Dan J. Harkey

Master Educator | Business & Finance Consultant | Mentor

Friends Do Business with Friends

Work on Creating Lasting Relationships, In A World of Short Term Sensational Attention Getting Media Post

by Dan J. Harkey

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Being and Time, an article written by German philosopher Martin Heidegger in 1927, provides a philosophical framework for understanding the concepts of authenticity, being, and caring in sales and relationship building.  In Heidegger’s study, he referred to ‘Dasein, a concept that can be understood as ‘being fully present’ in sales.  This means more than just physically being there; it involves being fully attentive to and understanding the client’s needs, and being there for them in a meaningful way.  Heidegger’s ideas are further explored in the book “Eclipse of the Self” by Michael E. Zimmerman, which delves into the development of Heidegger’s concept of authenticity and its application in various fields, including sales.

Being Ever-Present Example:

Let’s assume we have two different salespersons doing their jobs.  The first salesperson was given an instruction manual on how to call many prospects.  The person complies and calls, hoping the process will yield immediate results.

  • This is Jacob (Jake #1) from ABC Company; we sell widgets.  Are you interested in purchasing these beautiful widgets?  Jake is focused on the web, meaning his company and the sales process, rather than the client and the client’s needs.  Jake #1 shows little interest in developing any relationship with his prospect, let alone long-term, lasting friendships.  Jake #1 associates with other low-performing individuals in the office and exhibits hostility toward more successful colleagues.  Every excuse is provided for his lack of success.
  • (Jake #2) has been trained to focus on getting to know the client and meeting the client’s needs.  Hi, this is Jake from ABC Company. I came across your name on LinkedIn.  You sure have a professional presence.  I also reviewed your website and found your unique background to be very interesting.  Do you have a few minutes to discuss your unique platform of success?  Jacob fully knows he is focusing on the customer rather than the process. He is consistently present in his presentations and listens attentively to the needs of his customers and clients.  A client is more likely to respond favorably to someone who complements them and wants to know more about them.  Jacob #2 is far more likely to develop a lasting relationship with the client than Jacob #1.  Jake #2 focuses on developing long-term relationships that turn into friendships.  A good percentage of his new business comes from referrals. His success story is a testament to the power of authentic relationship-building in sales, inspiring us all to strive for meaningful connections in our professional lives.

Dan’s Background:

I developed a unique strategy in the late 1970s and into the early 1980s.  I transitioned from a high school business teacher to one of the highest-producing real estate agents between Newport Beach and San Clemente from 1978 to 19. Later, in the mid-2000s, I achieved sales volumes of up to $10-25 million monthly in the real property lending business.  On a side note, I developed the business curriculum in the 1970s for the Saddleback School District in Orange County, CA.  The classes included word processing/keyboarding, typing, business math, consumer education, economics, and accounting.  These were pre-computer science days.

Before 1980, I was an early adopter of cross-selling.  I created a real estate brokerage, a public escrow company to facilitate closings, a mortgage company to originate residential and commercial real estate loans, and a general insurance agency to place insurance policies on the purchased property.  Additionally, the insurance agency placed investment property coverage, liability coverages, auto insurance, and life & and disability insurance.  An adjunct company I formed was a property management company that managed residential and commercial rental income property, including commercial leasing.

Happiness is found in doing, not Merely Possessing.

Think and Grow Rich by Napoleon Hill

Effective salesmanship is a learned skill set, but developing into an authentic and unique being is the treasure.  Confucius and Dan say, "Find a man who enjoys his work, and you will find someone who will never work another day.”

If one’s objective in the sales business is to follow up with a few acquaintances, the potential success will be minimal.  An effective sales network starts with a few but grows into thousands and tens of thousands.

The 80/20 Rule:

The 80/20 rule applies to the sales profession.  Twenty percent of salespersons develop 80 percent of the sales.  Conversely, 80 percent of salespeople develop 20 percent of the sales and resulting profits.  Successful salespersons are willing to do the heavy lifting and take on tasks that others refuse to do.

80/20 Rule-Example:

Two salespersons, Samatha (Sami) #1 and #2.

Sami #1 arrives at the office at 9:30 a.m., heads for the coffee machine, and sits down in her office chair to work by 9:45 a.m.  She organizes her tasks until 10:00 a.m., before considering any business-related activities.  She calls friends and relatives before settling down to do business—real business focus occurs between 10:30 and 11:3,0 when lunch is served.  The same focus occurs between 1:30 and 3:00 when it is time to shut down and go home.  Business consumed about 2.5 hours of her time, all of which was process-driven rather than results-driven.  She is frustrated about the amount of money that she makes.  Sami #1 shows little regard for developing long-term lasting relationships, much less friendships.

Sami #2 is a Dynamo.  She is hard-charged, independent, confident, non-conformist, and self-sufficient. Leaseedoo not attempt to disrupt her stable situation, as it will not work.  She knows that her successes are within her grasp. He arrives at 8:00 a.m., organizes her work and files, and is on the phone when needed.  She takes the time to manage her day to maximum time efficiency.  Making sales presentations over the phone or in front of customers and closing transactions are her top priorities. She focuses on returning phone calls, following up leads, and making outbound calls to prospects.  She is results-driven rather than process-driven. Administrative activities and marketing are essential, but she delegates them to her assistant so she can stay focused.  Sami #2 leaves the office around 5:00 p.m.  Her business activities consume about eight solid hours.

Sami #2 maintains a positive attitude and is an optimist, a risk-taker, and a visionary.  She accepts setbacks, but only temporarily.  She fully understands the relationship between the processes and the intended results.  The processes and actions that pursue the goal create happiness, but not necessarily the results.  The results are a byproduct. She associates only with successful people, even though she treats others with respect and dignity.  Sami #2 has developed dozens of long-term, lasting relationships that have become authentic friendships.  As a result, a significant portion of her business comes from referrals.  Sami focuses on a long-term strategy rather than an immediate one.  Sami is the top producer in her company and among the top 5% in her entire industry.  Sami learned well.

