Blog Posts

The agency finder Process. A New Writer writes …

Written by ChuckMeyst2015 on . Posted in Agency Search Tips, Blog Posts

If you are part of an advertising agency looking to sign up with an agency finder service, there are certain steps that you can take to help get in the client line. A new business development program is not the only option to finding new clients, and it is also not the only way to find new clients. Many reputable advertising agencies have partnered with agency finders to help make contact with clients that are the perfect fit.

An agency finder works similar to other finders or hunters you may have heard of or experienced before. Apartment finders and head-hunters are similar businesses that work in a matchmaker way. As certainly are eHarmony.com and Match.com. Even the best, most experienced high quality agencies are subject to slow failure without clients and need to sustain their business. Therefore, it is important that agencies have a shoulder to lean on that helps their business flow and stay stable.

There are steps that need to be taken for an agency to become a part of an agency finder. To be the best prepared for such an occurrence, the process typically starts with filling out a profile. The agency will create a standard or lengthy profile; the best have more than 500 fields. While this may seem time consuming, it is simple and a small price to pay to get your agency’s name out there. Example database fields that you’d fill out for your profile include industry and market experience, billing options, agency services, location and the area you serve, employee census, and media experience.

When a client searches for their new agency, they normally select from sample fields to find their perfect match. This is why it is important that all fields of the profile be filled out accurately. After this, an agency finder and the client will discuss optional agencies together, and look through your agency’s case studies and other submitted profile essays that include strengths, philosophies, and creative approaches.

Whenever the time comes for the client to choose, an agency finder will contact the chosen marketing agency and inform them that they are invited to reach out and hold their telephone interview with the client. Registered agencies will then need to become “fee-paid” (if not already) where those fees are annual or initial. They will vary based on the client budget. Considering there will be ample business and income gained from agency finder introductions, agencies should rest easy that their investments are not wasted.

Remember, an agency should never feel obligated to work with a client and a client should never feel obligated to work with an agency. Declining an offer is entirely up to each party. Do be considerate in the time you take to decide however. More than likely there is another marketing agency or public relations firm waiting on your answer to learn if they have now made the cut.

Guest author – Jordyn Walters

Check out what makes AgencyFinder so different:
https://www.agencyfinder.com/about/what-is-agencyfinder/

How Agencies Can Achieve 3.0 Status – Simplicity and the ‘Four Ts’ will help them evolve

Written by ChuckMeyst2015 on . Posted in Blog Posts, Marketing Consultancy

By  as appeared in ADWEEK

The advertising industry has never been hit as hard as it’s being hit today. It’s facing economic, technological and even geopolitical disruption across the board. Add the complicating factors and steep learning curves around new tech-driven touch points—artificial intelligence, augmented reality, virtual reality, voice command, chatbots—and you can see why marketers are scrambling for footing and pushing their agencies to prove their value. The unprecedented volume of advertising budgets—more than $30 billion—that has recently changed hands during what many referred to as “Mediapalooza” is a clear indicator of this disruption.

It’s no secret the agency model needs to evolve. As an advisor to some of the world’s biggest brands on priorities ranging from organizational transformation to agency reviews and client-agency “therapy sessions,” I have a front-row seat to what marketers want and need from their agency partners—a new set of skills and capabilities best represented by what Adweek has dubbed “Agencies 3.0.” RFPs today solicit competencies that reach beyond the traditional agency mandate and include integrated content and distribution strategies, greater operational agility, transparency, data science and analytics, and programmatic expertise.

Those requirements might seem like a tall order, but there are a few things agencies can do to meet them. The first is simple: simplify. Agencies can flatten their structures and tear down silos that separate integral disciplines. Agencies 3.0 demand a rebundling of disciplines that were historically unbundled—creative, media and analytics. Creative and media practices should be built upon a strong data and analytics foundation and be woven closely together.

In one recent pitch, the client demanded a truly integrated approach to media and creative, intricately linked to one another and built upon insights in near real time. Look to Omnicom’s McDonald’s win last year for another clear example of an astute Agencies 3.0 approach weaving together content, data, strategy and social through one aperture. And it’s not just McDonald’s.

