2011 Vegas Profitability Summit

The Home Improvement The Home Improvement Profitability SummitProfitability Summit

The entire contents of this material is copyrighted by and is the intellectual property of Dave Yoho Associates. No reproduction is permitted without the express written permission of Dave Yoho Associates.

The Efficient & Profitable Company

The Home Improvement Business

Marketing creates leads – The salesperson sells – Production installs

Errors & Enigmas

Errors: Misinformation – Misjudgments – Mistakes – Mismanagement – Unwise practices

Enigmas: Puzzling – Difficult to explain – Complex to comprehend – Unmeasured consequences

Common Errors Made By Most Home Improvement Companies

1) Lack of (or outdated) business plan and operational model

2) Improper pricing formulas

3) Direct costs not clearly defined

4) Fully loaded marketing costs not defined, allocated or managed

5) Insufficient safeguards to ensure net profitability on each contract performed

6) Lack of cash flow management

7) Poor distribution and control of leads

8) Failure to maintain adequate internal records and accounting

9) Failure to understand personal exposure (liability) in ongoing business transactions

10)Outmoded (often risky) sales compensation methods

11)Lack of information regarding federal and state laws (Frequent failure to conform)

12)Failure to examine the law of “cause and effect”

Common Errors Made By Most Home Improvement Companies

The Home Improvement Company

GOALS

Sales Volume

Net Sales

Installed Sales

BUDGET

Marketing

Sales

G&A

Net Profit

Gross Margin

Sales Control

PRICING

The System

General Manager

Accounting/LegalOWNER(S)Board of Directors

LEADS

Intake

Distribution

Control

MARKETING

Sources

Lead (Database) Management

Control

SALES DEPARTMENT

Sell By The System

Self-Generated/Referrals

Maintain Quota (Goals)

Efficiency Rating

PRODUCTIONBudget Management (Goals)

Efficiency (Turn)

Staffing

Repair/Service Issues

SALESMANAGEMENT

Staffing

Maintain Model

Train

Manage

Inspire/Motivate

The Home Improvement Company

Business Plan

Sales Model

Production Model

Controls

Balance Sheet

Operating Statement

Marketing Plan

Sales Staffing

G&A Controls

Net Profit

GOALS

Sales Volume

Installed Rev.

Net Profit

Gross Margin

Operating Profit

Pre-Tax Profit

Net Profit

PRICING FORMULA

Marketing

Sales

G&A

Net Profit

BUDGET

MARKETING

Sources

Lead (Database) Management

Control

The Plan

Managing The Plan

Boosting Confirmation (And Issue Rate)

The People (Select/Train/Manage)

Efficient Database Management

LEADS

Intake

Distribution

Control

Make vs. Take Marketing

Marketing is defining how to sell the right product (service) in the right markets at the right time in the right

quantities to the right customers at the right price.

Simply stated 'take marketing' enables the seller of goods and services to analyze the market, then design a program

which will enable the marketer to sell a satisfactory percentage of that market.


Those who offer goods in those markets will decide how to “take” the piece of that market which their product

can accommodate by price, quality, and similar factors.


The make marketer finds ways to stimulate prospects by offering them an opportunity to look, preview, see a

demonstration, get free estimates and other similar tactics.


Interacting with prospects who are not yet committed


Make Marketing:

Approximately 22 million windows for new construction and 33 million were used in replacement. Approximately 60% of

the latter came because of make marketing which also drives and stimulates the market for others.


Enigma

Recent Survey Data:

90% of all canvass programs fail

Canvass leads average 40% issued

50% sit rate = 20% of original leads

Close: Average 4 to 5 sales

Less credit rejects & rescission: Net 2 to 3 sales

Fully loaded costs 20+%

What is a lead?

• How did it originate?

• Nebulous leads

What is an appointment? (issued lead)

• Standards

• How did it convert?

Enigma

What is a

presentation?

• Sit rate?

• Close rate?

• Efficiency rate?

What is - -

• Database recovery

• Rehash

• Referral program

Enigma

OPERATING STATEMENT (PART 1)

PLAN ACTUAL Y.T.D. PRIOR YEAR

MO. Y.T.D.

(1) Leads issued #

(2) Working days in month #

(3) Leads issued per day #

(4) Average reps working #

(5) Average leads issued per rep #

(6) Total presentations #

(7) Presentation (%) to leads issued %

SALES

(8) Closed first call #

(9) Total sales closed #

(10) Sales to leads issued %

(11) Sales to presentations %

(12) Total volume sales closed $

AVG. SELLING PRICE PER SALE

(13) Windows (A.S.P.) $

(14) Sunrooms (A.S.P.) $

(15) Siding (A.S.P.) $

(16) Average selling price all products $

PA

RT

PA

RT

22PRIOR YEARPRIOR YEARY.T.D.Y.T.D.ACTUALACTUALPLANPLAN

$$Total marketing costsTotal marketing costs(34)(34)

%%Marketing cost vs. net salesMarketing cost vs. net sales(35)(35)

$$Cost per lead issuedCost per lead issued(36)(36)

MARKETING COSTSMARKETING COSTS

$$Cost per lead - net salesCost per lead - net sales(37)(37)

$$Efficiency rate all productsEfficiency rate all products(33)(33)

$$Efficiency rate sidingEfficiency rate siding(32)(32)

$$Efficiency rate sunroomsEfficiency rate sunrooms(31)(31)

$$Efficiency rate windowsEfficiency rate windows(30)(30)

$$Net average selling priceNet average selling price(29)(29)

%%Net closing to leads issuedNet closing to leads issued(28)(28)

%%Net closing to demosNet closing to demos(27)(27)

$$Sales pendingSales pending(26)(26)

##Sales pendingSales pending(25)(25)

%%Retained sales ($) vs. ($) soldRetained sales ($) vs. ($) sold(24)(24)

$$Retained sales (net business)Retained sales (net business)(23)(23)

%%Retained salesRetained sales(22)(22)

##Retained salesRetained sales(21)(21)

$$Sales lost n.g. creditSales lost n.g. credit(20)(20)

##Sales lost n.g. creditSales lost n.g. credit(19)(19)

$$Sales lost to cancellationsSales lost to cancellations(18)(18)

##Sales lost to cancellationsSales lost to cancellations(17)(17)

Y.T.D.Y.T.D.MO.MO.RETENTIONRETENTION

** SALES PENDING: CONTRACTS SOLD, PAST RECISION, NO CREDIT APPROVAL OR NOT OTHERWISE APPROVED

†† EFFICIENCY RATE: NET SALES ($) ÷ LEADS ISSUED

**

††

Jim Cory, EditorJim Cory, EditorReplacement Contractor Magazine Replacement Contractor Magazine [email protected]@HanleyWood.com

Jim Cory is the editor of Replacement Contractor, a Hanley Wood publication for roofing, siding and window contractors. Prior to the launch of Replacement Contractor, in the fall of 2002, he was Senior Editor at Remodeling, another Hanley Wood publication. He currently contributes to both Remodeling and Replacement Contractor as well as the respective Web sites. He organizes the Replacement Contractor Executive Conference, an annual event focusing on sales and marketing in the home improvement industry.

