Spring 2008

Selling With Stories - A Powerful Tool for Building Trust and Credibility
By Ian Brodie
Managing Director of Lighthouse Business Consulting

The art of storytelling is dying.

We live in an age of soundbites, special effects, snappy comebacks and the 30-second attention span. It seems that no one is interested in taking the time to listen to, or tell a good story.

Yet think back to the last time you were truly moved by a film or play or TV show. When you last cried in the cinema or sat on the edge of your seat thoroughly gripped by a thriller.

Chances are that it wasn't because of the special effects or any snappy dialogue. It most likely wasn't even due to great acting - although that can help.

No, the reason you were truly engaged with the film or play was because of the plot. Because the author hooked you with an interesting story. And especially, because the author got you to really care about the characters in that story

Storytelling in Sales

Now think about that example in the context of selling.

Don't you want your prospects to really engage with what you are saying? Don't you want to grab their emotions rather than just their logical brain?

Of course, you will never build the same degree of emotional response in a selling meeting as in a thrilling drama. But you can certainly do a lot better than the majority of dry, dull sales presentations made today.

The secret, of course, is to use stories. And the most powerful stories to use are personal ones. Stories with real human protagonists rather than faceless corporations.

When you introduce your company, for example, don't tell your prospects you can save them 10% on their telecoms costs, or that you've worked with the top 5 car manufacturers. Get that same message across in a personal story and it will have so much more power.

Contrast these two different introductions:

"We work with all the leading packaging manufacturers. Our machines have the fastest changeover times in the industry, and we should be able to save you an average of 10% on your running costs"

and

"We recently worked with John Smith, the CEO of BigPack. John's problem was that because of the long changeover times of his existing machinery, his production was very inflexible and he couldn't respond quickly to the needs of some of his best customers. By installing our equipment, he was able to offer the sort of flexibility his customers were crying out for - and as an added bonus, he found that running costs were 10% lower than before."

Admittedly, the second introduction is a few sentences longer - but those extra sentences - and the way the whole introduction is worded - make a world of difference.

Think about how you would respond to the introductions as a CEO of a Packaging company.

The first introduction is OK. The salesman builds some credibility by highlighting that they work for the top companies in the industry. And the fast changeover times and 10% saving on running costs sound OK.

But there's no emotion here. It's cold, hard facts.

Worse, the "we could save you 10%" is almost a challenge. The natural response of most people is to silently think "Oh you could, could you? Prove it". After all, what does the salesman know about my business? How does he know I'm not already highly efficient?

But by rephrasing into a story as in the second introduction we get over these problems.

Firstly, the prospect becomes more engaged when he hears someone's name. You've indicated you work with executives just like them - perhaps even someone they look up to. And when you use the word "frustrations" - not just a business problem, but real frustrations - then they begin to feel empathy towards that person. Chances are they're feeling frustrations too - but like many executives, there are few outlets for them to vent those frustrations. Now, by talking about someone else's frustrations you've begun to create an environment where they can safely talk about their issues.

Additionally, by using an interesting story where you happened to solve the client's problem and save 10% of running costs, you're not making a direct claim. You're not risking a challenge because you're talking about something that was done for someone else. You're not claiming you can save the prospect 10% - but they will begin to make that inference for themselves. So now the prospect's thinking is "hmmm, I wonder if they can make those savings for us?" not "well, he claims he can make those savings, but I'm not sure". Your story has allowed him to reach a conclusion for himself - and so he is much more likely to believe it than if you claim it yourself.

In similar vein, when you get a prospect talking and they tell you about some of the issues and challenges they are facing; you can use your stories to build credibility and confidence that you have experience in these areas and know how to help. But notice that you're not jumping to providing a solution for the client's problem (where you run the risk of being wrong) - you're relating a story about a client in a similar situation and what worked for them. Again, the prospect thinks for himself: "Maybe this can work for me. And even if not, they were able to solve this guy's similar issues - maybe they can find a different solution for me". As opposed to their thinking if you try to suggest a solution to their problem: "How can they know how to solve my problem after 5 minutes? Do they think I'm some sort of idiot who hasn't thought about this?....."