Honda recently returned its media buying assignment to RPA to more fluidly synchronize content production. Other recent industry moves indicate the demand for new agency configurations as a real and growing trend. According to Advertiser Perceptions, 64 percent of U.S. brands will review their media agencies in 2017.

Recalibrating to become an Agency 3.0 also requires a killer content strategy. Marketers spent more than $72 billion on TV ads in 2016, but they spent just as much on digital content across Facebook, Google, Instagram, YouTube, Amazon and other content-distribution platforms. In one recent agency review, the client specifically focused on the creation, distribution and ultimate monetization of content. They didn’t want to merely create their own content; they wanted to profit from it. In a world in which everyone is a content creator, Agencies 3.0 help clients maximize the value of that content.

A third, and perhaps most critical, requirement for Agencies 3.0 is transparency across all economic elements of the client-agency relationship. In the past month, the world’s largest marketer, P&G, announced a review of all agency contracts—but it’s not alone. In fact, according to the World Federation of Advertisers, or WFA,” a trade body that represents brands including L’Oréal, Emirates and P&G, 90 percent of advertisers are taking a closer look at contracts to demand more transparency. Agencies 3.0 are going to have to be accountable as marketers demand more granularity around every element of their investment and agency compensation in media, production, staffing and technology.

Finally, Agencies 3.0 will have to be savvy to what MediaLink calls the “Four Ts”: trust, technology, talent and time.

Trust: At its core, the agency-client relationship is a partnership. Metrics should be verifiable, and ROI and operating costs should be transparent. These are fact-based conversations.

Technology: Tech fluency is table stakes in a world where the explosion of devices, platforms and innovation have forever transformed the way consumers receive content and messaging.

Talent: Our industry runs on people and competes on talent. In the past two years alone, the ad industry has lost approximately a quarter of its global talent to competing industries. Marketers tell us they need more “athletes,” meaning those who can deliver, or orchestrate, multidisciplinary solutions across the data, tech, media, marketing and monetization of it all. That won’t happen if we can’t attract, train and retain more and smarter people across the board.

Time: “Always on” is an overused, yet under-appreciated phrase. Consumers are tech-empowered, device-rich and content-weary. Agencies 3.0 run at the speed of people.

It may feel daunting to stand at the starting line and see the finish so far away. But agencies are resilient, and they are packed with smart, creative thinkers accustomed to solving big problems for their clients. Now agencies need to turn that brainpower inward to resolve their own challenges, and speed is of the essence. The same changes that have rapidly and dramatically reshaped our clients’ industries require agencies to move quickly to fortify their own before they are swept away.

Lesley Klein is a managing director at MediaLink.

An Open Letter to Marketers Considering an Ad Agency Review

Written by ChuckMeyst2015 on . Posted in Agency Search Tips, Blog Posts, RFP Writing Tips

Great advice for marketers and agencies – read both and take notes!

This just popped up in AdAge Thursday February 23rd and I have to say, it’s one of the best, most common sense approaches and executions of an agency review I’ve read in a long tome. It’s great fodder for client and agency alike and certainly highlights the time, energy, financial investment and necessary dedication it takes to participate in an agency review. Feel free to comment if you have something to share.

by Michael Fanuele – Before becoming a client, I spent more than a dozen years at ad agencies around the globe, working as a brand strategist, trying my best to help our clients crack opportunity wide-open. But honestly, most of my time was spent diving in deep on dozens of pitches. That’s one of the many secrets of ad agencies: their shoulders are generally pushing against the Sisyphean boulder of new business, doing everything to win bigger and braver clients. It’s thrilling, exhausting work.

And so I knew very well the massive commitment of time and treasure I was demanding of ad agencies when, as chief creative officer at General Mills, I called a review of our creative partnerships last year.

