The one who mention price first will loose the deal

I have met many hard-working people in my life. Some became successful, while others failed miserably. This lead to the conclusion that your success not only depends on how hard you work, but it is greatly influenced by how well you can negotiate.

Everything in business goes through the process of negotiating. Negotiating requires planning, and you need to know exactly what you want, what you value, and ultimately what you are prepared to trade off.

It reminds me of a song performed by Kenny Rogers, The gambler:

“So I handed him my bottle and he drank down my last swallow.
Then he bummed a cigarette and asked me for a light.
And the night got deathly quiet, and his face lost all expression.
Said, if youre gonna play the game, boy, ya gotta learn to play it right.

You got to know when to hold em, know when to fold em,
Know when to walk away and know when to run.
You never count your money when youre sittin at the table.
Therell be time enough for countin when the dealins done.

Now evry gambler knows that the secret to survivin
Is knowin what to throw away and knowing what to keep.
cause evry hands a winner and evry hands a loser,
And the best that you can hope for is to die in your sleep.”

Contradictory to everything inside you, it is the fearless and tough negotiator who will be able to walk away.

Mention the price when the negotiating is done, there will be time enough for counting when the deal is done.

Will you only be a distant memory?

Business is a lot like politics; once the people cast their vote you are either in or out. The hardest, gut-wrenching thing about people is that you will never know what they will say until they have said it.

You have done all the research, quantified the data into various colourful charts and graphs, and you are now tempted to predict what people will say.
I hate to tell you this, but if I were you I would rather stick my head in the beehive and see what is going on inside.

Good questions lead to good answers, and by asking the target market good questions you can quickly determine if there is a demand for this fantastic new product or service everybody needs so badly.

The most important discipline and skill you will need for this exercise is to provide as much need-to-know information to the potential clients without giving it all away.
There is no copyright protection for ideas, and if you don’t play smart you will see your great invention published before you even completed your market research.

Although there are few things not yet discovered or invented, you might find yourself “inventing the wheel”. If this happens there will be no concrete information at your disposal to determine if it will sell. How will people know they need something they have never seen before?

The risk (sticking your in the beehive) is part of what defines entrepreneurship. Good entrepreneurs do their homework and sell the product. They worry about the rest later. If you have the information at your disposal, the risk is too high, and it is likely to fail, forget about it. But, if there is no information to make sound decisions you have to take your idea to the market and get someone to pay for it.

What really matters is that you commercialise you IDEAS and get them to the market.
Will someone pay for it? I don’t know, and neither will you until you try and sell it. You might end up being the next Bill Gates.

Be twice as good every two years

How new is your business? It takes approximately two years for processing power to double. It makes sense to keep your company up to pace with new technology. Computers’ processing speed and capabilities double every two years. Every two years the rate at which information becomes available also doubles.
Is your business’s capability doubling every two years, or are you falling into a capability gap?

The capability gap is the difference between the amount of information you need to remain competitive and the amount of information you can actually generate.
It is therefore important to develop a plan to improve, and ultimately double the capability of your business. This will not only enable you to do more, but it will also enable you to make more happen and be twice as good as you were two years ago.

Use an annual budget for technological growth, and implement it into a two-year business plan to keep track of it and maintain enough continuity to successfully mange your business.

Survival isn’t optional. You have to close the capability gap. You can accomplish this by acquiring new technology, or investing in reliable technology, or both. Whichever one matters to you makes no difference, as long as it keeps you moving forward... double time.

Sometimes a manager stands alone

As manager of your management function you are held accountable for the attainment of set objectives. When big decisions come across your path you can follow the average path of consensus, or you can stick your head out and make fact based, 100% pure decisions.

When the big decisions break on your shore you will be standing alone. These are the times when conviction counts, and you will have to rely on the facts and the maths to make informed decisions.

The numbers, the facts, your experience and your integrity will be the best tools for making sound decisions. In order for a business to prosper in the current day and age, decisions have to be better than average. They have to perfectly match the circumstances that surround them.

Don’t be tempted to take average decisions. Don’t simply do what is expedient, politically correct, cheap or harmless. Do the right thing.
Let the facts and figures guide you. They are hardly ever wrong.
You might loose the popularity contest, but you will win the market, shareholders and employees favour for a job well done.

Consensus leads to a peaceful environment. Conviction leads to profit and success.

Don’t loose touch with your staff and co-workers

It won’t kill you to get into the front-line every once in a while. Answer some calls, work a few shifts, do the filing and make your own coffee.

Over the course of time many mangers tend to withdraw from the fiery furnace to the sterile, air conditioned comfort of their private offices. For some reason managers tend to get off the train in order to avoid communicating with the staff.

Stay in touch with your people. Don’t drift off into outer space and become a stranger to those around you. As a manager, CEO or director of an organisation it is important that I remind you that the people working with and underneath you actually appreciate seeing you once in a while.

This is especially true during times of change and economic uncertainty. Your people are looking at you for reassurance, peace of mind, inspiration and motivation.
How can you expect people to share your vision if they never see you around?

Being a stranger to your people will lead to a humble fall.

End the casual relationships with your suppliers

During the course of the past twelve months I have read numerous newsletters, articles and blog entries that cover the topic of perfect partnerships. For those of us who do not have the time and money to buy every book that covers this topic and read it, I would like to share with you three things you need to measure to distinguish partners from suppliers.

Upon closer inspection you will notice that large corporations have partnerships, not suppliers as the case would be with most SME’s.
The reason for having partnerships instead of suppliers is simple. Suppliers end up being a pain in the behind.

So, how do you distinguish a suppliers from partnership?

1. Partnerships exceed expectations, and they ultimately live up to the promises they make. Do they live up to the promises they made?


2. Partnerships shows better return on investment. Are you getting your penny’s worth?


3. Partnerships constitute organisational capability. Are you getting the support you deserve from head office?

Casual relationship suppliers tend to:

1. Waste time with lots of meetings.


2. Waste time because of substantial supervision requirements.


3. Waste time on solving internal issues with processes, procedures and policy.


4. Waste time and effort as casual relationships tend to be short-term.


5. Waste time with low-value transactions.


6. Waste time to low referral rates and high termination probability that disrupts your company.

If you want to waste time you should continue your casual relationships with your suppliers.
If you want to develop into a large business you should work at establishing partnerships:

1. Less meetings and more work.


2. Less issues and supervision.


3. Long-term relationship stability. Something that is worth time investment.


4. Big value, high incentive contracts.


5. Automatic growth.


6. No need to terminate the partnership, resulting in low risk.

If you are aiming at becoming big you won’t tolerate casual suppliers. It is either up or out. Put the same effort into selecting your suppliers as you would a life-partner.
In partnerships all parties look out for each other. In casual relationships you will feel like a Friday night one-night-stand.

If the risk is likely to be fatal, forget it

Whenever you need to make an important decision assign a risk factor to it. If the risk is high, the consequences fatal, and it is likely to happen, forget about it.

Everything has a life cycle. Nothing lasts forever, but some things last longer than others. There are various decision-making models you can use to help you make better business decisions. There is a quick and simple way to determine of something is a good or bad idea. Simply ask yourself if this will make sense in the long term. Will this be viable 12 months down the line?

