Thursday, March 31, 2011

Superior Lamp President Ken Hennig "Canary In The Mine"

Years ago before technology, people had to improvise. In deep mines, there was always the hazard of dying from odorless poison gas in the air. After losing a few miners, someone came up with the idea of using a canary in a cage to detect the presence of poisonous gas. If when you showed up for work and found a dead canary it was a good indication that the fresh air supply needed to be fixed or you better leave.

A 6-pack of fluorescent on your order blank could be a canary for a lighting salesperson. It could indicate a couple of selling problems. First, it may indicate you are selling too small accounts. If a customer only uses 6 lamps then is it really worth your time? It's impossible to build a large file box of repeatable accounts that only can buy 6 lamps every 5 years. Second, it may indicate you close needs a tune up. You may be starting too low in your negotiating. Starting at 48 rather than 24 gives you much great opportunity to close at a higher number. You may be cutting too much in your close. If you start at 24, cut to 12 then to 6 you're done. How much better to start at 48 and cut by 6 on each close?

Another problem this 6 pack "canary" may be indicating is "order size-itus" also known as large orders some sales people (actually most) sell 6 packs because they are comfortable with it. I'ts easy, and one doesn't have to develop a strong close.

The benefits to solving this problem can have a major impact. Here are some of the potential benefits of eliminating 6 pack orders.

- Double commissions or ore on your orders. Not only will you move from 6 to 12 to 18 pack fluorescents, you'll also increase the quantity of other lamps yourself.
- You'll build an account base filled with large repeatable accounts.
-When you repeat a customer, they'll be "trained" to buy larger orders. (why train them to buy 6 packs?)

Check your orders for dead canary's (6 packs) and if you find one ask yourself why? was it necessary... or did you leave money on the table? Why not sell 12, 24, 30, or 36 packs? You've already done 99% of the work in selling the customer. Why not strengthen your close a bit and boost your income alot!

Ken Hennig
President Superior Lamp

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