Although McCann and Saatchi & Saatchi had served our brands so well for so long (more than half a century in the case of the former), a shake-up seemed in order. The brutal stress of our business … (Continue Part One and Part Two below)

Part One: http://adage.com/article/viewpoint/open-letter-clients-ad-agency-review/308002/?utm_source=agency_email&utm_medium=newsletter&utm_campaign=adage&ttl=1488570692&utm_visit=102073

Part Two: http://adage.com/article/viewpoint/open-letter-clients-ad-agency-review-part-2/308050/

 

The Ultimate Test of Your Positioning

Written by ChuckMeyst2015 on . Posted in Blog Posts, Business Development

Our post today is compliments of our friend Blair Enns @ Win Without Pitching

When we’re working with owners of independent creative firms on the positioning of their firms, we separate the exercise of choosing a focus, from the exercise of articulating a claim. The first is an act of sacrifice, which most people in the creative professions struggle with (even more so than the average business owner, I believe), and the second is an act of communication, something creative professionals revel and delight in.

The problem, I think you will agree, is obvious.

As coaches, our job is to politely point out when we see someone trying to gloss over a lack of courage in their positioning with slick language. One way we do this is to have a discussion about standards.

When it comes to positioning a creative firm, the principal might put forward a positioning claim of energizing tired brands, or working with challenger brands, or building cult brands. All these are examples of broad, quasi-nebulous claims that are possible to stake out, in theory anyway, but are almost never lived up to. The proof, and the problem, is in the application of standards, or lack thereof.

The standards I’m talking about when it comes to positioning are the standards of client qualification. For whom does it make sense for you to work and for whom does it not make sense for not to work?

Four Criteria

Positioning is a forward-looking exercise about targeting future business in an area where you have, or are building, deep expertise. Proper positioning however, will attract opportunity from outside of your target market. From time to time it may make sense to take those opportunities, provided they meet four criteria:

  1. You have the capability – you can do the work
  2. You have the capacity – you wouldn’t be displacing better-fit clients (you would essentially be selling excess capacity)
  3. You can do it profitably
  4. You don’t have to compete for it

It’s not necessarily a bad thing to take work outside of your area of focus if it meets these criteria. (I’ve written about this more fully in Expanding Your Expertise and On Project Work.) Most firms are pretty good about adhering to the first three criteria but many fail at the fourth, where the proof of your positioning is really measured: by your enforced standards around the work that you will and will not compete for.

Examples of False Claims Laid Bare

A firm that claims to focus on challenger brands competing for work with Coca Cola. An experiential design firm competing on a branding assignment. An internal comms firm pitching for an ad campaign. These are all examples of a lack of standards which expose the positioning as just an exercise in language, nothing but a spun phrase.

Narrowing your focus is supposed to force you deeper into your chosen area of expertise. The goal of positioning is not to go narrow, it’s to go deep. Narrow is simply the path to depth.

Every competitive opportunity that is brought to the table (or created in the CRM application) should be vetted against the firm’s positioning, with the question posed: “Would winning this business increase our perception as experts in our declared field or decrease it?”

Again, the crime is not in doing this work, it’s in competing for it. By competing for work outside of your focus you tell your people and your market that yours is not really an expert firm at all, it’s one more generalist spinning another story of expertise.

An enforced policy or standard on the clients and engagements for which you will and will not compete is the realest application of your business strategy, which, in the creative professions, we call positioning. A firm that does not enforce this standard has no strategy, is not well positioned, and everybody knows it.

Thanks Blair!

Why Your Positioning Problem Doesn’t Go Away

Written by ChuckMeyst2015 on . Posted in Blog Posts, Business Development

Our post today is compliments of our friend Blair Enns @ Win Without Pitching

Positioning the firm is the most fundamental act of leadership, and yet in many firms it remains largely undone, even after much effort and investment. I think I finally understand why, and it turns out I may have been no small part of the problem.

Work Undone
Creative firms are businesses, sharing a host of challenges common to all businesses. There are some challenges however that they seem to struggle with more than the average business, and positioning the firm is the prime example. While an increasing number of firms are getting their positioning right, the norm is that most agency principals still see their positioning as something they need to fix, even after working on it for a long time.

