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Financial Assistance Available for CNY Businesses to Explore Sales Opportunities in Asia
Helping companies stay competitive and relevant in an increasingly challenging and global marketplace is a key element of CenterState CEO’s business-development strategy. That is why we are offering assistance to businesses interested in exploring growth opportunities and increased sales in one of the fastest growing markets in the world — the Association of Southeast Asian […]
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Helping companies stay competitive and relevant in an increasingly challenging and global marketplace is a key element of CenterState CEO’s business-development strategy. That is why we are offering assistance to businesses interested in exploring growth opportunities and increased sales in one of the fastest growing markets in the world — the Association of Southeast Asian Nations (ASEAN). It consists of Singapore, Malaysia, Thailand, Vietnam, Cambodia, Laos, Myanmar, Indonesia, the Philippines, and Brunei.
Several CenterState CEO members that have traveled to the ASEAN region with support from CenterState CEO have seen impressive results, including finding distributers and gaining new global sales and customers. The ASEAN area has a market of $2.6 trillion annually, with a strong record of economic growth, 4.8 percent, in 2016-2017. With a population of 622 million people and a stable labor market, domestic demand, wage growth, and strong private consumption will remain major growth drivers in the region.
Through its participation in the U.S. Department of Commerce’s Market Development Cooperator Program (MDCP) — with technical assistance from the CNY International Business Alliance (CNYIBA), and support from National Grid and New York State’s Global NY program — CenterState CEO can offer businesses interested in generating sales in this part of the world grant funding to travel to the region, pay for trade show fees and booth rentals, or produce marketing materials. Additionally, the CNYIBA can support companies with technical support such as finding distributors or customers in the region, and resolving trade financing or regulatory issues.
Five of the ASEAN nations (Singapore, Malaysia, Thailand, Vietnam, and Indonesia), present particular opportunity to Central New York businesses as they are among the top 30 trading partners of the United States, with Singapore acting as a key gateway to the ASEAN. Singapore has been ranked number 1 by the World Bank for ease of doing business since 2003. As a result, the U.S. has a favorable balance of trade with Singapore, with U.S. exports to Singapore totaling $28.7 billion in 2015, and Singapore selling $18.2 billion of goods and services to the U.S.
Businesses interested in these opportunities should contact Dave Mankiewicz at CenterState CEO at (315) 470-1942, or Steven King at the CNYIBA at (315) 470-1925.
Robert M. (Rob) Simpson is president and CEO of CenterState CEO, the primary economic-development organization for Central New York. This viewpoint is drawn and edited from the “CEO Focus” email newsletter that the organization sent to members on Aug. 10.
When employees leave: the importance of the exit interview
In spite of the care they may give to the hiring process, small businesses are not immune from losing employees. The reasons can be as varied as the people involved. You should never ignore the invaluable feedback you can receive from the departing employees on these occasions. As the small-business owner, you owe it to
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In spite of the care they may give to the hiring process, small businesses are not immune from losing employees. The reasons can be as varied as the people involved. You should never ignore the invaluable feedback you can receive from the departing employees on these occasions.
As the small-business owner, you owe it to yourself to maximize these experiences. Do some soul searching to determine what you want, and need, to know from the departing employee. Begin by reviewing the employee’s file; why did you hire this person initially? What was the particular fit of the qualifications to the job description? How has his/her performance borne out your original expectations? The answers to these questions will also help you determine the depth of the void created by this separation.
Hence, the exit interview. This can be a valuable tool for you as an employer/business owner to use to strengthen your business operations. When used properly, you may eventually not have to use it at all.
Too often, employers believe they know why a person chooses to leave the business. Therefore, they miss a golden opportunity to gather invaluable feedback. Here are the questions to ask in the exit interview and the issues to ponder when you receive the answers.
Question: At what point did you start seeking other employment opportunities?
Prepare yourself for the response to this question. You may learn you have had a disgruntled employee for quite some time. Suppose the employee relates to you several incidents of supervisor harassment? Your having been unaware of this does not make you less culpable. And, why didn’t the employee report it? Was she/he afraid of repercussions and/or termination? What did you just learn about your operation? You have some work to do.
