If clicks could talk: Five things they’d say about selling
MLS agents are the Kings and Queens of selling. We build our empires on millions of transactions and every one of them is a sale. Every transaction is a successful close. Every time someone says yes to our merchants, we all do a little bit better. Imagine all the sales that occur every second, over dial lines, Ethernet/IP, WiFi and cellular networks. That’s an oceanic current of positive energy, and it’s keeping our lights on, too!
Imagine if we could sell that much, that fast. Imagine walking into a new merchant, having a handshake and going back to the office with an approved merchant application. The good news is: It really can be that simple! If we build the right kind of referral networks of happy customers, they will begin to look a lot like the electronic networks that manage all the credit card transactions. That’s right, “If you build it, they will come!”
What else can we learn from our clicks?
1) Trust: Today, Payment Card Industry Data Security Standards (PCI DSS) are a critical part of every merchant’s processing. Transactions need to be “cleared for take-off” by using industry compliant hardware and software. It’s also a good rule of thumb when you meet with prospective merchant customers to ask yourself if the business owner and company meet your own standards of respectability. If there is any question in your mind about the person’s trustworthiness or the legitimacy of their business, walk away. When you see them on a Most Wanted poster at the Post Office, you’ll be glad you paid attention to your instincts.
2) Technology: Clicks are only as good as the hardware and networks that manage their itineraries, from point of entry through authorization and settlement. Technology is their ride, and it also speaks volumes about who we are and what we do. Are you a Mercedes or a Yugo? Our merchants deserve the very best equipment and processing software systems, which will deliver fast response times and won’t break down when they need it most. How often do we hear from merchants about machines failing in the middle of their peak season? Let’s create our own Cash-for-Clunkers programs and let them trade in the old lemons for modern processing systems. Remember, whatever they use is a direct reflection of us and our companies.
3) Support: Sometimes a transaction will fail on its way to an authorizing host. What happens when the system says, “No response from host?” As we all know, network and hardware issues are a fact of life. Support is a critical component of building long-term relationships with your merchants. You can have the hottest looking machine out there and split second transaction times, but none of that will matter if your merchants are placed on hold for fifteen minutes when they call your Help Desk. Let’s keep them happy with unprecedented customer service.
4) Back-up: Transactions have two primary objectives: get authorized and get settled. If their primary method of communication goes down, they search for a secondary method. For example, if a transaction can’t be transmitted on Ethernet/IP, many systems will “fail over” to dial. The concept of having a secondary way of processing is a great way to keep merchants productive. Some of these fail-over systems are so smooth that merchants don’t even know when a fail-over has occurred. Fail-over or having some kind of back-up plan is also an essential part of any good processing system. Offer your merchant a virtual terminal that will stand in for a credit card machine in the event of equipment failure. Sell them peace of mind with a monthly merchant club membership that will get them an overnight replacement if their terminal breaks.
5) Value: Clicks are just clicks, right? Not if you consider the many ways that cardholders use their credit cards to get points, miles, or extra float on large purchases. You could say the same thing about our business. Is it just a machine and a rate, or are you offering your merchant customer an extension of their brand identity and business? What additional value can you offer your merchant that sets you apart from your competition and gives them some bragging rights too?
Click on!
To summarize, there aren’t too many people who understand the complexities of the merchant services business, a multi-billion dollar industry built on gazillions of tiny little transactions. Merchants sell, cardholders buy, and we’re the people who make it all possible.
Although we’ve all heard that we’re in a recession-proof industry, we also know how competitive it is out there, and how fast technology is changing. If clicks could talk, they’d probably thank us for everything we’re doing, and tell us we’re doing a great job. Hopefully, we’re hearing that from our merchants as well.
This article originally appeared in the December 2009 issue of Merchant Times, a publication of Performance Training Systems. http://www.surviveandthrive.biz/
Crossing the POS chasm
By Dale S. Laszig
Castles Technology Co. Ltd.
Now that 3-D technology has entered our living rooms, older 2-D movies may begin to look dated and flat. Acceptance of the new technology will vary among consumers.
* Innovators will experiment with 3-D software to improve their viewing experience.
* Early adopters will form long lines at retail stores when the newest Blu-ray players come to town.
* Early majority consumers will read Consumer Reports and compare prices before buying.
* Late majority consumers will wait until the industry agrees on a universal standard for formatting and viewing 3-D movies.
* Laggards will make their move when 3-D technology becomes so mainstream that it’s no longer expensive to buy or time-consuming to set up.These are the five stages of the high-tech product adoption cycle. Most merchant level salespeople (MLSs) have seen the same buying patterns among merchants.
