Value Added Selling


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Part I introduces you to the Value-Added Selling philosophy.
The strong appeal of Value-Added Selling has always been and remains its connection to foundational values and virtues like equity, honesty, synergy, excellence, and humility. In practice, this means treating people fairly, selling with integrity, working as a team, committing to high standards, and subordinating oneself to the mission.

Who wouldn’t want to be part of an effort like this ?
Chapter 1 is a new chapter and explains how your company can start and sustain a movement throughout the organization based on the Value-Added Selling philosophy.

Chapter 2 explores value, your value add-itude, Value-Added Selling, characteristics of value-added salespeople, buyer preferences, the impact of discounting, and why salespeople fail to sell value

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We have updated this chapter with the latest research in this area. Chapter 3 is a new chapter and introduces you to the small-wins selling approach. This philosophy of incrementalism has proven successful in many fields, and salespeople can use a small-wins approach to create major victories.

Chapter 4 is a review and update of the Critical Buying Path. This cradle-to-grave view of the buyer’s journey to finding value helps you understand the full scope of the buyer’s needs. This enables you to communicate your value effectively.

Chapter 5 is a strategic overview of the Value-Added Selling Process. This model and your understanding of it serve as a foundation for the rest of the book. Your conceptual grasp of this sales process enables you to advance the sale in a step-by-step manner that parallels the buyer’s Critical Buying Path.

This step-by-step approach is called the Critical Sales Path. Chapter 6 is a new chapter that explains the psychology of price shopping. We share some of the latest findings in the growing field of neuroscience and how they help us understand the mindset and decision making of buyers. Specifically, we explore how this information explains price-shopping behavior and how you can use this information in your sales efforts.

Chapter 7 defines and explains customer messaging and its impact on your selling. You learn how to create the collateral sales tools that make your message compelling. The emergence of social media as a sales tool has added a new dimension to customer messaging. You will also learn how to understand the customer’s pain proposition and use its remedy as part of your communicating value.

CHAPTER 1 How to Start and Sustain a Movement in Your Organization
“Do you want to sell sugar water for the rest of your life, or do you want to come with me and change the world ?
With this question, Steve Jobs recruited Pepsi-Cola executive John Sculley to run the four-year-old company that he and his friend Steve Wozniak started in a garage. Jobs attempted initially to recruit the respected executive but failed in those early attempts. Then, Jobs challenged Sculley with the above question.

Later, Sculley said: “I just gulped because I just knew that I would wonder for the rest of my life what I had missed.” From 1983 to 1993, they worked together and delivered on the promise to change the world with their technology.

And the movement they created continues to change the world today. Few people have the opportunity to change the world the way these visionaries did, but you can start a movement—a value-added revolution—in your company.
At the end of this chapter, you will be able to:

• Explain the compelling need for organizational identity

•Define what a movement means to your organization
• Describe how movements go viral with clarity of purpose
• Explain how to start a movement in your organization
• Discuss how to sustain the movement once it starts

There is a pandemic identity crisis in business today.
Many companies have lost their oneness. Consolidation through mergers and acquisitions has left many companies without a common culture.

Like blended families, these companies end up being a little of this and a little of that. What they call culture is an amalgam of their disparate histories and sometimes incompatible values.

The farther privately owned, entrepreneurial companies travel from the founder, the less they look like the original company. According to one survey, 56 percent of employees could neither describe nor embrace their company’s culture.

As some corporate management teams obsess on financial metrics, they distance themselves from the core values upon which their companies were founded.

Other companies are confused about their place in their industries, as reflected in their go-to-market strategies: “Should we compete as a low-cost seller, as a value-added, total-solution provider, or both ?
Most perform well as either a low-cost or value-added provider.

Companies that attempt to do both fail.
The most immediate need for this chapter is to satisfy the myriad requests by our clients for a way to spread the value-added message throughout their organizations, at every level and in every department, from the shop floor to the top floor.

They realize that Value-Added Selling is more than a sales course; it is a course of action—a new direction—for the entire organization. It is an integrated sales and operations process for designing and delivering value.