David C. Baker and I ran the three-day New Business Summit every year for ten straight years. I was always impressed that people would return, sometimes for consecutive years. I assumed that they laid the positioning foundation in their first year (we spent all of day one on positioning) and then came back again to focus more on the sales-based curriculum that built on a solid positioning. One year however, an agency principal who was attending for the third straight year said to me, “I’m finally getting my head around this positioning thing.”

Three years, nine days out of the office and who knows what else in the way of reading, thinking, working with outside consultants and perhaps attending other conferences and seminars, and the fundamental business strategy of this small business was still undeclared and uncertain. I can’t say this is the norm, but what I’ve seen over the years is the firm’s positioning (the business’ strategy) is usually something the principal thinks is “not there yet.” This is the most fundamental act of leadership and yet in the creative professions it remains chronically undone.

The Million Dollar Question: Why?
I’ve written many times about why positioning is more difficult for the creative mind (short answer: creative people are drawn to variety and therefore resist focus and the repetition it implies) but what I want to explore here is not the people who avoid the challenge of positioning their firms, but those who embrace the challenge, take on the hard work and difficult decisions and still do not get it done. They try, they really do, but they remain broad generalists trying to pull off way too much without much credibility, all while the world around them specializes and their more narrowly-focused competitors hoover up the most lucrative opportunities.

The answer to why, I believe, is two-fold.

Outside Help is Often Required
First, I’ve observed that firms that don’t nail their positioning quickly are not likely to at all without outside help. There are a number of possible reasons for this, including an inability to get team members onside, uncertainty of the most appropriate area of focus or just giving up after the results don’t come as quickly as expected.

Yes, you might be in the business of positioning your clients’ brands but there’s a reason surgeons don’t operate on themselves, lawyers don’t defend themselves and stylists don’t cut their own hair. Some things require an outside perspective.

The Decisions, And Struggle, Cannot Be Delegated
The second part of our answer might seem to contradict the first part: while an outside perspective is invaluable, the work has to be yours or you will not be fully invested in the decision.

We are a sales training company and our training program begins with an exploration of the firm’s positioning. Back when I was a sales consultant I likewise always began with positioning. “Let’s fix what it is you’re selling before we focus on making you a better salesperson,” was, and remains, my philosophy. Back then however I saw positioning as a problem for which I would quickly deliver a solution to my client. “Position the firm like this. Now let’s go.”

We would get it done quickly and move on to how to sell this new value proposition. It’s only clear to me now how rarely that new value proposition stuck. A client from my consulting days explained recently. “When you came in to work with us, we started with positioning, made some quick progress, but then you moved on and we started regressing almost immediately.”

That client is now a Win Without Pitching coach who was marvelling at how well her clients nail and stick to their positioning in our training program, compared to her team’s failure (ultimately my failure) to do so when working with me in a different form. It’s clear that she is a better coach than I am but beyond that it’s the structure that’s different, which leads me to conclude that while positioning is difficult to do on your own without outside assistance, it is also not a problem that can be solved by an outsider.

“While positioning your firm is difficult to do without outside help, it cannot be done for you.”

Required: Struggling Down a Well-Lit Path
My coaches are better at using our curriculum to help their clients’ position their firms because they see the positioning challenge as their clients’ and not theirs. I think my pride in wanting to be the person with the answers has long gotten in the way of my clients’ success. I see now that you, the principal of the firm, need to struggle, and own the struggle. By struggle I don’t mean grope blindly in the dark. It’s our job to show you the path, so you’re never doubting the steps or direction, and to offer the occasional hand as you walk it, but I now know that if you don’t walk it yourself and struggle while doing so there will be no meaning in the destination at the end.

I think this contradiction of the difficulty of doing it alone and the emptiness of having someone else do it for you is at the heart of why so many principals struggle at positioning their firms, even after so much effort and investment. They exhaust themselves on the problem and then bring in someone else, who, with the benefit of an unemotional, outside perspective, says “Here, this is the answer.” Those easily won solutions however are also easy to throw away when they don’t bear fruit immediately. When you’ve followed a process you trust and you’ve laboured over the decisions, when you’ve laid awake at night weighing the sacrifices, exploring the options and permutations and you finally come to the decision on your own that yes, “we are going to stand for this from now on,” that you are going to put all your chips on one narrow, consolidated strategy, that is when the decision is a meaningful one, more likely to stick – when it’s yours at the end of a long struggle.