Stepping stones
Savvy MLSs understand the importance of fine-tuning sales presentations to each group’s unique buying habits. They recognize each group represents a stage in the product adoption cycle, like stepping stones that lead from one sale to another. Some stones are close together and easy to walk across; others are so far apart that reaching them requires dexterity and a leap of faith.
According to Geoffrey A. Moore in his book, Crossing the Chasm: Marketing and Selling High-Tech Products to Mainstream Customers, the biggest chasm in the product adoption cycle is the one that exists between bleeding-edge early adopters and leading-edge early majority customers.
Bleeding edge
Early adopters are proud to be first to try new technologies. They are willing to endure the slings and arrows, software bugs and hardware issues that frequently accompany product introductions. Moore wrote that by “being the first to implement this change in their industry, the early adopters expect to get a jump on the competition, whether from lower product costs, faster time to market, more complete customer service, or some other comparable business advantage.”
Leading edge
Early majority customers, according to Moore, want “evolution, not revolution.” They look for ways to improve operational efficiencies without being on the “bleeding edge” of technology. Per Moore: “They do not want to debug somebody else’s product. By the time they adopt it, they want it to work properly and to integrate appropriately with their existing technology base.”
The great divide
Progressing from early adoption to early majority selling is easier said than done. Differing priorities and outlooks create the chasm between the two groups, according to Moore. “Because of these incompatibilities, early adopters do not make good references for the early majority,” Moore noted. “And because of the early majority’s concern not to disrupt their organizations, good references are critical to their buying decisions.”
So if the only way to convince an early majority customer is to furnish references, and the only available references come from early adopters, how do we manage the transition? Here’s where dexterity and the leap of faith come in.
When change is not optional
Sometimes new technology is not optional, but mandatory. The Payment Card Industry (PCI) Data Security Standard (DSS) require all merchants, processors and third-party service providers to follow specific guidelines for transmitting, processing and storing cardholder data.
Regardless of where your customers fall in the product adoption cycle, they all need your advice about creating security strategies. If you are promoting an upgrade to a noncompliant hardware or software platform, educate your merchant about the need to meet industry requirements and the consequences of failing to do so.
A leap of faith
Although it may seem a bit challenging at times, bringing new technology to market can be tremendously rewarding for you and your customers. Accept the assignment; you’ll find a way to get it done.
Problem solving
Most customers enjoy complaining, and smart sales people listen carefully when they do. Because when we really listen, we can locate their problems and their pain. Is the problem treatable? If nothing is done, will it get worse? Sometimes the risk involved in doing nothing will outweigh the risk of trying something new.
The art of persuasion
Customers buy for different reasons. Brand loyalty, price sensitivity and special event promotions are among the top three motivators.
* Sell a brand extension to a customer who has been faithful to a product line. Emphasize the similarities between the old and new products. State compelling reasons for why the updates by the manufacturer make the processing platform the same, only better.
* Create special incentives for a price-sensitive customer and demonstrate how the new product or service will save money while improving an existing processing system.
* Limited time offers will create a sense of urgency and resonate with any customer who is attracted to special sales and promotional events.
Take the path of least resistance
The next time your company rolls out a new solution, whether it’s a value-added application or updated hardware or software to meet the PCI DSS, think about your diverse population of merchants and their equally diverse buying habits.
It will be easier to sell to early adopter and early majority merchant customers than to try to convince the late majority and laggards to get on the bus.
Be a change agent
Be aware of the buying habits of your customers, and customize your sales presentations to their unique opinions and perspectives. Then go sell them something. Don’t worry about whether it’s too early or too late. You’re there; they’re listening.
Do some trial closes. The sooner you begin to make the sale, the sooner they will come around to buying. Early adopters will usually get there ahead of the laggards, but you’ll always find some wonderful surprises.
Originally appeared in The Green Sheet, Issue 10:04:02, April 26, 2010.
© Dale S. Laszig, Castles Technology Co., Ltd.
Please include this copyright notice when reprinting this article, and link back to this site when reprinting or quoting.
Ripples on the mobile Web
By Dale S. Laszig
Castles Technology Co. Ltd.
There’s a theorem in quantum physics that the observer affects the observed. That’s certainly true for the mobile Web, a shape-shifting phenomenon that’s changing our world. Each end user has a ripple effect on the mobile Internet and its always-on, always-connected community. Even die-hard laggards have been dragged into the mobile age, in which access to friends, colleagues, e-mail, Internet search and social networking is only a click away.
The next big thing for merchant level salespeople (MLSs) is to start viewing the mobile Web as a profit center. Following are 10 top trends in mobile computing that can help merchants create unique mobility strategies to stay connected with customers.
