Always a source of interesting perspectives for small businesses, I found a good article in today's Sunday Times "Small firms can thrive amid corporate giants".

The article interviews a number of small business owners, mainly agencies, professional and support services, who have been successful in winning new business with major corporates, and surviving the process!

For me, a couple of key take-aways from the article are the need to avoid getting locked-in too low within major accounts (which can both keep you positioned as a low-level supplier and expose you to risk when your contact leaves), plus the importance of choosing the right clients in the first instance:

"Working successfully with big players also means being prepared to turn down work that doesn't meet the plans and aspirations of your own business"

I couldn't agree more with this last statement. Investing time to identify the right clients for where you want to take your business is critical. I find that whilst our clients get a lot of their current work by referral or other word-of-mouth sources, this may not be the right strategic fit to grow their business.

Where we add value is by targeting specific companies, usually major corporates, that meet our clients' growth aspirations. This sets up a new business pipeline that both builds on and augments your usual work portfolio, setting a trajectory for future growth.

Labels: lead generation, new business development

For me, one of the interesting things I picked up at the Being Digital event I attended yesterday (excellent event btw) was that consumers don't mind adverts as long as they're relevant.

OK, that may seem obvious, but it came out of a lengthy panel discussion on how to monetise content in a fragmented market without upsetting your audience.

When adverts as relevant (or targeted), such as with Google Adwords, then people don't object to them. In a way, there's this serendipitous effect that the advert appears to reach you just when you were looking.

OK, maybe that's over egging it, but there's no doubt that the more targeted your ads the higher the conversion, or CPR, or whatever metric you're using plus (and here's the real thing) the less you upset your target market.

This is what I've always said about targeted cold-calling for new business.

When you really target your audience, then your hit rate goes up, plus the people you are calling will respect the fact that your call was relevant to them. Even if they're not interested today, they will agree that they could have been.

Think about it. For most telemarketers they're calling you just because you're the next person on their list. How does that make you feel? Now, how different does it feel if someone contacts you because they've actually thought about whether you might be interested before they called you?

Perhaps they've done some research about your business or competitors. Or they've noticed a trigger event that makes them believe you would respond positively to their message.

Approaching any new business campaign in this way is essential to starting a relationship that you can build on for the future.

It's about mutual respect, really.

Labels: appointment setting, cold calling, new business development, sales lead generation, telemarketing

Just thought I'd post about an event I'm attending on 10th June called Being Digital.

The format is based on 22 successful mashup* events and, as I've attended a number of shorter formats in the past, I'm excited about this full day event.

Being digital is all about debating the issues that matter when delivering and designing a digital mashup service.

The event has seven themed debates on advertising, identity, content, location, social, retail and search across the important platforms of web, mobile and TV. In each theme there will be leading demo companies showing why it is real and how advanced some actually are.

A couple of our clients are also attending, and another client chaired their TV 2.0 event last year so I know from experience it provides excellent value.

No big company slide deck - just real cutting edge stuff.

A must for any digital entrepreneur. See you there!

Labels: entrepreneurs, networking, new business development, start-ups

The guys at Jigsaw sent over an email today for a webinar they're running next week "Microwave Your Cold Calls -- Sales 2.0". Catchy title, I thought.

But why does it seems that everything is "2.0" nowadays?

According to their blurb,

Prospects today are even more short of time than ever and "Old school" selling techniques are less-and-less effective. It's time to not only warm up your cold calls. It's time to "nuke 'em". It's time for Sales 2.0.

I agree that things have moved on. Email is the preferred method of contact for many prospects (particularly senior ones) and, as I've blogged about many times before here, you need to target prospects with precision to make an impact today.

Nigel Edelshain, who's behind this Sales 2.0 concept and is presenting on the webinar, says that most sales people "do reasonably well once they are in a sales meeting. But most of them are unable to execute a successful prospecting/lead generation program".

100% behind you there, Nigel. For salespeople also read: "any small business owner and Director". Nigel goes on to say:

One element that really distinguishes "Sales 2.0" in my eyes from "old school selling" is the focus on the front end of the sales process not the back end. The "old school" sales books always focused on closing techniques and said very little about prospecting. "Sales 2.0" flips this approach and puts most of a sales person's time and energy into research and prospecting.

Again, couldn't agree more Nigel. In fact, I'd go as far as saying that if lead generation is done right the deals almost close themselves (OK, maybe that's a bit far)

But, he's correct that if you target the right people with a well researched proposition it's at least 50% of the way there.

