The Best Market Strategy for This Recession

Posted on February 16, 2009 - Filed Under Business | Leave a Comment

Entering new market during a business slow down is deadly unless you have access to the high level decision makers of the new market companies.  This article will open you're thinking of where to get more business in new markets.

It is amazing to me what people believe they should do when business slows down.  Hopefully this story will help you or your people develop more business faster during this business melt down.

I was at an association networking event the other night and as was talking with some people a gentleman approaches and I get introduced.  So we all talk for a few minutes and then I ask my favorite question, "So what are your major issues as it relates to business development during this economic down time?? And he like most others says, "Getting more business.? So I ask my next favorite question, "Well, what are you going to do about it?? 

He then starts to tell me how they have all the business from one big private company and the rest of their work is in the private sector.  However, all the private companies they do work for have slowed tremendously.  So his strategy now is to go after government jobs. 

To this I say, "Do you have 100% of the business of your private sector clients??  To which he honestly said, "Obviously not.? So I then began to lecture him on how breaking into a new market is very tough and requires time and resources to penetrate, which is ok, if you have time and resources.  He then said, "Well we already have closed three government jobs.?  So I said, "Tell me who you were working with??

Well, come to find out the people he was working with were all old relationship from his company and other private companies he'd worked with that moved into the government sector. And this brings us to the 2 lessons from this encounter.

  • If you need business now, breaking into a new market is not the way to get it.  Either you will have to buy you way in by being low bidder - probably at a loss, or you won't close anything for a while.  Taking a job at a loss is not something you do when business is bad.  It's something you do to grow when business is good and you can afford a loss.  Spending time and resources to get something downstream is not something you do when you need business now.  It's better to use your time and resources to win business where you have a presence. 
  • The key to capturing business is professional relationships.  This is why the person I was talking with closed three deals.  So if he's smart, which he seemed to be, he will now use those relationships to network him deeper into this area of the government.  The key is to stay close to your relationships.  Let your relationships network you into other areas.  Don't just start bidding on government work.  Bid the jobs where you know people.  Relationships will help you learn what you have to do to win and at what price - see the first article of this series. 

    In addition, approach all the relationships you have - private and government and listen to the issues and concerns they have as it relations to your solution portfolio.  I guarantee, if you ask my two favorite questions (see above), you will learn about other opportunities available that you can sell.  Since they already value you and your company, converting them should then be easy.

    • Moral of the story, relationships at high levels, sell projects.  Those with the "IN? win.  So use your relationships to network you to others and spread like a virus through your clients organizations.

    And now I invite you to learn more.

    Bonus Tip:  If you're having trouble getting to c-level leaders , here is a FREE E-Book "Getting Past Gatekeepers and Handling Blockers?.  Just click this C-Level Relationship Selling Link http://www.takemetoyourleaders.com/gatekeeperEbook.htm .  Sam Manfer makes it easy for any sales person to be effective and feel comfortable connecting with and relationship selling C-Level leaders. 

    About the author

    Sam Manfer makes it easy for any sales person to feel comfortable connecting with top, C-Level leaders.  For more inspiring articles and to receive your free Selling Wisdoms E-zine with powerful selling tips visit his Advanced Sales Training Website http://www.sammanfer.com

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