Most businessmen who run large corporations will tell you to try before you buy. First stick a toe in the water before you jump in. The key component with regards to making decisions is to think about the consequences of your decisions.

The figures look great, the plan is in full colour on gloss paper, everyone is dressed in top-dollar suits, but your gut tells you something is not adding up. Trust your gut. Don’t make decisions while you are under pressure. The Chinese have a saying: “Never make a decision on an empty stomach”. Trust me, it is always the things that you didn’t think through properly that cause the most damage. Trust your instinct, it is usually right.

Don’t get sold on the prospect of potential revenue. It takes money to make money. I strongly advise you to study the long-term cost implications of the decision you have to make. Your intentions might be good, but your decision could yield large costs instead of profit over the long term.

It’s who you know that really counts

Successful businesses are glued together by their advisors. Unless you have some divine ability to know everything there is to know in your industry, I strongly recommend that you compile a list of experts and key contacts and nurture them.

It is more often than not the advisors, negotiators and analysts that put the “big” in front of a company’s name. The best available advice is a key ingredient to become a big business. On you way to the top you might not have all the answers. Make sure you know people who know the answers, and secure your way to the top.

Surround yourself with smart people. They have the knowledge that will enable and empower you to become successful. Advice isn’t always cheap, but good advice is priceless. It’s who you know that really counts.

The only thing that might keep you from becoming a star is arrogance and pride. When was the last time you made a good decision without advice from a friend, family member or loved one?

So… sit down, shut up and listen.

Don’t guess what your customers want

Sometimes the best advice is free. The key ingredient to successful market research is to get as close as possible to the customer. With Internet and email it is now possible to get even closer to your clients. If your clients are so “close” to you, why not get them to do some work for you?

Your customer is the most reliable source of information at your disposal, and it is free. “Quality purpose recordings” are used to train personnel; on-line surveys and polls are used to collect valuable information directly from the targeted market.
If you collect information with the intention to improve the quality of your service your clients will certainly not have any problems giving you a piece of their minds.

You cannot get close to the consumer with aggregated data. Making one-to-one contact with a few clients will provide valuable, accurate data that cannot be matched by aggregated data.

If you do not have time to talk to your clients you better make time. You need to get rid of the “average” data and discover the real consumer. If you “make” time for your customers your customers will make more time for your business. In the process of communicating with your clients, your clients become part of the product development process. You will discover new segments and provide products and services that were actually developed by your clients.

Market segmentation – Less is more

Even with the technological advances and vast choice of media at our disposal, the possibility of effectively reaching “everyone” is nothing more than marketing utopia.
Small companies develop into large corporations because they realise that segmentation multiplies opportunities. They also realise that market segmentation is the most efficient and profitable means to better client service.

Unless you want to remain a small, run of the mill business you have to realise that you cannot be all things to all people all of the time. This is especially true in business. You simply do not have the time, energy and money to give every customer everything they want.

Through the process of market segmentation you will group clients together who have similar requirements or behaviour. Once you have set the criteria for your focus groups you can begin to tailor your products and services in a way that will appeal to your focus group, and therefore “attract” the clients you want.

The trick of segmentation is to have more than one market segment. In other words, you need more than one product or service with every product or service aimed at a specific segment of the market. The more segments you have, the more opportunities you will have.

As time goes by you will notice that new segments emerge. You will also notice that your existing segments are living organisms. They constantly change as a result of economic climate changes, advances in technology, political influence, fashion trends and a whole range of internal and external economic factors.

Start growing your business through successful market segmentation and claim a bigger piece of the pie.

Secondary tools of selling

In my previous post I covered the primary tools required for selling to, setting up and maintaining your client data base. Although some salespeople have a natural "feel" for it, sales and marketing is not an art. Many "natural" salespeople make the mistake of thinking that it is not important to keep their client databases, stats and information sheets up to date. Following are a few secondary sales tools you can use to keep record of everything that is developing in your pipeline and maintain customer contact frequency:

Get a personal assistant

As your business grows and begins to put a lot of strain on your time I suggest that you get a personal assistant. Although it is not you who will talk to your clients personally, having a personal assistant will help you to keep the relationships together. It is very important that your personal assistant shares your high appreciation of good client service. Sometimes it ha pens that personal assistants disregard the importance of returning a call. It is important to remeber that the personal assistant can not replace you, and should therefore rather be seen as an additional value add to your sales force.

Develop a proper support system

As a salesperson you will know about all the capabilities and value added features your product offers. However, it is a brilliant idea to have an engineer, system developer, or product designer call an important client to answer the more specific technical questions.
I served in the South African Defence Air force many years ago. In the air force you only have pilots. That is the perception of the general public. Many people asked me if I was I pilot, since I worked for the air force. I always told them that I was not a pilot, but if it wasn't for the majority of the air force personnel, that the pilots would not fly.
The moral of the story is this:
Make sure you are backed by people who know about the technical things. There won't be time to suddenly get a support system in place once the aircraft's engine dies while in flight.

Use your fax machine

Just think about it. Your client receives hundreds, if not thousands, of emails per week. There is a very good chance that your email will not be read by the intended recipient. Most directors and CEO's have personal assistants who screen their messages. Your email might not seem to be important enough, and will most probably be deleted. Sending an sms is very unprofessional, and reeks of mass marketing. It will probably be forgotten and lost between the hundreds of sms messages received by your client. A fax message, on the other hand, is more personal. There is a 99% chance that your message will be read by the intended recipient. Most people will respond quicker to a fax message. If you decide to send faxes you should make sure that your fax messages are not hand written and stand out from the rest. It is also important to confirm receipt of the fax. Sometimes people take faxes out of the fax machine and file them or throw them away. Sometimes I send a fax into space because I got the number wrong.

Some other tools you can use:

If you use these tools smartly and sincerely you can also expect a higher return on investment for your time:

• Personal thank you's.


• Company awards.


• Let them know you read their article in the newspaper.


• Someone got promoted.


• Company won an award.


• Greeting cards.


• Post cards.


• Newsletters and invitations.


• Endorsement letters.


• How to's and helpful hints.


• Industry announcements.


• Specific offers and information matching your client's needs.

Gain business and improve your sales

A step-by-step approach to set up your sales system

We are living in a world filled with new technology, access to the world wide web and a multitude of marketing mediums to choose from. If you are privileged enough to have access to all the latest technology and marketing methods you are truly blessed.
Fortunately it is not a necessity to have access to all the latest and greatest. There are still many businesses who do not have access to this abundance of resources to run their businesses. It doesn't matter if you use a super-computer, laptop, card-box, ring binders or a Rolodex. Any of these methods can be utilized to keep track of your clients and potential clients. Following is a step-by-step guide to set up your selling system, regardless of the technology and resources available to you.

Choose your method of operation

What method will you use to keep track of your clients. The method you use to store data about your clients could include everything from the simplest filing system to complex electronic database systems. Whatever method you decide to use to keep track of your clients is totally dependent on your preference and business requirements (and your budget).
The main focus of your data base system is to keep an up-to-date collection of your actions and to target your clients more effectively. The type of information you store about your clients will depend on the criteria required for proper segmentation. You can use the data you collected about your clients to categorise them as A, B, C or D clients.

