GETTING INTO YOUR

CUSTOMER’S HEAD

8SECRET

ROLESOF

SELLINGYOUR

COMPETITORSDON’TKNOW

Kevin Davis

Selling Is More Difficult…

Buyers are changing– Their competition is growing tougher– They have to do more with less– More demanding– More price conscious– Less loyal to suppliers– Deluged by choices– More uncertain about the future– More risk if a mistake is made– More cautious

Sellers Must Change

Top 5 Sources of Frustration with Sales Reps Difficulty in communication Rep’s lack of knowledge with customer’s company Overaggressive selling Slow delivery Rep’s over promising and under delivering

Forum Corporation Boston-Based consulting firm, surveyed 342 Fortune 500’s

Buyer Focused Selling

IT’S NOT ABOUT ME… IT’S ALL ABOUT THE BUYER, AND HOW THAT

BUYER WANTS TO BUY, PERIOD.

Two Buying Processes

Buy-knowing: When buyers already know enough in order to buy.

– Simple choice– Quick– Made without deliberation – Driven by emotional need

Buy-learning: When buyers have to acquire knowledge and give careful consideration of alternatives

– More complex– Takes longer– Made with careful consideration– Driven by sequences and rationally vs. emotional

The Buy-Learning Process

Change inour businessand personalLives leadsto discontent.

1.

Discontentbrings problemsor opportunities that develop intoneeds.2.

3. Research identifiesthe capabilities necessary for asolution.

4.5.6.

7.8.

Comparisonleads to identifyinga preference.

Fear often needs to be over-come before a decision can be made.

Commitment is made by approving the purchase.

Expectations arethat immediatevalue will be realized.

Satisfactionis equivalent to the favorableresultsachieved

Why People Buy

Buying is an emotional need-satisfaction process that occurs when people believe that the results of buying will improve their lives in some worthwhile way.

Two Types of Needs

Personal Needs: are individual needs. Social Needs: relate to how people want others to

see them

Examples of Personal Needs

Healthy, not sick Physically safe, not threatened Relaxed, not tense Happy, not sad In control of life, not controlled by others Entertained, not bored Free, not confined Loved, not hated Self-assured, not insecure Rich, not poor

Examples of Personal Needs

Successful, not a failure Admired, not snubbed Beautiful, not ugly Literate, not illiterate Accepted, not shunned

Why Organizations Buy

Organizations, like individuals, buy for improvement. Every company has

organizational goals it is striving to achieve:– Increase efficiencies– Cut Costs– Improve Profitability– Gain Competitive Advantages

Examples of Problems

Material or component shortages Obsolete plant and equipment Poorly performing suppliers Competitors’ activities

Examples of Opportunities

Increase in sales Improvement in quality Entry to a new market Increasing efficiency of operations

Examples of Personal Goals

Corporate buyers seek:– More achievement, not less– More authority, not less– More money, not less– More job security, not less– More responsibility, not less– More recognition, not less

Examples of Social Goals

A business buyer desires:– To be a leader, not a follower– To be a problem solver, not a problem ignorer– To be admired, not ignored– To have more influence , not less– To be valuable, not expendable– To gain more power

CUSTOMER-FOCUSED SELLING

CFS is selling to customers the way the customers want to be sold to.

Throughout the buying process, you must change your sales approach to meet your customers’ needs; that is, you must adopt the selling role that matches your buyers’ current needs.

The Eight Sales Roles of CFS

Student: Study the Change affecting your customers, and open some closed doors.

Doctor: Diagnose your customers’ Discontent and uncover their big needs.

Architect: Design unique solutions that simplify your customers’ Research and lock out your competition.

Coach: Compare your offering to the competition’s and then implement a game plan to win.

Therapist: Draw out Fears and help resolve them. Negotiator: Discuss with a view of reaching a mutual

Commitment to open a relationship (not close a sale.) Teacher: Identify Expectations, teach the customers to use

your product, and test for the Value improvement achieved. Farmer: Cultivate Satisfaction and grow the account.

Roles of Customer-Focused Selling

STUDENT

1.

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R2.

3.

AR

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4.5.6.

7.8.

COACH THERAPIST

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R

TEA

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FARMER

Cha

nge

Discontent

Research

Co

mp

arison

FearCommitm

ent

Expectations

Satisfaction

The Levels of Management

CEO

CORE

SUPPORT

The CEO Level

Includes the President, ranking Vice Presidents, and Chief Officers

Concerned with:– Profitability– Strategic Planning & Direction– Investments for growth– Controlling expenses for maximum profitability– Problem solvers & solution seekers– Competition

CEO Concerns

Cost pressures Rising customer demands Information technology Revenue Growth

Your customer’s key question is: How does your product or service address our concerns or corporate initiatives?

The Core Level

The core level is known as the beating heart of the organization.