Question: How did the training you were provided prepare you for the job(s) you were assigned?
Were assumptions made based on prior work experience that this new hire required no formalized training? Was the employee trained on one job then assigned another? Are training records accurate? Or, perhaps you learn that training is one area in which your business excels. (If so, great. One less worry.)
Question: Do you believe there was room for growth for you with this company? Did you attempt to pursue it? If no, why not? If yes, with what results?
Wouldn’t you hate to learn that you are losing a talented individual because his/her efforts had gone unnoticed and/or unrewarded? (It may be too late, but you may be able to interject a counter offer here.) Solicit input as to what this employee believes he/she could offer your business. What does the employee suggest could have been done to further engage him/her?
Question: Does our rate of compensation have anything to do with your decision to leave?
Too often employers think money and benefits are the main reasons employees depart. Talking with hundreds of people who decide it’s time for a change reveals that very few would leave a job they truly enjoy. Yes, quite often, as families grow, it becomes imperative that greater compensation must be sought. But, what about your ability to anticipate and positively address this issue. If actual monetary increases are not feasible, talk with your personnel to let them know how much their efforts are appreciated and what the current financial situation is at the business. Are there other needs that could be met as an act of good faith?
Question: What would be the ideal position for you at this company? What would this position enable you to do — for yourself? for the company?
What an eye-opener this answer could be. Ask probing questions here as the employee sees an opportunity to make valuable contributions. Do not ask this question in an effort to placate departing employees. They will see it for what it is and summarily dismiss it.
How often can you afford to lose a piece of your puzzle, then replace it? That cost is a good number to keep in mind as you meet with your employees in staff meetings and employee functions. The question here is: how can I contribute to your professional development to ensure you want to stay here and strengthen our foundation? Don’t wait until an exit interview to learn what has been in front of you all along.
And coming back to the win-win situation; what’s the win for the departing employee? If you’ve been sincere during the interview, this person has gained confidence in his/her ability to assess and convey situations. There is always the possibility employees may change their minds, but don’t count on it. Hopefully, you have given them the credence that their input is valuable and they will take that with them. Who knows, perhaps someday you will work for them.
By now you realize, the exit interview is an opportunity, but don’t rely on it as a fail-safe.
Nancy Ansteth has been a New York State-certified business advisor at the Onondaga Small Business Development Center (SBDC) at OCC for more than 10 years. She is retiring this year and wishes the director and staff continued success assisting entrepreneurs of Central New York.
Starting a Small Business with Help from the SBA
Starting and managing a business takes motivation, desire, and talent. It also takes research and planning. Like a chess game, success in small business starts with decisive and correct opening moves. And although initial mistakes are not fatal, it takes skill, discipline, and hard work to regain the advantage. To increase your chance for success,
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Starting and managing a business takes motivation, desire, and talent. It also takes research and planning.
Like a chess game, success in small business starts with decisive and correct opening moves. And although initial mistakes are not fatal, it takes skill, discipline, and hard work to regain the advantage.
To increase your chance for success, take the time upfront to explore and evaluate your business and personal goals. Then use this information to build a comprehensive and well thought-out business plan that will help you reach these goals.
The process of developing a business plan will help you think through some important issues that you may not have considered yet. Your plan will become a valuable tool as you set out to raise money for your business. Until Sept. 30, small-business owners are able to access SBA-guaranteed loans with reduced fees. In the simplest sense, SBA loans from our participating lenders are “on sale” until the end of the fiscal year.
You can access free help to start your own business here in Syracuse through local SBA-funded resource partners: the Onondaga Small Business Development Center (SBDC), the Syracuse Chapter of SCORE, and the WISE Women’s Business Center. Small-business advisers are available to provide free, confidential, and expert counseling services.
Ready to find a small-business counselor? View SBA lender activity and learn more about our many programs to support your small business? Make the right move and visit www.sba.gov/ny/syracuse.
Bernard Paprocki is district director for the U.S. Small Business Administration’s Syracuse district office. He is responsible for the delivery of SBA’s financial programs and business development services for a 34-county region in upstate New York.
