I am convinced - there isn't anything wrong with the economy!

Last month I had to conduct four Sales Training Programs. After interacting with salespeople and studying different perspectives towards the same product, market, situations, economies, I am convinced beyond doubt that business is never good or bad out there in the marketplace. Business is good or bad between your ears. That is the only thing that matters.

The economy is falling.


The economy is falling.

It must be true. It’s all over the news. The economy is in BIG trouble. Stocks, mortgages, banks, insurance companies, manufacturing companies, any company. All falling or failing?

Falling from where? The biggest economic boom of all time? The biggest housing boom of all time? The easiest loan requirements of all time? 

Business is not down, it’s different.

For example, when you hear the negative statistic on the news in US that home sales are down 33%, it actually means that FIVE MILLION homes will be sold this year. The only unanswered question is: Who will get that business? The media portrays gloom when actually there’s still PLENTY of opportunity – just not as much as before. Now, if the economy went down in between your ears - guess what - you have ruled yourself out of the race to get a share of five million homes - how? - you thought the economy is down - then came no advertising - probably lay offs - no people - no sales - defeat - mostly self-defeat.

Let me take another US example, after all that is where the problem is supposed to have originated from. Car sales were down last year and continue to slide this year. REALITY: 7.8 MILLION new cars were sold last year. What percentage went to GM? Answer: not enough. How many of the GM bailout billions are teaching their car salespeople how to SELL in a way that doesn’t breed customer anger and disrespect? My bet is NOT ONE PENNY.I think the new president doesn’t seem to understand the power of celebration and rewarding performance of salespeople and investing in their betterment. Too bad. One of the reasons GM went under is that they couldn’t sell as many cars as their competition. This stems from a lack of respect for car salespeople and “iffy” advertising like “a dollar over invoice.” AND the problem is supposed to be economy!!! Ya right..

NOTE TO MANAGEMENTS around the world (specifically to my friends at GM): Instead of figuring out how to change (reduce) compensation plans as a disincentive and morale breaker to all, instead of cutting down on marketing budgets, instead of curtailing travel costs, instead of divesting in training budgets, PLEASE invest in Positivity. These are all the things designed to reduce your sales because you believe they will be down. How can you possibly start from that assumption and hope to grow a business. Hope you can. Hope it will remain. Hope is not a strategy. Invest in positive things - market shares get redefined during slowdowns. It might not be absolute number gains - percentage gains. With no marketing budget, lesser salespeople with little or no training, reduced travel costs for them, reduced compensation that is demotivating - the percentage is MOST CERTAINLY NOT swinging your way - Promise you that.

How's business with you? Flat? Dipping a bit? When will it begin to get better? 

The low hanging fruit of two years ago is now much higher in the trees.

There's plenty of business in the marketplace - just not as much as there was during what was the biggest housing and economic boom of all time. As a result, businesses are adjusting to current market conditions, and your company is no exception. 

Less people are needed and lower inventory quantities are required. Layoffs are tough - no company leader wants to lay off anyone - there is emotion because layoffs involve coworkers and their families. Attitudes are affected and morale is affected - it's human nature. The words I hear most often these days are: cutback, save, fewer, less, and "because of the economy" more often than you want. That's part of what goes along with any economic change. 

If there is one gift you can give to yourself in these presumably tough times (I personally do not think these are tough times, at least for us in India - we are self-inflicting pain) is to throw the words "because of economy" out of your vocabulary, company, culture, people, homes, everywhere. By using these words you are just reasoning and getting ready for bad numbers. Because you are ready you will find them. Please get ready for growth, please substitute 'because of economy' with 'inspite of economy'. 

Its doable. See, no one was able to predict this slowdown, yet EVERYBODY claims to predict now that it will be here for while. These are by themselves the 'so called' analysts, most of whom are the cause for the situation itself. what merit do their prediction have? 

All analysis, as always, will come undone one fine day. Everything then will be a matter of 'hindsight'. No one can predict the future, and the economic growth or slowdown - answers are not yet apparent - they are assumed, senior managements must react to present-day situations. If you have to assume - then might as well assume a positive situation and fall short at the end of the year rather than assuming a depression and getting proven right. When you are indeed proven right - you can pat yourself for the most accurate analysis. You will feel good, wouldn't you???

Below are 9 critical elements in your ability to help your company and yourself in these times. These 9 elements, when combined and mastered, will gain more sales now, and keep your customers loyal as the economic conditions begin to improve.

1. Ease of doing business with you. The availability of people and product. Get me what I need, when I need it. Since everyone has low inventories, it is difficult in these times for the customer to get what they want when they want. Opportunity!!!

2. Error-free order processing. When I get an invoice, the easier it is to understand and the more correct it is, the faster I pay it. No backorders. No surprises. 

3. The quality of your relationships with customers. How strong are your relationships? Are they transactional or interpersonal? Keep the relationship, forget the transaction. Make it impossible for them to switch.

4. Service excellence. You'd think this was a given, but often slower times means slower service. Less people, more work. BIG mistake. BEST PRACTICE: Double service offerings. 

5. Your attitude. The way you dedicate yourself to the way you think. If you can't be positive for yourself, you can never be positive with and for others - both coworkers and customers. If you keep discussing 'bad economy' with customers, they will really feel like giving you business? Move to positivity. People like doing business with positive people.

6. Your belief. Belief in your company, your product, your service, yourself, AND belief that the customer is better off having purchased from you. 

7. Your loyalty. The best way to get loyalty is to GIVE loyalty. From bosses to employees, from employees to customers, and finally from customers back to you, loyalty is the profit frontier. In these times, giving won't always breed receiving - but the seed is planted and the roots are deep when the economy begins to rebound. 

8. Helping your customer whenever possible. Understanding how they are hurting, and meeting their needs as BEST you can. Offering to assist with anything from manual labor to unparalleled service - from brainstorming ideas with them to making connections for them. 

9 Your extra mile. What are you doing above and beyond the ordinary? What are you doing to out sell, out serve, and out value the competition? What's memorable about you and the actions you take on behalf of others? Are you going the extra mile for your customers?

Cutting expenses or laying people off is not the only answer - it's just a safeguard and a response to the situation at hand. The best answer is more sales... and more profit. This is where you can help. Maybe instead of “cutting,” you might try “investing.” That is your real bailout. I am not saying gamble but at least a risk? If you take a risk - you might succeed or you might fail, if you don't take this risk - failure is ensured.

yours

Chetan Walia