Showing posts with label Westfall and Associates LLC. Show all posts
Showing posts with label Westfall and Associates LLC. Show all posts
Thursday, April 22, 2010
Thursday, April 15, 2010
Overcoming Pricing Objections
My friend Ajay is taking a beating in India, over pricing. It seems that his clients are prejudiced: they always make the discussion about price. Here are some suggestions to help change the pricing game...
Look at your watch. (Did you do it? Thanks) Is that the least expensive watch on the market today? **What?** It's not the cheapest on the market today? I am [almost but not really] shocked. Why not buy an inexpensive watch - - when every watch tells you the time, shouldn't you wear the cheapest one you can find?
Do you feel like you paid too much? Or maybe, you aren't wearing a watch. So let's apply this line of questioning to your cell phone...or your car...or your address...Here's my point:
I don't claim any expertise over the market in India, but I do know a lot about buyer behavior. The only antidote to prejudiced pricing discussions is value.
Why do you value your watch (cell phone, car, etc.)? Quality? Reliability? Or are there some intangibles - the way it makes you feel? The fact is that our personal purchases are driven by both fact and emotion. Which side wins can change depending on a number of factors, but both fact and emotion impact a purchase decision (any purchase decision). My question for you is: What is the _personality_ of the company you are selling into, and what are their emotional needs? (Are they heartless, cheap, and drive a hard bargain? OK, gotcha. So, What corporate needs are driving these descriptions?)
These needs may include prestige, quality, competitive advantage, profitability, a desire to make you squirm - - only you can fill in the blanks, I don't have enough information to go further. But money - pricing - is only /part/ of the value equation. The other part is what a particular product _means_ to the company. Another way to say this: What is the value of your brand?
It may seem strange to think of a company's emotional needs, but believe me: companies have personalities, whether in Kanpur, India or Kokomo, Indiana. Individuals run companies, individuals make buying decisions, individuals have emotional needs (as well as financial). While the budget may be fixed, my take on any discussion about pricing would include a thorough understanding of the puts/takes of the emotional appeal of your solution. If you say, "there is no emotional appeal to our solution" then I would respectfully reply, "you haven't thought this all the way through".
And for the record, you have a very nice watch! ;-)
Look at your watch. (Did you do it? Thanks) Is that the least expensive watch on the market today? **What?** It's not the cheapest on the market today? I am [almost but not really] shocked. Why not buy an inexpensive watch - - when every watch tells you the time, shouldn't you wear the cheapest one you can find?
Do you feel like you paid too much? Or maybe, you aren't wearing a watch. So let's apply this line of questioning to your cell phone...or your car...or your address...Here's my point:
I don't claim any expertise over the market in India, but I do know a lot about buyer behavior. The only antidote to prejudiced pricing discussions is value.
Why do you value your watch (cell phone, car, etc.)? Quality? Reliability? Or are there some intangibles - the way it makes you feel? The fact is that our personal purchases are driven by both fact and emotion. Which side wins can change depending on a number of factors, but both fact and emotion impact a purchase decision (any purchase decision). My question for you is: What is the _personality_ of the company you are selling into, and what are their emotional needs? (Are they heartless, cheap, and drive a hard bargain? OK, gotcha. So, What corporate needs are driving these descriptions?)
These needs may include prestige, quality, competitive advantage, profitability, a desire to make you squirm - - only you can fill in the blanks, I don't have enough information to go further. But money - pricing - is only /part/ of the value equation. The other part is what a particular product _means_ to the company. Another way to say this: What is the value of your brand?
It may seem strange to think of a company's emotional needs, but believe me: companies have personalities, whether in Kanpur, India or Kokomo, Indiana. Individuals run companies, individuals make buying decisions, individuals have emotional needs (as well as financial). While the budget may be fixed, my take on any discussion about pricing would include a thorough understanding of the puts/takes of the emotional appeal of your solution. If you say, "there is no emotional appeal to our solution" then I would respectfully reply, "you haven't thought this all the way through".