SBDCs at Binghamton University, Corning Community College to merge
BINGHAMTON — The New York Small Business Development Centers (SBDCs) at Binghamton University and Corning Community College will merge, effective Oct. 1. The move seeks to create a “comprehensive, full-service” organization that will provide assistance to small businesses in 12 New York counties, Binghamton said in a news release issued Monday. The new alignment will
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BINGHAMTON — The New York Small Business Development Centers (SBDCs) at Binghamton University and Corning Community College will merge, effective Oct. 1.
The move seeks to create a “comprehensive, full-service” organization that will provide assistance to small businesses in 12 New York counties, Binghamton said in a news release issued Monday.
The new alignment will “streamline” service delivery to current and “aspiring” small-business owners in the Central Southern Tier.
The organization will make available small-business advisors with specialties in procurement, agricultural business/tourism, lending, SBA (Small Business Administration) products, QuickBooks, succession planning, exporting, and technology/innovation.
“Since 1984, the two independent centers have helped 26,386 local small businesses invest $334,256,199, and create or save 16,243 jobs,” Rochelle Layman, regional director of the New York SBDC at Binghamton University, said in the school’s news release. “The SBDC is very excited about this merger, as it will increase the types of services offered across our region.”
After the merger, local SBDC advisors will continue to support those needing assistance, but providing it with administrative support and oversight from the regional office in Binghamton.
Besides its collaboration with the SBDC at Corning, the SBDC at Binghamton University has satellite offices in Ithaca and Oneonta, the school said.
“This new partnership represents a win-win-win scenario,” Katherine Douglas, president of Corning Community College, added in the news release. “Area entrepreneurs will continue to have convenient access to knowledgeable staff in the Corning area that will have the support of a regional center. Through the collaboration, these experts will have resources and information to assist with decision-making.”
UHC business competition offers $10K Community Care Award to Syracuse–area small businesses
SYRACUSE — UnitedHealthcare (UHC) recently announced it will award $10,000 in funding to a Syracuse–area small business as part of the Community Care Award. It’s a competition seeking the “best new idea” for enhancing community health and wellness. UnitedHealthcare is accepting online applications for the Community Care Award at www.centerstateceo.com/UnitedHealthcareAward. The deadline to apply is
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SYRACUSE — UnitedHealthcare (UHC) recently announced it will award $10,000 in funding to a Syracuse–area small business as part of the Community Care Award. It’s a competition seeking the “best new idea” for enhancing community health and wellness.
UnitedHealthcare is accepting online applications for the Community Care Award at www.centerstateceo.com/UnitedHealthcareAward. The deadline to apply is Friday, Sept. 29.
CenterState CEO, the region’s primary economic-development organization and chamber of commerce, will partner with UnitedHealthcare to help choose the winning project.
Businesses with 2 to 250 employees in Oswego, Onondaga, Cortland, Madison, and Oneida counties are eligible to submit project ideas for enhancing their communities’ health and wellness. Projects can be new ideas or existing programs, UHC said in a news release.
All projects must include a partnership with a local nonprofit organization. Applicants are asked to describe in 300 words or less the community activity their company will engage in with their nonprofit partner, including description of project, duration, and employee involvement.
Judges will evaluate the project submissions and select the top-five projects based on criteria such as potential community impact, creativity, uniqueness, and feasibility.
The top-five applicants and representatives from their benefiting nonprofits will be invited in October to a live pitch and networking event where a panel of business, community and health-care leaders will pick the 2017 UnitedHealthcare Community Care Award winner.
“UnitedHealthcare is grateful for the opportunity to empower Syracuse–area small businesses to give back to their communities in a meaningful way,” Michael McGuire, CEO of UnitedHealthcare in New York, said in the release. “Helping people lead healthier lives provides myriad benefits to businesses large and small, including a robust pool of job applicants and customers.”
“CenterState CEO is pleased to support the Community Care Award program — it puts a spotlight on and supports small businesses in our region that are giving back to their communities,” said Andrew Fish, senior VP at CenterState CEO added. “The Community Care Award also helps nonprofits in the greater Syracuse area that need local business partners to reach their goals, so it’s a win-win.”
