The Pain of Discipline or The Pain of Regret

Success is often disguised as hard work.

Which do you prefer?

1. The pain that comes with hard work and waking in the morning to earn a living and be successful . . .
or
The pain that comes with the secret knowledge of your own laziness and the cause of your own failure.

2. The pain of practicing and studying to get better at something and to feel the thrill of learning something new . . .
or
The pain of never mastering anything.

3. The pain of planning and organizing to win or succeed at some noble endeavor…
or
The pain of always being and feeling overwhelmed, uncertain and without acomplishment.

4. The pain of accepting and attempting new challenges and experiencing new frontiers and making friendships…
or
The pain of boredom and emptiness.

5. The pain of setting goals and working towards them and owning success and the excitement of accomplishment and victory. . .
or
The pain of having no direction, no sense of purpose, fulfillment or achievement.

6. The pain of cooperation and teamwork and the bond it creates among peers.
or
The pain of lonliness, rejection and isolation.

7. The pain of doing right, being honest, and keeping promises
as a person of character, integrity and a good conscience...
or
The pain of a tarnished reputation, of guilt and of a troubled conscience.

The Pain of Discipline or The Pain of Regret. Which do you prefer for your life?

Choose well, for your choices are brief yet eternal. Goethe

Copyright © 2009 - Tony Cefalu

How Often has this Happened to You?

You're entering into a building, a mall or some type of office, and as you open the door to enter, you notice someone walking towards you to exit the building by the very same doorway you are going to enter. Out of thoughtfulness and good manners, you defer to them and hold the door open, giving them the right-of-way while you patiently wait...and wait...and wait.

But what is it that you are waiting for? Ah, thank you, that’s what you are waiting to hear from the passersby. But there is no corresponding thank you offered; they just walk on through the open door. In fact, they didn't even acknowledge you; avoiding eye contact, pretending you weren’t even there. It is as if they expected you to hold it open for them.

“The deepest principle in human nature is the craving to be appreciated.”
William James

After they pass, you enter the building secretly telling yourself, It's no big deal...I'm above needing gratitude...I'm the better person...

But inevitably, you begin to think, How rude of them to not say, “Thank you.” Where are their manners? I just can't understand some people...Common courtesy is not so common, anymore.

The Exchange of Money is Never an Unemotional Event for a Customer

It is an awful feeling to not be appreciated or recognized for a good deed. If something as simple and seemingly innocent as failing to say, Thank You, for an open door can trigger negative feelings, consider how people feel when we miss the opportunity to thank them whenever we do business with them at the agency.

We are ruled by our emotions. In everything we do, our actions are largely driven by our emotions and supported later by logic. That is especially true for our customers.

Never let them feel unappreciated or taken for granted, or worse yet, feel taken advantage of by not being shown courtesy when they deal with you.

Therefore, whenever transacting business with customers, here are some reminders on when to thank them and show that you appreciate their patronage while also avoiding the offense of making them feel taken advantage of:

1. When they call in about a question on their bill…

Thank you, we appreciate your business and remember; whenever you need anything, we’re here for you. Have a nice day.

2. When they refer a friend to you…

Thank you for recommending us. We appreciate your referral and are happy to give them the same care that we owe you. We’ve sent you a little something in the mail in appreciation for your confidence in us. Thanks again.

3. When they call with a complaint…

We apologize for the inconvenience we’ve caused you, and thank you for calling and letting us get a chance to correct things for you. We value you as a customer. Without talking to you, we wouldn’t be able to fix the problem for you or avoid this ever occurring again. Thanks again.

4. When they call with a compliment or praise…

Well thank you. That is very kind of you. It’s so important to us to make sure we are here for you. You can rest assured that we are doing the worrying for you regarding your insurance needs so you don’t have to…Thanks again.

5. When they suggest things you can do or make a comment on how things can be improved…

Thank you. We keep a ready ear for ways to improve on the way we do business and it is people like you whose opinions matter the most to us. I appreciate you sharing that with us and will make sure that we discuss it in one of our team meetings…

6. When they comply with your request for something…

Thank you for bringing in the paperwork we needed for your jewelry. I understand you are busy and realize how tough it can be to get time off of work to bring something in to the office. That is going to help a lot in getting your items protected and to give you peace of mind much quicker than if we had to wait for it in the mail.

7. Whenever they come into the office…

Thank you for taking the time out of your busy day to meet with me to discuss your life insurance needs. Knowing how important this is to so many families like yours, I applaud you for making this a priority for your family.

8. When they wait patiently…and not so patiently…

Thank you for waiting. I really do appreciate it. We don’t take your time lightly and do apologize for the wait…

9. When they do business with you…every time!

Thank you, I really appreciate your business. Knowing that you have many choices, we do thank you for choosing us as your insurance agent.

Courtesy and good manners are the lost social art. It is common place to not be thanked; to not be appreciated and made to feel special. Remember, although each of us is unique and different in so many ways, we're also very similar as well.

To be valued and appreciated is a shared craving and one of the greatest of human desires. So help yourself and others and remember to say, thank you, to your customers when you meet them and transact business with them.

It matters. Just think how much you appreciate it when you, as a customer, are thanked…or not thanked. Fail to give customers what they want and they will go where they can get what they want: appreciation.

Copyright © 2009 - Tony Cefalu

Success is the Best Revenge

I was 32 years old, had just relocated to my childhood home of Youngstown, Ohio, married 9 years and the father of two young children; Lindsay who was 22 months old and Tony who was 8 months old. The first Gulf War had just ended and I was a brand new civilian who had just separated from a promising 9 year career as an Air Force officer.

It was my first day of work as an account executive, or agent, with one of the largest life insurance companies in the country. I had never sold a thing in my life, but then at my age, most things were still new to me anyway. From career soldier to insurance salesman; it was a very uncertain time for me and my family.

Part of my introduction into the company was a quick tour of the branch office I was to work out of while selling life, health, investments and auto and homeowners insurance. It was a bland office, very sterile; not a stylish place at all. It was the kind of office that you would expect work to get done…There was no time for anything else at this place.

There were 5-6 smaller interior offices reserved for the top producers in the branch and approximately 15 cubicles for those who have yet to earn that distinction. My cubicle was in the back.

I was being introduced to the staff when one agent, who was young and a recognized top producer, took the opportunity to pull me aside in order to share with me some friendly advice about the insurance business. This is what he said:

“You’re number 41.”
I said, “Excuse me?”
He said again, “You’re number 41. I’ve seen 40 come and 40 go.”
“You’re number 41.”

My response back to him can’t be published. Afterward, I walked to my cubicle thinking about what had just happened and I took a piece of paper from out of the desk and wrote on it, #41. Then I pinned it to the cubicle wall.

Every time I sat in my cubicle to print a proposal, work up a quote or use my phone, I saw that piece of paper and could hear that guy say, You’re number 41. It made me angry.

Six months later, I was accepting the company’s award for top producer in sales. In less than a year, I had out-produced hundreds and hundreds of agents, some with as much as 40 years of sales experience to their credit.

There were a lot of reasons why I was able to accomplish what I did in such a short time. I had planned out each work day, kept my focus on executing my marketing plan; scripted out my sales conversations and tracked all my sales and made sure nothing got hung up in underwriting.

I also had a great manager for whom I will ever be indebted to for his guidance, encouragement and solid sales training. He was instrumental in making my introduction into the industry a positive experience, and he took the time to share with me the benefit of his years of sales experience and expertise.

But the person I am most grateful to is the agent who branded me, number 41. Because of him, I was inspired to succeed and not fail. In life, there will always be people who tell you what you can and can’t do…They will try to limit you in what you can accomplish by the words they use. They are negative people; small minded individuals you will want to stay away from or else you might begin believing what they say.

And there will always be personal doubts and circumstances that plague us from time-to-time; questioning our own abilities to succeed and achieve things. It’s a struggle against the environmental forces of life on the outside that tell us we won’t succeed, and the personal doubts about our own abilities to succeed that most people quietly harbor inside. It’s a normal part of the human condition.

The lesson I learned; you can choose to accept the estimates negative people make of you or you can choose to prove them wrong. You can let that quiet, small voice that causes you doubt about your chances to succeed convince you that it is true, or, you can put it to rest and muzzle it for good by staying focused on your goal and accomplishing what you set out to accomplish.

I despised the agent who called me, number 41. I despised him for what he said and thought of me as a person. But, I despised him even more for the fact that he may be right; that he may have validated my own self-doubts about my potential for success as an agent. I could have gotten revenge against that guy in a lot of different ways, and that would have been wrong. Instead, it was my success as an agent that was ultimately the best revenge...and it was one of the best lessons in life I could have ever learned.

Success is the best revenge. It quiets your critics and proves them wrong about their low opinion of your capabilities…and it puts steel in your resolve to achieve things in the future.

What about you? You may not have someone telling you that success is reserved for others and not you. But if you are like most people, you probably struggle with some degree of self-doubt. Whatever your situation may be, are you getting your revenge? Are you muzzling the quiet voice inside of you that says, you can’t do it?