The information format

The information format refers to the physical interface you will use to display and present the information you have on your clients. This could be on-screen, on paper, in the form of cards, or printouts made on paper for filing purposes.
Whatever format you decide to use should clearly give an indication of the client's market segment, actions list and ample space for notes. It is also very important to mention the source of the business. You should always know where your client came from.
In my experience I have found that clients are at different stages in the sales cycle, or you could have a step-based sales approach. I suggest making use of three different files. The first would be the master file system where all the client files are stored in alphabetical order. The second file is arranged from January to December. Each month containing action cards, reminders and notes that refer back to the client master file. This will give you an indication of tasks that need to be done for each month of the year. The third file contains the days of the week. Reminder-cards, notes and actions are filed according to the days each task should be performed. The notes and reminders can then be moved between files 2 and 3 to ensure that you maintain contact frequency and feedback. It is a fact that we forget the promises we make, and it is therefore important that you create a system that works for you.

Using your database to sell

Once you have your client database up and running you can use the information you have about your clients and potential clients to start selling. If you use the following direct selling tools you will be very successful as a salesperson:

Personal calls, visits and deliveries

Even today this is still regarded by many to be the most powerful sales tool. This is simply because the majority of clients prefer a face-to-face, personal meeting with the salesperson. This is probably one of the biggest challenges to Internet marketers today. A lot of money is poured into simulation programs and widgets in an attempt to provide the client with a more human, personal interaction with the product or company. The personal call, visit or delivery will also require most of your time, and it is therefore imperative that you develop your personal communication skills to optimise your success rate in this area.

Personal lunches, dinners, breakfasts and coffee meetings

The main advantage of taking a client out for lunch or dinner is that you are meeting them personally, outside their working environment. The atmosphere is usually more relaxed and less formal. People are also very grateful when you pay the restaurant bill. Be courteous to waiters. It is often in restaurants where your true character is revealed.

Invite your clients to functions and events

By inviting your clients to events and functions develop strong relationships. If you are a salesperson who like to go the extra mile, you can even arrange to have the client picked up at his / her home or office. These invitations are especially effective when you want to give special recognition to your client for something he / she has done or accomplished.

Coincidental encounters

As you get to know your clients you will soon get familiar with the places they like to go to, at what clubs they hang out, associations they belong to, etc.
A word of caution: Do not knowingly take a client to a restaurant where one of their competitors go to regularly.

The telephone is the next best thing to being there

The telephone is a powerful marketing tool, but you should make it a rule to never call a client unless you have something important to share.
There are many reasons to call a client, for example:

• To inform a client of an upcoming event.


• To let the client know that you are sending someone over to do business with them.


• Give information that was requested.


• To personally invite someone to an event or meeting.


• To give a quick update on a new product or service you have.


• To update your database with client information.


• To thank the client for their business or a contribution made.

Personally delivering gifts and promotional items

This is the action where you personally visit the client to drop of gifts, promotional items, or provide personal assistance.

This concludes the primary tools that you can use to make your database sell.
In my next post I will reveal a few powerful secondary tools you can utilize to make your database sell.

Understanding the client buying cycle

There are client buying cycles with most products and services. It is important that you have a clear understanding of the client buying cycles, and to be able to identify where you "stand" with your client in order to implement the right sales strategy.

The buying cycle

Initiation point

The initiation point is the point in the client buying cycle where the client begins to think about whether or not to spend his or her money on a specific product or service. The client will become aware of the need to buy a new car, a pair of shoes, or whatever the need might be. This need within the client is not necessarily generated by an advertisement. It is an internal awareness of something that will need to be replaced or updated soon. The buying cycle has been initiated.

invisible development period

This is the point in the client buying cycle where the client starts noticing advertisements, different manufacturers or suppliers of the products and services he / she needs. The client begins to pay particular interest in articles published regarding the product or service. No sales people are currently aware of the client's intention to buy something. Sometimes a friend or family member of the client will let a salesman or woman know that the client is currently in the market to buy a specific product or service. The client is well into the buying cycle at this stage.

Visible development period

At this stage in the client buying cycle the client will start to ask questions about the particular product or service he / she is interested in. The client will ask friends, family and colleagues at work about the products and services in order to get more information to make a decision. The client is very close to buying at this stage.

Maximum visible development period

This is the point in the buying cycle where the client physically walks into a shop or showroom with the intention to purchase. A client who is at this point in the buying cycle is 80% sold. The salesperson will not need to make contact and persuade the client to buy. The client is ready and willing to buy, and a good relationship with the client is not a necessity. Clients who find themselves at the maximum visible development point not only wants to buy the product or service, they also have the ability and desire to do so.

Visible decline

The sale is done and the client goes into a visible decline. The client will still show an interest in the products and services that are available, but the client is happy with his purchase and shares his / her new found excitement with their friends, family and colleagues. Gradually the client's interest in their purchase will fade away as they loose interest in their new purchase.

Rejuvenation or rest period

This is a dormant stage in the client buying cycle. The client doesn't put anymore thought into the product or service he / she purchased. The client might identify a new need for a different product or service.

If you understand buying cycles, and know how to identify where the client is in the buying cycle you will know when to be talking to the client about buying.

Empowering your sales force

If you take a look at the various sales teams within an organisation you will find that there are teams that are not performing at all, and then there are those teams that are just flying. The difference between a sales team who flies and a sales team that falls is usually a result of the sales managers ability to lead, develop and inspire his or her people. The sales meeting is the heart of the driving force of your sales team. The most important thing about a sales meeting is that everyone walks out of that meeting, feeling that something valuable has come out if it. The following few tips will give you a good idea of what you can to make your sales meetings more exciting and productive:

1. Everyone gets a chance

I have read about it in many books, and I have seen it work in practice. Not only in my business, but also in my personal relationships with my friends and my marriage.
Treat someone as if they already reached their full potential, and you will help them become the best they can be. Appoint a different sales person to take charge of the sales meetings. As the sales manager you can cover a few topics and announcements, and then hand the meeting over to the appointed sales person responsible for leading the meeting.

2. A change is as good as a holiday

Some people might not realise it, but part of their frustration and depression at work can be ascribed to the monotonous, automated routines. Some people take a different route to work every once in a while just to break the "auto pilot syndrome".
The same principal applies for sales meetings, especially brain-storming meetings.
By changing the venue regularly you remove people from their pre-programmed routines and ways of thinking. You put them in a different environment, and in the process created a feeling of "we are not at work now" where everyone can give input and contribute to the meeting at hand. As a sales manager you will show the sales team that you really care, and that these meetings are in fact important to you. This Will be at least one meeting a month no one dares to miss.

3. Visit other sales meetings

As a sales manager you have many associates who also conduct sales meetings. With a little practise you might be able to convince one or two of them allow one of your sales people to attend their sales meeting. The main idea is to get ideas from other sale meeting you can use in your own meetings. It is easy to bring back a bag full of negative feedback. if this is the case you missed the point of the whole exercise. Bring back positive ideas you can use in your own sales meetings.

