[TheCDAllenGroup]

I've just been enlightended from a few, well actually one member here, that I will need to hire a salesperson in order to acquire corporate sponsors for a series of concerts I will be hosting - selling tickets is not feasible because this is the local "up-and-coming" artist scene. Selling tickets would take extremely too long and would not be feasible for meeting appropriate expenses...

So, how do I go about hiring a salesperson when I don't have the funds to do so?

1. Do I hire someone on the basis of commission only?
2. Should I maybe look into acquiring a business partner to handle the sales operation of the business?
3. Should I use pure brain power and setup an affiliate program where the attendees of my concerts can actively refer businesses to advertise since the ad sales spots are pretty inexpensive (less than $1K)?
4. Look for another method of raising funds?

All advice welcome.

Thanks.

[Sam Barona]

Hi, hiring staff (the right staff) is always a tricky business as you're dealing with the complexities of human nature; the same applies to choosing a partner, although this process is even more complex due to the legalities and closer working relationships at play.

1- hiring commission only sales people is vastly risky, and you could end up spending more time recruiting, training, and sacking underperforming individuals than its economically sensible. Thus, I strongly advice against this option.

2- getting a partner with sales expertise is a good idea, but you must be very careful in how much stake you give them, the type of person they are, whether they actually are successful and have a tradeable reputation, their level of active industry contacts (valuable commodity), etc. I would advice in favour of this only if you can secure an experienced person with industry experience and contacts; furthermore, under a contract/service level agreement that will ensure that you don't take on a loser that will just take stock and underperform. Plenty of KPIs incorporated into the contract and with a clause that clearly states that they forfeit all rights to stock should do it, but these are difficult to get someone to agree on and then enforce.

3- affiliate programs sound like a safer/more profitable way of doing things. I dont know enough about these to advice on, but what I hear is good, provided you choose the right partners.

4- another way that I would strogly advice in favour of, is developing a distribution network that could include a number of affiliates. You need to identify which types of businesses currently sell tickets, etc and see if you can strike a deal. alternatively, look for innovative routes to market. You've got an innovative business model, so extending this innovation to the way you sell shouldnt be too difficult. Look at possible tie ins with places that serve your target market and put together an attractive package that will make sense to them (adding value, profit, loyalty, etc).

5- a final way could be direct to attendees; i know that direct selling, on a 1-2-1 basis isnt financially viable, but I am refering more to mediums that allow for a 1-2-many approach, like radio, etc. You could look at getting radio spots through publicity programmes (FREE) as well as TV and press. Also look at promoting the events through things like YouTube, and MySpace, which lend themselves beautifully to this type of venture. Other alternatives include, but arent exlcusive to:
a) product tie-ins: offering "free" tickets when they buy X product; the company partnering will pay for Y amount of tickets to run the promotion, so you get paid regardless of whether the company's campaing is successful or not, or even whether the people attend or not.
b) partnering with mobile service companies, who can offer tickets for sale to their lists
c) partnering with companies with large, and relevant email lists on a per sale basis
d) you could contact my company at the end of next year: we have a patent-pending vending machine technology that allows for the sale of MP3s and MP4s that are pre-loaded with music/video from selected artists, download of music via cable or Blue Tooth, and of course, the sale of concert tickets. We will be launching this in Q-4 2007, so not sure if its the right time for you, but do keep us in mind. We will also be launching it here int he UK first, but are lookingfor worldwide partners.

Good luck

Sam

[TheCDAllenGroup]

^Thanks Sam.

[Sam Barona]

PS. have you tried contacting the Chritian TV channels directly?

You might be surprised at their response. Plus, they hit yor target market beautifully.

Sam

[TheCDAllenGroup]

^No, actually I've decided to put these "live events" business on hold for now - right now I'm focusing on starting my internet radio station.

Hopefully after a period of time, the revenue from the internet radio station can be used to pay for the live events - avoiding the need for an ad sales campaign and increasing brand awareness.

[akula]

you should talk to cameron and evan, both of whom have experience in net radio (podcasting)

sales is a bitch huh?

don't worry, it's the same for everyone

with time, you'll just get hooked, and the only time you'll feel normal is when you're doing a pitch

everyone avoids sales at first, until they get a hit of that "sales high"

after that, they can't stop

in our little chop shop we're lazy, and the two of us do like 100 odd face to face pitches a week

over a grand a month in phone calls not to mention transport, lunches and associated client entertainment

sales is hard

[TheCDAllenGroup]

Originally Posted by akula

you should talk to cameron and evan, both of whom have experience in net radio (podcasting)

sales is a bitch huh?


sales is hard

LOL - You can say that again. But I better get rolling with it soon...

[Sam Barona]

Can you tell me more abouth the radio station? I am interested in finding if its a viable medium to reach my target markets.

~Sam

[TheCDAllenGroup]

^Sent ya a PM.

[Sam Barona]

Thanks, all those involved in Sales, Dont forget to always ask for referrals.

Best advice i ever took

Sam