In bullet point format, here are eight unforgivable sins committed by people in trying to gain and maintain customers. Etch them onto your memory.

1    Looking for a “quick fix” to close more sales.

Sales aren’t closed: they’re opened.

Solution: You must learn how to open the sale, how to build rapport with your prospective customer and develop an understanding of their business or of their lifestyle first.

Only when you have some understanding of where they’re coming from can you even hope to advocate a solution that they will be interested in.

2.   Deceptive prospecting / marketing tactics.

Don’t deceive people with your advertising or prospecting message. (Don’t sound like a bad network marketer, either!).

Solution: Before you call a potential new buyer, consider what their reaction to your call might be. Better still, turn it around and ask yourself how you would react if you were called with this message.

People are busy today, so calling to ask if you can drop by for a chat or to talk about a mystery is pointless.

Why should someone give up their time unless they believe you can do something for them? This is called “intrusion marketing” and is generally resented.

3.   Not correctly identifying prospects.

Don’t bother selling to folk who don’t need what you sell.

Solution: Develop a buyer profile; know who is likely to want what you sell and what their buying process is. Identify the key person or people and look to provide answers to their wants and needs. If you can’t reach the key person, whomever you can reach has to become your ally or advocate.

Talk in their terms!

4.   Focusing on the product not the customer.

What they’re buying is the sizzle not the sausage.

Solution: Learn to talk about benefits and what that benefit will do to ease their pain or solve their problem. Talk about how it will make or save them money. To do this you must be able to relate how each aspect of everything you sell benefits the customer. If people quickly grasp the idea and benefits of your business, it’s considered to be infectious. Do people nod knowingly as you describe your company’s products or services, or do they look puzzled and quickly excuse themselves? If it’s the latter, you’re not selling benefits.

5. Talking, not listening.

How can you listen when you’re talking?

Solution: You must learn to ask questions – use open, closed and “tell me about …” to gather information and look for pain! Otherwise you’re trying to “convince” – who wants to be convinced? Guaranteed to get claw backs. Essentially you’re getting into a struggle with the customer and this is a struggle you’ll never win.

6. Ignoring the customer once the sale is made.

Forgetting service, and back-end business opportunities. (Back-end business is the business you generate from a client after you’ve made the first sale to them.)

Solution: You must understand the lifetime value of a customer.

7. Ignoring testimonials and referrals.

In other words, always using cold prospecting techniques to find new clients.

Solution: Develop “warm” enquiries and leads. New business can come from a variety of sources:

·         Cold calls

·         Advertising including Direct Mail and the Internet – you have a website, don’t you?

·         Loose reference groups like the school P&F, family, friends

·         Tight reference groups such as referral clubs and business associations

·         Develop a referral strategy for your business such as get one free after paying for five. Offer customers entry into prize draws for referring new customers. I heard about a hairdresser who buys you dinner at the Hilton for introducing just five new clients.

8. Vendor apathy.

Vendor apathy is when the supplier doesn’t care. It’s when your staff don’t understand that gaining and maintaining customers is everyone’s job.

When a potential buyer calls but you don’t call back.

Solution: Create and maintain a “customer first” culture in your business. Teach your staff the absolute importance of each prospect. Teach them how much it costs to open the doors and to advertise. Most don’t know. It’s just a job…

Explain just how important the customer focus attitude really is. Provide them with a reason; an incentive based on retention.

Let me make another relevant observation. I frequently see businesses spend huge sums of money on marketing – brochures, adverts, direct mail etc – because their belief is that if they increase their enquiry rate, they will make more sales.

That’s only valid if their salespeople are capable of converting those enquiries into business.

Before you spend money on marketing in the attempt to gain more sales, consider how many sales opportunities you’ll miss if your staff can’t convert the extra leads you generate into business. Wouldn’t you be better to invest in some quality training to make sure you significantly improve your conversion rate?