Lecture Materials RETAIL BANKING Jack Hubbard Materials RETAIL BANKING Jack Hubbard Chairman and Chief Sales Officer St. Meyer & Hubbard Elgin, Illinois [email protected] 847-717-4328

Lecture Materials

RETAIL BANKING

Jack Hubbard Chairman and Chief Sales Officer

St. Meyer & Hubbard Elgin, Illinois

[email protected] 847-717-4328

August 2, 2016

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1 © 2016 St. Meyer & Hubbard, Inc.

Maximizing Relationship Development through Sales and Service Leadership

Jack Hubbard Chairman and Chief Sales Officer

[email protected] 847-717-4328


5 Cs of Trust-Based Leadership 1.  C________________________________

2.  C________________________________

3.  C________________________________

4.  C________________________________

5.  C________________________________

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Sales Culture Versus Relationship Culture SalesCulture Rela,onshipCulture

CustomerService ConsistentCustomerExperience Consulta6ve TrustandValue-Based Involvement(optin) Commitment(allin) NumbersandTickMarks Quality StraightJacket FlexibleConsistency CampaignaEercampaign Sustainability QuickResults UrgentPa,ence Cross-Selling Cross-Solving BusyBank TargetedandFocused ScoreboardStaring ScoreboardGlancing Marke6ng,Opera6ons,ITControl Partner TrainingEvents LearningOrganiza,on YourWay(myprocess) OurWay(ClientExperienceProcess) ManageNumbers LeadPeople

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What Your Folks Want to Know §  Why am I here? (Role Clarity and Task Clarity)

§  Where are we going? (Vision, Values, Goals)

§  What are the rules? (What’s the sales process – our WAY)

§  How am I doing? (Metrics that Matter)

§  Where do I go for help? (Coaching, Training, Tools)

§  What’s in it for me? (Incentives after you answer the others)


Relationship Development Culture Elements §  The Infrastructure §  Sales Leadership – The Chain and Accountabilities

§  Metrics that Matter

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The Infrastructure

§  Hire right

§  Pay right

§  Live the sales process

§  Make technology sales enabling


Right People, Right Seats §  Less than 15% of “superstar” salespeople succeed as sales

managers

§  Only 19% of effective “hunters” or new business developers are effective at “maintaining” long-term customers.

§  Less than 15% of “farmers” are comfortable “hunting”

§  Nearly 65% of salespeople who “fail” could have succeeded in the “right” type of sales function for their skills

§  People who hire must ask better questions

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Sourcing, Assessing, OnBoarding §  What strategies are in place to source top candidates? §  Sales managers sourcing candidates? (War Board) §  What behaviors do top performer’s exhibit and how do candidates

mirror those? §  What behavioral interview questions are asked? §  What role plays are done during the interview process? §  What sales testing is in place? §  Where are your Sales Managers coming from? §  What retention strategies are in place to keep top performers? §  What sales related skills and competencies are expected and are

they built into job descriptions from the top down? §  How are new employees Onboarded when they join the bank?


One Bank’s Acquisition Questions §  How much of your current business has come through your

direct sales efforts versus the amount you inherited from other portfolios?

§  How do you source and prospect ?

§  How do you secure telephone appointments with prospects?

§  How and when do you bring in partners?

§  How do you find new referral sources and how do you keep mind share with your COIs?

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One Bank’s Retention Questions §  Talk about portfolio retention rates.

§  Give me an example of how you specifically add value to

clients in your portfolio.

§  What words would your clients use to describe their relationship with you?

§  How do your stay current with Share of Heart events?

§  How likely is it that you know the COIs and trusted advisors of your top 10 clients?


One Bank’s Intangibles Questions

§  Describe your pre-call planning process.

§  A prospect has suggested they will become your client if you lower your price. What do you say and do?

§  Describe how you use CRM.

§  Describe your post-call follow-up.

§  Discuss how you use LinkedIn as a value and connecting tool.

