Thursday, 24 May 2012

Medical Sales



Are you the Supply Guy?

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Industry Specific - Medical Sales
Written by Anita Sirianni   

It's no cinch selling equipment. You've got to deal with government regulations and physicians' fear of them. You've got to stay on your toes with clinical and technology changes. You need to follow up, then follow up some more. But the bottom line is, if you're losing sales, check out the mirror before blaming anybody else.

Customers say that the No. 1 reason reps walk into their offices and see equipment they didn't sell is that the customer sees the rep as their supply guy, said Anita Sirianni in her presentation 'The Secrets to Selling Equipment' at HIDA 99. Sirianni (who writes the 'Xs and Os for Sales Pros in Repertoire) had spoken to dozens of customers and top-performing reps prior to making her presentation.

'So I asked them, 'How can we get you to see [reps] differently?' Their answer: 'Act in ways that the staff and doctor value.''

Be An Expert

It's hard to be valued if you don't know what you're talking about. That's why reps need to learn as much as they can about the equipment they sell and the practices they're trying to sell it to.

Tip No. 1: Hang out with the people who know most about the equipment you sell -- the manufacturers. Pursue partnerships with them. 'I recognize you represent many different products and technologies,' said Sirianni. 'The reps' job is to identify who you want to align yourself with, support, and sell with.'

Take another look at your manufacturers as if you were seeing them for the first time, advised Sirianni. Take them to lunch and pick their brains about what they know and what they can bring to the party for you.

Reps resist co-traveling [with manufacturers] because in the past, some manufacturers have gotten too aggressive with the customer, and that's not the rep's style. 'I'd suggest that before you [co-travel], you talk about the game plan. You need to drive that,' she said to the distributors. 'Give the manufacturer a chance. If they violate it, make some decisions about other partners.'

Know Your Customers

Knowing products is essential, but it's not enough.

'The more you know everything about every product in every practice, the more value you will bring to every one,' said Sirianni. The H. R. Chally Physicians' Office World Class Sales Survey (see the June, July and August 1999 issues of Repertoire) showed that customers value their reps on the basis of how well those reps understand the customer's business. 'Unless they have a feeling that you understand their business, they'll look at you as the supply guy,' said Sirianni.

Knowing your customer means raising your radar about what's going on in the practice. 'The biggest reason many practices and patients do not benefit by the technology reps sell is that reps miss the opportunities that are obvious and present in the offices they call on,' she said. So, reps need to raise their radars three ways:

• Identify key clues in the practice environment. Is the equipment old? What's the profile of the patients at the practice?

• Identify situational clues. Are patients complaining about having to go to a lab for a test? Is the office staff having to place calls to service reps for equipment repairs?

• Identify conditional variables. Is a major repair coming up?

• 'Conduct quarterly or semi-annual business reviews with your customers,' advised Sirianni. 'It's not a new concept, but how many people are doing it?'

Ask Questions

Ask effective questions and customers will perceive you to be an expert. And, if you ask the right questions, you will be an expert.

Start with the basics: 'What products are you currently using?' Then ask, 'What do you like about your current technology? Is it meeting your current needs and expectations?'

Write down the answers. It'll keep you focused and will signal to the customer that you're truly interested in their business. Be mindful that reps have an uphill climb when it comes to asking questions, simply because they have asked so many manipulative ones in the past. ('If I showed you a piece of equipment that could save you $400,000, would you want to look at it?') Keep at it, though, and you'll break down that barrier.

Be There!

Selling equipment is like growing a garden, said Sirianni. If someone else is picking the flowers that you planted, it could be because you failed to nurture the seeds.

'It's your job to nurture that account, to identify the hot buttons,' she says. 'And it's your job to protect those accounts.' 'When I talked to physician office decision-makers, I asked them, 'What can reps do to improve equipment selling?'' she said. 'One of their top questions was, 'Where are they when the manufacturer's rep is doing the demo?''

Be there, she said. Your customers are holding you responsible for the follow-up service. If you're not there for the demo, what kind of message are you giving the customer?

If successful reps understand anything, it's the importance of continuous daily improvement. According to Sirianni, one rep told her, 'The more I know, the more of a tool I am to that practice. The more I know, the more I can use my knowledge to retain the business.'