And for the record, you have a very nice watch! ;-)
Wednesday, April 14, 2010
The Moment Before
What is the "Moment Before" someone finds your website, learns about your product, or decides to purchase your service? Understand that moment, and you find strategic direction for your marketing and sales campaigns.
Sanford Meisner, one of the godfathers of "method acting", first coined the phrase as part of an emotional preparation for performers. Before taking the stage, the actor must consider the "moment before" - what has just happened offstage, to create the tears, the laughter, the anger, or whatever other emotional through-line is driving a particular scene? After all, if you dog has just died, or you won the lottery, your "moment before" changes everything. This concept from the world of theater is imminently important to business today.
While actors benefit from a clearly defined script to let them know the moment before, they still have to find their own creativity to express it, engage with other characters onstage, and then move the story forward. Similarly, businesses must understand the "moment before" to create their own story, and involve customers in the process.
That moment before is crucial to understand how to market yourself (or your products), how to position services among competitors, and how to place a brand on the world wide web. In a recent client session, I asked, "What do people think of - what is the need - that causes people to find you on the web? What is the the desire - that causes them to find you?"
When a company is able to step into their customers' mind, to understand what the customer lacks - the "fill in the blank" need that causes the customer to seek out a particular solution, and ultimately, your particular company. That "I need a _______" is the keyword search and the place where the sales process really begins. PS: It's also the place where your potential customer finds your competition.
Many have written about the nature of desire. (Desire has many definitions, please stay with me on the high road here). I am speaking specifically of the desire that is part of "the moment before" a potential customer begins to seek out your product or service. At its core, desire is produced by one thing and one thing only. In fact, all desire - including the kinds of desire that are found elsewhere on the internet - have their roots in one simple thing.
For want of a nail, a shoe was lost
For want of a shoe, a horse was lost
For want of a horse, a rider was lost
For want of a rider, a battle was lost
For want of a battle, a kingdom was lost
Consider what the customer wants, before they become a customer:
The moment before is about what's missing. Lack creates the first step towards a particular product or service. So, to understand what it is that is lacking is to understand the customer.
Effective marketing and sales strategies can focus on creating that sense of lack - or capitalizing on it. So much of our effort is spent on addressing the needs of the customer, through features and benefits, but what about understanding the moment that got the client to engage? If we understand the moment before, we understand who our customer really is. Moreover, we can understand what alternatives (either competitors or substitutions) come into play as part of consumer behavior. If the "moment before" is right, the performance of the organization will be, too.
Sanford Meisner, one of the godfathers of "method acting", first coined the phrase as part of an emotional preparation for performers. Before taking the stage, the actor must consider the "moment before" - what has just happened offstage, to create the tears, the laughter, the anger, or whatever other emotional through-line is driving a particular scene? After all, if you dog has just died, or you won the lottery, your "moment before" changes everything. This concept from the world of theater is imminently important to business today.
While actors benefit from a clearly defined script to let them know the moment before, they still have to find their own creativity to express it, engage with other characters onstage, and then move the story forward. Similarly, businesses must understand the "moment before" to create their own story, and involve customers in the process.
That moment before is crucial to understand how to market yourself (or your products), how to position services among competitors, and how to place a brand on the world wide web. In a recent client session, I asked, "What do people think of - what is the need - that causes people to find you on the web? What is the the desire - that causes them to find you?"
When a company is able to step into their customers' mind, to understand what the customer lacks - the "fill in the blank" need that causes the customer to seek out a particular solution, and ultimately, your particular company. That "I need a _______" is the keyword search and the place where the sales process really begins. PS: It's also the place where your potential customer finds your competition.
Many have written about the nature of desire. (Desire has many definitions, please stay with me on the high road here). I am speaking specifically of the desire that is part of "the moment before" a potential customer begins to seek out your product or service. At its core, desire is produced by one thing and one thing only. In fact, all desire - including the kinds of desire that are found elsewhere on the internet - have their roots in one simple thing.
All desire comes from lack - we can not want unless we lack something.
