Selling: It’s a Matter of Trust

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sleazyThe concept of selling has been around a long time. Even before the first coins were minted around 600-700 BC, selling was a common practice. The bartering of goods and services in exchange for other items of value required people to convince each other that any given item was more valuable than something similar offered by someone else. The exchange of items of value is, in essence, selling.

It wasn’t until 1886 that the idea of sales as a profession came about. John H. Patterson, the president of NCR would identify the top person in prospect companies, sell them a cash register, and then incent them to share the word with other business owners. This marked the first time that people were paid for selling something they didn’t themselves create. It didn’t take long for the practice to spread.

In 1916, the first World Salesmanship Congress was held in Detroit Michigan. President Woodrow Wilson spoke and led credence to the idea of salespeople being important professionals. The theme of the congress was “trust-based” selling, an indication that nefarious practitioners had already begun to infiltrate the profession.

Ultimately, trust is at the heart of any sales proposition. Whether bartering or exchanging products and services for currency, both parties involved have to trust the other. In today’s sales environment, the burden of trust rests most heavily on the shoulders of the salesperson. They must appear trustworthy is the customer is to believe that what they are receiving is of sufficient value to justify what they are asked to pay. You might get away with violating a customer’s trust once or twice, but that’s it. Broken trust leads to broken relationships, and sales is all about relationships.

It’s the concept of trust that allows us to function as well as we do. Researchers have identified three functions that trust performs in society and interpersonal relationships:

Trust makes social interactions predictable. When you first meet someone new, you don’t know how they are going to act. But after a very brief interaction, you begin to pick up on patterns in their behavior. It’s these patterns that determine how you anticipate their future actions. Having observed the behavioral patterns of individuals over time, you can predict how a potential interaction will unfold. We start to “trust” that people will act a certain way.

Trust creates a sense of community. We tend to associate with people who behave in ways we prefer. It’s our trust in the future actions of others that leads us to form social groups. Your circle of friends exists because you’ve come to trust this group of people will act in ways you find agreeable. We move toward people we trust and away from those we do not.

Trust helps people work together. As communities develop, you trust that any given member of that group will act within the accepted boundaries of behavior. This means we don’t really have to know a specific individual in order to develop a level of trust with them. By affiliating with a particular community, we assume an individual believes in the same things as the group. We expect their behavior to follow the predictable mold that drew us to the group in the first place.

Think about the individuals and groups you associate with. How has trust influenced the makeup of your circle? What behaviors drew you to these groups? What behaviors would betray that trust and drive you away?

As salespeople, we have chosen to align ourselves with individuals and communities that communicate particular levels of trust. You reputation depends on, and impacts, the perceived level of trust customers have in your coworkers, your organization, and even others in your same profession working elsewhere. Each of us has a responsibility to validate, and strengthen, the trust placed in us. It is trust that leads customers to willingly engage with us, join our community by purchasing our products, and continue working with others in our organization.

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It’s a Matter of Trust

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trust-1418901_640Trust is a critical part of any relationship. Knowing you can rely on a partner or teammate allows you to focus on your strengths and responsibilities without worrying that something important will fall through the cracks. In a workplace setting, that’s especially important. Breaches of trust will break a team faster than anything else. Trust is also key to a healthy relationship with the boss.

How well your manager trusts you will dictate the extent to which you are allow to act freely. I’ve heard it said that trust is like a rope tied to your waist. The more trustworthy you are, the more the person holding the other end of the rope will allow you to roam. As trust diminishes, the more likely they are to reel in the rope, restricting your movements. So trust can be equated to freedom – freedom to act independently.

Building trust, or rebuilding it, takes time. Our evaluation of someone’s trustworthiness is impacted by our past interactions with them. New employees, or those with little experience in a given area, may not feel they receive the amount of trust they are due. If trust has been eroded as a result of poor performance, miscommunication, or other letdowns, it will take a series of positive experiences over time to rebuild your credibility.

Building (or rebuilding) trust isn’t hard to do. Simply focus on those things that lead you to place your trust in others:

Think before you act. Prior to speaking or taking action, take time to think through the ramifications. You don’t have to identify every potential outcome, consider what is the most probable. How will people react? What are the ripple effects you are likely to set in motion? Thinking through the “natural” consequences before acting can help you identify negative blows to your credibility and adjust accordingly.