Because it is a systems approach, organizational synergy (teamwork) replaces the functional silos that plague most companies. Because it is a process, Value-Added Selling focuses on the acquisition of new business and the retention and growth of existing customer relationships.

When an organization unifies around this common philosophy, it becomes a Value-Added Organization.

To get a full return on Value-Added Selling, companies must become Value-Added Organizations, where all departments are focused on creating and delivering value.

Reorganizing and restructuring have become emotionally tagged organizational buzzwords in the past few decades. In many cases, these attempts fail because they focus on structures, processes, and systems but lack a cohesive set of values or a philosophical core.

Becoming a Value-Added Organization is about reorienting, not reorganizing, though some of that may happen. Sculpting an organization with an orienting philosophy like value added is more than changing the way you do things. It changes the way people think and view the world. It is transformational change—it is a movement.
Movements unify people and propel organizations.

WHAT IS A MOVEMENT Every tsunami of change, great social cause, and watershed moment in history began as an idea that went viral and became a movement.

The idea, a brainchild of one or two people, inspired a handful of early loyalists who became evangelists for the cause. Then they engaged a cadre of supporters that would make up the first and second waves of a movement that would shape history.

We have seen this in all walks of life. Gandhi suffered as he waged a nonviolent protest of the British government. His peace-movement philosophy became the foundation for the civil rights movement in the United States and the operating philosophy for Martin Luther King Jr. Nelson Mandela opposed apartheid and spent decades in prison.

His resistance helped spawn democracy in South Africa and earned him a Nobel Peace Prize. In the United States, President John F. Kennedy inspired a movement among young people by challenging them to consider what they could do for their country.

The result of that challenge became a movement called the Peace Corps. U.S. President Ronald Reagan envisioned a more unified Europe and challenged his contemporaries to “tear down that wall” that divided East and West.

His vision reignited a conservative movement in the United States. Steve Jobs and Steve Wozniak envisioned user-friendly technology that changed personal computing.
Herb Kelleher had a vision of a different type of airline and founded Southwest Airlines.

His movement for low-cost air travel continues to fly and dominate today. Fred Smith had a vision of overnight package delivery and spawned a movement that became its own industry. His movement proved to be so profound that his abbreviated company name, FedEx, became a verb. Willie G. Davidson had a different view of motorcycles and bikers, and his vision for Harley-Davidson spawned a global movement for the biker lifestyle that attracts people from all walks of life.

All of these movements began with the ideas of one or two people that ignited the passions of others. These movement makers were not always heroes or readily accepted by others. From death to prison to public discord, many of these movement makers suffered.

Their ideas were radical, threatening to many, and faced tremendous pushback. Some were disruptive to the point of dangerous.

Yet, through courage and persistence, they prevailed. Their ideas lived and made history. Now, their inspirational stories are the grist of legend’s mill. You may not suffer life-and-death consequences from your movement to reorient your organization around the value-added philosophy, but you will experience pushback on your efforts.

As you challenge the status quo, the status quo will challenge you. Guardians of the status quo are well-intentioned skeptics of anything new or disruptive. There will be those who just do not want to change because they resist all change.

You may face peer pressure and ridicule from those who are personally threatened by your movement.

It makes them painfully aware of their static interests. Remember, you are redefining success, you are shaking the foundation, and you are stepping out from the pack.
Be prepared for this pushback, or your movement will fail.

Every movement begins with a dream, vision, or notion.
These ideas are big and small. They change the world or the way a department does something. In most cases, movement makers do not have to work hard to come up with an idea. It boils in a seething cauldron of passion, finding relief only in its expression.

Movement means action, and movement makers do not wait patiently for the idea to take off. They launch it. With clarity of purpose, movement makers start and sustain their movements. Movements (a new direction, reorientation, or revolution) take root from the seed of an idea. Clarity of purpose is the what, why, where, who, when, and how of your passion.

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What is your big idea? What burns inside you ?
What do you believe in so passionately that you want to tell others about it ?
What transformational change do you envision for your organization ?
What shared purpose will you submit to your team ?
Why is this important ?
Why now? Who should be involved ?
Where do we begin ?
These questions can help you start and sustain any movement.
Our focus is how you can start and sustain a movement to transform your company into a Value-Added Organization.