Sounds like a plan.

 

So What! Why Should I Buy From You?

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Industry Specific - Medical Sales
Written by Mace Horoff   

You’re excited!  Your

company has just given you a product or service to sell that every one of your customers needs.  Medical sales people wait months, or even years for these products or services to be released.  This should be a slam-dunk, or as many product managers like to tell the field sales force, “We have given you a license to kill!”  Before you start “gunning for bear,” make sure you consider your prospect’s perspective first.

Remember, in the medical sales world, the little voice in your prospect’s head is probably asking two questions.  The first, of course, is WIIFM (what’s in it for me) or WIIFMP (what’s in it for my patient).  The next question is, “Why should I buy from you?”

Sales people walk around trying to sell their products the same way that their competitors sell, and then become upset when their prospects treat that product or service as a commodity.  What are you doing to make it less of a commodity and more of a unique solution to one of your prospect’s problems?

Here is a simple test for when you are practicing your sales presentations (you do practice your sales presentations before actually giving them, right?).  Every time you make a statement about your product or service in your sales presentation, give it the “so what” test.  The “so what” test is simple.  Just ask yourself, can the prospect, when he or she is comparing your offering to what he or she already has, say “so what?”  “So what” implies that what they are using already has that feature, or every company’s product has that feature, or should have that feature.

Another way to look at the test, is to be able to nullify the “so what” if they should say it.  Let’s say that your product comes in 8 different sizes.  So what! Everybody who makes your product makes at least 8 different sizes.  But what if you make 8 different sizes and each of these sizes are completely interchangeable with the other components in your product line – something your competitors cannot state.  You now have a way to pass the so what test!

What it comes down to quite simply, is “what reasons are you giving your prospect to buy from you?”  If you can present your product in a way that positions it as unique, then you have a shot at a sale.  But if the customer perceives it as just a “me too” product, then you are probably just wasting both your time and his.  Try the “so what” test the next time you prepare a presentation.  Chances are, you will create a more compelling argument for why your prospects should buy from you.

 

What Happens When You Can't Even Buy A Customer Lunch?

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Industry Specific - Medical Sales
Written by Mace Horoff   

There is always an organization, agency, or person who is trying to re-define the way we do business with health care providers. Have our customers been influenced in the past by “the perks” of the business? As we all know, some have been persuaded, while others (often to our disappointment) have not had their buying decisions influenced in the least.

When the AdvaMed (Advanced Medical Technology Association) Code of Ethics for Interaction with Health Care Professionals became effective in January 2004, it changed the way many medical device and pharmaceutical companies did business. Prior to that date, sending physicians to courses at posh resorts one or more times each year was standard operating procedure. In many segments of the industry, all of the competing companies were involved. It was a great way for manufacturers to showcase their wares and capture the physician’s attention without the distractions of his or her practice.

Investing in these trips was considered the cost of doing business for many medical device and pharmaceutical reps. While the companies would often pick up the tab for these jaunts, many representatives would have to cover the costs themselves. When one is “gambling” hundreds, or even thousands of dollars on a customer with no guarantee of a return on investment, many were glad to see the practice become restricted.

But what is the effect when you can’t even buy a customer lunch? There has been some buzz as of late regarding the practice of pharmaceutical reps bringing breakfast and lunches into their physician customers’ offices. Many believe that even a simple, relatively modest amenity such as this influences physicians to prescribe drugs based on an “air of obligation” as opposed to good decision making.

Regardless of the outcome of those who seek to keep health care sales representatives from influencing customers with trips, gifts, or food, many reps fear that it will have a negative impact on their businesses. My belief is that it will have an extremely positive impact – for those who can sell, build relationships, and provide excellent service to the customer.

The best selling environment has always been one where the business went to the sales person who had the best product, did the best job of presenting that product, and then took care of the customer. If you worked for a company that didn’t open its wallet for you to send your customers skiing in Aspen or wine tasting in Napa, then there were some levels of the business where you just could not compete. Much of that has ended for many of the member companies in AdvaMed and the playing field is more level.

But what can one do about losing the contact opportunity that comes with bringing lunch to a doctor’s office? This was always a sure way to obtain at least a few minutes of sell time with someone in the practice when no other time was provided. What can take its place?