4. Quick tools and tips

At beginning of each sales meeting you should focus on one good "sales tool" or "skill of the week". By doing this you are constantly reinforcing winning principles.

5. "I shopped at the competition"

Get three or four of you sales people to pay a visit to your competitors once a month. To avoid any suspicion you need to rotate the sales people that visit the competition, or at least provide some incentive to strangers to pay a visit to them and give you feedback afterwards. The report or feedback should be focused on the "good things" about the competition. If you can't visit the competition physically you can use the telephone to make a few enquiries. Use the feedback to improve on your own services, and identify areas where you can take advantage of the information you collected.

6. "We got shopped"

As a sales manager you are in an authoritative position. You sales people will always perform their best in your presence, do and say things to impress you. Therefore, it could be a good idea to get someone once in a while to "shop" at your business. You could keep it a secret and not tell your staff about it, or you can "warn" you staff in advance, without telling them who it will be or when "the shopper" will be there.
As the sales manager you can also implement an incentive program for the sales team. The incentive will depend on the performance of one staff member. If "the shopper" feels that the staff member made the grade, everyone in the sales team will get the incentive. If that single staff member fails the test no one will get the incentive.

7. The client's opinion is very important

Get a client to attend one of your sales meeting once in a while. Ask the client for his or her input in the sales meeting. The focus should be on the client's experience, likes, dislikes, suggestions and opportunities he / she identifies.

8. Invite a valued guest

Make a list of valued people you sales people would like to listen to at your sales meetings. The list could include tax specialists, industrial psychologists, motivation speakers, your suppliers, etc. You can also focus on people who have no relevance to your core business. For example: you can invite celebrities, people who have exceptional knowledge and skill in another type of business, government officials, health officials, etc.

9. products and services quiz

Pick a product or service you would like to focus on and compile a list of relevant questions about it. You can then present the product or service to the sales people in the meeting and give them the questionnaire.
You can build an incentive for the level of knowledge about the product / service / concept, the customer's perspective of the product, industry knowledge, sales skills, value added tactics and strategies, etc.

10. Become a VIP

Make sure that you and your team take full advantage of upcoming events. Dress up and become a VIP. Go to business shows, conferences, exhibitions, sport events, entertainment events, book a sports box, go to a premier, etc.
Setup an events board and rotate the responsibility to keep it updated three months in advance.

10. Special days

Setup a board with special dates. These dates include everything from birthdays, wedding anniversaries, business anniversaries, valentines, Halloween, religious days, etc. It doesn't all have to be serious. Perhaps you can get creative and throw in a few of your own. Use this board the same as the VIP events board, and keep it updated at least three months in advance.

11. Brainstorm important topics

Brainstorm with your sales team on important topics they would like to see covered in the next 90 days and prioritize them.
Start your brainstorming tradition with a meeting on setting rules and objectives for meetings. It is always a good idea to have a 'code of conduct for meetings" everyone agrees on. Print a poster and put it on the wall. You can always refer back to the poster to keep your meetings on track.

Gain market share at the bottom of the economic cycle

There is no better time to gain market share than when we are at the bottom of the economic cycle. When I tell this to business owners the first reaction I get is a frown or a twitch. After I explained my statement the frowns quickly turn into smiles of hope.

If you look at your competitors and other fellow businessmen you will find that most of them are negative, demotivated, immobile, depressed, withdrawn, unsure and often in a state of panic.
It is easier to outperform your competitors when they are down and out.

Following is a list of a few things you can do to gain market share during economic down-time:

• Get rid of the excess. Be keen on what you spend your money on and get rid of the extra weight that drags you down in tougher times.


• Get focused on a target group. Cut your marketing costs and focus very strongly on specific segments of you target market.


• Increase your contact frequency. Make more calls an spend more time developing your existing clients (especially the A-list clients).


• Get training. Read books, listen to recordings of successful business coaches and owners and go to exhibitions and seminars. Do everything, read everything and listen to everything you can find in order to get your attitude and skills level up to standard.


• Take some vitamins and exercise regularly. This is a sure way to keep your physical and mental energy levels up.


• Associate yourself with positive, successful, motivated and upbeat people.


• Be more creative in your inventions, and be more aggressive in providing excellent customer service.


• Project a positive attitude and make sure that you have a powerful personal marketing agenda to "be seen".

Taking charge of your own economy

In order for you to take charge of your own economy you first need to get a better understanding of the economic cycles. It is a fact that not all businesses suffer at the bottom of an economic cycle. There are quite a number of businesses that are doing well at the moment (bottom of the economic cycle). Many businesses don't do that well at the top, and that is why there are bankruptcy at the top of an economic cycle. Despite the macro economic conditions that influence the majority of people and organisations, there is also the micro economic cycles or internal market environment that plays it own part and sets the stage. If you are at the top of your own economy (micro environment or internal market environment) you should seriously reconsider before you increase spending or hire new people.
If you are at the bottom of your own economic cycle and everyone around you is showing a great amount of pessimism, you should not be hopeless. The wheel keeps turning and you might soon be going up again.

Take charge - be better than average

If you make a list of all the concerns during a down economy you will find that there is very little (mostly nothing) you can do to change the way things are going at the moment.
You will find stats and indicators everywhere. Thousands of graphs are published everyday that gives an indication of the market averages. Trends that give indications about the general health of your economy or industry. The key words are AVERAGE and TRENDS. When an average is calculated both low and high figures are considered. The average is needed to get an indication of the trend. The fact is that some people are performing above average, while others might be well below average. The key to success is to make sure that you are performing above average.

Don't focus on things you can't change

If you spent less time and energy talking about circumstances beyond any control you will find that there are better uses for your time:

• Stay informed about the global economy, and keep track of things by creating a few charts about the economic trends that affects you or your business.
  


• Keep track off things going on in your industry. Keep a file with information about the "signs of the times". It is always a brilliant idea to know where you are at any given time.
  


• Get into the habit of rating the morale of yourself, your industry, your customers and your business. If you are focused on your surroundings you are also more likely to find more opportunities.
  


• Difficult times and misfortune presents opportunities to find solutions. I do not suggest that you go out an feed on the misfortune of others, but if you are able to find a solution to a public issue everyone will benefit.
  


• Competition is competition. Business should sometimes be visualised as a battleground. I often refer to the SME-graveyard where many brave businessmen and woman put it all to rest. I don't wish my competitors any bad luck, but there were times when it empowered me to see or visualise how they are immobilised and down. Get your team together from time to time and give then a glimpse off the market, how their competitors might be struggling to stay floating, and encourage them to take up arms and return to the battlefield.
  


• Start to look at change differently. There are quite a number of posts in my blog regarding change. I recommend that you take a look at it. Change is something you can't avoid during economic ups and downs. Change is a requirement and it will help you substantially if you can develop a positive attitude towards change.
  

Take a long hard look at how you can maximise your opportunities at all times. Identify those things that are most important to you right now, and what you need to do to obtain it. Don't struggle through down times alone. There is a very good possibility that someone else has been through similar circumstance before you. Ask for advice and use your common sense. There are so many negative circumstances that need a positive solution. Make it your quest to make things easier and finding solutions. Don't add to the growing pile of problems and expect other people to solve the problems. Take charge.

