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Are your Customer Relationships prepared for a healthy tomorrow?

The “Seller’s Marketplace” of the past few years may be approaching an inflection point.  Six consecutive quarters of positive GDP in the USA ended in December 2021. The past two quarters of CY2022 have recorded negative GDP growth. Whether the USA economy is in a recession today or will be soon is the subject of much debate, which I will let the economists resolve. Globally, the Chinese economy is projected to remain lackluster, and Europe is facing very strong headwinds. Wherever you look, the red flags are flying high. 


This is a “Call to Action” for us commercial leaders to shore up our customer relationships and prepare for a likely slowdown in our customer shops.  Perhaps you are already experiencing a slowdown and are developing your action plan to counter business decline. Although we cannot change the marketplace direction, we can adjust our plans to counter its impact on our business. 


In my assessment, now is the time to be intimate with our customer’s business. Actions taken today can protect incumbent positions from competitive threats and maximize revenue in the face of downturn. 


By studying the customer’s strategies and action plans, we get a glimpse of the pressures our Buying Influences are facing. Fortunately, public companies make this easier with their financial reports and analyst calls. For others, it takes a bit more digging as you research available information on the internet and in trade publications. Some questions to consider:

  • Do you understand how their company’s business direction will cascade to the “what counts factors” of your Buying Influences? Understanding your Buying Influences’ rewards and recognition will target your solutions for greater success.
  • How is your customer performing in their markets and with their customers? Evaluating your customer’s position in their broader marketplace will help you gauge the challenge.
  • What is your Coach at the account revealing on the impacts these strategies have on other functions across their leadership team? Your Coach will help you navigate their organization.


By thoroughly analyzing the customer’s purchase history and account penetration, we get keen insight into the current business and trends that affect sales.  This will help calibrate what we hear from the Buying Influences as well as develop an action plan with a higher probability of success. A few more questions to consider:

  • When did you last review your business with the customer Buying Influences? If there are any gaps, you and the customer should have an aligned plan to close those gaps. A gap can be under-purchases by the customer as well as over-purchases; either are red flags. 
  • How do the narratives from the different customer Buying Influences compare? Each may share a unique perspective of how their company is performing and how your company can bring unique value. Triangulating these data points will provide greater clarity for your next negotiation.
  • How has your company performed versus the agreements in place?  Has delivery performance exceeded industry norms? Is product quality meeting or exceeding the agreements? Continual reinforcement of your company's value will mitigate the tactical price discussions.


Personally, I love changes in the marketplace. These changes drive intimate discussions with my Buying Influences on their business, reward structure, and joint business development for mutual success. Learning how to navigate these changes takes commercial strategy, personal commitment, and perseverance. 


Ascend Commercial Solutions brings our expertise in Market Development, Sales Management, and Customer Engagement to overcome your barriers to growth. Our structured approach is tailored to your specific company objectives and the challenges you face. The improvements to your business and organization will stand the test of time. 

Feel free to sign up for a no-obligation 30-minute review of your challenges and possible actions we may take to overcome them by pressing the “Get Started” button on LinkedIn or “Let’s Talk!” button on the website. 


Happy Selling!

George

Lets Talk!

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