A Value-Added Organization is in the business of creating value for everyone with whom it is connected. Everyone gains: buyers, sellers, stockholders, employees, environment, partners, and the community.

With clarity of purpose, you must conceive and communicate your vision for this movement. Begin with these orienting questions and imagine what a value-added movement would mean to your organization:

• What would it mean if we adopted the value-added philosophy as our core operating philosophy ?
• Can we compete based on our value?
• Why would we want to choose this path?
• What effect would this have on everyone involved ?
• What prompted this vision, or what is driving this movement?
• Why now ?
With clarity of purpose, frame this message in a way that will resonate with others.

What begins with clarity of purpose will sustain your movement as constancy of purpose.
You will surround your team with this true north of your movement.

According to a Gallup study, two-thirds of employees are not engaged in their jobs. They merely show up for work.
1 Your movement can fix this problem.
As you prepare to launch your movement, there are some things you must know that will help you engage others.

First, everyone wants to be a part of something bigger and better than themselves.
That is why there are country clubs, motorcycle gangs, and everything in between. People long to belong.

John Donne wrote, “No man is an island, entire of itself. Each is a piece of the continent, a part of the main.” Charismatic leaders know and use this to their advantage. Because they are charismatic, they naturally draw others to them.

Leadership charisma, coupled with the followers’ need to belong, helps leaders recruit a close-knit group of supporters that are essential to any movement. Second, people seek meaning from their work. People may show up for a paycheck, but they labor hard for the meaning they get from their efforts.

There are few things as meaningful as shaping the landscape of the future by playing a vital role in a movement. Employees feel that they are doing something special and recognize that these opportunities do not come along often. We all know someone who left a good-paying job in pursuit of meaning from someplace.

With millennials entering the workforce and seeking meaning in their careers, the sense of purpose from this movement will prove to be a powerful motivator for these employees.
Third, people compare themselves with others as a way to test how well they are doing. There is a field of study in psychology, social comparison theory, dedicated to the study of how and why people compare themselves with other people.

This bandwagon effect becomes especially important as you tell your story to attract allies and to share successes that others are experiencing in the movement. Fourth, it is not so much that people resist change as they resist being changed.

When they are told, “This is what you will do,” and it represents a significant departure from the status quo, people push back. When they are invited to join the process and become part of shaping history, they approach change with a different attitude.

Once you conceive of your idea and are prepared to communicate it, select your core group and expand your sphere of influence. Using Everett Rogers’s Diffusion of Innovation model, identify your target group for this idea, and penetrate it as you would a market for a new product—in waves. Wave One is close confidants.

In marketing terms, these are innovators—the top 2.5 percent who welcome new ideas. If you are running a 100-person company, this will be your top management staff, maybe two to three inner-circle advisors. It is important that this group has operational knowledge of the business as well as knowledge of sales and marketing.

Trust them to provide candid feedback on your idea.
This close-knit group of advisors will help you shape, plan, and communicate your dream to the next layer of the organization.

Share your vision with them, the compelling need for it, and the “doability” of the idea. Invite their feedback, especially perceived barriers.
Ask them to help you sketch a plan to roll out this idea. Keep your planning conceptual and strategic at this point. Focus on these areas:

• What do we want to do?
• Why do we want to do it ?
• How is this “doable?”
• What will it take to make it happen ?
You will need to assess your organizational resources, systems, and structures to make sure that your movement will work with your infrastructure.

You cannot become a Value-Added Organization if you offer no value added to the market. For example, you cannot brag about your technical expertise without on-staff experts to back up your claim. You cannot boast about your customer service when the average wait time to speak to a real person is five minutes.

You cannot crow about your delivery success when you experience consistently high levels of backordered items. Wave Two is top supporters and change agents. In marketing terms, these are early adopters—the next 13.5 percent of people who embrace new ideas.

This next layer of managers, opinion leaders, and influencers make or break your efforts.
In your 100-employee company, this is another 13 or 14 employees.

You have now engaged one-in-six employees to help you start a movement. This includes people who have operational, administrative, and marketing responsibility.

