S&MM SoundOff

Think Happy Thoughts!

    The next time you close a sale, take note of what generates the adrenaline-fueled release of feel-good endorphins once the deal is finally closed.  If it’s only dollar signs and a heftier paycheck, you may not really be getting as much out of your job as you think.

After analyzing the results of life satisfaction surveys that correlate life satisfaction with four aspects of job satisfaction—trust in management, variety in assignments, occupying a position that requires a high level of skill, and having enough time to complete projects—University of British Columbia economists John Helliwell and Haifang Huang found that happiness with one’s job has a greater monetary value than simply making money, CNNMoney.com reports.

For example, an increase in trust in management might raise your satisfaction one point on a 10-point satisfaction scale, which is about the same amount of happiness that a 36 percent raise would bring.  By contrast, moving from the bottom to the top of a payroll bracket will only boost happiness by less than one point.  Increasing the variety of projects you’re assigned equals a 21 percent raise, while a 10 percent salary boost increases overall satisfaction by only a fraction of a point.

I don’t know about you, but I dropped the money-buys-happiness attitude as soon as I left a less-than-desirable job and became a poor college student.  If the cobwebs on my checking account were a sign of anything, it was that I was too busy enjoying life to notice the new, expensive jeans sitting in storefront windows.

Where’s the lesson in all of this?  Love what you do or do something else.  Apparently, success isn’t measured by the dollars you raked in on that last big deal; it’s the trust and competency you feel while on the job.  Managers: When was the last time you gave your salespeople a happiness raise?  A satisfied sales team is a more productive one.

Stephen Covey weighs in on why money isn’t the only thing that keeps people motivated.

Are You 'Punking' Customers?

Washington Post personal finance columnist Michelle Singletary recently wrote a column demonstrating how sales incentives can be damaging to customers. She cited a recent case in which the National Association of Securities Dealers fined investment firm Merrill Lynch $5 million for allegedly rewarding its call-center salespeople for switching customers to funds that would result in extra fees and charges.

These switches weren’t always made in the best interest of the customers, and at times customers weren’t told about non-fee options—something that Singletary describes as customers getting “punk'd,” a reference to MTV’s practical-joke show. Callers never knew that the folks in the call center typically had less than five years brokerage experience, were limited to recommending mutual funds, and in exchange for making a sale, received such rewards as dinners or concert tickets.

The case brings to surface a good question that managers should be asking themselves anytime they initiate an incentive program: Will these rewards result in sales at the expense of what is good for the customer? The type of sales that Merrill Lynch encouraged could blow up in a company’s face, and give customers the last laugh. Ultimately, you’ll lose business when customers uncover the real motivation behind a sale, and they'll choose to take their business to a company that has their best interest at heart—while spreading some bad PR for you along the way.

Are you “punking” customers to achieve short-term sales, or even putting pressure on your sales team to make their numbers in a dishonest way? How do you balance rewarding your team members in the short run with creating long-term, happy customers?

And here's some advice on how to rev up your salespeople, without asking them to cross the line.

Hungry for Opportunity?

Tired of the crummy snacks in your office kitchen? Hate your boss? Or just looking for a change?

According to specialists at Spherion, a staffing and recruiting firm based in Fort Lauderdale, Florida, sales and marketing is one of the most in-demand fields right now, making it an ideal time to change jobs.

But as previously reported on this blog, it’s experience, not interest, that’s in demand. Applicants with MBAs in marketing, two to three years on the junior end, and five to eight years in senior positions are most coveted. Those fresh out of college are fresh out of luck. In fact, that segment is not even mentioned in the piece. This means that ideal candidates are at least 31, and are probably at a level in their career where changing positions may be more work than it’s worth.

For me, acclimating to a new job and a new office takes at least a couple of months. A sign that I've settled in is when I finally figure out where to go for lunch. I know when I’m ready to leave when I’ve gotten sick of my once beloved sandwich shop. What would it take for you to switch jobs? Would you rather work toward a promotion at your current job (right across the street from your favorite deli), or start fresh at a new company (with uncertain lunch options)? Let us know what you think.

Looking for a change? Check out S&MM's advice on adapting to a new corporate culture.

A Conundrum from Marketing Guru Scott Hornstein

The biggest and thorniest problem with loyalty programs is that customers flock to them. Companies seem to be either flummoxed or flailing as they confront the resulting contingent liability.

I am writing this sitting on an airplane, and that is the proper analogy. Airlines’ frequent flier programs were created, ostensibly, to engender loyalty and to reward their best customers (frequent fliers) with value—“free” airfare. Unfortunately, it worked. Who knew? 

So I consolidated my travel onto one airline. I got their credit card and played that game and now I sport the dubious honor of being in their million-mile club. My family and I enjoyed many vacations as a result.

