Telephone Sales Training:

Due to the downturn in the economy, many companies are now operating with a leaner sales force than ever before, and sales representatives are undertaking more responsibility than ever before. Even with fewer sales managers to manage the business, clients continue to demand as much as ever. The end result of effective time management is that we can continue to satisfy our current clients and still grow new business and client base.

I have found a simple but useful way to manage sales calls that brings good results. I call it the 123-XYZ plan. This plan can be extremely productive in managing, planning and preparing for sales calls and can also be practical when planning your personal time. I simply list all of my accounts and assign each a number from 1 to 3.

1-2-3 -- Listing Accounts in Terms of Revenue:

1. IMPORTANT ACCOUNTS

These accounts are those 20% that make up 80% of the sales (also known as Pareto’s Rule). These clients will definitely make a difference in your revenues.

2. GROWTH ACCOUNTS

These are your average, mid-sized accounts that are fairly regular in their support of your company and product. They make up 30 - 40% of your account list and have the potential to move into that #1 category as their business prospers. These accounts demand much of your time and attention, and they will require a delicate balance to provide a high level of customer service to them without sacrificing time needed for cultivating new business.

3. FRINGE ACCOUNTS

These are the accounts that make up the bottom 40 - 50% of your account list and do not make a huge impact on your commissions or revenues. Use alternate means, such as fax or email, to contact these clients when you have time. I also suggest putting these accounts on a rotating list for a face to face visit every 6-8 weeks.

XYZ—Prioritizing Calls for Sense of Urgency:

X. URGENT AND IMPORTANT

Also known as A.S.A.P., these accounts are the “must sees.” Time is of the essence. Items that may warrant your immediate and direct attention include contract expiration, deadline, or highly competitive action with a particular account. These time values may apply to any account category whether 1, 2, or 3. For example, if your Number 3 account has a contract that runs out in 60 days, this client would warrant an X for urgency.

Y. IMPORTANT BUT NOT URGENT

This category includes items that are not currently urgent and important, but have the potential to move into this category if not given the appropriate attention. Try not to address these issues during prime selling time (9am to 4:30pm) when you could be utilizing your time for sales.

Make a point to make contact with these accounts prior to 9am or later in the afternoon.

Z. NOT IMPORTANT AND NOT URGENT

These items may not need your attention at all. If accounts are neither important nor urgent, you should not waste your time with them. The only exception to this rule is when a Z (not important and not urgent) is also a Number 1 account. Everything becomes important eventually for those Number 1 accounts.

To apply this system to your account list, begin by categorizing each of your clients with a 1, 2, 3, and X, Y, Z designation. For example, Mr. Smith’s Sprocket Company may have a priority level of 1-X while, Jo Jo’s Jam Cannery may have a priority level of 2-Y. In effect, all appointments with the number ones would be grouped together and sorted according to their XYZ classification. Those with a category 1-X would be first in priority and those with 1-Y would be next, and so on.

Once your accounts have been listed in priority order, you should contact those accounts with the highest priority for appointments, gradually making your way through the list.

This system is also an effective tool for keeping the less important accounts in a consistent rotation for face time and can additionally be helpful in tracking your overall client contacts.

Author: James A. (Jim) Baker
James A. Baker is the Chairman and Founder of Baker Communications. Baker is a sales training and development company specializing in helping client companies increase their sales and profits. He can be reached at 713-627-7700 or jim.baker@bakercommunications.com.