Recent News & Updates

Winning the Pitch IS a Beauty Pagent

As I’m sure a few of you know OCEAN CITY was looking for another agency… a tough pitch if there ever was one. Filled with many decision makers, interested parties, politics, back room deals, and of course all done in a very public way.

Or not. It seems the powers that be decided to hold the pageant behind closed doors:

After months of often heated deliberation and debate from city staff, elected officials, and members of the business community, the search for the town’s new advertising agency appears to have come to an end, as eight agencies walked in the beauty pageant this week at the Roland E. Powell Convention Center in front of the judges, who included the city council, the mayor, and voting members of the tourism commission.

Hidden in this gem is the fact new business IS a beauty pageant. Time for your best and brightest to shine. The power of your presentation is only as good as the team that delivers it. And there is something to be said for how they look.

Is your team filled with “old timers” who have the experience when the Key Decision Makers are all youthful 30 somethings? Then perhaps you are missing a key point of Winning The Presentation.

Make sure you have the right team that understand the power of CHEMISTRY!

In the end Ocean City decided to stick with the the status quo:

"They have been working with the company for years and feel comfortable with the relationship."

Huh... focus on the relationship!

Understanding Chemistry Pays Big Dividends In New Business

A call came in from a small agency in with a big challenge.  The agency wanted to win the advertising account of a well-known manufacturer located nearby.  The product is very prestigious and is a well-known brand.

The agency president knew the president of the manufacturer informally from local civic events but didn’t know how to proceed.  He asked for advice.

The agency had prepared a high-powered PowerPoint presentation on the firm’s capabilities with emphasis on the agency’s creative fire power.  The agency president wanted to start our assignment with a review of this 80-page deck.  

We started with profiling.

The agency president described the prospect as warm, friendly, non-assertive, very people oriented, slow to make decisions and a family person.  Knowing profiling, we knew right away he was a Logo.

Our recommendation?  Out went the presentation (never reviewed) and in went a casual meeting (carefully arranged), followed by an invitation for the Logo and his wife to a family dinner at the agency president’s home (carefully set up) which was followed by a discussion in front of a fire place on some spec research (Benefit Testing) that the agency had just finished that called into question how effective the manufacturer’s advertising was.  Risky but needed to break through denial.

The president asked to see the research, came to the agency several days later early in the morning, spent 20-30 minutes drinking coffee and enjoying some warm fresh bread with the senior staff (carefully staged).  Then the research was casually reviewed one-on-one.  No creative.  Within two weeks, the account, worth millions, was bagged and the agency was suddenly very famous.

Two days work for us. A great new business win for the agency.

Photo: Astrid

After Pitch Ad Agency Learns Hard Lesson in Negotiation

The pitch went like clockwork, the prospect was ready to go, and the only thing standing in the way was “how much?”

Then everything went south, fast. The agency president, thinking he was the best qualified to negotiate walked into the meeting ready for bear, only to walk into a bear trap. The president was talking money, the client was talking results. The president was talking relationships, the client only wanted results. The negotiations lasted several months – with both parties getting more and more frustrated. In the end, the agency lost a great account. A classic example of just how important Chemistry and understanding can be. The next agency that walked in did a fast close, won the account in 48 hours, and kept their eye on results – and the client was more then willing to pay for.

But this is not the only example. We were called in to help in a new business pitch, and during the course of our work, it became apparent that the two principles were not getting along. Over dinner one of the principles informed us that he was trying to buy out the other, and they could not agree on price. Lawyers and money were going to be called in to break the stalemate. Both sides had already discussed it with their attorneys, and felt they held the upper hand. And of course the lawyers were ready to fight.

We offered to help mediate, and spent several days working with them. What we found was it really wasn’t about money, though a major part, but it was more about prestige and recognition. A couple of days of our time and we had a signed letter of agreement. Both parties were happy with the results all through negotiation.