Understanding economic cycles

By definition and experience I believe that most people around the world are by now familiar with the term global recession. What I also assume is that many people heard about the recession, doesn’t really know what it means and therefore looses sleep over something of which they almost certainly have no control.
I am in no way trying to tell you that you should not be concerned about economic cycles. On the contrary, I think it is very important that you are well aware of the global economic cycle and how it will affect you and your business. It is also just as important to know how the economic conditions will not affect you or your business.
It is due to the constant CHANGE in the economy that most people feel uncomfortable, insecure and afraid. If you know how economic cycles work you will understand it better, and hopefully feel better about it. It is normally not the concept of economic cycles that scares people. It is the fear of the unknown and unpredictability of the economy, especially during a recession that causes people to loose vision and hope.

By equipping yourself with knowledge and skills regarding the economic cycles you will enable yourself to ride the waves of even the stormiest economies.
The good news for those who are currently finding themselves at the bottom of the economic cycle is that the cycle is at the bottom, and if it is not already going upwards, it will soon start go better.

Although I have strong interest in the science of economy, I will not attempt to give you a lecture in economy. I am simply going to give you a glimpse of the signs of times during the various stages of the economic cycle.

If we consider the economic cycles and how it applies to everyone today we can identify the following behaviour during the economic cycle:

At the top and going down – We are flying

At the top of an economic cycle society buys and spends at enormous rates. People are overbought and you will see newspaper headlines talking about consumer debt to income ratios that are increasing. Society is over-optimistic and life is just great.
It is a brilliant idea to keep track of these ratios to help you keep track of where you currently are in your economic cycle.

At some stage during the top of the economic cycle you will find that a spending becomes saturated. Society becomes so overbought that they either won’t buy, can’t buy, or simply don’t need to buy anymore.

When people are spending too much and rely primarily on credit to do so, you will find that it is usually the banks that make the first move in cutting off access to credit.
People find themselves in a position where the cash dries up, it becomes nearly impossible to get access to credit and there are talks of rising interest rates on the horizon.

Consumers start to show some concern and start to cut back on spending. Businesses respond to this reduction in spending by reducing production and getting rid of excess stock in their warehouses. Prices begin to slip as companies try to get rid of their inventory, and the “buy one get one free” turns into “buy a car and get a year’s fuel supply for free”. The Services sector has inventory in the form of people, and layoffs begin in order to reduce inventory. Once the layoffs begin we are crossing over into the bottom of the economic cycle.

At the bottom where we feel the heat – life is terrible.

As the layoffs begin people start to show more concern, and those who lost their jobs are in a state of panic. Those who lost their jobs can’t spend anymore. Those who have not lost their jobs also stop spending out of concern that they might be next.
Many of the people who didn’t lose their jobs have to settle for a reduction in their salaries. Car payments and mortgages fall behind. The banks shift their focus away from mortgage originators and start looking for auctioneers to get rid of the properties in possession. Panic sets in as stock markets loose track. Financial indicators has no loyalty to hang on to. Crude oil prices drop significantly and everyone hopes that it won’t get any worse than this. Life is miserable, governments are corrupted, unemployment is at a new record high, and somehow the minister of education hopes for better exam results this year.
There are many economists who reckon that there is more money in the average person’s bank account at the bottom of the economic cycle than there is at the top. This is due to the tendency to save or hold back during tougher times. It is rather the consumer’s confidence that disappears than the cash itself.

The time has come to move in for the kill for those who have learnt to read the signs and exploit the opportunities of a down economy. Employment can be found at low rates as people are desperately looking for work. Property prices are down and everywhere you look there are “for sale” signs. Businesses who are familiar with the economic cycles will now move in to gain market share, and smart money starts to shift around.

Small positive stories begin to surface. There are signs of people beginning to buy again. There is some hiring taking place. Confidence is beginning to look a little bit better. Some more hiring takes place, buying increases and confidence levels begin to rise. We are moving up to the top again.

Crossing over and moving up – Life isn’t that bad after all

We are moving up again. What have learnt from all this suffering?
That it is good to save during good times, so that we have some reserve (smart money) during the tougher times.

Unfortunately life doesn’t work like that. Most people will soon forget about the heartache, concern and panic. As we move upwards, buying increases, prices of goods and services start to rise, salaries increase and society begins to build and improve on their dreams. Large investments and new projects begin as investors realise that the upward trend is for real. Auctioneers are looking at alternative income options while developers, real estate agencies and mortgage brokers begin to rise up from the grave.

More positive news hits the streets and people realise that life isn’t that bad after all.
There is some concern about rising prices, the stock markets are booming, you now have two cell phones and wonder how you ever managed with only one. Business is booming and we are flying. Let’s hire more people…

No economy can stay down. It will rise again. The question you should be asking yourself is this:
What can you do to benefit from the downswing in your economy?

Capitalising on economic cycles

You have the skill, but do you have the boldness to move ahead in a turbulent economy?

There are not many things in life that causes more uncertainty than a global recession. If you have been running your own business for a while you will certainly be aware of the fact that business, in general, consists of many ups and downs.
Although a global recession hits the hardest, because a large group is affected by it, businesses in general are exposed to constant economic cycles.
Whether it is in your industry alone, in the town or city you are operating in, or in your personal finances. There are many "cycles within cycles" that cause constant turbulence, and in the process puts the skill and boldness of every businessman to the test.

My next collection of posts will focus mainly on economic cycles, understanding them better, taking charge of your own economy, how to gain market share in down times, and how to manage your sales team in turbulent times.

You will discover from this series of posts that it is not all related to skill alone, but how bold you are in taking chances, and turning risky situations into viable business opportunities.

Some food for thought: There is nothing wrong to go after a project that you are ready for as long as you have the resources to pull it together and get the job done. If you won't take the chance, who will? In turbulent times everyone is waiting for leaders, entrepreneurs and innovative people to introduce new opportunities that will open the doors to new found wealth.

I am looking forward to read your comments on my posts regarding this topic.

3 Tools for effective leveraging of change

If you followed the posts this week you will realise that change itself is not the goal, but the environment in which you live and work. To get a clear understanding of how people react to change, what causes resistance to change and strategies on how to overcome resistance to change, I strongly recommend that you read the posts I published this week. Today I end my discussion about change by introducing 3 tools you can use to effectively leverage change.

1. Increase communication

During times of change communication is one of the most powerful tools you have in your toolbox. Without effective communication you will be comparable to a construction worker without a power-drill. Within an organisation it works very well to channel all suggestions to a action forum. The action forum will focus on the discovery and bargaining process where the forum can discuss the impact of change on each individual, and identify the potential negative and barriers that need to be crossed. The ultimate goal of the action forum is to find ways to help make the change reality.

2. Try before you buy

It is a good idea to identify a small group of enthusiastic people who are able and willing to run a trial or test to see what the impact of any change will be. The purpose of the trial is to get real people into a real scenario in order to measure real outcomes. This provides a low-cost, reduced-risk snapshot of what will happens. You will certainly not buy a car if you didn't take it for a test-drive. Why will you make the mistake of not testing the impact of change before you implement it?