Don’t live with the weight of doubt and criticism about your chances to succeed. Silence the critics…especially those in your own mind. Refuse to succumb to estimates and predictions of your failure. Get your revenge…make your success. It is the best revenge of all.

By the way, after I was awarded the distinction of salesman of the year by the company, I was granted a private office within the branch for being a top producer. The office I was offered was that of the agent who called me, number 41.

Success is the Best Revenge. There is nothing like it!

Copyright © 2009 - Tony Cefalu

You are that "Link to Value"

Value is a number placed face-to-face with the benefits to buying something. It is not a string of superlatives such as most reliable, best claims service, strongest financially.

Value is realized when the customer makes the positive connection between price (premium) and the benefits to them of our products and services. Value is not necessarily a comparison or connection between a company’s price and their competition's price.

Value Is…What Value Does…

Value is a comparison of whatever your price is…in connection to…what your price does for the customer. It is the classic features to benefits discussion that the top sales experts understand and apply to their craft as sales professionals…What the price is has no importance to the customer until they see what the price does for them; how something will benefit them. That is value.

Articulate the benefits. Don't fall into the trap of feeling compelled to compare your company or agency to the competition. If the customer brings up the subject of the competition, acknowledge it and move on in your discussion. Focus your sales conversation on how they will benefit from choosing your company and you relative to the declared price. Get the customer looking inside rather than outside for a value comparison.

By inside, I mean, get the customer to internalize all the benefits of choosing your product and service…on how they will benefit personally from doing business with you instead of anyone else. Get their mind’s eye away from looking outwardly at their current price and current insurance company for a frame of reference. Instead, get them looking inwardly at what you can do for them.

For that moment, ignore the price and concentrate on the customer’s needs, articulate through illustration, stories, pictures and emotional language that involves them as the characters in a scenario where you are the clear advantage for them versus anyone else.

To be Understood is a Luxury…It takes Work to be Understood

Don’t worry about the price or the fact that there is a competitor who is vying for the same customer, focus on communicating clearly what you mean to them as their insurance agent; their advisor. And when the time comes, when and if they ever need you to be there for them, keep your promise to your customer. Don’t be like so many other agents and advisors who will say anything to get a sale; keep your promise to be there for them when they need you. That is real value to a customer.

Price is an Issue…But Who has the Biggest Issue with Price?

Price will always be an issue. But, I sometimes think it is more of an issue for the salesperson then it is for the customer themselves. There is a strange mental game we as agents get caught up in where our entire focus is on whether we have a lower priced product or service than the competition. Consequently, we become sensitive to the differences that we see when quoting customers and we feel almost apologetic when presenting our price when it is higher.

We lose sight of the value discussion and in explaining what the price means to them in terms of what we can do for them as agents, as a company, and as an agency who is an advocate for them. Here is the reality; people do spend more money for seemingly similar products and services. Why? Because they feel it is worth it in some circumstances. If you feel you are worth it…than why feel the price isn’t…when you quote it?

Just because the Competition’s Price is Lower, Doesn’t Mean they are Better

When price is discussed, one value proposition that can be articulated is the value proposition of, you, the agent. You are that link to value. So when the premium is stated or discussed, help the customer understand the value to price in regard to you...an agent, advisor, their personal sales professional in insurance and financial services.

For example:

As an expert in auto & homeowners insurance, I deal specifically with the often complicated details associated with claims, billing and the concerns and questions that naturally arise when people talk about protecting their cars and their homes.

Those are two of the biggest purchases most people ever make. So it is important for you to have someone you can trust who can answer your questions and do the worrying for you so you don’t have to when it comes to insuring them.
That’s what I do for people every day, 24/7…

Have you ever had an automobile accident or homeowners claim; or known anyone who has? How did you deal with it? What were some of the difficulties you ran into? What part of the process was the most challenging or confusing? What were some of the difficulties you experienced during the process?

How important would it be to you to have someone like me in your corner if something came up? How valuable would it be for you and your family to have an expert in these matters taking care of things like this? How confusing can it get when a claim is filed or you have a question on a bill?

You get the value of my experience working with hundreds of people, like yourself, as their advisor in these matters. So while you’re busy doing what you like - (like fishing as you mentioned when we first started talking about you auto and homeowners insurance) - I’m the one worrying and working on your behalf - seeing that you and your family are properly protected and taken care of… so you don’t have to be distracted or spoil your family fishing trip!

Other companies give you a 1-800 number and forget about you in voicemail purgatory, as I call it, a seemingly endless tree of voice prompts and confusing push button choices where you can’t get a chance to speak to a live human being about your problem…That won’t happen here.

That's not how we do business. If you need help or have a question, I'm always here for you and can take the time to talk and meet with you whenever you like. And if by some chance you do get our voicemail, our policy here is to call back within 24 hours at the latest…most often, it is much sooner than that…In fact, here is my cell number, I will write it here on my business card for you. That’s in case, if you ever have a question and you need to get in touch with me right away about an accident or a bill, for example, just dial that number and I will answer.
In that sense, I’m worth it.

That’s the value I bring to families like yours.
I care - and because of that, my customers value the relationship we have. Doesn't it make sense to have that kind of relationship & trust with an agent?

You are that Link to Value

You don’t sell insurance or financial products. You sell peace of mind, trust, confidence, kept promises, no worry, security, realized dreams, access and availability, no hassles, ease…You mean so much more to people than they realize…The challenge is to get them to realize it.

You are that Link to Value. Now make sure you tell people about who you are…and what you can do for them.

Copyright © 2009 - Tony Cefalu

Be Brilliant at the Basics

I was asked by a small business owner what I thought was the key to business success. He was just starting out in business; trying to manage a small sales force while managing the day-to-day activities of payroll, expenses, marketing, IT support, recruiting ...all the moving parts that come with running a small business. I knew what he was feeling after having had several business starts of my own most recently.

He was overwhelmed and his question was more of a plea to me to make some sense out of all the chaos that comes with small business ownership. He was stuck in a fog and needed help.

Immediately, I thought of a story I read about Vince Lombardi, the legendary coach of the first Super Bowl Champion football team, the Greenbay Packers. Every start of the practice year, when the players returned to training camp in preparation for the start of the Fall season, Lomabardi would say this, Gentleman, this is a football.

What was that all about? He was speaking to a group of adults, wasn't he? These were grown men; big grown men! They were professional football players...not peewee league ball players! These guys had been playing the game for a very long time...and for money, I might add. And they were a part of an elite group of men who made it to the top of their profession; a feat the vast majority of would-be professional players could never boast of. So, they were accomplished professionals in their chosen career, and here is coach Lomabardi telling them, Gentleman, this is a football. I think they knew that what he had in his hand was called, a football.

But what Lombardi was really trying to do was remind these professionals that it is important to maintain the basics. It was being brilliant at executing on the fundamental skills or systems that are known to bring success that matter most. What it takes to be successful is not elegant, nor is it overly clever or sophisticated.

In fact, I would offer that most times, the secret to being successful is very simple and very basic. And that's the lesson I think Lombardi was trying to teach to his men; to be brilliant at the basics...Be the best you can be; to get serious about the fundamentals of the game.

In Lombardi's case, blocking, tackling, running the ball, passing the ball, working as a single unit called a football team, being able to go from one end of the football field to the other end of the football field, that is what they needed to be able to do better than any other team if they were to be champion. Hey, it wasn't glamorous work running and sweating in practice before each game, but it was honorable work and it earned Lomabardi, and many of his players, a place in history by being inducted into the National Football Hall of Fame...All that for just being brilliant at the basics.

So, I advised my friend of a couple of basic things he should consider in order to be successful in business; and how to be successful in life, for that matter. And all my recommendations centered around the simple things, the basics.

* Marketing is all those things we do to get people in front of us...So spend the majority of your energy on that one task; getting people in front of you.

* Most marketing will center around two activities. Those activities are: looking for reasons to speak to people and looking for reasons to meet with people. Most every marketing activity imagined by mankind will fall into either one of these two activities. Don't over think on how to market.

* If marketing is all those things we do to get people in front of us, sales is what we do in front of people. Therefore, practice your part because sales is a little bit of theater. Make sure you know your "lines."

* Freedom regarding your time as a business owner is great...But freedom can kill some people. Don't let the freedom of owning a business kill you.

* You're only as lazy as you dare to be...and some dare bodly! Don't be that bold...

* You are not responsible for results...You are responsible for right activities. So focus your energies, not on the endgame results of production and income, but on the activities that give you production & income.

* Don't boil the ocean. Resist the urge to do everything at once or else you will burn out. Build your business incrementally.

* The will to win is not as important as the will to plan to win. Probably the most important piece of basic advice. Be deliberate in what you do, plan, consider, reflect, modify that plan and then put it into motion.

* Ideas are a dime a dozen...It's their execution that is priceless. As the famous quote from a shoe company goes, you need to just do it.

* Successful people know their numbers. They have a line-of-sight to their goals. Are your goals within sight? Are you aiming in the right direction as a result?

