Protecting Gross Profit: The Emotional Intelligence Approach [RR 841]
Episode 841 •
18th April 2023 • Remarkable Results Radio Podcast • Carm Capriotto, AAP
00:00:00
00:31:40
Shownotes
Dan Taylor uses emotional intelligence (EQ) as a platform to understand why organizations struggle to meet their gross profit goals. He emphasizes the importance of understanding and managing emotions in order to build trust with clients and achieve GP goals. He also emphasizes the importance of balancing empathy with financial responsibility in the automotive industry.
Dan Taylor, Senior Business Advisor, Transformers Institute
Show Notes- Watch Full Video Episode
- Protecting Gross Profit [00:00:43] Dan Taylor discusses how emotional intelligence can be used to understand why organizations struggle to meet their GP goals.
- The Importance of EQ [00:01:23]
- Identifying the Problem [00:03:02]
- The Three Players [00:03:41] Dan Taylor explains the three players involved in protecting GP: the individual, the client, and the organization.
- Triple Win [00:04:18] Dan Taylor discusses the importance of achieving a triple win for the client, the organization, and the individual.
- Emotional Intelligence and the Five Major Emotions [00:07:18] Dan Taylor explains how emotional intelligence plays a role in protecting gross profit margins and discusses the five major emotions: mad, sad, glad, guilt, and fear.
- The Role of Shame and Perfectionism [00:09:04] Dan Taylor talks about the role of shame and perfectionism in high performers and how it relates to interactions with clients.
- Assessing Emotions [00:11:08] Dan Taylor discusses the appropriateness, accuracy, amplitude, and longevity of emotions and how to evaluate and understand them.
- Different Emotions [00:13:19] Dan Taylor discusses different emotions that can arise in the automotive industry, including sadness, happiness, fear, and guilt.
- Client Needs [00:15:31] Dan Taylor talks about the importance of understanding client needs, including the desire to be heard, valued, and cared for, and how empathy plays a role in building trust and engagement.
- Competing on Trust [00:17:03] Dan Taylor emphasizes the importance of competing on trust, relationship, and experience rather than price.
- Customer Needs [00:20:19] Dan Taylor lists the different needs that customers have, such as feeling heard, valued, safe, and educated.
- Transactional vs. Consultative Selling [00:21:28]
- Gross Profit and Self-Value [00:22:14] Dan Taylor emphasizes the importance of gross profit for the financial health of the organization, and how it relates to self-value and self-worth.
- Cognitive Dissonance and Pricing [00:24:30] Dan Taylor talks about cognitive dissonance and how it affects service advisors' beliefs about pricing, and how it can be bridged to focus on the relationship with the customer instead of the price.
- Intersecting Factors [00:27:40] Dan Taylor explains the three factors that intersect to create a healthy environment for protecting gross profit: understanding and controlling emotions, authentic expression of empathy, and balancing workflow.
- Sabotaging Gross Profit [00:27:40] Dan Taylor discusses common ways that businesses sabotage their own gross profit, including talking too much, failing to adjust the game plan, and not setting expectations with clients.
- Charge a Fair Rate [00:28:50] Dan Taylor emphasizes the importance of feeling worthy of charging a fair and equitable rate for services provided to clients.
- Consultative Mindset [00:30:02] Dan Taylor discusses the importance of a consultative mindset in sales and the benefits of relationship selling.
