Below is an article written by Barbara Weaver Smith on Target Filters.  One of the most important things that a business must do it understand who their customers are, who they want as customers and how to identify them.  Barbara’s article is full of excellent information not only for your sales process but also for your referral process.

Ten Tweaks for Your Target Filter

In a turbulent economy, big companies are changing more rapidly than usual.  Some companies are retrenching to preserve cash and weather this storm:  slashing budgets, closing locations, consolidating departments, laying people off, reducing their scope of products and services. Other companies are taking advantage of a slow economy to seize opportunity:  modifying their business strategy, investing in new products or services, acquiring competitors, hiring from an excellent applicant pool, increasing their marketing and R&D budgets.

Regardless of how the whales are responding, they are likely not the same company they were the last time they made it through your target filter and on to your whale chart.  They may have totally new goals, new rules and reasons around their buying decisions, different expectations, different decision-makers, different time-frames to produce ROI.  Your job, as always, is to know everything you can learn about you targeted whales–to know far more than your competitors know.

Quick review:  Your Target Filter is the set of criteria by which you determine an ideal large customer for your company.  It includes a set of categories that are important to you and metrics for each category.  Categories include things like company size, location, industry, brand, corporate structure (e.g. public, private, government, or nonprofit), You can find an example and a sample Target Filter form on The Whale Hunters website.  Once your team has created a Target Filter, you use those criteria to select specific companies that meet your needs.

Here’s a Target Filter Tune-Up Checklist:

1. With your team, brainstorm the characteristics of your best big customers from the past three years.  Do you still want more customers like those?  If so, be sure those characteristics match up with your Target Filter.
2. Have your products or services changed since you last reviewed your Target Filter?  Do you have plans to enter a new market, a new industry vertical or a new geographic location, for example?  You may need a separate target filter for that industry or that product.
3. What’s new in your industry?  What market trends are you observing?  Test your Target Filter to be certain it is up to date.
4. Ask your Scout to update dossiers on your Whale Chart list.  Do those whales still meet your criteria?  If not, remove them and find new ones that now meet your criteria.
5. Have you implemented Whale Signs?  These are signals of a prospect’s potential readiness to buy.  You should subscribe to RSS feeds or set Google alerts to learn anything new that is going on with the whales on your Whale Chart.  Review your Whale Signs to be certain that you have identified the best ones for you.
6. What are you learning during your sales process?  Are you still well-aligned with what prospects want, or are you finding gaps that you didn’t find before?  The target filter needs to lead you to companies that want what you have to sell.
7. Are you consistently getting bigger sales and bigger customers?  If not, or if your sales process has stalled, your target filter is no longer working for you.
8. Have you involved your entire team in the target filter discussion?  The perspectives from operations, customer service, and the key account management team are very important.  Build consensus among sales and operations about the target filter criteria and metrics.
9. Is your target filter realistic?  If your vision of an “ideal client” never materializes in your sales process, you may have a pipe dream rather than a filter.

10.  Do you allow your target filter to remind you when to say no to an opportunity that comes your way, such as an unsolicited RFP or a customer referral?  Unless these unexpected opportunities are consistent with the Target Filter, you should be confident about saying no.

The Target Filter is a critically important tool for whale hunting companies.  By developing a solid filter, reviewing and tuning up regularly, and sticking to the prospects who meet its criteria, you will close more sales, bigger sales, and better sales, routinely.

Learn more about “charting your waters”–using the tools of scouting (Target Filter, Whale Chart, Whale Signs, Dossiers) in Whale Hunting: Land Big Sales and Transform Your Company, available from amazon.com.

Join Whale Hunters Group on Linked IN !

Know your target market

This is a Question that I got on Linkedin, I thought it was very appropriate for this blog.

 In my coaching practice, clients (especially new entrepreneurs) often tell me they don’t want to nail down a specific target market because “everyone is a potential client” and/or they feel like they are missing out on business opportunities in other markets.

Have you nailed down one target market? If so, how did you go about making your choice? Did your target market choose you? How long after starting your business did it take for you to choose your target market?    Do you target more than one market? How do you balance your marketing?  Do you even believe that choosing a target market is essential to your marketing success? If not, please tell us why.

This is one of the toughest questions that I tackle with my students in the Referral Dynamics Program.  Generally business people think with a scarcity mindset, always afraid that they are going to miss out on some business regardless of the quality of the business.

For instance if I am an Insurance agent who writes insurance on anyone who has a business, then I am always running around trying to find anyone!  From the small one person business who has very little money to the multi-million dollar business.  It’s like shooting in the air and hoping that a bird will fly over.

On the other hand if I am the insurance agent who is an expert in working with Attorney Firms who have one or more partners in the Central Indiana area, I know exactly where to spend my time and my money marketing.  IF a CPA Firm calls my office and ask me to write a policy for them would I say NO?  Heck no, I would do business with them.

Declaring a target market does not mean that you cannot or may not do business with anyone else, it just means that you will have a target to aim your message to and spend your money on.  When the time comes to recruit Referral Partners they will be easy to find and easy to train.

It allows you to develop yourself as an expert so that your target market seeks you out instead of you searching for them.  It allows your customers to create a buzz about you!  Take a moment and ask yourself the following questions……..

1.  Who do I like to work with?

2.  What makes me the most money?

3.  What market do you have the greatest experiece in?

4.  Is there a market less served?

Building yourself a strong target market will allow you to work less and make more money!