Just as before, sales people still have to find or create selling opportunities. As long as problems exist for which you and your company have solutions, there will always be a way to reach the customer.

If you sell pharmaceuticals, the physician will always want and need samples to give his patients. Create the expectation of spending time with the doctor at least a few times each month or quarter if he expects to get his sample supply. Let him know that you value his time by presenting your product in an efficient manner that communicates benefits in a way that can help the doctor’s patients.

If you sell medical devices, your job, as before, is to identify problems and communicate to the physician that you have solutions. If you do this well, he will schedule time to see you.

We discuss some of the techniques for getting to the doctor in another article.

Rejoice in the fact that many of your competitors are going to have to find new ways in the door as well. Make sure that you are up to the task of effectively reaching the customer despite any barriers that may intervene.

And for all of your competitors who had it too good for too long because of deeper pockets than yours…it’s time to eat their lunch!

 

There Is No Such Thing As A Competitive Account!

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Industry Specific - Medical Sales
Written by Mace Horoff   

You have customers who are buying from the competition for years. Whenever you make a sales call, they tell you how satisfied they are with Brand X, and that there is no reason for them to consider a change at this time.

Many medical sales people make the mistake of labeling these prospects “competitive accounts” or “competitive providers.” When you do this, you are taking yourself out of the game, and in this business, the game is never over!

When you allow the “competitive” label as it relates to a prospect or customer into your subconscious mind, you are reducing the possibility in your mind that they will ever do business with you. This affects your overall approach to this account since every attempt to make a sale feels like you are just spinning your wheels. And guess what – if at some level you feel that the provider or account will never do business with you, by virtue of how you approach this account, they probably never will.

By now you are asking, “If they aren’t competitive accounts and customers, then what are they?” They are prospects, customers, and accounts in your territory who are not buying from you yet. That’s all.

It’s time to start treating the prospects and accounts that you have not yet developed a fruitful business relationship with, the same as the customers and accounts that you have. That’s right - treat them like you have already earned their business and have established a business relationship with them. When you make a sales presentation, expect the same results as you do with your current customers. You expect your existing customers to buy if you present something that will improve how they care for their patients, right? Why expect the other potential customers in your territory to respond any differently? Don’t make up their minds for them, after all you are offering them the same product that your current customers are buying, correct?

There is some sage advice in the sales world: “Expect the sale.” It holds true today and it always will. Think about it for a second – if you don’t expect the sale, then why are you getting out of bed every morning and going to work as a sales professional? Certainly not to achieve what you don’t expect!

The accounts in your territory are every bit as much yours as they are anyone elses. Sell to all of your customers and prospects with the same expectations! When a customer tells you, “No, I’m not ready to change at this time,” just relax and tell them in an empathetic way, “I understand. When you are ready, whether it’s tomorrow, or next year, I’ll be here.” And then try to sell them tomorrow (i.e., don’t wait until next year!)!

Opportunities for change occur by the minute in this business. Your job is to stay in your accounts’ target radar zone at all times so that the moment there is the slightest doubt with their current provider – there you are!

There are no competitive accounts – just accounts that are yours, and those that will eventually be yours. Approach them with the same expectations, and in time watch what happens. Your competitors will be describing your new accounts as “competitive accounts.”

 

The 3 Steps to Overcoming Intimidation

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Industry Specific - Medical Sales
Written by Mace Horoff   

Medical sales representatives all experience some level of intimidation at one time or another. This article will focus on why it occurs, the problems it can cause, and how to overcome it.

Why Reps Get Intimidated

Medical sales reps sell to experts in their fields. Whether we are selling to a physician, a nurse, or a certified technician in one specialty or another, we assume that they have far more knowledge about their chosen profession than we ever will. I’m going to focus on the physician for this article, since it is normally the physician who has the most education and training in his chosen field of practice.

Let’s say that you are a new sales rep for a medical products company, or you were just given a product line, which is far different from what you have been selling. Knowing that we possess only a fraction of the knowledge that a doctor has about a given subject can be intimidating when our job is to offer him a solution for a problem. We know consciously that we are not an “equal” in his area of expertise. This kind of thinking reduces our status down a notch from where we see ourselves when compared to the doctor.