Be prepared. When you present a problem, provide a solution. When you make a claim, have evidence to support it. Speaking in generalities or “crying wolf” without back-up is a sure way to lose trust. Have answers to the questions you’re most likely to be asked as a result of your actions. This shows you are top of your game and builds trust.

Be on time. Rushing into a meeting late or barely beating the clock erodes trust. It demonstrates an inability to prioritize and a lack of respect for other people’s time. The same holds true for achieving deadlines. Show respect for the boss and the rest of the team by completing your work on time.

Under-promise & over-deliver. Most people have a hard time saying “No.” This leads them to overload their plate with a variety of projects. In an effort to get everything done, they multitask which means nothing gets done well, eroding credibility. Don’t make commitments lightly. Give yourself enough time to perform the job to the best of your ability, even if that means explaining why you can’t take on an additional responsibility. Most of us would do well to focus on fewer projects, while executing to a higher level.[Tweet “Most of us would do well to focus on fewer projects, while executing at a higher level.”]

Follow through. An easy way to build trust is to simply do what you said you would do. Every day, people promise to call and then don’t. They commit to taking specific actions, and forget. Those who actually follow through earn our respect and trust because they do what most people don’t.

Earning trust comes down to taking personal responsibility. It requires a level of accountability that most simply aren’t willing or able to exercise. The list of go-to employees is too short. Is your name on it?

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When Good Leaders Do Bad Things

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egg-583163_640Addressing conflict is one of the key responsibilities of a leader. It’s not a fun job; in fact it’s often quite messy. Nevertheless, it has to be done in order for a team or organization to operate effectively. Conflict rarely resolves itself. While things may eventually seem to smooth out on the surface, there are always scars. Poorly handled conflict results in missed growth opportunities, the loss of top performers, and an unstable environment for those left behind.

It’s worth noting that, even as they should be working to resolve conflict, many managers act in ways that cause or escalate it. Certain actions, or inactions, by those in charge actually create tension and uneasiness that leads to conflict. Adept leaders regularly assess their own performance to ensure they aren’t adding to the very issues they try to prevent.

In a 2003 study of group dynamics and conflict, researchers identified five core beliefs that seem to move individuals toward conflict with each other. As leaders, we need to be on the lookout for these and do our best to address them before things get out of hand.

The first of these beliefs is Superiority. This is the feeling that I or my group is in some way superior to another individual or group. This belief can foster a sense of entitlement or protected status that puts people at odds. Managers who treat certain groups or individuals differently than others – giving them special privileges or ignoring sub-standard performance – cultivate this belief.

The second conflict-promoting belief is Injustice. This s the feeling that I have mistreated or slighted in some way. The pursuit of justice or even revenge can lead to escalating levels of conflict. Managers create a sense of injustice by adopting policies or practices that seem unfair, self-serving, or unequally applied.

A third belief to be aware of is Vulnerability. Here, an individual or group feels they have little control over important aspects of their work. A feeling of vulnerability can cause someone to act defensively or even aggressively if they feel a core part of their identity is being threatened. Managers make people feel vulnerable when they withhold resources and information necessary to do their best work and when they turn a deaf ear to reasonable requests.

Distrust is another belief that leads to conflict. Often due to being let down in some fashion, individuals who develop a feeling of distrust for others are less likely to collaborate. Teams who distrust others, or the organization, often isolate themselves and develop subcultures that eventually come into conflict with others. Managers sow distrust by failing to follow through on commitments, communicating dishonestly, and generally acting in ways contrary to their stated values.

Finally, Helplessness can lead to conflict. Helplessness is the belief that nothing you do matters in the big scheme of things. No matter how carefully you plan and act, the odds are stacked so heavily against you that success is impossible. Managers create a feeling of helplessness by setting unrealistic goals and regularly focusing on the negative without recognition of positive performance.

Keep in mind that these are core beliefs held by an individual or team. It doesn’t matter whether or not an actual injustice has occurred. All that matters is the perception that it has taken place exists. It’s become part of the affected person’s worldview. It is this belief that lays the foundation for conflict to occur. Perception is reality and, without something to counteract them, these beliefs can fester and grow until conflict erupts.

