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Economic Uncertainty – A Sales Opportunity for the Taking
We are being bombarded with uncertain news
about the economy; some experts say we are going into a
recession and other say we are not. We all know about
the problems in the sub-prime lend market and the repercussions
that are driving some key indicators into the negative, while
not affecting others.
We have faced uncertain times before. We
have seen growth of outsourcing, overseas competitors’ penetration of
our markets, commodity pricing and our customers changing their
purchasing process. Successful manufacturers have always adapted
to these changes and prospered – the current situation is no
different. Take the time to analyze your marketing and sales
strategies and adjust them to stay on the right track.
So, what are the steps you should be taking to
address this challenge?
- Audit your marketing plan to ensure that it
is appropriate for today’s market. A marketing audit will focus
your efforts and get rid of unproductive activities, thus reducing
your marketing expenses and giving you “more bang for your buck”.
An audit will answer the following questions:
- Is your Marketing Strategy appropriate
for today’s conditions?
- Are your Marketing Tactics cost
effective?
- Is your Marketing Mix optimized?
- Is your company positioned properly in
the market?
- Is your Marketing Message targeted to
the right market?
- Audit your sales strategy to ensure that
your sales force is focused on developing new business and not
just order-taking.
a.
Are they focusing on prospects that match the profile of
customers who give you 80% of your profits?
b. Are they paying attention to your current customers? Research
has shown that 2/3 of your lost customers
leave because they did not
feel valued as your customer.
c.
Are they calling on lost customers? These buyers are 5
times more likely to buy from you than a new
prospect. Studies show
2-10%
of these inactive customers will buy if you only contact them.
d. Are your sales representatives tenacious? Research by the the
National Sales Executive Association shows
that
80% of all sales occur
between the fifth trough twelfth contact and only 20%
of sales occur between the
first through the fourth contact.
3. Audit your Customer
Service..
Is it responsive and effective? Since you spend thousands of
dollars to attract your
customers, you must ensure that they
are being treated well. If they
are, they will recommend your company to
others, resulting in
more sales. If they are not: not only will they will not buy, and not return, they will also
tell at
least 10 other people of
their negative experience.
Therefore your audit must ask:
a. Are they being treated well?
b. Do your personnel have a positive, customer-focused attitude?
c. Do they have the information needed to do their job?
d. Is each and every customer receiving the quality of service you
promised?
By taking these steps, you will be strengthening your
company’s ability to compete in any economic environment and to thrive
regardless of whether the economy grows, slows or stays the same.
This article is the
second of
the Marketing Profit Hunt series –
Surviving and prospering
during the economic downturn.
Copyright ©2009
by Ken Wilson All rights
reserved
About the
Author - Ken Wilson, CMC, is
the CEO of the Wilson Marketing Group, Inc.,
a firm specializing in strategy and tactics for
business-to-business, manufacturing and industrial
firms.
Ken would be happy to answer your questions by e-mail
at kwwilson@wmg-mn.com or by phone at
763.476.2216.
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