Onondaga County hotel occupancy rate falls again in July
Hotels in Onondaga County were less full in July compared to a year ago, according to a recent report. The hotel occupancy rate (rooms sold as a percentage of rooms available) in the county declined 5.5 percent to 64.9 percent in July from 68.7 percent in the year-ago month, according to STR, a Tennessee–based hotel
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Hotels in Onondaga County were less full in July compared to a year ago, according to a recent report.
The hotel occupancy rate (rooms sold as a percentage of rooms available) in the county declined 5.5 percent to 64.9 percent in July from 68.7 percent in the year-ago month, according to STR, a Tennessee–based hotel market data and analytics company. Onondaga County’s occupancy rate has now declined four months in a row and 10 of the last 12 months.
Revenue per available room (RevPar), a key industry gauge that measures how much money hotels are bringing in per available room, fell 6.7 percent to $65.43 this July from $70.13 in July 2016. RevPar in the county has also dropped in four straight months and eight of the last 10 months, per STR.
Average daily rate (or ADR), which represents the average rental rate for a sold room, dipped 1.2 percent $100.89 in July, compared to $102.14 a year earlier.
A factor that may be contributing to Syracuse’s slumping occupancy rate and RevPar statistics is the increase in supply of hotel rooms in the market in the last year with two major projects adding nearly 400 rooms, alone. That includes the opening of the 134-room Aloft Syracuse Inner Harbor hotel last July and the reopening of the former Hotel Syracuse as the 261-room Marriott Syracuse Downtown last August. A number of other hotels have also opened in the county in the last three years
More Outdoor Recreation in Schools Would Improve Children’s Health
Access to hunting and fishing would also improve A few years ago, I had the opportunity to chair the New York Assembly Republican Hunting and Fishing Task Force. During that time, the task force held forums and listened to outdoor enthusiasts throughout the state. A primary objective of the task force was to examine how the state
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Access to hunting and fishing would also improve
A few years ago, I had the opportunity to chair the New York Assembly Republican Hunting and Fishing Task Force. During that time, the task force held forums and listened to outdoor enthusiasts throughout the state. A primary objective of the task force was to examine how the state could encourage new opportunities for hunting, fishing, and outdoor sports and it was determined that engaging youth was key to its growth.
One solution that emerged from this task force was to lower the hunting age, which we were successful in doing. Another recommendation that came from the task force was to teach kids about hunting, fishing, and trapping and other outdoor sports, such as archery or orienteering, in physical education classes. While we had some immediate success on lowering the hunting age, including outdoor recreational activities and sports in school curriculum has taken a little longer for the proposal to gain momentum.
There have been a few proposals introduced in the legislature that would expose students to outdoor sporting activities. My legislation would direct the commissioner of the Department of Environmental Conservation (DEC) to work with the Board of Regents to develop an educational program that local school districts could choose to offer related to hunting, fishing, and outdoor education for grades 9-12. While the exact curriculum would need to be crafted by DEC and education professionals, I envisioned the program would include outdoor activities in combination with kids learning more about hunting, fishing, trapping, or other outdoor sports. This could lead to discussions about natural habitats, wildlife, and even help draw attention to our rich history of hunting and trapping. Further, because many of the students may have family members who are outdoor enthusiasts, it may help to create greater connections and teach fundamentals on safety.
Another bill that would encourage more outdoor recreation passed both the Senate and the Assembly this year. If signed by Gov. Cuomo, this would direct the DEC and the Department of Health to study and develop a long-term strategy for integrating outdoor environmental education. The result would be a recreational plan that focuses on creating, developing, and retaining opportunities for outdoor play and learning. The study would consider the overall health of our youth including the current obesity rates, economic trends, and the impact on access to outdoor spaces to create a blueprint for outdoor education and recreation. The bill does not specifically mention hunting or fishing but these sports do create more opportunities for outdoor recreation which has both proven health and economic benefits. If this bill does become law, I would encourage the DEC and New York Education Department to include hunting and fishing as part of this study and any curriculum devised as a result of the study.
