Last week I discussed the first five strategies to help transform your bank to be stronger and more profitable than ever before.
Now let’s dive into the next group of strategies that will impact the bottom line.
6. Free the vigilantes. Ray Kroc used to say that until every bathroom in every McDonald’s was clean, they would not add to the menu. You must be equally dedicated to getting your people committed to extraordinary customer service. Spending money on a “sales culture” when your customer service isn’t consistently scoring over 90% is like building a mansion on quicksand.
7. Get wise. Preparing your troops to go out and get premium pricing every time requires a combination of emotional intelligence, mindsets, and skillsets that are substantially elevated. A moderately-skilled sales person will get trapped into a “matching rates” scenario. A master of a profit-oriented sales process, on the other hand, will not get themselves into that position. Being able to create the optimal differentiating value strategies—and helping the prospect quantify the economic impact of those differences—is profoundly important when going after premium pricing. It requires that your people go far beyond basic “consultative selling” methods. It’s been proven that training provides a higher return than investments in technology or capital investments.
8. Go fishing. Since every fisherman knows that the best place to fish is in the fishing hole, why fish all over the lake? Spending valuable marketing dollars on broad-stroke campaigns is just as foolish. Dramatically reduce your investment in radio, television and print advertising, and redirect those dollars to market to your most profitable customers—and people just like them.
9. Clean house. Jack Welch has said, “If you have employees who don’t share your values, even if they’re top performers, they must go.” Free up the futures of employees who are not committed to making a difference for your customers.
10. Finally, seize the whole enchilada. It’s urgent that you capture ALL your clients’ business. If your clients have even one account outside your financial institution, you’re at risk of having your competitors capture ALL of your clients’ business. Remember, if your clients trust you, they won’t want to go elsewhere—even for a better rate.
Discuss these strategies with your executive team and board. Be the hero and live up to what you can accomplish, not only in your bank, but in your community.