence: The Psychology of Persuasion, in which he discusses the prevalent methods of marketing. Even though you may not wish to believe it, a great deal of psychological research indicates that human beings are quite predictable in terms of behavior in response to certain stimuli, such as ads. This is why marketing and advertising are highly successful enterprises—by and large, consumers respond to most ads and commercials by buying the products and services they promote. By understanding persuasion laws, you can control how much others unduly influence you, as well as how to use them to your benefit during negotiations.

How To Use the Six Laws of Persuasion during a Negotiation

The laws work because they provide shortcuts to making the countless decisions people face every day as they look for information to reduce the complexity of life. If you can apply these laws in specific situations to your benefit, then your influence over others increases significantly. Some of the best masters of the art of persuasion in negotiation are highly successful salespeople who do their best not only to make the sale, but also to meet the needs of their buyers.

Here are Cialdini’s Six Laws of Persuasion:

Law of Reciprocity

Human beings, in general, try to repay in kind what another person has provided to them. If someone gives you something you want (or perhaps didn’t “realize” you wanted), then you will wish to reciprocate because you now feel obligated. Examples of this Law include the address labels you receive in the mail from various non-profits requesting charitable contributions. Even though they are a minor, unsolicited gift, sending them has increased contributions for non-profits many-fold, because people feel compelled to return the favor. Giving free samples to potential customers is another way in which this Law is used by successful salespeople.

Law of Commitment and Consistency

People like to be (or at least appear to be) consistent in their thoughts, feelings, and actions. Once they have made a stand, they tend to stick to it and behave in ways that justify their earlier decisions, even if they are erroneous. If you make a commitment to a cause or product, however small, it then becomes easier to be convinced to increase it. This is especially true if the commitment changes your view of yourself in a favorable way. This is why salespersons attempt to get customers to agree with them multiple times. After saying yes so often, it is almost impossible to say no when it comes time for the close or direct request for the sale.

Law of Liking

When you like someone, or believe that they are “just like you,” you are more inclined to want to please them and, therefore, purchase whatever they are selling. This is how successful salespeople operate; they establish rapport by demonstrating how similar they are to their potential buyers. For example, they note that they are from a comparable background as you, or even better, they are people you know—your friends. As for those in-home sales parties, the kicker comes when your neighbors provide the testimonials for the product. You don’t want to disappoint them by not purchasing, do you?

Law of Scarcity

If you are not sure you want to buy something, the minute it becomes “the last one available” you tend to have second thoughts. After all, this must indicate that others are purchasing it, and you might not be able to get another one quickly, or at all, if you decide you want it later. So you take the bait to buy a popular item that others won’t be able to get. At least that’s what you think.

Law of Authority

This is the law that uses celebrity endorsements or “expert” testimonials. When people you admire promote a product or service, if it’s good enough for them, then it’s good enough for you. And if you use it, then you might even develop similar characteristics to your heroes, such as good looks, wealth, or fame. That’s what the advertisers are counting on.

Law of Social Proof

Why have TV sitcoms used canned laugh tracks for years? Producers wouldn’t employ them unless they actually are successful in eliciting audience laughter and, subsequently, higher ratings. Part of the reason you laugh along anyway in spite of your annoyance lies in how you decide what is socially “correct” behavior. If you don’t know exactly what to do, you rely on others around you (or the virtual TV audience) to help you find the way to properly react. You think if others are engaging in a specific behavior, it must be the proper thing to do. Hence, you laugh in spite of yourself, or if you’re told that “everyone is buying this product or service,” even without evidence, you may think you’re missing out if you don’t comply or conform and get it for yourself.

Using the Laws of Persuasion

As mentioned, in any negotiation, all parties should arrive at a conclusion that makes them feel like they got a good deal, especially if an on-going relationship is involved. (Note: a “good deal” is not always the same for everyone; negotiators often have different criteria by which they judge the success of their bargaining outcomes.)

Often when dealing with “tough” or “hard” negotiators, you encounter manipulative tactics that use the preceding Laws of Persuasion. So how do you successfully negotiate around these ploys? First, you can discuss the rules of the game. When you recognize that the other side is using one or more of the Laws of Persuasion, you can either directly note it, or simply steer the conversation to a more objective solution. And for the ultimate in law prevention, you can set preconditions ahead of time that will preclude such strategies by using only logical principles as a standard process in the negotiation.

Negotiation strategies using the Six Laws of Persuasion include the following:

Law of Reciprocity

Limited disclosure/confession of the real reason for a negotiation stance, such as “this is all the money we have,” can provoke a concession from the other party. (This is often seen in salary/promotion negotiations.) Concessions in general follow this “tit-for-tat” rule (the lower the “value” of the concession on your part, of course, the better). You can also use this law to appeal to fairness. For example, if the other party manipulates the physical environment by requiring that your team sits facing the sun, at the next meeting they should reciprocate.

Law of Commitment and Consistency

An example of this tactic would be using a series of questions to conduct the step-by-step close. Dale Carnegie, in How to Win Friends and Influence People, called this, “Get the other person saying ‘yes, yes’ immediately.” This occurs when one party asks the other side to make a number of “small” decisions that lead to only one obvious conclusion: to accept the general concession. You could employ this principle by asking a potential client if she values quality in your product or service. Of course the only answer would be “yes.” Then you could follow with a question that begs the obvious: “We’d love to provide you with this product/service, but if we don’t get the resources we need from you (i. e. sufficient money) and quality suffers as a result, would you still want it?” How can the prospect say “yes” to poor quality? This tactic makes it easier for you to ask for additional funds.

You might also see an example of this ploy when lowballing (intentional last-minute additions to what was originally a low price) occurs. Unscrupulous vendors might attempt to make you psychologically “invest” in a product that you initially believe costs less.

Law of Liking

This law is often seen in the strategy of “good cop, bad cop,” where one person in the other negotiating party is clearly opposed to your objectives, but it appears that another of their team members is “on your side.” This causes you to identify with and trust the “good” team member, so you may find yourself agreeing to the other team’s concessions and goals instead of your own. You can see this in situations where a salesperson “battles” their supervisor to get you a “better” deal (of course this was the result they wanted in the first place). You might also apply this law to establish rapport up front when you are negotiating with your own superiors or teams.

Law of Scarcity

The more time you spend with a salesperson, the more commitment he or she has to make the deal. If you are under no time pressure and the other side is, you have the upper hand.

Law of Authority

Vendors often quote vague authorities to sell their wares, “Experts say our product is the best.“ But who are these experts? What are their qualifications to make these claims? Do they have a vested interest in selling the company’s products or services? In addition, use this Law to establish your own credentials/credibility early in the negotiation.

Law of Social Proof

This law works when you draw on testimonials from satisfied customers or clients (unscripted ones are best) to encourage new prospects to buy your services and products. The law also can be used to convince your supervisors or staff that their counterparts in other divisions or companies are following similar suggestions to yours. People want to feel like they are part of an established community that already knows where it is going.

Ethical Issues

Persuasion can be used for good or ill. In an environment that seeks to follow ethical rules, it should only be used to make lives better. Manipulation occurs when you exploit or deceive others solely for your own gain. This does not result in a win-win situation.

Summary

Being adept at persuasion is often the missing key to success in the workplace and your personal life. If you give people what they want via the Six Laws of Persuasion, they’ll most likely return the favor. And when you recognize that you are being manipulated, you can call the other side on their tactics and counter with an appropriate strategy. This will lead to a more effective way of achieving the goals of all negotiating parties.

Learn More

Learn more about how you can improve productivity, enhance efficiency, and sharpen your competitive edge. Check out the following Global Knowledge course: Communication and Negotiation Skills. For more information or to register, visit www.globalknowledge.com or call 1-866-925-7765.

About the Author

Dr. Edrie Greer is President of Learning, ETC, Inc., which provides Educational, Training, and Communications services to organizations. She brings more than 20 years of experience in adult education, instructional design, educational technology, instructor development, and media production to her work. Dr. Greer holds a Ph. D. in the Sociology of Religion from the New Thought Theological Seminary, a Master of Science in Continuing and Vocational Education and a Bachelor of Science in Life Sciences Communication
from the University of Wisconsin-Madison.

Sources

Carnegie, Dale. How to Win Friends and Influence People. New York: Pocket Books, 1936.

Cialdini, Robert B. Influence: The Psychology of Persuasion. New York: William Morrow, 1993.

Fisher, Roger and William Ury. Getting to Yes: Negotiating Agreement Without Giving In. New York: Penguin, 2003.

Hogan, Kevin. The Psychology of Persuasion: How to Persuade Others to Your Way of Thinking. Gretna, LA: Pelican, 1996.

