Many companies see the formal communications (website, brochures, etc.) as the dominant way to create their position. However, consistency across all channels is vital to create a brand position and to reinforce messaging. Hiring the right people and rewarding them in the right way is top of the list.
Many firms hire based on the idea that a person’s “rolodex” will get them into the market quickly. Commissions will motivate them to use their relationships. This focus communicates directly or indirectly through employee behaviours that the company will not be strategic in its customer acquisition (all customers are good customers). Commission-based compensation suggests that it is the sale that is important rather than long-term customer retention and satisfaction. It also communicates to your employees that the rewards of what usually is a team process will go to one person. This can de-motivate the support team.
Hiring based on the person’s ability to support the customer (technical expertise) combined with a company-wide performance bonus structure communicates a different set of priorities. This hiring and rewards approach tells your employees and your customers that you are customer-focused, think from a systems perspective, value team work and are looking for long-term success.
3. What this all means
Understanding the impact of culture is vital for success in the US market. There is a very specific seasonality and buying processes are slow. Taking on too much cost too soon or at the wrong time of the year can be expensive. At a company level, buyers select vendors that they trust and believe are expert 70 percent more often according to a recent survey. However, a cultural fit between two organizations is a two way process. Research and profiling allows you to effective target companies that will likely fit with your culture and become long-term, profitable clients. The good news is that the size of the US market requires you to be targeted with your client acquisition. Targeting based on an ideal profile is necessary for success. The US remains by far the largest and most open market in the world so even a small slice of the US market is likely to be far larger than your total home market. Imagine what your business would look like with ten times the number of “A” clients that you currently have.
Phil Rogers is the founding Principal of Endeavour Advisory and has over seventeen years experience in North America, Europe and Australasia. He has an MBA from Boston University.
Photo: Beverly & Pack