Ah, But The Doubt Still Creeps In
But even then you will have doubts, and I think maybe that’s the last piece of the puzzle here. My consulting engagements typically began with a remote audit, in which I ‘solved’ the positioning problem, followed by two intense onsite training days backed up with some remote support. In our program today we spend twelve weeks on positioning (if that seems long, you might not fully appreciate the steps required) and then we’re with you for the rest of the year as you build on this positioning, developing a lead generation plan and intellectual property specific to it. By the end of the year, you’re invested!

From Answers to Questions
There are two types of consultants, according to my Canadian Association of Management Consultants guidebook: subject matter experts and process experts. If I’m fully honest, I’ll admit that when I read those words years ago I saw myself as a subject matter expert and I felt myself to be superior to the process experts. (Far superior – I didn’t even see process knowledge as real expertise at all. Rather, I viewed it like B2C creative firms used to view B2B firms: the domain of those not good enough to do the real work.)

Having the answers, I felt, was the height of expertise. Sixteen years and hundreds of engagements later, I now see that when it comes to positioning your firm and so many other issues, for the answers to stick they have to be yours, and they have to be hard-won. The key to your success is in the struggle that I long thought I could make go away. Of course you have to have complete faith in the path as you struggle, and it’s helpful to have others to lean on as you travel it, but there is no success without the struggle. Our job is to show the way, ask some tough questions, lend some occasional support and guide you further as you translate that decision into the tools for success, building your investment in your decision to the point where you are fully committed, and success becomes inevitable.

Then your positioning work will be done.

Here’s the positioning path we have our clients take.

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You Can’t Teach People To Sell By Teaching People To Sell

Written by ChuckMeyst2015 on . Posted in Blog Posts, Business Development

Why are so few salespeople highly successful? Why do talented, intelligent people, with outstanding products and excellent training, still plateau well beneath their potential?

In fact, many more salespeople fail than succeed, with less than a quarter typically reaching high sales levels. Just teaching someone product knowledge, sales skills, and activity-management processes, although necessary, won’t cause the person to sell successfully.

That’s because up to 85 percent of success in selling is rooted in feelings, attitudes, emotions and beliefs. Yet most sales training fails to take these critical factors into account, and as a result, most sales training ultimately fails the people (and the organizations) it’s supposed to be helping.

So say Sales & Marketing Management, in offering a Webinar to explore practical, proven ways of training professionals and sales managers to influence behaviors and attitudes that lead to higher levels of productivity and better bottom-line results. (Note: That’s easy to say; much more difficult to resolve).

I suggest an even more important bottom line. It takes a certain “personality-type” to sell, to be prepared for what a salesperson experiences. The prospect’s failure to listen, the rejection, mistrust and suspicion. The incredibly long lead-times from introduction to close. The jigs & jags along the way. An introvert can become a successful outgoing comedian; we’ve all heard about their introverted off-stage personalities. But an introvert seldom succeeds at sales if what they need to do day-in and day-out is in conflict with their basic areas of comfort. Within the agency world, many are educated in creativity and expression. Ironically, few ever receive training in new business development. In my experience, creative personalities struggle to fare well in a leading new business development role. But there’s hope; that’s not to say they wouldn’t fare well in a presentation role.

The lesson?  Don’t try to fit a square peg in the round hole of sales.

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The Agency’s Educational Transgression

Written by ChuckMeyst2015 on . Posted in Blog Posts, Business Development

A recent HubSpot article described an agency survey that revealed few agency employees stood up to accept responsibility for the development of new business for the agency.

No surprise there, it’s a function of the age-old agency mantra – New business is everybody’s business! Or, as you so clearly identified – new business is nobody’s business! Dating back to 1990 when we were conducting agency new business seminars stateside and in the UK, it was just the same. Agencies have managed to avoid the obvious for at least 26 years! Why? Because none of those in advertising ever had a class in what it takes to grow an agency business. It is almost a criminal oversight in the University community. And to suggest that agency “types” stoop to the lows of salesmanship, we’re not having any of that!