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Pay for Performance

§  Some Keys to Success •  Make it easy to understand

•  Let me see how I’m doing

•  Tweak don’t change

•  Pay often

•  Manager overrides improve coaching

•  Avoid the Flea Test


The Relationship Development Process Level 1 – Random Process

•  Anti-process where bankers do their own thing their own way Level 2 – Informal Process

•  Expectation to use the process but no monitoring or measurement Level 3 – Formal Process

•  Bank regularly enforces the use of a defined process. Periodic reviews of the process done to see how effective it is and changes made based on the analysis

Level 4 – Dynamic Process

•  Bank dynamically monitors and provides continuous feedback on use of its formal process. The process is proactively modified when key changes in market conditions are detected

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2016 Sales Process Adoption


Level of Sales Process Employed

© 2016 CSO Insights

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Level of Sales Process Employed

© 2016 CSO Insights


Simple Business Banking Process

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A Retail Process

Face-to-FaceNeedsAssessmentProcess

On-BoardingProcess

#TellerReferrals

Walk-InOpportunity

TellerWalk-Over OutboundCallingProcess

Total#NewAccountsOpened

Future/NoOpportunity

Lead

14DayAppointment

Total#NewF:FSalesConversa,ons Walk-InOpportunity TellerWalk-OverReferral AppointmentKept

SalesConversionRa,o Win/LossRa6o Cross-SellRa6o 90DayReten6onRate

Appointment

NoContact Future/NoOpportunity

NetNewAccounts Consumer/BusinessLoansConsumer/BusinessDepositsOtherFeeIncome

D Total#ClosedAccounts

A

D

C

B


Routines and the Leadership Chain Sustains It

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Get To Go Meetings/Group Coaching §  Huddle: 15 Minute pre/de brief

§  Pipeline: 45 Minute strategic view of activities and team results

§  Skill Builder: 45 Minute meeting for specific skill


The Huddle

§  Identify overall gap to goal §  Recognize individual successes (outcomes and activities) §  Identify improvement opportunities §  Strategize improvement action plans §  Determine specific outcome and activity goals for the coming

week

15-Minute Branch Check Up to:

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Use At The Huddle – Retail Scorecard


Pipeline Meeting Windshield not Rearview §  Meeting Introduction/Review of Success Tip

§  The Week in Review:

•  Team outcomes – gap to goal •  Team activities – gap to goal •  Review of wins and learns •  Discussion of best practice

§  Sales Conversation Strategies:

•  Hot Prospect Lottery •  Book Review – Learning to Life •  Sales Practice in Action •  Partner Visit

§  Preview of the Coming Week

§  Success Tip of the Week – Linked Group and three connections

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Business Banking Rollup Scorecard


Skill Builder Success Factors §  Set agenda ahead – they appreciate and plan §  Isolate the topic – link it to strategic objectives not tick marks §  Prepare one minute of prep to one minute of talk §  Glance at the scoreboard §  Set a positive tone – use icebreaker exercise §  Facilitate not pontificate

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Skill Builder Success Factors §  Skill drills let you see it – nobody likes it – So? §  Be inclusive §  Prepare your partners §  Videos enhance but they are not a “babysitter” §  Give an assignment §  Distribute evaluation §  Follow-up – connect to other routines


Team Meeting Questions. Ask Yourself… §  How does this meeting connect to our strategic, revenue, and

customer experience objectives? §  What is everyone’s role in the meeting? §  What do I need to prepare to make the meeting successful? §  How will participants prepare effectively? §  How does time invested in attending this meeting compare to other

ways we could use our time? §  When partners attend the meeting, how am I working with them to get

them best prepared for an effective interaction with my people? §  What follow-up will I expect my people to do as a result of this

meeting? §  How will I link this meeting to my other coaching responsibilities? §  How can I continue to make this a “get to” versus a “have to?” §  What would I lose and the team not get if we did not have this

meeting?

