Good morning, sales friends. Gather round for our sales meeting and let’s talk about what is happening out there in the streets. I think if there is something we can all agree on, it is that as an industry we are not getting maximum value for what we sell and what we do.
So, let’s talk about that and how we change it. Because, in case you didn’t know, it is our responsibility and job to change it or else it will never change. And we are already way behind on this, so we have to do something about it fast.
As usual, we have to break everything down by direct sales and agency sales.
Starting with direct sales, this is where someone who is kind of running their own small business (the salesperson) is negotiating with someone who does own a small business. Both of you have decisions to make. However, the thing we know about negotiating is that if you have set it all up correctly and are talking to the right kind of business, it really shouldn’t be a question of them asking, ‘How much does this cost?’ It should end up being something like, ‘Well I have to have that so what do I need to pay to get it?”
Easier said than done, but it all starts with the right type of business. If you are walking into the one location restaurant/bar you think might want to advertise their $9.99 fried chicken special, you’re dead before you start. They don’t have the money to spend that makes it worth your time, and we are going to get back to that concept of your time. We know the category is tough, restaurants and bars are usually as healthy as however that past weekend went for them. The point is, find solid candidates that can spend the kind of money it takes to really get results.
Since we are all aware that the smaller clients take up more time and effort, if not more than the big ones, why not spend more time going after the big ones? If you have done your homework and a really good client needs analysis to discover what the problems are, you should have what you need to create something that really impresses the client. Make them feel like you have created something just for them that provides a clear solution to what they identified as the problem. Then, price becomes less of a factor.
If the business owner isn’t excited and is only thinking about what it is going to cost and really doesn’t seem to believe in it, see if you can figure out what the real objection is. If the real objection is they don’t have the money to spend, run away. This business will run for about 60 days and when the second invoice arrives, they are going to cancel.
With direct businesses, you have to really dig in, not just to find out what the problems are that you can provide solutions for, but if this person or group of people are really committed to growing their business.
Now, with the agencies, let me make this clear – believe everything they say to you is a lie.
Hopefully your market and sales managers have done the training session with you that shows you how agencies train their own people to sell against you. It’s gross. But we let it happen every single day and have for years and years. We fall for what they tell us every time and take less than we should.
They literally train their people that radio salespeople can be taken advantage of and that (and this is a direct quote from an old agency training sales manual) “they will believe anything you tell them about their competitors.”
Ever had an agency tell you, “Your competitors across the street said they would do it for less” or “Your competitor isn’t charging me for those, they are bonus.” They are generally lying to you; they are saying that exact same thing to the other side and usually both of you buy it and lower your price.
Ever have an agency act like this is a last-minute razzle dazzle, need your lowest price right now, has to be quick kind of thing? Yep, they are lying again. They are actually taught to do this so that you think you have to rush and don’t take your time and really put something together you can support and really ‘sell.’ Funny how they are always in a rush to get the information but never in a rush to place the buy, right?
In that same training they suggest the buyers always come back and ask for more, always come back and to always say they don’t like something about what is being proposed.
The other part of the equation is you. And this needs to be where the industry starts to put its foot down. Your time and your knowledge is worth something, and generally it is more than whatever the commission is off of one sale. In my 25 years in media I only ever heard one salesperson ever say this out loud – ‘I am your added value.’ Damn straight you are. Now negotiate with that thought in mind. Mr. or Mrs. Advertiser, you are getting what the station will deliver for you and the opportunity to grow your business, AND you just got me as your new in-house marketing advisor. You get my time, my resources, my knowledge, my training – AND you get the advertising.
Ultimately you have to decide if a client is worth your time. And as an industry we need to do a much better job of valuing ourselves.
Dave Greene is the Chief Media Officer for Barrett Media. His background includes over 25 years in media and content creation. A former sports talk host and play-by-play broadcaster, Dave transitioned to station and sales management, co-founded and created a monthly sports publication and led an ownership group as the operating partner. He has managed stations and sales teams for Townsquare Media, Cumulus Media and Audacy. Upon leaving broadcast media he co-founded Podcast Heat, a sports and entertainment podcasting network specializing in pro wrestling nostalgia. To interact, find him on Twitter @mr_podcasting. You can also reach him by email at Dave@BarrettMedia.com.
