Despite what many sellers think, a selling cycle does not begin with the first customer contact by a salesperson.  In fact, the buying cycle for your product or service begins when a “Compelling Business Event” occurs for your prospect.  There are three major categories of events.  Within each category is a “catalyst” that initiates the particular situation.  These are not mutually exclusive.  In fact, it could be the accumulation or aggregation of multiple factors that triggers an event.  Perhaps the prospect is well aware of one or more issues and is working to “manage” these business factors. They might say,” It’s a known issue, but by itself it is not a priority”.  However, the situation could change quickly either by the occurrence of a new Compelling business Event or the accumulation of many – with one more event tipping the balance.

Here are the Categories and Catalysts for defining a Compelling Business Event?

1. Business Expansion
1. New products and/or services
2. New Markets

1. Geographic expansion
2. Application (Market segment)

3. New resources: Hired more employees

2. Business Disruption
1. Reorganization
2. Mergers & Acquisitions
3. New management – new themes and priorities
4. Technology change (platform shift)

3. Business Crisis
1. Poor financial results (Revenue, margin or profits)
2. Competitive threats (pricing, products, territory)
3. Legislation, world events

Think back to the last 8 or 10 opportunities that you worked on and review this list against what you later learned was going on inside the account.  Can you identify which Compelling Business Event was the triggered that led them to initiate a buy cycle?

Here is an important point:

Compelling Business Events are not created by sellers.  They are uncovered.

Prior to initiating a Buying Cycle people and business (buyers) go through a “Rationalization” process.

The rationalization process is the time when buyers ask themselves each of these questions:

1. Do we have a goal or problem we must achieve/fix?
1. Do we recognize the issue?
2. Is it a high enough priority to address now?

2. Do we know how to fix it?
1. We know we can fix it
2. We think we can fix it
3. We’re not sure
4. No

3. Do we need help to fix it?
1. Is there organizational willingness to seek outside help?

4. Who will help us?
1. Do we have a buying process?
2. Do we have a preference?
3. Do we know anybody?

All this takes place before a buying cycle begins.  During the Buying cycle buyers ask a different set of question as they make decisions during three buying phases:
                       
                        1. Solution development - What are our specific needs?
                        2. Evaluation       - Which offering best meets our needs?
                        3. Commitment – What are the risks and how much will it cost?

Understanding and managing these phases is the subject of CustomerCentric Selling®.  What happens beforehand is Tactical Customer Marketing.

For You, the most important question is, “How do I find out about a Compelling Business Event that leads a buyer to initiated a buying cycle?

In the best case: They call you.

1. They know you from the past
2. They know you by reputation (publications, speaking, acquaintance)
3. You are referred to them (networking)

In the worst case: You call them.

4. Cold Calling – Yuk!

1. You have to ask, “Do you have a problem right now?”
2. You have to ask, “Which problem do you have?” (I call this “Fishing”)
3. The prospect would have to admit to a stranger that they have a problem?
1. Would they admit that they have a goal?
2. Would they tell you anything?
4. Re-enforces stereotypical sales behavior – which most buyers hate.

Would you agree that a prospect call to you is 10 times or perhaps 100 times more effective?  The challenge for new business development is about how to make this happen.

Tactical marketing is about Getting the Right Message, to the Right People at the Right Time

We’re talking about Market Messaging versus Product marketing (what product/service do we make), or strategic marketing (what business are we in?)

Ultimately the desired goal is:

WHEN there is a Compelling Business Event that a prospect has decided to address AND they need outside help,

They Call YOU!

Since you can’t predict the right time you have to be ready all the time!

The way to achieve this is by implementing a Tactical Marketing Plan that puts your message in front of prospects All the time – without being annoying or acting like a stalker.

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