Universe of Possibilities:

Jacob (Jake 1#) belongs to a golf club.   It relies on the social set to bring business.  The club’s membership is about 300, and he cannot rely on the members to have an extensive network to secure business.  Sometimes, his company appears to act more like a socialite than a business owner.  He can extract some business and referrals, albeit in limited portions. The universe of possibilities is 300.

Sami #2 has taken the time to develop an extensive network through sources like LinkedIn and a well-thought-out list of 10,000 professionals to whom she sends articles and exciting things. Her focus has been on marketing to professionals who have established client networks.  As a result of consistent marketing efforts and an emphasis on developing long-term relationships, she has amassed a universe of possibilities well beyond 100,000.   The size grows exponentially as time passes, and so does the size of her savings accounts and investments.  She has a consistent follow-up strategy and rarely deviates from it.

Define Your Universe of Possibilities:

What is the maximum and broadest number of individuals or prospects you may develop to sell your products, goods, or services?  Is it 100, 1000, or 10,000?  Size matters!  A salesperson’s understanding of the process may include a lack of experience, a willingness to take the risk, or enthusiasm for engaging in a long-term, systematic enterprise.  A more straightforward explanation is that some people are lazy and irresponsible.

A salesperson should formulate a daily communication strategy to develop new business leads that will hopefully evolve into lasting relationships.  Therein lies the process of turning prospects into friendships.  Please avoid forming superficial friendships that often lead to dead-end relationships.  Can you call a friend, have a general conversation, and enjoy the time spent without thinking of getting something out?

Herein lies the struggle between the salesperson who will never or only marginally become successful and one who can develop into a master salesperson, achieving life fulfillment through relationships with others.

I have consulted with many eager salespersons. Yes, the size of one’s prospect lead base matters.  However, relationships matter more.  The size of a prospect network may start with 10 or 20 but can grow to 11,000or more.  You may start with a smaller numbe,r but limit the lead potential unless you sell multimillion-dollar products with a considerable profit margin.  Two examples may be Caterpillar and airplanes.  These items cost from five hundred to hundreds of millions of dollars.

You locate a buyer; you do not create one.

Suppose a salesperson were taught that slick language, such as handling objections and switching to an assumptive close, would work. In that case, Fuller Brush Company and Encyclopedia Britannica might have a job for you.  Also, using online tools like LinkedIn and Facebook may be effective or a waste of time.  A new link with a new person is only the most minute beginning and introduction to developing a future relationship and eventual friendship.

To be effective, a salesperson needs a good customer relationship management (CRM) software package to manage prospects and document conversations, histories, families, events, interests, backgrounds, and other essential aspects of developing a relationship.  An effective salesperson needs an email marketing system, such as Salesforce or Mailchimp.

The more you understand your friends, the more your relationship will grow. They look forward to talking with you, and you will share mutual interests.  Of course, you will enjoy talking and sharing things that interest you.

You can make more friends in two months by becoming genuinely interested in others than in two years by trying to get others interested in you.

“Talk to someone about themselves, and they’ll listen for hours.”

How to Win Friends and Influence People- by Dale Carnegie.

https://fs.blog/how-to-win-friends-and-influence-people/  

Call, Text, or Visit 10 to 25 Prospects Daily:

Now comes the strategy of calling 10 to 25 prospects daily to establish a friendship over time.  What can you do for the? How can you assist them in achieving their goals?  Continue the exercise until you develop so much business that you can hire assistants.  Delegate as many of your job tasks as possible to others, and then focus on the tasks that require your direct attention.

Make outbound calls and receive an answerphone.  You can leave a message and follow up with an email like, “I’m just calling to catch up.. I’m checking to see if I can do anything for you or your clients, or I just called to share an interesting article or news segment I read.”

A challenging aspect of any conversation is cultivating the habit of listening rather than dominating the conversation by talking excessively.  No, I am not that interesting, no matter who told us we were.  It is easy to talk about myself when having conversations with others.  We can all find ourselves amused by our own life histories.  It is imperative to stop talking and start listening.

Developing authentic friendships that will lead to working together will be a natural transition from acquaintance to business prospect to genuine friendship.  The process requires you to learn about your friend’s background, family, and what is important to them, rather than focusing on yourself. What can you do to improve their lives, help their client, or help them put bread on the table?

Find someone who develops enough friendships and relationships to do business, and you will have a whole and enriched life.  The journey is never complete!

Loyalty & friendship, which are the same as me,

created all the wealth I ever thought I’d have.

Earnie Banks, Chicago Cubs, shortstop and first baseman, 1953-1971

Develop your Unique Ability:

Developing your unique ability will create a positive magnet around you.  People will be drawn to you through developed friendships, social networking, and the enhancement of your satisfaction and professional career, and the same will be valid for those who meet you.

My Opinions Come From Experience:

20% of the people and friends in your life give you 80% of life’s satisfaction.  Conversely, tolerating 20% of negative, disrespectful, and unreliable people will result in 80% dissatisfaction. Tolerating people with negative attitudes, hostility, rudeness, condescension, game-playing, or jealousy does not fit into a satisfying life journey.  Included in this group are superficial, sycophantic, and parasitic friendships.  Eliminate all these people from your life, pronto?

Develop a management infrastructure and support system around you.  These may be employees or independent contractors.  You can achieve high sales volumes and consistently deliver quality outcomes with a comprehensive support staff and effective operational techniques and strategies.  Allowing weak staff members or weak systems will drag you down and make you marginally effective.