--


Make it a great day and a successful week!

Ron S. LaVine, MBA, President

Accelerated Cold Call Training, Inc.
Removing Fear from Cold Calling - Live Cold Call Training
638 Lindero Canyon Drive, Suite 283
Oak Park, CA 91377

818-991-6487 Phone
818-519-3852 Mobile
818-991-5938 Fax
Check out the new site at:
http://www.coldcalltraining.com/

Read over 135 recommendations here:
http://www.linkedin.com/in/ronlavine

Evolving the Cold Call by Kirko Papajanis

Cold calling has different meanings in different businesses, but for B2B Lead Generation, cold calling is the art and the science of using the telephone to introduce a helpful, relevant, new idea to a company or contact with whom you have not worked in the past.


The degree of pre-call preparation will vary and how much to prepare for a call is a tough question, especially for new reps. You need to have a reason to believe you can offer value to the lucky person on the other end of the phone. On the other hand many of the reps I have worked with over the years will over-prepare for a call, given the low probability of making the connection on any one attempt. Over preparation is often ego based. If you connect, use the opportunity to set a meeting - nothing more. The first call opens the door. It doesn’t close the sale- that won’t happen until a lot of questions on both sides have been asked and answered - the magic of a dialogue.

There is a middle ground that recognizes the need to offer value, the advantage of covering as much ground as possible and respect for everyone’s time. Work with lists of similar companies who are likely facing similar issues. Craft an umbrella value proposition and create a 30-45 second summary to communicate that message and leave the door open for a follow up from you. Accept that the chance of making a live contact is pretty low. Use voicemail for the opportunity it presents as a tool to introduce you to your lists. Be honest, direct, personable and client focused. Leave your call back information. Follow up with an email that includes slightly more content. Wait a week and repeat with a different message that follows the same format.

Be respectful. Be patient. Stay client focused. Measure your results. Modify your messages. Be persistent. Expand you contacts in any organization when you don’t get a response after 8-10 attempts. Don’t be afraid to aim high! In years (and years) of selling, I’ve consistently found that it’s no more difficult to reach a VP than a Manager — and generally a lot more helpful.

Source: http://www.eyesonsales.com/content/article/evolving_the_cold_call/

About the author: http://www.eyesonsales.com/author/kirko_papajanis/

REPRINT PERMISSION

Ron LaVine, MBA is president and founder of Accelerated Cold Call Training, Inc., a LIVE cold call training firm located in Oak Park, CA. You can get a special report 41 Sales Tips You Can Use Right Now AND the complementary bimonthly Sales Tips and Telesales Tips for Selling Success eZine by signing up at http://www.coldcalltraining.com. If you would like information on Live Cold Calling/New Business Development Sales Training please call 1-818-519-3852.

Make it a great day and a successful week!

Ron

**************************************************

Accelerated Cold Call Training enables companies such as yours to:

+ Quickly get into new accounts,

+ Reach decision-makers faster,

+ Identify and qualify opportunities better,

+ Exceed cold calling quotas,

+ Shorten sales cycles by working with actual decision makers.

Over 55 testimonials letters can be read by clicking here: http://coldcalltraining.com/testimonials.htm. Ron  LaVine, MBA is president and founder of Accelerated Cold Call Training, Inc., a LIVE cold call sales training firm located in Oak Park, CA. For a complementary cold call training consultation, call 1-818-519-3852 or send an Email to: rslavine @ coldcalltraining.com. Over 141 LinkedIn recommendations can be found by clicking here: http://www.linkedin.com/in/ronlavine.

How to Identify the Ideal Prospect

The ideal prospect will have the following four characteristics.

Confidence

People buy from people they know like and trust. Like means similar to them.

Does the prospect trust you?

Have you established both you and your organization's credibility?

Does the prospect know the organization you represent?

Does the prospect believe you sincerely have their best interests at heart?

Do they have confidence in your organization s ability to provide them with and support your solution that works?

Authority

Authority is the ability to sign the check. Your time is valuable so why spend it in front of someone who lacks the authority or the funds to purchase what you are offering. The exception to this statement is if the contact can provide the information you require before speaking with the final authority.

Does the individual you are speaking with have the authority to buy?

Do you know how much authority your prospect has before further approvals are required?

Resources

It is important to define the resources or budget required to purchase your solution. This requires a commitment from the prospect to allocate enough time and staff to conduct an evaluation and make a recommendation to management.

Does the prospect have the time and staff necessary to conduct an evaluation?

Does the prospect have the time and staff necessary to prepare a cost justification?

Does the prospect have a budget available or access to discretionary funds?

Does the prospect have the right technical environment (hardware or technology)?

Serious Intention to Buy

When the prospect perceives an attainable solution to a current or future need, they have a serious intention to buy.

Is the prospect willing to act towards a solution?

Have evaluation criteria been defined? Is the prospect starting to look at competitors?

Has a specific person been assigned to find a solution to a specific need?

Does your prospect have a serious intention to buy?

How to Determine when it is Time to Move On

If someone says, no or we're not interested , that may mean, We re not interested at this time. Before you move on, inquire as to when they may be looking for your type of solution in the future. Then place a note in your schedule to call back at least one month before that time.

If you cannot find all four items mentioned above in any department then it is time to move on. If you leave at least five voice mails, emails, or faxes for the person who is responsible for acquiring your solution and you receive no response, then it is time to schedule long-term follow up (i.e. 3 months, 6 months or 1 year) or just plain move on.

REPRINT PERMISSION

Ron LaVine, MBA is president and founder of Accelerated Cold Call Training, Inc., a LIVE cold call training firm located in Oak Park, CA. You can get a special report 41 Sales Tips You Can Use Right Now AND the complementary bimonthly Sales Tips and Telesales Tips for Selling Success eZine by signing up at http://www.coldcalltraining.com. If you would like information on Live Cold Calling/New Business Development Sales Training please call Ron at 1-818-519-3852.

Until then. . .

Make it a great day and a successful week!

Ron

Accelerated Cold Call Training enables companies such as yours to:
> Quickly get into new accounts
> Reach decision-makers faster
> Identify and qualify opportunities better
> Exceed cold calling quotas
> Shorten sales cycles by working with actual decision makers

Over 55 testimonials letters can be read by clicking here: http://coldcalltraining.com/testimonials.htm. Ron S. LaVine, MBA is president and founder of Accelerated Cold Call Training, Inc., a LIVE cold call sales training firm located in Oak Park, CA. For a complementary cold call training consultation, call me at 1-818-519-3852 or send an Email to: rslavine @ coldcalltraining.com. Over 141 LinkedIn recommendations can be found by clicking here: http://www.linkedin.com/in/ronlavine

17 Mistakes Sales Reps Make

By Ron LaVine
Accelerated Cold Call Training, Inc.

01. Talk too much.

02. Listen too little.

03. Ask the wrong types of questions at the wrong time.

04. Use close-ended questions instead of open-ended and vice versa.

05. Forget to ask permission to speak.

06. Talk over other people’s answers.

07. Call on the wrong people who have no authority to buy or influence the decision.

08. Speak to fast due to fear or because they feel uncomfortable.

09. Focus on their products rather than solutions.

10. Speak in a monotone or without enthusiasm or conviction.

11. Use a lot of wishy-washy words in a row like, could you possibly please, denoting a lack of confidence.

12. Don’t identify themselves, their company or what they do properly.

13. Leave their phone number only once and speak too fast.

14. Forget to spell and grammar check their writing.

15. Speak too slow sounding monotonous and boring.

16. Forget to ask for contact details (Name, Title, Email, Ext. reports to, boss’s boss and assistant.

17. Forget to set up a time and date specific action step.

18. Forget to be polite to everyone including assistants.

Seek first to understand and then be understood.

–

Make it a great day and a successful week!

Ron S. LaVine, MBA, President

Accelerated Cold Call Training, Inc.
Removing Fear from Cold Calling – Live Cold Call Training
638 Lindero Canyon Drive, Suite 283
Oak Park, CA 91377
818-991-6487 Phone
818-519-3852 Mobile
818-991-5938 Fax

http://www.coldcalltraining.com

Read over 141 recommendations here:

http://www.linkedin.com/in/ronlavine

How to Get Cold Calling Intelligence

By Ron LaVine, MBA and President
Accelerated Cold Call Training, Inc.

Just collecting information is not enough. It is important to consider the impact or implications of that data. With each piece of information, ask yourself "What does this mean? What would happen if this action took place?" For example, you heard that Organization A is going to expand. You sell computer monitors.

Consider what the expansion would entail. Perhaps they would be hiring more staff – which would probably need monitors. Your next step would be to discover when and where the expansion would take place. Then how many people they plan to hire and who is responsible for evaluating and acquiring the monitors.

