1 v12. 2 why choose florida, arizona and illinois? they asked me… in okc we saw destiny now… but...
TRANSCRIPT
1V12
2
Why choose Florida, Arizona and Illinois?
• They asked me…• In OKC we saw destiny now… but I thought we
might miss it • That the marketing strategy, the branding and
marketing communication approach had moved but unless the sales approach moved with it we would not make the most of our opportunities
3
We have been actively developing the brand from this…
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to this…
5
We have never questioned the selling system.
despite of all that has been done, growth is not nearly what it should be
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Our Product Has Wide Acceptance, We Have 1.4 Million Members…
Definitely Probably Maybe ProbablyNot
DefinitelyNot
Q: Do you want to buy what we
are selling?…yet we remain a long way from reaching our potential!
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Maybe it’s time we adjusted the way we sell
• Observations on the direct selling industry
• Comparisons with mainstream commerce today
• Suggestions for modifying our approach
• The test results.
• Note… very little of what I am about to say is not supported by data
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Consider every single direct selling company you have ever known. What happens?
Product-based• Invite friends to a party• Create a controlled social
environment• Do a great demonstration• Ask for the order
Service-based• Invite a guest to a meeting• Create a controlled social
environment• Do a great explanation• Ask for the order
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What makes this model work?Product-based• Try before you buy• Fun / social interchange
Service-based• Full explanation before
you buy
• Great if you are an unknown product or brand (you get 30 minutes to pitch).
• Yet it is not completely comfortable• A sense of social obligation is created. (but our “you may or may not
be interested” positioning helps dilute this.)
• The sales pitch is controlled by the seller.• There is a feeling if you don’t close the sale they are gone.
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Associate research indicates that many associates feel uncomfortable with the process
• They sense some pressure as a seller
• They feel like buyer is under a little pressure too
• This direct sales environment has not changed for 60 years…what has changed is the world around us
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In a world where, increasingly, the customer is invited to serve themselves, we retain control.
Think about vacations, restaurant reservations, real estate, supermarket checkout, airline check-in.
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Let’s consider what we thinka great customer experience feels like.• Amazon• Trader Joe’s• Netflix• Nordstrom• Publix
For whatever reason, prospects like to buy from these companies.
And people like to sell for them.
CBS list published June 2012
• Southwest Airlines• Apple• FedEx• Costco• UPS
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Why do we like dealingwith Amazon?As customers, we want to control the experience
• I want to check it out myself
• I want it in my timeframe• And, I guess…‘I don’t
miss a sales assistant’
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Yet we have Nordstrom,Apple and Publix in the Top 10
• Even with a salesman it has become more about customer service and less about selling
• Ask yourself, what would the following be like at Apple or Publix? • A three-way call• A luncheon• A business briefing
• How does the seller feel afterwards? I would suggest he always feels happy because…he either advanced a sale or made a sale.
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Most new associates fear3 things:1. Fear of rejection
2. Not having the social skills to bring up the product naturally
3. Not having the product knowledge to answer customers’ questions
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Where are these three fears in the 21st century?1. Does the Nordstrom assistant go home
feeling rejected?
2. Did the Apple assistant have the social skills to approach you?
3. Did the Publix assistant feel miserable because he did not know the ingredients of the soap powder?
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So why do our Associatesfeel fear?Our current focus is on getting each prospect to a meeting or three way call ASAP.
• Sales lines• Techniques• Confidence builders
This does not come naturally to many associates, a feeling that can translate to their prospects. They see this as a personal failure
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We seldom transfer to our Associates the real magic of the great sales people of LegalShield, who constantly and patiently build relationships.
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Being Persuasive (Inc. magazine blog)
• Don't ask or argue… advocate (persistently)• Listen and be receptive… to objections (or agreement)• Be likeable and empathetic… wait for permission to
advocate• Value strong opinions and they will value yours• Give ground when you can• Learn to be quite after you have asked a closing question• Know when to back away, some sales are complicated and
require time. Nothing is more powerful than self persuasion.
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What if we could make all that associate anxiety disappear?It would if we…
• Allow the Associate to engage naturally • Encourage the Associate to focus on building
relationships more than sales• Move patiently at the customer’s pace• Embrace the 21st Century selling environment…
(allow the prospect to control the experience, check it out for themselves, in their own time)
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In OKC we took a small step for that could be a giant leap for direct selling
• Moving the company into a digital environment has created incredible opportunity
• Going to a meeting, while preferred, is no longer critical.
• Associates can take the time to establish a relationship
• Your business is conducted in a way that is completely expected, transparent and not in anyway forced…
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Five principals that you have to embrace now about the new LegalShield!
