Nothing happens until somebody sells something. To make sales happen, IMMS.com Key Sales Consultant Randy Schwantz has created a comprehensive series of 43 Producer Success Lessons. Used singly or in combination, these powerful tools can help your producers build their skills - and grow their sales.
How could you go wrong if you knew exactly what a person wanted, exactly how they'd decide to get it, and exactly how much they'd pay for it? If you knew all these things, wouldn't you just find the solution, bring it to the person, and collect your money?
That's what a well-designed sales process is like. If you spend the first part of it finding out exactly what the customer needs, the price they'll pay for it, and their process for making up their mind, all you have left to do is bring them the solution on your way to the bank.
An interesting aspect of these lessons is that they don't include any closing techniques. In the first place, you've probably heard most of them already. In the second place, most of them are only marginally useful. You see, you can't make someone do anything they don't want to do. So the fallacy about most closing techniques is that they turn prospects into buyers. What closing techniques really do is extract a commitment from a client who wants to buy. I use the word 'extract' because getting commitment from a client using high-pressure closing techniques is like pulling teeth.
This lesson covers gaining commitment with a verbal contract, followed by a sound presentation, followed by a signed contract - in that order.
THE VERBAL CONTRACT
Verbal contracts were covered in Lesson 21. A verbal contract is a very powerful way to gain a commitment, because it gives the prospect permission to say no. Nothing is as comforting to the person to whom you're giving a presentation than knowing up front they can say no.
Use a verbal contract any time you want to get a commitment. It's simple enough: If I do X, will you do Y? You can use it in any stage of the selling process. Remember using a verbal contract to qualify for decision-making ability? We asked, ' If what you see solves your problem, just say yes to my proposal, and we'll get started right away.'
Let's see how it works at this stage of the process:
Salesperson: So, I think I've got it straight. If I can show you how to solve your problem for between $400 and $500, you're in a position to make a decision?
Executive: That's right.
Salesperson: Great. I need a favor. I'll go back to my office and put together the ideal solution to meet your needs. Then I'll come back to show it to you. When I do that, I'm going to ask you to do one of two things. If my solution meets your needs, I'm going to ask you to say yes, let's get started right away. On the other hand, if the solution doesn't meet your needs, just say no, and it's over. Is that fair enough?
Executive: Sure, that's great.
Of course it's great! How often do salespeople give prospects permission to say no? Not very often. So you've taken a lot of the pressure out of the presentation. The client knows that if this solution isn't the right one, saying no is OK. And as we said in Lesson 21, the client might not realize it, but you've just made the sale.
THE PRESENTATION
Now it's time to put together the ideal solution. It's very important that it meet each of the client's criteria: the pain the client is in, their price range, and their requirements for validation, such as letters and testimonials.
Start by reminding the client of your contract.
Salesperson: When I was here last, you agreed to consider my proposal and then either say yes or no. Remember that?
Executive: I sure do.
Salesperson: Great. I think I've got the answer for you. (or, I've got some options for you to choose from.)
Now present your solution. Remember, only present information or benefits that relate to the client's highest value. When you're about two-thirds of the way through, stop and ask, 'How am I doing? On a scale of one to 10, with 10 being the best, how close am I to your ideal solution?'
This is the Thermometer Technique described in Lesson 21. The client will tell you how you're doing.
Executive: You're about a seven.
Salesperson: Hmm. A seven. What do I have to do to get a 10?
Executive: I don't think you'll get there. Your price is too high to justify what I'm seeing.
Salesperson: Oh. I can't drop my price any further. Then is it over?
Executive: What do you mean?
Salesperson: Are we done? Was that a no?
Executive: Well, yes, it was.
Salesperson: OK. I understand. And I appreciate your honesty. Off the record, what did I do wrong?
Executive: You didn't do X,Y, or Z.
The selling process was over. In this example, the salesperson didn't make the sale - but they did find out what was missing. The key phrase was 'off the record.' If the prospect tells you they need X,Y, and Z, and you're able to give them that, ask:
Salesperson: What would happen if I could give you that? Would you buy today?
If the answer is 'Yes, I would buy,' then give it to them and close the deal. If the answer is 'No, I wouldn't,' accept that and leave. If you push too hard at this point you'll violate your end of the verbal contract. There's always time to come back.
Let's try another scenario:
Salesperson: How am I doing so far?
Executive: You're about a seven.
Salesperson: Hmm. A seven. What do I have to do to get a 10?
Executive: I have to see how this coverage is worth the extra money.
Salesperson: How would you know whether the coverage is worth it?
Executive: I suppose it would do X, Y, and Z.
Salesperson: I see. Is there anything that's worth forgoing X, Y, or Z for?
Executive: No. I really need them.
Salesperson: We can do that. I'll show you.
The salesperson asked what it would take to get a 10, and the client told them. So the salesperson checked to make sure that was the client's highest value (it was), then showed how they could deliver what the client wanted.
EXERCISE
- Practice verbal contracts until you're comfortable using them. Use this technique in your next five sales calls.
- Ask 'How are we doing so far, on a scale of one to 10? How do I get a 10?' during your next five presentations.