Their perspective, input, and engagement are mandatory. Communicate your vision, translate it into a mission, explain why you are doing it and why now, roll out your strategic plan, and ask for their commitment. Once you have secured their commitment, begin tactical planning with this group.

They will drive change and help you lead this movement at lower levels in the organization. They know better than you how to get their people to execute.

The action plan should have their fingerprints all over it. They will most likely select another group of supporters from the ranks who will act as opinion leaders—employees to whom others listen.

These informal leaders can add either fuel to the fire or a bucket of water. Wave Three is the rest of the company. In marketing terms, this will be the next two-thirds of the company that are responsible for the heavy lifting. For them to engage, you must communicate the vision and mission clearly and often.

They must share your positive sense of urgency for action and optimism in the outcome. In communicating your vision, remember that employees do not necessarily get excited about a company’s making more money unless they can see a direct benefit to themselves.

They are more excited about being a part of something bigger than themselves and creating meaningful change; they are less excited about returning more money to the owner or shareholders.

The “why” of your movement and the “why now” are important in creating a positive sense of urgency.
Use a blend of rational and emotional arguments to make your case for the “why” and “why now” of your movement.
Humans are emotional creatures. We make emotional decisions.

Neuroscientists have discovered through sophisticated brain imaging technology that 90 percent of the decisions humans make are driven by emotions.

2 This means 90 percent of the reasons others will accept or reject your movement will be emotionally based. The power of story plays a major role in emotional connection.

Big movements rely on big parallel stories and comparisons. Small movements rely on smaller stories to drive home the point. If you are trying to inspire a movement in your company, you are more credible if you tell stories of how other companies have done this versus retelling the story of how a major social movement changed the world.

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Scale affects the power of analogy. As you communicate your vision and the mission that supports it, be clear about the metrics that you will use to measure your progress.

This includes qualitative metrics like performance and behavioral changes, which are important in the early phases of the movement, and quantitative metrics that demonstrate productivity gains from your efforts. Discuss perceived barriers openly and encourage input to dispel doubts. Help team members release their grips on doubt, uncertainty, and resistance.

Build confidence in the group by demonstrating the doability of the movement. People rally around ideas that they believe they can implement. Share stories of others who have achieved similar things. Build confidence in your team by investing.

When you commit resources (people, money, and time) to the movement, you inspire others to follow you. They know you are serious and willing to take a risk with you to make the dream a reality.

Congruence between your movement and your organization’s values make a credible argument. Demonstrate how this movement respects and builds on the values that people signed up for when they joined your company. People reject change that violates their fundamental sense of what they stand for.

Every time you present your dream, drill down on the tactical application of it. If it is not tactical, it is not practical. Engage people at the ground level.

As Wave-Two supporters help carry the message and the movement to Wave Three, first-level managers will define the behaviors they will expect from their employees who demonstrate their execution of the plan.

As you assign tasks, timelines, and responsibility, people take ownership of the process and the movement itself. Once they begin acting this way, the movement is the beneficiary of a powerful psychodynamic called cognitive dissonance.
When people act in a certain manner, their attitudes conform to their behavior.

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It is a simple application of “We believe as we behave.” Once the behavior and the attitude are in place, the process self-reinforces. They have internalized the mission. Belief drives behavior, which reinforces the belief. These evangelists take your vision and make it reality.

You have made your case, shared the dream, explained the urgency for action, and outlined the plan. Now it is time to close the deal. Invite this group to join you. Ask for their support. Ask for their commitment. Ask them to take ownership.

Ask a Steve Jobs–type question:
“Do you want to continue on the path we are on, or do you want to change our world?”
What about the remaining 16 percent of employees?
This group will follow or resist. Some will leave; others will relent. You will not drive a movement with them.

They will comply, with or without commitment.
These laggards are the most resistant to change.
They may complain, but the support of the other 84 percent overwhelms their resistance.
At some point, they realize and accept the inevitability of the change, or they move on.

Even though there is no one-size-fits-all strategy for starting and sustaining a movement, there are common denominators. Each situation is as unique as the movement itself.
You start the movement with clarity of purpose and by engaging others.

