In sales, our compensation is directly tied to the opportunities we generate and successfully seize. If we are not actively creating, capturing, or closing deals, we're not fulfilling our role effectively. It's crucial to recognise that our customers often find themselves in stagnant situations, requiring us to innovate and deliver superior value. As a sales professional our task is to navigate this scenario, devising strategies to secure meetings and effectively communicate the benefits we offer. I think your number one goal in sales is to make your customer as successful as possible, and if your motivation is to make your customer win, then you will always win in sales.
Make more money
The ability to think silently is a powerful tool, allowing us to process ideas internally without verbalising them. On the other hand, when it comes to expressing those thoughts, words become essential. I think communication acts as the bridge between ideas and their manifestation, serving as the cornerstone for the highest levels of value creation. And in my experience, the best communicators with the best ideas are often the ones who achieve the greatest financial success.
Let’s break it down
Artwork by Rvasilovski
Value creation extends beyond efficient manufacturing of predefined goods as one has to understand that a very large part of economic value is created in the mind and not in the factory. I think marketing is as much a source of value creation as manufacturing, unfortunately not everyone shares this perspective. There are many thinkers who believe that value is inherent and can be manufactured with increasing efficiency. I contend that true innovation lies not only in altering the products themselves or the means of production but also in reshaping people's perceptions as I believe innovation and marketing are fundamentally two sides of the same coin. And there are only two ways that you can create new economic value - you can either find out what people want and work out a clever way to make it or you can work out what you can make and find out a really clever way to make people want it. What do you think?
Aligning value creation
It’s common knowledge that understanding the "why" behind consumer behaviour is crucial for businesses to make informed decisions. Creating value in the mind of the customer requires understanding their wants and needs. Data can provide valuable information about consumer preferences, buying behaviour, and market trends, enabling businesses to develop products or services that align with customer demands. I think by delivering what customers truly desire, businesses can increase the chances of creating value that resonates with their target audience.
A multifaceted journey
Starting a business begins with a marketable skill, idea, or product. This is the foundation upon which your entire venture will be built. It could be a service you excel at, a unique product you've developed, or an innovative idea that addresses a specific need or problem in the market. I think the essence of any successful business is the ability to create value for your target audience. This value can come in various forms, for example, solving a problem, making their lives easier, providing entertainment, offering convenience, etc. When your offering resonates with your target audience, they are more likely to be willing to pay for it. Do you have a business idea? Contact me via e-mail to book a confidential 1:1 sparring session.
Authenticity over algorithms
Many people consider kindness to be a weakness. I think it’s essential to be humble and kind, and also to know your worth. Remember, knowing your worth doesn't mean you have to be arrogant or dismissive of others. It means recognising your own value while respecting and appreciating the worth of others.
““Effective communication is 20% what you know and 80% how you feel about what you know.””
The capacity to increase the valuation
Here’s a framework for creating marketing value for your organisation (V.A.L.U.E)
- Understand how VALUE is created within your organisation and how it is created for customers.
- Be ACCOUNTABLE to your organisations value creation metrics.
- Use the LANGUAGE of value creation.
- Scale the UNDERSTANDING of value creation across your organisation.
- Have an EVIDENCE based mindset and report regularly using the agreed value-based metrics.
Creativity is critical not only to brand building, but also to value creation as a whole.
a) Do you understand where your brand value is created?
b) Do you understand how your customers perceive and receive value?
c) Do you understand the value your brand delivers both short and long term?
Contact me via e-mail for a meeting on why you should use business language and not marketing jargon deeper when speaking about your organisations brand value.
Just another day
Marketing isn’t advertising or hype, it’s not shortcutting, it’s not selfish, it’s not pushing people to do things they don’t want to do! I define marketing as work that matters for people who care. It’s the work of making things better, doing things that you are proud of. I think marketing isn't about selling products; it's about solving problems and creating value for your customers.
· Do not brag about how busy you are, instead let your work speak for itself.
· Do not brag about how much you know, instead teach others.
· Do not brag about who you know, instead connect like-minded people.
· Do not brag about the past, instead celebrate the present.
The trading value
“Most salespeople fail to acquire meetings by failing to follow “the trading value rule,” which suggests that any time you ask a client to make a commitment to a conversation, you are responsible for explaining to them the value they receive in trade.”
Perceived value
Affordable luxury in simple terms means that luxurious products within the financial reach of a much larger buying segment than for example, in the case of Louis Vuitton or Chanel. In the past, luxury meant exclusive and privilege to the wealthy. Luxury has always reflected one’s personality, but nowadays luxury has become accessible. As luxury begins to target the younger population there will be a movement towards sub-labels and diffusion ranges, for example, Marc by Marc Jacobs, Armani Exchange, McQ, See by Chloe, etc. Sometimes there is very little differentiation on the product and quality fronts, but in most cases the logo and communication can create a perception of luxury.
E is for evidence
What happens when you take time to appreciate and be thankful for those who have contributed to the abundance in your organisations?
I think that if you create an evidence-based mindset by using empirical evidence and value-based metrics. According to my dictionary the word evidence means ‘one or more reasons for believing that something is or is not true.’ So, to answer your question, perhaps it would be a good idea to include non-digital metrics and those measuring the strength and health of the organisation as well as short term data sets.
U is for understanding
How do you scale the understanding of value creation across your organisation?
I think that it’s better to understand something than it is to know it. Sales and marketing teams must demonstrate the ability to collaborate and partner effectively with finance as improved financial literacy will enable stronger strategic debates. Working with finance and the rest of the leadership team is central to fulfilling your commercial objectives whether you are a start-up or a multi-national organisation. Contact me via e-mail for training and understanding workshops for effective sales and marketing teams.
L is for language
What does the EBITDA abbreviation mean to you?
EBITDA means ‘earnings before interest, taxes, depreciation, and amortisation’, and this is how an organisation’s overall financial performance is measured. Do you use the language of business and of value creation? I think it’s time for marketing teams to move away from marketing jargon and encourage more discussions. Marketing teams should use their insight skills to communicate more effectively with the internal stakeholders, as this is about building relationships.
A is for accountability
As debate rages about restarting economies, one critical element is absent from discussion. In his Harvard Business Review article, Joseph Grenny suggests that the heart of a high reliability culture is immediate peer accountability. The predictor of our success or failure will have less to do with when businesses open their doors and more to do with how often people open their mouths. I think greater transparency is needed to generate respect, trust and support. Do you accept accountability for the actions of your organisation and for their metrics of value creation?