Consists of the frontline functions that are vital to providing goods and services to customers: manufacturing, operations, sales and service.

Core Level operations are connected to each other like a chain…Order Taking, Preparation, Delivery, and Payment

Core Level

Vice President of Sales Vice President of Manufacturing Vice President of Customer Service

Some core level managers have authority and some have influence

Core Level Concerns

Problems solved NOW! Problems in any area affects all the other

areas. If you can solve problems in the Core Level

you will have ample opportunities to achieve sales success.

Core Level Key Success Factors

Order entry process Delivery Efficiency Sales reps link your solution

to one or more of these factors.

Support Level

The bottom level of a business is Support, which provides assistance to both the CEO and Core levels.– Purchasing– Legal– Accounting– TrainingA sale in this area is typically a lowest cost transactional sale

The Levels of Management

CEO

CORE

SUPPORT

{Consulting Sale}

{Transaction Sale}

Sales Role # 1 STUDENT

STUDENT: As a student you will study how changes are affecting your prospects and find opportunities where you can add value.

First Step In Customer’s Buying Process

CHANGE– Comes from Internal Forces– Comes from External Forces– Comes from Personal Experiences

External Changes

Come From:– Customers– Government Regulations– Competitors– Technology– Politics– Economy

Internal Changes

Resulting from External Changes:– Strategic Planning/Goal Setting– Quality Initiatives– Cost Cutting– Reengineering

Change Creates Huge Opportunity!

Change is constant With Change comes opportunity Seek opportunities in Change Change presents problems and opportunities Selling opportunities abound with Change

Second Step In Buying Process

DISCONTENT is triggered from change resulting from a feeling of dissatisfaction with the current situation. During the Discontent Process your prospects:

– Recognize a problem or opportunity.– Ask, “How serious is the problem?”– Ask, “How much will the solution cost?”– Determine, “I need to buy!”

Sales Role # 2 THE DOCTOR

THE DOCTOR Is a professional who helps people achieve wellness through expert knowledge, questioning, and skill.

Three Patients of the Doctor

Sick patients Fairly healthy patients who want to be better

off “In-Denial” patients who think they are

healthy, but whose doctor knows that is not their true condition.

Role of the Doctor

Ask Five Types of Questions:– History Questions (To ID optimum vs. actual

condition)

– Symptom Questions (To ID Discontent)

– Cause Questions (To define the true problem)

– Complication Questions (To clarify the seriousness of the problem)

– Cure Questions (To help you ID your prospects’ expectations of value)

History Questions

What are some of the changes going on in your business?

What are your customers’ expectations? Where are you now in relation to your company

goals?

Symptom Questions

Are you satisfied with____________? What barriers stand between you achieving your

goals? Is you current level of _____ acceptable to you? What would you like to see improved? Are you concerned about __________?

Cause Questions

What do you attribute that to? Any idea what could be causing that? What factors bring about that?

Complication Questions

How does that affect _________? Does that lead to _________? That must cause real problems. (Pause and let

client provide input about the issue)

If that problem doesn’t get resolved, what might happen?

What other problems does that create for you?

Cure Questions

Suppose you could ______. What would that enable you to do?

How would that help? How much would you save if you could____?

Sales Persons’ Call Objectives

Build trust Close the sale Get positioned with a new decision maker Write a proposal Gather more information Identify needs

Which one of these objective are different from the others & why?

Action commitment

Action Commitment Objectives

Prospect commits to another appointment Prospect commits to conducting a survey Prospect commits to attending a demo Prospect set an appointment with another

key decision maker in the company Prospect grants you access to confidential

company information. Prospect agrees to a trial of your product or

service

Third Step In Buying Process

RESEARCH Your primary objective in the Research step of

the buying process is to influence your prospects’ needs while simultaneously creating a competitive advantage for you. This is establishing the “buying criteria” for you.

Sales Role # 3 THE ARCHITECT

THE ARCHITECT designs solutions with their buyers that showcase the unique capabilities you have to offer that will position you competitively for the sale.

Buying Criteria

Buying criteria: are standards against which competing products are measured.

Each criterion consists of a difference between alternatives that the prospect considers important.

The different alternatives may be divided into two categories:

– Must-Haves– Nice-to-Haves

Tools of The Architect

Creativity: is the ability for bringing something new into being and for responding to your perplexing design problems

Expert Knowledge: is the gift of being an expert in design, drafting, layout, site selection, building materials, building codes, and so on. You must also be a professional at selling and buying

Fourth Step In Buying Process

COMPARISON: is the client making sure they are making the right decision on the best available choices

Four Actions of Comparison

Consider only options with must-have capabilities

Request presentations ID additional nice-to-haves in each option ID a preference

Sales Role # 4 THE COACH

THE COACH primary objective is to defeat the competition without slashing price.

Coach’s Process for Victory

Analyze your strengths and weaknesses in comparison to your competitors.

