Making Money the Old Fashioned Way

I talk to hundreds of business owners every year in industries such as recruiting, consulting, advertising, technology, insurance, wealth management, and the like. We all discuss the typical things - the economy, healthcare, the Dallas Cowboys (doesn’t everyone?).  Then we get to how business is doing.

Here are the top five things I hear the most – do any of these sound familiar?

•   “We can’t get enough business in the door.”
•   “If we could just get some qualified leads, we’d be able to close them.”
•   “We have some strong leads in the pipeline, but nothing seems to close.”
•   “Our margins are getting squeezed to the point it doesn’t make sense to win.”
•   “I’m having trouble with my mother-on-law.” (Not really. Just seeing if you’re paying attention.)

Even though we’re starting to see some life come back into the economy, times are still tough. Most people have not been through a down cycle this long, and they’re not sure what they should do to keep their business running. Sure, we had the tech bubble crater along with the Internet meltdown, and, of course, 9/11 brought things to a halt. However, things had gone along so well for so long that some people forgot how to win customers, build relationships and hunt for business.

Here are 5 sure-fire methods that will help you do just that. They're all number one in my book, so I numbered them that way (which is my way of saying the numbering function in blogspot does not work well with spaces, but I digress).  I’m not saying these are a guarantee mind you, but they are sustainable best practices in any economy.

1. Be the Expert. At something. I know someone who is known as “The Recruiter Guy” in the blogging world. Your company, and you, should be known in the industry as the Go-To organization/person for information on the topic. If you’re a wealth management recruiting firm, then start a newsletter and/or blog to share relevant information for wealth managers.
2. Be a Connector. I’m not talking about connecting the dots (even though that’s fun with the kiddos). I’m talking about people. I am a 100% believer you have to connect people you meet with people you know. Not just some of the time, but all of the time. For example, let’s say you meet an IT vendor at a trade show, and you introduce him via email to a consulting firm CEO you know. Here’s a great way to do this:
   

   “Gary, it was a pleasure seeing you at the event last night. It’s always good to connect, and when you mentioned you wanted to meet recruiting firm executives, I naturally thought of John Smith with XYZ Staffing. John is a friend and colleague I’ve known for years, and he’s an expert in the technology staffing arena. His company, XYZ, focuses on all things IT, and they provide IT staff to Fortune 100 and middle market companies in the Southwest region. John, Gary and I met at TechNet 2010, and I was impressed with his IT management services knowledge. He helps companies just like yours with their IT needs. I hope this is a great connection for you both, and regardless, you will have met a new colleague in the industry. Make it a great day, Best Regards, Steve”

3. Be Disciplined. This goes without saying, but how many times have you started a sales campaign only to have it peter out after a week or two? If your strategy is to mail a letter first, then a brochure, then a compelling case study, etc., then by all means do that. If you are supposed to follow up with a phone call introducing yourself to see if they got the information you sent, do that. See a pattern forming? And be sure to document every contact attempt, every result, and every follow-up activity. I know it’s no fun, but it’ll be worth it. And when those alarms go off that you’re supposed to follow-up via an email or phone call, do it, and while you’re there, set up another follow-up task. There is truth to Nike’s tagline “Just Do It,” but it goes further. Just Do It Often and Over and Over and Over.
4. Be Compelling. Buying a car is a beating. It is, and I hate it. They know you want to buy a car, you know they know, and who the heck goes in there to shoot the breeze anyway? You think they’re screwing you somewhere no matter how much research you do, right? But there are those car sales professionals who compel you to buy. They ask the right questions, let you take a test drive, even keep the car over the weekend. They learn what you like, what’s important to you, and they answer any questions you may have. Even the ones you don’t. They might even take out your trash for you, wash the dishes … wow, you’re still with me after this LOOONG blog! The point is this – you have to give a person a reason to buy, paint a picture of value, and how your product/service will benefit them. Then you have to ask for the sale. Don’t forget that, right?
5. Tri-Networking. What the heck does that mean? And no, I didn’t misspell it (“try networking”). I’ve coined a new phrase for networking, because I believe it takes a three-pronged approach to build the right relationships.

• First, you have to network at events and industry organizations where your target customers will be. That’s a no brainer, but typically your competitors will be all over that, too. Go a step further though: sponsor events, speak at meetings, and volunteer to help the organization. It helps.
• Second, attend trade organizations and networking events where your target customers’ vendor partners will be. These companies do business with your customers, and they are not competitors of yours. Take recruiting for instance. Recruiters need CPAs, attorneys, property & casualty agents, health insurance agents, technology vendors, and more. Help them out, refer them to potential customers of yours, and they’ll do this in return.
• Third, attend networking events, trade shows and seminars/meetings where your customers’ customers will be (that’s a mouthful I know). It’s a great way to get referrals once you build a relationship with them.

I know it’s hard to do all this, and even harder to stick to a plan. Keep it simple and stay the course, and good things will follow. Now hop to it.