Relationship selling

As the Jimmy Buffett song goes, “Relationships…we all got them, we all want them, what do we do them…”

In my career, I have often been in rooms of people that have done very well selling by relationships. They have been in a market for a long time, met a lot of people, attended countless rubber chicken dinners, walked hundreds of miles on golf courses, and had enough coffee meetings to keep the Colombian coffee market afloat single-handedly.

They usually listen to people talk about “new” ways to prospect and secure business and smile.

Early in my career, I would camp out next to these folks and learned a lot. They came from the Dale Carnegie school of building business. Shake enough hands, meet enough people. The one question that I never got an answer to was, “So what about the opportunities that you are missing because you don’t have a relationship?” In this economy, the question has become a statement in many cases, “So we have a relationship, I expect a better deal. You are my friend, but I have to cut costs. I hate to do it but…”

Relationship selling by itself relies on a few assumptions:

1. You are the only person or firm that has a relationship with the client or prospective client. Do a Martindale search of how many attorneys are in your area of practice just in a certain geographical area. Divide that by how many companies/ potential clients there are. Look at how many people either have relationships with someone or are actively trying to have a relationship with a potential client and realize you ALWAYS have competition.

2. Relationships are rock solid and nothing can get in between them. When over 50% of marriages end in divorce and these are people that share families, homes, bank accounts, and proclaimed “til death do us part..”Something can always come between you. Gee Mr.(s) Prospect…you don’t talk to your attorney that often but get bills from them, and wow those are high bills. What if you can cut costs? Would a lower rate entice you…

3. Those relationships will always be in a position of power and be able to buy your services. What happens when that relationship leaves the company and now you have to start over with a new contact? What if that company is a big client and the new contact is used to dealing with another lawyer or firm?

4. That you are in fact comfortable selling to people that you have relationships with. Not everyone is comfortable have a business conversation with a friend or asking for referrals from a friend. Building referral networks is a process and a skill.

So what if someone is using another lawyer/ firm for their legal work? Does that mean that the relationship is stronger than the need to change or use other firms? What makes you any different from anyone else that speaks at a Chamber meeting, does a seminar, or exchanges cards at a civic function?

If you went to a doctor for a check up and they spent five minutes with you, told you you looked good and to pay on your way out of the office, how would you feel? That is what many working relationships have become.

My daughters pediatrician is thorough and you hope to secure his first time in the morning. He asks questions, listens, spends time. Answers every question that you have. Researches if he doesn’t know an answer off the top of his head. Will sit quietly and think about my daughters individually and practically has to be kicked out because you feel bad for the long line of folks waiting to see him. He recently diagnosed a since resolved issue that baffled everyone. He managed our risk as parents and still had enough personality to joke with us when the mood was light.

I changed health insurance plans. Price was an issue. I looked at a few plans that his office did not work with but did cover my wife and my doctors. We paid more to keep him as a doctor and changed doctors ourselves. THAT is a relationship.

Are prospective clients looking for a buddy, or are they looking for someone to manage their risk? Are they looking for the cheapest attorney or the one that takes it personal and is the best?

When prospecting, assume that they have heard it all. Assume that they have relationships with other firms. Assume that their “active” needs are met although probe to confirm.

Where can you provide value to them and to their organization? Asking business questions that help identify “latent” needs. Where are they exposed or where is their upcoming risk? You will only find out by asking. When you are done asking, find others in the organization that you can ask questions of.

Separate yourself by the questions that you ask and the value that they see, not just by being an entity that assumes the answers and generates bills.

By understanding the entire situation of a company from legal, products, employment, real estate, finance, operations, etc. you insulate yourself from losing clients by having the ear of many within an organization. Become an investment rather than a cost by proactively bringing solutions to issues that they may face months or even years in advance.

Approach your client development from the clients side and there in lie the relationship.

Written by Andrew Wilcox, Andrew@Wilcox-legal.com, 850-893-8984