Crafting a Compelling Story

Some people are great natural storytellers. They mentally record their experiences as stories and have no trouble recalling them in an interesting and entertaining way.

For the rest of us, it takes a little work.

What you need to have in your armoury is a set of compelling stories - perhaps 6 or 7 - covering a variety of situations where you, your products or your services have added significant value. You can then select from the stories as needed to fit the particular circumstances you think are going to be relevant and interesting to your prospect. And you can use the same story as an example as part of your introduction, your elevator speech, or in an expanded version when the prospect opens up and talks about a particular issue they have.

To craft the stories, first think about the typical problems your product or service solves. Then think of some recent examples of specific customers where this has happened.

Next, write a short paragraph summarising the example. A few guidelines should help here:

  • Make the story personal. Don't just talk about a company, talk about a named individual who "owned" the problem your product & service solved. Your story will feel much more real - and your prospect will feel much more empathy towards a person rather than a corporation.
  • Talk first about the challenges the person faced. Again, try to describe them in personal terms so that the prospect builds a connection to your story. Don't belittle the person - turn them into the hero of the story - they had a problem which (by working with you) they overcame.
  • Don't spend a lot of time describing what you or your product actually did. Although this might seem interesting to you - it's the least interesting aspect to your prospect. They're much more interested in whether the problem you solved is similar to theirs, and what value or benefits did your solution bring.
  • Close with the benefits your product or service provided - but underplay this. Almost add it as an afterthought - as if the tremendous value you brought was just part of everyday business for you. Avoid boasting or self aggrandising statements.

Write these examples up using natural, conversational language and revise them until they sound right. Then learn and practice their main points so that they don't sound like a script.

And, of course, make sure you get the permission of anyone whose name you use.

Putting the Stories into Action

Armed with your stories you can begin to put them into action in sales situations. Don't overuse them as you risk hogging the conversation when you should be listening. Instead, use them sparingly to spark the curiosity of the prospect, gain credibility, and provoke a reaction or question.

Personally I use one story to introduce my company and what we focus on (selected based on what I think is likely to be of most relevance). Then I may use further stories later on to illustrate a point, or to show that I understand their situation. But I will rarely use more than a couple in a sales meeting of an hour or less. To do so runs the risk of dominating the conversation and not giving the client enough space to open up about their problems. And if they don't talk about their specific problems, then I can't begin to show them how I can help them.

Ian Brodie is the Managing Director of Lighthouse Business Consulting (Management Consultants based in Manchester - Specialists in Sales Strategy and Business Growth) - a management consulting firm focused on helping companies grow their sales.

Read more about how to grow the sales of your business at Ian's Sales Excellence Blog.

Profiles of Success: Bill Bryant Leads GroupHealthBid.com into Health Insurance Technology
Like a true top producer, Bill Bryant is a broker that knows his stuff. As owner of GroupHealthBid.com, Bill has built an agency from the ground up under the philosophy of technology. Today, Group Health Bid’s business spreads throughout California spanning from San Diego to San Francisco. Quotit recently sat down with Bill Bryant to pin down the secret of GroupHealthBid.com’s success.

Quotit: Tell me a little about your agency and what insurance lines you market.

Bryant: Group Health Bid is an exclusive group health benefits agency. We started in 1999 with my partner at the time, Mike Lamb. I was an old school guy and Mike had a vision. It was our goal to start an agency that revolved around technology and the internet. Nobody at the time had what we were looking for and by word of mouth we got in touch with Quotit and we’ve been working with Quotit since then. Our agency consists of me handling the marketing and my business partner Sherry Grover heading our sales efforts. The business model we have adapted is to have great marketing backed by an effective sales team and a superior customer service staff.

Quotit: How has your agency changed the way you do business in the last 8 years?