I don’t have the statistics at my fingertips, but as I recall, Gallup for years has ranked advertising folks depending, above or below “used car salesmen.”  So what’s the shame in shame! As of now, I have yet to learn of any University or College that offers anything more than a cursory pass at “business development.” So is it any wonder that those at an agency that are brave enough to at least try their hand at focused new business development, bail (unless they aren’t already terminated) after 6-12 months. They weren’t prepared or trained for the pressure that prevails.

I suspect little will change unless and until the industry accepts the fact that education and training are mandatory. BTW, all the recently surfaced “lead generation” software vendors will do little if anything the change that.

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When Clients Ask for Financials

Written by ChuckMeyst2015 on . Posted in Agency Search Tips, Blog Posts

Today’s enlightenment was supplied by Blair Enns, CEO with Win Without Pitching

I recently spoke with an agency ownership team about an RFP they had received from a new prospect. One of the submission requirements was a copy of the firm’s financial statements.

How do you respond in such situations?

You would be well within your right to issue the most impolite of two-word responses to such a demand. Of course that’s not necessary, though. This is, after all, merely a game. Rather than stress you out, such a request should bring a smile to your face and an eager acceptance of the challenge. Let’s go over how to play the Show Us Your Money game.

Is This a Game Worth Playing?

Before we begin, prepare yourself for the fact that any selection process that begins with a request for financials might not go well. When the client opens this way then they’re likely a price buyer. If the relationship begins through procurement then whatever you’re being asked to bid on is seen as a commodity and you will have no power. It’s a price-driven decision all day long. Best to bow out.

If things have gone well in the sales cycle only for procurement to pop up at the last minute and demand financials, that’s actually good news. When procurement gets involved at this stage its almost certainly because they see this as final negotiations with the preferred firm – although they will never let on that this is the case. You’ve got more power than you realize in this situation but wielding it begins with the word “no”. Until you clearly say no, procurement is hearing yes. There’s rarely a need to get uppity or indignant. Remember the WWP key principle of kind ruthlessness: be ruthless in your behaviour – in this case getting right to the issue of why the client is asking and what a more appropriate answer might be – but be kind in your words. So a healthy amount of skepticism and direct professional questioning is called for.

Playing The Game

First, let us recall the Win Without Pitching Four Priorities of winning new business:

  1. Win Without Pitching, if possible. If you cannot then…
  2. Derail the pitch. If you cannot then…
  3. Gain the inside track. If you cannot then…
  4. Walk away.

Priorities two and three are about gaining concessions that affect the buying process thereby giving you an indication of how likely you are to win. You proceed with opportunities where you have proven that your odds of winning are good, ideally better than 1/n (with n being the number of firms under consideration). The assumption is someone has the inside track. If it’s not you, it’s someone else. This is the inverse of the saying about poker, that “If you can’t spot the sucker at the table, it’s you.”

Now, the step-by-step guide to our game. A lot of these steps are the same as those you would follow for any RFP response, with the specifics around financials added.

Step 1: Pick Up the Phone

The first thing you do is call – even if the RFP says no phone calls. Don’t apologize, just ignore and call. Get to a real decision maker and not a gate-keeper or process manager if you can. If the opportunity has come to you through procurement and you can’t get to a decision maker then you’re either a filler candidate rounding out the roster, perhaps there as a source of pricing pressure on the others, or the entire engagement is seen by the client organization as a commodity. In either case you want to think deeply about the merits of proceeding.

Step 2: Why Us?

Once on the phone ask why you’ve been selected. You’re looking to see who referred you, if anyone, how they see you and ultimately, how much power you might have in the relationship. Like step one above, this is standard RFP response protocol. “Thanks for thinking of us. I’m curious why you did think of us?”

