6th Stage: CR Sales Process Paradigm
The sixth stage in Crux Rainmaking’s Sales Process Paradigm is: Dealing with Resistance
Types of Resistance
Even with the warmest of introductions, it is the rare sales meeting where your prospect presents no form of resistance whatsoever. Oftentimes, some sort of resistance will need to be handled properly. Thus, is becomes critical to be prepared for resistance by understanding the most common types of resistance, and then to handle such resistance with clarity. The most common types of resistance or objections a prospect may have are: (a) not interested, (b) no current need, (c) no budget (or too expensive), and (d) already have a current vendor. Handling these objections is the subject of entire books. Below are a few tip-of-the-iceberg thoughts for you to further consider.
Not Interested Objections
Not interested objections may be an excuse to avoid doing business with you, or might be legitimate. If legitimate, chances are your prospects don’t fully understand what it is you are selling to be able to make a prudent decision. If your prospects already have a vendor, suggest that it wouldn’t hurt having a back-up vendor in the event there is ever a problem with their current vendor, or if they are interested in getting the same or greater value for less money (i.e., a higher value proposition). If they don’t have another vendor, then they may simply not fully understand what it is you are selling, in which case suggest that you send them some information and request a follow-up conversation to further discuss.
No Current Need Objections
No current need objections can be countered with an example of how another company—which also didn’t have a current need—benefitted from allowing you to provide information to help them better plan for the future. Circumstances change, and sometimes quickly. Having more, as opposed to less, information will put them in a strategic position to make decisions fast, in the event they have to.
No Budget (or Too Expensive) Objections
No budget (or too expensive) objections can also be either excuses to avoid doing business with you, or legitimate. Legitimate budget objections can be dealt with through creative and flexible payment terms, reduced fees, and/or FREE samples. If they won’t entertain these sorts of responses (especially FREE samples), then the objection might simply be an excuse.
Already Have a Current Vendor Objections
Already have a current vendor objections should be countered with a statement about how you are very pleased that they are happy with their current vendor, and that you have a high level of respect for customer loyalty, because YOUR clients and customers are loyal to you. And if there is nothing they would change about their current vendor, then that is great, as your primary concern is that they are best taken care of. Then go into why YOUR customers stay with you. Perhaps it is your same day return phone calls, creative pricing, personal involvement on projects/orders, depth of knowledge and experience, etc. Then go into why some of your customers decided to leave their vendors to do business with you. Sometimes these examples will let your prospect better understand some of the things that can be improved by going with you. Also, if there is a current vendor, try to identify if there are any customer needs not being met, or not being met up to the customer’s standards. If you can even fill in the gaps, you will be able to start developing a business relationship with that customer, allowing them to measure you up against your competition.
These are just a few of the more common objections you will encounter. Be ready for resistance and have solid ways to respond to them during a sales meeting.
J.B.
Read More5th Stage: CR Sales Process Paradigm
The fifth stage in Crux Rainmaking’s Sales Process Paradigm is: The Sales Meeting
The Components of the Sales Meeting
The face-to-face sales meeting is the ultimate goal of the first four stages of Crux Rainmaking’s Sales Process Paradigm. It is an honor to be awarded with such a meeting by a prospect, and your time with such prospect must be used wisely. A firm understanding of the four components of this meeting is essential to maximizing the likelihood of winning the business. The four components are (1) rapport, (2) needs assessment, (3) presentation of product or service, and (4) measurement of interest.
Rapport
Recently, I wrote a Crux Quick Tip about rapport. If you haven’t read it, please take a moment to check it out. Building maximum rapport with prospects at a sales meeting will allow you to more effectively communicate with that individual and establish trust—which is critical to being awarded the business. Rapport exists when your prospect feels in sync with you because he or she feels similar to you in some way. Work to establish this rapport early in the sales meeting and maintain it throughout.
Needs Assessment
Before launching into your pitch during the meeting, ask your prospect about his business. This will allow you to better frame your pitch in the most favorable light and help you avoid making an avoidable mistake during the meeting. Ask him what it is he needs with respect to what it is you are selling. How does he currently handle a situation? What is his greatest challenge in the marketplace? Who is his biggest competitor, and how does he try to distinguish his company from his competitors? By asking questions, you can better frame your pitch when the conversation transitions into how you can help them.