Bryant: Back then it was always a juggle to be everything to everyone. Our marketing consisted of 50% direct mail, 20% Property and Casual broker partnerships, 20% customer referrals, and 10% CPA firm partnerships. When running marketing programs, direct mail for example, our main goal was to get our name out there and target specific geographic markets. With programs like this, our expectations were not high in terms of instant lead generation; our emphasis was more for agency name recognition so businesses can have our agency’s name in mind when they decide to shop for health insurance.

During that time, Sherry Grover and her staff prepared proposals by contacting each carrier for health plans, put all that information together, and do our best in making an excel report presentable for the client. It was very time consuming. Another challenge we faced is the amount of time we spent with customer service. It was very tedious to get carrier forms when customers requested them. We would have to call each carrier one by one. In the old days we might have to make as many as 3 visits to the customer before we can close a deal. I realized then that it was taking up much of our business working hours trying to be everything to everyone.

Quotit: How has Quotit helped your agency?

Bryant: Working with Quotit has allowed our agency to generate business from the internet and literally send a quote to clients in minutes. Today, we can close a deal the same day a customer visits our website. With Quotit’s system, customers can also access HR forms, carrier forms and other customer service requests all online, most times without having to speak to any of our reps.

Today, 75% of our business comes from online. Our website allows us to follow up on leads instantly. A typical sale for us goes like this: a visitor finds GroupHealthBid.com through a major search engine with our pay-per-click program, they visit our website, and information about that visitor is instantly sent to our sales team. We have a dedicated sales team that follows up on internet leads we generate. Our internet sales team’s job is to call on leads that visit GroupHealthBid.com, answer questions and set appointments with customers. Lawrence Hartley and his team heads up this division and they have perfected this system.

By taking our agency online we can provide customers with instant customer service. With our website, customers can access a site that is simple and easy to navigate. Customers and visitors get the information they are looking for instantly. Today, we have group customers we have never even met face to face. Working with Quotit has allowed us to take our business out of the local area and expand our customer base from San Diego to far north as San Francisco, California.

Our agency gets approached by many companies that try to offer what Quotit delivers. When this happens, things I think of with Group Health Bid’s relationship with Quotit are:

1. The people that we work with at Quotit are great! The customer service we experience is always very professional and quick to respond to our needs.

2. Quotit never stops evolving. They always continue to improve and stay on the cutting edge. This gives our agency a piece of mind knowing that our business is in good hands.

3. In viewing Quotit as a brand, I think of Rolex, (although I don’t own a Rolex myself). Quotit has quality, it’s dependable, it always works, and everybody wants one.

These are the reasons why Group Health Bid works and will continue to grow with Quotit.

Quotit: Other than heading the marketing efforts for GroupHealthBid.com, what do you like to do in your spare time?

Bryant: I try to spend as much time as I can with my family. I like to attend both my daughters’ dance competitions and recitals. I also play golf on occasions. The past 2 years I’ve actually started doing triathlons. It first started with a group of friends that I now try to do 1 or 2 local triathlons a year. It has become a hobby of mine. Having played baseball before, it’s just fun to go out and compete and challenge myself.

Quotit: Where do you see your agency heading in the next 5 years?

Bryant: I see us continuing to improve our website presence. I also see us growing our alliances and marketing partnerships. Acquisition of other agencies is something that I would definitely take advantage of if the opportunity presents itself. For our agency and the small groups segment, to continue growth would definitely mean 100% commitment to the internet and Quotit technology.

Top 10 Sales Mistakes

Every sales person, regardless of the industry, product, or skill level, makes mistakes. Here are some basic sales mistakes to avoid and some tips for selling more and having happier customers.

1. Not listening. Do not just listen to what the customer is asking for; look past that to find out what they need. Too often salespeople sing the praises of a product without hearing what the customer wants. You cannot sell to someone if you do not know what they want. Listen to your customers, identify the need, and fill it.

2. Overselling. A nonstop sales pitch leaves your potential customer with no room to make an intelligent decision. There is a fine line between being a good salesperson and being pushy or obnoxious. Know when to stop selling.

