Thursday, October 7, 2010

...ahhh, the joy of a salesman...

If you stop any sales person on the street and ask them if they are good at what they do, chances are, they will all say “yes!”

But ask their manager, marketing department, customer service area, human resources department (or any other function of the firm), and chances are the answer is “no.” The difference in defining sales competence is a matter of perspective.

So what is ..."sales?"  A competent sales person has the ability to move into any organization and gain the trust of the decision-makers. They work to create a situation where buying can occur within an ethical environment at a fair price. They have the knowledge to speak to a CEO, the front-line manager, or the newest employee about what issues and challenges they face. Most of all they strive to increase their knowledge, skill, and motivation so they can be the best at what they do.

Well I personally think that "sales" is actually the wrong term for the profession. It's really about 'service.'  Customer service is one area where small companies can outshine their competitors and cultivate intense loyalty among regular customers. But exceptional customer service goes beyond mere politeness into nuanced relationship building.

Why are customer relations so important, particularly for small companies?

Service is a real differentiator, no matter the size of the organization. Small companies particularly need to differentiate themselves because they don't have the advertising and exposure that larger firms do. One of the best ways to differentiate in your relationships with customers is to focus more on listening than on talking.

Companies sometimes are so anxious to sell their services that they do way too much talking. The only way you can meet or exceed customer needs is really listening—not just to what they're telling you, but to get beyond that and understand their unstated needs. Once you do that, not only will you have a better connection, you'll be able to exceed their expectations.

When people feel listened to, valued, and important to a company, it's rare. That's because great service and effective communication are more than a set of skills. It's a mind-set of respect and accountability where you do what you say you're going to do for the customer. If every associate in your firm models that mind-set, you'll create a great experience for everyone.

Is excellent customer service really that rare?

Yes, it really is. Despite the fact that many companies tout their focus on service in advertising, the research shows that overall customer satisfaction is declining. A global benchmarking study looked at showed a reduction in customer service satisfaction from 82% to 68% in the last year alone. Additional studies show that 68% of customers leave a business relationship because of a perceived attitude of indifference on the part of the company. It's not that the associates are actually indifferent—it's the perception that they are.

So a customer may get what she needs from the company, but if it was delivered with indifference, that interaction still won't leave a positive impression. Similarly, 63% of consumers said the last time they stopped doing business with a company it was partly or wholly due to a poor customer service experience. Another very similar study showed that two out of three consumers said they'd stop buying from a company if they had just one bad customer service experience.

Those are dramatic numbers. What accounts for them?

One factor is that customers are not as easily satisfied as they used to be. They have much higher expectations for service as they face far greater demands in their own lives. Another factor is that companies themselves aren't quite sure how to deliver great service. They think they're doing enough by talking about it in a company policy manual or telling their associates to do it. But you can't just put it in a document and assume it's going to get done.

What constitutes excellent service—how do you measure it?

Customers want to feel they have a relationship with a firm. They want to make a connection and feel important. If a customer brings up a complaint, how is it handled? Is your company representative spouting information, citing policies and procedures—or is he genuinely interested in helping? Just listening to a complaint, instead of cutting it off, will increase the chances of maintaining that customer's loyalty.

Some entrepreneurs don't realize they need to make connections with their clients, and that they need to do that with courtesy, empathy, and professionalism. The poor "salesperson" just tries to stay ahead of the sales "quota" ....and service is the name of the game!



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