INDUSTRY TRENDS

Take vs. Make Take vs. Make MarketingMarketing

Recession and recoveryRecession and recovery

Shift to direct marketing Shift to direct marketing

Watch Your BackWatch Your Back Consumers doing more online Consumers doing more online

researchresearch

Complaint and review sites Complaint and review sites proliferateproliferate

Digital dirtDigital dirt

Drill DownDrill Down Who’s buying home Who’s buying home

improvementsimprovements Where are they Where are they Local market demographics Local market demographics

Entry LevelFeature & Location

Simple Life Family Life EliteActive Adult Entry Level

Active Adult Feature & Location

Active Adult Elite

Seeking pure basics of a home.

Price is key determinant

Lower income segments (young families, recent immigrants, divorcees/ widows)

Desire home-ownership, but often credit challenged

Active young professional singles and couples, and career-focused upper middle class professionals

Adaptable; will sacrifice bedrooms for features; price focused on technology and style

Values convenience over price

Active, laid-back middle class singles, couples, and families

High rate of homeowner-ship often in rural settings

Affinity for outdoor sports, recreational activities

Not traditionally career focused

Traditional middle to middle-upper class families

Prefer mid-sized suburban homes

High home-ownership with strongest affinity towards new homes and communities

Home features and community feel are important

Affluent families, older couples

Privacy, prestige, and features are important

Custom tastes, country club preferences

Demand high-end finishes, many options

Product of various types, yet location and size are both important

Semi to fully retired lower-middle class adults

Mixture of ethnically and racially diverse individuals with strong ties to communities and traditions

Only likely to move to downsize or locate closer to family

Middle class adults nearing or in retirement

Locations, features and community feel is important as well as ability to remain active

Motivated to downsize and have maintenance free lifestyle

Consider a retirement purchase their final home

Wealthiest of the active adult segments

Middle to upper class adults with an eye on retirement

Community/ sense of place is important

Very active and social lifestyle

Stylish features, new construction, community feel are all important© Hanley Wood, LLC—All Rights Reserved

Hanley Wood Housing Consumer Groups

Get Ahead of Demand Get Ahead of Demand By Understanding ItBy Understanding It

3 types of households drive remodeling activity3 types of households drive remodeling activity

These key households are 50% more likely to do a major These key households are 50% more likely to do a major home improvement project in a yearhome improvement project in a year

More than 25% of these households report doing a home More than 25% of these households report doing a home improvement project within a given yearimprovement project within a given year

Collectively they represent less than 24% of all Collectively they represent less than 24% of all households households but they are responsible for 40% of but they are responsible for 40% of remodelingremodeling

28

We know where they live, and where they We know where they live, and where they are buying…are buying…

Tim Musch, Dir. Of Bus. Development Tim Musch, Dir. Of Bus. Development MarketSharp SoftwareMarketSharp [email protected]@MarketSharp.com

Tim Musch is Director of Business Development for MarketSharp Software located in Lacrosse, WI. Prior to that, he spent 15 years gaining experience in a family owned remodeling company in Central Wisconsin. MarketSharp has supplied computerized marketing solutions to over 2000 of the country’s most successful remodelers. Tim has spent the last 18 years developing and refining computerized database marketing systems for the remodeling industry.

2011 Trends

Embassy Suites – Convention Center – Las Vegas, NV – May 4, 2011Tim Musch – Director of Business Development – MarketSharp Software

3

“…the best way to put distance between you and the crowd, is to do an outstanding job with information (data). How you gather, manage,and use informationwill determine whether you win or lose.“

- Bill Gates

Good Advice!

Yesterday’s Leads

vs

Today’s Inquiries

Two Strategic Schoolsof Thought…

Transaction Based

Relationship Based

Now Buyers

Future Buyers

Your Database...

Prospects

Leads

Customers

Asset Recovery

The Ongoing Process of Converting (Recovering)

Unsold Leads (assets) to Profitable Sales!

Buy Lateror Never

40%

Buy withina year60%

Other70%

Buy Immediately

30%

The Conversion Potential of Your Leads(10 Leads)

30% (now) + 42% (later) = 72% Conversion Potential!

Buy Now

3

Don’t Buy Now

7

4.2

2.8

How?

Regulation Compliance

Industry Alert Regulation Compliance

Regulation Compliance

“Look into the future and imagine what your industry will look like in 5 years?”And Do It NOW!

Terry Ferrero, President/CEO Terry Ferrero, President/CEO Pro Materials DirectPro Materials [email protected]@gmail.com

Terry Ferrero is President and CEO of Pro Materials Direct, a distributor of specialty products to home improvement companies. They currently serve over 40% of Replacement Contractors’ (magazine) top 100. Since 1975, when he first joined Alside, he has dedicated his career to the industry. His distribution company, American Wholesale Supply, has branches in 7 southeastern states. He is a founder and director of EBank and a founder of Magnolia Windows and Gutter Protection Products of America.

Trend 1

The “Home Energy Retrofit” will become the fastest growing segment of the Home Improvement Industry.

Prediction: Contractors who move slow will simply miss an incredible opportunity to expand their business.

100 million homes are currently in need of some type of energy

improvement

“The market for housing energy retrofits is HUGE, with an overall potential estimated at 400

Billion Dollars”.

Energy retrofit leads are your “ENTRY” into the home to do a needs analysis. Energy retrofit leads create window,

siding and other energy related product sales.

eShield Energy Retrofit Products:

eShield Air Sealing, eShield Blow Insulation, eShield Reflective Insulation, Whole House Energy Controls, eShield Home Energy

Tracker, eShield Rewards

Trend 2Home Energy Tracking will become a

significant component of energy conservation

Microsoft and Google will drive publicity and consumer awareness.

Prediction:

Home renovation contractors that adopt this trend now will have a huge competitive advantage by including this technology with all related energy

saving products (ex: insulated siding, energy retrofits, insulated windows).

Trend 3Technology for in-home presentations will give

those contractors who move quickly a tremendous competitive advantage.

Apple has sold over 50 million

iPads and 84 million iPhones

Mark Berch, President/Chairman Mark Berch, President/Chairman Service Finance CompanyService Finance [email protected]@SvcFin.com

Mark E. Berch is Chairman & President of Service Finance Company, a nationally licensed FHA Title I Lender. They are a third party servicer with the ability to conduct business in all 50 states and the District of Columbia. He has spent the majority of his adult life in and around the home improvement industry. He has been a principal in several companies who made rapid expansion and were nationally recognized. He was co-founder and president of an HVAC company with 42 locations in 17 states. He was also founder of a home security company which operated in California, Georgia and Illinois. His background and experience enables him to effectively marry his in-depth knowledge of the home improvement industry with his expertise in financing. Thus creating the best financing options for both the home improvement retailer and the consumer.

Ron Sherman, President Ron Sherman, President Ron Sherman ProductionsRon Sherman [email protected]@RonShermanAdv.com

Ron Sherman is the President of a multi-million dollar ad agency headquartered in Little Rock, Arkansas. He specializes in producing programs for the home improvement industry. He acts as producer and spokesperson for many of those in the room today. In any given time, throughout the US, you can count on running into a Ron Sherman production television program. He has dedicated his business and his modern production studio to the art of – producing leads.

