Marketing and Selling in Tough Economic Conditions:

Increasing sales revenue and volumes - Article 19

In difficult market conditions, the emphasis is naturally on cost reduction. However, it is easy to forget the importance of growing sales revenues and volumes. Growth in sales revenues and volumes will help create economies of scale, which in turn contributes to unit cost reductions.

In this article, I will share some techniques on how to increase sales revenues and volumes.

Focus on lead generation to keep the sales pipeline always full. There are different lead generation methods that can be adopted, based on the type of industry. Business Directories, Telephone Directories, Professional Institutes and Business Chambers can provide valuable references.

Existing customers are also a powerful source of lead generation. The technique of cold call calling can also be used to generate leads.

Focus on your existing customers and attempt to maximise sales revenues. Techniques such as cross selling and up selling can be used to increase the revenue per customer. In order to maximise sales revenues from existing customers, regular communication and value additions are important.

Customers are more comfortable with sales consultants than with salesmen. They believe that sales consultants can provide solutions and therefore are more suitable to satisfying their needs and wants. Hence, salespersons should project themselves as sales consultants by being professional, extremely knowledgeable and through empathatic communication and business etiquette.

Customers love to buy, and they hate to be sold. This is very important to remember when selling. Basically, sales revenue can be increased by not selling, but by helping customers to buy what they want and not what you want to sell. This is essentially the very essence of marketing.

Use the power of WOM (Word-of-mouth) Marketing. Get your customers to spread the buzz. After all, satisfied customers are your best salespersons.

Get testimonials from existing customers. These are more valuable than any sales pitch or presentation you make. Keep a file of customer testimonials that can be used to build credibility with potential customers.

Use on-line sources for lead generation such as websites, blogs, social networking sites etc., On-line lead generation is cost effective and the catchment is much greater.

Value-based selling is a powerful technique that can be used in difficult market conditions. Providing “value” to the customer through excellent service, relationship building, problem solving, competitive prices and excellent products, will help to increase sales.

Focus on building relationships with customers, by offering a greater value proposition than competitors. The newest concept in relationship building is CLV. (Customer Lifetime Value). There are many techniques in relationship building such as providing greater value for money, treating the customer as a valued partner, problem solving to name a few.

Getting your pricing strategy right is always important for sales revenue and volume increases. Customers are increasingly demanding lower prices for getting their franchise. (Specially in the present conditions). Unnecessary discounts and credit facilities should not be granted in the blind pursuit of sales increases.

In conclusion, the need for having a well trained, motivated and loyal sales team cannot be overemphasized. To increase sales, the sales team is the most vital asset. Hence, do not stop training your sales team in difficult times. It can be counter productive.

Series by : Prasanna Perera, Marketing & Management Consultant, Chartered Marketer, CIM U.K.