Alternatively, consider the organization who is acquiring another organization. Where will the funding come from? What systems will need to be integrated for the newly formed entity? Which positions will be eliminated? How will your "champion" or the person, who wants your solution to win any competitive battle, be affected?

Think about the importance of each piece of information you have uncovered. Then think about how you can use that information in service of your prospect. Listen carefully to what people share with you. Here are some questions you can ask yourself to determine what possibilities there are for you to make a sale or even multiple sales.

Who is responsible for making the final decision? Will it be a committee or an individual?

Has budget been set aside for your type of solution or does the prospect have access to budget?

Who, if anyone, will evaluate the proposed solution?

Who will implement the solution chosen?

Who will be the end user(s) of the solution?

How does this information benefit the person who told it to me?

Has the information been verified by a second source?

How can this data enable me to sell more of my solutions?

Why does the prospect operate this way?

What is the prospect’s future strategic direction?

What would happen if the prospect went in a specific direction? What might happen?

What are the implications of this decision?

What is going on in their industry?

What are their competitors doing?

What are the top, decision-making drivers? (For example, Client Loyalty, Market Share, Profitability, Risk, Regulations, Expenses, etc.)

What challenges, problems or pains would this decision create for the prospect?

What business opportunities would these problems create for you?

If applicable, what is their framework for avoiding a tactical focus?

Where and how should they start to connect your solution to corporate strategies and objectives?

How do they balance people, processes and technology?

What is the role of management?

What are their buying processes?

What are their top priorities?

What are the different timeframes? Timing for decisions, testing and evaluation, implementation and roll out, and feedback need to be established.

What types of time and date specific action or next steps do you think you should propose? What has worked successfully in the past?

What type(s) of training, if any, will be necessary to implement and encourage the use of the solution?

What types of documentation are needed and by whom?

How will you measure the results? Return on Investment, Net Payback Period, Total Cost of Ownership or another method.

These are but a sample of questions you should be able to answer while starting and driving a sale to its conclusion. Analyzing the information you collect from different sources will allow you to turn raw data into actionable business sales intelligence.

This intelligence you collect over the phone during a cold call can be used to understand who buys, how they buy, what they are interested in buying and why they buy. The answers to these questions plus answers to the questions above should speed up the process of converting prospects into clients.

--

Make it a great day and a successful week!

Ron S. LaVine, MBA, President

Accelerated Cold Call Training, Inc.
Removing Fear from Cold Calling - Live Cold Call Training

638 Lindero Canyon Drive, Suite 283
Oak Park, CA 91377
818-991-6487 Phone
818-519-3852 Mobile
818-991-5938 Fax

http://www.coldcalltraining.com

Read over 139 recommendations here:
http://www.linkedin.com/in/ronlavine

ARE YOU WATCHING OUT FOR THE SOLUTION TRAP?

By Ron LaVine, MBA
President of Accelerated Cold Call Training, Inc.

It is a common trap. A solution trap that many sales reps fall victim too. Let's look at how the trap works by examining two situations.

In the first scenario, Typical Sales Rep has done some homework on the Internet by stopping by the prospect's web page, visiting LinkedIn, Jigsaw, etc. and reading about the prospect’s solution and industry.

Maybe the sales rep has gone so far as to read the prospect’s Management Analysis and Review in the annual report and study the career section to find out who is being hired and for what types of project.

By the way, these are key activities you should do before cold calling on a large organization.

Based on these observations, Typical Sales Rep begins to put together a selling plan based on what they think is best for the prospect.

Next, Typical Sales Rep walks in or calls in and makes a quick introduction. Typical Sales Rep hopes they are presenting to the right person who has the authority to buy.

Typical Sales Rep may ask a few questions but soon feels the need to present the features and benefits of their complete solution.

Usually this is a strategic overview of how other companies have used their solution rather than a specific situational view of how this prospect can use the solution to meet their specific and unique requirements.

Never mind that the sales rep has not done enough questioning to understand what is needed, the sales rep feels it is vitally important for them to rely the importance of what they have to offer.

“If our solution has worked for other companies then it will definitely work for you.”

Typical Sales Rep has just triggered the solution trap.

Once caught in the solution trap it becomes difficult to move in any other direction but forward.

Now that the Typical Sales Rep has started to present, it becomes a challenge to go backwards and ask questions about what the prospect would like to see or hear presented about their specific situation.

The Typical Sales Rep can only hope their presentation has hit a hot button and even so, the sales rep may still not have created or crafted a compelling reason to buy.

Now let's look at our second rep only let's entitle them as an Info Sales Rep.

One of the advantages of staying in what I call “information mode” is that it makes people less defensive and more willing to provide information.

People don’t like to be sold, they like to buy. Prospects don’t want to be talked to by a sales rep; they would rather speak with a salesperson who understands their specific needs.

Let’s get back to the Info Sales Rep.

They too also have visited the prospect’s web site to gain an understanding of how the prospect does business and look for clues of what types of situations are affecting the way the prospect conducts their business.

The Info Sales Rep then tailors a list of specific situational questions designed to uncover the prospect’s current and future needs, challenges, problems and pains.

Then the Info Sales Rep, once in front of the person they know has the authority to buy invests their time asking questions and listening closely to the meanings in the answer.

What the prospect says is then feedback to them to insure a clear understanding between the Info Sales Rep and the prospect.

Like the sales rep, the temptation to present a solution builds.

However, the Info Sales Rep has trained themselves to be more disciplined and ask even more questions to help the prospect agree to isolate what the challenges are and what is of importance to them, the prospect, in a solution.

The Info Sales Rep wants to know what the prospect values most in a solution BEFORE presenting their solution so they consciously avoid presenting solutions before knowing the facts.

By having asked specific situational questions and having gained agreement on what is of importance to the prospect, the Info Sales Rep now has it much easier when it comes time for the presentation of a situation specific solution.

When excellent information collecting skills are combined with a good, highly focused, "what's best for the customer presentation", then the close of a sale a.k.a. the opening of a new partnership becomes a natural conclusion.

The Info Sales Rep has mastered the art of helping the prospect to buy using direct questions based on the prospect's answer.

After all, which makes more sense? Delivering a presentation, which focuses upon the prospect’s unique situation or trying to sell to the prospect on a “one size fits all” solution?

The Lessons

Take your Typical Sales Rep hat off and put your Info Sales Rep hat on as you seek to gain understanding of how an organization does business before trying to sell anything.

You may even save your precious selling time by learning there is not even a need to sell because the prospect is not qualified for your solution.

Train yourself to resist talking about your solution too soon by being interested rather than interesting.

This informational, question based approach, will help keep the prospect’s defenses down and will encourage them to really open up about what is bothering them or what they would like to do better and why.

Avoid implying what you have to offer is more important than what the prospect needs.

There is a time to learn and a time to sell.

They are separate and when used in the proper order you will find your presentations more effective. Closing will happen more often and much easier than before.

Finally, you’ll enjoy greater selling success than ever before.


REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Cold Call Training, Inc., a cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – LIVE Call Training please call Ron at 818-519-3852 or visit www.coldcalltraining.com. © 2011 by Accelerated Cold Call Training, Inc.

Objections and Misunderstandings

Objections and Misunderstandings
By Sam Parker of Just Sell

"One of the best ways to persuade others is with your ears-- by listening to them." -- Dean Rusk, US Secretary of State (1909-1994), served under presidents Kennedy & Johnson

We've all been taught how to handle our most common objections or misunderstandings from prospects and customers but in some cases these "objection handlers" have a defensive or an offensive tone, especially when we're in the middle of a presentation (formal or informal). Nothing can send a presentation in the wrong direction more than a misunderstanding (small or large).

Over the coming weeks (or this weekend if you can), invest some time outside the money hours in examining your planned responses to your top three objections. If you don't have anything to examine, here is another idea.

Remove anything that could potentially be misinterpreted as defensive, manipulative or borderline sarcastic or in other words, leave slick and "cute" lines to your competition.

Show appreciation for the objections in a way that validates the prospect's concerns. Work through your responses with someone outside your sales & marketing department.

Get genuine feedback, make appropriate changes and practice the delivery of your responses until you have them as tight as your opening prospecting statements.

Selling is about helping your prospects and customers solve a problem, not about winning a court case.

Think non-abrasive. Think appreciation. Think validation. Then just sell.

It's all about sales™
Justsell.com-- your sales & marketing portal™
http://www.justsell.com
(c) 1998-2002 www.justsell.com MaxPitch Media, Inc. All rights reserved. Samparker @ justsell.com.

A.C.R.O.N.Y.M.S in Selling

By Ron LaVine, MBA, President
Accelerated Cold Call Training, Inc.