Schools should do more to encourage outdoor recreation. Statistics show kids are spending less and less time outdoors. The average American child spends 4-7 minutes each day in unstructured outdoor play and more than 7 hours each day in front of an electronic screen. Incorporating more outdoor play has shown to increase fitness abilities, improve vitamin D levels, improve vision, decrease symptoms of attention-deficit disorder, improve test scores, and increase academic performance. Developing policies and/or programs that foster an appreciation for nature and environmental stewardship, and wise use of natural resources would benefit generations to come.
William (Will) A. Barclay is the Republican representative of the 120th New York Assembly District, which encompasses most of Oswego County, including the cities of Oswego and Fulton, as well as the town of Lysander in Onondaga County and town of Ellisburg in Jefferson County. Contact him at barclaw@assembly.state.ny.us, or (315) 598-5185.
“Nobody knew that health care could be so complicated.” — President Donald Trump I was shocked by the quote above from our president, who made this statement in February 2017, soon after being inaugurated. As you all know, this statement was followed by six months of political debate over the repeal and replacement of Obamacare, also
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“Nobody knew that health care could be so complicated.” — President Donald Trump
I was shocked by the quote above from our president, who made this statement in February 2017, soon after being inaugurated. As you all know, this statement was followed by six months of political debate over the repeal and replacement of Obamacare, also known as the Affordable Care Act. Contrary to the president’s statement, virtually anyone that has any connection to the U.S. health-care system knows that it is extraordinarily complicated. Medical professionals, health-system employees, patients, suppliers, vendors, and the majority of the citizenry would clearly disagree with the president’s statement that “nobody knew.”
This past six months, I have debated with myself whether a column related to health-care reform would be of value. After considerable thought and reflection, I realized that the following column, originally published in the Rochester Business Journal in January 2005, was as relevant today as it was then. As you read the following, it will be clear that the health-care debate has been a subject in political football since the enactment of the Medicare and Medicaid programs in 1965. As you read, remember that I did not have to change one word of what I published in the column some 12 years ago.
•••
January 2005 column
Our health-care cost crisis is of our own making. Before launching into my health-care solutions agenda, please be advised that my opinions are predicated on a foundation of irrefutable assumptions.
• All people are created equal
• No human being is immortal
• We live in a capitalist, not socialist, economy
• Every individual has a right to access health-care services
• Socioeconomic factors create inequality in wealth distribution
• Health-care cost is of legitimate concern
• The vocal majority rules in health-care decision-making
• There is no such thing as unanimous support for health-care policy decisions
With these baseline assumptions, allow me to articulate a 10-point program for improving the cost-effectiveness of our community’s health-care system. Even though I must admit a fiscal bias due to my profession, the quality of health care is of equal importance in addressing these potential solutions. Also, I never intend to run for political office, and these opinions will ensure that I could never be elected.
With all due respect to myriad interest groups and health-care lobbies, here is Archibald’s Top 10 list, in David Letterman format, with no humor intended:
10. Controllable behaviors that negatively impact an individual’s health should be reflected as an increased cost in insurance premiums. If I smoke two packs a day, I should pay more. Abuse of controllable behaviors costs more in life and automobile insurance, why not health care? Tobacco and alcohol companies, beware.
9. Tort reform and caps on personal injury, pain and suffering awards are a legislative requirement. Maine took the first step in what I hope will be a trend in limiting awards in the litigation area. One of the platform issues of the new administration that I agree with is tort reform.
8. Successful reform of the health-care legal system should allow providers to immediately reduce costs associated with defensive medicine. The costs of unnecessary visits, tests, and procedures ordered by service providers to reduce the potential risk of litigation total billions of dollars each year. And malpractice-insurance-premium decreases will be an ancillary benefit.
7. Reintroduce the consumer’s wallet into health-care access and decision-making. If an individual wants to access health-care services, there should be a direct cost to the consumer, subject to income limitations. The recent adoption of health-savings accounts as an incentive for employers and employees to take control of escalating health-care costs is a paradigm shift in our government’s attitude towards health care. Health-care costs are virtually invisible to consumers, and a Wegmans vs. Tops price comparison would certainly affect costs. If you want proof, look at the declining cost trends for Lasik surgery procedures.
6. Reduce the level of administrative and regulatory compliance costs in health care. Depending upon the study, costs in these areas consume up to 26 percent of every health-care dollar. The potential savings are enormous.
