There are six phases in the business cycle. Which phase is the business currently in and what needs to be done to continue maintaining a sustainable business?

Phase 1 is the introduction, market research is completed and the business plan is ready to be implemented. Capital is in place and the business is open and trading. It is one of survival, committing resources to promote the business and building and retaining customers. Best practice suggests using the business plan to check progress against planned strategies.

Phase 2 is all about growth. Every aspect of the business is under closer scrutiny. Check how effective the marketing strategies are going, business systems are evolving and changing in line with growth, monitoring financials including sales and profit growth. Resources are implemented in line with growth targets. The business is seeking new opportunities.

Phase 3 is the maturity phase. The business is experiencing constant sales and constant profits. This phase is also referred to as the comfort or complacency phase. Causes for this are many such as new competition, new products and services, market shifts in consumer demand, social and cultural changes and the owner’s objectives. The maturity phase still needs to be monitored regularly.        

Phase 4 is the extension phase whereby a businesses products and services have an extended life. Fashion and music are good examples of this.

Phase 5 is the decline phase. The business is experiencing a decline in profits; competition is more prevalent, staff problems, cutting costs, and generally turning into another statistic.    

Phase 6 is R.I.P. So why did this happen? There are numerous reasons why the business is dead; Lack of business skills and knowledge, personal extravagance, no markets for products and services, cash flow problems, no plans or goals, business running reactively, partnership problems and failure to seek professional advice( to name a few).

ASK for the order! This simple 3 letter word separates the top flight sales person from the average ones.  A lot of sales people have gone through all the various steps of the sale, then stand back and are not sure how to finalize the sale, so they wait for the customer to buy. Timing is critical here - push the customer risk losing the sale. Too many sale people try and rush the sale, try and create a sense of urgency, talk too fast, look agitated. The writing is on the wall and a good way to lose a customer.

What are some of the best ways to close the sale? It is important to read the buying signals.

Examples as follows;

• Closing on minor points – throughout the presentation, be very aware of all the minor points that the customer has agreed upon. Here again good questioning technique is required, and Listen Listen Listen.
• Assuming the sale – From the very start of the sale, the sale person needs to believe they will satisfy the customer’s needs. Remember what I said in column 2 about Attitude. The unspoken gesture of tell-tale body language that says to the observer – everything. Our customers have formed an opinion of us.
• The options close - very effective technique and used extensively. Sales people need to have options available so that when a customer can’t make up their mind, then option closing can help finalize the decisions.
• Asking for the sale – again timing is important here, rush it and watch what happens! Ensure that the pace of the sale is inline with the customer’s pace, they are slow so are we, they are fast moving, so are we.
• Trial closing – don’t have to wait until the end of the presentation to close the sale. We should be thinking about closing the sale right back at the beginning. This is where flexibility is needed also. Go with the flow of the sale.
• Special incentives to help close the sale – make sure that the sales person is aware of all the company’s promotions.
• Special offer close – very effective technique used in closing the sale by providing a gift or special deal.

In Summary,

Know everything that is needed to close the sale and satisfy the customer’s needs. Treat people with respect and dignity all the time and you’re life as a sales professional will be richly rewarded. It is a great profession servicing customer’s needs. There is nothing more rewarding than to experience a satisfied customer.

And a final word of advice from someone who has been in the public area for 37 years, treat people badly then watch out for the consequences.

Communication is derived from Latin origins that describe the idea of oneness of understanding. Communication means a sharing of understanding, meanings, ideas and feelings.

Sales people need to know HOW to communicate, listen not just hear. Listening is important and studies have shown that 75-95% of the working day is spent communicating. Areas that affect listening effectively include selective attention, expectations, fear of being influenced, personal bias, boredom, listening only to words, and poor timing.

If we as sales people want to be better listeners then we need to practice listening. Here are some tips

• Focus on what is being said
• No need to be critical
• Avoid making instant judgments
• Don’t evaluate until the person has finished speaking
• Mustn’t pretend we are listening
• Listening involves body language
• Avoid distractions
• Take notes

Effective listening will result in better outcomes, and when the customer is encouraged to talk to a good listening sales person, they may discover better solutions for the customer. When we listen, not just hear the customer, we understand them better. Listening takes practice - practice - practice.

Some listening practice includes the following, listen to the advertisements on the TV then go away and write down what has been said, come back and compare what had been said to your notes. Listen to the radio and write down what has been said, again advertisements and lyrics.

Selling is a profession that uses these skills and tools with experience and practice. Listening involves preparation which includes concentrating on what we are saying, the tone of our voice, the speed of words etc and Plan Every Word Carefully. We must be able to hear what our customers want.
If we want to understand our customers better we must learn to listen more tentatively.”