Now I can get a lot with my frequent flier miles—magazines and merchandise—but redeeming my points for travel is increasingly hard. If I am a paying customer, I get perks. If I want to fly on them, it’s close to theft of services. It used to be that there were seats in front earmarked for frequent fliers. The last several times I’ve been able to redeem points, I sat in the back between the bathroom and the engine.

The root cause is short-term metrics. All we care about is what we sold today. Long term, loyal customers are nice, but please don’t get in the way of us selling seats today.

Should I be grateful for whatever I got? Sure. Did it come with respect for the million miles I paid for?  No.

Our best customers are the most profitable, stay the longest (which means we have amortized the cost of acquisition) and buy the most. But those are long-term metrics.

So what’s your solution to this conundrum—say thank you to your best customers and sit them next to the lavatory?

Read a similar story in The New York Times today: Still Loyal to Your Airline? You Must Be Looney Tunes

Brand In the Mirror

Marketers are getting pretty creative when it comes to using cell phones to reinforce their brands. 

A couple years ago, Nextel and NASCAR teamed up to offer branded cell phones featuring race car themes and their latest gadget, the Nextel FanView, allows auto racing fans to view streaming video and hear audio of the drivers in the race. However, it’s a niche product and doesn’t appear to have mass appeal.

Personally, I view my cell phone strictly as a utilitarian device for making and receiving calls, and I prefer to watch sports on a huge television in the comfort of my living room.

But I recently discovered a unique marketing tool that will prove useful to a much wider audience: a cell phone mirror. Brandscell has created a stick-on mirror that can be customized with your company’s logo. Your business is sure to win face time whenever someone checks their physical appearance in the cell phone’s mirror. Plus, I think it's a handy way to make your brand stick in the minds of people.

What’s your take? Please share your viewpoint with us.

In the pages of S&MM, you’ll find creative ways to stretch your marketing dollar, such as novelty flipbooks and customized cookies.

@ Nauseum

I don’t hate e-mail. In fact, I prefer it, because I can usually explain myself more eloquently in a written missive than I can in a 30-second voice mail. But right now, I have more than 100 unread e-mails in my inbox, and going through them makes me understand why some people hate it. Just because e-mail is fast and easy, doesn’t mean it should be handled with any less care than other means of communication. In no particular order, here are my top five biggest e-mail pet peeves:

1) Messages that have nothing to do with me or my job. I often get e-mails that could be spam, but I open them anyway on the off chance they aren’t. These suspect e-mails are, instead, usually pitches from folks who haven’t done their research about our magazine. The name of our publication is Sales & Marketing Management. So why would I want to receive a pitch about a book on why housewives cheat? (And no, saying that some desperate housewives are former salespeople isn’t enough.)

2) Mass e-mails that are obviously mass e-mails. I understand that you can’t always send an individualized e-mail to everyone. But, c’mon, at least TRY to make me feel special. When I get e-mails that say “Dear  JULIA” or, “Hi, &%Julia%&” then I know I’m little more than a name in a database.

3) Overly familiar e-mails from strangers. These start something like: “Hey Julia, what’s up? Give this a look. Thanks! :)” Who are you? If I don’t know you, please don’t start with the emoticons.

4) Rude e-mails. I can’t say for sure that people are being rude when they do this. But if I haven’t met you face to face and you’re sending me something, doesn’t it warrant even a tiny, “Here’s the information you requested”? Getting blank e-mails or forwards with no explanation or even a subject line leaves me wondering about the tone behind them.

5) Gargantuan e-mails. My inbox can only hold so much. In fact, it’s at a point right now where I get a warning that I’m going over my limit after every message I receive. Sending me huge attachments without making sure that I can receive them doesn’t make my overstuffed-inbox situation any better.

If you’re making any of these faux pas when you use e-mail to prospect to clients, it’s likely that your pitches are going in the trash. E-mail can be effective, but it has to be used the right way. Here are some pointers on what to do—and not do—when using e-mail as part of your sales process.

And please let me know: What ticks you off about e-mail?

Getting Your Zzz’s on the Road

I’m what you would call a nervous traveler.

It’s not that I don’t like to travel, but getting on an airplane makes me tense. Even worse are the long flights that take me someplace where I am either six hours ahead or four hours behind my normal time zone. But the traveling part aside, what really is in the back of my mind is: Will I be able to get some sleep!?

My doctor would often tell me to pop a few Sudafed’s to get drowsy, but that never worked. Today, there are sleeping aids that claim to have nearly no morning groggy side effects so long as you follow the strict directions on the label. I’m sold!

But this revelation hit a snag this week.

A popular anti-insomnia medication, Ambien, which is taken by many travelers (26.5 million prescriptions were filled last year), was linked to short-term memory loss leading to increased traffic arrests and uncontrollable binge eating.