Cross-Town Merger: One Plus One Equals Three

This general agency in the Mid-Atlantic region was strong at new business but weak in interactive. They did a search looking for a cross-town merger candidate. Within a few days, a suitable interactive firm across town was located and, almost as expected, the interactive firm was very good at interactive but weak in new business. A quick acquisition was agreed to, made, and the interactive firm was moved, staff and all, into extra space within the agency at a nice savings in rent and other back-office expenses. With the work put into the firm in the first 12 months from existing accounts and a few new business wins run by the general agency the top line expanded nicely. With it, when combined with the reduction in operating costs, the interactive firm is now 100% paid for. The interactive firm owners have retained some ownership but their firm has been successfully re-branded so it can compete on competing accounts without any complications. It’s really a matter of keeping the business cards straight but both firms are prospering and the agency owner considers it one of the best moves he has ever made. Cross-town mergers can pay big dividends because of the immediate savings in expenses, the ease of working together because both firms are in the same city, and the advantages of combining skills that benefit the other side. Growing the old fashioned way is often overlooked but it can be one of the best ways to grow.

Ad Agency Learns "Less is More" In New Business

Two weeks after Torch Training, a 20 person agency received a tip – a national hotel chain was unhappy with their current agency.  The principle gave the lead a call, introduced himself, and gave a nice elevator pitch.  After a brief conversation, the marketing vp, a very nice woman, early 50’s and lots of experience with agencies, agreed to a visit. Following our rules for first visits, two agency people went and successfully played agency baseball: they went in holding nothing but their cards and a notepad.  They worked chemistry, built trust, and gave a short description of the agency. 

Then they asked about what her needs were. Total time into the meeting – three minutes. 

The principle of the agency told me that the look on her face was priceless. She reached down and pulled out a thick folder and launched into a full discussion of what the firm needed.  The agency people started taking notes.  An hour and a half later the agency had all the information we recommend, and ran out of the building. 

They followed up with a Quick Response Conference Report.  An hour after the client received it she gave the agency a call and said “finally, somebody gets it, you have the project”.

But it doesn’t stop there.  The agency invited her to the agency a visit (agency tour).  She agreed, and they are now redecorating the agency to set up a fast close for the whole account. 

Wholesale Changes Jump-Start New Business

Situation: A 25 year old design studio with 7 full-time employees located in the mid-west came to realize that, while they had successfully transitioned from tactical, project-based work to more strategic branding based services, they needed to reposition themselves in their market and accelerate their new business efforts.

Background: Over the past 3 years, the firm had developed a solid “black box” process and has been using it successfully with all current clients. 90% of new business came from referrals resulting in an average of 1 warm new business lead a month.

Approach: The agency’s leadership team participated in a two-day session where Sanders Consulting delivered a modified version of our new business training programs - Benefit Testing and High Ground. High Ground focused on helping the agency organize, present and deliver consultative based services, while Benefit Testing covered techniques that enable the agency to fast close and pitch new business opportunities. The team quickly determined that it needed to examine its brand, what it was being expressed in the market and how its services were being interpreted by its prospects. They also decided to transition it’s positioning from design studio to that of a full-service Marketing-Communications firm in 12 to 24 months.

With this goal established, the agency set to work on growing its core business to support the transition.

Action: The agency refined its outreach, prospect management and prospect interviewing skills using the Sanders Consulting Spark and Torch new business system. The new agency incorporated Benefits Testing and its strategic development process into its new business approach. Consistent with the goal of transitioning into a full-service agency, the agency focused all new business efforts on building its current base of clients and job types. New marketing materials were produced to better communicate the agency brand, positioning and value proposition.

Results: Within 90 days of initiating this effort, the agency is generating 10-12 warm new business leads a month resulting in first visits with potential clients. Two existing clients have been identified for Benefits Testing. One of these has been shown Benefits Testing and has expressed interest in expanding its research. The new marketing materials are being utilized and have been well received. Current plans include the redesign of the agency’s website. The most notable result has been an invitation to pitch a $250,000+ Phase I opportunity for a notable brand in its market. The agency is up against one other firm (a 1,200 person multi-national advertising agency).

Photo: ribosomis'

Marketing Firm Learns Hard Lesson | New Business Consulting Helps

The head of account service (we'll call him "Tom") at a fast-moving regional agency was on a roll.

