Sales is more than just a numbers game...

HP Pavilion dv6 Artist Edition – Hooked on videos in the first 30 seconds

When the newsletter from HP arrived in today’s email, it only took a quick glance at the picture of the HP Pavilion dv6 Artist Edition 2 Notebook for me to want to click on the video link. I thought their marketing of the designer edition of the netbook to women was a slick concept; charge premium pricing for the cover design with no change in form factor or guts. This time they reeled me in to watch a series of five short videos.

What has my attention in this is the effectiveness of using a series of short, online videos to get your attention. The first video is 26 seconds of flashy artwork and only 3 seconds that show it is a notebook; there is no video time dedicated to “HP” (the company). Once again, it proves to me that you can capture someone’s interest in 30 seconds or less, and have them ask for more.

I went on to watch the other four related videos that covered – in music and film – the attributes of product innovation (the guts and form factor), software and hardware for artistic creativity, and high-impact mediums like pictures, music, and video. It sports a 16-inch diagonal widescreen display and demonstrates its ability to deliver high-definition entertainment for TV. It also has, what is becoming standard issue, an integrated webcam and microphone.

Even though the intended audience for this unit is the Academic crowd - from the classroom to the dorm - I think it has traction in many other settings or use.

Reader introduces us to chumby – yet another wake-up option

Having featured a couple of alarm clocks from Philips (the Wake-up Light Premium, and the clock radio that morphs into a digital picture frame), I was surprised by yet another clever way to wake-up in the morning. A couple of weeks ago I was introduced to the chumby.

chumby is described as “an Internet media player that delivers users' favorite parts of the Internet in a friendly, always-on, always-fresh format.” The possibilities seem endless when you look at the extensive list of widgets and always-on connection to content and information. chumby claims “Over 1,200 widgets in more than 30 categories, ranging from news and entertainment to videos, music, sports and more are available for free from high profile media partners such as CBS, MTV Networks,The New York Times, The Weather Channel Interactive and AOL's SHOUTcast.”

Moreover, for you clever technology development folks, you can submit your own widget ideas for chumby. Do you like to make clever little covers or accessories for devices? There is room for you, too, in the chumby community – they call it an “open-source effort for outerwear”.

Back to the alarm clock side of chumby. You have all the features of a traditional alarm clock. But the competitive advantage becomes the customization of content and how it is delivered. “With a chumby, wake up exactly when and how you'd like: to the adrenaline rush of rock music, The New York Times headlines, weather, sports, stock updates—any audio or visual content you choose.”

Rather than go on about all the possibilities, check it out for yourself. Visit chumby.com and take a tour.

Entrepreneurial venture calls for corporate discipline

Recent economic changes have brought about a new harvest of entrepreneurial ventures and endeavors. The franchise industry is experiencing growth with new franchisees, as well as individuals going solo as an independent business, or consultant. As job losses continue to accumulate, more people are considering some level of self-employment.

We see this benefitting the individual and the companies who are in need of these services. Individuals can develop an income stream and companies can take advantage of short term or specialized skills at competitive rates.

Nevertheless, the more we interact with these changes, the more we see the need for both parties to apply some corporate discipline to the relationship.

For the entrepreneur, they need to recognize that larger companies as customers will apply some type of pre-qualification process prior to purchase. These companies often have a procurement profile or assessment that can be accessed online from their Web site. There will be questions that relate to company size, financial information, corporate structure, client referrals, etc. This information should be prepared in advance and readily available prior to submission. Good accounting resources and legal advice can pay handsomely in this situation.

Most any size company will/should also demand some level of assurance for performance. A recent example we saw was in professional computing services. Although the proposal was sound, there was no provision for an SLA (Service Level Agreement). We told our client to go back to the vendor – a small entrepreneurial firm - and ask for an SLA.

The exchange of a non-disclosure agreement (NDA) between parties is a common practice. As the numbers of agreements grow, and the terms and conditions may vary, it is a good idea to keep a catalog of the agreements. Along with a cross reference by company name or date, a capsule of the terms and conditions is also helpful when looking for specifics, e.g., length of term, business entity, name and title who signed it, expiration date, products or services bound by the agreement, etc.

Beyond these simple examples lie many more. Most of the new wave of entrepreneurs are ‘corporate exits’, i.e., they came from a corporate discipline or accountability. As you venture out on your own, think in terms of the discipline that was in place while you were an employee of your former employer. Let experience be your guide.