Attitude is everything,  that unspoken gesture of tell-tale body language that says so much to the observer.

Potential customers pick up on such signs and gestures, or lack of them, and sometimes you may not even be aware you have done so; but your potential customer is already forming an opinion about you and your business before they are very much past your door.  Just the same as you’re assessing them – is this person a potential customer, are they ‘just browsing’, can I turn ‘just browsing’ to my advantage, a possible sale? You are being ‘sussed out’.

It is the time to be consciously approachable, affable, and positive.

Remember, first impressions…

Attitude, reflected by your body language is important. It is your first weapon of attack. And if it’s not appropriate you may have just lose a chance.

If the customer, in taking those first few steps into your premises, perceives you as being disinterested, ambivalent or even seemingly hostile, they are more than likely to turn to someone else.  If you are lucky it may be someone else in your business; but more probably it will be someone else with a better attitude in your rival’s business.

Be nice to people, treat them as you would like to be treated.

It is the people who do that in your business who will help make your business successful. An appropriate attitude presents the warm, welcoming face of your company. You are seen as a business with the customer’s interests a priority. They will want to do business with you.
 
So,  even on the days when you don’t much feel like it – too tired, too hot, too busy – do it.  Don’t let an opportunity slip past because you couldn’t be bothered raising a smile.

Sales persons suffer bad press.  They are the butt of countless jokes.  Did you hear the one about the used car/insurance/travelling salesman? And current affairs programs just love pillorying them. Why? Because there is more than a grain of truth, some might say an entire crop, behind this derision; but you don’t have to be the one who adds to the experience.

Sales people give service or should they?.  

All sales people should ask themselves, “Why do I do this job?” If the answer is just for the money they won’t last very long at it, probably won’t be very successful at it, certainly won’t enjoy it, and the sooner they leave to find something they do like, the better for them, and their customers, if they have any left.

If you do not enjoy and are not motivated in your work, you do yourself, your product and your employer a disservice.  You are, by and large, wasting your time.

Again we come back to attitude.  It is your challenge. What motivates you? Are you passionate about your business and products? When clients walk through your door they’re in control, they can just as easily walk out again.  They need a warm, welcoming manner, a sincere greeting, not overenthusiastic - genuine - customers spot fake sincerity three blocks away.  In other words be yourself who you will be if you want to be there and believe in your product. It is your challenge. Customers expect that you the sales person will then help them, have a level of expertise to provide them with a service. They want sales people who support their friendly greeting with a demonstrated capacity to listen and profound product knowledge.

Be quick to listen is sound advice. Listen actively.  Allow customers to explain what they need and then apply what librarians term reference questioning to elicit as much information as needed to fill gaps and define options.

Sales people must have product size, colour, model, price range etc at their fingertips. It is one of your challenges to provide this service. Lack of product knowledge will kill a sale as quick as anything and product knowledge is so easy to acquire, possibly the easiest part of your job if you’re motivated.

Yvette Adams is among a group of young Sunshine Coast entrepreneurs keen to take their business to the next level.

For the past 18 months she has been running her multi-media company called thecreativecollective.com.au.

And last week she was among a group of ambitious young business owners who took part in the first of six workshops to be held under the Young Entrepreneurs Program (YEP), funded by the Federal Government and run by the Sunshine Coast Business Academy (SCBA).

Ms Adams said the workshop, which had the theme of business planning, had been “excellent”.

“I got heaps of ideas … doing the program makes you allocate time to do things like planning which you normally don’t do,” she said.

“It helps you define a strategy”

One of the presenters at the workshop was Wayne Graham, associate lecturer in management in the Faculty of Business at the University of the Sunshine Coast.

Mr Graham said research showed small businesses were often started by people with “great ideas, great skills and great enthusiasm”, but too often there was no strategy for growth or to navigate their business operating environment.

With that in mind, Mr Graham has developed a “strategy process diagnostic” which he described as “a tool to initiate dynamic business planning”, adding it had received “an overwhelming response”.

He said the process helped businesses identify actions they had already taken to encourage growth, and to give them some direction for the future.

All participants at the YEP workshop completed the diagnostic, which is a free, publicly available research tool, and is being used by more than 50 businesses and government organizations across Australia.

SCAB business development and mentoring officer Rod Richards said the YEP program was “designed to fill in identified gaps in the skills and knowledge of small business owners”.

Mr Richards said future workshops would cover topics including marketing, financial management and HR.

“I’ll also be doing one-on-one mentoring with all the participants,” he said.