1. You are never going to be rejected…ever.
2. Your prospect is unlikely to have any clue who you are or what you are selling and you need to be prepared for that reaction
3. When you are recruiting and you say ‘our company needs direct sellers’ you mean it more than anyone else.
4. When you show a video, people will want to know more, most of the time.
5. You have the option to sell in the real world and on line.
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1. You are never going to be rejected…ever.
Definitely Probably Maybe ProbablyNot
DefinitelyNot
Q: Do you want to buy what we
are selling?
• You begin with a good chance of making a sale —50/50
• Your goal: How can I help them find out if it’s for them?
• Your time limit: As long as it takes.
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2. Your prospect is unlikely to have any clue who you are or what you are selling and you need to be prepared for that reaction.
LegalShieldYes, but
could not name them
No
Q: Do you know anyone who
sells anything like this?
Credibility is an issue
Unknown Company• 94% have never heard of the
brand name
Unknown Product• 60% have never heard of a
service like this
Video is important• Credibility and explanation
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3. When you are recruiting, and you say ‘our company needs direct sellers’ you mean it more than anyone else does
• No competing infrastructure visible to them
• There is no way that they will understand the product from competitors
• Unless you encourage them to watch the overview video they will never find the product
Don’t Know
Maybe
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4. When you show a video, people will want to know more, most of the time
• They are liked…overall rating 84% and
89% (excellent/good, 4 point scale)
• They create interest in knowing more…
64% and 61% (definite/probably 5
point scale)
• We can put a ‘complete’ product
experience in a customer’s hands to be
viewed on their terms
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Our Product Has Wide Acceptance, We Have 1.4 Million Members…
Definitely Probably Maybe ProbablyNot
DefinitelyNot
Q: Do you want to buy what we
are selling?…yet we remain a long way from reaching our potential!
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4. When you show a video, people will want to know more, most of the time
• They are liked…overall rating 84% and
89% (excellent/good, 4 point scale)
• They create interest in knowing more…
64% and 61% (definite/probably 5
point scale)
• We can put a ‘complete’ product
experience in a customer’s hands to be
viewed on their terms
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5. You have the option to sell in the real world and on line
In fact, we suggest it may be a more natural
selling process to work in the virtual world than the real world.
• Make contact
• Build rapport
• Sense if there is interest
• Hand off to technology
and follow up! (think Nordstrom; think Apple, think Trader Joe’s)
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…on line is the new neighborhood
‘My generation uses twitter to ride share the way the way other generations used to share cups of sugar’
Heard on PBS on august 15th
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If you are going to connect on line don’t leave a cup outside of every door, knock… and go away
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Make each on line connection a personalized campaign• Don’t connect with too many—5 per day, max.
• Think carefully what you want to say.
• Customize it for them; why are you writing?
• Customize it for you; does it sound like you?
• Think about your follow up: what and when would it be something you would like to receive?
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The danger and the opportunity.
The danger is that we will settle for small-percentage returns
• Mass techniques like mass (leafleting, e-blasting, text blasting, etc.) can only capture a few
• The prospect doesn’t know who or what you are!
And the brand will suffer!
• We don’t want to be competing with window washers, car washes, 10-minute lube, etc.
• We have a responsibility to keep the market open and preserve brand integrity for everyone
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The danger and the opportunity.
The opportunity is far too big for us to mess it up for each other.
“No direct seller has principlesthree and five working in their favor like
LegalShield!”
• 3: “no competing infra-structure”
• 5: “as real communities get fragmented, virtual communities get stronger”
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Does this mean the end of the LegalShield system as we know it? No… but we need to look at it from a customer’s point of view
‘It’s not what we want to say that’s important; it’s what they need to
hear! (I’m sure glad you asked that)’.
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How important are the 3-way call, business briefing, luncheon, and Super Saturday?To a prospective member…Who wants to…
• Trust you• Explore the product• Have their questions answered
• Is it a reliable company?• Is it too good to be true?• Do I need it?
There’s no problem with traditional direct selling methods, if they are handled like 21st Century customer service
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High tech meets high touch.“Think about your role at the beginning and the end”
Where do you prefer to get information?• 72% from the insurer’s website• 61% by asking friends and family• 55% from exclusive agents’ website or comparison sites
Where do you prefer to obtain a quote?• 43% website• 26% via phone • 26% in person
Where do you prefer to set up and pay?• 76% with an agent• 58% via web (this may be a subset of the 76%)
Source: Accenture study on auto and home insurance
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How important are the 3-way call, business briefing, luncheon, and Super Saturday? CriticalTo a prospective associate…who wants to…
• Share the product• Enjoy the social opportunity• Gain recognition• Develop themselves• Create independent income• Build a career
Social contact is a critical prerequisite for recruiting
40Focus: Florida, Phoenix & Illinois test markets
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The objectives were happiness, fulfillmentand productivity…and don’t get them out of order
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The test was a 5 part play
1. We eliminated fear of rejection by setting realistic expectations
2. We eliminated fear of inadequate product knowledge by explaining the videos
3. We reduced fear of social interaction by providing a 3 hour training
4. We asked participants to document activity (initiating and following up)
5. We asked participants to form teams (for initial learning and support)
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1. We eliminated fear of rejection by setting realistic expectations
“Help each prospect find out where they are today.” (50/50)
Definitely Probably Maybe ProbablyNot
DefinitelyNot
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2. We eliminated fear of inadequate product knowledge by explaining the 5 videos
“Have at least enough knowledge to understand what each video does.”