3. Feedback, analysis and what-if scenarios

Change can not be implemented effectively without continuous feedback, analysis and action. You have to implement methods to monitor and adjust your change strategies as you encounter unplanned variables.
It is easy to create success scenarios and make something work on paper. It is however not so easy to create failure scenarios and make something succeed in reality. What if key-players in your organisation decide to quit? What if you run out of resources halfway through the process of change? What if the market shifts suddenly and your current plans become obsolete?
Donald Trump comes to mind when he said that he can accept defeat, but he hates to be caught by surprise. Get as many people possible to contribute and take part in this, often creative, planning process to think ahead and create various change scenarios.

12 Strategies to reduce resistance to change

This week I am focusing on change, how people react to change, why they react the way they do, and what you can do to reduce and leverage change. I recommend that you read the previous posts on this topic: 7 Truths about people and change, and 5 sources of resistance to change before you read this post.

I hereby introduce 12 strategies for reducing resistance and clearing the way for effective change.

1. Change should not come as a surprise

Careful planning should be done before implementing change. Without a clear plan you will have no measure of influence over change. The main idea behind the plan is to have a clear goal and vision of where you want to go, what you want to become, and how you intend to accomplish it.

As with any form of planning you will need to gather information, a lot of information from lots of people and all the resources you can get your hands on.
During the process of gathering information you will be interacting with the various parties that will be affected by the coming change. By involving the people affected you will gain trust and create expectations for change.

The types of question and information you require will be unique to every situation or need for change. The questions you need answered will be your typical Who?, What?, Where?, When? and How? questions.

I suggest that you compile your list of questions and information required before you move in on those who will be affected by the change, because once you make your move the clock starts ticking, and everyone will be waiting impatiently to see the changes become reality.

2. Get people focused on the future

in order to reduce resistance to change you will need to move the change out behind the curtain and onto the stage. Encourage the people who are affected by the change to participate as partners, and reward them when they do participate or contribute.

It is very important to keep a constant focus on the future outcomes. People need to be reminded constantly about where they are heading. If there is a shift in the anticipated outcome you better not keep it to yourself. By keeping a clear view on the goal you will find that people tend to commit themselves more easily to the change and keep the process moving forward.
As the initiator of change you should ensure that you make the change every body's change.

3. It is impossible to over-communicate

It is often not the content of change that people resist as much as the process of introducing it to them. Human beings are creatures of habit. The more you expose them to the idea of change on various levels, the more likely they will be accepting to the idea of change. By surprising them with change will cause high levels of anxiety and resistance.
Communication is the main ingredient for successful change. Effective communication is required before, during and after change. If you are initiating change within an organisation you can use various channels to communicate. Examples include newsletters, noticeboards, notes on payslips, whiteboards, forums, etc.
If you decided on the communication channels you are going to use, make sure that you provide some form of feedback mechanism. By providing some feedback mechanism you will enable everyone to participate and share their concerns.

4. People are more creative than you think

Most people have the ability to create an anticipated image or expectation about what something will look like, feel like, taste like and sound like long before they have actually experienced it in reality. The human brain, as an organ located inside your skull, does not have the ability to distinguish between what is real and what is not real. The images we create in our minds when are looking forward to something is much more positive than the images and emotions we experience when we are not looking forward to something. If and when you introduce change you could use this parameter to create positive expectations and help those involved to see what the change will look like once it has taken place. You will know you have succeeded when people share the same vision of the outcome, and work hard to ensure that it "looks" like it was expected.

5. The more the merrier

Whether formal or informal, you have to create a support network. Networks act as check points and anxiety relievers. You can make people feel more comfortable by expanding the support network and encourage people to use the support network.
Support comes in various forms, for example managers, co-workers, mentors and motivational coaches, support teams, etc. The more the merrier.
The support networks can also be used as points of influence to promote change.
Who advocates change in your life or organisation?
if you have a large support network you will find it much easier to sell the change to the people affected by it. The change will happen faster and more efficiently.

6. There is no harm in asking for help

You have to know the exact amount of human resources and capital you require to make and sustain the change. Asking for something and not getting it is part of the process. When you get no for an answer you should use the reasons for declined requisitions to prepare for your next requisition. There is no harm in asking for help. You may not get it, but at least you tried.

7. There is power in numbers

You will require a broad base of competitors to carry through with the change. 20% of the participants you started with will not cut it. You need a number of healthy team players, advocates, champions and friends who are unanimous with the change. Once the change gains momentum you should use the power of these people's impetus for longer or broader impact.

8. Identify the barriers and get them out of the way

It is important to always stay on top of things. Follow-up meetings should be viewed as a coaching function. The coaching process involves the identification of personal and work-related barriers, and finding ways to change and address them.
Follow-up meetings can be held on regular, scheduled intervals or when specific stages are reached in the change process.

9. Pay the price for mistakes

Change introduces risk, and where there is risk involved you will make mistakes from time to time. Fear of punishment for mistakes reduces the willingness to take the risks necessary for change to work. Just because the outcomes are not always what you expected, doesn't mean that you, or anyone else for that matter, made the wrong decisions. Failure is often a short-term "hit" for you or your company, and it will lead to long-term incentives for everyone. The only failure would be not to try new and different approaches.

10. Keep things moving forward

As explained in my previous post, change is a force that need to be applied constantly until it becomes the norm. People tend to fall back to the old way of doing something, and positive reinforcement is the force that keeps the change process going in a consistent direction.
Positive reinforcement is any form of motivation that gives recognition to someone for the progress or accomplishments achieved. Public reinforcement or awards should not be restricted to specific outcomes and achievement of goals. When you are running in a marathon, it is the reinforcement of others that convince you that you are already a winner for coming so far, that you are almost there and to keep going.

11. Keep it simple

How do you eat an elephant?
One bite at time.
Complex problems (change) require complex solutions. It is alright to introduce or face complex change. Complex changework will cause an uproar and a lot of resistance if it pushes people too far out of their comfort zones. Complex change should be accomplished a little bit at a time.

12. Be a leader, not a boss

Leadership can easily be seen as the corner stone of effective change.
There are thousands of books written on the topic of leadership, but the main leadership requirements for effective changework includes attitude, analysis and action.
Attitude towards change and innovation starts with the leaders as they set the stage and attempt to energise others. Analysis and feedback of progress toward outcomes keep people motivated and focused. When leaders take the responsibility to take action, the entire group becomes empowered and focused.

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5 Sources of resistance to change

Yesterday I posted an article about how people react when undergoing change. I strongly recommend that you read the previous post first in order to get a clear understanding of how people react to change, before you read this post that focus on why people react to change.

Humans are creatures of habit, and resistance to change might be seen as a form of stupidity. Sometimes change is small and only affects our daily routine, but often change has a major impact on your life and lifestyle. It is mostly our fear for the unknown, combined with negative perceptions and expectations that keep us from exploring new opportunities and possibilities.

Resistance comes from a number of sources:

1. Resistance as a result of fear

The fear of failure is one of the strongest forces that determine human behaviour. The fear of loosing your identity, belonging, control, meaning in life, security, your marriage or your life; of the unknown; and of negative consequences like criticism, rejection and isolation.