3. Being unprepared. Whether you are making a sale in a showroom, a board room, or on the phone, you need to know the details about what you are selling and be able to answer all pertinent questions. Be prepared. If you are prospecting for new business, know what you are going to say and be ready for questions you may be asked.

4. Jumping straight to the sale. In any type of sales business, you need to establish a relationship. Even on the Web you need to have landing pages to provide information about your products or services before jumping to the shopping cart. Do not rush to the sale. Take the time to educate your customers, and they will reward you with sales.

5. Not closing the sale. This is the flipside of the mistake above. Once you have provided your customer with the information he or she needs, ask if the customer is ready to make a purchase. It may seem unnecessary, but sometimes asking for the sale can be the nudge your customer needs to make a final decision.

6. Going off topic. Some salespeople overdo the need for a “relationship” with excessive chatter. Others continue to talk about the product or service, but spend an inordinate amount of time on irrelevant information. While you do want to build a relationship and make your customer comfortable, the goal is to make the sale. If the sale is the topic, don’t veer too far off on tangents.

7. Not researching your customer. If you are trying to sell to a specific client at a meeting, you need to know what he or she is all about. Do some research before the sales meeting and get a good idea of the prospect's likes, dislikes, interests, and manner of doing business. The same holds true for consumers. Get to know who makes up your target audience.

8. Judging books by their covers. Salespeople routinely miss sales because they prejudge their customers. Do not let race, creed, gender, ethnicity, or appearance stand in the way of making a sale.

9. Not following up on leads. Just because someone does not buy immediately does not mean they will not be interested later -- particularly if they requested information. Follow-up is a critical aspect of sales that is often neglected.

10. Failing to prospect for new customers. Even when sales are at their peak, you need to devote time to looking for more customers. No company can survive without a constant influx of new customers, so no business can afford not to prospect for them.

AllBusiness.com provides resources to help small and growing businesses start, manage, finance and expand their business. The site contains Forms & Agreements, Business Guides, Business Directories, thousands of Articles, Expert Advice, and Business Blogs. Material copyrighted by AllBusiness.com.

You’ve Got Spam: How to "Can" Unwanted Email
Do you receive lots of junk email messages from people you don't know? It's no surprise if you do. As more people use email, marketers are increasingly using email messages to pitch their products and services. Some consumers find unsolicited commercial email - also known as "spam" - annoying and time consuming; others have lost money to bogus offers that arrived in their email in-box.

Typically, an email spammer buys a list of email addresses from a list broker, who compiles it by "harvesting" addresses from the Internet. If your email address appears in a newsgroup posting, on a website, in a chat room, or in an online service's membership directory, it may find its way onto these lists. The marketer then uses special software that can send hundreds of thousands — even millions — of email messages to the addresses at the click of a mouse.

How Can I Reduce the Amount of Spam that I Receive?

Try not to display your email address in public. That includes newsgroup postings, chat rooms, websites or in an online service's membership directory. You may want to opt out of member directories for your online services; spammers may use them to harvest addresses.

Check the privacy policy when you submit your address to a website. See if it allows the company to sell your address. You may want to opt out of this provision, if possible, or not submit your address at all to websites that won't protect it.

Read and understand the entire form before you transmit personal information through a website. Some websites allow you to opt out of receiving email from their "partners" — but you may have to uncheck a preselected box if you want to opt out .

Decide if you want to use two email addresses — one for personal messages and one for newsgroups and chat rooms. You also might consider using a disposable email address service that creates a separate email address that forwards to your permanent account. If one of the disposable addresses begins to receive spam, you can shut it off without affecting your permanent address.

Use a unique email address. Your choice of email addresses may affect the amount of spam you receive. Spammers use "dictionary attacks" to sort through possible name combinations at large ISPs or email services, hoping to find a valid address. Thus, a common name such as jdoe may get more spam than a more unique name like jd51x02oe. Of course, there is a downside - it's harder to remember an unusual email address.