For want of a nail, a shoe was lost
For want of a shoe, a horse was lost
For want of a horse, a rider was lost
For want of a rider, a battle was lost
For want of a battle, a kingdom was lost
Consider what the customer wants, before they become a customer:
The moment before is about what's missing. Lack creates the first step towards a particular product or service. So, to understand what it is that is lacking is to understand the customer.
Effective marketing and sales strategies can focus on creating that sense of lack - or capitalizing on it. So much of our effort is spent on addressing the needs of the customer, through features and benefits, but what about understanding the moment that got the client to engage? If we understand the moment before, we understand who our customer really is. Moreover, we can understand what alternatives (either competitors or substitutions) come into play as part of consumer behavior. If the "moment before" is right, the performance of the organization will be, too.
Saturday, April 10, 2010
The New Color of Luxury? Green
I had a big realization this week when I saw this picture, of a hybrid Ferrari. Actually, after my jaw hit my desk, I had a bit of an epiphany.
And some uncomfortable swelling.
V-12 Ferrari Concept - Still fast enough to make a nun curse. Click the photo to see it all.
Why is Ferrari developing a hybrid vehicle? Why is the latest Ritz-Carlton in Lake Tahoe a certified LEED hotel? Typically luxury brands like these have stood for the utmost in discretionary spending - now that discretion is turning towards the environment? In a word, yes.
I've been doing some research as part of a June article for Residential Systems Magazine, on how to "sell" green initiatives. In my research, I contacted George Velazquez, principal at Integrisys in Chicago. George just installed the electronics in the first Gold-certified LEED residence in Illinois. His company has created an innovative energy-management and home automation solution called the Liv (tm) system (link to livsystem.com here) His company is one of the most progressive firms for energy management in the smart home arena.
I was running down my list of questions with George, drilling into my ideas on what it meant to "sell green". As we spoke, I realized that "being green" or being energy efficient (or call it what you will, the meaning is "environmentally responsible") is not something to segment and sell; it is an expected part of good design. For discerning clients, there is an expectation that a home automation system (or any home electronics installed by a systems integrator) would include energy management, and efficiency of both an electronic (and human) nature.
High net-worth individuals that can afford luxuries such as the above Ferrari are accustomed to more choices than the average Joe. Luxury is about many things, but at its most basic, luxury is about options. The same idea, explained conversely: luxury is about eliminating sacrifice.
Automating a luxury residence requires a design that does both: provide options for controlling the entire home ecosystem, and eliminating sacrifice. For smart luxury brands like Ferrari, Ritz-Carlton and even Integrisys, the best options are the ones that don't sacrifice anything for their clients - including the environment.
And some uncomfortable swelling.
V-12 Ferrari Concept - Still fast enough to make a nun curse. Click the photo to see it all.Why is Ferrari developing a hybrid vehicle? Why is the latest Ritz-Carlton in Lake Tahoe a certified LEED hotel? Typically luxury brands like these have stood for the utmost in discretionary spending - now that discretion is turning towards the environment? In a word, yes.
I've been doing some research as part of a June article for Residential Systems Magazine, on how to "sell" green initiatives. In my research, I contacted George Velazquez, principal at Integrisys in Chicago. George just installed the electronics in the first Gold-certified LEED residence in Illinois. His company has created an innovative energy-management and home automation solution called the Liv (tm) system (link to livsystem.com here) His company is one of the most progressive firms for energy management in the smart home arena.
I was running down my list of questions with George, drilling into my ideas on what it meant to "sell green". As we spoke, I realized that "being green" or being energy efficient (or call it what you will, the meaning is "environmentally responsible") is not something to segment and sell; it is an expected part of good design. For discerning clients, there is an expectation that a home automation system (or any home electronics installed by a systems integrator) would include energy management, and efficiency of both an electronic (and human) nature.
High net-worth individuals that can afford luxuries such as the above Ferrari are accustomed to more choices than the average Joe. Luxury is about many things, but at its most basic, luxury is about options. The same idea, explained conversely: luxury is about eliminating sacrifice.
Automating a luxury residence requires a design that does both: provide options for controlling the entire home ecosystem, and eliminating sacrifice. For smart luxury brands like Ferrari, Ritz-Carlton and even Integrisys, the best options are the ones that don't sacrifice anything for their clients - including the environment.