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a. Intro to LegalShield video (two minutes)
Answers: “Can I havea quick overview?”• It’s a real company• The unique
service model• The scope of the service• The benefit to you
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b. About Us video (three minutes)
Answers: “I’ve never heard of the company.”• We are a real company,
with history, scale, and stability.
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c. Provider System video(four minutes)
Answers: “It’s too good to be true.”• Why the paid-in-advance
provider network creates• Quality service• Quality lawyers• Very affordable plans
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d. Membership video (4 minutes)
Answers:“I don’t need an attorney.”• We provide attorney services
when you need an attorney
• We provide attorneyservices when an attorney’s advice would be useful
• We provide knowledge thatyou have access to anattorney if you need it
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e. Opportunity video (4 minutes)
Answers: “Why would I want to be recruited?”• It’s fulfilling to sell a
great product• I have made friends • I have developed personally• I have my own business• I have a career
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3. We reduced fear of social interaction by providing a Three-hour training
Patrick’s training covers:• Success Triangle• Contact Management• Contemporary Communication• Social Selling Skills
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4. We asked participants to document activity
Where they were with each prospect
Report in weekly and complete a questionnaire at the end of the 6 weeks
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5. We asked participants to form teams (for initial learning and support)
a. Workout partner…Daily (or as much as you like)
b. Team of 6…Weekly
c. Regional calls…Weekly
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Focus Florida, Arizona, Illinois
Topline Results
July 2013
Study #20130261
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MethodologyStudy Design And SamplingThis survey was conducted over the Internet among LegalShield Associates who attended the Florida, Arizona, or Illinois Focus Presentation or Training in May 2013.
LegalShield invited these Associates by email to participate in the survey hosted on Decision Analyst’s DAISurvey™ website.
A total of 200 surveys were completed, as follows:• Florida: 91• Arizona: 64• Illinois: 45
Dates Of Data CollectionStart End
July 16, 2013 July 25, 2013
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Alan Fearnley's new sales strategy presentation
Patrick Hodges' new sales strategy training
LegalShield's new sales strategy overall
Social Media Starter Kit
79%
82%
76%
38%
21%
17%
21%
40% 17% 5%
Excellent Good Fair Poor
Overall Ratings
56
Goal FulfillmentTo eliminate fears related to lack of product knowledge
To reduce fear of meeting and interacting with new people
To keep a record of new contacts and new prospectsTo keep a record of follow-up activities to these new con-
tacts and new prospectsTo eliminate the fear of rejection
To make Associates happy
To make Associates productive
To form small teams for weekly learning and support
To have a Workout Partner for daily learning and support
To make Associates fulfilled
66%
64%
61%
57%
52%
50%
46%
44%
38%
38%
34%
35%
39%
41%
46%
44%
48%
36%
40%
52%
6%
7%
21%
22%
10%
Fully Achieved Partially Achieved Not Achieved
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Appeal Of Sales Strategy ElementsStop thinking rejection—start thinking customer service
Constantly and patiently build and expand your networks of contacts and prospects
Follow-up is one of the keys to success
Have enough product knowledge to understand the LegalShield videos
Move patiently at the prospect's pace—don’t rush or try to force a sale
Avoid e-blasting and mass mailing of leaflets or flyers
Don’t try to explain or sell the service yourself—let LegalShield’s videos explain the service
Associates must operate in the real world and the virtual world
Say something—prospects will never know about LegalShield unless you tell them
Confer with your Team at least one a week
Create a file on each prospect
Record sales activities and track prospects
Use email to reach out to prospects
Use email to remind and follow up with prospects
Email templates are provided by LegalShield as guidelines
Touch base daily with your Workout Partner
Use social media as a sales outreach tool
98%
95%
94%
94%
90%
89%
85%
81%
81%
74%
73%
70%
66%
66%
64%
63%
60%
5%
6%
6%
9%
6%
14%
18%
16%
21%
23%
26%
30%
26%
34%
30%
30%
5%
5%
5%
4%
4%
8%
7%
10%
