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August 1997

Overcoming Some Common Business Paradoxes

Why Technologists And Salespeople Are Not In Sync

BY NADJI TEHRANI


First Things First
Congratulations to the winners of the 4th-Annual Fastest-Growing Telemarketing Companies award. These Rising Stars are a credit to our industry. For the 1997 award-winners, the top percentage increase among the largest companies was 549.58 percent over one year; for the intermediate companies it was 714.09 percent over one year; and for the developing companies it was 1,198.91 percent over one year. For 1997, the average increase for the top 15 largest companies was 109.24 percent; for the top 15 intermediate companies it was 123.24 percent; and for the top 15 developing companies it was 170.16 percent. I am proud beyond words to be part of an industry that is growing so fast.

Some Conventional Wisdom
A common business paradox is that technologists are great at inventing what you don't need. By this I mean a product should only be developed on the basis of solid market research. Don't waste the time, energy and money building a better mousetrap unless you know there will be a demand for it. The marketing concept holds that high-value customers' needs and wants are the logical place to start in the search for new product ideas. Studying a special set of customers who make the most advanced use of the company's product and who recognize needed improvements ahead of other customers provides an invaluable source of solid data on where to go with the next step in product development. Once you have the battery of new ideas, you must weed out the bad ones. A focus group is a great way to do this. A focus group is a gathering of six to ten qualified and knowledgeable persons who spend a few hours with a skilled interviewer to discuss a project, service, organization, etc. It yields insights into consumer perceptions, attitudes and satisfaction. Companies can identify customers' needs and wants through other, more varied media, such as customer surveys, projective tests and suggestion, telephone interviews, personal interviews and surveys, as well as simple observational research and complaint letters from customers. In fact, many of the best ideas come from asking customers to describe their problems with current products.

The most scientifically valid research is experimental research, which calls for selecting matched groups of subjects, subjecting them to different treatments, controlling extraneous variables and checking whether observed response differences are statistically significant. Effective product development requires close teamwork among research and development, engineering, manufacturing, purchasing, marketing and finance from the beginning. The product idea must be researched from a marketing point of view, and a marketing team must advise on the idea throughout its development. It is essential to start with a clear target audience in mind. This will influence what, where, how and to whom to extend your message. Some of the initial steps you should undertake prior to launching a new product are as follows:

  • Assess the audience's current image of your company, its products and its competitors. If you don't know where to begin, then not only do you not know how to get there, but you don't know where to go.
  • Determine your communication objectives, i.e., decide on the desired audience response: cognitive, affective or behavioral. Do you want to put something into the consumer's mind, change their attitude or get the consumer to act?
  • Design the message. All advertising/ promotional materials should gain attention, hold interest, arouse desire and elicit action.

The market doesn't exist because of your product — it's the other way around. If you can get the salespeople and the techies to work together to create and then sell a product for which there exists need and want, then the number of product failures will decrease. The key ingredient in this mix is solid marketing information. Always remember that a mediocre product backed by outstanding marketing will invariably win out over a superior product backed by lackluster marketing. The engineer's rationale is that the great product will sell itself — as nice as that sounds, we all know it just doesn't work that way.

Another paradox is that salespeople are great at selling what you don't have. Sound familiar? It does, especially if you've been in the position of managing salespeople. For some reason, salespeople seem to be able to rationalize any inability to sell by citing some type of deficiency in the product or service as the reason for their lack of sales. Sales managers have heard it many times: "If only the product had [this feature], my sales would increase to 100 percent," or "If only we offered [this service] as part of the package, I'd be your top salesperson."

