Easiest Way to Get More Consulting Clients

The easiest way to get more consulting clients is to help your clients get more clients. Damn, that’s a real mouthful!

Put simply, help your clients to make more money and they will keep you as their trusted advisor for as long as you do so.

Plus, they’ll be far more likely to recommend you to other business owners that they know.

Consider Not Taking On All Work
There are many things you can do for a client. Often times your work for them starts off focused on one key goal, like increasing sales … however, as time goes on you end up working on a bunch of additional projects that aren’t really focused on that main target of increasing sales.

There’s nothing wrong with helping your clients on different aspects of their business. Surely, you don’t want to turn down more work (AND money) when your client wants more help from you. But beware. That can sometimes be a mistake.

Your Head On The Chopping Block
As soon as your client realizes that the secondary work you’re doing isn’t helping them to actually grow their business, when the time comes to chop away at expenses and make changes to their business, your head will be one of the first on the block. (more…)

You Are A Consultant. But Are You A Professional?

Today I had a meeting with a real estate agent. I left my office, strolled in the sun down a couple of blocks to a local coffee shop where we planned to meet at 1:30pm.

We’ve met several times before and when my watch hit 1:35pm I had a feeling the meeting wasn’t going to go according to plan.

I Knew What to Expect From This Guy
You see, I’ve met with this guy several times before. He’s always punctual and courteous. So I grabbed an Americano, sat back in the outdoor patio and almost burned my mouth on the steaming coffee …

A few minutes later I pulled out my cell phone and gave the guy a ring. One ring and he picked up. He said, “Michael … oh my god, sh*t *#*! I’m so sorry. I thought I emailed you to push back our meeting, I’m tied up with a bit of an emergency…”

He felt bad, I told him no sweat as I was craving a cup of java and needed the fresh air and that I’d be in touch to find another time that worked.

However, the story doesn’t end here … (more…)

A Simple Yet Powerful Secret to Productivity

Do you want to get more done?

Here’s a simple trick to help you become more productive and get more meaningful work done every day.

In fact, it’s so simple I think you might laugh at me for sharing it with you.

My Prediction
That’s alright though, I’ve prepared myself for that. I figure most of you won’t make it to the end of this post because you think you’re doing it already and because it’s nothing new.

A few more of you will think it’s a good idea … but won’t follow through an implement it.

But the real reason I wanted to post this up for you is because I KNOW there will be a small group of you that really are serious about getting more done and becoming more successful.

You won’t overlook this simple technique and you’ll make sure to try it out for a couple of weeks or a month. And then it will become a regular part of your day.

Okay…so enough preamble and let’s get to the juicy stuff… (more…)

2 Ways Consultants Use Conference Calls to Build Business

There’s no question that one-on-one consulting with clients is the most popular method around. But it’s not the only approach on the block…

Conference calls may sound outdated and boring, yet they’re actually very effective lead generators and are great for group client calls.

Let’s break both of these strategies down and then dig into each…

Lead Generation Using Conference Calls
I’ve shared with you before the impact of offering a free white paper or report to prospective buyers. It works and works extremely well.

While these mediums are great you can often pack a lot more emotion and feeling into a call (through voice) than you can through paper. And that’s where the conference call adds big value.

You can have prospects sign up for a free call on “The 10 Ways to be a Better Manager” if you’re a management consultant … or whatever it is you’ll cover. On the day of the call, everyone that signed up for it would dial in with the number you provide them with. They can then listen to you and a guest talk about this in as much detail as you choose to provide. (more…)

Dealing with Setbacks: Comebacks Book Review

We all face setbacks in our lives at one point or another. That’s pretty much a given and should come as no surprise.

What shapes us and sets one person from another apart is how we deal with these challenging times.

Some choose to stick their heads in the sand … and others take the hit, brush off the dirt and get back to ‘business’.

However, it’s not as simple as that, is it? How people deal with setbacks is an area I’ve found interesting for quite some time.