Anyone who thinks being in charge is easy doesn’t know what they’re talking about. Being a leader – a true leader – requires a great deal of focus, energy, and sacrifice. It starts by examining your own actions and taking the steps necessary to create an environment where people feel valued and engaged. Conflict is inevitable, but our participation in it is not.

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Why Leaders Address Conflict Head-On

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leader-e1471893072992If there’s one aspect of the job that managers do their best to avoid, its conflict. Ideally, things would always run smoothly in the workplace. Each person would do their job, goals would be aligned, and differences would magically work themselves out. Unfortunately, that’s just not the case. In fact, one study found that the some managers spend up to a quarter of their time working to resolve conflict. That’s a lot of time devoted to an activity that’s simply not a lot of fun. Because conflict resolution is so mentally and emotionally draining, a lot of managers choose to ignore it. They simply look the other way.

It is a lot easier to pretend conflict doesn’t exist. I know several managers who are really good at it. They ignore the fact that key employees aren’t performing. They use deflection to convince others (and themselves) that the team’s poor performance isn’t really theirs to address. They talk a good game, but, like the Emperor parading around without clothes, there’s nothing of substance to see. They’ve mastered the art of conflict avoidance. But according to executive coaching firm Assiem, there are significant repercussions to ignoring conflict.

Ignoring conflict damages morale. Employees who perceive they are being treated differently aren’t happy campers. If you hold some accountable, but not others, moral suffers. If one manager does the right thing, but another doesn’t, morale suffers. It doesn’t matter what you say. It’s what you do that communicates. Ignoring conflict fuels the fire of employee dissention.

Ignoring conflict kills productivity. Top performers thrive in an environment where the leader addresses conflict. When others are allowed to get away with poor performance or bad behavior, those top performers see the disparity and lower their level of effort. Just as a chain is only as strong as its weakest link, your team will only rise to the level its lowest performer.

Ignoring conflict lowers customer service. Employees who feel supported and valued will support and value the customer. Those who feel abandoned will do the bare minimum and leave their customer feeling abandoned as well. It’s not uncommon for disgruntled employees to share their frustration with customers they trust. This leaks the issue outside the team, impacting the company’s reputation immeasurably. Even worse is when a customer witnesses first-hand a leader who fails to address an issue unfolding in front of them.

Ignoring conflict hurts retention. Left unaddressed, workplace conflict will drive some employees to leave. Usually, they are your best ones. They won’t announce their intention. They’ll just make up their minds that leadership has failed and look for another team – a better team – to join. One day, you’ll look up and they’ll be gone, leaving you with the low performers you’ve decided to tolerate.

Ignoring conflict impacts your credibility. Your employees talk about you. You know that, right? As the boss, you are in the spotlight. You are a constant subject of conversation amongst your team members, and your credibility rises and falls with each story they share. You can’t stop it, but you can determine the types of conversations they have. Are they sharing their pride in working for a manager who addresses issues, or are they discussing your latest failure to lead?[Tweet “Leaders acknowledge conflict and address it head-on. Ordinary managers don’t.”]

Conflict resolution is not fun, but it is a necessary and critical part of the manager’s job. It’s a key part of what turns a manager into a leader. Leaders acknowledge conflict and address it head-on. Ordinary managers don’t. Odds are, there’s a conflict brewing on your team right now. Name it, tackle it, and watch all of the negatives listed above turn into positives. Watch morale improve, productivity increase, service rise, retention woes reverse, and credibility grow. Choose the path less traveled. Choose to lead.

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What Makes a Top Performer?

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Last week, I had a conversation with a couple of people about identifying their top customers. It’s been my experience that when asked to name their best customers – that is, those who contribute the most to the business – the majority of people get it wrong. A look into actual sales data and performance of actual accounts over time always reveals others who contributed more. In fact, those that were considered “top” customers often prove to be hurting the business. Their demands for refunds and special treatment make them a burden rather than an asset.

