To continue the theme of our March 2008 posting on Recession-Proof Selling, here are three more steps to accelerate your sales, retain your loyal customers and attract new business without increasing your cost of sales.

Steps 1-5 are here.

6. Stay Connected
Get out there. Attend at least one networking event a week. Even better—attend three. Talk to people, find out how you can help each other. Pick up the phone. Email is great, but you’ll get the best information and the most productive relationships when you have a person-to-person conversation.

7. Don’t Cut Price
Many pundits say that the worst thing we can do in a lagging economy is to cut price. Yes and No. Adjusting your price should never be the first thing you do. A marketing expert told me that 95 percent of salespeople cut price before they’re even asked. If you do adjust your price, always get something in return. (Trim fat, not muscle.) Carve out your work and offer smaller chunks. Get in and get started. Help your clients in a down economy and be there when their business turns around.

8. Commit to Building Your Referral Business
What if you could reach your market without hard costs—no marketing budget, no direct mail budget, no advertising budget, no trade show budget. The only budget you need to worry about is your “Time & Referrals” budget—simply your time…your time to ask for referrals!

You know about referrals. When a qualified prospect is referred, you get a new client a minimum of 50 percent of the time, and typically between 70 and 90 percent of the time. Additionally, you are pre-sold, your selling time decreases, you have credibility, and you ace out the competition. There is no other business-development process that can claim these results. Results are the only thing that matter.

Bottom line: Sell more with higher margins, accelerate your “win” ratio, and take business away from the competition.

Become a referral-selling star from your home or office with my No More Cold Calling Webinars.

The U.S. economy is in a funk. Have your phones stopped ringing yet? The “R” word–recession–is back. Housing starts are falling, the consumer price index keeps jumping, the stock market is like a roller coaster, massive layoffs occur daily, and renowned companies are declaring bankruptcy. The Fed has lowered its projection for economic growth. Is it 2001 all over again?

How do you tackle economic uncertainty? Cut advertising, travel, training, marketing, and discretionary expense line items? Cut purchasing? Ouch! The pipeline starts to dry up and the anxiety level goes through the roof. Many people think that since there’s nothing they can do, they should just do nothing. But “nothing” is futile thinking.

What if you could reach your market without hard costs–no marketing budget, no direct mail budget, no advertising budget, no trade show budget? The only budget you need to worry about is your “Time & Referrals” budget–simply your time…your time to ask for referrals!

You know about referrals. When a qualified prospect is referred to us, we get a new client a minimum of 50 percent of the time and typically between 70 and 90 percent of the time. Additionally, we are pre-sold, our selling time decreases, we have credibility, and we ace out the competition. There is no other business-development process that can claim these results. Results are the only thing that matters.

Here are five “Killer Steps” to accelerate your sales in a lagging economy, retain your loyal customers, and attract new business without increasing your cost of sales.

1. Broaden Your Perspective
What business are you in? Redefine and reinvent yourself. Is Starbuck’s in the coffee business or the people business? Build new alliances and consider alternate distribution channels. Don’t go solo. Assemble a group of advisors and get their input and creative ideas.

2. Be Nimble and Innovative
You’ll never have all the facts. Make quick decisions. Be fearless and make tough choices. Create new uses for your products. Why not a new business model?

3. Dazzle Your Current Customers
Your current customers need care and feeding. Don’t ignore them at the expense of new business, because they are your best source for new business.

4. Prioritize Wisely
The most important activity for any salesperson is to do what’s “closest to cash” the first thing every single day-whether it’s following up with a prospect, writing a proposal, or closing a deal.

5. Become an Expert
Companies hire experts because they can’t afford to make mistakes. Position your company as the expert with a specific product or in a specific market niche.

Bottom line: Sell more with higher margins, accelerate your “win” ratio, and take business away from the competition.

We’ve all had a “PITA client”-perhaps more than one. (PITA stands for “pain in the a**.) A PITA will drain you, consume valuable resources, upset your team, squeeze you on price, pay slowly, and will never be satisfied with the results-even when you’ve agreed on the deliverables.