Waiting for some early Palm® Pre™ user experiences

When the week’s LinkedIn Application Updates arrived, halfway down the page was one from a contact that read, “…is now using LinkedIn for Palm Pre.” LinkedIn described the application as, “On your Palm Pre - Search and view profiles, email your connections, invite to connect from your address book, view and accept outstanding invitations.”

I sent him a quick email and asked him to call me about his experience. Knowing he was a long time, savvy Treo user, I was curious if he felt the wait for the Pre was worth it. Unlike him, I was unable to hold out for this phone and had purchased a Samsung Hue II.

It did not take any prompting on my part for what worked best. He was quick to talk about the ease of multi-tasking, real time updates, and the near desktop experience. Quite simply, it worked the way he worked; no adjustment required.

Since his use was still quite new, he told me about a number of things he was going to do to bring more of a desktop experience to his Pre. I had noted that from Palm’s Web site there is a “Palm® Synergy™ feature to bring your Outlook®, Google, and Facebook® calendars together for one logical view of your day.” Another standout in the conversation was the keyboard - a physical QWERTY keyboard. From what I can tell, not only did that play a role in his decision over an iPhone, but also as a preference over a RIM BlackBerry.

Since my needs are more basic, I remain pleased with my decision to take a back to basics approach with the Hue II. Nevertheless, in hearing his story, I must admit I wonder if I could have made my old Nokia limp along a little longer.

More about Palm® Pre™ - Features and Details

Podcast: Struggling to get an order from a new account

You seem to struggle in getting an order promptly from a new account. In some cases, where you believe the order will be forthcoming, you find that either it gets stalled in the process, or you lose the business to a competitor. In this episode of the One Goal - Revenue Generation ® series, Peter Kusterer of NvestNtech helps you discover an approach that focuses on the customer’s process in acquiring products versus your focus of selling them goods or services. Download this episode - “Struggling to get an order from a new account.”

Offer your comments, questions, or initiate general discussion with other listeners of the One Goal - Revenue Generation ® Podcast series. Use this LinkedIn Group to discuss your own personal selling situations as they might relate to an individual podcast episode, or in a broader sense of the profession of Sales.

Click on this link for the Podcast directory that includes the One Goal - Revenue Generation ® series, as well as additional Podcast episodes and related topics. Our podcasts are featured on iTunes, Odeo, and Podcast Alley.

Innovation: Philips Wake-up Light Premium and Wake-up Light Music

I thought the Philips clock radio that morphs into a digital picture frame and multimedia platform was a slick wake-up device. Philips has announced their new Wake-up Light Premium and Wake-up Light Music. For those who can’t seem to be without their iPhone or iPod®, this has to be the ticket to a peaceful wake-up call.

Now your body can sense a natural sunrise – the Wake-up Light gradually increases the light, simulating a natural sunrise – and you can avoid being knocked out of bed by the sound of a traditional alarm clock. The Wake-up Light comes on 30 minutes before your prescribed wake-up time.

If the concept of waking to natural sounds was an attractive option to you in the digital picture frame clock radio, the Philips Wake-up Light also offers the option to play natural sounds or the FM radio. If you have some favorite songs or music on your iPod®, you can have them play (at the end of the 30-minute wake-up cycle) via the optional iPhone/iPod® Docking Station – it’s a charger, too.

Like knowing the time? Hidden LED display projects time and icons from inside of the product. Want it to put you to sleep like a traditional ‘sleep’ setting? Dusk simulation feature gradually turns off the light and radio to ease you into sleep.

Once again, it looks like Philips has found a way to offer even more wake-up and sleep options in a simple, integrated device.

Small Business: When the big box store moves in, it’s customer service that counts

This small coastal area has grown from a commercial fishing community into a vacation destination. With the growth came stores of all shapes and sizes; some are geared primarily for the tourists, but others are to keep everything running well.

For a time, the local independently owned wholesale lumber and building materials dealer was the best choice for large projects, both contractor and DIYer alike. Beyond the building materials, they are a fully-stocked hardware retailer under the label of a well-known chain of hardware stores. They became an excellent one-stop shop for projects and materials.

As the area has grown, a big box store – Lowes Home Improvement – opened within a mile of the independent dealer and brought a new level of competition for this well-established business.

Those small businesses that have faced a similar situation often adopt various tactics to beat back the competitive threat. By stocking unique brands of products like Stihl outdoor power tools, or Benjamin Moore paints, local retailers can carve out a niche of loyal buyers who will often pay slightly higher prices for what might be a commodity item in the big box store.