Use an email filter. Check with your email provider to see if it provides a tool to filter out potential spam or a way to channel spam into a bulk email folder. Quotit uses and recommends Cloudmark as our preferred provider of spam filtering software. Cloudmark is the simplest, most effective email protection for Microsoft Outlook and Outlook Express. Click Here for a 15 day trial.

What Can I Do With the Spam in my In-Box?

Report it to the Federal Trade Commission. Send a copy of unwanted or deceptive messages to spam@uce.gov. The FTC uses the unsolicited emails stored in this database to pursue law enforcement actions against people who send deceptive spam email.

Let the FTC know if a "remove me" request is not honored. If you want to complain about a removal link that doesn't work or not being able to unsubscribe from a list, you can fill out the FTC's online complaint form at www.ftc.gov. Your complaint will be added to the FTC's Consumer Sentinel database and made available to hundreds of law enforcement and consumer protection agencies.

Whenever you complain about spam, it's important to include the full email header. The information in the header makes it possible for consumer protection agencies to follow up on your complaint.

Send a copy of the spam to your ISP's abuse desk. Often the email address is abuse@yourispname.com or postmaster@yourispname.com. By doing this, you can let the ISP know about the spam problem on their system and help them to stop it in the future. Make sure to include a copy of the spam, along with the full email header. At the top of the message, state that you're complaining about being spammed.

Complain to the sender's ISP. Most ISPs want to cut off spammers who abuse their system. Again, make sure to include a copy of the message and header information and state that you're complaining about spam.

How Can I Avoid Spam Scams?

The FTC suggests that you treat commercial email solicitations the same way you would treat an unsolicited telemarketing sales call. Don't believe promises from strangers. Greet money making opportunities that arrive at your in box with skepticism. Most of the time, these are old fashioned scams delivered via the newest technology.

Here are some of the most common scam offers likely to arrive by email:

  • Chain letters. Chain letters that involve money or valuable items and promise big returns are illegal. If you start one or send one on, you are breaking the law. Chances are you will receive little or no money back on your "investment." Despite the claims, a chain letter will never make you rich.
  • Work-At-Home Schemes. Not all work at home opportunities deliver on their promises. Many ads omit the fact that you may have to work many hours without pay. Or they don't disclose all the costs you will have to pay. Countless work at home schemes require you to spend your own money to place newspaper ads; make photocopies; or buy the envelopes, paper, stamps, and other supplies or equipment you need to do the job. The companies sponsoring the ads also may demand that you pay for instructions or "tutorial" software. Consumers deceived by these ads have lost thousands of dollars, in addition to their time and energy.
  • Weight Loss Claims. Programs or products that promote easy or effortless long term weight loss don't work. Taking off weight, and keeping it off, requires exercise and permanent changes in your diet. All the testimonials and guarantees in your email are not worth the space they take up on your hard drive.
  • Credit Repair Offers. Ignore offers to erase accurate negative information from your credit record. There's no legal way to do that.
  • Advance Fee Loan Scams. Be wary of promises to provide a loan for a fee, regardless of your past credit history. Remember, legitimate banks don't issue credit cards without first checking your credit.
  • Adult Entertainment. You may get an email from an adult entertainment site that claims to offer content for "free" and doesn't require a credit card number for access. All you have to do is download a "viewer" or "dialer" program. However, once the program is downloaded onto your computer, it may disconnect your Internet connection and reconnect to an international long distance phone number, at rates between $2 and $7 a minute. Be skeptical when you see opportunities to view "free" content on the web.

The FTC works for the consumer to prevent fraudulent, deceptive and unfair business practices in the marketplace and to provide information to help consumers spot, stop, and avoid them. To file a complaint or to get free information on consumer issues, visit www.ftc.gov or call toll-free, 1-877-FTC-HELP (1-877-382-4357); TTY: 1-866-653-4261. The FTC enters Internet, telemarketing, identity theft, and other fraud-related complaints into Consumer Sentinel, a secure, online database available to hundreds of civil and criminal law enforcement agencies in the U.S. and abroad.


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