That’s why I was happy to accept a review copy of the new book “Comebacks” by Andrea Redmond and Patricia Crisafulli.

I’ve just finished reviewing it and wanted to share my thoughts on it with you…

Comebacks profiles 10 leaders who faced serious setbacks in their careers and lives and chronicles how they dealt with them.

These include:

• David Neeleman, who created Jet Blue Airways.
• David Pottruck, CEO of Charles Schwab.
• Patricia Dunn, CEO of Barclays Blobal Investors.
• Christopher Galvin, CEO of Motorola.
• Herbert “Pug” Winokur, on the board of Enron.
• Harry M. Jansen Kraemer, Jr, Baxter International.
• Jacques “Jac” Nasser, Ford.
• Durk Jager, Procter & Gamble (P&G).
• Jamie Dimon, JPMorgan.
• Dale Dawson, KPMG.

Here’s why I think you’ll enjoy this book: (more…)

Web 2.0 Design Principles Explained

The other day I was doing some research for a current web design project I’m working on in the floor cleaning industry and came across an interesting website – Innovatechproducts.com.

My goal was to find other websites with clear typography and a “Web 2.0” design feeling and Innovatech’s website fit the bill. After breaking down the successful design elements being used I figured I’d write a small blog post to let you know what I thought made it a successful Web 2.0 design.

Clean Sans-Serif Fonts
In Web 2.0 designs the use of clean, sans-serif fonts are very popular. For graphic fonts Helvetica and Myriad Pro work very well and for HTML fonts usually Verdana and Arial work great. With this website it looks to me like they’re using a combination of Verdana for HTML and Helvetica in their graphic fonts.

Large Headers of Text
Another common trait of good Web 2.0 design is the use of large text for headers. Once again they do a great job in this area. If you look at the image below you’ll see nice bold and clear fonts and the use of yellow to make key words stand out. They have also used a bigger font for featured products which always makes products stand out.

(more…)

Using LinkedIn for Consulting Sales

So you want to make more sales, do ya? You’ve selected a market to focus on – wise move. So how in the world do you get in front of the people you want to meet?

Referrals are great and should be your first source. Think who you know that knows someone else and so on.

There’s another method however that not enough people take advantage of – LinkedIn.

To most LinkedIn is a site where you signup, add and connect with others that you know and then rarely come back to again – if ever.

But LinkedIn can help you get meetings with your target clients. Here’s how:

Search
Start searching for the industry you’re going after, or keywords in the titles of the people you want to meet with … and do it by location.

That should narrow down some results.

Who Knows Who
Next, go through the profile of each person and see if they are connected, even by two or three degrees from someone you’re already connected to. Here’s where it helps to have many connections.

Go For It
With this list in hand you can then send a little note and invitation to each of these people letting them know how you found them, mention to them who they know that you know, and why you’re getting in touch. (more…)

Great Example of Value-Based Pricing for Consultants

$45,000 and hour. How’s that for a fee?

I’ve talked about value-based consulting fees before. In fact, in my last post I drove home the idea that you want to avoid billing your clients on an hourly basis.

Well, I’m happy to say that I’m not the only one with this opinion.

Business owner, entrepreneur, marketer and writer extraordinaire, Seth Godin just published a post that does a great job of explaining the hourly vs. value conundrum.

Get the whole story here: Seth Godin’s Post

Why Are Consultants Choosing to Starve?

Many consultants are choosing to starve.

I know it sounds crazy, but it’s true and I have no idea why.

They set their consulting fees on an hourly basis. Who else does that? The electrician, the plumber. These can be good solid jobs (in fact, they can be quite lucrative). But is associating their image with these professions really a good idea?

It’s not that there’s anything wrong with the consultant’s skill level or the service they provide. But hourly rates mean both the consultant and the client are clock watching – and that never seems to be a good thing.