A lot of acronyms are used in my cold call training business because it makes it easier for people to learn, remember and use key ideas. I joked once about coming up with an acronym for acronym. Maybe something like Always Call Right Officer, Now, Yet Nicely.

I use bunches of Acronyms, from Sales M.A.P. (Mutually Agreed Process) for setting up time and date specific action steps. Another example is W.H.I.I.F.M.-A.M.C. (What's In It For Me - And My Company) or what the prospect really cares about. Or C.V.M. (Call Value Maximization) which means to get the most information out of every call by being polite yet persistent. I have developed a new one called T.E.S.T.S. to help students remember the kinds of questions that will uncover needs, challenges, problems or pains.

Here's one you may want to keep in front of you.

T. is for Tell me more.

What are your biggest problems in the area of...?
What are the specifics?
How do you currently handle...?
How do you go about...?
What are you using to get ____ types of data?
What are you doing in the area of...?
What happens when ____ occurs?
Who beside yourself is affected?

E. is for Experience over time.

How long has this been a problem?
What actions have been taken to try to fix the problem?
What do you think about the results?
Have you given up?

S. is for a Sample of what it is costing them.

Give me a rough idea of how much this is costing you?
What impact is this having?
How does this affect you personally?
What happens if the problem is not fixed?

T. is for Taken action yet?

What actions have you taken to fix the problem?
How do you measure the effectiveness of these actions?
What have you done to try and fix it?

S. is for a Sample of their feelings?

How does it make you feel?
How do other people you work with feel about the problem?

These reminders make sure you don't forget to ask the types of direct specific questions to uncover the information that will help you help your prospects and customers pass their T.E.S.T.S.

REPRINT PERMISSION

Ron LaVine, MBA is president and founder of Accelerated Cold Call Training, Inc., a cold call training firm located in Oak Park, CA. If you need to develop new business and would like information on How to Make Successful Cold Calls – LIVE Call Training, call Ron at 818-519-3852 or visit www.coldcalltraining.com. © 2011 by Accelerated Cold Call Training, Inc.

Free Resources to Turn Data Into Dollars

By Ron LaVine, MBA
President of Accelerated Cold Call Training, Inc.

Finding new business can be a snap, if you know where to look and what to do with the information you find. Using the telephone along with publicly available information, you can turn data into dollar

Understanding the importance of the "fact finding step" in the sales cycle, is key to making more sales. We need information resources to enable us to determine who is responsible for decision making, where an account is now, where they want to be and how they plan to get there.

It is easy to mishandle this part of the sales cycle in an eagerness to sell. Finding data about a shift in the way an account does business is not enough. Understanding the potential effects of the change is key to finding revenue producing events.

Show Me the Money

Look for accounts in your territory who:
* Acquire, merge or joint venture with another company,
* Have been acquired by another company,
* Add additional equipment or hardware or facilities,
* Announce a change in staffing requirements or business, practices due to expansion, restructuring or relocation,
* Receive contract awards,
* Mention cost cutting initiatives,
* Outsource certain services to concentrate on core businesses,
* Are embarking on new projects,
* Issue an IPO to raise operating capital for buying more assets,
* Spin off a division into a new company with new ownership,
* Maybe affected by pending legislation or regulations.

Turning Data into Dollars

Once a change occurs, ask yourself these questions. "How can my products fulfill a need or challenge as a result of the change?" "What additional services can my company provide to lessen the impact of the shift?" When the change effects a company who is your customer, ask yourself "How can I expand the use of or prevent the replacement of my services?"

For instance, you read an account plans to expand their operations. When companies expand or restructure, typically the management re-evaluates human resources and capital assets to decide what stays, what goes and what's needed. When preparing your sales strategy, keep in mind the big picture. An enterprise wide sale is far more valuable than an individual business unit sale.

Different Ways to Create More Sales

1. Assembling a plan showing how the effects of the change relate to the benefits your products and services provide can position you for a sale.

2. Taking note of changes or trends that may affect both you and your account's industries will make you sound intelligent and increase the odds of a sale.

3. Looking for stories about accounts using your competitor's products and applying that application to your offerings is another way to make more sale

4. Keeping your account records up to date allows you to invest your time locating who is responsible for and capable of making a buying decision.

5. Finding and calling up users of your competitor's products is a way to replace or augment existing products. Be sure to explain up front, you are looking for ways to improve your product
* What do you like about their products or services?
* Is there anything you dislike or have found unsatisfactory?
* If you had a wish list, what features would you like to see their product have?
Assuming your service provides missing features and benefits your competitors do not offer, you have yourself a potential sale.

6. Calling your customers pro-actively and assuring them of continuous service provides an opening to
* Find out more about an account's future strategic direction.
* Expand and cement contact relationships,
* Uncover potential evaluations, projects or initiatives,
* Locate the main or new users of your products,
* Gauge customer satisfaction and nip potential problems in the bud before they become unmanageable,
* Offer consulting services, education or documentation,
* Inquire about other business units that may need your products,
* Provide greater customer service, making difficult for competitors to replace your product

Understanding the effects of change can present an opportunity to persuade management to invest in new products, services or technologies.

Free Sources of Business Sales Intelligence

An account's sales literature
Employee telephone interviews
Competitor user telephone interviews
Online and hard copy business and finance publications
State and federal government agencies such as the Office of Management and Budget or the General Services Administration (GSA).
Using the Freedom of Information Act to obtain your competitor's GSA schedules
Classified advertisements
Visit the SEC website
Other suppliers who service your account
LinkedIn, Jigsaw, etc.

Finding information is easy. Systematically connecting the shift effects to the benefits your products provide, is the challenge. Correlating specific benefits to specific contact wins will place you in a position to watch your sales climb. However, you must act upon the change, before your competitors do. Change is constant and change creates sales opportunities.

REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Cold Call Training, Inc., a cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – LIVE Call Training please call Ron at 818-519-3852 or visit www.ast-incorp.com. © 2011 by Accelerated Sales Training, Inc.

What Makes a Qualified Prospect, Qualified? Part 4 of 4

By Ron LaVine, MBA
President of Accelerated Sales Training, Inc.
www.ast-incorp.com

16. Resources

Does the Prospect have the time and staff necessary to conduct an evaluation?

Does the Prospect have the time and staff necessary to prepare a cost justification?

Does the Prospect have a budget available or access to discretionary funds?

Does the Prospect have the right physical environment for your solution?

What are the bare minimum requirements for your product or service to work?


17. Next Steps

After summarizing your conversation, follow up with a next step question such as:

"What's next?" or "What's the next step?"

"Where do we go from here?"

"If we had a solution that would help you do a better job than your current solution what is the process you go through to look at new solutions?"

"What do we need to do to move forward on this?"

What actions need to be taken by you and the prospect to get them to evaluate your solution?

Have you set up a SALES M.A.P. (Mutually Agreed upon Process™)?

What day and time do these actions need to be completed by?

What is the time-line or what are the milestones for moving the sale to its completion?

Next steps need to be time and date specific. "I'll call you back next month" is not the same as "We'll speak next Tuesday at 3 p.m. Eastern Time to discuss the merits of the proposal after you have had the opportunity to review it with your peers, correct?"


Examples of Next Steps

Do you have permission to send literature, an email or a fax while also setting a specific date and time to call to be sure the information is received and to answer questions or discuss the materials?

Is the Prospect willing to accept your proposal or do they want a demonstration or presentation?

Is a call required to answer or clarify any complex issues?

Are you in the habit of following a phone call with a fax or an email?

Do you follow a fax with a phone call or an email?

What about following an email with a phone call or a fax?


Conclusion

If you or your sales force has not defined the characteristics of a most profitable prospect, it is time to do so. Consistency of definitions and the use of a well-defined cold calling system result in prospects well qualified and ready to buy what you are selling.

REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Sales Training, Inc., a live cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – Live Call Training please call Ron at 818-519-3852 or visit www.ast-incorp.com. © 2011 by Accelerated Sales Training, Inc.

What Makes a Qualified Prospect Qualified? - Part 3

By Ron LaVine, MBA
President of Accelerated Sales Training, Inc.
www.ast-incorp.com

13. Competition

What other companies are also being considered and why?

Who is favoring the other company's solution and why?

What are the Prospect’s likes or dislikes about their current supplier?

If the Prospect had a wish list and could have or change anything he wanted with their current or a potential supplier, what would be on the list?


14. Locations

Are decisions centralized (one location makes the decision for all locations) or decentralized (each location decides for themselves)?

How many locations, subsidiaries, partners, alliances and/or joint ventures are there and do we do business with any of them?