Advertising(An Overview)

Brian Smith, Senior Account ExecutiveBrian Smith, Senior Account ExecutiveDave Yoho Associates Dave Yoho Associates [email protected]@BrianNSmith.com

Brian Smith joined Dave Yoho Associates as part of a “turn-around team” after almost 20 years experience in sales management with some of the largest and most successful home improvement retailers in the US. He now practices as a Senior Account Executive working on a broad range of consulting assignments throughout the home improvement/remodeling industry. He has developed programs for large and mid-size home improvement companies covering almost all products which are sold directly to home owners.

THE WELL THE WELL MANAGED LEADMANAGED LEAD

THE WELL MANAGED LEAD THE WELL MANAGED LEAD

1)1) All fall off is measured and benchmarked!All fall off is measured and benchmarked!

2)2) Companies calculate and know precisely the fully loaded cost Companies calculate and know precisely the fully loaded cost of a lead!of a lead!

3)3) Companies understand the asset value of leads.Companies understand the asset value of leads.

4)4) Companies have an efficient asset recovery program.Companies have an efficient asset recovery program.

5)5) Companies do not allow the salesperson too much latitude in Companies do not allow the salesperson too much latitude in the handling of leads.the handling of leads.

6)6) Companies place huge value on face-to-face marketing.Companies place huge value on face-to-face marketing.

7)7) Management takes responsibility to “develop” the sales staff!Management takes responsibility to “develop” the sales staff!

A “90 DAY CASE STUDY”A “90 DAY CASE STUDY”CASE STUDY WDT-41CASE STUDY WDT-41

SALES ISSUESSALES ISSUES PriorPrior @90 @90 DaysDays IncreaseIncrease

Demo rate - vs. leads issued Demo rate - vs. leads issued 68%68% 75%75% 11.5%11.5%

1st call close rate - vs. leads issued1st call close rate - vs. leads issued 10%10% 19%19% 90%90%

1st call close rate - vs. demos1st call close rate - vs. demos 17%17% 30%30% 76%76%

Close rate (2nd call, etc.) - to leads issuedClose rate (2nd call, etc.) - to leads issued 10%10% 11%11% 10%10%

Close rate (2nd call, etc.) to demosClose rate (2nd call, etc.) to demos 17%17% 18%18% .06%.06%

Average net sales per monthAverage net sales per month $812,040$812,040 $1,026,437$1,026,437 $214,393$214,393

Projected annual volume (based on annual average by month) as of June 1st - $9,283,817

Projected annual volume as of September 1st - $11,245,262

MARKETING MARKETING ISSUESISSUES

PriorPrior @90 DAYS@90 DAYS INCREASEINCREASE DECREASEDECREASE

Marketing CostsMarketing Costs 17.01%17.01% 12.96%12.96% N/AN/A 4.05%*4.05%*

Efficiency Efficiency RatingRating $2,351$2,351 $2,673$2,673 $322$322 N/AN/A

Average Leads Average Leads Issued Per Mo.Issued Per Mo. 408408 386386 N/AN/A 2424

* Increased earnings (4.05% decreased marketing costs) - - $123,172.44

A “90 DAY CASE STUDY”A “90 DAY CASE STUDY”CASE STUDY WDT-41CASE STUDY WDT-41

THE MARKETING/SALES MODELTHE MARKETING/SALES MODEL

MARKETING

LEAD/INQUIRYDEVELOPMENT METHOD

ADVERTISING/PROMOTION

PROSPECTS

RESPONSE METHOD

TelephoneMailE-Mail

FaxIn Person

Rehash- -

Database

SALESDEPT.

(NO REQUALIFICATION)

SALESPERSON

(NO REQUALIFICATION)

Confirm- -

Reconfirm

Process- -

And SetIncomin

g

- - - - - - LEADS - - - - - -

Not Home - - No Presentation

Presentation - - No Sale

Presentation - - Sale1

2

3

2 3

CO

NT

RA

CT

PR

OC

ES

SIN

G

1

THE MARKETING/SALES MODELTHE MARKETING/SALES MODEL

ASSET RECOVERYASSET RECOVERY

Timely “resulting” including paperworkTimely “resulting” including paperwork

RehashRehash

The property is the prospectThe property is the prospect

Establish a profile (property data)Establish a profile (property data)

Design & dissatisfaction dataDesign & dissatisfaction data

Impress and disarm prospects with evidenceImpress and disarm prospects with evidence

Original sourceOriginal source

Results and notes from previous contactsResults and notes from previous contacts

History of demos, purchases, cancels, declinesHistory of demos, purchases, cancels, declines

Enforce contact frequencyEnforce contact frequency

A production modelA production model

A financial modelA financial model

ASSET RECOVERYASSET RECOVERY

David A. Yoho, Senior Account ExecutiveDavid A. Yoho, Senior Account ExecutiveDave Yoho Associates Dave Yoho Associates [email protected]@DavidYoho.com

David Yoho was raised in the industry beginning as an installer and then progressing to telemarketer, canvasser, sales rep, manager and corporate trainer for what was then the largest home improvement company in the US. He joined Dave Yoho Associates in 1978 and has provided consulting services for more than 350 companies including many of the country’s largest and most successful contractors. He’s delivered thousands of speeches and seminars on sales, negotiation, lead management, hiring, training, managing and profitable business operations to every kind of small business up through Fortune 500 companies.

THE CANVASS LEAD

CANVASSING PRIORITIES

Control the herd

Find and keep the lead dog

Recruit (the right people) continuously

Establish a methodology based on the customer’s

decision-making process

CANVASSING PRIORITIES

Establish profitable measurements

Compensate based on cost (hours to demo)

Train every day – Regulate the baton pass

Enforce minimum standards

MARKETING: BEFORE MARKETING: BEFORE & AFTER THE LEAD& AFTER THE LEAD

Todd Bairstow, Founding PartnerTodd Bairstow, Founding PartnerKeyword Connects Keyword Connects [email protected]@KeywordConnects.com

Todd Bairstow is a Founding Partner at Keyword Advisors, a lead generation company specializing in home improvement leads and appointments. They currently work with large home improvement brands in the gutter protection and one day bath categories. Their programs have generated tens of thousands of high quality home improvement leads and appointments via the Internet in the last 3 years. Todd has a background as a copywriter and associate creative director at Arnold Worldwide, one of the largest and most successful ad agencies in the US.

Well respected, popular brands

Both spent millions per year with Google

Quality content and offerings

BUT…they bought large quantities of links to their site…

The Google Universe Changes

And They Got Caught

Overstock’s Rankings Tank!

• Lost 10 million visitors per month• Ranking for “bunk beds went from #3 to #70 overnight• They will never recover• Once you’re in Google’s headlights, you never leave

What this Means to You

• Many dealers are optimizing their sites

• The temptation to cheat is tremendous!

• Don’t give in…

• Insist on “white hat” only techniques

• Never encourage “black hat” or “grey hat” tactics

• Don’t buy links - - It’s short-term thinking

• Make sure your team understands - no shortcuts!

