Industry Issues
On Finding New Business...
Check back with us every issue for this new arrival to the "Bottom Line". We'll be featuring three new tips on where to find new business for your company.
"Relationship Referrals"
It's been described as "sales 101" – ask for a referral from prospects and customers. However it is an often overlooked strategy, yet possibly the most powerful lever a sales representative has to grow business. Why does it work? Customers, like most people, will generally respond favorably when asked for help in a sincere manner – try it! "Our company is proud to have your new business and I want to develop other successful customer relationships in this area, can you help me identify other companies that would benefit from our services?" Think of referrals in the broader context. In other words, have your customer consider associated companies, neighboring companies, competitors, suppliers/end-users (i.e. their supply chain); association co-members, etc. Try having your sales representatives make a list of all key customer contacts and from that an extended list that could be developed to identify the referral potential. Make it part of their first quarter objective to contact these "warm" referrals and build out from a strong customer foundation.
"Growth Events Create Sales Opportunities"
Growth events create sales opportunities; it pays to know how to identify and understand a growth event. Companies make announcements every day, make decisions and take actions to drive growth. Growth is defined as anything that benefits the company by increasing size, activity or strategic positioning. Examples of growth events are new product launches, new investments, plant expansions, acquisitions, new hires, etc. Such events are very often promoted in the local and regional media. Having spotted a growth event, it is then time to consider the new sales potential and impacts logically created out of this event. These growth events are important for companies and are a very high priority at the time. As such, the company will funnel resources and focus attention on them. In other words money will be spent. Investigate the company and understand the impact of their growth events and align your company's products and services to the implied need.
"Growth Events to watch for"
Press releases are a great source of information. Companies will announce:
- New contracts recently won. Ask yourself what the company does and if it seems a good fit for your products and services. Next ask yourself what the company will need to fulfill the contract.
- Two widely used press release sites are:
www.businesswire.com
www.prnewswire.com - Moving announcements. Moves create a great deal of demand. Larger premises can imply new recruiting, new construction, new office designs, new technology and equipment, etc.
- New executives hired. New executives can bring new ideas and attitudes toward supplier relations. This may be your chance to get on even footing with a long term incumbent supplier by presenting solutions to the new decision maker.
