Is your sales conversion rate acceptable? Would you like to work smarter not harder? Then consider education based marketing instead of the traditional sales based marketing and realize your goal to increase sales.
So what is your sales conversion rate? In other words, if you receive 100 qualified leads, how many sales do you actually earn? Depending upon the industry and your own sales skills, this may range from 5% to 90%. However from my sales coaching experience, I believe the average is probably closer to 1 out of three to five.
What would happen if you could double that conversion rate? Instead of earning one sale with every 5 contacts you now have 2. For the same amount of effort, you have doubled your results. Does that make sense to you?
During the last year, I have been transitioning from sales based marketing to education based marketing. My sales style was always helpful, but I never considered myself an educator unless I was doing sales training. Now, I have embraced this more contemporary model and the results have been exciting.
The traditional way of selling evolves from a sales based marketing approach. Here is the focus is on how quickly you can make the sale. Within this approach are certain No-Nos such as Do not give anything away.
With the advent of technology and the Internet, there is a wealth of free information so the old paradigm of giving stuff away is no longer viable. Now sales professionals must out think the Internet and all that free information.
To change from the accepted and traditional sales based approach is quite easy. All you must do is take the role of trusted educator and advisor. Your goal is not to sell the product or service, but to bring value by educating the potential qualified customer. Of course, you may think this may take more time. Given that most sales are completed between the fifth and twelfth contacts, the time really is not an issue.
So what is the real issue? From my sales coaching experience, the real issue is conversions. How many contacts or leads can you convert into loyal customers? Sales Coaching Tip: If you do not know your sales conversion ratio or percentage, shame on you.
If sales conversion is the 800 pound gorilla in the room, then your sales actions should be focused on improving that percentage. By taking such directed actions, you can begin to close the gaps between leads received and sales earned.
One such action is education based marketing which is probably 180 degrees away from the traditional sales based marketing. Your role is now to educate your potential customers or even centers of influence. By demonstrating your subject matter expertise, you become the go to person when people have questions.
Since educate means to lead out, you now take the role of leading your potential customers out from where they are to where they want to be. Imagine that you are walking side by side with your customers, educating them instead of having to pull or push them to buy your products or services.
Education based marketing extends beyond the traditional research of the marketplace. Some examples of within this 21st century marketing approach include:
Articles
White Papers
Assessments
Take action sales coaching tip: Understand the difference between sales based marketing and education based marketing. Revisit your marketing growth action plan and make those course corrections now. Embrace a belief of educating your potential customers first before attempting to sell them. Watch your sales conversions skyrocket; your sales increase; and your piggy bank explode.
P.S. You may be wondering how I know this to be true. Fair question. Since providing a free professional sales profile to qualified potential customers by using a performance appraisal online assessment tool, my conversion rate has increased from 40% to 80%. My qualified potential customers are receiving a tangible product and service while experiencing the benefit of working with me as a sales coach or executive coach.