You know the warning signs. A PITA client will:

• Nickel and dime you on price

• Tell you they’re the decision makers when they’re not

• Threaten you with your competitors

• Make unreasonable demands, and expect fast, complete, and reliable delivery of your service

• Not return phone calls

Talk about loss of productivity! PITAs are our biggest time wasters and they erode our profits. When we accept a PITA, it’s an opportunity cost-an opportunity lost to do business with our ideal clients. Yet companies continue to accept this bad business, all the while thinking it’s better than no business. But is it?

Sometimes it’s because we have a quota to meet, or our company insists we do a deal, or we think we can turn a bad situation into a good one. We’re dreaming. Bad business is bad business. Period.

Salespeople frequently say that they will sell to “anyone who fogs a mirror.” Avoid this kind of thinking. We shouldn’t target just “anyone.” “Anyone” all too frequently turns out to be the PITA customer.

Fire the PITA! Most of the time we can identify the PITA client before we even begin to work with them. Say no. It’s OK to walk away. In walking away from the PITA, you’ll have time to attract the kind of clients you really want, to do the work you love, and your productivity will soar!

Want more?
Listen to my podcast on Productivity on Salesopedia

Get the No More Cold Calling Self-Study Workbook

This self-study program equips you with referral strategies for finding clients who truly need your product or service.

For many of us, the end of the calendar year coincides with the end of the sales year. Have you made it yet? Will you (and your customers) enjoy the time between Christmas and New Year’s because you’ve already delivered your revenue committment to senior management?

When you need a quick break from all the holiday cheer and want to recharge those sales batteries with some quiet time then consider catching up on your sales reading and learning. But don’t have time to read all the new books on selling? Would you like the Cliff Notes versions instead? The Top Sales Experts website has just the booklet for you - and it’s co-authored by many of the top sales experts.

I like “Leaving PowerPoint Behind and Make the Person-to-Person Sale” by Joanne Black, author of “No More Cold Calling” and guest blogger on this site.

Another good article is “A Glimpse at Sales 2.0 - the Potential and the Pitfall” by Keith Rosen. As salespeople, many of us started selling in the days laminated presentations and always making sure there was change in our pockets for the pay phone. Today we’re using web-based conferencing and wouldn’t be caught dead without our cell/PDA. So what’s next?

Read the article. Read them all - in the the order they interest you.

Which articles did you enjoy best?

Happy Selling!

I attended the first-ever Corporate Social Network Design Council hosted by Visible Path on October 29th in San Francisco. The concept of social networking was explored. There are some interesting challenges, but the emergence of thousands of social networking sites proves again that people want to talk to other people. Whether they decide to share their personal contacts with their business contacts is another story.

Check out Jeremiah Owyang’s post here.

Social networks can help identify specific contacts, but once that is done, we need to build the relationship and earn the right for the referral. At the end of the day, it’s all about a referred introduction. When we get the introduction, we get the meeting. And that’s what we want.

Now it’s going to be easier and easier to develop social networks. As of November 1st, Google announced OpenSocial. In non-techie parlance, developers can now use OpenSocial to create applications that work on any social network.

Get ready for the ride!

I attended the Sales 2.0 Conference in San Francisco on October 30. The speakers had very little to say that was “new news.” I heard statements such as: cold calling is dead—because it doesn’t scale, it’s all about relationships, it’s not about what’s in the funnel, it’s about what’s moving in the funnel, you need to have a sales process, salespeople need to ask good questions, etc. And, when will speakers learn that reading your slides word-for-word is not particularly engaging and does little to enhance learning?

Top salespeople have always built relationships, had a reliable process, and learned and listened from their customers. Successful salespeople build an active referral network and regularly win high profile deals. They don’t cold call.

What is new is the technology—which can speed up lead identification and qualification. Interesting sites are www.visiblepath.com and www.insideview.com. Then it’s up to us to pick up the phone and build a relationship. Technology will save time and thus increase productivity, but people do business with people. Period.