When the choice in products falls into a category that lacks brand preference, better customer service will help the independent dealer hold onto their customer base. Be that advice about a specific product, or answering a question on material use, the store staff can quickly become the differentiator in the purchase decision.

Last week I stopped by the independent dealer reflected in the story above. I had a ready job list of items for various projects that I wanted to complete over the next couple of days. The employee in the aisle was quick to point me to the item locations. However, when it came to information about a specific product, I was surprised by the response of another.

In this case, I said to the service desk attendant, “Most house wash products (disposable sprayer/container attached to a garden hose) shoot a stream about 25 feet; do you know how far this one will go? It doesn’t say anything on the label.” (I was not familiar with this brand, and I was faced with three stories of siding.) The employee turned to me and said, “No.” That was it, a one word response.

Willing to take the chance on an unfamiliar brand, based on the information elsewhere on the product, I went forward with the purchase. In the past, I had always enjoyed shopping at this ‘away from home’ store. However, I left with the lasting impression of a defeated group of employees. With no other cars in the lot, and only a couple of pick-ups in the yard, it was the only reason I could come up with for this less than positive experience.

When the big box store moves in, it is customer service that counts, and gets the sale. When it is lacking, the scorecard will favor the big box store. Looks like I may be driving the extra mile down the road in the future. That is one less car in the independent dealer’s lot. Time will tell whether others follow suit.

Podcast: Customer's complaints from prior business relationship

I am new to my sales assignment and have taken over a territory that was managed by someone else. I have found that customers are complaining about our products and service as a result of the previous salesperson’s efforts. I have tried to reassure them that I will do better, but my short time in the assignment prevents them from accepting my pledge. How can I overcome this legacy and move on to better sales results? In this episode of the One Goal - Revenue Generation ® series, Peter Kusterer of NvestNtech talks about rebuilding trust between you and your customer after a poor experience from the prior business relationship. Download this episode - “Customer's complaints from prior business relationship.”

Offer your comments, questions, or initiate general discussion with other listeners of the One Goal - Revenue Generation ® Podcast series. Use this LinkedIn Group to discuss your own personal selling situations as they might relate to an individual podcast episode, or in a broader sense of the profession of Sales.

Click on this link for the Podcast directory that includes the One Goal - Revenue Generation ® series, as well as additional Podcast episodes and related topics. Our podcasts are featured on iTunes, Odeo, and Podcast Alley.

Innovation: Superior Tool’s Adjustable Combination Wrench – it could use an adjustment or two

This past weekend I tackled a top-load washing machine repair on a 10 year-old unit. There was a small leak around the drive shaft that led me to believe the tub seal was leaking from under the spin basket (inner tub). Looking at the parts breakout, it didn’t look too difficult – that was the first clue; most repairs like this are harder than they seem.

The aluminum nut that holds the inner tub to the transmission hub (lower portion of the drive shaft) is 1-11/16 inches; a big nut to crack and only the beginning of the repair. I assumed I could bypass the purchase of the special spanner wrench for this nut, thinking I have enough wrenches to do most any job. That was the second bad assumption – there must be a reason why they make a special wrench for just this occasion. So, from here on you’ll get a brief tour of pliers and wrenches as I dug through the toolbox.

First out of the toolbox was my trusty Channellock pliers (#440 12 inch Tongue and Groove Plier). This tool has all the scars of decades of service. I figured that even if the nut was stubborn, using a persuader on the backside would add an extra nudge. Since the tub area is so narrow, I couldn’t get a level grip. The spanner wrench would have spanned the entire width of the tub (for better leverage) with the hex cutout in the center.

When that didn’t work, I started looking at some other likely candidates in the toolbox. Next up was my newer Crescent 10” Dura-Plyer (LB810 8-Inch and 10-Inch Set) which spreads out to a 1-3/4 inch opening yet has a short set of handles (10 inches) for tight places. Now I am level across the nut, and repeat the tap and tug process of freeing the nut. No joy!

Even though the nut is aluminum, my next route looked like a cold chisel and hammer; I figured I could afford a few whacks to break it loose as long as I am careful not to deform it, or the casting below. Since I had read a few stories of people using a 2 lb. mallet to break these loose, I wasn’t surprised by the stubbornness. I purchased a replacement nut in advance just in case the damage was beyond recovery; the cost of the nut was also 1/5 the cost of the spanner wrench (which I deemed a one-time use tool in this case).

