Getting that first appointment with a new business prospect is difficult because most sellers do not take the time to establish trust and create value in the mind of the prospect.
Unknown salespeople do not have the best reputation in the minds of new business prospects because of the less than honest actions of some sellers. An essential element to overcoming this hurdle is establishing trust and creating value—one way to do this is to think like an owner.
Business Acumen: Do You Have It?
If you are going to think like an owner, you need to have basic business acumen. Here are three key areas to consider:
- How the business runs
- How they spend their time
- How industry trends impact their business
You should focus some of your appointment setting and needs analysis preparation on understanding more about the industry and business you are targeting. Be prepared to discuss your findings and learn more during your discovery meeting using this information.
How The Business Runs—Think About, Learn About, Discuss:
- How they make money
- Top revenue categories
- Top expense categories
- Profit & Loss statement
- Top profit drivers
- Current success measures
A Google search will help with many of these topics. For example, if you're pursuing a plumbing business as a prospect, search: Top revenue drivers for a plumbing contractor. Here ‘s some valuable information from ThePlumbingInfo.com.
How They Spend Their Time—Beyond Marketing and Advertising:
- People
- Product
- Process
Too often, media sellers assume that owners spend the majority of their time thinking about marketing and advertising. This happens because we are in the marketing and advertising space. This thinking is fraught with peril. Be wise and avoid it.
How Industry Trends Impact Their Business—Trends to Consider and Learn About:
- Consumer behavior
- Local market conditions
- Government regulations
It’s a Journey.
Approach each new prospect as a way to increase your business acumen. This starts as you develop a valid business reason to set the initial meeting. Note: the information in this post is a comprehensive list. It might take you a while to get all of this information. Research will only get you so far, but some dialogue with the business owner will help fill in the blanks. Having this dialogue will help you establish trust and create value due to the fact most sellers do not engage in thinking like an owner.
