Worcester Business Journal

www.wbjournal.com July 20, 2015 • Worcester Business Journal 17 A n insurance agency recently called me for help because it just lost its largest account after 24 years. When I asked how that happened, the clear, confident response was, "Price!" But that may be a convenient excuse. Here are three reasons why that may not be true, and what you can do about it. (1) People don't change for the sake of changing, especially if they've been with you for a long time. The only way a long-term customer will change is if it sees significant pain in staying with you and significant benefit in moving. You blew it somewhere. Somewhere you dropped the ball related to the relationship, value or both. Possible solution: Get into that account and do anything to save it. Find out why you lost it and correct the problem with your remaining accounts. (2) If someone's price is significantly better, there's a reason, and you'd better make it clear to the customer because they could be in danger. There's no way someone can deliver a superior product or service at a much lower price. If someone is 33 percent cheaper (use that word when referring to the competition), you're selling apples while they're selling oranges. Possible solution: Assuming you have a strong relationship with the customer, scare them. Raise doubts about what they're expecting. (3) You didn't lose this customer overnight. It's probably taken several years. Solution: You need to make changes, most likely significant ones, to how you deliver value and build long-term relationships. If you do have a "price problem," here's how to grips with it: • Accept that only about 7 percent of people buy primarily on price. Until you accept this fact, you'll never be able to overcome the price problem. Your market isn't different and the people you're dealing with aren't different. The top-performing companies and salespeople are always selling more expensive products to those who supposedly buy on price. • Selling on price is the surest way to go out of business. There can only be one low-price provider. If you are it today, you won't be it tomorrow or when your customer is shopping the next time. There will always be someone willing to sell something cheaper and, in some cases, give it away. Low price cheapens the marketplace and destroys loyalty, trust, credibility and relationships. Competing on price will ensure both you and your business live a shorter, more painful life. The solution is to get great at building relationships and value. • The first sale is to yourself. If you don't believe in your product and the price you're asking for it, you either need to find that belief or leave your company and work for the low-cost provider. n John Chapin is a sales and motivational speaker and trainer, based in Auburn. Visit his website, www.completeselling.com, or contact him at johnchapin@ completeselling.com. By Amy Chase Amy Chase is owner of Crompton Collective in Worcester. (@ShopCrompton) 10 Things I Know About... When 'price' costs you an account KNOW HOW 10. Be yourself. There's a reason your brand is awesome, so stick to what makes you unique and try not to do what everyone else is doing. 9. Add value. Share your knowledge, be the expert. One of the most important things to ask yourself while you're writing a post is: "Will anyone learn from this?" 8. Be consistent. It's easy to post whenever inspiration strikes, but having a set schedule can help you manage your content and your presence. Decide how often you want to post. Weekly? Monthly? 7. Think SEO. Be selective when choosing your blog title, content and tags. Pick a title that's descriptive, intriguing and not too long. Try to think of what people would be searching that would lead to your page. 6. Create shareable content. You can't always have a professional take your photos, but even if you're just using your phone, you can make your pictures amazing. One app I love: Pixelmator, which goes beyond the basics of normal photo editing apps. 5. Be social. If people respond to your content, be sure to respond back. As soon as you interact with someone, they'll be more likely to form a connection. 4. Be supportive. It's important to support the people in your industry. Share and promote people who are doing things you admire. Learn from what they're doing or help them when they need it. 3. Share to your social network. People who follow your social media platforms will likely be interested in your posts. Make sure you share them on all your platforms. 2. Collect emails. When someone subscribes to your blog or email list, it's guaranteed they're looking forward to hearing from you. 1. Contribute guest posts. Guest blogging can help you gain exposure from similar brands and companies. It can increase reach and build your community. Find brands with similar products or missions. n Blogging to boost your brand A n employee's decision to resign can be tied to salary, another offer or the desire to learn new things. It can also be due to your management style (and employees likely won't provide this constructive criticism in their exit interviews). Here are three areas in which to check yourself before your best employees check out job ads: Figure out if you micromanage. Leaders don't hover over team members' shoulders. They serve as teachers and good examples, says John White, a social media marketing director with CareerToolboxUSA in St. Paul, Minn. White says in an article on LinkedIn that management is not intimidation. "Do not constantly threaten people with their job. If this is your idea of coaching your team, then you should not be in management." Learn to be a good listener. In other words, it's OK to not make split- second decisions, and to carefully weigh employees' viewpoints first. In fact, they'll appreciate your open ear. "It's critical to listen to everyone, not just the loudest voice or your most trusted lieutenants," says an article at Entrepreneur.com. Sometimes, it's the quiet ones who have the most to say, even if it represents an opposing view, author Peter Diamond points out. Hire honestly. In the case of new hires who resign soon after setting up their cubicle, the job may not be what they thought it would be. "The problem usually starts with managers hiring in such a big hurry that they don't take the time to give a realistic preview of the job. Or they oversell the job or company," writes Leigh Branham at asaecenter.org, the American Society of Association Executives. She says 35 percent of American workers quit in their first six months, resulting in lost time and money. Most of these workers are told they have to report to another boss, or that they won't be advanced at the rate they were originally told, she said. n 101: KEEPING EMPLOYEES >> BY SUSAN SHALHOUB Special to the Worcester Business Journal BY JOHN CHAPIN Special to the Worcester Business Journal How to combat an oft-stated customer decision to take business elsewhere

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