Whether that's really 2.0 or not I'm not so sure.

No doubt, Nigel will go on to show us how we can use Jigsaw, LinkedIn, et al to target prospects and that's where the 2.0 bit will come in.

But I wouldn't rule out the "old school" either. Even with the all the tools available to target prospects, sometimes you've still got to pick up that phone.

But that's just my 2.0 pence... or 2.0 cents if you're on Nigel's side of the pond.

Labels: sales lead generation, social networking sites, telemarketing

It was interesting to read in the latest Profit Track 100 report that, in the wake of the credit crunch, strategic alliances are being seen as a strong route to profitable growth.

With the days of cheap debt behind us, companies are looking at alliances and joint-ventures as alternative strategies for rapid expansion.

There are a number examples in the report, including the Virgin credit card, an alliance between Virgin and Bank of America.

Certainly, strategic alliances are a good way of leveraging growth potential. In the case of the Virgin credit card, it now accounts for 5% of all new credit card business in the UK, just 5 years after it's launch.

As the report high-lights, with M&A transactions significantly down on last year and a third of the list having improved their earnings through acquisitions, "next year's tenth anniversary Profit Track 100 may well have a different complexion"

Labels: business development, funding, strategy

I get approached by a lot on online business looking to outsource their ad sales.

Well, I say outsource their ad sales but, basically, they don't have any to outsource.

What they all really mean is... "I want you to sell advertising for my unproven Web 2.0 business but I haven't any cash to pay you".

There's a great article in today's Sunday Times The new dotcom boom which gives some insight into this.

Whilst drawing some parallels with the last dot-bomb bubble, most notably the growth of start-up networking events, it's recognised that there are a some differences this time round.

Today, it's typcial of Web 2.0 start-ups see their exit through a strategic buyer rather than an IPO. VC activity is up but no-where near the feeding frenzy heights of last time around. One reason could be that it's so much cheaper to actually start up a Web 2.0 business today.

"Lastminute used to cost millions of pounds every year in technology," says Hoberman [Brent Hoberman of Lastminute.com and wayn.com]. "Now it is far cheaper." How come? "Moore's Law. Everything becomes cheaper and faster." Can you set up for 20,000? "Absolutely," says Clegg [Judith Clegg of the Glasshouse, the company that runs Second Chance Tuesday]. "Less, perhaps."

Add this to the fact that most Web 2.0 start-ups' business model is based solely on advertising revenues and you start to see why we get approached by so many people to sell advertising on commission.

The problem is that none of these start-ups have anywhere near enough traction to make a CPM model pay. So, to fill the void, there's this vague idea that someone can just make a few phone calls and drum up a quick ad deal for their "next big thing".

Sure, ad spend is moving rapidly online. However, as the article points out "with lots of social networking sites all seeking advertising money, some kind of shake-out is due."

Web 2.0 businesses typically work on some low value/high volume model (which could be be that a directly listing fee, monthly or annually subscription or CPM ad revenues). The trouble for us is that these models just don't work well with telesales (which needs at the very least a medium value proposition) unless you're prepared to buy business in a land-grab.

If you're looking to self-fund and grow covering your sales costs (outsources or in-house) from revenue then you either need a higher value offering or a small number of partnership deals which will bring the long term revenue scale you need.

So, now you know, please... stop calling me ;-)

Labels: new business development, sales outsourcing, start-ups, telemarketing, telesales, venture capital

Can you remember that line from Joe in Reservoir Dogs - "Let's go to work"

What a great film!

There's this theme that runs through some of my favourite films. Films like Ronin, Heat and, of course, Reservoir Dogs.

In all these films there's this core team of experts who come together to execute a plan.

That's something I completely identify with because it's at the heart of what we do; we pull together a team of seasoned experts, usually formed around a core team who we have worked with previously, to make it happen.

Our clients use us because we just "get to work".

It's something I've always enjoyed about people who are real experts at what they do; the straight-forward way they effortlessly deliver.

Whether we're talking about a builder, plumber or sales person, you know when you're with someone who's an expert in their field. And we're not talking about "book smart" here, I'm referring to the seasoned, battle-scarred expert who's earned their stripes in the trenches.

"Workman like" is a good term for it. No fuss, someone who quickly knows what needs to be done and gets organised to do it. Simple.

In fact, one of my favourite client testimonials pretty much sums it up:

"David is easy to work with, he understands how to get results and he delivers."

Let's go to work...

Labels: new business development, sales outsourcing, telemarketing