Google Changes Yet Again • The “Panda Update” demotes dozens of sites• Many of which are “content farms”

Google Makes More Room for Quality Sites

• Google appreciates good content

• More content on your site works in your favor

• The demotion of low quality sites benefits you

• Google gets better at local

• Emphasize local content and local keywords

• “Dayton cabinet refacing”

Responding to Offline Media: Before

• TV campaign for regional bath remodeling company

• Typical 800# response

• Only 1 call center rep taking calls

$$$ Marketing Cost Per Sale: 16.86%

http://www.google.com/imgres?imgurl=http://www.carpet-tile.org/wp-content/uploads/2010/11/Bathroom-Remodel.jpg&imgrefurl=http://www.carpet-tile.org/category/bathroom-remodel/&h=307&w=409&sz=16&tbnid=6gQu3CAd5TwA-M:&tbnh=94&tbnw=125&prev=/search?q=bathroom+remodeling&tbm=isch&tbo=u&zoom=1&q=bathroom+remodeling&usg=__r8q0HCg_9YIj0vmPignTGhmhpNE=&sa=X&ei=oECzTY-ZNef40gHNs-GQCw&ved=0CEkQ9QEwAA

Responding to Offline Media: After

• Added a web address to the call to action• Multiple call center reps taking calls

1) $$$ New Marketing Cost Per Sale: 13.6%

2) Improved media ROI by 19.2%

3) More appointments at a lower cost

4) Online component is important

Keywordconnects.com/blog

[email protected] Bairstow

Founder

Jesse Cory, CEOJesse Cory, CEOOhm Creative Group Ohm Creative Group [email protected]@OHMDigital.com

Jesse Cory is the CEO of Ohm Creative Group, a marketing and public relations firm. With a lifetime of achievements in motion pictures, New York’s fashion industry and digital marketing, Jesse has become an expert at bringing all his talents together to manage a diverse client base, including CBS Radio & Detroit Public Television. He has utilized his vast professional experience to turn results and profits for numerous clients.

LEADS

MoreLEADS

InternetLEADS

#1QuestionHow Do I Get More Internet LEADS?

Prep the Battlefield

“Your Website has to Look Professional”

“Your Website Needs to Ask the Right Questions”

“Your Website Needs Multiple

CALLS TO ACTION”

“USE Traditional Media and Internet Advertising

To DRIVE Traffic and Conversions”

DataCAPTURE

- Free No Obligation Estimate- Consumers Guides- Sweepstakes- Contact Us – Ask a Question- Live Chat- Landing Pages - Social Media Landing Pages

“Many ways to ask for

the same infoThe visitors personal contact INFO”

What is an InternetLead?

- Direct Mail- Exhibition Collateral- Email Marketing- Search Advertising / PPC- Organic Search Engine Optimization - Google Local - Maps- Social Media Advertisements- Print Advertisements- TV- New Rich Media Opportunities- Mobile and QR Scan Codes

Online Traffic

Into a potential LEAD!

There Must be a

Closed Loop Marketing Approach to Convert

Your Website MUST Convey the Same

Special, Promotion or Offer when the visitor Arrives to your Website

from an Advertising Source.

How to ENGAGEeach segment of the

Consumer Buying Cycle?

Multiple Calls To ActionDifferent Offers to Engage Visitors In Each Phase of the Buying Cycle

Equates toAdditional Opportunities to Increase Online Conversions

There are many ways to Accomplish the #1 Goal of Home Improvement Remodelers…

More INTERNET Leads!

Are you ready for the visitors to arrive?

Ari Katz, National Account DirectorAri Katz, National Account [email protected]@Yodle.com

Ari Katz is a National Account Director at Yodle, a “local online” advertising company headquartered in New York City. Yodle specializes in creating online marketing programs with Home Improvement companies to help establish a dominant online presence for their business. Ari works closely with the owners and managers of many medium to large size companies to oversee the program as Yodle provides support on everything from building a website, running a pay-per-click (PPC) or SEO campaign, to monitoring the results and making the necessary changes and optimizations in order to achieve the strongest ROI. In his activities as National Accounts Director, Ari works directly with home improvement retailers and manufacturers who utilize Yodle's outstanding online marketing tools. In 2010, Yodle was named the 35th fastest growing company in the US and published the Local Online Advertising for Dummies book.

Yodle Inc. | CONFIDENTIAL 116

THE TOP 5 WAYS TO OUTRANK YOUR COMPETITORS ONLINE

PLUS THE TOP 5 LOCAL ONLINE MARKETING MISTAKES & HOW TO AVOID THEM

Presented by: Ari J. Katz

Yodle

Yodle Inc. | CONFIDENTIAL 117Yodle Inc. | CONFIDENTIAL 117

Your Competitors Are Taking Your Potential Customers… So Fix It!

Google’s new SERP Layout


Tip #1: Invest in Paid Search


How?

• Google AdWords, Yahoo Search Marketing, Bing AdCenter

• Determine which search engines work best for business

• Create a list of keywords for services you provide

Tip #1: Invest in Paid Search

Studies suggest that people who click on paid search ads are far more likely to buy (and buy

soon) than people who click on organic listings


Tip #2: Optimize Your Online Maps Presence


How?• Claim your business page and create relevant keyword content on the respective listing

• Ensure information is accurate and consistent across Internet directories and IYP sites

Maps sections of search engines have become increasingly important as search engines realize how much local

information consumers search for online

Tip #2: Optimize Your Online Maps Presence


Tip #3: Design website with organic listings in mind


How?

75% of clicks for any given search are from organic listings. Think of the traffic you might be missing out on!

• Design your website with strategically chosen keywords

• Create content that is relevant to the services you offer

• Continuously update webpage content

• Always adhere to SEO best practices

Tip #3: Design website with organic listings in mind


Tip #4: Get Links from Other Reputable Sites


How?• Create a strategy to reach out to reputable sites for links

• Develop an ongoing plan to keep your links “fresh”

Search engine bots assess how useful, authoritative and trustworthy a website is. Building inbound links on relevant

sites increase your site’s “credibility” and “authority”.

Tip #4: Get Links from Other Reputable Sites


Tip #5: Attract Customers Through IYPs, Online Directories & Local Sites

And more!

And more! And more!


How?• Consider advertising on IYP’s and directory sites that are most

relevant for your business

• If possible, claim your business listing on these sites

There are a host of other sites besides search engines that can also be extremely valuable to your business

Tip #5: Attract Customers Through IYPs, Online Directories & Local Sites


Beat your competition: It can be done!

#1: Invest in paid search

#2: Optimize your online maps presence

#3: Design your website with organic listings in mind

#4: Get links from other reputable sites

#5: Attract customers through IYP’s, online directories & local sites


The Top 5 Local Online Marketing Mistakes

MISTAKE # 5: Trying to build a website on your own

How to avoid: Become an expert or hire one!

MISTAKE # 4: Creating a site no one visits

How to avoid: Create strong online marketing campaigns!

MISTAKE # 3: Not knowing if your marketing is really working

How to avoid: Implement lead tracking technology!

MISTAKE # 2: Using directory services only

How to avoid: Run PPC & SEO campaigns to drive direct leads!

MISTAKE # 1: Not turning calls into sales effectively

How to avoid: Attend Dave Yoho’s webinars!

Marketing: Marketing: Before, After & Before, After & In Addition To In Addition To The LeadThe Lead

Ken Greene, Vice PresidentKen Greene, Vice PresidentBring Me My Leads Bring Me My Leads [email protected]@BringMeMyLeads.com

Ken Greene is Vice President of Bring Me My Leads located in Indianapolis, Indiana. Prior to that, Ken owned a home improvement company for over 35 years that did over $20 million annually with multiple locations. He also was recognized as a “Legend” in the home improvement industry. Bring Me My Leads is an integrated internet marketing company that enables dealers in the home improvement industry to plan and execute a profitable internet marketing campaign thru cost-effective internet lead generation. Using their affiliated company, Bee Window as a benchmark, they are able to share what is working and not working in order to grow your internet business to 30% of your volume while maintaining a marketing cost of 10% or less. Bring Me My Leads strategies have proven successful for home improvement dealers regardless of their size.