* The sole purpose of business existence isn't to make a profit...It is to create a customer; plain and simple.

Want to be successful? Then take a lesson from what has been written here today. I did not provide any specific secret formula for success...Nor did I give you any step-by-step process to follow. What I did provide was some basic rules, or tenets, to follow and build a foundation for business success.

Ignore me at your own peril.

Copyright © 2009 - Tony Cefalu (1)

Sell the Whole Package: A Preliminary Discussion on the Elements that Influence Customer Perceptions of Value

In the auto and homeowners insurance sales arena, I often hear sales professionals declare grudgingly, It's all about price these days. I don't care what they say. Price rules! I understand why they say that, especially when a competitor’s premium comes in $100.00 less a half (6 month premium) then their stated premium.

Too often at that point, we end the conversation, wave the white flag and politely smile wishing them Godspeed while secretly hoping a year from now the tables will be turned on the competition when they have to raise their rates above ours! What a way to work and view our profession and our responsibility as experts and advisors in insurance matters.

Now, I realize that scenarios like this happen every day in the life of an insurance professional and that people are concerned with the cost of things. But I also realize that people don’t base their buying decisions solely on the weight of price. People are looking for value; and value is simply the relationship between price and the benefits of having a product or service.

Selling is a Transaction of Value

Sales is a contact sport. But, I would add, Sales is a transaction of value as well. People are emotional creatures who want to be wanted; who want to feel special,who desire to associate and buy from people they perceive to be like them. We are creatures that base decisions on emotion and later validate and justify them with logic. Bringing it back to the realm of auto and homeowners insurance sales, people will look at the price, but will buy based on the emotional benefits they perceive will result from buying off of you, your company and your agency.

Let me see if I can illustrate this point a little better. With many agency training classes we hold, I ask the following, Think about when you purchase things, particularly those things of a significant nature and value. What is it that causes you to buy from one place or vendor versus another? In other words, what is the reason why you buy a particular thing...from a particular person…at a particular place…especially when you have choices to go with someone else or go some other place to buy?

Without exception, the list of responses I write out on a flipchart is dominated with phrases like, a friendly salesman, a nice environment, knowledgeable sales people, not pushy, cares about me, I buy from people I trust, I didn't feel stupid when I asked questions, they made me feel special, they let me decide, I wasn't pressured, I felt comfortable, they took their time, they responded quickly. Now where is price in all this? It’s there…somewhere down the list indicating that, although price is a consideration in the buying decision, it is not the paramount issue we agents and sales people all too often claim it is.

1. The Price

Furthermore, independent research with investor/buyers list the top six priorities people value when choosing to work with financial advisors as, understand my situation, educate me, respect my assets, solve my problems, monitor my progress, and keeps in touch. Again, where is price? Where are the comments, I buy price and quality? They're just not there.

Price Does Matter...But it Isn't the Whole Matter...

It's not because price isn't an issue for people. No. It is because price isn't the whole issue for people necessarily when they choose one thing to buy over another or one place over another to transact business. Emotions rule. Relationships matter. It’s at the origin of feelings and emotion that people link the price to value and worth. It's how people decide...to decide.

So, to those who declare, it's all about price these days, I ask again, where is price among the overwhelming responses that I receive and industry research historically validates about human nature? Again, price does matter. Do not misquote me on this point. But understand when I say that the evidence and my observations on human behavior during the buying process confirm...price is not the whole matter. It is not even in the Top 3 in regard to reasons on why people buy…or choose not to buy.

So now what? What am I to do with this information? What does this all mean for me as a sales expert; an agent? Well, what it means is that we have to begin looking at auto & homeowners less as a commodity sale based on price and more on the emotional aspect of the sales spectrum.

It means we have to begin selling the whole package when it comes to the art of the sale. We have to look at things differently; to begin communicating the emotional benefits of the whole package to the customer so they can make the favorable value connection between price and the benefits of owning our auto and homeowners insurance product. Simply put, we need to get them to see that the premium is worth all that we say it is worth.

So how do we do that? How do we get people to the realization that our price is worth it? By helping them discover all those things about us, about our company, and about our agency that makes us so valuable to people and unique in comparison to the competition. By telling them our story and bringing them into our world of trust, care, concern, competence and friendliness. By being sales professionals who sell the whole package through mastery of key sales conversation basics.

The Value Diamond

So what exactly is the whole package? Well, the whole package deals with leveraging and linking what we understand about the emotional buying nature of people to the value proposition of four interrelated factors; Price, Product, the Person selling and the Place where people buy. I call that relationship, The Value Diamond Concept .

Picture a single diamond shaped graphic, at each of the four apexes there is a word; at the first apex or point is the word, Price, next is Product, then Person and finally, Place. In the center of the diamond is the word, Value; representing that the sum total of all these factors together equal perceived value on the part of the customer.

Graphically, that’s what the whole package looks like; four factors interdependent on each other, working to make the decision to buy from you, worth it. So let’s examine each of these factors in brief and see how they affect the overall motive of the customer to buy.

Price Does Not Have Meaning or Relevance Until It is Compared to Something

First of all, price, what is it? Price is the quantitative measure of what someone must pay in order to have or get something. It’s sterile, clinical, precise, rational, and registers on the left side of the brain, that part of our anatomy which analyzes and computes but does not make the overriding decisions in our life, and that would include the decision to buy.

Price is a Measure...Much Like Fahrenheit or Centigrade are Measures

Price is what it is... a number...nothing more. You can’t change it. So when you present it to a customer, apart from all other factors, it means nothing. But when juxtaposed with the competitions price, it begins to have meaning and relevance to the customer. In some instances, that relevance means that it is a number higher than the other guy’s and, thus, is too expensive of a price. And in other instances, it means it is a number lower than the other guy’s and is, therefore, a good buy. And sadly, too often, that is how we approach selling our auto and homeowners insurance product- by price comparison that is dictated and controlled by the customer’ thinking and not by any sales ability of our own.

Our Great Folly as Sales Experts

Our great folly as insurance experts is that we allow the customer to define the rules of relevance. When it comes to the price of our product, why not exercise true salesmanship by shifting the customer's thinking and focus from what they are currently paying in auto insurance to what they can potentially get from us as a result of the price we just shared with them.

Did you catch what I just said? It was quick and a little subtle. But what I just said is powerful in terms of combating a competitor’s lower price.

Let me say it again a little slower and simpler, most agents exercise enormous stupidity when they fail to tell the customer what it is they are getting for the price they are asking. Now did you get that?

The Only Way to Combat a Competitors Lower Price... Is to Communicate Higher Value...

A better way of communicating price is to shift the customers thinking away from looking solely at what they are paying now and provoking their thought processes to consider the benefits of what they will get when buying off of you. The only way to combat the competitor’s lower price is for the agent to communicate higher value. There is no other way...absolutely none.

For example:

The premium for the first six months, Tom, is $500. Now that is a little more than $80 a month or about $2.50 a day to make sure that you, Peggy and the girls are properly protected if they are ever in an accident. For example, with you, Peggy, driving all the way to Columbus, a 40 mile trip one way every morning and evening is grueling…and dangerous for that matter. A lot of accidents do happen on the beltway around the city. This plan is structured to protect you if you are ever in an accident going to work, for example.

And correct me if I'm wrong Tom, but one of the things you mentioned at the beginning of our discussion was how frustrated you were with your last agent; he wouldn't return your phone calls, couldn't seem to care if you needed anything or any help. I know that must have been really frustrating. Please remember, that 1600 other families just like yours choose us and trust us to take care of their insurance needs. And if you are to choose us as your insurance carrier, I promise you we will treat you like family as well.

In fact, here is my business card, my toll free number is right there Tom, and here’s one of Peggy’s cards as well. You can call 24/7 and reach a live person if you call that number. And if ever you call and we don't have the answer for you right then, which is unlikely with all the experience we have here in the office, we'll find the answer for you and get back with you. We have a policy of getting back with our insured within 24 hours of a call, often it is less, so they know we care about them and appreciate their business. That's just how we work here at the Tom & Peg Insurance Agency. How does that sound, Tom? Peggy? Great.

To think that trying to get a customer to forget about the premium they are currently paying, especially if it is a premium lower than what has just been quoted to them, is not a realistic expectation. That is not what I am suggesting can be done in sales situations. What is realistic and possible is to shift some of that mental energy of the customer; that focus, that attempt at defining relevance by comparing your price to the competitions and to get them to ponder what it is they get for the premium we just quoted.

So instead of the customer saying to themselves, the premium is $500 every six months, but I pay $400 now. I’d have to give up $100 to go with Tony as my Agent...Instead, their thinking can be influenced to consider...Oh, so that's what I get for $100 if I go with Tony as my agent.

It is a subtle difference in thinking...But it is very powerful in its ability to influence and persuade the customer to buy from you even when your price is higher than what they are paying now.

Does Shifting the Customer’s Mental Energy Away from Their Current Company Work All the Time?