Is it possible to sell your solution on an enterprise wide basis rather than a departmental or business unit basis?

Do any other locations have an existing relationship with your company, partners or affiliates?


15. Confidence

Does the Prospect trust you?

Have you established credibility?

Does the Prospect know the company you represent?

Does the Prospect believe you sincerely have their best interests at heart?

Does the Prospect have confidence in your company's ability to provide them with and support your solution that works?

REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Sales Training, Inc., a live cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – Live Call Training please call Ron at 818-519-3852 or visit www.ast-incorp.com. © 2011 by Accelerated Sales Training, Inc.

What Makes a Qualified Prospect Qualified? - Part 2

By Ron LaVine, MBA
President of Accelerated Sales Training, Inc.
www.ast-incorp.com

6. Good Fit

Does your solution make good business sense?

Can we establish an ongoing relationship?

Have you calculated the ROI (Return on Investment)?

What is the Net Payback Period or how fast will the solution pay for itself?

Have you created a cost justification (Cost over time versus Savings over Time)?

What would make them smile?

Is the Prospect's business growing or is in or headed for trouble?

Has the account bought into the vision or proposed solution?

Can our solution help the Prospect produce tangible or measurable results to calculate a ROI?

Is there a fit with the current products and services in use or will additional products and services be required?

Is the Prospect willing take specific action(s) towards a solution?


7. Evaluation Criteria

What is the evaluation criterion, if any? Will they fax it to you?

Do you have a criterion you can provide them with?

The final decision is based on what factors?

Is there an agreement on what is important or what is of value?

Have evaluation criteria been defined?


8. Business Impact

What is the cost of inaction or taking the wrong action?

What are the consequences or penalties if the account does not take action by a certain date?

What is the cost of losing a customer?

What is the cost of acquiring a customer?

How much would an addition to the head count cost?

What is the cost of shopping cart abandonment in their web store?

What is the cost of additional training and the time spent away from the job while learning?

Have you calculated the cost of the business impact?

What does the Prospect personally stand to gain or lose if a solution is or is not implemented?


9. Processes

What are the exact evaluation, budgeting and decision-making processes?

Who does the negotiating?

What is negotiable and what is non-negotiable?

Who signs the final Agreement?

What are the payment terms (Net 15, Net 30, etc.)?

Is a purchase order required?


10. People

Who will be involved or influence the final decision?

This can be one or different individual

Is there an individual (or individuals) that understands the value of your product or service, but has not found a good fit yet?

Have all the key stakeholders been identified and contacted?

Are you speaking with the correct contact, which, assuming you have the right solution, has the authority to buy?

Do you know how much authority the Prospect has before further approvals are required?

Who are the decision-makers, evaluators, influencers, and end users of your potential solution?

Final Decision Maker(s) signs the check.
Motivation: What is the effect on our bottom line?

Evaluator(s) screens out and says no.
Motivation: What is the best solution that meets our needs?

Guide(s) want to help guide you through the process.
Motivation: I like your solution. How can I help you get your solution as the one chosen?

End User(s) are concerned about the effect on them and their job.
Motivation: Will it make my job easier or harder?

Initiator(s) want to look good.
Motivation: How can I show that I did a good job of gathering information?

Purchasing/Legal/Contracts are responsible for negotiating the terms and condition
Motivation: How can we get the most favorable terms and conditions for our company (i.e. additional discounts, extra technical support or consulting services, lower pricing, more training or extra sets of documentation, better payment terms, guarantees, etc.)?


11. Organizational Chart

What is the formal and informal organizational structure?

Who reports to whom?

Who influences whom?

Who are the counterparts, back-ups, peers and subordinates?

Who are the assistants?

Do you have all names and titles spelled correctly?

Do you have the correct street address (room, floor, suite, mail code, etc.),
E-mail addresses, fax numbers and extensions?

What are the responsibilities of each of your contacts?


12. Solutions

What types of solutions are currently in use?

Does the prospect have the necessary people, time, money and equipment in place or available to implement your solution?

Could the correct environment to support your solution be put in place?

What Makes a Qualified Prospect, Qualified? Part 1 of 4

By Ron LaVine, MBA
President of Accelerated Sales Training, Inc.

Have you ever asked yourself, what are the specific characteristics of a qualified prospect? What are the minimum pieces of information you need to know to determine if the potential for a sale exists? What pieces of information are required before you consider a prospect qualified? Am I using a consistent cold calling system to successfully obtain the information needed?

Here are the first of a four part blog on 17 areas with questions you may want to ask yourself so you can create a qualified prospect profile also known as an Account Sales Profile™.

1. Basic Demographics

Ask yourself "Which type of organization do I make the most money when I make a sale?" For example: Is it a company with 10 employees or 100 employees? Does the company have over $10 million in gross sales or over $100 million in gross sales? Are most of my customers in the Retail Industry or the Financial Industry? What types of organizations will provide the highest payoff in return for my limited amount of selling time?

In summary, what are the demographics of your most profitable accounts in terms of...

> Industry Verticals (such as Software, Printing, Frozen Foods, etc.)
> Total Gross Sales
> Total Number of Employees


2. Business Practices

How does the account currently conduct business?

Where is the Prospect now?

How did the Prospect conduct business in the past?

What is the Prospect's future strategic direction?

Where does the Prospect want to be?

How does the Prospect plan to get there?


3. Needs, Problems, Challenges, Critical Business Issues, Pains or Drivers

Is there a perceived or unperceived need for your solution?

What are the needs, challenges or problems the Prospect facing?

What is keeping them up at night?

What is required to solve the problem and does your solution fit the bill?

Is the Prospect actively searching for a solution, which you can provide?

Does the Prospect have any current or future business initiatives?

Has the Prospect expressed an interest in what you have to offer?

Does the Prospect have a compelling business issue that needs to be solved?

Is the Prospect using outdated products and services, which may need to be replaced?

Is there a need for a specific product or service but the Prospect can't afford the time or money or man hours to build their own solution?

Is the Prospect using some type of solution and not yet seeing business results?

Is the Prospect starting to look at competitors?

Has a specific person been assigned to find a solution to a specific need?

Does the Prospect have a serious intention to buy or are they just being time wasters or tire kickers or a just send me something?


4. Time-frames

What are the time-frames for...

The RFI or RFP or RFQ (Request for Information, Proposal or Quote)

Evaluation period

Decision date

Roll-out of a pilot solution

Implementation of an enterprise wide solution


5. Budget

Does the Prospect have a budget already set aside?

Can the Prospect get it from someone else's budget or next year's budget?

At what level are further sign-offs required? ($10,000, $50,000? 100,000?)

What amount is budgeted for a solution?

Is there a deadline where the Prospect will lose the budget or funding (usually in schools or government organizations)?

More on What Makes a Qualified Prospect, Qualified? next week.

Writing Tips and Techniques

By Alan Chapman

Writing letters, reports, notes and other communications are important skills for business and personal life. Good letters help to get results, where poor letters fail. People judge others on the quality of their writing, so it's helpful to write well. Here are some simple tips for writing letters and communications of all sorts.

Generally, whatever you are writing, get to the main point, quickly and simply. Avoid lengthy preambles. Don't spend ages setting the scene or explaining the background, etc.

If you are selling, promoting, proposing something you must identify the main issue (if selling, the strongest unique perceived benefit) and make that the sole focus. Introducing other points distracts and confuses the reader.

Use language that your reader uses. If you want clues as to what this might be imagine the newspaper they read, and limit your vocabulary to that found in the newspaper.

Using the reader's language ideally extends to spelling for US-English or UK-English. It's difficult on this webpage, or other communications designed for mixed audiences, but when possible in your own work acknowledge that US and UK English are slightly different. Notably words which end in IZE in US English can quite properly be spelled ISE in English, for example: organise/organize, specialise/specialize, etc. Similarly many words ending in OUR in UK English are spelled OR in US English, for example favour/favor, humour/humor, colour/color, etc.

Avoid obvious grammatical errors, especially inserting single apostrophes where incorrect, which irritates many people and which is seen by some to indicate a poor education.

Probably the best rule for safe use of apostrophes is to restrict their use simply to possessive (e.g., girl's book, group's aims) and missing letters in words (e.g., I'm, you're, we've).

The following paragraphs attempt to explain some of the more complex rules for apostrophes, and I'm grateful to David Looker for helping me to bring better clarity to this confusing situation. Language is not a precise science and certain aspects, notably rules governing the use of apostrophes, are open to interpretation.

By way of introduction to apostrophes, here are some examples of common mistakes:
The team played it's part (should be: the team played its part - its, although possessive, is like his, my, hers, theirs, etc., and does not use the possessive apostrophe).