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The Check-In Process

I N F O R M A T I O N

Q U E S T I O N S

EVPRetail

President

TheBoardofDirectors

EVPCommercial

EVPMortgage

EVPTrust

BranchManager

HeadTeller Personal

Banker

Teller

Rela,onshipManager

Originator TrustOfficer

Rela,onshipManager

Rela,onshipManager

Originator

Originator

TrustOfficer

TrustOfficer


Check-In Guidelines §  Schedule in advance and make schedule consistent

§  In person (first), on the phone (second) – never via e-mail

§  Prepare in advance

§  Keep to 15-20 minutes

§  Balance the conversation (You talk 20% - they 80%)

§  Discuss activities, behaviors, and outcomes (use the scorecard)

§  Link to all other sales management routines - ”During our last

coaching session”

§  Take good notes and create brief action plan

§  Focus on the future, touch on the past

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Check-In Questions – Resource Manager §  How’s the success tip working? Be specific. §  Discuss your best call last week. §  How many sales ready opportunities did you uncover last week? §  Talk about your prospecting success last week. §  What COI(s) did you reach out to last week? §  What did you do to add value to each of them? §  Talk about how you used LinkedIn this week to add value and to

add sales opportunities. §  What appointments do you have this week? §  Talk about something you are reading related to sales. §  What joint calls should I be preparing for this week? §  What can I do to help you this week?


Check-In Questions – Personal Banker §  Discuss your Action Plan from our last Check-In. §  Discuss your best customer conversation last week. §  How many sales ready opportunities did you uncover last week? §  Talk about your Onboarding call successes last week. §  When you left voice mails what did they sound like? §  What percent of them were returned and why? §  What service opportunities did you turn into sales/referral

opportunities last week? §  What appointments do you have this week? §  What telephone calls do you plan to make this week? §  Talk about something you are reading related to sales. §  What in branch observation should I be preparing for this week? §  What can I do to help you this week?

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A Simple Coaching Process §  Isolate

§  Discriminate

§  Observe

§  Communicate (Ask then Tell)

§  Simple Action Plan

§  Connect back to other routines


A=BxC- D

RetailSalesMetricsThatMatter

#F:FMeetings

NetNewAccounts

SalesConversionRatio

ClosedAccounts

(Win/Loss)x(Cross-Sell)x(90DayRetentionRate)o BranchSalesVelocityo TotalNewAccountsOpened/Day/FTEo TotalNewAccountsOpened

Walk-In|Walk-Over|Appointments

o #ofWalk-Overs/Weeko #ofF:FMeetings/Day/FTEo #ofService-RelatedConversations/Dayo Service/SalesConversionRatio

Retail Metrics that Matter

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Retail Scorecard


Sales=AxBxCVelocityD

CommercialSalesMetricsThatMatter

AverageDealSize

#ofSalesReadyOpportunitiesAverageTime-To-Close

Win/LossRatio

o Average-Time-In-Stage

o StageProbabilityToCloseo StageAttritionRateso StageConversionRates

o NewAccounts/Loan

o #ofNewProspectso #ofProspectsWorkingo ProspectConversionRatioo #ofClientOpportunitieso ClientOpportunityConversionRatio

Commercial Metrics that Matter

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Business Banking Rollup Scorecard


Business Banking Coaching Scorecard

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Some Questions to Take to the Bank §  How dynamic is our Customer Experience Process?

§  How do we link the process to our routines? §  How connected are the sales management routines?

§  What are the metrics that really matter for my organization?

§  Do we want a Sales Culture or a Relationship Development Culture?

§  Do we have the Urgent Patience to make it work?

