You might not want to think about recessions if your business is currently thriving, but some things are out of our control. Two things that we can be sure of are that recessions will come, and that the best time to prepare for them is when business is going well. The ability to plan for such eventualities will help your sales team to not only cope, but even prosper during the downturn. These are some ways your sales team can prepare.
Quality of Sales
In a recession, there is the temptation to panic and ask your sales team to work extra hours and make more calls. However, this can be counterproductive. It is more important to focus on the quality of sales meetings/calls, rather than portraying a sense of desperation to customers. There is no better time than now to start training your sales team and improving quality, as this will help your business to stay afloat and even prosper, during difficult periods. Focus on excellent customer service and you won’t go far wrong in business.
One thing that companies very rarely do is to contact their current or previous customers and upsell products, and this can be one of the best ways to improve sales. Your current customers are great prospects as they have already used your products or services, so there is no cold calling involved. The chances are that the customer is already interested, and this can give your sales a massive boost, especially during a recession when the competition is higher, and people are spending less. If your sales team make sure they focus some attention on current or previous customers, and not only new sales, they are likely to have more success. Repeat customers spend 67% more than new customers, they are easier to convert to a sale and they refer 50% more people than new customers.
Most sales teams could do with an overhaul in their prices. This doesn’t mean dropping prices but making sure they are competitive. If you don’t spend time analyzing your pricing and that of your competitors, you could be seriously undervaluing your business. An overhaul in your pricing strategy could make the sales team much more successful.
No matter how well your business is doing, your sales team should always be focused on marketing. If you continue to market your business, you will be in a much better position to be able to deal with a recession when it hits. It is easy to get complacent when things are good, but the economy is so uncertain that you can never get too comfortable. If your sales team continue to market, you’ll be able to deal with the lows, and the highs.
Spend Time Wisely
Sales teams often fail to identify where they are putting in most of their time and effort, and this could potentially be costly to a business. It is important to identify which accounts are taking up the most time and whether this is profitable for the business. In doing this, it may be the case that businesses need to start focusing on larger deals and drop the smaller ones. Most businesses feel that they should never turn down any business, but in fact, this could end up being costlier than saying no!
Invest in Training
In the lead up to a recession, you may find that the sales team are quieter than usual. This is not the time to down tools or to start laying people off, it is the time to focus on training your sales team to achieve excellence. There is always something productive to be achieved, even during down time and with a strong focus on training and ensuring your sales team are at the top of their game, you will be able to fight the recession with ease.
It is a good idea to have a strategy in place to cope with a recession. It is not the time to go into hiding or just accept defeat, it is time to show the world what your business is made of. True character can be achieved during difficult periods and this is the time to build your reputation.