Nine Reasons Credit Unions Are NOT Achieving their Sales and Service Potential and what they can do about them!

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Nine Reasons Credit Unions Are NOT Achieving
their Sales and Service Potentialand what they
can do about them!

• Denny Graham, National Sales Manager
• Schneider Sales Management, Inc.

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Service Culture or Sales Culture?

• Nordstroms Has Retailings Highest Sales per
  Square Foot Plus the Industrys Highest Client
  Satisfaction

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Be Careful What You Wish for

• Most model sales organizations have 60-70
  turnover and low sales productivity
• Selling MORE could put you out of business
• Many model sales organizations have low client
  satisfaction and loyalty

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What all World Class Sales Organizations Have
in Common

• A well-focused market mission
• Sales force consistently accomplishes its mission
• Jobs, measures and rewards are organized around
  clients
• Passion for one Preferred Way of Selling
• Clear sales task for every job role
• Senior managers are hands on involved in sales

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What all World Class Sales Organizations Have
in Common

• Integrated sales environment
• Managers who manage
• A culture of commitment and continuous
  learning
• Integrated advisory selling with few silos
• Process is valued as being as important as
  production
• The sales process is client-focused so client
  satisfaction is consistently high
• Nonperformance isnt tolerated

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Culture is the only Sustainable Advantage, and
Culture Doesnt Change Overnight
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Sales Lessons from the U.S. Marine Corps.
READY! AIM! FIRE!
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Whats Your Preferred Way of Selling?
STRATEGIC PLAN
COMPANY GOALS
BUDGET
LOCAL MARKET DATA
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Nine Reasons

• 1 - Success hasnt been defined

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Do You Have a Sales STRATEGY?
Prospect Selection
Unique Selling Proposition
Sales Strategy
Sales Process
Relationship Management
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What are your goals?

• Bottom line income
• Increase interest income
• Increase fee income
• More products per household
• More profitable products per household
• More members choosing you as primary
• Compliance with preferred behavior
• Increasing your pipeline
• Increased member satisfaction

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Preferred Way of Selling
Member
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Nine Reasons

• 2 - The emphasis is on Cross-Selling, not Sales
  Effectiveness

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High Performance Organizations are Refocusing on
EXISTING Clients.
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You cant rely on cross selling to walk in
traffic to achieve your goals
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Nine Reasons

• 3 - The right measures arent in place

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Sales and revenue goals are important, but are
retrospective measurements
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What should you be measuring?

• Revenue and sales targets
• Sales Pipeline
• Incoming inquiries/converted to business
• Preferred sales behavior
• Employee satisfaction
• by branch/ work unit
• Member satisfaction
• shops and surveys
• by branch

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Nine Reasons

• 4 - Lack of Product Knowledge

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What knowledge do your people need?

• What are the products for which they are
  responsible?
• How do those products operate?
• Who are the prospects?
• How do you compare to the competition?
• How to complete the sale?
• What products will they refer?
• How do those work?
• Who are the prospects?
• How to complete the sale?

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Every Salesperson Needs Support

• Negotiate service agreements
• Conduct weekly sales meetings and daily huddles
  (by teleconference, if necessary)
• Create sales aids and sales environments that
  sell
• Assign leads weekly
• Create technology that supports your Preferred
  Way of Selling

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Nine Reasons

• 5 - Managers are overreliant on incentives

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Sales Supervision is More Powerful than Incentive
Compensation in Improving Sales Productivity for
Most Selling Roles.
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Sales Management Process90 Day Action Plans

• Weekly Sales Plans
• Observation Coaching
• Sales Training
• Pipeline Management
• Client Development Plans
• Roll-up of Accountability

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Review Sales Reports and Establish Goals and
Strategies Weekly
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Nine Reasons

• 6 - Supervisors arent coaching behaviors

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The Sales Manager Role is the Critical Factor in
Sustaining Sales Focus
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You Cant Lead a Cavalry Charge if You Think You
Look Funny Sitting on a Horse.
Jim Schneider, CEOSchneider Sales Management,
Inc.
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The Key to High Salesperson Productivity is
Focused Supervision, and that Requires PROCESS
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How to Make Coaching Happen

• REQUIRE a consistent and well defined coaching
  regimen
• Include skill improvement goals in 90 day plans
• Conduct frequent, documented observations
• Require use of processes that force discussion of
  strategy
• Score use of preferred behavior
• Encourage role play
• Evaluate and reward managers on staff development

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Nine Reasons

• 7 - Poor accountability at the member contact
  area

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Integrated System of Consequences
Balanced Scorecard
Stretch Goals
Minimum Standards
Job Change
Coach Up or Out
Bonus
Recognition
Merit Increase
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How World Class Sales Organizations Provide
Consequences

• Stack rank employees by job role
• Require minimum standard performance
• Weed out non-performers FAST
• Pay for incremental contributions to the business
  unit scorecard
• Create a sales is my job mentality
• Make cost-effective use of recognition

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Nine Reasons

• 8 - Poor integration of sales among business
  units

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Where is your sales obstruction department?
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An INTEGRATED Sales Service Management Process
Results in FOCUS and ACCOUNTABILITY
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Nine Reasons

• 9 - The right people arent in the right job
  roles

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Recent Assessment Survey Results

• I often dont recommend products to members for
  fear they will perceive me as a sales person
• 58 of MSRs agreed
• Each week, I produce at least 50 of what I can
  produce at my best?
• 24 of MSRs agreed
• 35 of Branch Managers agreed
• If sales or sales management is going to be a
  bigger piece of my job, there is a good chance
  Im in the wrong job
• 72 of MSRs agreed
• 60 of Branch Managers agreed

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Primary Selling Roles
Service
ConsultativeSelling
Motivational Fit and Behavioral Competencies
CompetitiveSelling
Supervision
ComplexSelling
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Consultative Selling Role

• Role
• Servicing
• Consulting on Product Selection and Use
• Closing First Sales Fast
• Making Add-on Sales
• Making Follow-up Sales

• Profile
• Achievement Driven
• High Originality
• Risk-taker
• Leadership Drive
• Adaptable/Versatile
• View setbacks as Nonpersonal and Nonrecurring
• High Energy

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Competitive Selling Role

• Role
• Prospecting for new members
• Competing Aggressively and Persistently Despite
  High Rejection Rates
• Minimal Servicing
• Closing Sales in One or Two Interviews

• Profile
• Achievement Driven
• Optimistic
• Decisive
• Competitive
• Resilient
• High Drive to Persuade
• Assertive in Applying Emotional Pressure
• Low in Sociability, Service Motivation, Learning
  and Adaptability

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Clear Sales Task is the Key Driver of Sales
Performance.
-Harvard Business Journal
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The ability to make good decisions regarding
people represents one of the last reliable
sources of competitive advantage, since very few
organizations are good at it.
Peter Drucker
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Keys to Recruiting

• Recruit for specific roles
• Recruit continuously
• Recruit the top performers who arent looking
• Place ownership of recruiting with line managers
• Market your company as a great place for
  salespeople
• Re-recruit your own top producers

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Define a Preferred Way of Selling for the
Company and for Each Selling Role
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Best Practices in Employee Development

• Train for specific roles
• Invest first in sales leaders and top performers
• Provide continuous learning
• Reinforce training with field coaching

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ANY QUESTIONS?
STRATEGIC PLAN
COMPANY GOALS
BUDGET
LOCAL MARKET DATA