Does this technique work every time it is used? Of course not, but then again, I subscribe to the hockey legend Wayne Gretsky's philosophy, You miss a 100% of the shots you don't take....So take the shot...Eventually, you’ll be scoring points on cases you never thought you had a chance to win.

Don’t be one dimensional as a sales professional; always selling on price, hoping that your premium is less than the competitions. That’s no way to live or prosper as an agent. It reduces our profession to no more than “order takers” and makes us no different from what the Internet has to offer.

2. The Product

Product, on the other hand, is just as benign as price when it stands apart from all other factors. In some instances, the other guy’s product will have more bells and whistles (features and benefits) then ours. And in others, our auto and homeowners product will have more bells & whistles than theirs. So again, like price, product is quantitative, factual and sterile in nature. It is what it is, nothing more, and nothing less. So when we sell on product features, we win those where we are richer in feature offerings and benefits and we lose those cases which offer more than we do in comparison.

Price & Product are Left Brain Functioning Factors

Again, I am not discounting the impact that price and product has on a customer’s buying decision. They are important factors in a person’s perception of value. By their very nature, they are left brain functioning elements of the value string. That is, they are factually based elements that are points of discussion in a sales conversation and are processed physically, for the most part, in the left brain; a physical place in our minds that is dispassionate, calculating and unemotional... And because of the nature of price & product as factual based elements of value, the sales professionals has a bigger challenge in translating these naturally cold and left brain (where facts, figures, details are processed) factors into emotionally stimulating language for the customer to hear and process.

Before I move on to the final two elements of value and leave the subject of price and product as key factors in the equation of perceived value for the customer, consider the following two statements in regard to price and product. They are statements I will elaborate further on in regard to value and how to communicate it properly to a customer.
Never…Never…Never…State the Price of Something without Connecting it to a Benefit Statement(s)…

and

Never…Never…Never…Speak about Product without Translating its Features into Benefit(s)…

Two irrefutable & immutable laws of the true sales expert; to ignore this advice is to ignore one of the great secrets of the sales profession.

3. The Person

The final two factors, or elements, that make up this idea of value are emotionally based in nature. They are right brain functions, cohabitating with that part of our human make up which makes decisions, sees the big picture (things at a high level, in total), is stirred by visuals, beliefs, understands the conceptual and the symbolic, hopes and seeks solutions to revealed problems.

They are you, the person, the expert, specialist or agent; and the place, or the environment you create; the agency location, or the Internet website or portal that forms the juncture or point at which the customer buys. Both possess strong emotional pull on the decision making process of the customer to buy…or not to buy.

Their influence on the buying process and a customer’s decision to buy is both naturally more powerful than price or product, and their use and application by the sales professional is more natural and more easily duplicated as a successful habit. Both the person element and the place element of the equation stimulate a customer are right brain functions. Both play an enormous role in the success or failure in closing any sale.

The Person is You

On closer examination of the person factor in the Value Diamond Concept of Value, I refer to Dale Carnegie’s observations about perceptions and the avenues by which people form opinions, feelings, and impressions about us. Carnegie states that every person is known and evaluated by four things, and four things only; What we do, How we look, What we say, and How we say it.

What we do. Think on the occasions when you’ve been asked, So, what is it that you do for a living? Better yet, recall those times when you yourself have asked a similar question of someone. We all do it. Oh, I know, most times we’re asking out of polite curiosity. At least, that’s what we tell people.

Perception is Reality. Facts & Accuracy have Nothing To Do With Perception

But more accurately, from a human nature stand point, we’re asking the question not out of courtesy, but more as a means of sizing up the other person; a gauge by which we form judgments about people. Sizing them up, that’s what it’s called. Everyone does it. Yes, people are judgmental. They form opinions of us within seconds, right or wrong, cliché but true; perception does become reality. The truth, the facts, accurate accounting…none of these things has anything to do with perception.

What a customer perceives is their reality. It doesn’t matter what the truth is…It only matters what the other person’s perception of you is…for that is…their reality. End of story. The sooner a sales person grasps that reality, the sooner they can move on to becoming a better sales professional…and a better person for that matter.

You, as the Person…are Worth the Price…Because You are Cool.

It’s here that we have a distinct advantage over our competition – lower price or not. We are specialists, experts, resources extraordinaire, advisors and consultants, agents and financial counselors whose sole mission is to have or get all the answers, rescue from confusion and assist people in order to make their lives better, safer, less tragic and happier in some cases. We are cool!

That is the message. That is the path we need to take as agents when articulating our story in our sales conversations as we introduce ourselves to prospective customers.

For example:

Today, I’m also trying to earn your business, Mr. Smith. And if you choose our agency to take care of all your insurance and financial needs, my pledge to you is to be your personal advisor and experts in these matters; to do much of the worrying for you so you don’t have to.

I am your link to value, making sure your insurance dollars are spent in the most efficient manner for you as possible. Sure, you can buy auto and homeowners insurance off of just about anybody who has a license. But at the risk of sounding arrogant – I’m not just anybody, Mr. Smith. I keep my promises to my customers of being there when they need me.

As your agent, I’ll work for you, dealing with the details that can often be confusing when an auto accident occurs, answering your questions when your kids begin to drive, working for you 24/7 so you don’t have to worry about those things.

Other companies give you a 1-800 number and forget about you in voicemail purgatory; avoiding the responsibility of being you advocate by hiding behind voicemail messages. That’s not how we do business. If you need help or have a question, I’m always here for you and can take the time to talk and meet with you whenever you like.

In that sense, I’m worth it.
That’s the value I bring to folks like yourself, Mr. Smith.
I care – and because of that, my customers value the relationship we have.
Doesn’t it make sense to have that kind of relationship?

That’s what we do as sales professionals, and that’s value. So altogether, with telling our story, using emotional language, understanding the impact of vocals and how we say things on the human psyche to relate to us and by being conscious of appearance and body language, we can evoke a positive emotional response within people that speaks to them from within saying, I’d like to buy from this person.

That’s the kind of salespeople we should endeavor to be.

4. The Place

The fourth and final piece to the Value Diamond Concept of Value is the place, and in our discussion, I will confine our discussion to a physical location such as an agency office. Although, what we discuss is applicable to a website or other Internet portal where business is transacted.

As such, how is your agency environment perceived by customers and the community around you? Is it a place where customers are greeted readily when they walk through the door? Is it inviting with a reputation for expert service, caring people and a staff that is always there for you when you need them?

When is the last time you took a long hard look at the physical condition or look of the exterior and interior of your office and asked yourself, Is this the kind of place I’d want to put my money? If the answer to that question is something other than yes, then changes need change.

Environment Matters in Perception and Perceived Value

You see, environment matters, and I don’t just mean the physical surroundings. Yes, it’s important to have as professional looking, comfortable and inviting place. But what of the environment the sales team creates? How are people greeted? Are giveaway items used and handed out as people walk in for an appointment?

How easy is it to transact business? At every connection point of customer contact whether it be a call-in, walk-in, seminar you are delivering or appointment; how can we make the customer feel valued, feel special, feel important?

What strategies do we employ to convey convenience, ease, and an overall pleasant experience for the customer when a call-in is taken on servicing issues? When an auto claim is filed, what’s your strategy to relax the customer and engender confidence and loyalty towards you and the agency?
Marketing is not only getting customers into the door and in front of you for a sales conversation. Marketing is keeping customers as well. So it behooves us as sales professionals to build a fence around our customers, to avoid defection and leverage the good will of the place for cross selling and up-sell opportunities.

The Whole Package: Price-Product-Person-Place

The Whole Package…that’s what it is. A combination of a competitive price, a quality product, expert advice and resources as the person, the agent and a place or environment that sets the right tone and atmosphere where the customer is comfortable and can see that you are a person they can do business with. That’s left brain and right brain stimuli working together to trigger the buying decision in your favor.


These elements will be examined again in later commentaries about value.

Be an Executioner!

Time and again, I bump into sales professionals who love to talk about the latest seminar they have attended or the latest recommended book of the month to read to help get their business jump-started. Keeping sharp professionally by reading and going to sales & marketing seminars, associating with successful people and talking about the business with peers is a healthy activity for anyone; particularly the sales profession where the mental stress can weigh down on an individual quite easily if they are not careful.

What isn’t healthy is being the kind of individual that is always chasing that great idea, that one great marketing or sales idea that will transform their business and guarantee results and success. But, that magic bullet to success continues its elusive ways. It just never seems to show itself…or work as easily as others say it will. And so, like an addiction, even in the face of repeated disappointment, we chase after it ever more determined to find the answer to our own personal business & sales success through others, through ideas that promise success.

Ideas are a Dime a Dozen, But Their Execution…is Priceless

Stop amassing ideas as if a collector of rare coins and art and start executing on them; that’s how to break from the status quo as a business owner and sales professional. Do you want to raise your production and income to the next level? Then you need to execute on the ideas you already know will work and have worked for people in the past.