5. Technology advancement is wonderful and our nation’s research industry is the finest in the world. However, technology advances frequently increase costs through obsolescence of existing equipment and the incremental cost to providers of adding the new technology. This area may be one of the most difficult to address since any control mechanism that limits new technology must be balanced with appropriate incentives for research initiatives.
4. Controls over the drug manufacturers and pharmaceutical suppliers must be established. The efficacy of drug therapies must be assessed. Blatant and excessive advertising by the pharmaceutical industry to a public that is largely not responsible for the drug cost must be reined in. The final three items on my list are the most controversial of all. If I haven’t lost your vote yet, I am confident that the “Big Three” will push you to pull another lever.
3. Health-care capacity must be addressed through a local community effort. The debate is not about either competition or cooperation but, as Deion Sanders once said, “I want both.” Health-care delivery in this country is largely controlled by local communities. Competition among service providers is an essential element of health-care cost and quality in every community. Leadership without bias is a necessity for success in this area.
2. Establishing standards for patients’ expectations of their right to access health care, both basic and advanced, is a necessity. The research discoveries on the near horizon from genetic mapping will create new opportunities and make obsolete existing equipment and facilities. Bioethical debate must address the essential question of, “Who is entitled to what and at what cost?”
1. End-of-life care must be addressed. We are making progress in this area with health-care proxies, palliative-care initiatives, and other planning processes. However, it’s staggering to know that the majority of your lifetime health-care costs will be spent in the last year of your life.
Health-care spending is approaching 15 percent of our gross domestic product. The baby boom generation, of which I am a proud member, is beginning to retire. The health-care issues we face as a community and a country are overwhelming.
As CEO of Excellus, the dominant insurer in our community, David Klein’s piece in the Dec. 19, 2004, edition of the daily newspaper was of interest. He stated: “A healthier community is fostered when its business leaders, physicians and other health service providers are included in the dialogue and when these professionals work in an environment that has its major health service and financing organizations working more cooperatively and with a focus on community benefit.” While this quote is a mouthful of words, action in support of this philosophy is what is needed.
Each of us must look in the mirror. A realistic assessment of our mortality and myriad issues that must be addressed is imperative. True innovation and industry reform can be a reality in health care.
Ignoring the debate and compromise necessary will only make matters worse.
•••
The only modification to the 2005 column is that health-care costs now represent 18 percent of our gross domestic product. It is truly fascinating to me how little has been accomplished in the past 12 years. We can only hope that the future will bring rational reforms that address each of the major issues discussed in my 2005 column.
Gerald J. Archibald, CPA, is a partner in charge of the management advisory services at The Bonadio Group. Contact him at (585) 381-1000, or email: garchibald@bonadio.com
Sales pitches are short-cuts that save time and don’t require thinking. They’re the stock-in-trade of salespeople, rolling off the tongue easily and unconsciously. They once worked well with customers, but not so much today. Here are some of them. “How can I help you?” This one gets top billing on the list, and deservedly so.
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Sales pitches are short-cuts that save time and don’t require thinking. They’re the stock-in-trade of salespeople, rolling off the tongue easily and unconsciously. They once worked well with customers, but not so much today. Here are some of them.
“How can I help you?” This one gets top billing on the list, and deservedly so. It’s a leftover from the last century, when customers needed assistance and relied on salespeople and marketers, as well as the iconic Sears catalog, to point them in the right direction, followed by the ubiquitous shopping mall. While the catalog is long gone, the mall is fast going dark.
When you think about it, “How can I help you?” is insulting, a turn-off, and a crutch. It’s as if customers lack the ability to identify what they want and then to find it. A more adult approach would be to say, “Let’s talk about what you have in mind.” The role of salespeople and marketers is no longer that of a guide, directing customers to what they want to sell them. Those who make sales are coaches, who take the time to figure what’s in the customer’s best interest.
“We are the competition.” While it may work for Ferrari, this one is nothing more than a self-serving attempt to raise the “look no further” flag. A company that believes it’s out in front of the pack can back up the claim by comparing its product or service so customers can make that judgment for themselves.
