Lessons learned in 2009

We’ve all heard it before: in 2009 the economy had a big impact on the promotional products industry. And although the industry as a whole took a hit, individual businesses experienced the recession differently. Some people sank, losing up to 50% of their business. Some treaded water, surviving but not thriving. And some people swam, taking market share and growing their business despite the stormy economic climate. What did the swimmers do that the sinkers didn’t, or vice versa?

I asked hundreds of sales professionals what business decisions they made and strategies they used in 2009, and what they are changing for 2010. Their feedback was invaluable. I was able to identify four strategies that were successful in pre-recession times but lost their effectiveness in ’08-’09 when the economy went south.

Four strategies that should have been left in 2008:

• Selling your personality. Buying decisions used to be unregulated and delegated to the field or individual departments. You could be a hero by having a great personality, offering creative ideas and providing good customer service. But these days, the procurement department couldn’t care less about your winning smile. Buying decisions are heavily regulated, and the only strategy that wins over Procurement is a money-saving value proposition.
• Staying offline. The old guard in corporate America was content with catalogs and product samples. But a new generation of buyers has entered the workforce, a generation that barely remembers a world without the internet. They don’t want to flip through stacks of catalogs. The salesperson that fails to adopt their language and adapt to their needs will increasingly lose market share.
• Focusing on product and price. Sales professionals with a product-focused mentality can survive, but it’s a slow and painful process. To really differentiate yourself, be ROI-focused instead. Smart business people show their customers how they can positively impact the client’s bottom line. In this economy, companies are in the market for solutions that drive revenue. Be that solution.
• Relying on sweat equity. Pre-recession, he who worked the hardest was often the most successful. Nowadays, even the most committed workaholic can be overshadowed by someone with better tools and a stronger platform. The sales professionals who are beating the economic odds don’t rely on 100% sweat equity. They know that having a business partner/distributor that does more than act as a bank is the key to growing and supporting business. They have partners that provide tools, technology, marketing and training that keeps them competitive (without working 80 hours a week).

Obviously these adages won’t be true 100% of the time—this wasn’t a scientific study. These are just my opinions on where the industry is headed, based on observation and personal experience.

If you’re looking for a little motivation to help seize the day and embrace change, here’s a clip from one of my favorite movies that might help you get started.

Carpe diem, and I wish you much success in 2010!

-JB

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