Its been a long day (should be: it's been a long day - it's is an abbreviation of it has)

Your correct (should be: you're correct - you're is an abbreviation of you are)

One months notice (should be: one month's notice - the notice is governed by the month, hence the possessive apostrophe)

The groups' task (should be: the group's task - group is a collective noun and treated as singular not plural)

The womens' decisions (should be the women's decisions - same as above - women is treated as singular, irrespective of the plural decisions).

The purpose of a single apostrophe is to indicate missing letters, as in I'm happy, or you're correct, and word constructions like don't, won't, wouldn't, can't, we've, etc. Apostrophes are also used to indicate when something belongs to the word (possessive), as in the girl's book.

This extends to expressions like a day's work, or a month's delay. The possessive apostrophe moves after the S when there is more than one subject in possession, for example the girls' fathers, or the footballers' wives, or three weeks' notice, but not for collective nouns like the children's toys, the women's husbands, or the group's aims.

And take care with the word its, as in the dog wagged its tail, where (as with his and hers) the apostrophe is not used, and should not be confused with it's, meaning it is, which does use the apostrophe according to the missing letters rule. Apostrophes are generally considered optional but are not 'preferred' (which basically means that fewer people will regard the usage as correct) in pluralised abbreviations such as OAPs, and tend not to be used at all in well known abbreviations such as CDs and MPs.

Increasingly, apostrophes in common abbreviations such as CD's and MP's are considered by many to be incorrect, and so on balance are best avoided.

The use of apostrophes is more likely to be preferred and seen as correct where the abbreviation contains periods, such as M.P.'s or Ph.D.'s, although in general the use of periods and apostrophes in abbreviations is becoming less popular and therefore again is probably best avoided. In single-case communications (all capitals, or no capitals - which is increasingly popular in emails and texts) omitting apostrophes in pluralised abbreviations can cause confusion, so forms such cds or CDS should be avoided if possible, although the 'correct' punctuation in this context is anyone's guess.

Grammatical rules change much slower than real life. Other plural abbreviations or shortened words such as photos (photographs), mics (microphones), could technically still be shown as photo's and mic's, reflecting older traditional use of the apostrophe in abbreviated words, but these days this is generally considered to be incorrect.

The use of apostrophes in numbers, such as 1980's or over-50's, is also less popular than a generation ago, and whilst optional, apostrophes in numbers are increasingly regarded as incorrect, so the safer preferred forms for the examples shown are 1980s and over-50s. The use of apostrophes is still preferred for pluralising short words which do not generally have a plural form, such as in the statement: there are more x's than y's, or do's and don't's.

The last example makes for a particularly confusing form and is another common spoken term that's probably best avoided putting in print or in any sort of formal communication (because even if you get it right there's a good chance that the reader will think it wrong anyway..)

Aside from the safe recommendation above to generally restrict apostrophes to missing letters and possessive words, if in doubt, try to see what rules the reader or the audience uses for such things - in brochures, on websites, etc., and then, unless they are patently daft, match their grammatical preferences accordingly.

Use short sentences. More than fifteen words in a sentence reduces the clarity of the meaning. After drafting your communication, seek out commas and 'and's, and replace with full-stops.

Write as you would speak - but ensure it's grammatically correct. Don't try to be formal. Don't use old-fashioned figures of speech. Avoid 'the undersigned', 'aforementioned', 'ourselves', 'your goodselves', and similar nonsense. You should show that you're living in the same century as the reader.

As to how informal to be, for example writing much like normal every day speech (for example I'd, you'd, we've) bear in mind that some older people, and younger people who have inherited traditional views, could react less favourably to a writing style which they consider to be the product of laziness or poor education. Above all it is important to write in a style that the reader is likely to find agreeable.

Avoid Jargon, Acronyms, Technical Terms Unless Essential

Don't use capital letters - even for headings. Words formed of capital letters are difficult to read because there are no word-shapes, just blocks of text. (We read quickly by seeing word shapes, not the individual letters.)

Sans serif fonts (like Arial, Helvetica and this one, Tahoma) are modern, and will give a modern image. Serif fonts (like Garamond, Goudy and this one, Times), are older, and will tend to give a less modern image.

Sans serif fonts take longer to read, so there's a price to pay for being modern. This is because we've all grown up learning to read serif fonts. Serif fonts also have a horizontal flow, which helps readability and reading comfort. (Serif fonts developed before the days of print, when the engraver needed to create a neat exit from each letter.)

Avoid fancy fonts. They may look clever or innovative, but they are more difficult to read, and some are nearly impossible.

Use 10-12 point size for body copy (text). 14-20 point is fine for main headings, bold or normal. Sub-headings 10-12 bold.

Any printed material looks very untidy if you use more than two different fonts and two different point sizes. Generally the fewer the better.

If your organisation stipulates a 'house' font then use it.

If your organisation doesn't then it should do.

Black text on a white background is the easiest colour combination to read. Definitely avoid coloured backgrounds, and black.

Avoid background graphics or pictures behind the text.

Italics are less easy to read. So is heavy bold type.

If you must break any of these font rules, do so only for the heading.

Limit main attention-grabbing headings to no more than fifteen words.

In letters, position your main heading between two-thirds and three-quarters up the page. This is where the eye is naturally drawn first.

Use left-justified text as it's easiest to read.

Avoid fully justified text as it creates uneven word spaces and is more difficult to read.

Remember that effective written communication is enabling the reader to understand your meaning in as few words as possible.

Writing Letters

Generally if you can't fit it all onto one side of a standard business sheet of paper, start again.

Whether writing a letter of complaint, introduction, or proposition - you must keep it brief.

If your letter can't be read and understood in less than 20 seconds it has limited chances of success. It used to be 30 - this time limit gets shorter every year.

Think about the purpose of your letter. It will rarely be to resolve something completely. It will more often be to establish a step along the way. So concentrate just on that step.

For example - letters of introduction should not try to sell a product. They should sell the appointment.

Writing Reports - Template Structure

Typical structure template for writing a report:

Title, author, date.
Contents.
Introduction and Terms of Reference (or aims/scope for report).
Executive Summary (1-2 pages maximum) containing main points of evidence,recommendations and outcomes.
Background/history/situation.
Implications/issues/opportunities/threats, with source-referenced facts and figuresevidence.
Solution/action/decision options with implications/effects/results, including financials and parameters inputs and outputs.
Recommendations and actions with input and outcomes values and costs, and if necessary return on investment.
Appendices.
Optional Bibliography and Acknowledgements.

Map out your structure before you begin researching and writing your report.

Ensure the purpose, aims and scope of the report are clearly explained in your terms of reference.

The executive summary should be be very concise, summarising the main recommendations and findings. Provide interpretation of situations and options. Show the important hard facts and figures. Your recommendations should include implications, with values and costs where applicable. Unless yours is a highly complex study, limit the executive summary to less than two sides of standard business paper.

The body of the report should be divided into logical sections. The content must be very concise. Use hard facts and figures, evidence and justification. Use efficient language - big reports with too many words are not impressive. The best reports are simple and quick to read because the writer has properly interpreted the data and developed viable recommendations.

Do not cram lots of detail, diagrams, figures, evidence, references etc., into the main body of the report. Index and attach these references as appendices at the end of the report.

Where you state figures or evidence you must always identify the source.

Show figures in columns. Try to support important figures with a graph.

If it's appropriate to acknowledge contributors then do so in the introduction or a separate section at the end.

Writing Reports When You're Not Sure What's Required

If ever you are confronted with the task of writing a report and you are unsure of how to go about it, here are some tips.

It's common to be asked to write reports in business and organisations, for all kinds of reasons. Sometimes reports are required for good reasons - sometimes they are simply a waste of time. Sometimes reports are requested with clear terms of reference and criteria, but mostly they are not. It's common for reports to be requested with only a vague idea given as to what is actually needed - commonly there is no written 'brief' or specification.

The writer then spends days agonizing over what the report should include and look like, how long it should be, whether to include recommendations, whether to attach detailed information, etc. All this confusion is unnecessary and can be avoided by asking some simple questions.

Many people new to report-writing think that it's not the done thing to ask what the report should look like, often for fear of appearing unsure or incapable. But the fact is that before writing reports or business plans of any sort the writer should always first seek clarification of exactly what's required.

Don't assume that the request is reasonable and properly thought-through - in many cases it will not be. If the request for a written report is not perfectly clear, ask for clarification. Experienced people ask and seek clarification all the time - it's perfectly sensible and logical to do so.

Seeing sample reports from other industries and organisations is not always very helpful. Sample reports from completely different situations can be very misleading, aside from which, good sample reports are actually quite difficult to find anyway because most are subject to commercial or other confidentiality. In any event, there are so many different types of reports and report formats that there's no guarantee that an example from elsewhere would be right for your particular situation.