The True Measure of Genius if Found with Those Who Do

It’s true; genius of the intellectual kind goes unrewarded every day. It’s a common sight. Why? Because genius without application; without the execution of the idea is worthless. I have met countless sales professionals & business owners with more talent than I could ever subscribe to…They are funny, charismatic, brilliant at marketing ideas and on how to recognize sales opportunities. But in the end, they fail or are disappointed in where their business has gone…or more accurately, hasn’t gone. It’s because of one simple thing; a failure on their part not to execute on what they know.

We know what to do to be successful most of the time. On balance, not much has changed in the realm of sales & marketing. Yes, technology advances, Twitter, Facebook, MySpace, LinkedIn.com, Aim.com, Yahoo, Google, Websites, Webmasters, web this, web that…Yes, a lot has happened and a lot is happening. A new language has to be adopted by many of us to stay fresh and current with the changing technology out there. But the basic tenets of marketing, looking for reasons to speak to people and reason to meet with them, remains the same for our profession regardless of technology.

Use these technological innovations to your advantage. Try them out. Stumble a little while applying them to your business. And refuse to be counted in the ranks of those who know…but fail to do… Be an Executioner. That’s really the only way you will grow your business and your sales.

You Buy Out of Emotion & Justify It Later with Logic

You Buy Out of Emotion & Justify It Later with Logic
People are emotional creatures. Yes, logic does play an important role in our day-to-day ability to function and think. But it is our emotions that drive us to decide, to act, to choose or not to choose, to respond to the situation at hand. In the sales arena, it is our emotional nature that overrides all else in moving us to buy—not logic and not the cold, cruel facts of product features and service offers. It is our emotions that rule the day.

All emotions are, in essence, impulses to act, the instant plans for handling life that evolution has instilled in us. The very root of the word emotion is motere, the Latin verb “to move,” plus the prefix “e-” to connote “move away,” suggesting that a tendency to act is implicit in every emotion.
Daniel Goleman
Emotional Intelligence

Those emotional impulses to act, or gut feelings if you will, that Daniel Goleman refers to are wrapped in a cognitive consciousness we call “logic” or “rational awareness.” It's an area of the mind that deals only with the facts of things. It is at this cognitive conscious level, or logical realm of our minds, that we support the emotional motives for decision-making, or as Goleman says, our “tendency to act.”

Emotionally Centered & Logically Dispersed

I refer to it as being “logically dispersed” in our thinking and decision-making process to buy. Logic is dispersed throughout our thinking and is used selectively to support the emotional decision to buy. In other words, we disperse facts and rational thought whenever there is a need to justify the emotional motives for buying something.

For example, I buy a red sports car for fun and the appeal it has in making me feel youthful and successful; I justify it logically to my wife that it was a good purchase price, a once-in-a-lifetime deal and that we will save money in the long run because it is great on gas. I know it is weak logic…but it is logic nonetheless. We go through this emotionally centered, logically dispersed cycle every time we purchase something.

Harry Mills, author of twenty-two books on sales, negotiation, and influence and whose clients include IBM, PricewaterhouseCoopers, KPMG, Ernst & Young, Lexus, and Toyota states, As rational human beings, we like to think that logic drives most of our decisions. But the factis, in most persuasive situations, people buy on emotion and justify with fact. People may be persuaded by reason, but they are moved by emotion.

It is emotion that causes us to drop our natural defenses and distracts us from the sales expert’s intention to persuade. It is emotion that requires less effort to process mentally than logical thought or argument. It takes more mental effort to process facts than it does an emotional appeal.

Emotional stories are more interesting than facts. Emotional contact through imagery, music, vocals are all much easier to recall than factual evidence. Emotions rule. Why? The reason is because we are emotionally centered creatures by nature. That is not to say that logic, the cognitive consciousness, is divorced of the emotional connection and our ability to act or decide.

In fact, logic and emotion are intertwined. They are partners that are dependent upon one another, jointly affecting the overall impulse to buy. But it is the emotional center that exerts the greatest force on our urge to purchase something.

Scientifically, the evidence is overwhelming as to the fact of our emotionally centered nature and its link to act, to decide and to buy. Research that began over 150 years ago examined the relationships between emotions and reasoning skills. The ability to act and decide is lost when areas of the brain that govern emotion are damaged through accident or illness.

Dr. Antonio Damasio, neurologist from the University of Iowa College of Medicine, completed and published a study in 1994 confirming that patients with damage to the emotional triggers within the brain demonstrate “terribly flawed” decision-making ability yet they show no deterioration in IQ or cognitive ability. “Despite their intact intelligence,” Dr. Damasio states, “they make disastrous choices in business and their personal lives and can even obsess endlessly over a decision so simple as when to make an appointment.”

When our passions, or emotions, are aroused, the emotional side holds the rational in check, insinuating itself in precedence and importance in the decision-making process. We are simply “hardwired” this way through a fast-track neural network where rational thought runs indirectly connected with the body’s functions.

Emotions actually stimulate the mind three thousand times faster than regular thought, verifying that in most situations, emotions move a person to act faster than rational thought ever could. This is one of the underlying reasons why our choices are based on approximately 80% emotion (Emotionally Centered) and 20% on selective logic (Cognitive Consciousness).

When dealing with people, remember you are not dealing with creatures of logic, but with creatures of emotion, creatures bristling with prejudice and motivated by pride and vanity.
Dale Carneghie
How to Win Friends and Influence People

Thus, remember the next time you are sitting across from a customer presenting them with an insurance solution, it's not what it is (the feature) that we sell which creates an impulse to buy from within, it's what it can do (the benefit) for the customer that is powerful and persuasive that compels them to buy. It is the emotional need that we help fill that drives the buying decision for people. Logic, reason, and good sense are merely used in support of that emotional reason for why a person will buy from you.

Features Tell, Benefits Sell

I don't sell an insurance policy, per se. I sell, peace of mind, no worries, trust & confidence, ease & availability, no hassles, assurance, comfort, well being and all those other emotional needs and concerns in order to serve my customers. That's what I do...And I frame my sales conversation around these emotional words or ideas and place my focus, not on features or facts about my product, but around the benefits the customer will enjoy as a result of the insurance product being presented.

Mike, what we have concluded here together is that you need $200,000 in life insurance to cover the mortgage as well as provide some funds for "Little Mike" to go to college if you were to die today. Do you see where we came up with that number, Mike? Sarah?

What that all really means to you both is that you will have the peace of mind and comfort knowing that all you two have worked so hard for; the house and the horses you raise, the lifestyle you have built for “little Mike,” won't be at risk of being taken away for reasons of bankruptcy, or worse yet, public auction if you were to die today and there was no money coming in from your job anymore, Mike. And Sarah, you won't have to worry about how college will be paid for because the money will be there for both of you when you need it. What a relief that must be for you right now. What do you think?

Lead with emotion when speaking to your customers...let their logic tell them they did the right thing when they buy off of you.

Copyright © 2009 - Tony Cefalu

"How Disturbing are You to People?"

One of the most renowned insurance salesman to have ever lived is Ben Feldman from East Liverpool, Ohio. It's a small low income community situated in the northeast part of the state known for its' "blue collar" residents.

In his day, Feldman wrote more life insurance in one year than some insurance companies did. In fact, in his lifetime, he wrote over $1 Billion in life insurance and was recognized by the Guinness Book of World Records as the "most outstanding salesman in history."

So when someone of his caliber speaks, people should listen. And according to Feldman, a key to his success was the courage to ask the "disturbing question" of his prospects. That is, he would ask his prospects well thought out, planned questions designed to reveal their underlying need or desire for protection. Although his expertise was in the life insurance realm, his methods and salesmanship technique applies to our efforts as multiline agents.

The disturbing question is the kind of question that "triggers" the emotions, disturbs a person into thinking about circumstances they would normally not consider on their own. It’s a means of provoking thought and bringing about clarity on those issues of life that can easily and suddenly turn someone’s world upside down.That's your challenge. That's your job...and I might add...that's your responsibility and obligation as a professional.

Feldman understood how people think. He knew that people didn't move in their minds from "I have a problem" to "I have a need for your product and service" until they were first made to consider the consequences of the problem and personalize them relative to their own lives.

Until a Thing Becomes Relevant, It has No Importance

Consider the following disturbing questions in regard to Hospital Income and build on these when formulating your own "disturbing" game plan!

Who do you know who has ever suffered from a serious medical problem or has been injured, requiring a significant amount of medical care? When was the last time someone in your family was confined, medically, due to illness or an accident? What happened? Were you left with bills that were not covered by your medical coverage? What kind of expenses were you left having to pay for out of your own pocket…both medical & non-medical? What did you do? Where did the money come from? How did that make you feel? How helpful would it have been to have had a way to pay for those bills without having to pay for them out-of-pocket? What kind of “red-tape” did you have to deal with when it came to your medical bills? How much wasn’t covered? How would you pay for deductibles and co-pays?