Presentation of Product or Service
When it is appropriate to make your pitch, by all means dive in. But make sure to articulate what it is you are really providing, as opposed to the obvious (e.g., you provide the perception of honesty in the marketplace; ability to reduce costs; ability to expand their business, opportunity to provide a broad array of options for their consideration, etc.). Focus on the crux of the matter as opposed to generalities. Get the prospect thinking about how business would improve if he or she bought your product or service. Help the prospect visualize a better future by articulating a need (unless the prospect has already articulated his or her specific need), and offer a preview only as to how your product or service can provide a solution. Use examples of other customers’ successes to drive your point home.
Measurement of Interest
During the sales meeting, especially as you dive into your pitch, pay special attention to any indication of interest or lack of interest on the part of the prospect. There may be certain aspects of your pitch the prospect responds to more favorably than others. Make sure to emphasize those things at the end of your pitch. If the prospect conveys a sincere lack of interest in what it is you are selling, it may be a sign that you should reconsider the amount of resources spent on follow-up or even further contact after the meeting ends. Sometimes, a successful sales meeting is one that ends with your conclusion that a prospect is not interested. I say this because if you do not read lack of interest accurately, you might just spend a lot of time, money and other resources chasing a ghost of a chance of getting the business from a particular prospect. It is much better to know early on that you will never get the business than continued inefficient contact with someone. But hopefully your compelling pitch yields heightened interest from your prospect warranting further discussions and eventual engagement!
J.B.
Read MoreCrux Quick Tip (CQT) #30: Get Outside Your Comfort Zone
CQT #30: Get outside your comfort zone by stepping into someone else’s world.
Comfort Zones
Comfort zones are comfortable. They are where we operate on a daily basis. There is familiarity. Familiarity is predictable. For example, if you are a real estate broker, joining industry organizations, or the local Chamber of Commerce, or networking with attorneys and other professionals, or attending general networking events are likely some of the things you do to meet new people. But remember: everyone is doing that! Your competitors are wise to these methods as well. So—step out of your comfort zone and into someone else’s world.
Stepping Out and Stepping In
Stepping out of your comfort zone from a sales and marketing perspective is easy. Just identify another world that fascinates you and research ways to step into it. An example here would be helpful: My other world is the music industry. For many years part of my practice was entertainment law, and I have also managed musical artists over the years. As such, I became a member of The Recording Academy, which hosts the Grammy Awards. For years now, I have attending the Grammys (included this year) and have met people from around the world through my participation in Recording Academy events. These contacts have provided a brand new sub-set of contacts for me, some of which have yielded excellent business in my core areas of practice. This is a completely different world for me. It is an exciting world with exciting people. I am way out of my comfort zone, but I like it!
Be Creative
When considering another world, be creative. Think about those things you are intrigued by. Are you passionate about something? Have you always wanted to try something, but never made the time? Do you know someone in another world that can be your guide? These are just some of the questions you can ask yourself to help step into someone else’s world, and radically grow your base of contacts.
J.B.
Read More4th Stage: CR Sales Process Paradigm
The fourth stage in Crux Rainmaking’s Sales Process Paradigm is:
Initial Contact with Prospects, either in the form of Cold Calling or The Warm Introduction
The Goal of Initial Contact
By far the primary goal of initial contact with a prospect is to set up a face-to-face meeting. Once a lead has been identified and you have initially qualified that lead with pre-meeting research, then it is time to contact that individual. But the idea of initial contact is not to wrap up the entire relationship in one conversation with a tidy bow. It is to introduce yourself and invite the other person to sit down with you to further discuss a relationship. If you are not able to get together in person due to geography, then the use of Skype or a similar technological solution might be appropriate. Otherwise, a scheduled future telephone conversation would be fine. But remember, a face-to-face meeting is much preferred and must remain the ultimate goal of the initial contact.
