I came across the following post at The Sales Archaeologist. It is a great post that really shows what separates the winners from the losers as it relates to new companies....or any company for that matter. Check it out.
As a CEO or founder of a company, chances are that you believe with every fibre of your being that your solution is the best in the world. You believe that your clients just cannot survive, compete, or conduct business without your solution.
This attitude and unwavering belief has to be throughout everyone in your company. If your sales, business development, and marketing teams along with the executives for these groups do not believe (and I mean truly believe in your solution) then your company will always be destined for mediocrity at best. Think about it.....if your sales executive or sales team members do not believe, then how are they truly going to convince a client to invest in your solution? If you marketing team does not believe, are they going to have the ability and desire to build passion into your marketing initiatives, and ultimately to place your solution properly within the minds of the potential buyers?
At the early stages of your company, it is imperative to hire and employ people who have passion for your solution and the services that you offer. Take an inventory, and if you do not have a full roster of "believers", then find ways to either build the belief or find some believers to be on your team, because during the crunch time, these are the people that will give you everything they have to see the company succeed.
A few years ago I read the Rich Dad, Poor Dad book, and this question was asked. I would like to now ask you....can you make a better hamburger than McDonalds?
I would bet that the majority of you would respond "Of course I can!". Well, if you can make a better hamburger than McDonalds, why is it that they have sold billions of them, and bring in billions of dollars each year? Simply put, McDonalds is built upon a solid and repeatable business system...and not on having the best product in the world.
Take some time to think about this.....in every neighbourhood there is a McDonalds....so they are close to their customers. They realize that people buy convenience, so they have an ordering process that meets the needs of their clients (drive through, open late, etc.). They have a well defined process to prepare the food once the order is placed. They have the distribution system for all of their supplies all set up and working flawlessly so that they receive just in time supplies.
Although I personally am not a big fan of McDonalds, it is important to recognize the business that they have built. When people go to McDonalds, it is not for the food....but for the business system. So, the question becomes what lessons can you learn from McDonalds that can be applied to your business?
A few weeks ago I met with the local Partner at one of the largest and respected VC firms in Canada. We spent some time comparing notes, and through this conversation began to talk about one particular company where I had done some work and they had completed an investment analysis. (Unfortunately, I came into the company after they had already engaged with the company and made their decisions...)
Anyway, the VC liked the CEO, and the management team. They felt that the company had a unique solution....but they could not clearly see how the company could make money and become a profitable company. We spent some time talking about it and at the end of the conversation he felt that he had a better understanding of the companies revenue potential and value proposition.
The point here is that you have to get crystal clear on the benefits of your solution. Too often, early stage companies get excited about all of the features within their solution, and when they get in front of clients (or anyone that will listen), they rhyme off all 153.5 reasons why their solution is the best. I believe that unless you can communicate how your solution either (listed in priority):
then you are not even close to having your message clear enough to effectively communicate it with clients and potential investors. As you can see from this story, if you do not get your message clear....it will cost you in many different ways.
Way too often I have run into company's who use way too many TLA's.....(three letter acronyms), and language that is specific to their knowledge, industry, etc.
One of the blogs that I keep an eye on is The Selling Sherpa. The recent post "Money for Nothing" is one that is not only good trivia knowledge, but also clearly demonstrates how using your customers language can be leveraged and turned into sales.
You may think that using industry specific TLA's and buzz words give the perception that you are an expert or very knowledgeable in your space....however, if you and your customers are not speaking the same language then you are at the risk of your customers making buying decisions without fully understanding the benefits of your solution and company.