Or

Imagine you have been struck ill…a stroke or injury to your back while lifting a supply box onto the conveyor belt where you work at… Consider all the expenses not covered by your major medical plan; deductible, travel expenses, lodging & rent, meals, prescriptions and co-pays. Now how will you pay for these things when that happens? Who is going to help you with paying the bills? How will you be able to meet your mortgage, utilities and pay for gas in the car? When I don’t work, I don’t get paid. What happens when you can’t work due to illness or accident? How will it affect your family? What will they do? What considerations should be made if you were sick or injured and couldn’t earn a paycheck…What will happen? How will you manage? How will your family feel or react if the bills are not able to be paid because of the extra expenses that are incurred as a result of illness or injury? How will not working due to injury or illness affect your ability to pay for your debts, bills, monthly obligations, deductibles and co-pays?

Consider the following examples for Long Term Care:

What plans have you made to protect your assets? What plans have you made to make sure your children will inherit your assets?What plans have you made to prevent having to live in a Nursing Home when your health declines? Has anyone ever explained to you to your satisfaction what happens when medicaid is used for a person’s long term care? Who do you want to inherit your home, your savings? How would you feel if your family had to give your home and other assets to the governemt to pay for your care and your medicaid benefits?Do you know anyone who has needed Long Term Care? How familiar are you with what happens when nursing home care is needed and how it is paid for…or not paid for? How did it change their life? How did it affect their life? What financial burdens did they experience?When your health fails, would you rather have a plan in place that gives you control over your care, or would you rather be at the mercy of your condition?What are your plans for when your health changes?Do you plan to live with your children when your health changes? How will that work? How your children feel about it? What kind of burdens would that add to their family situation? How do you feel about the possibilities of having to live with your children if you were to need nursing home-like care?When your health changes would you like to have your care at home? Why? How will you make sure that happens or is an option for ypou? How will it affect you if you cannot live at home anymore? Where will the money come from?How important will it be for you to maintain the control and choice over your health care in the future? How would you feel if someone else was in control of your medical care and the choices you have for assissted care?When you are not going to be able to care for yourself, what is going to happen? Who will take care of you?

Consider how disturbing the questions can be for a life insurance sales conversation…

If you were to die today, Mark, how would your wife, Melissa, and little Mark and little Melissa maintain the standard of living that you worked so hard to provide for them? How would the mortgage get paid? How would the utilities and all those other bills like food, clothes, utilities get paid for if you are no longer around to earn a living for them? How tragic would it be for them to live struggling constantly to make ends meet and maintain their own self-respect when it comes to being responsible and paying their bills? How would Melissa feel if she had to take just any job to make sure that the bills could be paid? Where would the money come from for little Mark and little Melissa to go to college as you said you wanted them to do? What would happen to their dreams and hopes if they weren’t able to go to college?

Finally, consider the following examples of disturbing questions that can be asked of customers as it relates to auto insurance…

If you were driving down main street, went left of center hitting another vehicle head-on, and the other driver was hurt badly; needing hospitalization. What would you do, Mark, if you were sued? How would you pay for it? What would you do if you were sued and suddenly your savings, 401k, other assets…inheritance, for example, were suddenly at risk in being seized by the courts in settlement of the damages claimed against you for hurting and injuring the other driver?

These are just some simple examples of how a sales conversation might sound. We can debate on the strength of the disturbing questions and scenarios I offer here as examples. I am sure that someone reading this has an opinion about how something can be said better and with more impact…

But the point here is to be disturbing; to be compelling and courageous in getting customers to face the possibilities and the realities of life when bad things can happen.

Be nice, but don’t always try to be nice to a fault, failing to get customers thinking about the things that can happen if they aren't properly insured. Be disturbing. Ask disturbing questions of your customers; your friends who need auto insurance and life insurance. They may squirm in their seats for the moment..But they will thank you and respect you if they ever need your help and the protection they purchased form you.

Not long ago, my good friend passed away of a disease that can only be characterized as heartbreaking. At least that is how I saw it. He was a great guy…one in a million…I had great respect for him and had a lot of fun hanging out with him and his family.

As his disease advanced, I saw how he slowly drifted away mentally & physically. It was just two years before his diagnosis, our families were enjoying a picnic together and I mentioned how he needed life insurance for his wife and two beautiful little girls; a conversation we had had a dozen times before to no avail.

I tried to explain to him the importance of making sure that his wife and girls were taken care of in case something happened to him. But I wasn’t getting through to him. He would often say lightheartedly, “God will take care of us.” My response was always, “That’s true, but sometimes we have to give God something to work with.” He would always laugh when I said that...

Then I said, “How are your girls going to go to college if you were to die? What is going to happen to this home if you die today? What is your wife going to do for money if you die? Right now, she works at home…How will she be able to stay at home with the girls if she needs to work because you are gone?

He finally bought a policy…a bit reluctantly…But, he bought a policy nonetheless. It was a start; something that he could build upon when he had more money and was more financially secure to buy more. I was a bit relieved and so was his wife.

Just before he died, we had a private conversation at his bedside. My friend never cried, he was a tough guy, it just wasn’t his style. In fact, we would kid around about his “no crying” policy all the time…laughing and accusing him of being a soft-hearted guy at the core and how he was just trying to hide it by acting like a tough guy. He was tough…and he was soft-hearted.

He said to me at that bedside with tears in his eyes, “Thank you. Thank you for shaming me into buying that life insurance. Now the girls and my wife will be able to pay the house off. My wife will have to go to work, but at least she won’t have to worry about the mortgage. That’s a big deal, Tony. Thanks for being my friend.”

He died not long after that conversation. I miss him…and I know his family does as well. But he did the right thing for them…He didn’t leave them empty handed with sleepless nights filled with worry about how the bills will get paid. He left a legacy to carry on.

Now, I know this is a case where I had the courage to speak to a friend, someone I had a good relationship with and who I felt I had the liberty to do some straight talking with; disturbing him as to the possible consequences of what will happen without adequate life insurance to pay for the bills.

Maybe it was easier…But that conversation with my friend was not the first one I had ever had with someone. I have been disturbing people for years! I have other stories chronicling the miracle of life insurance. It's just that my friend's story is the most memorable for me.

I’m happy to have disturbed him…to have "shamed" him, as he characterized my appeal to buy life insurance, into buying what he needed to buy for his family. You would have done the same, I hope.

So in closing, I have to ask you, "How disturbing are you to people?" How annoying are you, so to speak, in order to get people to do the things they need to do for themselves? Have you the courage to ask the disturbing questions of life? Or do you dimiss away the need to ask people directly what will happen to them and their family without insurance protection at the sake of being a "nice" salesperson?

It is possible to be "nice" and to be disturbing at the same time.

I hope the answer to those questions is that you are very disturbing...Because in the end, it's the one annoyance people can't live without.

"To Make Them Thirsty, Make the Well Run Dry"

There's an old English proverb that goes like this, “You never know the worth of water until the well is dry”. In other words, something “valued” has everything to do with something “needed.”

If Sales is a Contact Sport and people are emotionally centered and logically dispersed (buying decisions are first governed by our emotions & surrounded by a cloud of logic in support of that emotional decision) in nature, then it behooves us as sales professionals to make emotional contact with customers; to get emotional with them and strike at the core of what moves people to want to buy.

For insurance and financial services professionals, I suggest the following be considered as a means of achieving emotional connection:

WRECK ‘EM (auto insurance)
BURN ‘EM (homeowners insurance)
KILL ‘EM (life insurance)
MAKE ‘EM SICK (health insurance)

At first glance, what I’ve said sounds cold and irresponsible. But what it is that I am suggesting is that sales professionals resist the urge to “tiptoe” around the hard issues of life that face us all. We should have the courage to initiate the difficult conversations of life in order to make sure our customers are fully protected and prepared as much as is possible. It's our professional and our moral obligation.

All too often, the tendency of insurance agents when broaching the subject of life insurance with their customers is to illustrate a scenario about some fictituos third party person; some hypothetical situation, where an unnamed husband or wife dies and the family is left without money. Rather than illustrating the possibilities with a scenario using the customer’s names and their situation as the elements of the story…the agent defers to the oft used, and unemotional, third party scenario. That is a mistake.

Be direct with people who are sitting across the table from you. Make them the ones who have died. Ask them how their family will cope financially as a result. Use their names to paint the picture of what could be, and will be, if they die without adequate protection. That is emotion. That is what I call contact and making connection with a customer on a personal and emotional level.

For example:

Tom if you were to die today, how would Mary and your daughter, Lisa, and son, Mike, be able to maintain the lifestyle you two have built for yourselves? What would happen to this home? Their college education? How will Mary manage to take care of all those things without you?

OR

Tom, if you were to be the at-fault driver in a serious automobile accident while on vacation, and you, Mary, and the kids were hurt . . . for example you had a broken arm, Tom. What would you do about the medical bills that followed…especially if you couldn’t work to pay for them? Rather than hassle with worrying about whether being “in-network” or “out-of-network” with your health care provider from work, wouldn’t it be worth it to have the peace of mind knowing that adequate medical payments coverage was part of your auto policy? That way, your family could avoid the worry and potential of out of pocket expenses that would follow; and instead can focus on the important things, like you getting better.

