Standing the Test of Time

Standing

                                                                                                           Article and photo by Michael Pearce

On a visit to southern France recently, I walked to and across the Pont du Gard. It’s a

phenomenal engineering feat built by the Romans around 19 BC that delivered an

estimated 52 million gallons of water to Nîmes every day. And it successfully did so until the

1950’s! As I walked across and thought about its astounding durability I was reminded that,

while we need to innovate and change our sales approach as technology and culture demands, there are still some fundamental “laws of sales” that, like the Pont Du Gard, have stood the test of time.

 

 

A Bit of Interesting History

 
 

The aqueduct was built to channel water from the springs of the Fontaine d'Eure near Uzès to the castellum divisorum (a holding basin) in Nîmes. From there, it was distributed to fountains,baths and private homes around the city. The straight-line distance is only about 12 miles but  the aqueduct takes a 31 mile winding route.

 

The Fontaine d'Eure, at 249 ft. above sea level, is only 56 ft. higher than the basin in Nîmes, but this provided a sufficient gradient to sustain a steady flow of water to the 50,000 inhabitants of the Roman city. The aqueduct's average gradient varies widely along its course, but is as little as 1 in 20,000 in some sections.

 

The reason for the disparity in gradients is that a uniform gradient would have meant that the Pont du Gard would have been unfeasibly high, given the limitations of technology of the time.  One section, required an extraordinary degree of accuracy to allow for a fall of only ¼

of an inch  in 330 ft.

 

The Pont du Gard was constructed largely without the use of mortar or clamps. It contains an estimated 50,400 tons of limestone extracted from a quarry located approximately 2,300 ft. downstream. The builders had the blocks precisely cut, numbered and inscribed with specific locations to fit perfectly together by friction alone.

 

The aqueduct is credited to Augustus’ son-in-law, Marcus Agrippa, the senior magistrate

responsible for the water supply of Rome and its colonies. It is believed to have taken 800 to 1,000 workers about fifteen years to build.

 

How does that connect to sales you ask? The sales laws that follow are every bit as durable as

this extraordinary engineering feat. They deserve to be regularly reviewed. Consider it performing necessary maintenance!

 

• The sale is “closed” when it can be referenced!

 

The times have imposed another change on us. While referrals have always been important, it has traditionally been a more one on one personal issue, but now referrals and references are a matter of public knowledge. It’s rather like throwing a rock in a pool. In the past, the rock just sank, now the ripple effect goes on for a long, long time. Social media has given everyone the ability to seek a “reference” and they do! The truly great know that receiving a purchase order isn’t the end of the sale, it’s merely the beginning. But too many believe the sale is official when the service/product has been delivered. That is still a bit pre-mature to celebrate. The sale that matters most is the sale that meets the customer’s requirements in a way that results in a referencable customer. References matter for more than just future

business and general favorable awareness, they also shorten the sales cycle, which is a

critical element in todays need for high performance and effectiveness. It is said that

80% of all commercial sales occur after the 5th  contact. A meaningful reference can cut  the time and sales expense by nearly 40%! Consider that 76% of all people who get a good personal reference buy.

 

 

• Don’t misinterpret “the customer is always right.” The customer is right

about his desires, perhaps even his requirements. But too often they really don’t know what  they don’t know. The skilled and effective sales person knows and accepts that they have

come to have their salesperson add value to their purchase decision. An example is a

woman at a cosmetics counter - they’ve been applying their cosmetics for years, they

know exactly how they want to look, yet they ask question after question at the counter.

Why? Because the cosmetic sales person is experienced and trained with the latest

products and may have good ideas and greater knowledge. Customers want to be

educated. They want to be shown a better way and have their needs/requirements

refined to take advantage of current products/services and methods. They don’t want to

make a mistake and be “sold” what they asked for, when they could have done better

with some expert input and guidance. They need their sales people to listen, interpret

their comments, then offer a solution that adds value to the transaction. The truly skilled

salespeople know and practice this in every sale.

 

 

• Respect the buyer’s process

. Truly successful sales people know they have a superior  ability to “take the customer out of the market.” In other words, they know that they  have been successful in establishing the trust-bond, and in matching their services/products well with customer’s requirements, so that when the customer buys, they know the customer will buy from them. They accept that they cannot and should not try to materially alter the buyer’s process, for doing so will violate the trust-bond, and likely result in sacrificing margin. Far too often, those in desperate need to meet a quota deadline will offer a concession to win a deal earlier than the customer was prepared to authorize. In many cases the incentive comes in the form of a price reduction. “If I could get a lower price, would you order this month?” It’s a lose/lose question:

o The trust-bond has been broken. The customer now knows he didn’t get the best his sales person could have offered.

o The sales person has sacrificed margin, making the transaction and his company less profitable.

o The customer must do abnormal things to make the sale happen, which he’ll 

resent, but more importantly, he’ll learn from the experience and know exactly

how and when to buy in the future, reducing the value of all future sales as well!

