My youngest daughter started working at a small accounting firm a few weeks ago as part of her post-secondary education program. One night she told us that one of her coworkers (another student) said, “The less competition there is for me the better. My friend didn’t graduate last year so that means I don’t have to compete with him now.”
Forgive me, but this kid’s thought process is completely wrong.
Competition is healthy.
Without competition you run the risk of becoming complacent or dormant. Healthy competition keeps you sharp and forces you to look at new ways to position your product, service or offering.
A few years ago I was one of two people shortlisted to talk to a company about sales training for their team. However, the CEO spoke to my competitor first and she was able to close the deal in that one call. Although I was disappointed that I didn’t even have the chance to discuss my program with the CEO, I couldn’t help but admire how effective my competitor had been. Since then, I have analyzed my approach and improved the telephone conversations I have with new prospects.
I can’t help but think that someone who believes that less competition is good has serious self-confidence issues.
When I worked in the consumer electronics industry, I encountered many sales people who constantly complained about the competition. Not surprisingly, they tended to be the lowest performing people.
Conversely, the top sales people in the company seldom complained about the competition. Instead, they focused on the value they brought to the sales conversation and they looked for ways to constantly differentiate themselves from their competitors.
What about you?
Do you believe that competition is healthy? How do you use the competition to improve your own sales or business results?
Ever wish you could go back in time to a time when things were simpler and selling was easier and less complicated?
Occasionally, someone expresses this sentiment in one of my sales training workshops. It is usually a seasoned veteran who has decades of experience—often in one industry—and someone who has experienced difficulties adapting to the challenges in the new sales environment.
This isn’t a new phenomenon.
I remember talking to a sales rep more than 20 years ago when I was opening a new restaurant for the company I worked for at the time. Gord had been a sales rep for a major beer company for at least 15 years and he frequently lamented the fact that he couldn’t conduct business the way he had in the past. Gone were the days of sitting down with a restaurant owner and spending the bulk of the afternoon consuming beer and reaching a gentleman’s agreement during that ‘meeting’.
I certainly won’t deny that selling used to be easier. But, this could be said of each decade that has passed in the last century. However, this doesn’t always mean that the changes are negative.
Let’s consider some of the changes that have occurred in sales in the last few decades.
Availability of information. There is so much information that is readily and quickly available to sales reps now compared to ten or fifteen years ago. Consider how easy it is to find out who the key decision makers are in a company or how much revenue their company generates or how many people work for a particular organization. You don’t have to scour annual reports, make countless calls or talk to dozens of people. Most of the information you need is now available online.
Access. We now have so much more access to people. This article is a perfect example. Twenty years ago I would have had to print and mail it to people in my database. Talk about time consuming and costly! Now, I can send it to tens of thousands of people with a click of a button.
Instant communication. Years ago we relied on fax machines—before that it was the teletype (Oh man, I just REALLY dated myself, didn’t I?!). Sales reps also carried pagers and a roll of quarters so they could ‘call in’ for messages. There was no voice mail which meant sales people had to keep calling and calling and calling. Now, the majority of sales people have smartphones attached to their hips and have ready access to anyone they need to contact. We also have instant messaging, email and texting plus social media.
Social media. Although many sales people have not fully embraced social media as a way to generate leads and increase their sales, it is becoming a force to be reckoned with. I wish I had fully embraced social media two years before I actually did because it is an excellent way to connect with people that are looking to buy your products or services. Plus, social media also gives you the opportunity to interact with many other people who can give you different insights, ideas and solutions.
Web-conferencing. When I was kid, I remember ‘futurists’ talking about video telephones and how every home would be equipped with one. While that hasn’t happened (directly), streaming and web cams have made the concept a reality.
A face-to-face meeting with a client who was located on the other side of the country used to require many resources including time, flights, hotels, meals. Now, technology has made it easy and cost-effective to have a video conversation with customers or prospects.