The same can be said of employees I think. A manager’s perception of their team’s top performers is very often skewed. Someone who knows the right things to say or manages to be in the right place at the right time is not necessarily a key contributor. Digging into some actual performance data reveals that the actual work was conducted by others, people who may not be in a position of influence. The one you think is a top performer may in fact be riding on the coattails of the organization’s true heroes.

How do you identify a top performer? How do you know you are one them?

Top Performers Will: Top Performers Won’t:
  • Volunteer for new challenges.
  • Wait for someone to tell them what needs to be done.
  • Give credit where credit is due.
  • Allow you to believe they contributed more than they did.
  • Have a track record of steady contribution.
  • Have a hard time explaining their individual contribution to the team.
  • Identify ways to improve the organization.
  • Bad-mouth the organization.
  • Look for opportunities to assist others.
  • Shrug their shoulders when others encounter difficulty.
  • Work to build a history of performance.
  • Rely on friendships or past successes.
  • Have the support of those who work closest to them.
  • Be resented for failing to act as part of the team.

As a manager, do you know who your top performers really are? Are you relying on hearsay, assumptions, or friendships to guide your perception of team performance? If you were to dig a little deeper into actual performance, who would stand out?

As an employee, are you contributing in a way that identifies you as a top performer? Are you producing actual work or claiming success that really isn’t yours? Would those who see what you do on a daily basis refer to you as a top performer?

We all want to be seen as a marquee player. And everyone wants to have superstars on their team. The good news is top performers, like top customers, are easy to spot. You just have to know what to look for. What attributes tell you someone is a top performer?

What Did You Expect? The Importance of Consistency

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This article is a day late.

If you’re a regular reader of my weekly ramblings on sales, service, and leadership, you know that I publish every Monday morning. Many of you have come to expect my familiar voice in your email box at a specific day and time. So, some of you took notice when I didn’t show up yesterday.

We humans are creatures of habit. We like predictability. We crave structure and routine. We like knowing what to expect. It gives us a sense of security and stability. And when it comes to dealing with other people that predictability leads to trust; a key characteristic of healthy relationships.

As service providers, we need to pay close attention to the idea of consistency. Customers come to expect a certain level of service from us. They come to expect a particular set of behaviors during an interaction. It gives them that sense of familiarity and trust. And provided they like what they come to expect, it keeps them coming back.

But when that routine is broken – when we fail to meet expectations, even if it’s slight and only once – that trust is shaken. Doubt is introduced to the relationship. The customer can’t help but wonder “What’s going on?” Suddenly they no longer know what to expect and the relationship is in jeopardy.

Think about the last time your favorite restaurant changed up their menu. Or the time the grocery store altered the floor layout. It threw you for a loop, didn’t it?

A select few will speak up. In fact, I can count on one hand the number of people who asked me about yesterday’s article. But most won’t. They’ll remain silent while they wait to see what happens next. If the service slip proves to be a fluke, the relationship probably continues. But if things don’t return to “normal” quickly, most of them will write you off. They’ll quietly look for another source of stability and the relationship is lost. It’s only later, after the opportunity to fix things has passed, that you realize they’re gone.

Top organizations are always looking for ways to enhance and improve the customer experience. They seek out innovative ways to draw in new customers and raise the bar for their competition. But too few pay attention to the importance of consistency. They fail to ensure the new level of service can be maintained for the long-haul. They get complacent and forget that the customer is always watching – and evaluating their options.

It’s a delicate balance: innovation vs. predictability. Getting it right means everything.

Take a look at your routines. What aspects of doing business with you have your customers come to rely on? What parts of the relationship are most dependent on consistency? How will you ensure your customers continue to receive what they expect?

 

A Prescription for Dealing with Difficult Customers

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bandageI’m regularly asked to provide tips for dealing with difficult customers. You know the type – irate, demanding, and practically impossible to please. No matter how good your service is, you are guaranteed to encounter someone who just isn’t happy. Every business has them and employees dread waiting on them.

So, how do you handle these “difficult” customers?

The answer, I think, begins with understanding why the customer is upset or demanding in the first place. You see, most people don’t want to be difficult. They don’t want to be regarded as a problem customer. On the contrary, most of us want things to be easy. We want to get along with others and exist in harmony.