Tom had just closed the largest account in the history of the agency, and he was using the win to open doors on his prospect list. There was a buzz in the air, and the street was talking. Tom wanted to use it for all its worth. But there was one prospect that Tom really wanted, and he had never been able to establish a connection. Tom had nudged with articles, followed up with some invitations to several agency functions, and even sent some new research to try and get a response. Nothing.

Then one day, at a trade show, they bumped into each other. When Tom introduced himself the prospect immediately recognized his name. The conversation was brief, but there was a connection. As the prospect started to walk away he suggested "there may be something in the works," and "why don't you stop by next week."

On the day of the meeting, Tom and his team came in looking like a million dollars. They wowed the prospect with all sorts of great thinking, wonderful ideas, and impressive results. It was a great show, a really outstanding show, the best show they had ever done. Only, after they left, the prospect did not return any of Tom's calls. What happened?

Another agency came in for a First Visit, followed the rules, built trust, discovered needs, did a Fast Close, and walked away with the account. A year later we were in Tom's firm doing some training when he found out about Agency Baseball. They had failed to build Trust. When he relayed this story the pain was obvious in his voice; it still hurt.

By following the training from the leaders in new business consulting, Sanders Consulting Group, Tom went on to land the next First Visit opportunity.

Agency Learns How to Win New Business Without Pitching

Sanders Consulting Group recently had been brought in to help train a mid-sized advertising agency in a new business strategy built around avoiding RFPs and not participating in organized pitches. This strategy uses a more consulting-type approach called First Meetings whereby the agency uses this get-together to build trust and then probe for needs in a process we teach called Discovery.

Once a good Discovery process has been completed, there are usually five different places where the agency can assist the prospect. We caution that now is not the time to try to close, but rather depart, confirm what you learned in a Quick Reaction Conference Report, and then call with the good news, 48-hours later, that you have solutions that you want to present. This is the process we call the Fast Close, and there are two versions, one in 48-houea and one in seven days.

Now three weeks after this training session, the agency president sent me an email on her appreciation of the situation in her new business wars. “We’ve been using the First Meeting format and so far it has resulted in positive feedback and hopefully, shortly, some new business. Let me explain what’s happened. We now meet the prospects without any deck, leave behind, or anything. And this is a big change for us. Let me tell you about our most recent First Meeting call. We encourage the potential client to tell us about her challenges, which she did for 1 ½ hours. When you said these First Meetings would take about between an hour and two, I didn’t believe it. Now I see how true that is.

“On another call, we used the Fast Close for the first time. I can honestly say I’ve never seen our team present as well as when they went in with Process Sheets and not a deck. At the end of the presentation, one of the prospects stood up and said, ’Wow, that was really refreshing! Do you know how many boring PowerPoints we sit through?’ My teams are very motivated by this new approach. And I know I will have some big results to show for this new way of working.”

I believe new business is a war. There is a winner and often many losers. You’re fighting for the account against other agencies that are trying to hold onto the account or trying to win it from you. So why use the same, old, tired strategies everyone else is using. I grew up in Virginia where Col. Mosby built his reputation in the Valley against superior odds with a different strategy of getting there, in his words, “ the firsest with the mostest.” Learning how to go for the close in 48-hours follows that winning strategy perfectly.

 

Illustration Credit: http://www.davidpascal.com/jsdbooks/pictures.html

Ad Agency Discovers Too Many Leads | Reception Pays Dividends

After a recent DayOne at a mid-sized regional agency the leadership team decided to try our "Watering The Grapevine" vendor reception. To quote the agency president:

"It seemed too simple. Hold an agency reception. Ask the right people over, discuss the agency, and ask for some leads. We had to be missing something."

The reception went off without a hitch. Almost everyone attended, just like we said they would. A good time was had by all. And then the leads starting coming in.

The creative director called to tell us that in the past two weeks he's had over 20 leads, and 5 good visits. Then he asked us the kicker - is there anything he could do to slow them down? 

Regional Ad Agency Leaps Over Competition | Wins Business

We were hired to assist regional agency in a formal presentation to an economic development council for a major region of the country. Based on findings from our proprietary brand research protocol, firm made recommendations to the leadership council to rename the council, change key corporate identity brand elements, adopt a new advertising theme, and switch to a new public announcement program. All recommendations were adopted without any changes even though the process was highly charged with put-us-first agendas.