The recession. There’s nothing like a serious kick in the head to make you realize that what helped you become successful can change in an instant. The recession certainly did this. Budgets were slashed, buyers were given a mandate to cut purchases, and multiple layers of decision makers were added to many organizations. And many companies suffered tremendous losses.
Where’s the positive in this?
The recession has forced sales people to change their approach. Smart sales executives and their companies realized that they needed to become more strategic in nature and adapted accordingly. Less intuitive companies continued doing what they had always done but got a much lower ROI for their efforts. This has given the ‘smarter’ companies (and people) a serious competitive advantage.
So, what’s my point?
Evolution is a natural occurrence that applies to every aspect of our lives, including sales. Even though selling is more challenging and difficult now there are many advantages for sales people in today’s environment. After all, do you really want to hop in a time machine and go back to the days of limited communication?
Embrace the challenges of change. The good old days aren’t as good as you think they were.
I have read hundreds of sales books in the last 15 years and used to read an average of one new book every week or so. However, in recent years, I have been disappointed with the caliber of new sales-related books and have found it difficult to find books that offer something new and practical for today’s challenging sales environment.
So, when I learned that Jill was writing another book, I was excited. I devoured her first book, Selling to Big Companies and still reference it from time-to-time. When I finally received my copy of SNAP Selling, I launched into it immediately with eager anticipation.
I wasn’t disappointed. Jill has done it again and hit another home run! In fact, I think SNAP Selling is her best work ever.
The entire focus of this book is helping sellers learn how to sell to frazzled, crazy-busy customers. The acronym SNAP means:
Simple. Maximizing simplicity in everything you do with prospects and customers. iNvaluable. Making sure that YOU become a valued resource to your customers. Aligned. Demonstrating an immediate connection between what you do and what your prospects are trying to achieve. Priority. Target prospects whose priorities you can address and focus on raising the priority level of initiatives that have dropped in importance.
Jill suggests creating a Buyer’s Matrix that identifies your key prospect by title followed by information and detail in these areas:
Role & responsibilities: What is he/she in charge of or expected to manage? Business objectives & metrics: What does he/she want to achieve? How does he measure success? External challenges: What external factors or industry trends might make it more difficult to reach her objectives? Strategies & initiatives: What likely strategies & initiatives are in place to help achieve his objectives? Internal issues: What issues does the organization face that could prevent goal achievement? Primary interfaces: Who are the peers, subordinates and outsiders with whom she frequently interacts? Status quo: What’s his status quo relevant to your product, service or solution? Change drivers: What would cause her to change from whay is currently being done? Change inhibitors: What would cause him to stay with the status quo even if they’re not happy with it?
This exercise alone is worth the price of the book. This matrix will help you understand how to better approach your prospect and improve the effectiveness of your offering or solution. It will take some work on your part and definitely some discipline to create this matrix but I guarantee that your effort will pay off.
The rest of the book focuses on the three decisions that influence a prospect’s decision-making process.
Decision 1—Allow access. Your goal is move them from oblivious to curious. Decision 2—Initiate change. Primary goal is to move them from complacent to committed to a change. Decision 3—Select resources. The challenge is to move them from being open to a wide variety of options to certain that you’re the right resource.
As expected, Jill gives plenty of real-life examples including her own personal experiences. And she makes it clear what you need to do to apply the concepts from her book into your sales routine.
If you’re serious about succeeding in today’s new sales world, Jill’s book is a must-read. Go to your nearest bookstore or Amazon right now and get a copy. Or drop by the SNAP Selling and get some free resources. You will be glad you did.
Now, if you will excuse me, I have reread this book again and start creating a Buyer’s Matrix for my target prospects.
Has the new economy affected your sales? Are you finding it more difficult to close sales than you used to?
Let’s face it, today’s sales climate has changed forever. It is increasingly more difficult to connect with busy prospects. People are taking longer to make buying decisions. And it often seems like more people are involved in those decisions.
