Compliance problems & solutions

I am asked all the time to help businesses find growth drivers. Almost without exception, I ask them about the compliance requirements associated with their products or services. The reason is actually very obvious – your customer has little choice when it comes to complying with regulations. Failure to do so might result in a fine, office or plant closure or even, in the worst case, the company directors going to jail. Don’t you want to be the supplier who is able to stop all those nasty things happening?

Every sector of business is littered with regulations. There are numerous reporting requirements in health and safety, taxation, employment, waste disposal, building design, product labelling and so on. No matter what your business is, you can’t get away from them. Nor can your customer, which is where the door opens for you. In business we are always seeking is a way through the door. Once inside, you get to put your sales proposition forward. But if you don’t get in the door, you never get the chance of a sale.

Regulations drive sales because they reduce sale resistance, decrease the sales cycle and have less price pressure. When we have no choice about doing something because the alternative of not complying is nasty, we tend to get on and do something about it. If you happen to have a product or service which satisfies the need to comply, you have a very good chance of a sale. If you happen to be the only one who can do that, the market is all yours.

Obviously, your first choice would be the supplier of the solution. Look around your sector and identify the regulations which are in the field of knowledge or solutions in which you work. Can you incorporate a solution into your product or service set? If you can’t build a solution, can you buy it in or secure a distribution agreement to make it available?

If you don’t have the capability to supply a compliance solution, find a strategic partner that you can work with who can. The customer door is opened with a compliance solution, but once opened, other products and services can be cross-sold. As they say, it is always easier to sell to an existing customer than to find a new one. The key is to get the customer relationship and this is where compliance solutions are critical.

If you are not currently offering a compliance solution, you might think about doing so in the future. The current regulations will have existing suppliers, but new regulations and emerging regulations may not. Find out what changes are coming in your target sector and then either develop or acquire a solution. Let your customers and prospects know about your solution as soon as you have it available so that you can be first in line when the new regulations starts to bite.

Higher growth occurs when you reduce the sales cycle and so you should always be looking for products and services which can assist you to do that. Compliance solutions should be at the top of your shopping list.