Thursday, April 8, 2010
The Best Advertising
For companies and individuals, advertising for 2010 can be summarized in one word: referrals. The wave of social media and instant connectivity means that customers are talking first, last and center to prospects, and vice versa. A client recently asked if his advertising budget looked "about right". It did; but I added: what you spend on talking about yourself is not nearly as important as what others are saying about you.Seems like today's advertising isn't about informing and driving sales, as much as it's about trying to create a 'hook" within the constant barrage of promises and promotion. There's a lot of information out there, and all of us are interested in clarity. Will the product (or service) deliver as promised? The best way to know is through what others are saying - not what the advertiser says.
The call to action today is: Please go online and find out what others say about our stuff. Ads still create interest but the best advertisement for my money: Solid referrals.
The call to action today is: Please go online and find out what others say about our stuff. Ads still create interest but the best advertisement for my money: Solid referrals.
Friday, March 26, 2010
You’ve Made Contact…Now What?
So many of my friends are holding a stack of business cards but still feeling empty-handed. Sound familiar? Here are some ideas on what to do with a networking contact to get the results you need. Specifically, I'd like to share some strategies I've used to create emails that get answers. Networking to the next level requires some clear strategy – especially in this economy.
That’s the subject of your next email, the one you’ve been wanting to send to your newest VIP contact. “Time to Talk?” is open-ended and non-threatening. It could mean, “Do you have time to talk?” Or, “Is there a time when we could talk?” or even, “Look, it’s time to talk!” The response to that question is, under any interpretation:
Question and response. Hmmm.... you just started a dialogue. The objective of your email is to generate interest, and ultimately, a response. I assume you have something you would like to know about? If you are seeking a new opportunity, you need to approach this message with a clear idea in mind. The objective is to secure a conversation to discuss your idea, and that's why you need a "time to talk".
An initial networking contact is a quest for information. So many folks misinterpret Steven Covey, and begin with the end in mind…instead of seeking first to understand, than to be understood. If your opener is, “So, do you want to buy some of my stuff? Are you the decision-maker? [or even worse] Do you have a job? Do you know someone who has a job?” Yikes, Gunga Din. It’s probably not “time to talk”. My magic will not work for you.
Ask a question before its time, and you will get the wrong answer. It takes time to earn the right to advance, and a time to talk is step 1. Have you proven that this company is a good customer, or somewhere that you want to work? Do you know that your contact is the sole decision maker? Even if your answer is “yes”, you still need to confirm that theory. And you need to know that there is interest in you discussing your personal value proposition before you share it. Come to your contact with a demonstrated knowledge of their business or situation, and ask them to confirm/deny or elaborate on a specific idea or theory.
After a brief one sentence introduction about where you met or how you were referred, you want to identify why you are writing. As you define your purpose (seeking information about a particular topic) ask you contact to confirm/deny/or elaborate on your theme – it must be a specific concept that could help his/her business, or a specific question about the processes within the company. (email me if you want some specific ideas) Your topic should demonstrate a specific knowledge of the company, but require clarification from your contact. After all, you have to have something of value for your contact to confirm/deny/elaborate on. Clear details on a specific question will create trust, and establish you as someone who does their homework. Suggest a time to talk, and offer a specific time when you will follow-up. Stick to your plan and follow up when you say you will - if they haven't contacted you first.
Demonstrate a knowledge of your subject and request confirmation in a brief (less than 20 minute!) conversation. Stay on topic, gather the information you need, and take that next step.
“Time to Talk?”
That’s the subject of your next email, the one you’ve been wanting to send to your newest VIP contact. “Time to Talk?” is open-ended and non-threatening. It could mean, “Do you have time to talk?” Or, “Is there a time when we could talk?” or even, “Look, it’s time to talk!” The response to that question is, under any interpretation:
"Talk about what?"
Question and response. Hmmm.... you just started a dialogue. The objective of your email is to generate interest, and ultimately, a response. I assume you have something you would like to know about? If you are seeking a new opportunity, you need to approach this message with a clear idea in mind. The objective is to secure a conversation to discuss your idea, and that's why you need a "time to talk".
