Sales Ethics

To Tell or Not To Tell

by Victor Antonio

Here’s a great question I received the other day while doing a training program on Sales Ethics. “If I don’t tell my customer about a certain feature we don’t have, is that lying?”  Excellent question!

EXERCISE:

1) Make a mental note of what you think the answer is?

2) Now, give a reason to justify your answer before you read the rest of this article.

In order to answer this question fully, let’s take some scenarios:

Scenario 1: The customer asked about that specific feature, how do you answer?

A good salesperson would answer the question honestly by saying they don’t have the feature and then go on to emphasize all the other great features-benefits that product does have.

Scenario 2: The customer never asked about the feature, so should you mention that you don’t have it?

This scenario has a two-part answer.

Answer 1: If the customer never mentioned directly or indirectly (explicit or implicit) the need for a feature, my answer would be “NO”, you don’t have to mention your product doesn’t have that specific feature. Why bring up an objection that means nothing to the buyer?  Doing so will only make the buyer wonder what else you don’t have and it can create a more difficult sales process. 

Also, some customers will seize on this weakness as a way of leveraging the salesperson to lower their price or make other concessions by ‘pretending’ it really was an important feature under consideration.  If this happens to you, it is the customer who is now being unethical.

Answer 2: If during the course of the conversation the customer either states or hints of the need for that specific feature, then “YES, it is your obligation to inform the prospect that you don’t have the feature. Not doing so would be unethical.

Scenario 3: If during the sales investigative process you realize, even though the customer doesn’t, that they could benefit from your ‘missing’ feature, should you then mention it to your customer?

My answer would be “NO” with a minor caveat.

First, it isn’t your responsibility to educate your client on what ‘they’ need, especially if your product falls a little short.  Remember, you’re a salesperson at this point, not a consultant. You’re paid by your company to sell, not to divulge information that could hurt your company.  Informing the customer and undermining your sales may get you brownie points with the now not-so-potential client, but will kill your sales revenue.

Now, for the minor caveat. If you’re looking to establish a long term relationship with this customer because: a) you’re selling them other products/services or b) you want to build credibility, then I would say the answer should be “YES” when it comes to disclosure.  By telling a customer that they need a specific feature without them ever asking for it, and knowing you don't have it, MAY (emphasis added) give you long-term credibility.  But like beauty, appreciation is in the eye of the beholder.  Being forthcoming and upfront won’t always guarantee you an ‘at-a-boy’ or the future business, but it could position you as a company confidant; person to be trusted.  This positioning could be more lucrative in the long run and may be worth sacrificing a minor sale.

In summary, your fiduciary duty is first to yourself, then your company and finally the customer. I put YOU first because you must first insure that you are not compromising your personal ethics neither for your company nor your customer.  Remember, at the end of the day when the deal is done, you’re still stuck with yourself.

Walt Disney said, "Decisions are easy when your ethics are clear."  My hope here was to help you define and refine your ethics so your decisions in the future when confronted with the opening question, to tell or not to tell, will be easier for you.
 

Victor Antonio

Victor Antonio, The Sales Asylum

Atlanta, Georgia

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