You are often better simply to follow the guidelines above, and avoid wasting time looking for elusive report examples. Trust your own judgement. Creating a sensible structure and building your own report is generally quicker and better than seeking inspiration elsewhere.

Importantly ask your employer or boss or client (whoever has requested the report) for their ideal format and if appropriate ask for examples of what they consider a suitable format for them. It's perfectly reasonable to seek clarification in this - you are not a mind-reader. There's a whole load of mystique around reports and business plans which is rarely dispelled because folk are afraid to ask - so break the cycle of doubt and assumption - ask.

As already explained, when writing anything - especially reports - the shorter the better is normally the case, especially when the audience is senior and strategic management or directors.

In truth most long reports generally don't get read, and what's worse is that some bosses don't have the sense to help the writers see how they could have submitted something far shorter. So the mystique persists.

Everyone - especially people new to report-writing thinks they should know how to do it, and nobody generally puts their hand up and dares to break the taboo by asking "What exactly do you want this report to look like?" In fact many bosses can't write a decent report themselves, which makes them even less likely to offer to explain what's required.

So, when faced with your next vague request to "Write a report..", cut through the crap, as they say, break the taboo, and ask people what they want:

Discuss and agree the report specification with the person requesting it - if they aren't sure themselves, then help them to define the criteria by asking helpful questions, such as -

Is there a written specification or 'terms of reference' for this report?
Where did the original request for this report come from and what do you think they expect and need?
Can we find out more about what is expected from this report?
How many words or pages?
Who is this report for and what will they use it for?
What format do you (or they) prefer?
Would people actually prefer a PowerPoint presentation of the main points instead of a bloody great big report that no-one will bother to read?
Do you want recommendations and actions in the report? Or just a conclusion?
Do you want detail referenced and appended or available on request?
Is this report really truly necessary? - might there be a better quicker more effective way to give the person asking for it what they actually need, whatever that is?

If you don't know what someone wants a report to be like, or what the report is for, then don't let people kid you into thinking that you should be able to guess.

Ask some helpful questions to agree a sensible report format, length, outcomes, etc., and you'll avoid the agonizing guesswork, and save everyone's time.

Finally - when you yourself next have to ask one of your people, or a supplier, or anyone else for that matter, to "write a report..", think about all of the above carefully and ask yourself the questions that will help you first confirm that a report is actually necessary, and then to define and provide clear and helpful guidelines, or a specification, or 'terms of reference', so that the person having to write the report can fully understand what sort of report is required and why.

Additional tips and templates for writing plans and reports are the business planning section.

See also the section on delegation, which relates strongly to requesting reports.

And the notes about personal brainstorming and note-taking for planning, decision-making, and generally organizing your thoughts.

I am grateful to Stewart Dixon for his help in refining this webpage.

The use of this material is free provided copyright (see below) is acknowledged and reference or link is made to the www.businessballs.com website. This material may not be sold, or published in any form. Disclaimer: Reliance on information, material, advice, or other linked or recommended resources, received from Alan Chapman, shall be at your sole risk, and Alan Chapman assumes no responsibility for any errors, omissions, or damages arising. Users of this website are encouraged to confirm information received with other sources, and to seek local qualified advice if embarking on any actions that could carry personal or organisational liabilities. Managing people and relationships are sensitive activities; the free material and advice available via this website do not provide all necessary safeguards and checks. Please retain this notice on all copies.

© alan chapman 1995-2011

STEPPING OUTSIDE YOUR “COMFORT AREA”

By Ron LaVine, MBA
President of Accelerated Sales Training, Inc.

The challenge is to reduce the gap between your actual performance (inside the comfort area) vs. your potential performance (outside the comfort area).

____________________________________________

Outside the "Comfort Area" - Potential Performance
____________________________________________
(Gap)

Inside the "Comfort Area" - Actual Performance

(Gap)
____________________________________________

Outside the "Comfort Area" - Potential Performance
____________________________________________

The Japanese have a term for this called "Kaizen" or the implementation of continuous incremental improvement. Simply put, this is doing what you are currently doing but learning new ways to expand your ability to do it better.

Applying this to yourself, you might look at the two of the basic skills for successfully conducting business over the phone. They are the Planning Arena and the Account Qualification Process. These skills have a number of components with room for incremental improvement once you decide to move out of your "Comfort Area."

Areas for improvement in the Planning Arena might include looking at how you:
Set your call objectives,
Prepare yourself before beginning a call,
Maximize your energy during the day,
Determine the intervals between your calls,
See yourself achieving your goals,
Examine your current pattern of making calls,
Handle your weaknesses once they've been identified.

Account Qualification area improvements may include:
Examining what are the common characteristics of your most profitable or and "ideal prospect",
Preparing questions to find these characteristics,
Planning how you can create a good first impression, build trust and credibility,
Expressing your confidence in a relaxed manner,
Matching and modeling the speed, volume and tone of what how your contact speaks,
Following the 80/20 rule of listening (this rule says we need to invest 80% of your time listening and only 20% speaking).

IMPROVING YOUR "COMFORT AREA" FUNDAMENTALS

"Comfort Area Fundamentals" include improving your:
Abilities,
Education & Knowledge,
Achievement Orientation.

An incremental increase in the “Comfort Area Fundamentals” allows you to expand the way you operate and will, if constantly put into practice, lead to greater performance. This is why it is important for you to consistently focus on and practice improving the "fundamentals" so it becomes easier when you find yourself outside your "Comfort Area."

Abilities

Ability is defined as the power to do. Will your future be a series of goals you've set or a series of accidents? You are a problem solver not a peddler or a pusher. What I hear, I forget; What I see, I remember; What I do, Becomes a Part of Me. Being the best is not as important as doing your best.

Education and Knowledge

Napoleon Hill in his book Laws of Success (published by Success Unlimited in Chicago, IL. And available through ), defines Education as "the development from within, of the human mind, through unfoldment and use". What are some specific ways to increase your Education & Knowledge? Setting aside time to read about your industry and your account's industry has always been a wise investment. Paying attention to the news (the Sales Intelligence Report Email Newsletter is an excellent source of concise news ) and pointing out items that may have an impact on your client's business shows you care about them and the challenges they are facing in their businesses.

Listening to audio cassettes and reading books by successful sales executives is a "sure-fire" way to strengthen your knowledge on how to use the "Comfort Area Fundamentals" to their greatest advantage. Attending user conferences, industry specific events and going through sales training classes on a regular basis also adds to your reservoir of knowledge.

Maintaining an Achievement Orientation

Maintaining an Achievement Orientation requires you remember that action follows thoughts so think great thoughts and focus on the positive. Think of yourself as successful and well thought of and doing more than you are asked to do. Help others as you have been helped and you will be rewarded with the success you deserve. You are what you think. Your attitude determines your altitude.

REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Sales Training, Inc., a cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – LIVE Call Training please call Ron at 818-519-3852 or visit www.ast-incorp.com. © 2011 by Accelerated Sales Training, Inc.

10 Tips for Qualifying Success

By Ron LaVine, MBA
President of Accelerated Sales Training, Inc.

Using the phone successfully to market your products and services to potential new clients often requires you to navigate through a labyrinth of people to find the correct individual(s) who can provide the information you seek. Whether for pre-sales research or to determine who has the ability to acquire your products and services, here is a quick summary of proven techniques for achieving these objectives from Ron LaVine, MBA – CEO of Accelerated Sales Training, Inc. a Live Cold Call Sales Training Company.

Know the purpose of your call in advance. Before placing a call, have a clear and specific objective or purpose of what you are trying to achieve. Prepare a list of questions that need answers prior to your call. This will help you stay on track and meet your objective.

Purchasing, Investor Relations or the CEO's office are all good places to begin when you don't have a contact within a company. Calling into multiple departments in a company or organization can not only provide the information or person sought, but also give a unique overview of how a company's internal processes work. This can be useful information if further calls are required to the same or similar companies. As these individuals are usually very busy, have a short direct question prepared, such as "Who is responsible for evaluating [insert your product/service]?" This makes possible for either a quick or detailed answer.

Take advantage of the corporate hierarchy. When being referred from a higher level person (such as the President or their office) to a lower level person, use the higher person's name or office to lend credibility and importance to your request. For example: "Mr. Smith's office referred me to you."

Always ask for permission to speak. After briefly introducing yourself and your company, ask for permission to speak, before explaining the reason for the call. Do not speak with people who do not want to speak with you. You will not have their full attention. Getting permission first is the polite thing to do.