There are no secrets today, so attempts at obfuscation or pulling the wool over the customer’s eyes is self-defeating.
“I have just what you’re looking for.” This might be described as the “presumptive opening” or, more accurately, as the “This is what I’m going to sell you, so save time by getting your wallet out now” strategy. Rather than attempting to engage customers, it’s more akin to browbeating than anything else. On top of that, it’s repulsive and demeaning to customers.
“We’ve been in business for 37 years.” There was a time when longevity made a compelling statement for customers, sending a message of stability and that somebody was doing something right. Not now. In fact, it may be just the opposite in the customer’s mind, as companies merge, fail, and, more likely, fall behind.
Old is out. Today, customers flock to startups, the new, and the innovative, particularly if the CEO is 23, not 63.
“You’re going to love this.” Whether it’s a house, an engagement ring, or a refrigerator, telling customers what to think can mean trouble. It’s demeaning, particularly when a stranger, such as a salesperson, does it. And it can come back to bite you. Even though customers make a purchase, they can come to resent being told how they should think about what they buy. What follows is a cancelled order or a quick return. And, no more sales.
“You’ll never do better than this price.” Sure, everyone in marketing and sales is justifiably concerned with price, more so every day. But that’s no excuse for arrogantly announcing to customers that they’re, in effect, stupid not to buy from you.
Such tactics may have worked in the past, but today’s customers don’t respond positively to such tactics. They want the evidence and they feel capable of their own research, even as they’re talking to a salesperson.
“Time is running out. Once they’re gone, they’re gone.” Yes, and you might want to throw in “Order now. Only 11 in stock.” Scarcity gets attention, as psychologists tell us. We balk at losing something we already have for the possibility of greater gain. This can help explain the appeal of mutual funds versus buying individual stocks.
Yet, we also don’t want to lose something we don’t have, particularly if it’s in scarce supply. It’s not surprising that such pitches as “Prices going up in 2 days” and “Only 3 left in stock” are irresistible, and, like magic, compel many customers to hit the “Buy now” button. While there are takers, the more thoughtful and better-informed buyers say, “Thanks, but no thanks.”
“I can see you know what you like.” Customers want to be treated with respect, but today’s customers avoid manipulation by fake praise that’s designed to create a “bond” with the salesperson. Instead of dwelling on ways to get the sale, it’s far better to focus on listening thoughtfully to what a customer says and the questions he/she asks.
“I don’t know how long that’s going to be available.” An upscale retailer had a one-day furniture sale and the place was jumping. Months later, the retailer held a two-day sale event for customers. Much of the same merchandise was shown at the original “special price.”
Playing games with customers destroys buyer confidence and can produce long-term negative consequences. No one wants to be played for a fool.
“Your friends will love it.” This one is used as the “persuader,” when selling everything from clothing to homes, cars, furniture, and jewelry, and the like. It’s aimed at the unsure, the indecisive, the confused, and those who don’t trust their own judgment. It’s as if the customer’s friends got together to give their permission to say yes. It’s a ridiculous idea.
“If you can get a better deal, take it.” This sounds as if a salesperson is daring the customer to find a better price. Not so. In reality, the purpose is to get the customer to back down, to give up, and capitulate, and buy now. Today’s savvy customers don’t take the bait. Instead they take the advice, track down a better deal — and take it.
So, what? Thoughtful salespeople and marketers are aware of the words they use with customers. Do they send the right message? Are they helpful in closing more sales? Or, are they repeated endlessly without thought or meaning?
John R. Graham of GrahamComm is a marketing and sales strategy consultant and business writer. He is the creator of “Magnet Marketing,” and publishes a free monthly eBulletin, “No Nonsense Marketing & Sales Ideas.” Contact him at jgraham@grahamcomm.com, or visit: johnrgraham.com
Today’s ACA forecast: More uncertainty from Washington
With the failure to repeal/replace the Affordable Care Act (ACA) in Congress, state lawmakers should stop waiting on Washington to “do something” about health care. Congressional action, no matter what that action looks like, is unlikely to address the unmet Obamacare promises of delivering health-care access and affordability. Furthermore, an upcoming decision from President Trump on
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With the failure to repeal/replace the Affordable Care Act (ACA) in Congress, state lawmakers should stop waiting on Washington to “do something” about health care. Congressional action, no matter what that action looks like, is unlikely to address the unmet Obamacare promises of delivering health-care access and affordability.