ON TARGETTo Increase Internet Revenue with

Integrated Internet Strategies

ON

TA

RG

ET w

ith In

tegra

ted In

tern

et

Stra

tegie

s

Continued communication – Increase database through email append/email marketing

Increasing Internet Revenue

Capital asset – Website is an online showroom & lead generator

Generating traffic – More traffic, more leads

Return on investment – Tracking

with Integrated Internet Strategies

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Capital AssetOnline showroom vs. brochure

Online capital asset

Does your website convert?

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Generating Traffic

Driving traffic is critical to increasing leads

Can be accomplished a variety of ways depending on your company culture

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Continued Communication

Increase the size of your database

- Email append

Email marketing- BEST return on investment

when using benchmark strategies

Necessary to maintain top of mind awareness

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Return on Investment Analysis

Tracking leads- Various Internet categories

Conversion rates

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Integrated Internet Strategies

Brian Kaskavalciyan, PresidentBrian Kaskavalciyan, Presidentg|Four Marketing Groupg|Four Marketing [email protected]@g4mg.com

Brian Kaskavalciyan is a marketing strategist and is an expert on relationship marketing in the home improvement industry. His company, g|Four Marketing Group, specializes in working with home improvement companies to grow sales, profits and equity value. Brian is the creator of the award winning 1-into-5 Program; a “turnkey” and “Done For You” marketing system designed to aid home improvement companies develop “Customers for Life”, a program which increases referrals and repeat business. Brian has a successful background as an entrepreneur, he has owned 5 different home improvement companies, one of which he developed into a multi-million dollar national franchise. Having provided services for over two dozen industries from start-ups to $50 million enterprises his program is rated as an “unqualified success”. He and/or his companies have been featured in magazines such as Inc, Entrepreneur -- and -- Qualified Remodeler. He has been highlighted on HGTV, ABC News and The Oprah Winfrey Show.

Your 5-Step Action Plan For Creating “Customers For Life” So You’ll Get More Referrals & Repeat Business Than Ever Before!

Your Commitment to Creating “Customers For Life”Understanding the business we are all really in...

STEP 1:

• No More ‘Love Em & Leave Em’• Your business must be designed around your customer. Their experience & their relationship with you.

• This MUST become part of your company culture... led by YOU

Earn the Right to ReferralsIn the “New Economy” it’s no longer acceptable (or enough) to just do a “good” job...

A completely satisfied customer should be your MINIMUM acceptable standard. What we must all strive for are Raving Fans.

STEP 2:

• Make your customers feel confident they made the right choice with you

• Create Magic Moments v. Tragic Moments• Pay attention to details • Be EXCEPTIONAL at every point of interaction• Create WOW’s• Be MEMORABLE!

Demonstrate Your AppreciationEverybody wants to be that “special” customer including YOU!

STEP 3:

• Demonstrate your sincere appreciation for their business (the trust and confidence they placed in you)

• Write THANK YOU notes• Make “Happy calls”• Make personal visits• Send a gift

Gather FeedbackYou’ve got to know about your customers experience from THEIR point of view

STEP 4:

• Survey your customers for their honest feedback

• Use a third party for added credibility

• Use their feedback for process improvement

• Use their feedback & testimonials in your

sales process

Build Loyalty With Follow Up

STEP 5:

The majority of referral opportunities come long after the sale has been made. So the key is to consistently stay in front of past customers to build Top Of Mind Awareness and build lifelong relationships.• Implement a system of interesting and informative on-going communication including postcards, letters, emails, newsletters (email and print) and phone calls to stay ‘Top of Mind,’ promote other services and continually ask for referrals

• Become your customers “TRUSTED ADVISOR” For any home improvement project

• Acknowledge and REWARD every referral

(1)Do Nothing

(2)Create, Implement & Manage a

System Like This Yourself

(3)Outsource It

Brad Yoho, Director of MarketingBrad Yoho, Director of MarketingDave Yoho Associates Dave Yoho Associates [email protected] [email protected]

Brad Yoho grew up in a sales and marketing oriented business. He graduated from Penn State University with a major in Business Management and has an MBA in Marketing from American University. He is the Director of Marketing for Dave Yoho Associates and is pivotal in the development of all marketing tools used by the company including social networks. He is the direct marketing contact for the company’s client base and the numerous affiliates who interact with the “Window Help Book” lead producing program. He is a freelance writer for several sports blogs.

2011 Social Media Industry Report, Social Media Examiner, 2011.



Social media marketing is free

Social media marketing is fast

The results cannot be measured

Social media is an optional marketing tool

Participating in social media is difficult

1) Start small

2) What are industry experts doing?

3) Don’t annoy your connections (don’t over-market)

4) Don’t obsess over your follower/connection count

5) Add widgets to your site and e-mail signature

6) Test your widgets!

7) Find people within your niche to connect with

8) Don’t procrastinate!

Tom Audette, Business Development Dir.Tom Audette, Business Development Dir.Three Deep Marketing Three Deep Marketing [email protected] [email protected]

Tom Audette is the Business Development Director for Three Deep Marketing; a digital marketing agency that does search engine optimization, paid search management and email marketing. He has over 17 years of direct industry experience as a sales rep, sales/marketing manager, business executive and as VP of Marketing for a large home improvement company where he generated over 30% of revenues via the Internet with marketing costs under 10%.

Why Internet Why Internet Marketing Isn’t Marketing Isn’t Working For Your Working For Your Home Home Improvement Improvement Business…Business…

158Confidential and Proprietary

Internet Marketing 101

1. Get prospects to find your company online

2. Have content that engages the prospect

3. Have calls to action that stimulate prospects to contact you

4. Handle those inquiries effectively and efficiently to set into appointmentsWhy Isn’t T

his Happening

Why Isn’t This Happening

For My Company?

For My Company?


Biggest Reason You Aren’t Getting Leads: Ineffective Website

• Over 80% of all product and service inquiries

now start online

• 50% of visitors to any given website leave

within 8 seconds

• If you haven’t updated your site since 2001 –

it shows!


• Most websites are poorly designed, confusing

to the visitor and have no call to action

• Content is king when it comes to SEO

• If you don’t have inbound links and anchor text

the search engines likely won’t find you!

Biggest Reason You Aren’t Getting Leads: Ineffective Website


This Site IS Effective…


Strong Offers

Great Product Visuals

InterruptionTactic

Clear Response

Paths

Simple Navigation

This Site IS Effective…


Website Strategic Considerations

1. Can prospects find your website in search engines?

• Search engine optimization

• Local search

• Paid search

• Social media / Blogging

2. Does your site have a call to action?

• Does it speak to both now and future buyers?


Website Strategic Considerations

3.What other sites are linking to your site?

4.Does your site have Google Analytics?

• Who is monitoring that data?


Local Search Is Critical for Local Business

GooglePlaces Listings


Why Reviews Are Important

90% of shoppers use reviews to make purchase decisions (Jupiter Research)

Google Places factors the number of reviews in rankings!