Develop a game plan to positively position yourself against the competition.

Demonstrate your superiority on the playing field with a great sales proposal and presentation.

Fifth Step In Buying Process

FEAR: Occurs when they sense that they may regret a buying decision after the purchase is made.

Up to this point in the sale, concrete issues, known to both the buyer and the seller, have been dealt with

Why Fear Happens

Major Dollar Investment Long-term Impact Significant Changes in Operations Lots of Competition or Zealous Competition New Product or Concept Several Decision Makers

Sales Role # 5 THE THERAPIST

THE THERAPIST: Is one who assists the client through the process of over-coming fear in the buying decision. Traditional objection-handling techniques will not work here. All you can do is help your prospects resolve the concerns themselves by offering information or references they may know and trust.

Symptoms of Fear

Negative, nonverbal body language Unreturned phone calls Inappropriate delay Reluctance to meet One minor detail remaining… Unrealistic demand (price, delivery, etc…)

Sixth Step In Buying Process

COMMITMENT: The focus changes from the value of your solution to its cost. The focus now becomes: How much?

Why Buyers Negotiate With Sellers

When your client’s job is on the line. If your client wants internal admiration. If your client wants company recognition. If your client enjoys being tough on sales

professionals.

Sales Role # 6 THE NEGOTIATOR

THE NEGOTIATOR: Offers a discussion designed to Reach An Agreement between parties who share some interests but are at odds on others.

Win-Win Agreements Occur When

Each party felt the other party cared about his or her interests.

Each party felt the other party won as well. The self-respect of each party is intact. Each party feels the other will abide by the

agreement.

Sources of Negotiating Power

Need Options Time Relationships Investment Credibility Knowledge Skill

CFS Strategies That Strengthen your Credibility and Negotiating Position

Dress Professionally Be Prepared on Every Sales Call Use Top Quality Sales Materials Use Customer List, Testimonials, References Demonstrate Fast, Professional Follow-up Honor Your Promises

No Tricks Analysis Worksheet

Who Needs this sale more?

Options if no agreement is reached?

Events causing a Time deadline?

How important is our relationship?

How much energy has been invested?

How much credibility do I have?

Who has more knowledge / upper hand?

Who is the more skillful negotiator?

Seller Buyer

Seventh Step In Buying Process

EXPECTATIONS OF VALUE: Begins when your clients approve a sale and ends when they have successfully implemented your solution.

5 Phases of Learning a New Product

Unconscious Incompetence: Your clients don’t know what they don’t know.

Conscious Incompetence: Your clients know that they don’t know.

Conscious Competence: Your clients work hard at what they don’t know.

Unconscious Competence: Your clients don’t have to think about knowing what to do.

Conscious Unconscious Competence: Your clients can easily explain to others how to do what they can now do.

Challenges For Sales People

Expectations of Value Challenges:– Be ignorant of the learning process that change

requires.– Lack familiarity with the changes that must be

made to implement the solution.– Have undefined and unrealistic expectations of

the value of the product or service.– Have lofty expectations of the seller’s involvement

in post sale activities.

Sales Role # 7 THE TEACHER

THE TEACHER: takes their clients through a Learning Process, and learning can be annoying, frustrating, and time-consuming.

Three Steps in Teacher Role

Set Realistic objectives and expectations Show, then help do Test to measure progress

The Right Perspective

For most sales people the sales process comes to an end when the customers says “yes.” To keep Clients for Life, you must change your frame of reference, get into your customer’s head, and see things from the customer’s perspective. You must start seeing the close of a deal as the beginning of a new sales process, not the end of an old one.

Eighth Step In Buying Process

SATISFACTION: Is based on four factors:– Value achieved– Product Quality– Service Quality– Pricing

Customers Wonder…

Am I achieving the results I expected? Is the product performing as expected? Does the way I am treated by the seller’s support

services people make me feel important? Did I pay a fair price?

Customers wonders are linked back to the four satisfaction factors

Sales Role # 8 THE FARMER

THE FARMER: Must help improve the lives of others. You must have strong character and deliver what you promise. You must work hard in the field, and follow through quickly on all client requests.

You must pay attention to your customers, the way a farmer pays attention to the land, the crops, and the weather. Furthermore, all farmers are aware of this simple truth: You must sow before you reap.

Role of Farmer

Nourish a productive relationship with the buyer.

Sow new applications for your product or service

Cultivate the account Reap the fruits of your labor Plan your next season

Complex Selling to Multiple DM’s

ID the Power Broker who has:– Access to senior managers– The most to gain politically from a buying decision– Involvement in other projects– Self-confidence– Desires authority– Understands company goals and objectives– The listening ear of others

Identifying All Players on Complex Team

How will the organization make this decision? Who else besides yourself would I need to

visit with? Who will give the final okay? Who has the greatest interest in the

decision? Is there anyone on the team who is opposed

to my solution?