Then there’s the project fee. This might be a step up, but the word “project” conjures up the image that there is a definite ending.

Why would you want a definite ending with a client?

Getting paid on an on-going monthly basis makes so much more sense. If you’re providing value and delivering results your clients will be happy to keep paying you.

They’ll see you as an asset to their company.

And, you’ll become a part of their business …  an indispensable one at that!

Consultants need not starve, they only need to structure their consulting business and fees in the right way.

I’ve talked about consultants fees (see the link for an article on using monthly retainers) in more detail throughout this blog.

The other solution aside from setting up a consulting retainer with your client is to introduce value-based pricing. Newbies to consulting find this strategy a hard one to pull off … though it need not be. We’ve touched on value-based pricing before … and I think it’s something we’ll discuss again as it deserves more attention.

Fast Track to Consulting Success
If you’re looking for more detailed actionable information on how to use this strategy effectively to grow your consulting business be sure to check out our new course designed to put you on the fast track to becoming a successful consultant. Check it out here »

Guest Post: How Consultants Should Set Their Fees

Today’s guest post is by Greg Gentschev of Brekiri, and covers some key pointers on how consultants should charge for their fees. Greg spent the past 10 years in consulting, working in areas including growth strategy, competitive analysis, and benchmarking, before moving on to found Brekiri. He also writes extensively about research and business analysis topics at the Brekiri blog.

Setting and maintaining consulting fees can be quite complex for any business, and it can be especially difficult when pricing consulting services because there’s so little publicly-available information on going rates.

Even once you set the base price for your services, dealing with price negotiations and discounts is often uncomfortable. Here are a few things to keep in mind to make your pricing decisions, especially those around discounting, more effective.

Ask for the budget
Too many people write a proposal for a project without having any real idea how much the client has allocated for the work. What’s the solution? Ask. Of course, not everyone will tell you their budget since they don’t want to miss out on a lower price. But if you explain that you want to correctly match the scope of the work with the resources available, many clients will at least give you an indication of the range they expect. Take the number with a grain of salt, but even if they’re low-balling you, it’s best to go into the proposal discussion with more knowledge rather than less.

Trade off scope for price
Negotiating pricing is uncomfortable, and there’s a natural urge to want to win all the work you propose on. It’s tempting to just cave into any pressure the client gives you on pricing, but don’t do it. By cutting scope as you cut the price, you’ll accomplish a couple of things. First, clients who value the bigger scope will often pay for it. Second, your work will be more profitable on average. Finally, you reinforce clients’ perception of the value of your work rather than sliding into a “discount” positioning. Of course, you won’t always get either a higher price or a smaller scope, but make them work for it. (more…)

The Secret of Having Free Time in Your Consulting Business

Some of my friends can’t believe how much ‘free time’ I have. I just got back from a couple of weeks in Europe. I was off for another couple in the fall, and when some friends from Japan recently came into town for 10 days I spent most of the time showing them around and enjoying this beautiful city.

At first glance I can understand why it appears that I have lots of time off. But there’s much more going on than can be see from the surface…

Being a Consultant is Great
There’s no denying that one of the perks of being a consultant is managing your own schedule. If done properly, you can work when and where you please.

I’ve always adopted a flexible schedule. But what many people don’t see is the amount of hard work I’ve put in over the years and the hours I continue to invest.

There’s More Than Meets The Eye
Before starting Advicetap.com I regularly spent 10 plus hours a day on my business. Maybe 5 hours each weekend, that’s 60 hour weeks.

These days however I’m clipping at a steady rate of 14 hours a day.

To some that may seem like too much. No worries, there’s no right or wrong amount and I’m not telling you this to gloat about my workload, on the contrary, I want you to get a clear picture of what’s involved in building a successful consulting business.

All About The Love
That’s why you need passion in this game. I couldn’t put in so much time if I didn’t enjoy what I’m doing.