But sometimes this harmony is disrupted. Somewhere along the way, the customer’s trust in the organization is broken. The relationship is damaged. Perhaps a mistake was made, or perhaps something was miscommunicated. It may not even be your organization’s fault. But nevertheless, there they are, standing in front of you and being “difficult.”

Once you realize that your customer’s behavior is most likely the result of broken trust than a personality trait, it changes your perspective. You can focus on rebuilding trust vs. defending your position. You can stop dealing with difficult customers and start mending the relationship. Here are four steps to help you DEAL with these situations.

DEVOTE your full attention to the customer. Before notifying you of the problem, your customer spent rehearsing the interaction in their head. They practiced what they were going to say and probably anticipated excuses or denials of responsibility. This puts them on edge and causes them to act in ways that are perceived as “difficult.”

As service providers, we need to let the customer say what they have to say. Avoid interrupting – even of you quickly ascertain what needs to be done to make things right. The customer needs the problem fixed; but just as importantly, they need to express themselves to someone who will listen. Even if you quickly ascertain what needs to be done, avoid the temptation to short-circuit the process by interjecting. Ask questions to clarify, but give them the chance to tell their story.

EMPATHIZE with their situation. Empathy is the ability to understand another’s position. It’s important to let the customer know that you’ve heard what they have to say and respect their feelings. This validation is a critical step in the healing process because it lets the customer know you are on their side.

Remember, the reason your customer is acting aggressively is because they have anticipated a struggle in receiving the service they feel they deserve. When you empathize with their situation, you establish yourself as their advocate. This simple step is often all it takes to change the customer’s behavior. Once they feel they have someone who understands their plight, they relax and allow you to go to work on their behalf.

ACT quickly and decisively. Now that you know what’s going on, and have established yourself as the customer’s agent, it’s time to get busy. Do what it takes to make things right. Educate the customer along the way so they feel comfortable. Leaving them in the dark only serves to reintroduce confusion and suspicion.

This is not the time for guessing or assumptions. Make sure each step required is accomplished and follow through with any commitments you make to the customer. Any slip up negates the healing that’s begun to take place.

LET the customer know you really care. If necessary, say following an especially egregious offense, make a goodwill gesture to compensate for the customer’s frustration and inconvenience. The key is to reinforce the idea that the customer is valuable to you and any misstep in service was an anomaly. Apologize and thank them for their patience and continued business.

Studies show that a customer whose negative experience has been resolved to their satisfaction is more loyal than one who never has a problem at all. That’s because responding to service failures is often your best opportunity to shine. Your customer is bound to share their side of the story with others. Just make sure it has a happy ending.

Taking it To the Bank

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imageAs a kid, I had a piggy bank. I don’t remember where it came from, but I do remember the thrill I would get each time I dropped a coin into it. I couldn’t see inside, and it didn’t have a plug in the bottom; so I had no way of knowing how much money I had collected. Occasionally, I would shake it, but the only way to know how much was in there would have been to break it open. And I didn’t want to do that until I knew I had filled it up. I knew that once I had put everything I could into the bank, I would have something extremely valuable. So every chance I had, I dropped another coin in.

In a sense, each of us has an internal piggy bank. Each encounter with another human being has the potential to impact who we are and how we see those around us. Positive encounters result in deposits being made. The more positive the experience, the more is deposited and the more our internal balance of positive experiences grows.

Negative interactions on the other hand, are like shaking the piggy bank upside down until change falls out. They are jarring and disorienting. They result not just in a diminished balance, but in an unsettling of what remains. And in the end, there’s a void; a space that has to be filled back in before the balance can start growing again.

But there’s a significant difference between our internal piggy bank and the one I had as a child. You see, each time you make a deposit into someone else’s bank; your balance grows by the same amount. Sometimes it grows by more. Each time you do something for someone else, each time you serve them, you benefit. The more you give, the more you get.

And of course, the opposite is true as well. Each time you shake someone else’s piggy bank – each time you withhold service or leave them with a negative perception of an interaction with you – your balance diminishes at least as much as theirs does. Sometimes you lose more.

