The Sales Coach eNewsletter

June 7 2005 Issue No. 58

Maximum Potential

by Dennis McMahon and Narelle Stratford

When you maximise database opportunities

Hi again [firstname],

In our constant efforts to improve our business (and in the process, yours), we recently attended a Jay Abraham seminar in Brisbane.

The presentation was interesting enough, simply for the process that Jay and his team used to promote his Boot Camp Marketing Workshop, however, some of the most striking ideas that we got from that presentation were to look within our own business for Overlooked Opportunities.

So, we decided to focus on this to help you find your overlooked opportunities that could increase your business revenues.

Overlooked opportunities

What opportunities have you missed, in the course of running your business?  There are general opportunities that I think everyone has missed out on:  not following up after meeting someone, not returning phone calls, not saying or doing the right thing when someone complains; and then there are specific opportunities that could mean loss of extra revenue for your business.

Think of your database.  Throughout your career, you have spent an enormous amount of time, building your database.  Every call you made, every ad you wrote, every door you knocked on, every business card you collected - all of that means time, money and energy you've spent in building your database.

Have you considered how you could leverage your database so that it makes more money for you.  For example, how big is your database of people whom you know and who know you? What else do those prospective clients or customers purchase, besides what they buy from you?  

When you last bought a computer, did that make you just a computer buyer?  Of course not - in terms of your consumerism, you are so much more. You have needs and wants for thousands of goods and services at all times of your life.

You're not a mono-consumer!

And just as you aren't only a buyer of computers, cars or milk, the people on your database aren't only buyers of your goods or services.  They have plenty of other needs and wants that maybe you can't help them with directly - but you can assist them by referring them to people you know, who can meet those needs.  This is known as structuring deals, and joint venturing.

Many business people have developed the practice of joint ventures, in order to target allied needs of the consumer.  Joint ventures can provide double the exposure for marketing, as two or more databases are marketed to, and this can increase sales for each of the companies involved.

What You Can't Do!

Because of common courtesy and Privacy Laws (that now apply in many countries), make sure you maintain the confidential details supplied to you, unless you have specifically asked for and received permission from your database of contacts, to provide another business with contact details.

Who can you joint venture with?

In order to decide who to joint venture with, think about the needs of your customers or clients. What else do they need besides your product?  Is there an allied product or service that would match well with yours?  For example:

• If it's a mortgage, do clients need a solicitor or conveyancing?

• If it's a computer, do clients need software?  Printing consumables?

• If it's a marketing programme, do clients need a business coach?  

• If it's real estate, do they clients a mortgage broker?

• If it's hair products, do clients need beauty care?

• If you have a customer of any description, do they need books on the subject?

Who do You know? 

What business people and businesses do you know in your area, that could provide allied goods and services without competing in your space and taking your dollars away?  The idea is to create a win-win situation for you, your client and the business you promote or sponsor.

Here's what you can do.  Make a list of the needs of your customers and match them up with the following:

1. Products and services

2. Suppliers / businesses that have the products and services that your customers and clients need.

Wheeling and Dealing!

When you have completed your lists, think about and then decide on your negotiating strategy that can increase your revenues, by leverage of your database, and then tap into those overlooked opportunities. Which would you prefer?

• A flat percentage of sales because of your referrals
  

• Goods and services in kind (barter)
  

• Swapping of leads (all companies involved must actively seek and gain permission from database contacts and be able to demonstrate proof of that permission, should it be required.) 
  

• Cross-promotions (you promote mine and I'll promote yours)
  

• Packaging (when I sell mine, I'll include one or more of yours and vice versa)

Then approach those suppliers to ask if they would like to have their goods and services promoted to your contacts.  Negotiate your terms to the best of your ability.  (Seek help from Sales Champions if you need it - we are available for consulting.)  

Decide on your implementation and marketing strategy and go to it!

Track Results

Part of your effective strategy for generating these additional revenue streams is to be able to monitor the sales.

If you are promoting online, you could tap into suppliers with affiliate programmes. These make the job of tracking so simple.

Otherwise, have a special offer only available from you so your contacts go through you initially. 

Think Broad / Think Deep

You will find enormous possibilities opening up for you when you start this process. 

Always remember - keep your mind on the your core business and an eye on the opportunities!

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