Before I begin hammering away, I go looking for any other tool to use on the nut. That’s when I dug deeper into the plumbing part of the toolbox and pulled out my sink drain wrench (Superior Tool Company #03845). This is a very cool tool; anyone who does household plumbing should have one of these wrenches. Although it reminds me of a scorpion about to strike, it works on just about everything around a sink or drain. And, I pulled out the hand ‘socket’ wrench I use for pulling hot water heater elements. I figured one of these might help me free the nut. No such luck; none of these fit the nut.

While at the local Lowes Home Improvement - on another errand to distract me from the job at hand - I spotted a tool I had not seen before. It’s an adjustable combination wrench (#03840) that spans 1” to 3” and has a short, comfort grip handle to fit in tight places. It appeared to be another good addition from Superior Tool.

While attempting to use it, on this repair, I was less encouraged by the result. Once you set the nut size with a thumb wheel, you tighten a bolt and wing nut to hold it tight. With the slightest of pressure on this stubborn nut, the wrench would quickly lose its setting and I would have to start the process all over again.

I could easily make the argument that it’s not suited for this application, since it’s probably more for doing light duty on drains, baskets, and basins. A little extra money and engineering might be in order to put a better locking mechanism than a bolt and wing nut (that could easily come apart, get lost, and hardly holds a size setting). I quickly put it aside.

In the end, it all worked out; a few words uttered, much sweat, and aggressive persuasion tore the nut loose. If this were a regular repair event, the spanner wrench would be the tool of choice. I can also see where this repair could reach the point of the cost of labor and parts, would near the cost of a new, low-end washing machine. From my vantage point, after doing this on my own, the repair pros deserve what they charge for this repair.

p.s. Any of the tools mentioned here, with the exception of the spanner wrench (special order from your favorite appliance parts dealer), can probably be purchased from your local hardware store or home improvement center.

When the business owner decides to forego their salary

The following is from a recent issue of Thomas, Judy & Tucker's Outsource Accounting Division monthly eNewsletter. References to Account Manager, tax advisors, etc. relate to the staff of Thomas, Judy & Tucker, P.A. You can subscribe to their monthly eNewsletter that features many accounting topics, tips, and business insight by clicking here.

Making the move to forego salary
For the business owner

Here are five before and after suggestions for you to consider as you make the move to forego taking a salary from your business. Your Account Manager can help you decide the best way to allocate this change for budgeting and potential tax implications.

Before

Consider your own personal financial situation. Putting undue stress on your own finances can lead to a bigger problem with debt on you, and your business.

Communicate with family members as to your intensions so they can be aware of the potential impact of a change in lifestyle and spending.

Determine how and when you may choose to recoup the monies allocated to this interruption in salary. Not only is timing important, but you should speak with a tax advisor, or one of our tax advisors at Thomas, Judy & Tucker, in advance of your decision. Various tax ramifications may apply to you, and your business.

Work with your Account Manager to determine whether you should forego your salary altogether, or if you should look at a tiered reduction in salary - a series of pay cuts - over a longer period of time.

Ask yourself whether this decision to forego your salary is a panic move or one that makes your business a more viable enterprise in the future. This is an excellent time to reevaluate your entire business model so that your confidence is high that this is only a temporary situation and you can see your way clear to reinstate your income in the future.

After

No time for flip-flops, but not a time for 'bling' either - We all know that grooming and appearance are important. But when the statement you make is trying to send the message of frugality, it's not wise to outwardly show personal spending. From small in appearance to larger events or big-ticket items, be sensitive to things like entertainment, events, or other expenditures that can send the wrong message.

Meet regularly with employees to ensure that they understand the overall health of your business and that you share their "load" or burden of making any cost reductions or salary changes. It's wise to convey to them that any actions today do not suggest additional cost saving measures may not be required in the future.

As business begins the turnaround in a positive way - history suggests it will - resist the urge to immediately reinstate your salary. Before restoration of income, look for long term indicators that the renewed business levels will continue in the foreseeable future.

Show your ability to fit into the existing culture of "all hands on deck". Pitch-in and help wherever you can, demonstrating your willingness to help employees deal with the increased workload with less resources.

Remember, you are still the boss. Although you are making every effort to join the ranks in sharing the pain of today's troublesome economy, you still have a business to run. Now more than ever you need to demonstrate leadership and set direction to sustain the business.