Sure, my schedule is flexible. Yes, I can take a good chunk of time off when I want. The reality is I hardly do. Even when I take time off, I’m still spending an hour or two working on my business each day in one form or another.

Building a successful consulting biz is hard work. However, if you enjoy what you’re doing and can put in the time, great things start happening.

So what’s the secret? As you can see working hard is a big part of it. Working smart and focusing on the right things is even more critical. The other factor was creating systems and processes in my business to allow my company to run smoothly while I enjoy time off.

**Becoming a Successful Consultant Course**
If this is the kind of thing you enjoy reading and want to find out more about how I set up all the systems in my consulting business, you’ll be interested to know about our course to help put you on the fast track to become a successful consultant. Check out more details here: The Consulting Success System

Guest Post: Keeping the Sales Funnel Full

Today’s guest post is by Greg Gentschev of Brekiri, a business research start-up in San Francisco. Greg spent the past 10 years in consulting, working in areas including growth strategy, competitive analysis, and benchmarking, before moving on to found Brekiri. He also writes extensively about research and business analysis topics at the Brekiri blog.

Most consultants spend a good deal of effort on business development when times are lean but let it take a second priority to delivering on projects when work is plentiful. Often, this approach leads to a pattern of extremely busy periods punctuated by dry spells (and stress). Avoiding those down cycles requires the discipline to constantly refill the sales funnel with new leads.

I can’t claim to be a sales guru, but I have found that simply following a regular process is one of the most important factors for business development success. The key concept to keep in mind is the sales funnel, where the wide end holds prospects (a list of names of potential customers), which narrows down to leads, proposals, and closed sales. The conversion from one stage to the next might vary from 20-50% in most cases. Most people spend the most time thinking about closing imminent sales, but keeping the rest of the pipeline full is critical because those leads will be needed to generate your business for next quarter or next year. Here are some things to keep in mind:

Prospecting
You need to keep the front end of the sales funnel filled with lots of names of potential customers to go after because prospects will drop out for various reasons (no budget, too much else going on, don’t like you). You should always have a list of companies and names at the ready to go after. Sources like Hoover’s, LinkedIn, trade magazines, and conferences are often the best sources for prospects. Of course, you may not have time to go digging for names on a regular basis, but if not, you should have a virtual assistant or analyst do it for you.

Lead generation
Once you have your list of names, you have to establish communication with them. In my experience, many people are not assertive enough in this area. Some potential approaches:

• Ask current or former clients for referrals. Don’t wait for people to offer; you have to ask them.
• Write case studies about your previous projects and mail or email them. People just love case studies, and they’re particularly effective at helping people imagine how you can help them with specific problems.
• Make cold calls. This process can be uncomfortable, especially for introverts, but it’s extremely useful. In this arena, the phone is definitely not dead. Just ask for a 20 minute meeting to introduce yourself and what you do. If you’re not comfortable making those calls, it’s possible to find people who make introductory calls part-time at reasonable rates.
• Use inbound marketing. Writing a blog, being active in industry communities, and so on can make it easier for potential clients to find you. While a certain amount of social media is overblown, don’t underestimate the power of search engines to bring people to your site. This is a topic of its own, but just putting versions of your case studies on your site regularly can be a big boost.

Lead development
Once you’ve made contact, you have to transition from initial conversations towards a sale.

• Stay in touch. Schedule periodic follow-ups, although ideally not more often than every three months. Salesforce.com, Outlook, and Gmail all make this quite easy. Because most clients purchase consulting services infrequently, you need to focus on establishing longer-term relationships.
• Focus on how you can help the potential client, not the other way around. The classic example of this is sending the prospect an interesting article or comment, but the mindset is more important than the specific actions. It might also include making introductions or offering some high-level advice on their issues.
• Figure out how to get a face-to-face meeting. If the prospect is in another location, consider the “I’ll be in town next week” approach. Plan a trip before you have your meetings set up, and then contact all the prospects in that city and ask them to set up meetings since you’ll be in town anyway. If you can afford it, this approach often works better than waiting for a meeting to materialize first.
• Consider initially doing a quick discussion document rather than a consulting proposal. A discussion document tends to be a little less specific and leaves out the pricing until the scope has been finalized. This step allows you to collaborate with the prospect on figuring out the right scope and issues to address without worrying initially about price.