# of Campaign Leads 15

New Retail Checking AccountsNew Retail DepositsNew Retail Loans

Referrals To Partners

90 Day Retention RatioCross-Sell RatioWin/Loss Ratio

Total # of Proactive F:F Conversations

# of Teller ReferralsLead Conversion Ratio

F:F Conversion Ratio

Total # New F:F Conversations

0

86.1%1.25

21.6%

27%

38

19

85.4%1.2

23.3%

28%

598

91

93.8%1.41

39.6%

56%

1,789

71

88.6%1.3

27%

35%

1,881

72

90%1.2525%

30%

1,800

83

0 16 78636046$21K $550K $4,100K$2,550K$2,100K$1,880K

$52.5K $890K $5,900K$3,680K$3,000K$2,650K

10 16 78636046

85.3%1.1823%

27%

1,873

104.7%

454%180

Total # of New Accounts Opened

Referral Conversion Ratio0

30%

0%

60

4

154%

4.7%

180

22

4510%

10%

180

17

457.8%

4.7%

180

31

4514.2%

10.1%

This Week MTD Top 20%Peer AveYTDQTD GoalGTD Actual

B

C

# of New Credit Ready From Prospects

# of Closed/Booked Loans

Average Deal Size

# of Products & Services Per Loan

Average Time To Close

Win/Loss Ratio

Total New Credit Ready Opportunities

Total New Sales Ready Opportunities

New Loan $

New Deposit $

New Non-Interest Income

# of New Credit Ready From Clients

# of New Sales Ready From Clients

# of New Sales Ready From Prospects

Prospect Credit Ready Conversion Rate

Prospect Sales Ready Conversion Rate

# of New Prospect Leads

0

2

2

0

0%

0%

2

6

6

9

9

12%

18%

50

16

17

17

28

11%

20%

140

New Opportunity Management This Week MTD Actual QTD Actual Goal Peer Average Top 20%

Sales Pipeline Management

Financial Results

2.3

1

$400,000

68.3 Days

50%

2

2

1.91

7

$350,000

71.3 Days

39%

12

18

1.93

20

$347,500

69.3 Days

44%

33

45

$2,000

$10,000

$400,000

$200,000

$165,000

$2,450,000

$636,100

$500,000

$6,950,000

15

15

18

18

10%

12%

150

2.0

18

$375,000

60 Days

50%

30

36

$675,000

$540,000

$6,750,000

12

18

18

18

8%

12%

10

2.1

18

$400,000

62.5 Days

50%

30

36

$630,000

$630,000

$7,200,000

9

21

21

9

15%

15%

60

2.5

21

$450,000

53.1 Days

70%

30

30

$1,204,500

$781,500

$9,450,000

# of New Credit Ready From Prospects

# of New Credit Ready From Clients

# of New Sales Ready From Clients

# of New Sales Ready From Prospects

Prospect Credit Ready Conversion Rate

Prospect Sales Ready Conversion Rate

# of New Prospect Leads

New Opportunity Management

7

6

6

7

10%

10%

20

Carl Dean

2.6

10

$375,000

54.2 Days

77%

13

13

$396,500

$285,000

$3,750,000

0

10

10

2

0%

10%

20

Ann Phillips

2.2

6

$400,000

61.5 Days

50%

10

12

$240,000

$215,000

$2,400,000

9

1

1

19

18%

38%

50

Tim Adams

1.0

4

$200,000

102.1 Days

20%

10

20

$0

$0

$800,000

# of Closed/Booked Loans

Average Deal Size

# of Products & Services Per Loan

Average Time To Close

Win/Loss Ratio

Total New Credit Ready Opportunities

Total New Sales Ready Opportunities

Sales Pipeline Management

New Loan $

New Deposit $

New Non-Interest Income

Financial Results

3

7

7

3

15%

15%

20

Top 20%

2.5

7

$450,000

53.1 Days

70%

10

10

$401,500

$260,500

$3,150,000

4

6

6

6

8%

12%

50

Peer Average

2.1

6

$400,000

62.5 Days

50%

10

12

$210,000

$210,000

$2,400,000

5

5

6

6

10%

12%

50

Goal

2.0

6

$375,000

60 Days

50%

10

12

$225,000

$180,000

$2,250,000

Documents

Lecture Materials RETAIL BANKING Jack Hubbard Materials RETAIL BANKING Jack Hubbard Chairman and Chief Sales Officer St. Meyer & Hubbard Elgin, Illinois [email protected] 847-717-4328