Furthermore, an upcoming decision from President Trump on what do about ACA’s cost-sharing reductions could make the future of the ACA even more chaotic.
More uncertainty is looming
Cost-sharing subsidies totaling about $7 billion were implemented to reduce out-of-pocket costs, such as co-payments and deductibles, for individuals and families below 250 percent of poverty. The cost-reduction payments have not only been controversial, but they are also at the center of a legal battle.
In 2014, House Republicans filed a lawsuit to end the payments since the funds were paid but never appropriated by Congress. The court sided with the House, but the Obama administration appealed. The Trump administration has yet to announce a decision on whether to continue these payments.
These payments will not only impact potential premiums for the 2018 plan year, but also may determine whether there will be a continued exodus of insurers from the ACA exchanges. If these subsidies do not continue, exchange insurers may decide to exit the exchange markets. Their contracts with the U.S. Department of Health and Human Services (HHS) stipulate that, should subsidies end, they can immediately leave the market.
Insurers that stay are expected to raise their premiums even higher to cover the lost cost-sharing subsidies. That would be in addition to the already high anticipated premium increases.
Fewer insurers and higher premiums
Insurers have already been fleeing the exchange markets over the past couple of years. Last year, Pinal County, Arizona was in danger of being the only bare county in the U.S. The state Department of Insurance scrambled to bring in an insurer before open enrollment began.
For most counties, premium increases will be steep. Average premium increases will be in the neighborhood of 20 percent. Premium prices are coming due, and with the prospect of uncertainty looming well past that deadline, there is a good reason to believe that many markets will see rates rise even higher.
What states can do
Regardless of what happens next in Washington, state-level policymakers should continue to strive for meaningful health-care reforms to impact the cost of care in their states. Reforms such as expanding state scope-of-practice laws, rescinding certificate-of-need laws, and protecting charity care efforts can impact health-care access and cost of services.
Scope of practice: Health-care practitioners should be allowed to practice at the top of their education and training. For example, pharmacists are not allowed to administer vaccinations in some states despite being well qualified to do this with minimal risks to the patient. Furthermore, rolling back scope-of-practice laws can help alleviate the shortage of health-care providers, especially in rural areas.
Certificate of need: Facilities and services should be available on the basis of able and willing providers, not on government-sanctioned boards deciding who should be allowed to serve patients. Rather than restraining costs, certificate-of-need laws consistently restrict health-care access and competition.
Charity care: States can also enact Good Samaritan laws that provide legal protection for those offering health-care services. These protections can be particularly helpful for allowing charity groups to provide large-scale charity operations and for medical personnel wishing to assist in response to natural disasters.
Direct primary care (DPC): This is an innovative health-care arrangement that allows patients or their employers to contract with a provider for primary care medical services directly. DPC allows patients to directly and more immediately access non-emergency care and, under many arrangements, allows them to do so as many times as needed at no additional cost. Unlike a typical health-care arrangement, DPC operates independently of traditional health insurance. But in some states, decades-old regulations originally designed to govern the health-insurance market are being imposed on these arrangements, stifling the potential growth of this new health-care option.
Telemedicine: In many states, it is legal for doctors to prescribe treatments through the Internet without ever meeting a patient in person. Unfortunately, there is an increasing push in some states to impose new regulatory burdens on practitioners that have no significant bearing on patient safety. For example, some states have adopted distinct clinical practice rules for these new services that are more onerous than those imposed on traditional providers.
Promote access and affordability
While there is no silver bullet to the problems facing the American health-care system, the answer to the nation’s health-care woes doesn’t lie in bigger bureaucracies and less accountability. That is why state lawmakers should not wait on Washington. They should begin work on meeting the unmet goals of ACA, promoting health-care access and affordability.
Naomi Lopez Bauman is Director of Healthcare Policy at the Goldwater Institute. The institute says its mission is to “defend and strengthen the freedom guaranteed to all Americans in the constitutions of the United States and all 50 states.”
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