OR

Tom, what would happen today if you and Mary were to have a house fire that, unfortunately, was a total loss for you both and you were to discover your coverages were inadequate to fully rebuild?Where would you live? How convenient would it be for you to live with your in-laws?

OR

Tom, if you were to require nursing home care, say as a result of a stroke, how would you and Mary cope with the added expense of your care? How would you be able to afford it? What would you do, in the meantime, for grocery money, utilities, all those expenses that we incur just to survive and live?

It’s true. People never know the worth of water until the well has run dry. So do your customers a favor, and yourself, and have the courage to be direct. Make the well run dry when talking to them...before it really does run dry on them and they have nothing to drink to quench their thirst. We owe it to them to:

WRECK ‘EM
BURN ‘EM
KILL ‘EM
MAKE ‘EM SICK

Stupid Things I've Heard & What I Think When I Hear Them

Take inventory of your language and avoid phrases which can make listeners (customers) defensive or make you sound uncertain; lacking confidence, weak, stupid and even a bit manipulative in some instances.

Here are some of the more common stupid things I hear sales professionals say over the phone and in face-to-face sales conversations and what I think when I hear them.

What I've Heard: "I guess I’ll let you get back to your work"
What I Think:"Quit guessing, I've already gone back."

What I've Heard: "I don’t want to take anymore of your time."
What I Think: “Then don’t, you little thief!”

What I've Heard: "I'm sure it’s time for you to get back to business."
What I Think: “You are sooo perceptive!”

What I've Heard: "I hope this is what you are looking for."
What I Think: “Hope is a good thing!”

What I've Heard: "Would it be convenient for you if I took a few moments of your time?"
What I Think: “Nope, I only have so many heartbeats allocated to me in this life!"

What I've Heard: "I just wanted to give you a call today to see if you'd be interested in...."
What I Think: “That's nice to know."

What I've Heard: "I was recently assigned your file and..."
What I Think: “Now that makes me feel special!”

What I've Heard: "If I could show you how you could save money,you'd want to hear more, wouldn't you?“
What I Think: "Just back me into a corner, why don't you."

What I've Heard: "Could I have a few moments of your time?"
What I Think: “Nope!”

What I've Heard: "Sorry to bother you, but…”
What I Think: “Apology accepted. Good bye!”

What I've Heard: "Is this a bad time?"
What I Think: “Now that you mention it, yes it is! "

What I've Heard: "I was wondering if you might be interested in..."
What I Think: “Well you can stop wondering. I'm not ..."

Other weak phrases and words to avoid include:

Sort of , Kind of, This probably is the answer...or worse yet, This prolly is the answer, It should help, I can’t do that, Won’t, Don’t, I think this should help...

These words and phrases fail to engender confidence between you and the customer. As sales experts, advisors, advocates for your customers, you should never find yourself saying can't, won't or don't to a customer.Instead, you're not able to do something is the better way of saying things.

Also, stay away from phrases like, to be perfectly honest, or to tell you the truth. What? You mean you haven’t been perfectly honest with me or told me the truth until now! See how that sounds.

Additionally, you know, pretty much, and what not are over used phrases that serve only to weaken your language and the perception the customer may have of you ever being a competent and capable insurance agent. These phrases are momentum killers in the sales conversation. Just drop them from your language altogether.

Use positive mental words such as: You, We, Us, Together, Work Through, Thanks, Great, Wonderful, Terrific, I’m glad, Happy, Satisfied, Enjoy, Productive, Answer, Idea, Improve, Fix, Help, Relieve, Discuss, Value, Smart, Determine, Choice, Variety, Brilliant, Excellent, Powerful. Words like these have energy and conjure positive images in the mind of the listener.

And please, don’t be guilty of these common violations of the English language:

Wrong way of saying it: Irregardless …
Right way of saying it: Regardless …

Wrong way of saying it: Mute Point …
Right way of saying it: Moot Point...

Finally, there's Ba bye...How about using Goodbye or Thank you, have a nice day. Saying, Ba bye, sounds like the verbal equivalent to Okey Dokey...How professional does that sound?

I know I'll lighten up!

"It's the Difference...That Makes the Difference"

Growing up, I loved watching Jack Niklaus on the television set golfing with such greats as Lee Trevino, Arnold Palmer, Tom Watson, Gary Player and Tom Weiskopf to name a few. He was great to watch. My father idolized him; calling him the greatest golfer that ever lived. Now Tiger Woods, with his current list of titles notwithstanding, still has some work to do in order to assume the crown from Niklaus as greatest golfer ever.

In any event, at his peak, Jack Niklaus is to have reportedly earned approximately $400,000 in the 1960s while on the PGA tour; an extraordinary amount of winnings particularly for that era.

There was another golfer, a contemporary of Nicklaus' by the name of Bob Charles. Although a good golfer by anyone’s standard; good enough to have achieved professional status as a golfer and a place on the the PGA tour, he was not as successful as Nicklaus. In fact, during that same timeframe, Charles made about $40,000 while on tour compared to Niklaus’ $400,000…a difference of about ten-times less. That’s a huge difference in income and an amazing contrast between two men who played the game of golf professionally.

But even more incredible than the difference in their respective incomes is the level of play, or performances on the golf course, between the two men that earned them their individual incomes and the differences in the two. You see, Jack Nicklaus’ actual performance per round of golf was less than half-a-stroke better on average than that of Bob Charles’. Wow! The difference between the greatest golfer of all time and his high income and a very good golfer without nearly the income was less than one half stroke per round; really amazing when compared to the small difference in their actual performance.

What does this tell us about ourselves; our profession and the noble pursuit we as insurance agents and financial services providers work towards everyday? Better said, what should it tell us about ourselves and our profession and the pursuit of excellence and the honor of being the best professionals we can be?

Oftentimes, the difference between good and great is a small thing; an extra call to a customer about life insurance, a handwritten note to comfort someone who was in an automobile accident or that one more appointment set in order to achieve your production goal for the month.
Whatever that little “extra” is, just do it. “Up your game” just one half stroke more each day so you can get the advantage over the competition that you deserve; so you can be happier and enjoy an income that your rivals will envy.

It’s true…It really is the little things that we do that make the biggest difference in our lives and in the lives of our insureds.

It’s the Difference…that makes us Different.

"Brief is Better"

In 1863, Abraham Lincoln delivered one of history's most famous and remembered speeches--the Gettysburg Address.

It was 273 words and took only 2 minutes to deliver. The main address that day which preceded Lincoln's address was given by Harvard president and statesman, Edward Everett, who was considered to be one of the greatest orators of his time. Everett's speech lasted 2 hours.

Of the two, which speech is the most memorable or talked about by historians? Of course, it is Lincoln's Gettysburg Address that is remembered and revered.

Now consider present day history. How long was your last sales presentation? Did you consciously and strategically present a powerful and pursuasive sales conversation? Or, did you give in to the urge of telling the prospect everything you know about auto or life insurance, rambling...if not a lot, then maybe just a little.

Brevity is the Soul of Wit and Wisdom

What does that mean for the insurance and financial services sales expert? It means that you should keep your sales presentations on point; direct and well thought out and planned. At least, that is what the "wise" sales expert would do.

Listen People into Buying

Talk Less. Not only will a concise and purposeful sales presentation positively effect the enthusiasm of those listening to you, but it can also impact your own morale during the effort.

(Those of us who've had someone look at their watch more than once while presenting know the negative psychological impact a bored prospect can have on the momentum of a sales conversation.)

Invest some time in deliberately pruning your sales presentations for unneeded discussion points and statements. For every point and every line you script out ask, "Why is this needed for my presentation?" If you're not sure of the reason, cut it out of the script. Lean and effective is your goal.

Remember to have a game plan when it comes to your sales presentations. Think of it as a road map to effective communication and persuasion. Plans allow for flexibility and the liberty to deviate as the situation dictates. Without a plan, you've got nothing to deviate from or be flexible with!

Some People's Definition of "Listening" is Waiting for Their Turn to Talk.

Listening isn't just hearing...and it isn't waiting for your turn to talk either...which is all too often how most people define it. No, listening is understanding; understanding how our customers think and feel at that very moment while they sit across from us and tell us "their story." That's connection. That's personal power as a sales expert.


Listening is the highest form of persuasion and one of the greatest compliments you can pay someone. For if people perceive they have your full attention, that you are listening to what they are saying, they will in turn listen to you. ..and be endeared to you and loyal as a customer.

In order to be a good listener, avoid preoccupation. That is, avoid thinking of something else when you are supposed to be listening and thinking about the customer in front of you. I know at one time or another, we are all guilty of being preoccupied. Our days are busy, family concerns press upon us, work is stressful; so it's natural for us to wander off at times when these thoughts or images push to the forefront of our minds and divert our attention from the customer sitting before us. I understand that natural part of the human condition. What isn't natural is the disciplined approach of "paying attention" to the customer.