When you think about it, the best way to grow your own balance is focus on growing someone else’s. If you sit around waiting for someone to put coins in your bank, you could be waiting a long time. But making an investment in someone else always pays off.  The more you invest, the more you stand to gain.

Take a look at your customer. Take a look at your coworker. Is your relationship with them not as rich as it could be? Maybe it’s time to make a deposit.

The best thing about filling a piggy bank is that it doesn’t require large deposits. Just a few coins here and there will fill that thing up in no time. I bet if you checked you’d find you have a little to give right now. Why not invest it today?

To Believe or Not To Believe

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PinocchioAs a former advertiser, I love a good commercial. One of the more popular ones currently playing is from Geico. The commercial features Pinocchio as a motivational speaker. If you haven’t managed to see this one, you can catch it on YouTube. I think they got Pinocchio spot on – the look, the voice, everything.

This commercial is funny, but the more I watch it, the sadder it appears. Watch it again, this time focusing on the man Pinocchio speaks to. This poor guy has come to a motivational seminar looking for validation of his self-worth.

As Pinocchio proclaims the presence of “potential” in the room, the man begins to feel a rising sense of purpose. When Pinocchio points him out specifically, saying “You have potential,” the man’s face breaks into a huge grin.

Then Pinocchio’s nose begins to grow.

In an instant, our friend in the audience has his confidence shattered. His face falls as he realizes Pinocchio doesn’t see value in him at all. And because the authority in the room sees no potential in him, he adopts the same belief.

Words are powerful. You’ve heard that “Sticks and stones may break my bones, but words will never hurt me.” The words of a leader, however, carry more weight than the average person’s. Those in charge have the power to make someone’s day – or ruin it – with just a few words.

Even more important than the words a leader says is the belief behind them. Sometimes the right words are said, but they’re not meant. A compliment, delivered insincerely, is the worst kind of insult.

You see, as a leader; you are always leading – either building people up or tearing them down. People need leadership. Every single one of us needs someone to point out the goal, provide direction, and give feedback.  And we all follow the example of the leader. Whatever feelings we derive from our interaction with them, we pass on to others -coworkers, customers, even family members.

Leadership is a noble calling. But it is not something to be taken lightly. What kind of leadership are you providing? How do people feel after a typical interaction with you? How does your leadership impact the service your team provides to others?

I Want My USB!

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imageI visited three airports today. I always bring my iPhone cable, but today I managed to forget the wall plug. I was sure I’d need to recharge my phone at least once during the day, but since I wasn’t staying overnight and airports all have those USB outlets now, I didn’t worry. The plug section really wasn’t needed, right? Wrong! I must have tried at least ten different USB outlets at each stop only to find that none of them worked. Most of them seemed to be loose, while others had either been purposefully gutted or vandalized. Only a handful even appeared to be in working order. I received the expected amount of resistance when inserting the jack, but no charge was forthcoming. Those were the most frustrating ones of all. Everything else about my traveling experience was great. The flights were on time, the employees I encountered were courteous and helpful, and the airports were clean. Working or not, USB ports have nothing to do with getting me to my destination on time. And its not like I paid money to use them – they’re provided as an ancillary service, an extra, an unadvertised perk. So why am I so aggravated? Because I expected them to work. Past experience had led me to understand that these extras were available to me at any time. It never occurred to me that they might not work. By willingly providing for an unspoken need, and placing them so prominently, airports created an expectation in my mind. And once that expectation was formed, it became an entitlement. Just as I expect to be offered pretzels on the flight, I now expect to find an operable charging port for my phone. Small gratuities, offered consistently, breed expectations. Unmet expectations breed dissatisfaction. I wondered if anyone at the airport ever checks the charging ports to see if they’re working. Then I thought about the perks I’ve been offering to my customers. How many of them have become expectations? Are there small things that I take for granted that have become big things in the minds of my customers? I once worked with a lady who changed banks because hers stopped giving out free popcorn on Fridays. Could I potentially lose a customer because of something unrelated to my core business? Absolutely. What about you? What little niceties does your business provide? What would happen if you suddenly stopped providing them? I’m not suggesting that you shy away from the little extras that set you apart from the competition. I’m simply suggesting that you be mindful of the expectations you set. Pay attention to the small things lest they become big problems.