It is much better to manage the pipeline better, spend more time developing prospects

and less time chasing deals that really aren't qualified deals. Developing enough

opportunities in the sales funnel insures the requisite number will materialize, without

adversely impacting the normal and natural course of events with any single customer.

 

•  Value the importance of the trust bond,  for it may equal all of the features and
benefits of any product or service. People buy from people they trust and sales people who add value to the relationship. Notice I didn’t say a person they like, which is important too, but less so than the trust bond. Too many organizations teach their sales people all about the features and benefits of their products/services, but they fail to focus in either their coaching or their measurement standards on this key element of truth—the trust bond matters!

• Form, Feel and Fee.

When people buy, they emotionally rate these three areas every time they purchase. Violating any one of them can often be the reason for a lost sale: 

Form: “Does it meet or exceed my requirements; has he listened to me and  designed a solution that works for us?”

Feel “Does this feel like a person and an organization I’d like to do business with, and do I believe they will deliver as promised?”

Fee “Is it a fair price and within my ability to pay it?”

 

• Be wary of the “yes” that isn’t an order.

The great sales people over time have realized they must learn to be discerning enough to know when they haven't yet  successfully matched their services/products with the customers’ requirements. Too often the customer is unable to “just say no,” so we continue to call on them hoping for a miraculous conversion. And they do occur! But the cost of the sale is nearly always too expensive, especially when you factor in the cost of lost opportunity. Other potential sales may have gone to competitors uncontested, as there was no time available to develop them. Customers can recognize the “yes” that comes from following the path of least resistance versus the path of a disciplined methodology. When the sales manager asks if an account closed and was the order placed, and the answer is, “not yet, but they said they’d like to meet again” we’ve potentially allowed ourselves to fall into the trap of

the “easiest yes.” This can be avoided by setting goals and objectives for each customer

contact that will advance the sale. It may not always go as hoped or expected, but at least

it will be a planned sales call with a defined objective against which we can measure the

success of the call. Avoid the “yes” that does not mean you’ve won the sale, but does

impose additional expensive time, effort and sales cost.

 

 

Additional articles can be found on my website at www.focusedonrevenue.com or my

blog at: http://michaelbpearce.blogspot.com/

If I can serve you or answer any questions, I can be reached at

pearce@focusedonrevenue.com; or on 425-830-4156

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Why Aren't We Marching

Watching a press conference not long ago, The Pres Sec said a particular tyrant had to go because “thousands of people were marching in the street”—is that all it takes? Then why aren’t we marching? Let’s consider Syria: is there really any compelling reason to kill people in Syria; is there really any national interest? Cruise missiles aren’t for “sending a message” as Pres. Obama says he wants to do, that’s what Western Union is for- cruise missiles are for destroying their targets! And let’s not accept the “domino theory” stuff, it’s never been true, wasn’t in Indochina, isn’t now! There is literally no strategic value in interfering in Syria! And what are we saying in effect, we don’t care how they kill ‘em just don’t use gas. Is that the message? Its abhorrent! And are we to decide who will be the winner and who will be the loser in every civil strife that occurs around the world? It’s just not our job, and we are hated around the world for assuming it is – all from the President who told us he would rebuild ourI international relationships and they’ve quite literally never been worse. So we’re now providing arms and training/supporting the rebels, over ½ of which are Al Queda! So we kill ’em sacrificing our precious young people to do it in one country and arm them in another—I ask, why aren’t we marching! And there’s more to say, a lot more than just this short series of questions—this is a fight we don’t have a dog in—we need to be marching!!