I know that some of you road warriors may be in the same boat as I am when it comes to catching your Zzz’s on the road. Do you have any tips for other travelers who may not want to take sleep aids and risk all those side effects?

For tips on getting sleep in the road read: Catching Some Shut-Eye

Your Time Your Way

We all have work routines, and CEOs, VPs, and even senators are no different. A recent Fortune story (insert link) featured a dozen successful professionals discussing how they budget their time.

The online feature is fascinating. As a designer and CEO, Vera Wang obviously has different responsibilities than Sen. John McCain but both need to stay organized and rely on other people to help them do so.

While all successful people need to make decisions about time management, those choices are personal. Hank Paulson, the chairman and CEO of Goldman Sachs, for example, uses voicemail instead of e-mail. Because using the phone is more personal than sending e-mail, his preference may account for his success in the business world. But that method wouldn’t work for me. I leave rambling messages and for some reason, listening to voicemail makes me anxious. Similarly, my habit of replying to e-mails immediately may please my coworkers, but it might be distracting to other people.

What works for you?

Looking for some techniques to modify? Check out S&MM’s advice here. 

What Would You Do?

Think you have all the answers? Prove it. S&MM regularly poses a hypothetical management question to readers in our Closer section. Tell us what advice you'd give to solve this difficult—albeit fictitious—dilemma. The winning response, as well as other contenders, will appear in our May issue.

Good luck!

The scenario: Jensen Supplies holds two sales contests each year to boost revenue and improve morale. To spice things up a bit this time, Jane Werner, Jensen's sales director, announced the July-through-December contest at the June 1 weekly sales meeting. She went all out and decorated the conference room in an island theme, complete with posters of the South Pacific and tropical music and treats. And on each person's chair, she left a fake plane ticket to Tahiti-one for each of her 15 salespeople. She told them that in order to exchange the fake ticket for a real one, they would have to reach 125 percent of quota. The reason for such a large prize for a six-month contest, she explained, was that Jensen was introducing three new products and she wanted to ramp up sales as quickly as possible.

Also at the meeting was Dan Woods, Jensen's marketing rep, who is responsible for creating the sales team's collateral, presentation materials, and proposals. Strangely, over the course of the next month after the meeting, his performance declined; he was less social and less available to help the salespeople than he had been. His lunch hours were longer and his workdays got shorter. Werner noticed the change and asked Woods into her office to discuss the situation.

In a nutshell, he was disappointed that, once again, he was excluded from the company's incentive program because he wasn't strictly "sales." Woods said he felt integral to the sales force's success; in his two years with the company, sales had grown 12 percent per year, whereas revenue had grown only 4 percent per year in the five years before his arrival. He said that perhaps he didn't fit into the Jensen culture.

Werner was surprised—she hadn't anticipated that Woods would feel this way. She asked him to give her a few days to work out the problem.

Question: Does Werner just send Woods to Tahiti as a thank you for all his hard work? Does she create some sort of incentive specifically for him? Or is there a better solution? (Submit your comments below.)

Lessons From the Boob Tube, Part Deux

I’ve written about the show before, but yet again NBC’s workplace satire The Office has picked up on a real-world issue: How to give a great speech at a sales conference. In last week’s episode, Dwight (the office heel) ends up winning, to everyone’s chagrin, the regional salesperson-of-the-year award. But when he finds out that he must give a speech at the local sales conference, his fear of public speaking makes him panic (he recounts a tale in which he misspelled the world “failure” at a school spelling bee) and he turns to his boss and coworkers for help.

Surprisingly, Dwight ends up wowing the crowd—by cribbing a Benito Mussolini speech and changing all references to global war to the “war at work” and replacing soldiers with “salesmen—and women.” He does this with much of his own flair, pounding on the podium with a crazy look in his eyes.

Yes, this scenario is implausible. But Dwight actually does a few things right that can help out those faced with real-world presentation fears:

1) He models his speech on that of a proven public speaker. Though you always want to inject your own style and experiences into a speech, it’s okay for newbies to look to the veterans for help. Did they use a lot of anecdotes? Did they present their ideas in a clear outline form? Don’t be afraid to use what’s already worked as a starting point for your own preparation. (One disclaimer: You probably shouldn’t turn to fascist dictators for speech ideas.)

2) He injects relevance. By pointing out how big-picture notions apply to his fellow salespeople representing northeastern Pennsylvania, he keeps the audience engaged in his message: How salespeople must continue to fight the good fight.

3) He makes good eye contact. It’s apparent that Dwight actually did a lot of preparation beforehand. He takes cards with him onstage, but focuses more on the audience (even if it is with manic facial expressions). It’s clear he has practiced, proving the best presenters don’t rely on PowerPoint or other presentation materials because they know their subject matter.

What presenting tips help keep panic at bay for you? Here are some pointers from S&MM on how to avoid being a dull presenter.