Set up a telephone appointment. If the person sounds busy, make an appointment by asking a directional question “Do you have a pen handy? Follow with "When would be a good time to schedule a two minute call to see if my company can be of service to you?” Nail down a specific time and date and follow-up with an e-mail reminder.

Listen to what is going on in the background. When a phone or distraction occurs in the background, politely inquire whether that situation needs to be dealt with and offer to be placed on hold. This shows respect for the other person and is greatly appreciated.

Use open ended questions such as Who, What Where, When, Why or How to gain information and closed ended questions such as Do, Are, Correct, Right to confirm what was said and gain agreement for action.

Practice the Q/A/F/Q technique. Ask a Question. Wait for an Answer. Feedback what you heard to be sure you have a clear understanding of what was said. Then ask another Question to direct the conversation into the area where you want it to go. The person asking the questions controls the direction of the call.

Keep track of your phone menu choices. If you get stuck in one department, these choices will enable you to go in a different direction and reach a person (any live body) who can transfer you to the department you need.

Finally, and most importantly, is to remain polite yet persistent in your quest. By remaining polite and persistent, you will find the person who has the information you seek.

REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Sales Training, Inc., a cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – LIVE Call Training please call Ron at 818-519-3852 or visit www.ast-incorp.com. © 2011 by Accelerated Sales Training, Inc.

To Ask Permission to Speak or Not, that is the Question.

By Ron S. LaVine, MBA
President, Accelerated Sales Training, Inc.

From a business perspective, there may be nothing more valuable than our time. Let people know you respect their time by asking, "Is this a good time to speak?" or "Do you have a few minutes?" before using your opening statement. Not only is this a more professional approach, you'll find people will offer their full attention since you've been given their permission to speak. Professional salespeople understand and respect the importance of another person's time.

The next time you receive a call from a telemarketer or telesales rep, notice if the person asks for your permission to speak with you. My experience has been that the majority of callers launch right into what they have to say without giving any thought to what I might be doing. It angers me that the caller hasn't considered that I might be doing something more important and I respond with "Take me off your list."

You can be seen as an interruption or a blessing depending on how you handle yourself. I called a senior buyer of a microchip manufacturer who granted permission for me to speak. I asked how they went about buying a certain type of solution. He took thirty minutes explaining their buying process to me. That information was extremely valuable to the strategy of the sale.

If it is not a convenient time for your prospect to talk, QUICKLY CONFIRM THEY are the RIGHT PERSON, SCHEDULE A FOLLOW-UP CALL and then HANG UP THE PHONE. Why waste their time or yours? If they are busy, you certainly will not have their attention. Make a good impression right off the bat by being polite and respectful of the other person s time. They will be more receptive to your next call because you showed a simple courtesy.

During one of my training sessions, we placed a call to an executive of a Fortune 500organization. After a brief enthusiastic introduction (my name and organization only), I asked the executive if he had a minute to speak with me. The man replied that he was busy. I offered to call him at another time when it was convenient to speak. He asked about the nature of my call. I reminded the executive that he said he was busy and I did not want to interrupt his current activities and would prefer to call back at a more convenient time.

Guess what happened next. The executive said he would take the time to speak with me briefly and he asked a second time regarding the nature of the call. The executive became curious because of my courteous concern for his valuable time. The conversation lasted over twenty minutes. The executive explained valuable details regarding the evaluation and decision-making processes within the organization. He also provided additional information for me to develop an enterprise-wide proposal.

The training attendees in the room were flabbergasted. Who ever heard of a telesales rep refusing to speak with an account? The concept is simple. If you speak with a busy prospect without their permission, you will not have their full attention, defeating the purpose of your call. Asking permission to speak before going on to explain the purpose of your call, will distinguish you from typical telesales reps. Your call success ratio will begin to climb.

REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Sales Training, Inc., a LIVE cold call training firm located in Oak Park, CA. You can get a special report 41 Sales Tips You Can Use Right Now AND the complementary bimonthly Sales Tips and Telesales Tips for Selling Success eZine all by signing up at http://www.astselling.com. If you would like information on Live Cold Calling/New Business Development Sales Training please call Ron at 1-818-519-3852.

How to Avoid Sounding Like Just Another Sales Rep

By Ron LaVine, MBA
President of Accelerated Sales Training, Inc.

I once called on a large Telecomm seeking to find out if there was a need for a certain type of software. As I sought this information, one of the first individuals I encountered immediately asked, "What are you selling?"

I replied, very simply. I'm not selling anything since I don't even know if there is a need to sell something. Now maybe you can help me. We went round and round a few times until she finally understood what I was saying and transferred me to the individual I was seeking to speak with.

If you want to avoid sounding like another company trying to sell something, DON'T SELL. You're thinking right now, "Ron you're off your rocker." What do you mean, don't sell? That's what I'm hired to do. To which I replied I understand that making a sale is the overall goal of your position. However, before any sale (i.e. not a retail sale over the counter) of significance can take place, many questions need to be asked and answered and their answers agreed upon.

First, with how can you sell anyone anything unless you understand if there is a need to sell something? Therefore the solution is to STAY OUT of sales mode and STAY IN information mode. One of the many benefits of this approach is people let their defenses down when they feel they aren't being "sold". I find that people are more likely to assist you if you explain that you are not selling (and at this point of the sales cycle, in my opinion, you are not) but simply trying to determine if there is in fact, a need to sell something.

If you come off like a typical sales rep you'll be putting the cart before the horse. Instead, try playing the role of a newspaper reporter or "Columbo". Make it your first objective to seek "Just the facts and nothing but the facts" before trying to "sell something". You will quickly avoid "sounding like another company trying to sell something."

So when someone asks me what I'm selling, this how I reply. "How can I sell you anything unless I understand if there is a need for what I have to offer? I'm calling to determine if there is a need for my product or service." Remember "Understanding comes before Selling."™

By using information mode and seeking to understand how a company does business before trying to sell something, you will find the answers you need to indeed make a sale. There was wise person who said, "Seek first to understand and then be understood."

REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Sales Training, Inc., a cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – LIVE Call Training please call Ron at 818-519-3852 or visit www.ast-incorp.com. © 2011 by Accelerated Sales Training, Inc.

A Sales Negotiator’s Friend: The Telephone

A Telephone Is A Two-Edged Blade For Sales Negotiators

By Dr. Jim Anderson

What’s your mental picture of a typical sales negotiation? When you close your eyes do you see a lushly carpeted board room with a large oval table in the center and padded leather chairs all around it? If so, then in most cases you are sadly mistaken.

An amazing number of sales negotiations occur over the telephone. Everyone has one and in fact in this day and age of mobile phones we all seem to have more than one phone. Given that by using the phone you can reach someone directly at almost any time, phones have become an important tool in negotiating sales.

However, as with any tool, a phone can be a danger to any negotiator’s hope of success. Using a phone to negotiate can be quick and easy, but that’s actually part of the problem. I’m not telling you to not use the phone, I’m just saying that you need to watch out when you do. Here are some of the things that can go wrong when you use the phone to negotiate a sale:

1. Deal / No Deal: Because you can’t look the other side in the eye when you are negotiating with them on the phone, it’s entirely possible that you may conclude the call thinking that you have a deal when you really don’t.


2. Can You Hear Me Now?: What you think that you are saying is not necessarily what the other side is hearing. However, since you are on a phone, there is no way for you to realize that they have gotten the wrong message.


3. What Did You Say?: Often when we are negotiating on the phone, we are out and about. Although we may reach agreement, it won’t count until such time as we write it down. That may be hours later and what we write down may be different from what we agreed to.

Once again, the phone is a powerful sales negotiation tool; however, you have to be careful how you use it in order to make sure that you don’t get burned.

Have you ever used the phone as part of a sales negotiation? Did you have any communications problems? Were the problems on your side or on the other side? When did you first realize that there was a problem? How did you finally resolve this problem? Leave me a comment and let me know what you are thinking.

Dr. Jim Anderson has spent over 20 years negotiating everything from small sales with individual owners of companies to large scale military project contracts with teams of sales negotiators. He realizes that unless you are a lawyer or a Mergers & Acquisitions banker, you probably don’t think of yourself as an everyday negotiator.

In today’s work environment you can find yourself in negotiations with a vendor, another department, or even a state or local government official very quickly.
Unless you know what to do (and what not to do!), you can quickly feel overwhelmed.

In this blog, “The Accidental Negotiator“, Dr. Anderson offers his insights on how to develop your negotiating skills so that you can close more deals, make more money, and have more satisfaction.

Get more information on both Dr. Anderson and sales negotiating at: www.BlueElephantConsulting.com

Oh, and if you want to follow Dr. Anderson on Twitter, he can be found at: http://twitter.com/drjimanderson