Other factors:• Completeness of listing

• Business proximity to searcher

•Number of inbound links to site


Is Your PPC Program Hemorrhaging Money?

• Paid search can work if deployed correctly

• Biggest mistake: Sending PPC traffic to your website home page

– Lousy content

– No call to action

– No analytics tracking

– Remember the 8 second rule!


Paid Search Must Be Actively Managed

Infinity from Marvin8 out of 10 Customers Who Compare Chose Us Over Vinyl Windows. Find out Why!www.windows.infinitywindows.com

Keyword List Management

Bid Management

Ad Management

Conversion Optimization


Your Website Should Be The Center Of Your Marketing Effort!

Canvass Shows / EventsSFI

TV / Radio

Leads

Direct Mail Job Signs

Marketing: Marketing: Diversification & Diversification &

AdaptationAdaptation

Michael Redman, Nat’l. Manufacturer Rep.Michael Redman, Nat’l. Manufacturer Rep.TEMO SunroomsTEMO [email protected]@yahoo.com

Since 1993, Michael Redman has been the National Manufacturer Representative for TEMO Sunrooms. His responsibilities include leading the team of manufacturer's reps in recruiting, training and servicing their national network of dealers. Under his supervision, each rep is required to have a successful background in in-home selling and the ability to provide “hands-on” training for the salespeople representing the dealer. He is a graduate of Purdue University, with a degree in communications and business. He has a national reputation as an efficient trainer. In addition, he interacts with the dealers on their activities as SFI providers to brands such as Home Depot and Sam's Club.

Diversification Thinking outside of the box

Efficiency is the Key to Success!

• Marketing costs are skyrocketing as high as 30%

• Consumers are more educated than ever

• Lead generation is key

Single Product Line Dilemma

• Product diversity can turn a one time sale into a lifetime customer

• Over 30% of your business could be referral or repeat

• Lead cost could be reduced by over 20% by working your base

• Cross marketing increases overall volume

• NSLI can be dramatically increased due to a higher average sale

• Increase closing due to a variety of products to

meet consumer needs

Single Product Line Dilemma

Generating Incremental Sales

• Don't stop what you are doing - add to it• Separate your sales and installation• Offer only specialty products• Focus on selling the add ons at re-measure• Keep your average sale under $25,000

Expand Your Marketing & Increase Your Leads

• Always look for new marketing opportunities• We are not construction companies, we are

marketers• Generate non-competitive leads thru diversity• Set a reasonable goal for lead cost (10%)• Financing is great - go back to marketing

payments

Marketing Diversity

• Contact past customers with new product availability

• Easier to sell new products to existing customers than to sell existing products to new customers

• New things create energy throughout the organization

• Add products that are sexy - not unwanted need items

Successful Marketing Campaigns

• Internet - SEO/PPC

• Rehash

• Face to Face

• SFI

• DIY Programs

• Job Site Radiation

• Direct Mail

• Referral Programs

• Canvass

• Text Marketing

Parent Update April 8, 2011 From the Office ZCHS is teaming up with the Ford Motor Company and Pearson Ford for a special Test Drive Event that will benefit our school’s activity fund. ZCHS will receive $20 for each test drive taken during this special event. Please plan to join us in the St. Vincent Health Stadium parking lot between 1 p.m. and 6 p.m. to take your test drive. Pearson Ford will be providing Little Caesars pizza, drinks, and balloons for the little ones. Test drivers must be at least 18 years old to participate. Thanks for helping us to raise money to support our student activities! Attention all ZWMS athletes- Important information! If your son/daughter has any interest in playing a sport in the 2011-12 school year, please be aware of the following information:

Network To Increase Leads

Adaptation or Extinction?

Chris Ripley, OwnerChris Ripley, OwnerSmart Permanent Coating System Smart Permanent Coating System [email protected]@yahoo.com

Chris Ripley has been involved in the Home Improvement Industry for eleven years, eight as a manufacturer. With dealers from coast to coast covering 26 states, Chris has a birds eye view of consumer trends. As a member of the Society of Industry Leaders, private equity firms and hedge fund managers have relied on Chris's insight to plan multi-million dollar trading strategies in the remodeling field. Chris owns Smarter Coatings, a Boston based coatings firm.

Diversity in HIP: Diversity in HIP: The opportunity to use your CURRENT customers to increase your bottom line.

The art of the “foot in the door” sale

Diversity in HIP: Diversity in HIP: The opportunity to use your CURRENT customers to increase your bottom line.

Products that can be installed quickly and easily

Price should be less than $1000

ROI should be very provable with outside information

Choose a product that can be bid on the spot and closed over the phone

The number one reason for failure is early The number one reason for failure is early abandonment abandonment

Every profit dollar counts - now more than ever!

Sales staff is used to pick up the check and do a full and comprehensive inspection.

Sales staff gets “trusted” access to the home and is allowed to position the companies other products that best fit the customers needs.

Weatherization can be bid on the spot by a canvasser and installed in less than a day.

The opportunity itselfitself to earn a 20% commission is perceived as a huge bonus to a salaried employee.

Put the plan to work and perfect your product, price, and personnel choice before the coming government stimulus

Higher success with “non-sales” types

Every profit dollar counts - now more than ever!

The number one reason for failure is early The number one reason for failure is early abandonment abandonment

Large multi-product firm with several branches

Mid-Size single product firm

Use in place staff to call on current customers

First 8 days of the program saw ~ $15,600 in net sales Close rates above 55%, average jobs size of $850

Developed a program utilizing a proven product/system Program has current net sales of ~$10,000

Close rates above 45%, average ad on of $675

$712 (Average job) - $117 ( Cost of material and $712 (Average job) - $117 ( Cost of material and labor) - $75 (Commission) = $520 (Real profit)labor) - $75 (Commission) = $520 (Real profit)

Frank Farmer, President/FounderFrank Farmer, President/FounderAmerican Metal RoofsAmerican Metal [email protected]@AmericanMetalRoofs.com

Frank Farmer is the founder and president of American Metal Roofs located in Flint, MI. In 2007, his company was recognized by Inc Magazine as one of the fastest growing in the United States. Frank attended Michigan State University, College of Osteopathic Medicine. Prior to entering the metal roofing business, he built an apartment locator business, was a salesman then sales manager for a prominent window replacement retailer and he developed a tax business with 12 franchises throughout Michigan. His reputation as an innovator and creative marketer has made him a recognized “guru” in the metal roofing industry.

Michigan's unemployment rate the highest since 1983 - Detroit Examiner

Michigan's unemployment worst in the nation

- Grand Rapids Press

Automobile industry collapses…takes MI with it

- Detroit News

• Diversify • Take advantage of

incentives• Federal• State• Local• Utility companies

Government’s push to decrease the dependence on foreign oil

High utility bills Shortage of electricity Stressed electrical grids

Demand for solar is dependent on increased cost of petroleum*

* Deutche Bank – Oil at $175.00 per barrel by 2016

Decreased cost of solar* Solar has decreased in cost by

33% in the last 24 months.

President Obama:

Will spend over the next 6 years developing alternative energy such as solar.