Although salespeople can be very persuasive, be cautious in acting on these complaints. A product/service should not be changed or otherwise modified on the basis of select opinions gleaned by salespeople. It should only be changed on the basis of solid market research. Salespeople should focus their selling on the strengths of a given product/service — only by doing that can they focus their prospects' attention on those strengths and close the sale. Don't misunderstand me; a well-run company should train and motivate its salesforce to spot and report new developments in the market. Sales reps are a company's "eyes and ears"; they are in an excellent position to pick up information missed by other, sometimes slower means (books, newspapers, trade publications, etc.). Often, the salespeople are very busy and can fail to pass valuable information regarding market trends and product information. You must ensure they are aware of the value of their knowledge and that you need it passed on. Creating a simple form for them to complete and submit is an easy solution. My point is simply that a product should not be overhauled on the basis of a few opinions from customers whose opinions probably don't represent the entire market you're trying to reach with your product/service. I welcome your comments and opinions. Please send them to ntehrani@tmcnet.com. Thank you.

Sincerely,
Nadji Tehrani
Publisher & Editor-in-Chief


Hone Your Company's Competitive Edge At The Original Industry Conference:TCCS™ — Often Imitated But Never Duplicated


As I have mentioned in previous Outlooks, new-product ideas can often be found by analyzing a competitor's product/ service, i.e., following the leader. Strangely enough, that is exactly what has happened with the TCCS™ Conference and Exposition, except that our competitors have entirely missed the indispensable concept and technology of computer-telephony integration (CTI). Sometimes even the titles of our sessions have been copied verbatim! One of the main strengths of our conference is our ability to offer an opportunity for solid educational advancement in understanding how CTI and the Internet are converging in the call center.

The TCCS™ FALL '97 Conference and Exposition topical matter reflects the growing convergence of Internet and computer-telephony integration technology in the call center. The triangular relationship formed by the Internet, CTI and the call center will provide a stable base for all customer interactions in the 21st century. Think of CTI technology as the enabler or facilitator of smooth, painless interaction with your customers, be it via the Web, phone, fax or e-mail.

Some Highlights From The Conference Program
TCCS™ FALL '97 features a seminar track on Call Center Technology & Solutions, which presents a surefire way to gain leading-edge technology know-how in a hurry. Whether your challenge is multimedia, multisite call centers, reengineering, the Internet, IVR, fax or the help desk, this track offers a seminar for you. Some of the topics are:

  • Integrating The Web & The Help Desk For Optimal Performance;
  • Internet-Enabling Voice Response (IVR) Automation; Maximizing For Return On Investment;
  • Planning For The Future Of CTI In Your Call Center.

CTI Applications is another conference track at TCCS™ FALL '97. Computer-telephony integration shouldn't be thought of as being "just for the big boys." Over the past few years, CTI technologies and applications have evolved to the point where even small call centers reap the benefits. If you have yet to explore CTI's possibilities, the CTI Applications track is the place to start. From the basics of what, why and how (as well as presenting a business case for CTI), to the efficiency-enhancing, productivity-propelling applications of CTI in concert with the Internet/multimedia, voice, fax, e-mail, video and telecommuting, you'll find the information you need to set your CTI business plan in motion. Some of these topics are: Computer-Telephony Integration Basics: What, Why And How?; How CTI Can Enhance The Productivity & Efficiency Of Your Call Center; Combining The Power Of CTI, The Internet & Multimedia; and Making The Business Case For CTI. As you can see, TCCS™ FALL '97 is a great place to come to learn everything you need to know about the synergy between the Internet, computer-telephony integration and the call center. The Internet will soon provide global access to your company's offerings and CTI will make response to the multitudinous inquiries viable. Not only does your business success rest on staying with the wave of advancing technology, but it also rests on how prepared your workforce is to ride the crest of that technology to safe, dry, profitable land.

We are proud to have set the pace in providing a solid educational resource for you to learn how to out-market, outsell and outperform your competition. I invite you to attend the all-new TCCS™ FALL '97 at the Georgia International Convention Center in Atlanta, Georgia, September 16-19, 1997. Please see page 97 for the complete Conference brochure. With 11 years and 25 consecutive shows worth of experience, TCCS™ events are the world's most comprehensive Exhibitions and Conferences on technology applications and management solutions for inbound/outbound, customer service and help desk solutions. With its expanded focus, illustrious keynote speakers and comprehensive exhibit hall, we are confident TCCS™ FALL '97 will be one of the most advanced and complete call center events ever.

 


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