FAQ: Isn't Sales A Numbers Game?

Mindless peddling is a numbers game. Strategic account acquisition is not.

Or I could say, it's a numbers game... in Moron Land. It's a numbers game in IT companies that don't have clearly defined perfect client profiles, but have lots of cheap, brute brawn power and shoe leather to chase large amounts of people all over hell's half acre and hassle and pitch them with their "unique solutions", "robust systems" and "proprietary processes", while these poor bastards are desperately trying to run and hide from these quota-crazed peddlers. This problem happens to IT companies that are too lazy or lousy to market their stuff, and live a miserable day-by-day feast and famine life from one bid to the next.

So, selling is a number's game... Some buy. Some don't. So what? Next!

But then how about surgery? Imagine your mother is about to be wheeled into the operating theatre, and you ask the surgeon: What are the odds, doc?

And the surgeon tells you with a friendly smile on his face, "Well, hell... Some die. Some don't. So what? Next!"

Or imagine the quality control guys at an aeroplane manufacturing plants, "Some crash. Some don't. So what? Next!"

So, what causes this numbers game mentality? One of the many causes is definitely the so well known instant gratification syndrome, which losers love so much and winners are smart enough to avoid. IT companies that want instant sales but are too dumb to invest in their own futures.

Look at most start-up companies...

When a plumber quits his job and starts his own business, he re-mortgages his home, gets a bank loan, raids his kids education funds, takes a small business course and starts his plumbing business. And, if needed, he hires some professional help to assist him to grow his company.

But how many IT businesses get started that way?

Almost no...ne...

The IT expert finds some suckers, called investors, who invest their money in this poor bastard's start-up joint and "world-class" idea. Then the technology expert spends all the money on a flashy, glitzy, glamorous office in the best part of town, buys a bunch of brand new top line furniture, cutting edge technology and maybe some image advertising on TV and radio. And then for good measure he adds a company Mercedes or BVMW to the tab for his personal use. Then he recruits some cheap peddlers who would start chasing people trying to sell the company's state-of-the-art, robust, cutting edge, "best practices" technology. And they'd better make sales right away because there is no money left in the kitty.

But right now, our hero can live high on the hog and impress the world with his newly-found success.

And such an expert doesn't waste money on marketing. He's beating his chest: We need instant sales.

But our expert is just not expert enough to have the courage and confidence to bet his own money on his own future. No! He expects all other people to work for him for free and get paid in shares (which are worth nothing)... some day.

And exactly as Michael Gerber says in his E-Myth system...

"The technology expert, just because he knows how to do technology, erroneously assumes that he also knows how to run a company that does technology."

Just think of the dot com bubble burst. Most of those teenager CEOs are back to McDonald's flipping burgers.

Based on their approaches, we can divide technology companies into four groups...

The Four Categories of Technology Companies

Loser Land: These are the low-life, low-brow bottom-feeders of the technology world. These technology companies offer "nothing unique, nothing distinct" stuff that has no particular value in their target markets' perception. Life is about surviving just to live another day and hoping to make another sale. There is no business development strategy. There is an army of peddlers who haphazardly chase people who seem to be interested and try to manipulate them to buy something

Moron Land: Technology companies in this quadrant have unique stuff to offer but don't know how to communicate that uniqueness to their target markets. They have no strategy for consistent business development, just endless and brainless hunting, chasing and other cold-prospecting grunt work. So, the target market desperately runs and hides from them.

Bargain Land: These companies offer valuable commodities to their target markets. They can live on high volume, but since they compete on price to stay alive, they can never really become truly profitable.

Premium Land: These companies have unique stuff, and through their good marketing programmes their target markets understand their uniqueness and the inherent value of that uniqueness.

The aim is to move to Premium Land, but to do that you must give up the numbers game and selling by numbers and quotas. You need a business development plan in place and a few good people who actually execute that plan precisely and consistently.

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