“Through the program, we want to develop their businesses and their business skills.

“The bottom line is, we want to reduce the incidence of business failure.”

Chris and Genevieve Kendall of Coolum Surfing School had cause to celebrate of Sunday evening.

Not only had they recently been nominated for a Sunshine Coast Excellence in business Award for Tourism but they reached a milestone of eight years in business.

Joining them at the celebration at Lavish Fine Foods were member for Maroochydore Fiona Simpson, Coolum Surfing School staff, clients, friends and business mentor Rod Richards.

For Chris and Genevieve it is a dream come true.

They have poured their heart and soul into the business and were thrilled to be nominated for the award.

Chris, a former Queensland representative surfer, said he had found his ideal job.

“We have put everything into it,” he said.

Chris said starting the business cam about after a lot of soul searching.

After injuring his back he could no longer work in the hospitality business.

“I had the desire to work in an atmosphere I loved.” Chris said.

He became a coach and works and Noosa for a few years before being accepted into the NEIS program.

This meant he had the opportunity to study business and receive ongoing support once the couple had started the surf school.

Chris said the training he received was invaluable as was the support of mentor Rod Richards.

“I pride myself of the service we give (to clients).”

Chris knows it was a team effort that grew the school from three surfboards to 30 boards in the first three years.

“Without good staff I wouldn’t have the business I have today.” He said.

I’m living my dream.” Mr Richards said he admired Chris and Genevieve and believed that “they’re a good example of how to operate and build a business, and care for clients”.

“It has been an amazing journey,” Mr Richards said of the Kendall’s success.

Ms Simpson said that it was wonderful to see a local business doing well, employing local people and growing strong.

“(We can) never  take for granted people in business,” she said.

“It is not enough to have a dream,” she said.

“You have to put it into action.”

By Gail Loader

Two of the Coast’s most experienced businessmen have joined forces to improve the skills and knowledge of new business owners in the region.

Well-known business consultant Rod Richards and director of accounting firm East Group Australia Bill Wieland are offering a series of 10 Back to Basics workshops, with the first starting on November 24.

“There are a lot of people who set their new lifestyle up here on the Coast, they buy a business or try and set one up and then they run into difficulties,” Mr Richards said.

“We found there was a huge demand for giving them some nuts and bolts skills because a business won’t grow without skills and knowledge,

“This is purely about giving them the opportunity to learn some new ways to build their business and investigate areas where thy need to use their resources more effectively.”

Mr Wieland said he wanted not only to give good, solid advice but to live up to certain promises contained in the advertising for the workshops.

“I want to honour everything we say we are going to do on our flyer,” Mr Wieland said.

“We want to help people sleep better at night, help them if they are stressed out about cash flows,” He said.

“Most people don’t have the knowledge and they don’t know where to go for it.

“A lot of people are fearful of change and many people dot not like asking for help because there’s embarrassment and an element of failure there.”

Mr Richards said the series of workshops was aimed at new businesses with less than five staff unsure of how to grow, as well as those people with an idea for a business.

Like the skin on our bodies which is continuously changing to stay healthy, businesses too need to change for the same reason. Accepting the status quo can start death rattles for a business.

Often business owners might like to make changes but are either too frightened to do so or don’t know how to go about it. Facing the reality that your business does need some tinkering however, is the first step.

Business owners are faced constantly with new technologies, improved communication devices, new accounting practices and packages, staffing needs, new staff training and more.

While they will not all be for you, an astute owner will be aware of innovations and new practices as ways of enhancing a business.

Having then accepted the fact that change is needed, and having girded yourself to make a change, how to go about it?

Ego and pride can block otherwise sensible decisions. Just because you’re the boss, doesn’t mean you are all knowing.

Be prepared to accept advice from within and outside your organisation.

There are many business groups on the Sunshine Coast. Become a member, talk to others, bounce ideas off them.

If you don’t know how a new piece of technology might affect your business, maybe another business does, or they might recommend someone.

Networking can be a very easy avenue to finding the right advice for change. Then there are specialists – accountants, business mentors, financial advisors, technical experts, staff recruitment and training officers – a plethora of people waiting to give you advice. Use them.

Growth then is about change and change is about growth.

Organisations which are slow to change or don’t respond to a changing world will find it difficult to maintain profitability.

Strategies that worked 10 years ago mightn’t be so productive today.

Be courageous, change takes courage. Think about creating a new culture in the business, perhaps one of education and training, new techniques for better performance, better technology providing you and your business with more options. Be open to change and remember it is not the change, but the way you handle it that is important.

Don’t be complacent and content with status quo. Change could have you rocking the business world.