1. Mobile commerce
Rising popularity and falling prices are helping mobile payments go mainstream. Merchants can choose to process payments on portable credit card terminals, smart phones or laptops paired with card reader peripherals that communicate via cellular networks or Wi-Fi. Even brick-and-mortar merchants occasionally travel or attend tradeshows. These portable and cost-effective solutions can be taken along on business trips to securely manage cardholder data, expedite settlement and deliver lower card-present discount rates.
2. Micropayments
The ability to transfer money and make payments from mobile devices offers hope to a global population of unbanked and underbanked consumers. The Bill and Melinda Gates Foundation committed $12.5 million to fund mobile banking in the developing world. The Financial Services for the Poor Initiative is a far-reaching plan to make microfinance and savings accounts widely available, and a call-to-action for payments industry professionals.
“We believe this is a historic opportunity to make financial services accessible to billions of people in the developing world,” the foundation’s Web site states. “New technologies and innovative partnerships make it possible to create a ‘next-generation’ banking system. Working together with banks, governments, mobile phone companies, retail store chains, and others, we believe it is possible to deliver quality savings accounts and other financial services to the doorsteps of the poor.” (Visit www.gatesfoundation.org for more details.)
3. Mobile CRM
Customer relationship management (CRM) began years ago when companies attempted to understand customer buying habits and preferences. Today’s CRM is a nuanced and interactive relationship, controlled more by consumers than the businesses they patronize. These days an opt-in message on a mobile phone can lead to an impulse buy, and customized alerts keep consumers aware of bank balances and sales.
4. The mobile Web
Just as films are restructured for DVDs, corporate Web sites are provisioned for the mobile Web, with automatic mobile versions that can be read on a number of hardware platforms, including the Research in Motion BlackBerry, Google Inc. Android and Apple Inc. iPhone product lines. Mobile Web sites need to be clear, attractive and easy to navigate on small screens.
5. SMS marketing
An increase in unlimited text plans offered by wireless carriers has accelerated short message service (SMS) usage, not just by teenagers but across the entire demographic spectrum. Businesses have found innovative uses for text messaging, such as over-credit-limit and payment-due alerts, event reminders, polling and opt-in messages for customers who would like to be notified about specific promotions.
Enterprise SMS solutions help businesses stay connected with their remote workers and customers through programmable, customized broadcast messages. Programs offered by third-party providers enable administrators to download entire databases into smart phones, forward responses to e-mail addresses, and use additional tools to manage data and trend analysis.
6. E-mail marketing
Now that we’re using our phones to check e-mail, doesn’t it make sense for companies to increase the frequency and variety of targeted e-mail promotions? It’s a great way to stay in front of customers while continuing to build brand value. E-mail is less invasive than telemarketing. It also has a better chance of reaching its target audience by virtue of reaching consumers however they happen to be logged on, whether via smart phones or desktop or laptop computers.
7. Mobile coupons
Coupons are hot again, thanks to the recession. Books on how to leverage coupons are making best-seller lists, and we’re seeing increased usage across the board. The latest trends are opt-in coupons with instant savings and rebates, and rich media coupons on smart phones with bar codes read by POS scanners. Merchants like mobile coupons because they can be tracked, making it easier to analyze the success of promotions.
8. Mobile social media
The increasing popularity of social networks in all sectors is driving demand for mobile access. Facebook, MocoSpace and foursquare lead the pack in mobile social media applications. The primary functions of social media – exchanging information, sharing content, forwarding links, and managing network referrals and invitations – can be easily done on mobile devices.
9. Mobile search marketing
Most major companies recognize the value of advertising on the top three search engines: Google, Yahoo and Bing. Mobile searchers usually have a greater sense of urgency than their stationary online counterparts, presumably due to an immediate need for the product or service they seek.
Advanced forms of mobile search utilize global positioning satellite technology to offer proximity-based search results.
10. Mobile video and event programming
Remember the Sony Watchman? A tiny handheld portable television set enabled viewers to watch TV from anywhere. Advanced Internet technology has given us so many more sources of on-the-go video content. Consumers can create and send their own mobile videos, contributing content to a broad range of media, including network news.
Mobile video technology is emerging. Expect to see more variety and quality as videos are specifically designed for viewing on smaller screens. Advertising is a natural add-on in this space, as retailers compete to promote and sponsor a range of local, national, free and pay-per-view events.
Connecting in real-time is the defining element of today’s consumer-centric environment. Web sites alone will not do the job. It’s time for MLSs to join the expanding mobile Web community and turn some of those ripples into waves.
Originally appeared in The Green Sheet, Issue 10:03:02, March 22, 2010.
© Dale S. Laszig, Castles Technology Co., Ltd.
Please include this copyright notice when reprinting this article, and link back to this site when reprinting or quoting.
