![\"when\"](\"http:\/\/www.enxmag.com\/twii\/wp-content\/uploads\/2015\/07\/when-300x200.jpg\")
I get it, we all need to drive net new business.\u00a0We can’t survive by continually upgrading our base. Personally, I do a pretty good job with acquiring net new business.\u00a0 A quick glance at my CRM will show that roughly 60 percent of follow ups and cold calls are for net new accounts.<\/p>\n
Many dealerships\u00a0will offer incentives to their sales reps to garner net new business.\u00a0Thus, those dealerships\u00a0are willing to give away a piece of the pie to grow their revenue stream.\u00a0Good for the client, good for the dealership, and good for the sales person. Everybody wins, right?<\/p>\n
What Defines Net New Business?<\/strong><\/p>\n All\u00a0dealers will\u00a0agree\u00a0that net new business is an account that you have no play in\u2014you\u2019ve never sold them a thing.\u00a0 Not only is it net new business, it’s a net new account. Woo hoo!<\/p>\n Another caveat that may or may not be considered for net new business is that the account can qualify if your dealership has not done any business with them\u00a0within a certain time frame.\u00a0They got away from you years ago and you were able knock out the incumbent\u00a0and win them back.\u00a0Your relationship with the client stood the test of time.\u00a0Knocking out the incumbent with your devices generates additional revenue for the dealership.<\/p>\n If you knock out a competitor\u2019s piece of equipment and place your new equipment that’s net new business, right?<\/em><\/p>\n It seems that it’s not that easy. Let’s\u00a0assume you have an account that has 10 imaging devices.\u00a0You own half of the devices and the competitors own the other half.\u00a0You’ve worked the account for years and finally you knocked out the remaining five systems. Do the five new systems count as net new business?\u00a0 That’s a bone of contention and differs from dealer to dealer. Some will say it counts others will not count that as net new business.\u00a0I’m in the camp that will take the side of how is that not net new business? You knocked out the remaining five systems, captured additional clicks, and grew the business.<\/p>\n Let’s take another scenario, the customer got away from you many years ago, they upgraded one device with a competitor and still have one of your older systems.\u00a0 After five years you have a chance to get the business back, however, you discover that 12 months ago they bought one toner cartridge for $49\u00a0from your dealership\u00a0for the one old device.\u00a0There are dealerships that will say \u201cNada, this account will not\u00a0qualify as net new business because they bought that $49 toner cartridge from us \u2018x\u2019 amount of months ago.\u201d<\/p>\n I don’t understand this either, what part of the new hardware sale\u00a0($15K)\u00a0is not net new business when you knock out the incumbents device?<\/p>\n Next month, I’m thinking about buying a new car.\u00a0Right now I have an older Eclipse. The dealership that I bought my car from is no longer in business. I’m going to go buy a buy a Ford from a local dealer. Last month I bought an air filter from them for my son’s car. Do you think that dealership will count my business as net new or not net new because I bought the air filter a few months ago?<\/p>\n Good selling!<\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" I get it, we all need to drive net new business.\u00a0We can’t survive by continually upgrading our base. Personally, I do a pretty good job with acquiring net new business.\u00a0 A quick glance at my CRM will show that roughly 60 percent of follow ups and cold calls are for net new accounts. Many dealerships\u00a0will offer incentives to their sales reps to garner net new business.\u00a0Thus, those dealerships\u00a0are willing to give away a piece of the pie to grow their revenue stream.\u00a0Good for the client, good for the dealership, and good for the sales person. Everybody wins, right? What Defines Net New Business? All\u00a0dealers will\u00a0agree\u00a0that net new business is an account that you have no play in\u2014you\u2019ve never sold them a thing.\u00a0 Not only is it net new business, it’s a net new account. Woo hoo! Another caveat that may or may not be considered for net new business is that the account can qualify if your dealership has not done any business with them\u00a0within a certain time frame.\u00a0They got away from you years ago and you were able knock out the incumbent\u00a0and win them back.\u00a0Your relationship with the client stood the test of time.\u00a0Knocking out the incumbent with your devices generates additional revenue for the dealership. If you knock out a competitor\u2019s piece of equipment and place your new equipment that’s net new business, right? It seems that it’s not that easy. Let’s\u00a0assume you have an account that has 10 imaging devices.\u00a0You own half of the devices and the competitors own the other half.\u00a0You’ve worked the account for years and finally you knocked out the remaining five systems. Do the five new systems count as net new business?\u00a0 That’s a bone of contention and differs from dealer to dealer. Some will say it counts others will not count that as net new business.\u00a0I’m in the camp that will take the side of how is that not net new business? You knocked out the remaining five systems, captured additional clicks, and grew the business. Let’s take another scenario, the customer got away from you many years ago, they upgraded one device with a competitor and still have one of your older systems.\u00a0 After five years you have a chance to get the business back, however, you discover that 12 months ago they bought one toner cartridge for $49\u00a0from your dealership\u00a0for the one old device.\u00a0There are dealerships that will say \u201cNada, this account will not\u00a0qualify as net new business because they bought that $49 toner cartridge from us \u2018x\u2019 amount of months ago.\u201d I don’t understand this either, what part of the new hardware sale\u00a0($15K)\u00a0is not net new business when you knock out the incumbents device? Next month, I’m thinking about buying a new car.\u00a0Right now I have an older Eclipse. The dealership that I bought my car from is no longer in business. I’m going to go buy a buy a Ford from a local dealer. Last month I bought an air filter from them for my son’s car. Do you think that dealership will count my business as net new or not net new because I bought the air filter a few months ago? Good selling! <\/p>\n","protected":false},"author":10,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[87,1638],"tags":[106,151],"_links":{"self":[{"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts\/13560"}],"collection":[{"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/comments?post=13560"}],"version-history":[{"count":1,"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts\/13560\/revisions"}],"predecessor-version":[{"id":13562,"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/posts\/13560\/revisions\/13562"}],"wp:attachment":[{"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/media?parent=13560"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/categories?post=13560"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.enxmag.com\/twii\/wp-json\/wp\/v2\/tags?post=13560"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}