“I know a little bit, about a lot of things, but I don’t know enough about you.”
An initial networking contact is a quest for information. So many folks misinterpret Steven Covey, and begin with the end in mind…instead of seeking first to understand, than to be understood. If your opener is, “So, do you want to buy some of my stuff? Are you the decision-maker? [or even worse] Do you have a job? Do you know someone who has a job?” Yikes, Gunga Din. It’s probably not “time to talk”. My magic will not work for you.
Ask a question before its time, and you will get the wrong answer. It takes time to earn the right to advance, and a time to talk is step 1. Have you proven that this company is a good customer, or somewhere that you want to work? Do you know that your contact is the sole decision maker? Even if your answer is “yes”, you still need to confirm that theory. And you need to know that there is interest in you discussing your personal value proposition before you share it. Come to your contact with a demonstrated knowledge of their business or situation, and ask them to confirm/deny or elaborate on a specific idea or theory.
Confirm/Deny/Elaborate
After a brief one sentence introduction about where you met or how you were referred, you want to identify why you are writing. As you define your purpose (seeking information about a particular topic) ask you contact to confirm/deny/or elaborate on your theme – it must be a specific concept that could help his/her business, or a specific question about the processes within the company. (email me if you want some specific ideas) Your topic should demonstrate a specific knowledge of the company, but require clarification from your contact. After all, you have to have something of value for your contact to confirm/deny/elaborate on. Clear details on a specific question will create trust, and establish you as someone who does their homework. Suggest a time to talk, and offer a specific time when you will follow-up. Stick to your plan and follow up when you say you will - if they haven't contacted you first.
Demonstrate a knowledge of your subject and request confirmation in a brief (less than 20 minute!) conversation. Stay on topic, gather the information you need, and take that next step.
Monday, March 15, 2010
Separate Yourself from the Pack
From a recent posting on linkedin: How do you separate yourself from the pack, without being dismissed as a kook or a caricature? Everyone wants to differentiate themselves, and express their own uniqueness. Being true to yourself is the foundation of integrity, and it takes courage to express unique viewpoints within any career path. No matter who you are, being authentic should be everyone's goal...but what can ensure that "authentic individualism" is taken seriously, and not dismissed as "crazy talk"? The line between "prophet" and "village idiot" can be a thin one...I know because I've crossed it a few times!
What separates an individual from the pack begins with personal integrity, and ends with relevance. If ever there was a time in history for new and innovative ways of doing things, that time is now. The economic paradigms have shifted, and we need rugged individuals to step forward with ideas about the future. People who are stuck in yesterday's news may never be able to see the benefits of visionary individualism, and separate themselves from the herd. To these folks, I say: "Good luck". If people like this label you a "kook"...so what? I recommend that you pick your own critics, and comments from the unqualified masses don't really count. Listen to the comments that serve you most, and make sure that your ideas take root in meaningful solutions - for yourself, for your company, for whatever.
Bottom line: The gap betwen kook and visionary is bridged by relevance. Make your ideas matter to the people you care about, and you can never be a caricature. For the unique creative souls that have something valuable to share, relevance is what separates an outcast ...from an iconoclast.
What separates an individual from the pack begins with personal integrity, and ends with relevance. If ever there was a time in history for new and innovative ways of doing things, that time is now. The economic paradigms have shifted, and we need rugged individuals to step forward with ideas about the future. People who are stuck in yesterday's news may never be able to see the benefits of visionary individualism, and separate themselves from the herd. To these folks, I say: "Good luck". If people like this label you a "kook"...so what? I recommend that you pick your own critics, and comments from the unqualified masses don't really count. Listen to the comments that serve you most, and make sure that your ideas take root in meaningful solutions - for yourself, for your company, for whatever.
Bottom line: The gap betwen kook and visionary is bridged by relevance. Make your ideas matter to the people you care about, and you can never be a caricature. For the unique creative souls that have something valuable to share, relevance is what separates an outcast ...from an iconoclast.
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