Step 3: Raise The First Objection

Now put the RFP objection on the table. “We don’t typically respond to RFPs.” You can say this in different ways but I strongly recommend you use these exact words. Now pause, if you have the stomach for it, and listen. Whatever you hear next will be invaluable in letting you know where you stand with this client.

Leaving the objection on the table, which subtly implies the smallest of openings through the word ‘typically,’ proceed. It might sound something like, “I did want to say hello and explore whether or not there’s a path forward here.”

Step 4: Now Raise the Financials Objection

Proceeding full steam ahead you are now putting on the table all of the items in the RFP about which you have questions or issues. “There are some things in here I’d like to talk about.”

Right to the financials. “You ask for financials. We’re a private company and there are no circumstances under which we would hand over financial statements, but tell me what you’re looking for and why? I’m certain there’s a way to get to you what you really need.” You’re saying no but also that this is not a barrier but a bump. Let’s get over it together.

Step 5: Identify and Address the Real Issue

Now you are two people having a real conversation. You have placed aside the direct request and are in search of the reasons behind it. Some are valid. Some are not. Let’s explore each.

Valid Reason #1

The client wants to know what percentage of your total income their account would represent. This is perfectly valid. You want to know this, too. You want your new clients to be in the green zone, representing between 10% and 25% of your total revenue.

0-4% red zone
5-9% amber zone
10-25% green zone
26-35% amber zone
36%+ red zone

Smaller than 10% would not meet your minimum level of engagement (MLOE) and larger than 35% would be dangerous. The research that ReCourses CEO David C. Baker has done across hundreds of firms shows that when a firm loses a client that represents 35% or more of its income there’s a greater than 50% chance the firm will go out of business.

So, this is valuable for both parties to know, therefore it’s appropriate for you to disclose your revenue and even the number of clients you have, and it’s equally appropriate for the client to disclose the budget. If the client will not take you at your word for your revenue then this isn’t going to be a good partnership, is it? Go ahead and say that, if necessary.

Valid Reason #2

The client might have legitimate concerns over your financial stability. In the example I gave at the top, the agency had over two decades of experience doing this type of work for Fortune 100 clients. If that’s not enough to assuage someone’s stated concern about stability then the concern is a lie and there’s something else the client is looking for.

Find other ways to prove stability. There are many, including references from clients or your bank. Financial statement disclosure should not be required. Some RFPs, especially those crafted by procurement, attempt to pass all risk onto you and that’s just not realistic. They know that – they’re not demanding, they’re negotiating! Don’t assume because it’s in the RFP it’s mandatory. “I have to ask… if you think we’re a fly-by-night operation that might not be around to see this project through then why did you send us the RFP?”

The Big Invalid Reason (Which The Client Will Deny)

The client wants to dictate your profitability. Ahhh, now we come to the real reason. The procurement department wants to control your profit, ideally having you work at or close to cost.

You might want to lean right into this one. “Your only concern regarding our profitability should be that any work we might do for you IS profitable. How profitable is our business and not yours. You just want us to be profitable. And you don’t have to worry because we price all of our work so that it’s profitable for us and for our clients.”

If your spider-sense tells you this a price buyer, lean right into that too. “I’m concerned with this focus on our financials that this decision is all about price and I’ll tell you right now that we’re not likely to be the lowest price.”

The two valid reasons are easily dealt with without having to share your financials. The invalid reason, if it is the reason, needs to be outed and addressed head on before you politely walk away and leave it to your competitors to do the stupid thing. Sometimes that is just as gratifying as a win.

Wrapping Up

In summary, never share your financials. That’s like going into a fencing match in which your opponent decides he’s going to try something outrageous and ask you to hand over your foil – and then you do! Never give procurement the upper hand this way. Yes they sometimes ask but they’re laughing their asses off when you comply.

Look for the reason behind the request and if it’s a valid reason find another way to get them the assurances that any reasonable person would require. If they want to dictate margin to you, tell them to get stuffed. But do it kindly. This is, after all, but a game. Win or lose this should be fun.

Footnote: In any AgencyFinder review, you will know why and how you were selected. But as Blair points out, other parties including Procurement can join in after invitations go out. You can also ask me if you think some questions are out of line!