Very Appealing Somewhat Appealing Not Appealing
58
Strategy Elements Recalled From Presentation or Training
Move patiently at the prospect's pace—don’t rush or try to force a saleRecord sales activities and track prospects
Stop thinking rejection—start thinking customer serviceDon’t try to explain or sell the service yourself—let LegalShield’s videos explain the service
Follow-up is one of the keys to successAvoid e-blasting and mass mailing of leaflets or flyers
Constantly and patiently build and expand your networks of contacts and prospectsCreate a file on each prospect
Associates must operate in the real world and the virtual worldUse social media as a sales outreach tool
Confer with your Team at least one a weekTouch base daily with your Workout Partner
Have enough product knowledge to understand the LegalShield videosUse email to reach out to prospects
Say something—prospects will never know about LegalShield unless you tell themEmail templates are provided by LegalShield as guidelines
Use email to remind and follow up with prospects
98%97%96%
95%95%95%95%95%
93%90%
89%86%
78%77%
75%69%
67%
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Adopted Sales Strategy ElementsStop thinking rejection—start thinking customer service
Move patiently at the prospect's pace—don’t rush or try to force a sale
Follow-up is one of the keys to success
Have enough product knowledge to understand the LegalShield videos
Constantly and patiently build and expand your networks of contacts and prospects
Don’t try to explain or sell the service yourself—let LegalShield’s videos explain the service
Avoid e-blasting and mass mailing of leaflets or flyers
Say something—prospects will never know about LegalShield unless you tell them
Associates must operate in the real world and the virtual world
Create a file on each prospect
Use email to reach out to prospects
Use email to remind and follow up with prospects
Record sales activities and track prospects
Use social media as a sales outreach tool
Confer with your Team at least one a week
Touch base daily with your Workout Partner
Email templates are provided by LegalShield as guidelines
94%
93%
92%
91%
90%
86%
85%
81%
80%
72%
70%
64%
63%
62%
56%
39%
34%
60
Total
Florida
Arizona
Illinois*
43%
35%
47%
53%
Social Media And Social Media Starter Kit
% Who Used Social Media As Sales Outreach Tool
Before Mid-May
Series1 85%
85%
89%
80%
% Who ReceivedSocial Media Starter Kit
Series1 61%
68%
47%
67%
% Who Implemented Any Element Of
Social Media Starter Kit
61
Extra Memberships Sold As Result Of New Sales Strategy
Extra Memberships Sold Over Past Two Months(Average: 1.7 Extra Memberships)
None, no extra memberships
One extra membership
Two extra memberships
Three extra memberships
Four extra memberships
Five extra memberships
Six extra memberships
Seven extra memberships
Eight extra memberships
Nine extra memberships
Ten or more extra memberships
37%
20%
16%
12%
7%
3%
2%
2%
2%
0%
1%
Extra Memberships Expected To SellOver Next 12 Months
(Average: 8.7 Extra Memberships)
None, no extra memberships
One extra membership
Two extra memberships
Three extra memberships
Four extra memberships
Five extra memberships
Six extra memberships
Seven extra memberships
Eight extra memberships
Nine extra memberships
Ten or more extra memberships
4%
2%
0%
2%
1%
8%
4%
2%
2%
1%
76%
62
Florida
41334 2 3 4 41369 6 7 8 41403 10 11 12 13 41439 15 16 17 414730
50
100
150
200
250
300
350
11 12 13 41439 15 16 17 414730
50
100
150
200
250
300
350
4 month membership sales indexed from march 1 Membership sales indexed test period only
63
11 12 13 41439 15 16 17 414730
20
40
60
80
100
120
140
160
180
200
41334 2 3 4 41369 6 7 8 41403 10 11 12 13 41439 15 16 17 414730
20
40
60
80
100
120
140
160
180
200
Illinois
4 month membership sales indexed from march 1 Membership sales indexed test period only
64
Arizona Group – memberships per week
41334 2 3 441369 6 7 8
41403 10 11 12 1341439 15 16 17
41473 19 20 2141508
0
50
100
150
200
250
0
50
100
150
200
250
AZ MembershipNatl. Trend
Test starts Test officially ends
4 weeks post test(still 50% up on national)
65
60/60 fast start pilot
• Objective • Allow new associates time to build
relationships• Encourage activity early on• Get the ‘raving fans who were motivated to
pay $149’ paid, promoted, engaged and their money back
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60/60 fast start pilot
• Enrollment fee $149• Go to basic training• 30 days to make a sale (or sale and recruit)• We give you back $89. ($60 net fee)• Additional 30 days (60 days in total) to fast start
qualify• No up line bonus but, if recruiting, engagement and
fast start qualifiers double… everyone will be good
File v8 – 21st century direct selling