2. Resistance as a result of laziness

Some may call it the "comfort zone", others simply call it down right lazy. Lazy people have the tendency to focus on the short term only, and have no vision for the long term. They see the work that needs to be done now, how much work it is, and how much effort it will require to complete the task at hand. Lazy people's perspectives are obscured. They only see the work that needs to be done now, with no clear picture of the future or long term goal.

3. Resistance to change as a result of momentum

Momentum is actually quite the opposite of laziness. Many people invest a lot of time and energy in working towards a future goal. In fact, sometimes too much time and energy is expended in the "old ways".
You can imagine someone driven to move in a certain direction with great anticipation, almost deliberate and aggressively focused. Someone who has gained momentum, picked speed and who is feeling confident and motivated.
Now, all of the sudden this person is required to stop and move in the opposite direction.
This will require a new commitment, realigning with the new vision, sacrificing all the effort, time and energy invested. If you attempt to stop a train that runs full speed at you, and turn it around on its tracks to go the other way, you can't possibly expect to experience no resistance or pain.

4. Resistance to change as a result of past experiences

If you initiate change you should expect that there is someone who either don't trust you, simply don't like you, or someone who has an old score to settle with you. Either way, you will experience resistance. People forgive, but they don't forget. Past experiences, and I'm not referring to the good ones, causes people to resist - actively or passively.

5. Resistance as a result of selfishness

You, me and everyone else on earth have a selfish tendency, often manifested through the "what is in it for me?" syndrome. If we can't see the advantages or benefits we will gain through the change and effort, we either wait the change out or we refuse to participate with enthusiasm. It is therefore the responsibility of the initiator of change to clearly define the incentives and clarify the payoff for every individual involved in the process of change.

In the next post I will focus on strategies that will reduce the resistance of change. I am looking forward to read your comments.

7 Truths about people and change

There is probably not a single person on earth that is not somehow affected by change. We are living in a world of innovation, re-engineering and transformation. Everyone experiences change differently, and everyone reacts differently to change.
Some people thrive on change, while other people find it very painful. Change requires a great deal of flexibility and adaptability, and because of this many will be dragged down, engulfed and perish if they can't manage to adapt to change.

Following are 7 truths about how people behave when undergoing change:

1. People feel awkward and self-conscious

Many believe that the next generation will be more adapted to change, as people who are raised in an ever-changing environment are comfortable with the changes going on around them. They are inspired by it and in a sense, prefer a life that throws constant change at them.
For the majority of us change is scary, painful and unwanted.

2. People firstly consider the sacrifices

In general we are a species that analyse the worst-case scenario. People will first think about what they have to loose in order to gain something else. The challenge we are faced with in any organisation or marketing effort is to overcome these "fears" by painting positive expectations and outcomes that will overcome this natural defensive behaviour.

3. People feel alone

People are afraid of showing their fear and anxiety in an effort to appear strong and confident. By hiding the anxiety and fear, communication is smothered and you will find quite few people pulling on their collars and stiffening their upper lips. During change, when communication is crucial, you will find many people isolated and alone.

4. Everyone has their limits

People can handle only a certain amount of change. One of the keys to successful change is timing. Experiments where done on the administering of change. When change is administered in small dosages, in an effort soften the impact of change over a longer period of time, people showed a downward trend in morale after the second and third dosage of change. It was also found that a lack in trust towards management was much higher.
Companies who had the most success with regards to change were those who made major steps in short time frames and practiced good communication skills. When people know what they are working towards they are willing to take the pain for a little while.

5. Not everyone are equally prepared for change

When the word change is mentioned you will find people who are geared up and ready to go, while others are still anchored to their morning coffee and wondering what the day will bring. When "calculating" the readiness of the people around you, consider the lowest common denominator. It is the laggards that ultimately determine the pace of change, not the people running up front. The harder you push for change the more resistance you will experience in return. By following my blog this week I will reveal how you can speed up the process of change, even for the less enthusiastic.

6. People will never have enough resources

one of the first things you here within an organisation where change is taking place is, "We could do it if we only had more...".
People will always need more resources, even though they are nor utilising the resources they have. If you look around there are many untapped resources. Most of them available, others borrowed, some stolen and others unknown. These are all resources that can be utilised to get through a tough change. You can either make it work, or leave it completely. Unlock hidden resources by asking for people's input on alternative resources. People usually don't volunteer to offer resources, but if asked they often share.

7. Old habits die hard

Change is a temporary force that needs to be applied constantly until the change becomes the norm. if you take the pressure off to early during change you will revert to the old way of doing, and never find your new North.

9 trust-gaining strategies (Part 3 / 3)

This is the final part of the series containing trust-building strategies. I hope that these strategies will help you to develop the skills required to both trust others and getting other people to trust you in return.

7. Be sensitive to others' needs

It is important to realise that you might not be the only person who works hard, get tired and experience the everyday pressures. There are people around you who also go through these emotions and experiences. I am not asking you to pity those around you, but I can assure you that everyone, including yourself, needs some understanding and sympathy from time to time.
To in order to establish strong trust you have to show awareness of, and sensitivity to the needs of the people you work with, do business with, and those you share your life with.
Relate to others in their circumstances, not yours, and you will experience reciprocal understanding for the things you are going through and experiencing.

8. Respect the opinions of others

Two people are staring at moon. The one can see the moon clearly without any obstacles that could ruin the view. The other person is looking at the very same moon, but through the leaves of a tree, slightly obscuring the view.
Both of these people are looking at the same moon, only from different perspectives.
You have to learn to respect other people's views and opinions. The main focus here is to show respect and to cultivate an attitude of diversity.
Don't allow your low self-esteem to diffuse other people's creativity, ideas, perceptions and opinions. Form your opinions about other people by spending time with them and getting to know them better. It is impossible to make objective decisions about someone based on some gossip you heard.

9. Empower people to take action

Everyone knows the age-old saying: "You can bring a horse to the water, but you can't make it drink". The logic behind this is that people have to empower themselves to act. You can assist them to take action by providing an environment where it is all right to make mistakes, to take risks and complete what you have started. If people do not experience the freedom to act, the will not be able to empower themselves to take action. It is ok to trust your senses, but keep an eye on your brain. A world without trust is a world full of lawyers and prosecutors. All control-freaks loose control sooner or later, and often find themselves in an empty world where there is no trust.

9 trust-gaining strategies (Part2 / 3)

Yesterday I published the first of three entries that focus on strategies that gain trust. Today I continue with the next three strategies that I consider to be important in order to gain trust. I realise that the things that are important to me might not be important to you, but I sincerely hope and believe that you will find at least one strategy that "speaks" to you.

4. Show some loyalty to everyone

Loyalty reaches beyond, but not excluding, your colleagues and clients. It goes back to the roots of family life, and in a sense refers to the glue that keeps family together. We often laugh at the idea that we can not choose family, and that family stick together no matter how big the fight or the mess you made.

The reality is that fights will occur. Disagreements are something we can not avoid. They will cross your path for certain. The important thing to remember here is that you have to keep the fight inside the team (family). You don't put your problems, differences and dirty laundry out on display for all to see.
Show some loyalty. We are often presented with the opportunity to agree with someone about a fellow-worker or team member's distorted ways. When was the last time you defended another person who couldn't defend him / herself in his / her absence?

