With so many vendors and so many suppliers, all offering frantic discounts to get a client’s business, how can a company who wants to focus on selling value remain competitive?  How can you compete when your pricing is typically 10-30% over your direct competitors?  The answer lies partly in demonstrating to the client how they will financially and emotionally benefit from buying your product. 

Money

The objective of any salesperson is to outline or illustrate how much money the customer is going to save over the long by buying your product.  But you just can’t tell them it’s going to save them money, you have to show them how.  For instance, if you’re selling a software program that is a bit more expensive and requires training, you must show the customer how short-term pain will equal long-term gain.  You also need to emphasize the quality of the product you’re selling.   Remind the customer that higher quality equals lower cost of maintenance.

Time

Another reason your product may cost so much is because of the features and functionality it has that will benefit the client.  But again, don’t just tell clients that these features and functionality will save them money, show them!  If you have a software program, for example, which has a great graphical user interface (GUI), and you’re competitors don’t, show the customer how easy it will be for new users to navigate the system as compared to systems without a GUI.    Customers need to be reminded from time-to-time that a well designed, easy to use, product equals lower training cost and a steeper learning curve. 

Positioning in the Market

A client also needs to be made aware of the changes or trends in the market.  You are not just a salesperson, you are a market consultant as well.  Great salespeople pay real close attention to the ever-changing ebb and flow of the market.  Clients like talking to salespeople who are in tune with external market changes and understand the client’s current position relative to the market in terms of strengths and weakness.  Clients are more inclined to buy from salespeople who know what’s going on and what they’re competitors are up to.  Don’t make the assumption that clients understand what’s happening in the marketplace.  Sometimes they’re so close to their own products or services that they’ve lost site of where the market is going.  Be more than a salesperson, be a resource for information and insight. 

Recognition

One aspect of the Return On Investment (ROI) that is often overlooked is the ROI of the buyer.  Every buyer has to be careful in deciding what products or services they buy.  Buyers are acutely aware that they’re reputation inside the company is often staked on the buying decisions they make.  You cannot overlook how much FEAR can play a role in making a buying decision.  Again, the buyer’s reputation is at stake.  Your job is to make the buyer understand that their risk will be minimized if they buy from you.  

Victor's Rule: The fear of failure can easily override a pricing issue and force a customer to pay more just for the added insurance.  Human beings are 'risk averse'...use that to your benefit.

Personal Validation

The emotional hook in any sale is set when the buyer thinks they’re making the decision.  Don’t tell customers what they need, let them explain to you what they want.  You’re job is to guide them casually to your way of thinking on the matter, and hopefully in the direction of the product you wish to sell them.  Even when you disagree with the buyer, you must learn the process of guiding them to what you want and not imposing your way of thinking. 

The more a buyer feels that he or she has control of the decision-making process, the more malleable they’ll be when it comes to defining the final product and eventually placing an order.  Keep in mind that every buyer has an ego; and that ego must be satiated.  Let them think it’s their idea.  Keep yours sales ego in check.  It’s about winning more business, not about winning the argument.

Money, time and marketing positioning are objective factors that can be qualified and quantified when doing an ROI buying assessment.  Depending on your business, product or services, you have to illustrate the savings and advantages of buying your product. 

Recognition and personal validation are emotional benefits to the buyer and thereby unquantifiable.  Focus on what you can quantify, but be very aware of the emotional aspect (Recognition and Personal Validation) of buying.  Many deals can be lost if you don’t pay attention to these latter, hidden motives of buying.

And finally remember that a client doesn’t want to you to help them save money, they want you to help them MAKE money.  Don’t sell ‘potential savings’, sell ‘potential earnings’. 

Please forward this article; share it with a friend who may need a few words of inspiration.

 

Victor Antonio is a Sales Trainer and Motivational Speaker with 20 years of industry experience in the market.  He has a BS in Electrical Engineering and an MBA.

Copyright © 2005 by Victor Antonio   All rights reserved.  This article MAY be reproduced in any form or by any means, electronic or mechanical, including photocopying, as long as the author’s name, website and email address are included as part of the article’s body.  All inquiries, including information on electronic licensing, should be directed to Victor Antonio.