Increasing Sales May Not be Related to Selling
Polarity – By Steve Patti – February 6, 2009
This post is going to raise an interesting point that has been alluded to by recent marketing authors such as Dave Evans in publications, but is probably not being trumpeted loud enough across all marketing circles: falling sales may not be a sales problem after all — it might be something else.
We had an interesting meeting with a very cool company in San Antonio called Salesby5. Founder Erik Darmstetter is a maniac when it comes to doing the right things in the right order to be successful in selling. During our conversation we reflected on how/why companies often end up in the situation of declining sales:
(1) Macro-economic events (national or global)
(2) Micro-economic events (contained to an industry)
(3) Company-specific (within the control of the client)
It’s the third situation where it’s easy to assume that the culprit is poor sales management or sales execution. Clearly, that’s where Salesby5 is able to help the client with a “get well” program to restore their sales focus/edge. However, we raised another potential cause — the company has lost its competitive position such that it is now impossible for any sales force to sell its brand/products. The problem being upstream from the actual sales force, and rooted in the “wheels coming off the wagon” with regards to the operational excellence needed to actually make the sales job easier. Even Zig Ziglar (member of my former church) can’t sell a poor product that is priced too high and sold through the wrong channels.
If we step back and consider where “all things sales” fit into a company’s business plan — sales is just one part of the marketing mix (remember the 4P’s?) Simply put, I don’t know if any really good agency or marketing consultant ever solves a selling problem — rather, we solve brand, product, execution, communications, and customer service problems — and these (in turn) help improve sales results. Essentially, I’m suggesting that increasing sales results may actually be the result of fixing OTHER PARTS OF THE COMPANY so that customers actually want to buy from you. If the brand is well-respected, the product is excellent, the execution is flawless, the communications are targeted/timely/relevant, and the customer service is attentive — how could someone NOT buy from a brand?
OK, so where am I going with this? Am I saying good sales organization, training, and consultative selling is not important? Of course not — I’m saying that it’s just not enough to change the tide of declining sales if the real problem lies elsewhere.
Need an example? Despite a global economic meltdown, Ferrari remains the only car manufacturer in the world with a two year waiting list and record profits.
We submit to you the idea that for any company to truly experience a sustainable increase in sales results, they must reshape their brand experience to be worthy of the customer’s attention span and share of wallet. They must become intentional about courting their customers and “walking the walk” of so-called relationship marketing. They must realize that no amount of price discounting or sales pep talks can repair a damaged brand, indifferent customer service, shotty execution, or interruption communications. In short, the company must re-invent and re-invigorate itself such that inspiring a sales force is even possible — because the sales force actually BELIEVES the organization behind them can deliver on the brand promise.
What’s this mean for ad agencies and marketing consultants “on the hook” for help their clients increase sales? You better be looking outside of the client’s marketing department for your answers.
Think about it.