You sustain it with constancy of purpose, ongoing communication, and reinforcement.
To sustain your movement, take yes for an answer. This means two things. First, to change behavior (your qualitative benchmarks) you must initially reinforce the effort, not just results.

To achieve the outcome you want, you must get people behaving in a desired way.
This is a fundamental principle of behavioral psychology. If you focus on results too quickly, people get discouraged when they cannot deliver on your request.

As the behavior becomes automatic, you begin to see the results you desire. Second, employ a small-wins strategy to achieve big victories.

You will read more about small wins in Chapter 3. The small-wins strategy has been employed in every significant social movement in the past several decades. When you construct your plan, list the immediate, next best outcomes that your people can achieve to make this movement a reality.

Each of these next best outcomes is a small win and a step closer to total victory.
You have the added advantage of experiential change.

When people are part of the change process and experience these short-term successes, they are motivated to finish the job.
Reinforce this motivation and action with ongoing communication. One study reported that 76 percent of employees involved in a major initiative for their company found it highly motivating to hear about their progress.

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3 Keeping employees in the communications loop enables them to monitor their progress vis-à-vis other teams. We have already established that people compare themselves with others. Celebrating successes and heralding progress motivate employees. Encourage pride of ownership in a job well done.

Let them bask in the recognition that their efforts are contributing to the movement.
In addition to the intrinsic motivation for doing good work, some extrinsic rewards help. This includes monetary reinforcement and recognition programs that celebrate their contributions.

Reinforce the effort and sustain your movement by demonstrating your unwavering commitment. This means continuing to invest in ways that support the mission. It also means remaining faithful to the cause, especially during headwinds.

As a movement maker, it is not just about the quality of your efforts, it is also about the quantity and visibility of your personal commitment.

Others notice how often you talk about the movement, how often you walk the halls, and how often you interact with them. Do not delude yourself into believing that you can delegate all of this to someone else.

You must be a visible source of inspiration. People must hear and see you advocating often for the cause. Otherwise, they will feel you are being disingenuous—that you lack the personal commitment a movement requires.

Your name and the movement must become synonymous. When someone hears one of the names, they think of the other. It is your movement that becomes their movement. In sustaining your movement, use multiple sources of influence to surround followers with your message.

This means employing various communication channels to connect with them—direct contact, voice mail, e-mail, social media, written communication, specially designed collateral materials for your communications campaign, internal champions who will talk it up, outside experts that add credibility to the cause, feedback from customers on how the movement benefits them, supplier input and support, etc.

You want to sustain the buzz throughout the movement. At some point during reinforcement, you will begin to transfer ownership for the results as well as ownership for the process. During this ownership transfer, employees know that they have created something meaningful.
They know that they are a part of something bigger than themselves.

These loyalists are now advocates for the movement, champions for the cause, and guardians of the new status quo.


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1.There is a pandemic identity crisis today in business.
Over half of employees do not understand their company’s culture, and two-thirds are not engaged in their jobs.
4 You can use the Value-Added Selling philosophy to reorient your company around a common mission.

2. A movement is characterized by action. It is fundamental to the definition of the word. Your movement is a work in progress.
You are a work in progress. Keep progressing.
That is the purpose of the movement—forward motion.
You are building a movement culture and a culture of movement.
3. Starting and sustaining a movement is a process. It is an evolution and maybe a revolution. Because it is an active process, you must be willing to challenge its viability at every step along the path.

Ongoing evaluation of your position, efforts, and results will allow you to make course corrections and adjustments as needed. Every flight plan has checkpoints along the route to allow the pilot and navigator to adjust for the winds they did not anticipate. Adapting to the forces of change will keep you on course.

CHAPTER 2 Value-Added Selling Value-Added Selling is a dynamic philosophy.
It is evolving strategically and tactically as you read these pages, but the philosophy itself is stable.

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This chapter introduces you to the Value-Added Selling philosophy and its rock-deep-roots principles. At the end of this chapter, you will be able to:
• Define the purpose of a business
• Discuss the meaning of value
• Define Value-Added Selling
• Discuss your value add-itude
• Describe the characteristics of value-added salespeople

Amd Amazon Sore

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