American Recovery and Reinvestment Act of 2009

* 30% Tax Credit with no cap until December 31, 2016 on all the homes

Solar industry caters toward engineered commercial systems:• Site plan evaluation and measure the roof• Physical design• Electrical engineering• Spec sheets and certification• Didn’t fit the 1-call-close model

The Goal: Take the mystery out of solar

Design a system people liked

Make it easy to sell

Make it easy to install

• Works with all roofing materials• 5 minute site evaluation to

determine the size• Utilize a return on investment

and payback program for 1 call close sales

Plug and play installation system

Installed by average installers

Simplified ordering and simplified delivery

Everything comes in a crate turnkey

“The only difference between a rut and a grave is their dimensions.”

- Ellen Glasgow

Someone is going to sell Someone is going to sell 10 Million 10 Million Solar Roofs!Solar Roofs!

2010 Primary Lead Sources Sam’s Club, Shows, Media, Internet

2011 Primary Lead SourcesSam’s Club, Shows, Media, Internet,

CASE STUDY BP-71 CASE STUDY BP-71

Database, Rehash

CASE STUDY BP-71 CASE STUDY BP-71

2010 2011Increase

(%)

Leads Issued (Jan-Apr)

2112 2795 132.34%

Net Volume$2.43 Million

$4.05 Million

166.79%

Efficiency Rate 1151 1450 125.98%

Profitability 3.40% 10.40% 305.88%

* Company operates in 2 locations in the south central United States

* Added walk in tubs to bath division & set up separate window/insulation division

VISIT OUR WEBSITES FOR FREE VISIT OUR WEBSITES FOR FREE BUSINESS INFORMATIONBUSINESS INFORMATION

www.DaveYoho.comwww.DaveYoho.comwww.DaveYoho.com/www.DaveYoho.com/

wordpresswordpresswww.PowerLinguistics.comwww.PowerLinguistics.com

Follow us on Twitter: Follow us on Twitter: @daveyoho@daveyoho

Hiring The Right Person (Avoiding The Wrong Ones)

10 IMMUTABLE LAWS FOR HIRING SALESPEOPLE

1)Self-starters - - - Seldom do

2)After numerous interviews, less qualified candidates look better

3)The ideal candidate - - - isn't

4)Resumes seldom match the job description in your ad

5)Poor performers seem to surface after the 60-day probation period

6)Hiring the right person takes twice the time you expected and much more time than you have

7)"What ever happened to what's his name" is the sequel to last year's great hiring story


8)Candidates seldom show up with their poor habits on display

9)“Gut feelings" work best when they indicate its time for lunch, and seldom when it comes to choosing the best candidate

10)The best resumes are frequently a product of creative writing and vivid imagination


3 HIRING CONSIDERATIONS

Can they do the job?

Will they do the job?

Do they fit?

CONSIDERATIONS FOR THE COMPANY

Recruiting Methods:• Sources• Interviewing process• Measuring (selection) devices

Concerns:• E.E.O.C.• Licensing (where applicable)• Employment agreements• Hiring from competitors


Legal Issues:• Employee vs. independent contractor (value of 3508)• Bonding• Drug testing• Exposure & liability of company

Compensation:• Clearly defined (written/signed)• Avoid: misuse – misinterpretation


The Model For Your Business:• Products sold• Market (territory)• Compensation method• Marketing methods & costs

Sales Methods:• Teachable, provable & measurable• Consistency & effectiveness


Sales Training:

• Step system

• Replicable

• “Consumer value” oriented

• Continuous (on-going)

• Evaluation & appraisal

Sales Management:

• Managing people (not sales)

• Retention & growth

• Review & appraisal methods

The Job Description:

• Consistent with the model

The True Cost of a Mis-hired

Salesperson

MEASURING THE TRUE COST OF A MIS-HIRE

Basic Costs Associated With Hiring Salespeople:

Classified (recruiting) advertising cost(s) for year $_________

Cost of hours for interviewer (38 hrs. x $30/per hour)$_________

Miscellaneous expenses for interviewer (out of town travel, lodging, etc)

$_________TOTAL

$_________

Divide by # of persons hired (started) ÷ _____ equals average cost of hiree at start . . . . . . . . . (A) $_________

3760

1140

4705370

8671

Basic Costs Associated With Hiring Salespeople:

Indoctrination (basic training) hours of trainer X avg. hourly rate equals $________ divided by # of trainees in specific group (8) equals avg. training cost per hiree

$_________

Payment advance (if applicable to individual trainee)total amount $_________

TOTAL (B) $_________

Avg. (per hiree) cost at end of training - (A) + (B) = (C) $_________

5254200

275

800

1471


Leads (Appointments Issued):

30 Days:(No.)____/ leads issued at cost of $_____ each . . . .$_________

Plus (C)$_________

VS. Amount of net good business sold ($________)

TOTAL $_________

24 212 5088

1471

655918,430

35%


Leads (Appointments Issued):

60 Days:(No.)____/ leads issued at cost of $_____ each . . . .$_________

Plus (C)$_________

VS. Amount of net good business sold ($________) TOTAL $_________

Commissions (10%) $_________

TOTAL $_________

29 212 6149

6559

12,708 (29%)43,030

4300

17,008 (40%)


The Behavioral The Behavioral ProfileProfile

INSTRUMENTATIONEmpirical Vs. Theoretical

Four Possible Outcomes (Without Selection Devices):

1) Accept someone who will succeed

2) Reject someone who will fail

3) Accept someone who will fail

4) Reject someone who will succeed

GENERAL RULES

1) The behavioral profile is not a test

2) The behavioral profile is not a clinical instrument

3) The behavioral profile does not measure personality

4) Individual profiles are neither good nor bad

5) Behavioral profiling works best when management has taken the profile first

6) Applicants are not asked to change

7) Behavioral profile is developed with a forced choice format

What Works Best???

ADVICE

“The profile is not a test. There is no ‘pass’ or ‘fail’. Relax and enjoy the discovery process.” Then add – “Do not

ruminate over your responses or pause and continue later – this, plus those who take more than 10 minutes to

complete the profile, often creates a malfunction which in turn could create a disqualification.”

AN EXAMINATION OF (5) PROFILES CONTAINING AN EVALUATION OF EACH IN

TERMS OF THEIR POTENTIAL SUCCESS IN CERTAIN SALES

ROLES

PERSUADER PROFILE

The Persuader has ideal behavioral

traits for creating new business,

reviving old business and direct “in

home” selling (short-cycle closing).

The presence of high (I)

INFLUENCING patterns denotes a

skill in the use of language. The

dominance (D) factor being above the

mid-line (light gray area-4) indicates

the ability to "ask for the order" and

deal with the consequence.

PERSUADER value to the

Organization

may overuse

influences others by

goal(s)

emotions

judges others by

under pressure

fears

supervisory technique

Seller - closer - delegates responsibility - poised - confident - competitive

Enthusiasm - oversells - optimism

Ability to develop rapport - friendly manner - openness

Recognition - authority and prestige - a variety of status symbols

Trust others - enthusiastic

Ability to verbalize - flexibility

Becomes soft and persuadable - organized when desires to look good

A fixed environment - too much structure

challenging assignments varied activities assignment changes mentoring (support) opportunity to shine

INSPIRATIONAL PROFILE

Salespeople with the Inspirational pattern tend to INFLUENCE others by controlling them. Their technique can be highly effective in aggressive selling situations. They are usually strong closers, particularly if the (I) and (D) are in the 6th or 7th segment. They enjoy the contest of "resistance".