I was at Lowes a few weeks back trying to buy some deck stain. I was talking to the "sales professional" in the paint department explaining to him what I was wanting to do. As I was speaking to him, telling him that I wanted a semi-translucent stain versus a paint medium that doesn't allow the wood grain to show, he was looking beyond me; somewhat distracted. I don't know what he was looking at. It was brief, ever so subtle and barely perceptible, yet obvious to me…the customer. He was somewhere else, mentally...not present with me listening to what I wanted and needed. And it didn't make me feel very good to know he didn't hear a word I was saying.


That fact was further evidenced when, no sooner had I told him I didn't want a paint medium that covered and hid the wood grain, did he proceed to show me a paint medium that covered and hid the wood grain!

Now in my case, it was a small matter. I was just looking for the right deck stain. But the feeling is the same no matter what the buying circumstance. He wasn't listening to me and he wasn't giving me his attention…a most awful feeling from the customer's perspective. Consequently, I decided to go to a different store that was 30 minutes away to spend my money. Why? Because at Lowes I didn't feel special, valued, validated, or whatever word that could be used to describe that feeling of being ignored and not made to feel special. And whenever I'm spending money, I want to feel as good about it as possible. The last thing I want to feel is unappreciated for spending my hard earned cash.

So here's the single best thing you can do for yourself, and your customer, when it comes to improving your listening skills. Are you ready? Now this is revolutionary and "out of the box" kind of thinking. But I'm willing to share the secret with you even though it might be a little intellectual for some of you. The best thing you can do to improve your listening skills is to LOOK PEOPLE IN THE EYE. There you go. I said it. Now you know the secret to making people feel good about you and feel good about spending money with you...That secret is listening to people with your eyes.

That simple act is one of the most powerful techniques any sales expert can employ to improve their listening skills and to gain a favorable footing with a customer quickly. If you think most people or sales experts already look people in the eye, I challenge you to do your own independent study of sales people in your day-to-day life. See if they do it...look you in the eye; when they are "selling" you something. Ask yourself, "Are they intently fixed" on what I am saying; are they undistracted and interested only in what I am saying as evidenced in their eye contact with me? I think you will be surprised at what you "see."


People don't just communicate through words. They also communicate and persuade by the tone of the voice and in the visual realm in terms of body language, gestures and a "look." All these are cues and keys to good listening and convey either a positive or negative message to the customer depending upon their use...or lack of use.

We are intuitive creatures. We pick up on the subtle distractions that draw a person's eyes away from us betraying their boredom, or worse yet, their disrespect for our need to be heard, paid attention to and validated as individuals and consumers. So when someone fails to look at us and fix their eyes and attention upon us, we don't get a good feeling about them or our prospects of getting what we need. Now just imagine how it must feel to our customers when we fail to look them in the eye and give them our full attention.

So the "eyes" have it! Do you want to make your customers feel good, feel special and valued? Then look them in the eye and you'll hear every word they say. In turn, they'll love you for it!

Experience is Not the Best Teacher

“The world comes to me as a fact, but I decide what to conclude from here.”
Peter Block
The Answer to How is Yes

What is an experience but the present moment of a particular circumstance? They are as fleeting as they are arresting; as real as they are imagined; and as useful to us as they are benign. Experiences are like the sounds of the pendulum’s swing rushing through the air one moment, while telling the lessons of time about the dial in the next. They are all around us, but alone, experiences are neither good nor bad, right or wrong, worthwhile or a waste, at least not until they are reflected upon and given relevance and meaning as a result.

Thus, experience is not the best teacher; rather, it is reflected experience that is the best instructor of life. Not until something becomes relevant to a person can it ever affect a change in their behavior or thinking. And not until something is reflected upon—a past experience that is pondered, considered, and internalized in search of its meaning and lesson, can it ever become relevant.

Relevance is Discerned through Reflection. Change is Made through Relevance.

It is at the point of relevance, or realization, that our experiences become useful to us; they change us and we discover whether the experience was good or bad, right or wrong, worthwhile or a waste. Therefore, reflected experience is the only effective means to get people to change, grow and be successful.

What Does All This Mean to the Sales Professional?

Beware of amassing a lifetime of sales experience that yields no value aside from the commission. Beware of a life that says twenty years of sales experience equates to superior sales prowess and success. It’s a virtual proverb when the word “experienced” is uttered that it means no more than that a person has accrued a lot of time in a particular industry. How sad?

“Experience counts for nothing” in many instances. Why? Because sales professionals often never take the time to reflect upon those experiences so they may learn and grow and become a better person and professional as a result.

Reflection is Evaluation

Evaluate your activities and your sales conversations. Let others do the same. Be honest with yourself when doing so—analyze your marketing efforts and your sales techniques. Formulate a simple means (i.e. checklist) that causes you to reflect from time to time on your daily, weekly, monthly or yearly experiences.
It is not all that important how often you reflect upon your experiences as a sales professional, nor is it that important how you evaluate yourself, either. What is important is that you “do it.” Plain and simple as it sounds, schedule time if you have to to reflect upon your business activities and results. The outcome will be growth for you personally and professionally.

A Final Note on Reflected Experience

Never expect training to change behavior or to provide a pathway to personal and professional growth. Training, particularly classroom sales training, has no real value in many organizations. Why? Because most training is very brief, impractical and lacks a “reflection” component. In my current professional capacity, I am extremely fortunate to be a part of an organization that recognizes the need for reflection & evaluation along with the "block & tackle" work of training on product and marketing systems and sales techniques. But my situation is very unique...and that is why we see such success among the ranks of those agents and leaders we work with and develop. But not everyone has what I have.In fact, most organizations as I have mentioned, fail in the follow up and reflection piece of the learning model.

“No one is going to change as a result of our desires.”
Peter Block
The Answer to How is Yes

Many Learning & Development divisions within sales organizations fail at achieving positive change for sales professionals because oftentimes a “follow-up” component (reflection + evaluation of sales experience) is missing in their training model. Those units would be more accurately named “Learning” rather than “Learning & Development” because little to no development ever actually occurs.
Don’t be like so many other sales professionals or organizations, who never take the time to reflect upon their sales and marketing experiences in order to learn from mistakes and successes.

Experience is Not the Best Teacher. Reflected Experience is the Best Teacher

"Psychological Reciprocity," Now Say That Three Times, Fast!

There is a concept in sales called, "psychological reciprocity." It's a fancy way of saying, "I give you something...you give me something back in return!" It's an "everyday" concept that we've all used at one time or another. It's often described as a feeling of indebtedness. I liken it to a visit to my in-laws. They always cook up a nice meal when we go over to visit. After eating at their house, I feel obligated to be sociable and make "small talk." I don't necessarily want to talk to them...but I feel obligated to...After all, they did just feed me. So, you see how it works. Bad illustration, right. I was joking...I think!

Really, this is a powerful concept and used by many successful sales professionals either at a first contact face-to-face meeting of a prospect who they are hoping to set a sales interview with, or at the point of sale, or following a sales interview. Mentally, this concept speaks to how people naturally feel obligated to give back to you something in return for your giving them something...first.

Now this feeling of indebtedness, or reciprocal behavior, can come in the form of a sale. That would be the ultimate goal. Or, it can take the form of the prospect being increasingly willing to talk to you and be open about long term care insurance or hospital income discussions, auto insurance; just about anything. Whatever the form this reciprocal behavior takes, it will be a positive one for sure.

So here's my suggestion, take a look at the marketing materials and promotional pieces that you use to attract customers to your storefront or website, etc. Keep those at your desk , pre-positioned, ready give to your customers as a part of the interview routine. A nice giveaway piece might take the form of a business calendar with your branding on it. What you give is not as important as "that" you give something.

Offer a refreshment; coffee, soda or a bottle of water. Even the small "giveaway" promotional pieces that many agents have available to them , no matter how simple and inexpensive they may seem are effective in triggering this important human reaction.

Customers do respond positively to our generosity and good natured message behind the gift. Never…Never…Never...underestimate the power of generosity. And never...never...never...be without a gift, an item, an offer of something to your customers particularly when first meeting them. To do so is to miss out on an opportunity to differentiate yourself and to ignore the power of psychological reciprocity.

The transaction of business…whether it is a direct sales interview or the payment of a bill…is never emotionally neutral. Remember, people are emotional creatures and want to feel special and appreciated. Buying is emotional first…and rational second. Touch customers on the emotional level. Give them what they want.

Sales is a Contact Sport!

Finally, when visiting business establishments for the first time, do as many of other successful sale experts have and put together several simple pieces in a "nice" looking folder to leave with your business card inside. The emphasis here is on a clean, simple, and professional looking handout. Less is more.

Don't clutter it up with a lot of stuff. Business people are busy with "business." They typically have no time for chit-chat & confusing literature to trudge through. They appreciate simplicity and "to the point" approaches...for the most part. Also, don't forget to have your "infomercial" about who you are and what you're about ready to give as well. Then, follow up with a phone call to set an appointment.

"You Can't Build a Reputation on Things You are Going To Do." Henry Ford