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What Would Shakespeare Call a Sales Person?

Written by ChuckMeyst2015 on . Posted in Blog Posts, Business Development

I’ve always said and tried to explain that agency people are not necessarily or naturally “new business” people. Most agency folks are trained in creative disciplines and even to this day, seldom do university curriculums offer anything that even touches on sales or “selling.” Regardless of what someone says, even in this new age, selling is a dog-eat-dog business. Maybe it’s done with a little less angst; maybe it’s a bit more polite, but I would describe it today as misdirected and lacking in focus.

My business friend Blair Enns has been guiding agencies for years, and in his post today, and in his words, goes to greater detail in what I am referring to above. I doubt Shakespeare could do better. See if you agree.

A Target Audience of One

There is a woman. I see her clearly. She is an artist, a creator. It is her passion.

At some point she decides to make her passion her business. She opens a design firm. Owning a business demands other responsibilities of her. Now she must sell as well as create.

I see her standing in a room of people who are judging her work. Because her work is also her art, she is vulnerable. She does not see herself as a natural salesperson. Most of the advice she gets on this subject grates on her, or is laden with beguiling, debilitating conventions that cause her to feel even more vulnerable.

The business that is Win Without Pitching is built around helping this one person conquer this one situation. We teach creators how to sell. We empower them to stand up for themselves, to push back on the conventions that say they must first give their art away for free, and we help them to triumph in one of the most stressful situations in business.

Just as often, the woman is a man and the design firm will take a different form of creative practice, but I try to conjure in my mind a vivid image of the artist-business owner who must pass the test of selling in order to keep bringing her gifts to the world. I want to help her. I want my team to be heros to her.

I don’t know what other sales trainers or consultants see or even do. I don’t know or judge their motivations. All I know is, if, in our careers, we can help her and many more just like her then that will be enough for us.

In the Win Without Pitching program we have owners of other types of businesses beyond just creative firms, but they’re not with us because we pursued them. They’re here because, for reasons that are entirely their own, they identify with the artist-business owner and therefore our message resonates with them, too.

While I, too, identify strongly with this person I see so clearly, I am not her. You do not have to be your target audience of one, but you do have to have an enormous amount of empathy for her. I am not a designer, but I have huge admiration for all creators. I believe these people were born into their craft or called to it.

Let someone else help the natural salespeople, and let others help our artist with other areas of her business. This one thing for this one person we will do and we will do it better than anyone. If others find resonance in this they will be welcome, but we will stay resolutely focused on solving this problem for this person.

Against this certainty, this vivid picture, all of our big business questions become easy, their answers obvious and unavoidable.

How much confusion and inertia could you eliminate by simply answering the question, to whom are you going to be a hero?

There is a man. Can you see him clearly?

Blair Enns
Win Without Pitching
202 B Ave #454
Kaslo, BC V0G 1M0
+1.250.353.2591

You’ve Been Invited; Great! Now How Should You Handle Your Due-diligence Interview

Written by ChuckMeyst2015 on . Posted in Blog Posts, Business Development

Headshots-April-2014-005-150x150In our AgencyFinder process, when you get an invitation on behalf of the client, carefully read all our invitational materials and in particular, study and then “vet” their Request for Dialogue (RFD). If you find everything to your liking and want to investigate further, that’s precisely why we offer the no-cost due-diligence telephone interview (for those at the Manager Plan level). I could have written something, but I spotted this piece by Jami Oetting that does a great job on our behalf. She approaches it from a slightly different perspective, but that too is worth the read. Now on to Jami – enjoy!

Are They Worth It? 26 Qualifying Questions to Ask Prospects

Written by Jami Oetting | @

How many times have you pitched a potential client, or sent a proposal, only to get a “Thanks, we’ll think about it and get back to you” email or phone call?

If you’re like most agencies, you pitch way more often than you close. And after awhile, you can become so discouraged you want to throw in the towel. Many agencies struggle with cash flow and thus leap at the chance to pitch anyone, hoping to get some business, any business, to keep the cash coming. And while we all need to put food on the table, (continue here)

 

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