Bad-mouthing someone behind their back will cause the person you are talking about to find out about it, and they will certainly not trust you. The person you are sharing the conversation with will also doubt you, because the assumption will be made that you probably bad-mouth everyone behind their backs. Show some loyalty and stick up for fellow-workers, friends and family.

5. Take responsibility

How often do we point fingers when something goes wrong? Pointing fingers destroys trust. By taking responsibility for things, even if you are not a manager or team leader, builds trust and loyalty. It brings down the walls of crossed arms that point fingers in all direction. Perhaps this is one of the main reasons that governments across the world is no longer trusted.
Who will be willing and able to exercise their right to speak freely and share new ideas if there is a ton of bricks that will come down on them when they open their mouths?
Be a stand up and accountable person. You will gain much more trust if you have an attitude that says "this is our mistake. Lets learn from it and move on".

6. Give credit to others

"Nothing is ever yours until you give it away" - Albert Einstein

In most things I accomplish there are more people involved than just myself. It only makes sense to me to be generous with what you have done. Yes, maybe it was your idea to do it in the first place, but it involved other people. People who made it possible to realise your dream, concept or idea.
By scooping up all the credit you have accomplished to loose people's trust in you. If you have sincerely shared the credit with everyone who stood by you, and made it possible to accomplish your goals, you have cultivated trust.

The gain in trust lies not only in your ability to give sincere credit to others, but also in your ability to share. Don't take credit that belongs to someone else. Take credit only for the things you have actually done, and share the spotlight with others. There is nothing more aggravating than to see how someone else takes the trophy for the work you have done.

9 trust-gaining strategies (Part1 / 3)

Trust is something that is gained through hard work over a long period of time. It can be broken in a wink of an eye, and broken trust will leave you on a long and lonely road to recovery. It is therefore best to keep trust in tact, and not allow it to be broken.
Most of us is far from perfect, and at some stage in our lives we will be guilty of breaking someones trust. When you find yourself guilty of breaking someones trust you have to acknowledge your mistake, explain it, apologise and pledge to do everything in your power to prevent it from happening ever again.
I have put together 9 strategies to gain trust, and divided it up into 3 parts. These 9 strategies represent the building blocks and requirements for building trust:

1. Have clear goals

Always be clear on where you are going and you will not be overwhelmed by confusion. If the people around you can not clearly identify what your goal and purpose is they are most likely going to doubt you and find it difficult to trust you.
Without a clear vision and set of goals you will leave those around you disillusioned and bewildered.

2. Become an honest, fair and willing listener

This is an interesting concept that helps you to gain trust in other people. If you are open, willing and honest when you listen to someone else, you are more likely to trust the person talking to you.
It is a scientific fact that your attitude towards someone else is reflected back to you through their attitude towards you. People mirror the emotions sent out to them, and it is therefore important that you do your best to trust someone else first.
If you do not trust someone else, there is a strong possibility that you are also not trusted.
Encourage people to discuss their concerns with you, and make sure that your door is always open to people who need to talk to you.
Share your knowledge and keep clear of power-play. People in general, especially the new generation is known for their lack of trust in authoritative figures.
Powerful, intelligent people in authoritative positions can cause those around them to feel insecure and inferior. To gain trust you need to loosen your grip of power and start to listen with an honest, willing and fair hart.

3. Stop being so indecisive

Making decisions without a clear course of action on how you are gong to execute these decisions is very frustrating draining on those around you.
I am a firm believer that it is better to do something than doing nothing. It is therefore better to make bad decisions with a clear course of action than to make no decisions at all. If you want to gain trust you should stop being so indecisive. Make decisions and execute them.

Create a customer BUZZ!

5 Reasons why you should focus on product development

Creating a customer buzz is all about creating NEW products. Most companies take an existing product, change the shape, size and colour, make it more stylish, and then attempt to sell it to their clients as a new product.

Differentiation is a key-factor in various aspects of marketing. If you want to be different from your competitors you should focus on the development of products that will get your customers excited. Avoid the mistake of becoming a company that starts with one idea and finishes with the same idea everyone else has.

You have to master the art of creating and developing new products, and here are 5 reasons why you should:

1. It keeps your customers excited

Customers get excited when a steady stream of new products find its way to the market. Nothing gets customers in a better buying mood than the excitement of a whole new product range.

What can I do to get customers excited if I don't have the ability or resources to invent new products?

The main ingredient required is a little creativity. There are many businesses who spend a lot of time, money, and energy in finding new clients. It is in my opinion just as important to retain clients as it will be to find new clients. It is proven that it is more expensive (approxamately 5 times more expensive) to gain a new client than to retain a client.

Sometimes an improvement in the quality of client service will get clients just as excited as a new product or service. So, if you can't afford developing new products and services it might be a good idea to find areas in your business where you can improve and get your clients excited.

2. It gives your clients a reason to stick around

The slightest hint or promise of the newest, latest and greatest creates a customer buzz. Your clients will stick around in anticipation, waiting to see what you offer next.

Communicating with your clients on a regular basis is an important aspect of this exercise. Communicate with your clients in person, in letters, in faxes, in emails, through your website, with brief newsletters, etc.
As long as your communications are solicited you don't have to worry, you can’t over-communicate with your customers.

I always encourage my sales executives to make sure that they never contact a client unless they have something worth wile to share with the clients. The purpose of your contact should be to add value each time you interact with your client.

It is important to have your clients stick around, because real profits come from repeat business. You want a constant stream of sales, repeat business, clients who stick around.

3. They will buy from you as long as you have what they want

It is a well known fact that people's needs change over time. As long as you can succeed in providing products and services (new ones) that satisfy their needs they will stick around.
The main requirement for you would be to keep a pulse on what is going on around you, the latest local and international market trends, and advances in technology that could give you the leading edge.

Always keep in mind that the customer is the boss, and if the boss is not happy you are fired.
In fact, if the customer is not happy everyone in your company is fired. If your customer can't find what he wants he will spend his money elsewhere. Give the customer what he wants and you will have a long relationship and employment. The only people who will benefit from your unhappy clients are your competitors.

If you don't know how your customers are feeling about the quality of your products and services, ask them. Send a survey to your clients once in while and take action to rectify any serious problems.

4. It creates customer loyalty

There will always be clients who want to be the first to try, and those who want to be the first to follow. Your constant introduction of new products creates an expectation that has a compounding effect on customer behaviour. So, retain your customers' interest with a steady stream of new and innovative products and services.

An important factor that influences customer loyalty is whether or not your customers receive exactly what they paid for. Don't develop products and services simply to get your customers to enter your door. The disappointment of a client who didn't get what he expected and paid for will do great dammage to your business's reputation.

5. It sends a message to your competitors

By introducing new products you will be sending a clear message across to your competitors.
Yes, it won't be long before they take your products and service, change the shape and size, and sell it to their clients as a new product. It will also not be long before you are recognised as a market leader, and your competitors recognise you as a trend setter.
Your competitors will receive a clear message that you are here to stay and that you mean business.