Inspirational persons consciously attempt to modify the thoughts and actions of others through the manipulation of motives toward a predetermined end. In short, they know what they want and how to get others to do it. They are quick and astute in identifying the motive structure of those around them; they seem to know what other people need or want. They use this knowledge to elicit the desired response.

INSPIRATIONAL value to the

Organization

may overuse


goal(s)

emotions

judges others by

under pressure

fears


Initiates - demands - overpowers objections - high need to win

Ends justify the means - manipulation

Direction - intimidation - charm - power persona - unique knowledge

Controlling the environment - being in charge

Accepts aggression - tends to outwardly reject affection - enjoys confrontation

How they project strength and power -how they react to dire circumstances

Becomes quarrelsome - belligerent

Being too soft - dependent - losing status

avoid prolonged confrontations control(s) in meeting environment encourage personal development stimulate optimism

RESULT-ORIENTED PROFILE

Result Oriented individuals fit well into aggressive industrial sales and direct selling organizations. They command attention, they demand respect and they are not confused when they hear a "no". They know it is a signal for them to go into action.

Result Oriented salespersons have value to organizations because of a "show'em attitude". This is not a hollow stance full of posturing but a pragmatic attitude fueled by determination and intensity. Result Oriented salespersons project confidence and assurance in mastering the situation. The attitude of Result Oriented salespersons is so forceful and direct that it establishes their credentials to take charge and be heard.

RESULT-ORIENTED value to the

Organization

may overuse


goal(s)

emotions

judges others by

under pressure

fears


Show ‘em attitude - get it done - wants to win

Impatience - my way or the highway attitude

Force of character - persistence - willingness to risk

Dominance and independence - leadership

High ego strength - displays irritation and independence - coolness under fire

Ability to accomplish the task quickly - strong work ethic

Becomes critical and faultfinding - resists participating in a team - may overstep prerogatives - creates issues

Others will take advantage of them - slowness - being too jovial - compromise

verbalization of reasons for conclusions

people concerns brief factual reasons for decisions some confrontation

PROMOTER PROFILEPROMOTER

value to theOrganization

may overuse


goal(s)

emotions

judges others by

under pressure

fears


Promotes customer satisfaction - expresses positivity - relieves tension - likes being with people, customers

Praise - need for approval and popularity

Doing favors - giving a hand - eager to please style - receptive manner - praise

Approval - popularity - being good team member

Willingness to accept others - high energy - high need to express themselves

Verbalization skills - willingness to cooperate

Becomes careless and sentimental - disorganized in getting “things” done

Loss of social recognition - non acceptance by peers - not being recognized

Requires mentoring in: control of time - objectivity - sense of urgency - techniques for speeding up the sales cycle

Promoters gravitate towards sales roles and are usually well liked equally by associates and customers. They have a high need to interact with others. They openly convey their acceptance of others and find it easy to maintain eye contact during interactions. They have a pleasant countenance, smile easily and light up the room.

The Promoter's need to please is exemplified in their desire to praise and shower favors on others. Customers tend to like and enjoy their presence over a long haul. They adjust easily to those with differences in speech, style of dress, race, ethnic or religious patterns and look past poor personal habits in others.

COUNSELOR PROFILEThe personality of a Counselor is deceptive. They appear to be just what the doctor ordered for the sales role. They are likeable, responsible; they look for the good in people; they like keeping people happy, and the customers satisfied.

The majority of Counselors don't adapt well to short sales cycle closes. They see it as destructive to their image. The lower placement of the DOMINANCE (D) dimension in the Counselor pattern is reflected in their indirect approach. Counselors with the lower "D" seldom push aggressively for a decision, an order, immediate action, or a firm commitment from others.

COUNSELOR value to the

Organization

may overuse


goal(s)

emotions

judges others by

under pressure

fears


Stable, dependable - wide range of friendships - good listener

Indirect approach - tolerant - wait and see

Personal relationships - non pushing attitude - genuine friendliness

Maintain friendships - keep people happy and satisfied

Likeable - affectionate and understanding

Positive acceptance - generally looking for the good in people

Becomes intimate - too trusting of those with fewer scruples

Closing with aggressive tactics – dislikes openly “asking for the order”

Initiative in getting the task done Support techniques Skill implementation

Persuader PatternEmotions: High degree of trust in others – faith in personal abilities - enthusiastic – seldom expresses cynicism, apathy or boredom

Judges others by: Verbalization skills – ability to interact with varied personalities – ability to see the big picture - flexibility

Under pressure: May become easily persuadable – may accent the positive, avoid / ignore examining negatives – may “mask” with attempts to appear more organized

Value to the organization: Seller, closer - appears poised, confident when presenting - strong competitive spirit - can learn to delegate responsibility

Fears: Being hemmed in - a fixed environment with little flexibility - too much structure – burdening paperwork

May overuse: First person references such as “I”, “we”, “me” - enthusiasm – “oversells” – optimism – anecdotal material

Supervisory technique: Challenging assignments, varied activities, assignment changes, mentoring (support), opportunity to shine

NEW – ANALYSIS OF 15 PROFILES

Persuader Pattern

The Persuader has ideal behavioral traits for the sales role. They work well at creating new business or reviving old business. Usually ideal candidates for direct selling (short-cycle closing). The high (I) INFLUENCING pattern denotes a skill in the use of language and interactive skills with others. The dominance (D) factor being above the mid-line (light gray area-4) indicates the ability to "ask for the order" and deal with the consequence. While many individuals falter at this point, the Persuaders are able to, "close the sale". They take that crucial step when they say, "Well, I’m pleased to hear that you're as excited as I am about this project and what it can do for you. Now the earliest delivery date is . . . “


Persuader Pattern

Persuaders are equally adept at selling products or ideas. They

tend to believe that they have the ability to sell almost anyone.

Occasionally, this may lead to overselling. Their ability to project

optimism and create enthusiasm may turn into a weakness when

the premise is over-used or they are under-managed. In their zeal

to persuade others, they may rave too long, inject too much

anecdotal material, extending their presentations. When they are

carried away by their own zeal and ego, they may be tempted to

exaggerate.


Persuader Pattern

Persuaders are capable of developing rapport rapidly, even with complete strangers. They possess qualities which engage their prospect and create a desire to listen. They act as a stimulus to sales with their abundant optimism and enthusiasm. It has been said that they pierce the gloom with their optimism like a shaft of sunlight. Persuaders enjoy being the center of attention and when called upon to recite a case history, they tend to overcomplicate and over verbalize, thus making their actions appear more significant. The Persuader's level of optimism is outstanding and frequently calls others to question whether or not they are in touch with reality.


Complete Analysis• 83 pages on effective use

• 6 CD’s for easy listening

• Hundreds of hiring takeaways

• Special attendee pricing

Persuader PatternIn supervising the Persuader, a manager has to exercise caution in two areas (1) that the Persuader in the "over sell" mode does not extend commitments which jeopardize the project or the company's reputation and (2) to carefully modulate the supervision so as not to hamper or diminish the Persuader’s level of optimism.

Suppose the Persuader is being considered for a sales management position because of their selling ability. It is important to remember that sales managers manage “people” not sales. If the (D) is close to the mid-line (the gray area), caution needs to be exercised. Management roles usually require that the (D) be above the mid-line. The Persuader manager may tend to hire (or give special attention to) those who are very much like themselves, often missing opportunities.