Petra- Lessons in Building Competitive Barriers-

We just finished visiting Israel and Jordan. The primary reason to go to Jordan, other than seeing the wonderful city of Amman, was to see Petra, long on my “bucket “list. It turned out to be one of a handful of places in the world that deserves to be on everyone’s “top 5” list. Situated between the Red Sea and the Dead Sea and inhabited since prehistoric times, the rock-cut capital city of the Nabateans, became a major caravan centre for the incense of Arabia, the silks of China and the spices of India. During Hellenistic and Roman times it was a crossroads between Arabia, Egypt and Syria-Phoenicia. Petra is half-built, half-carved into rock and is surrounded by mountains riddled with passages and gorges. The dramatic city, built in the first century AD features rock cut temple/tombs, an amphitheatre, homes, shops and crypts. We approached via a natural winding rocky clef called the Siq. The Siq is the gorge formed by torrents of flood water called the Musa, which the Nabataeans blocked with a dam and channeled to carry drinking water to the city. Once inside, the Siq narrows to little more than 12 feet wide, with walls towering up hundreds of feet on either side. It is a masterpiece of a lost city that has fascinated visitors since its “discovery” early in the 19th century. The most recognizable building, The Khazneh el Faroun, or the Treasury, is an imposing facade standing some 120 feet tall, cut directly from the rock of the mountainside. It is an architectural and sculptural achievement of the highest caliber. As I walked the mile plus through the winding Siq to the city, it occurred to me that this was an exceptional example of how these people built a competitive barrier. It’s an example we should incorporate into our sales efforts, because it is as important to create effective competitive barriers as it is to successfully present what needs to be a winning solution. These barriers can and should include: A Solid Relationship This does not mean to make the prospect a friend. That may happen over time, but it’s a fallacy to believe people buy from people they like. People buy from people they trust who add value to the business relationship. An effective barrier includes reference accounts, customer endorsements and testimonials. Competitive barriers also include a “listening” focus that is legitimate and sufficiently sharp to process the nuances of what the customer is saying. The ability to repeat accurately what the customer thinks he has said, and to design a solution that exceeds his expectations, must be incorporated into a sales professional’s process. An effective sales person contributes edifying ideas and concepts that are new to the customer. This represents value that makes the solution one that exceeds the customer’s requirements and makes it a unique proposal. Recognize the importance of the trust- bond. That is the position reached when the prospect accepts that the salesperson is truly working to develop a solution that will exceed his requirements. Far too often salespeople focus nearly exclusively on the merits of the features and benefits of their product/service, largely because it’s all they are trained to do by their organizations. This key truth cannot and should not be overlooked. It is far more important to have established a relationship based on a differentiated solution that clearly matches the prospects articulated requirements than it is to be “liked.” It leads to the purchase criteria every prospect goes through which includes: Form, Feel and Fee When people buy, they emotionally rate these three areas every time they make a purchase. Violating one of them can often be the reason for a lost sale: Form: “Does it meet or exceed my requirements; has he listened to me and designed a solution that works for us?” Feel: “Does this feel like a person and an organization I’d like to do business with, and do I believe they will deliver as promised?” Fee: “Is it a fair price and within my ability to pay it?” Respecting the buyer’s process. Truly successful sales people know that they have a superior ability to “take the customer out of the market.” They are successful in establishing the trust-bond and in matching their services/products well with a customer’s requirements. When the customer does buy, it will be from the one they trust. They accept that they cannot and should not try to materially alter the buyer’s process, for doing so will violate the trust-bond, and likely result in a number of adverse consequences not the least of which is sacrificing margin. Far too often, those in desperate need to meet a quota deadline will offer a concession to win the deal earlier than the customer was prepared to authorize it. In a great many cases the incentive comes in the form of a price reduction—“if I could get a lower price, would you order this month?” It’s a lose/lose question because: 1. The trust-bond has been broken. The customer now knows he didn’t get the best price his sales person could have offered. 2. The sales person has sacrificed margin, making the transaction and his company less profitable. 3. The customer must do abnormal things to make the sale happen, which he’ll both learn from and resent. It is much more effective to manage the pipeline better, spend more time developing prospects and less time trying to force a deal before its time. Don’t misinterpret “the customer is always right.” The customer is right about his desires, perhaps even his requirements. Often they really don’t know what they don’t know. They have come seeking advice and guidance in their purchase decision. Customers want to be educated, to be shown a better way, to have their needs/requirements refined. They don’t want to make a mistake and be “sold” what they asked for, when they can do better with some expert guidance. Listen, interpret their comments, and then offer a solution that adds value to the transaction. Just like Petra, it’s imperative to build these competitive barriers, while building trust and offering a superior solution. When this is successfully practiced, sales performance dramatically increases!

