The life of Reilly
Author, speaker and sales expert Tom Reilly blogs about the life of the sales rep. Reilly is an internationally known speaker and expert on value-added selling.
What happened to independence?
When did we go from self-reliant, rugged individualists to bailout babies? The cultural mindset in this country has devolved into bailout mania. The founders of this country never guaranteed happiness, only the pursuit of it. This dependency culture is the antithesis of what makes small business so great: the right to succeed and fail by our own accord, not by government involvement. Where is the ...... Read More
Comments (0)Don’t spend, invest!
Spending is out; investing is in. It’s time to start investing again. In tough times, the natural impulse is to hoard resources since cash is king. Many companies have been playing defense in order not to lose. The problem is you cannot put points on the board playing defense. It’s time for businesses to invest again. Ninety percent of economists believe the recession will be over by ...... Read More
Comments (0)Are you ready?
There are several indicators that the economy is about to turn: durable goods orders, movement in real estate and an uptick in consumer confidence-the harbinger of increased spending, which is 70 percent of the U.S economy. Are you ready for the spigot to open? How is your inventory? Are your folks trained for the new economy? Are your systems lean and efficient? Are your promotional plans in plac ...... Read More
Comments (2)What’s really behind the drastic cost-cutting?
The degree of cost-cutting going on right now in business is staggering. Many companies are so hunkered down that they are shedding expenses faster than a snake can crawl out of its skin. This got me thinking. If companies need to shed that much capital burden, how poorly run were they to begin with? If a company can trim 10 percent or more of its work force, what took them so long to do that? If ...... Read More
Comments (2)The reality of tough times
Tough times happen. Tough times happen in our personal lives and in business. This country has weathered 33 economic slowdowns and 5 depressions in the past 200 years. If you believe in economic Darwinism, you believe tough times are necessary for progress in business. Tough times typically purge the market of inferior quality, poor service and weak competitors. On a personal basis, experiencing ...... Read More
Comments (0)Getting lean in tough times
Lean is a sound business philosophy, even in good times. And it’s a great prescription for tough times. The value-added philosophy has always been about lean: add value, not cost. A tough-times lean philosophy applies to customers as well. Companies have three types of customers: High-Value Targets (HVTs), equity and profit piranhas. HVTs contribute most of your profit. Equity customers ar ...... Read More
Comments (0)The ultimate "word-of-mouth"
I remember a literature course in college in which the professor told us that any word could be made a verb. For me, this opened up another dimension to my writing. I could “Reilly” any topic, putting my unique and personal spin on it. Imagine the transformation that took place when FedEx, Xerox, Google and TiVo became verbs. Their names became mainstream verbs. How do you earn that ...... Read More
Comments (0)Leading in tough times
Imagine you’re sitting on an airplane and the air gets a little choppy, then downright turbulent. You reach for the armrests and your white knuckles tell plenty about your reaction. The captain speaks on the intercom: “Well, folks, sit back and relax. We’ve run into a few bumps up here and will be through it in a few minutes. This is predictable this time of year in this area. ...... Read More
Comments (2)The Upside Of A Down Turn
Is there an upside to a down turn? Absolutely. In a down turn, those businesses that need to be purged from a market are purged—an economic Darwinism. Some businesses so poorly serve their customers that they really need to go out of business and make room for those that serve customers well. Sometimes this happens in a good economy; most assuredly it happens in a tight economy. In a down ...... Read More
Comments (2)Getting a grip on recession talk
Paul Samuelson, Nobel laureate, said, "Economists have accurately predicted nine out of the last five recessions." What’s the point? In a recent seminar of 18 salespeople—16 industrial and 2 construction—the industrial salespeople said their business was fine and the construction salespeople said their business was tough. That pretty much sums up the economy. If you’re ...... Read More
Comments (2)Those who thrive in tough times
I read the other day that in the last recession 15 percent of companies that had not been industry leaders before the recession vaulted to those positions during the recession. No doubt it had to do with business practices, management and preparation. But I do believe part of it had to do with attitude. I know from our own research on tough times that half the battle is in your head and the other ...... Read More
Comments (2)Raising prices in tough times
I wonder how many companies need to raise prices now because their costs have increased due to soaring energy prices. But they have this great fear that you cannot do this in tough times. When your costs increase and you fail to pass this along to customers, you have effectively discounted. This may even be a compound discount—the customer negotiated sharply a lower price to begin with, you ...... Read More
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