Join me on Wednesday July 21st at 3:00 PM EDT as I discuss strategies for Selling in Today’s New Economy. This fast-paced, information-rich webinar will outline key tactics you can implement into your business right away to achieve better results.
Here is an idea of what will be covered in this free webinar:
- What you need to know about connecting with key decision makers—it’s no longer just a numbers games - 22 questions that will help you stand out from the crowd and close more business - How to better position your product, service or solution - The importance of increasing visibility with your existing clients and potential prospects - The risk factor—how to uncover a prospect’s sensitivity to risk and what to do about it - The power of pre-call, pre-meeting research - The best way to use information to your advantage - Improve the impact of your sales presentation and proposals - And much more!
The concepts presented in this webinar will not be pie-in-the-sky theories. They are proven techniques that will help you improve your sales in today’s new business climate.
Price is a factor in every sale. However, it is seldom the primary reason people make a buying decision. If that were the case, luxury vehicles wouldn’t exist, designer clothes would remain unsold, and everyone would shop at discount stores. Here are seven reasons why price is the not the real reason behind your prospects buying decision.
1. Low priced products often fail to deliver. 2. Prospect have been burned by the best price. 3. Prospects often want the best solution for their problems. 4. Companies want to maintain their competitive advantage. 5. The lowest price often has strings and conditions attached. 6. The lowest price is often has hidden costs. 7. The buyer’s reputation is often at stake.
Three factors affect every product or service: quality, service, and price. No company can offer all three of these. It’s a simple economic rule of business.
A business may offer a low priced product but they cannot offer great service. They may claim to have the best service but it’s highly unlikely they will offer high-quality products AND the best price. Allow me to put this into perspective.
Walmart, Costco and other big-box stores advertise the lowest price. However, they do not provide great service. In fact, when you listen to their radio ads they never claim that they have great service.
Let’s face it, when was the last time you could find an employee to help you at these stores. If you were fortunate to experience this, it was probably a one-time event. If you need help deciding between two similar products, could the person wandering the floor actually help you? Not likely. Home Depot prides themselves on having knowledgeable, helpful staff but you often have to search high and low to find someone.
I have nothing against big-box stores; in fact, I often shop at Costco and Home Depot. However, I don’t expect to enlist the help of employee to assist me with my purchase. I also know that it’s going to take me longer to make my purchase because I will have to consider a multitude of products. I also know that I’m going to wait in line to pay for my purchase or use a self-checkout unless my timing happens to be perfect. You may argue that Costco and Home Depot have great return policies. But how long did you have wait in line before getting your refund?
This concept holds true in business-to-business selling. Corporate buyers do not gloat to their colleagues that they secured the lowest price on a particular service. In fact, they are more likely to boast that they negotiated a good deal with a great vendor. Having said that, it is critical to understand that smart buyers will aggressively negotiate in order to get a lower price. And they will often make exaggerated claims in an effort to get a better price from the vendor. But when they make their final decision, it will seldom be based on price alone.
As a seller, it is essential that you invest the time to discover the true criteria that your prospects will use to make their buying decision. You also need to uncover their concerns and other obstacles that may prevent them from moving forward with your solution. You need to be assertive with your questioning. You need to ask tough, probing questions that make your prospect think. And, you need to be able to position your solution in terms that make sense to your prospect. If you fail to achieve this then price will be the reason they express when they make the decision to go with a competitor.
I will state admit that some people look for the lowest price. I have friends that fall into this category and I know from first-hand experience that price is focal point for some corporate buyers and business owners. In fact, I have been contacted by companies for sales training and the only thing they wanted to know was how much I charged for my program. My attempts to engage them in a discussion about their specific requirements were thwarted and in the end I quoted my fee knowing full well that I would not secure the business. However, these types of businesses tend to be the minority so I don’t lose sleep over the loss.
Here’s the bottom line: People get what they pay for and most decision makers want the best solution for their particular situation which means that price is seldom the reason they make a buying decision.
