How I Raised Myself from Failure to Success in Selling Ch 30

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Questions and Answers

What was the author's experience with the automobile salesmen after purchasing cars?

Many of them apologized for poor service.

They never attempted to follow up with him. (correct)

They frequently contacted him for feedback.

They invited him to special promotions.

What motto did the Chevrolet Motor Company adopt that contributed to their sales success?

Never forget a customer; never let a customer forget you. (correct)

Always seek new customers.

Keep prices low for repeat customers.

Focus on selling only the latest models.

What regret does the author express about their selling career?

Not spending enough time serving customers. (correct)

Not investing in advertising.

Not selling enough products.

Not expanding into new markets.

How long did Chevrolet maintain its first place in sales among automobile manufacturers?

Thirteen out of fifteen years. Signup and view all the answers

What is implied about the common experience of customers in the author's surveys?

Many customers feel neglected after their purchases. Signup and view all the answers

What effect did the real estate broker's visit have on the narrator's feelings about their new home?

It reassured the narrator that they made a wise decision. Signup and view all the answers

What was the main reason Mr. Pocock believed new customers were the best source of new business?

They are enthusiastic and proud of their new purchases. Signup and view all the answers

What tactic did Mr. Pocock's salesmen use to maintain relationships with new customers?

They made courtesy calls after the installation of products. Signup and view all the answers

What was the outcome of courtesy calls made by salesmen in the survey mentioned?

They generated $1,500 worth of new business from contacts. Signup and view all the answers

What lesson did Mr. Pocock emphasize regarding customer relationships post-sale?

Maintain contact after the sale to foster relationships. Signup and view all the answers

What strategy does the speaker emphasize for following up on referrals?

Contacting the referral immediately while it is still fresh. Signup and view all the answers

Why is it important to report back to the person who provided a lead?

To maintain the trust and relationship with the person who referred you. Signup and view all the answers

What does the speaker mean by referring to a stale lead as a 'stale loaf of bread'?

Leads that are not pursued quickly lose their value. Signup and view all the answers

What was the outcome of the speaker's approach to cold calling a referred lead?

The referral showed immediate interest and requested a meeting. Signup and view all the answers

What does the speaker carry with him to help solicit introductions?

A card where friends can write the name of a prospect. Signup and view all the answers

Study Notes

Customer Retention Strategies

Prioritizing Existing Customers: Automobile salesmen often forget customers after the sale. This is a common issue, with many people reporting similar experiences. Conversely, companies like Chevrolet Motor Company have seen success by focusing on retaining customers. Their motto: "Never forget a customer; never let a customer forget you." This proactive approach led to their top sales position for many years.
Customer Service and Relationships: Customers value courtesy, attention, and service. Sales success, regardless of product or service, is improved when selling teams focus on maintaining contact with established customers by offering attention and service.
Courtesy Calls: The article highlights follow-up calls for customers after a sale. Companies, like Frigidaire, successfully generated additional sales by making follow-up calls a week or so after installation.
Proactive Customer Surveys - Taking surveys to gauge customer satisfaction and discover pain points is crucial to understanding customers' needs and tailoring services.

Generating New Customers

Referrals are Key: Often, customers recommend a product or service to others. Over half of buyers indicate a friend or relative influenced their purchase.
Leveraging Referrals: The use of letters of introduction, whether formal or brief, is highly effective in generating new prospects. A concise letter or card works well to facilitate smooth referrals.
Identifying New Customers: Focus on new customers to receive strong leads. This is because they are more enthusiastic and likely to promote their new purchase to friends and neighbors.
Timing is Critical: Act quickly on referrals. Delays in following up on referrals diminish their effectiveness and can lead to lost opportunities. Within six days, or even six minutes, works best.

Showing Appreciation

Expressing Gratitude: Following up with those who referred your customers is important and shows appreciation. Failure to follow up with the referrer might cause resentment. Providing updates on sales results to the referrer further enhances rapport. Even if a sale isn't made, the referrer may be able to provide a new/better lead or offer insight that helps in the next sales effort.
Formal Appreciation: Formal letters of appreciation can be an effective way to express gratitude, like the example shared from a bank.

Sales Strategies

Position and Strategy: Successful salespeople understand the importance of anticipating the next step in a sale and maintaining a strategic position in the industry and toward clients. They anticipate what each step might involve and the client's likely response.
Proactive Mentality: Maintaining continuous effort to generate new business opportunities is vital. The analogy to shaving is apt: If consistent prospecting is not undertaken, success will inevitably diminish.

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Description

Explore effective customer retention strategies utilized by successful companies. This quiz covers the importance of prioritizing existing customers, maintaining strong relationships, and the value of follow-up communication. Learn how proactive engagement can enhance sales and foster loyalty.