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Great Customers Buy From Those They Know and Trust

December 12th, 2008

Do you want to grow your business without relying on expensive advertising? Would you like to utilize an easy strategy to turn your best customers into your best salespeople? Are you tired of attracting poorly qualified prospects that waste your valuable time?

OK, enough of these silly rhetorical questions….any business manager who just read these questions has just gone through a brief period of euphoric fantasy followed by a sick feeling in their gut…knowing that it’s just too good to be true. I’m here to tell you though that they can be true and furthermore they can build businesses of much higher value.

Here’s some reality therapy about Advertising:

  • People don’t believe advertising.
  • Advertising is exceptionally expensive (you knew this already)
  • The customers your advertising brings are often not high-value life time clients. Do you really want your business built on customers who were attracted by a gimmick or low price? Unless you can build loyalty fast they will leave the first time they see a better gimmick or lower price.

We’re all bombarded by thousands of advertising messages each day. How many do you remember from yesterday? A more important question: Of those you remember for how many will you become a customer? For example take Geico insurance, sure their hackneyed ads are embedded in our brains, but how many of us actually buy from them? Not many. About 7 out of every 100 auto insurance buyers. Don’t get me wrong, Geico has a solid business model but is it plausible for your business?  Can you afford to spend $500+ million a year to generate demand through advertising?

In my 15+ year sales career I’ve learned that one principle is by far the powerful: people buy from those they know and trust. Like many of the most profound concepts in life, this truth is simple and intuitive yet ignored by a vast majority of sales and marketing “experts”.

I was told once at a sales training seminar, “If you can’t be a good actor then you can’t be a good salesperson.” No wonder sales people have such a bad reputation! Do I really want to be sold something from someone who is acting (i.e. lying)…why should I expect that my customers want to get an acting job when they read my marketing collateral or meet my salespeople?

Traditional advertising and sales are almost always based on acting. It’s so established that advertiser embellish the truth on a regular basis that we’ve invented the special legal word“puffing”. It doesn’t sound as bad as “lying” but means the same thing. Take a look around at the advertising or packages closest to you this moment and notice how we’ve become desensitized to the “puffing” of advertising…do you really believe that spaghetti on the shelf is “America’s Favorite Pasta“? No you don’t. That’s why you will typically buy it on price or otherwise only when you have credible insight into it having superior quality.

So it’s really no wonder that most people instinctively don’t believe either salespeople or advertising. Valuable life-time clients buy from the exact opposite of the angle presented in most advertising and sales…they buy from sources that they know and trust.

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