Of course, closing new customers is a challenge in itself that I don’t have space to go into here. But if you do a good job of keeping the front end of your sales funnel full, you won’t find yourself scrambling to replace the business when your current set of projects ends.

Best Strategy for Setting Consultant Fees

First of all, there’s no way I can say that any specific structure of consultant fees are better than others. There’s only what’s best for your situation.

So in today’s post I’m going to tell you about what’s been best for me. After nearly a decade I’ve found one fee structure to work better than all others.

Make Your Life Simple
One thing that makes working a 9-5 job easier than being an independent consultant is the predictable pay. Every two week or each month you get the loot and all is good.

What scares the new entrant in the consulting arena is not getting that steady pay check.

It Doesn’t Have to Be That Way
Guess what? You can get payment from your clients pretty much like clockwork too.

Set your consulting fees as a monthly retainer. This means billing them each month on an agreed to price. And I recommend billing them at the beginning of each month for that month’s work. Yes, it’s pre-payment and it’s good!

How To Make This Happen
There are a few keys to making this happen: (more…)

Consultants Shouldn’t Blow Smoke

For consultants there are really only two things of importance: the results they generate for their clients and their reputation.

The other day Sam and I went to listen to a famous marketing legend talk about his business and the training course his company offers.

Going into this presentation we knew there would be some sales talk. No matter, we weren’t interested in buying anything, but we were interested in meeting this legend and learning from his experiences.

The first thing we were told when we walked in was that this wasn’t a ‘sales presentation.’ Clearly that wasn’t possible. But we hoped the degree of selling would be kept to a minimal as the company even mentioned on the registration event page that this wouldn’t be all about ‘making the sale’.

So what happened? Of course, a large part of the presentation was salesy. I can’t blame the organizers or the marketing man behind all of this – clearly to make a sale you need to sell.

However, if you’re going to tell people this won’t be a sales event and then go on making it one by requesting for ‘the sale’ several times … not only does it become a sales event – your words become a lie. (more…)

Growing Your Consulting Business: A Simple Recipe

If you want to grow your consulting business you just need to ask. Of course, you first need to make sure you’re actually good at what you do…but once you’re confident in your skills and ideally have helped generate some results for your clients, getting more business shouldn’t be a big challenge.

You can make it as complicated as you want to, but it’s really a simple process.

Here are the needed ingredients:

1. You need a cup of skills. I don’t mean that you ‘think’ you have skills, but rather that your clients and those around you believe that you do.
2. A sprinkle of results. There’s nothing more powerful than being able to show you can do what you say you can.
3. 150 grams of satisfied clients. The amount isn’t the issue. One or two happy clients is all you need to get started. They are your references, your living proof.
4. Add a cup of decision. You need to decide what kind of clients you want. That way you can ask for them. Not just ‘clients’, be as specific as possible (industry, size, location).
5. It’s cook time. It’s time for you to ask. Who do you ask? Ask your clients, ask everyone you meet at any chance you get.

Let’s break down this last part a little more.

Start by setting the stage. What you say will vary depending on if you’re talking to a client or a friend. Tell them what you do, what kind of results you’ve been achieving, and then if they know of anyone that fits the criteria of client you are looking for.

If you do this on a regular basis you’ll find yourself being introduced or connected with more and more business owners and potential clients.

This isn’t a magic recipe that’s guaranteed to work every time. But if you do this on a regular basis it’ll start to pay off.

Try it out for a month and see. I think you’ll be pleasantly surprised.