Cold Calling
Some professionals cold call. Others don’t. You need to determine whether cold calling is allowed, encouraged, or not in your profession. I much prefer the warm introduction, and rely almost exclusively on that sort of introduction in meeting new leads. But if you do cold call, then there is a method to the madness in doing so. Frankly, I believe that professionals who do not cold call can learn a lot about sales from people who do cold call. In fact, I have put together a presentation on that topic. Cold callers must capture in a few minutes what most other professionals capture over many conversations, over months, and sometimes years. But the take away here is that cold calling is not preferred. Avoid it if possible. If you must, then stay tuned, because I will roll-out another series on cold calling in the future for further tips and recommendations regarding this method of making initial contact. In any event, remember that the goal of the cold call is to get a personal meeting. Use your time wisely in that call to invite the lead to join you in the near future, in person.
The Warm Introduction
By far, the most effective way to meet and establish a relationship with a prospect is by having been introduced to that prospect by someone else who already has a close personal relationship with that person. Barriers to trust are immediately and significantly reduced using this method. Making initial contact with someone after such a warm introduction is easier and more productive. You and the prospect have a common bond—the referring person. This can create an automatic feeling of comfort. This level of comfort is not easy to obtain with a cold call or by meeting someone at a networking event. Try to use this method of making initial contact as much as possible. Ask your network of contacts to think about people they can introduce you to for business purposes. Again, when making a call to a warm prospect, invite the prospect to sit down with you to further discuss a potential relationship.
Method of Making the Initial Contact
Above, I have casually referred to “making initial contact.” While a phone call is preferred, email can also be used prudently to make initial contact. Emails tend to allow the prospect to consider you in a more relaxed setting. They do not put the prospect in an uncomfortable spot. An initial email requesting and initial call is more than appropriate, and likely will be greatly valued by the prospect, as this demonstrates that you fully respect his or her time. Use your judgment depending on the nature of the prospect and means by which you became aware of that person.
J.B.
Read More3rd Stage: CR Sales Process Paradigm
The third stage in Crux Rainmaking’s Sales Process Paradigm is:
Qualification, which requires both pre-meeting research and in-meeting questions.
What is Qualification?
Qualification is the process by which you maximize the likelihood that you are pitching to an appropriate buyer. If a buyer cannot afford what it is you are selling, or if there is no need, or you cannot deliver within the buyer’s time requirement, or you are not dealing with the person within an organization who has the authority to buy on behalf of that organization, you have just wasted your time and energy trying to sell to that buyer. Even some of the best salespeople run the risk of getting in the middle of the pitch and only then finding out that they are barking up the wrong tree. With Crux Rainmaking, one of the keys to success is efficiency throughout every part of the sales process, so properly qualifying prospects is critical to insuring efficiency.
Pre-Meeting Qualification
The very first thing you need to do when starting down the road of following up on a new lead is to research that lead as much as possible before further communication with that prospect. Use the Internet, public records and reports, and your network of contacts to determine the following, if possible: Who is responsible for making purchasing decisions? What are the company’s current priorities? Who are their biggest competitors? Who are their current vendors? Are there indications that your product simply would not be appropriate or too costly or otherwise unacceptable to them? The answers to these questions will give you valuable insight into whether the prospect is right for you.
In-Meeting Qualification
Your qualification does not end with your research before that first meeting with a prospect to discuss a possible relationship. Your meeting with a prospect is also an opportunity to qualify that prospect. Probably the most important bit of advice I can give with respect to in-meeting qualification is as follows: Before even getting into what you can do for a prospect, ask a few direct questions. For example, ask about what they need, how they currently handle a particular buying situation, what their greatest challenge is when trying to market themselves, or establish themselves as a reputable company in the marketplace, who their biggest competitor is, and how they try to distinguish themselves from that competitor? As for the authority question, you need to be very tactful in confirming that person’s authority or limits thereof. It is sometimes best to ask something like this: “Other than you, who else in the company would be involved in making the decision to buy?” By asking questions like this, you can better frame your pitch when the conversation transitions into how you can help them.
So, do your research beforehand and ask the right questions during your first meeting to maximize the likelihood that you are, in fact, talking to a realistic prospect that is poised to buy from you. Avoid inefficient prospect meetings. Focus on mastering the art of qualifying and watch you meetings become more efficient and productive, leading to more business over a shorter period of time.
J.B.
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