Masada and what I learned about job descriptions

A Commentary: Masada and Job Descriptions History Sets the Stage While walking around Masada recently, thinking of the events that transpired there, it occurred to me there was a lesson regarding job descriptions in that significant place of history. Masada (Hebrew for fortress) is situated atop an isolated rock cliff at the western end of the Judean Desert, overlooking the Dead Sea. It is a place of gaunt and majestic beauty. On the east the rock falls in a sheer drop of nearly 1500 feet to the edge of the Dead Sea, which is the lowest point on earth, some 1500 feet below sea level. In the west it stands over 300 feet above the surrounding terrain. The natural approaches to the cliff top are very difficult; it’s a long and arduous walk up the paths now in place! According to Josephus Flavius, Herod the Great built the fortress of Masada between 37 and 31 BC. Herod had been made King of Judea by his Roman overlords and was hated by his Jewish subjects. Herod, the master builder, had palace residences in a number of locations for his own personal safety. He furnished this fortress as a refuge for himself. It included a casemate wall around the plateau, huge grain storehouses, large cisterns ingeniously filled with rainwater, barracks, palace residence and an armory. Some 75 years after Herod’s death, at the beginning of the Revolt of the Jews against the Romans in 66 AD, a group of Jewish rebels overcame the Roman garrison of Masada and took it as their own. After the fall of Jerusalem and the destruction of the Temple in 70 AD, the Jewish rebels who resided at Masada were joined by “zealots” and their families who had fled from Jerusalem. With Masada as their base, they raided and harassed the Romans for two years. Then, in 73 AD, the Roman governor Flavius Silva marched against Masada with the Tenth Legion. The Romans established camps at the base of Masada and laid siege to it. Their camps sites, which surrounded it completely, are still very evident today. They then constructed a “road” made up of thousands of tons of stones and beaten earth at the base of the western (lowest) approach. In the spring of the year 74 AD, they moved a battering ram up the ramp and breached the wall of the fortress. Josephus Flavius dramatically recounts the story told him by two surviving women. The defenders numbered almost one thousand men, women and children. Led by Eleazar ben Ya’ir, they decided to burn the fortress and end their own lives, rather than be taken alive. The Zealots cast lots to choose 10 men to kill everyone else. They then chose among themselves the one man who would kill the last remaining survivors. That last Jew then killed himself, not realizing two women had successfully hidden and survived. It’s an astonishing story I learned from our Jewish guide, but as I walked independently around the fortress, I also thought about the Roman soldiers, and that’s where the issue of successful job descriptions occurred to me. I See Many Iterations of Job Descriptions Over time I have surmised that the more detailed and comprehensive job descriptions are, the less effective they are. The more detailed they are, the more they tend to narrowly focus the job expected. Then critically important tasks or unexpected tasks are greeted with, “that’s not part of my job description.” So, many companies have quite successfully adopted much shorter “40,000 feet view” job descriptions. They leave out details that can be used as successful defense for anything asked beyond those included in the description. I find myself encouraging firms to be as strategic as possible in the job descriptions they publish, leaving out all of the “tactical” tasks that can lead to a difference of whether one should do a task requested and whether or not it falls under the exact definition of the job description. It’s the old problem of the theatre unions in New York, where only a certain employee can screw in a light bulb. It seems ridiculous, but employers have been forced to accept these union negotiated terms. As a result they are in a very expensive box. They must hire many more people than tasks require. Think of the Roman Legion. They were told they were marching across a huge desert to eliminate these Jewish “zealots” who were causing them all manner of trouble and were surely not subjecting themselves to Roman rule, so off they marched. But when they arrived, they discovered a fortress that they were unprepared and ill-equipped to attack. So their leaders figured out a way to turn their highly skilled soldiers into rock carriers, building a ramp day after day, requiring literally hundreds of thousands of tons of rock and dirt to get into a position from which they could penetrate the fortress walls with battering rams. Their “job description” surely didn’t include carrying rocks day after day, but it was the task required for the successful conclusion of their mission. So they did it, and they did it well. They didn't object to it, likely because they had no leverage, but there was no job description that excluded the effort required. When compensation plans are aligned correctly with the goals and objectives of the firm, the plans are enough to motivate and direct each employee’s activities. They need leadership, vision and encouragement, but lengthy detailed job descriptions often serve as vehicles employees can use to object to tasks that are out of the ordinary. Why give them a defense for not complying? Wouldn’t it be far better if a salesman who had a critical shipment due out that day, was willing to help solve a problem threatening on-time shipment? The salesman’s willingness to provide assistance with a non-routine effort, may mean the difference between repeat sales with a happy customer and losing money. The answer “not in my job description” doesn’t help the firm, its responsiveness, its customers, nor the salesman’s success. It hurts everyone. I encourage firms to be far more general, using the job description to provide a "path” for normal focus, allowing each employee to be “drafted” for the occasional “road building” project that demands their skills and experience even though it’s not a normal part of their daily routine. Creating fewer artificial fences through a strategic approach to job descriptions will prove far more beneficial to the firm than a carefully crafted detailed (and self-limiting!) job description.