The doctor controls the environment in which we sell. We call on him* in his office, or his clinic, or work with him in his operating room where he is King! Everyone you meet in that environment will treat him like the boss. We are selling to someone who is usually in control of his environment – and that can be intimidating.

Speaking of control, if you are not an experienced, competent, presenter, the doctor will frequently take control of your sales presentation. When you lose control, that’s really intimidating – and frustrating!

Also, we always know that the doctor, just like any other customer, has the ability to reward us (give us business), ignore us (not give us business), or punish us (take away business that we already have). Many reps feel like they are at his mercy (and to some extent you are, but so what!) and this can be very intimidating.

The other intimidation element is that some doctors want to be intimidating. Many will treat sales representatives as second-class citizens by talking down to them in ways that suggest they are little more than glorified street vendors. Being treated like a peon does little for one’s self-esteem, and that can be intimidating.

There are two problems with intimidation in sales. The first is that you don't feel very good about yourself. This also contributes to the second problem which is you don't sell very well because your lack of confidence is sensed by the customer and your intimidation short-circuits your sales abilities.

The 3 Steps to Overcoming Intimidation

1. Develop the Right Attitude
You must consciously adopt an attitude that the customer, in this case the physician, is at least your equal as a human being. Treat him with the dignity and respect that he deserves, but see him as an equal, after all – you are both professionals!

Attitude is not about “copping an attitude.” It’s about being confident. Too many medical sales representatives see the relationship with the physician as a one-way street where it is the doctor providing the rep with business. Aren’t you bringing something to the table as well? Do you offer products and services that help the physician improve the care he provides? Are you well versed in product knowledge that helps to educate the physician and his staff?

Attitude is about seeing yourself as someone who can partner with the customer to help him get the job done. Sometimes he will act like he can get the job done without you, but realistically he can’t. Physicians require a vast team to take care of their patients and a big part of that team is the sales people whose companies manufacture the products he needs.

Can’t he buy those products from one of my competitors” you ask? Of course he can! But you need to believe in your heart that his doing so would not provide for his patients as well as you and your products can. Why? Because if you don’t believe that your offering is in many ways superior to your competitors’, even if it is only because you come with it, then why are you selling this product or service in the first place?

So that is rule number one – when you walk into the doctor’s environment, you are a professional with equal standing as a human being. But you must make sure you are competent, which is the rule number two.

2. Develop Competency

Nothing reduces intimidation and improves your attitude like being competent! Competency in medical sales involves 3 areas:
• Core knowledge about your market segment
• Product knowledge
• Professional selling skills

Core knowledge includes everything you need to know regarding the market segment or specialty to which you sell. For example, if you are selling a line of products specific for cardiac surgery, then you need to learn cardiovascular anatomy and physiology and become knowledgeable regarding the different cardiac surgical procedures associated with your products. Learn the surgical protocol, potential problems and solutions, why one procedure is preferred to another, etc.

Product knowledge is essential! No one that you sell to should know more about your product than you do! You must master all the aspects of your product lines including a familiarity with any competitors. Your products must be the area where “you are the expert.”

Professional selling skills position you as a professional and place you in control when you are discussing your area of expertise – your products! When you have confidence in your ability to present your ideas, know how to prepare, and can handle any situation that gets thrown your way, little can intimidate you.

3. Accept The Worst That Can Happen

Sales people get intimidated because they feel that they have something to lose, namely the customer’s business or any business opportunities in the future. Professional, competent sales people know how to leave the door open for future opportunities when they don’t get the sale or they lose some business to a competitor. Treat any failure to close new business or loss of business as a temporary situation. Let the customer know that you will be available when he needs what you offer, if not today, then tomorrow. Remember that you have other people to sell to in the mean time.

Summary

Intimidation can result in sales when we diminish our opinions of ourselves when compared to others. Our job is to serve the customer by offering him products and services that enable him to do his job, or do his job better. When we work with professionals and see ourselves as competent professionals as well, intimidation will be a thing of the past.

The best way to overcome intimidation is to not be intimidated. Learn to project a professional and courteous attitude, and confidence in your abilities at all times. After all, you are a medical sales professional!

_________________
* I use male pronouns for simplicity and brevity since the vast majority of physicians I have worked with are males. I recognize and respect that we sell to many female professionals as well.

 
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