Your (real) friends don’t need three quotes

RFP’s are kind of like job postings…or are they?

It is true that most jobs are filled by someone with an inside track, but that isn’t always the case when it comes to attaining new business.

How often have you been surprised when a “friend” in the business tells you, “…and as soon as we gather another couple of quotes, we can proceed”.

Makes sense…until they stonewall on when and how they will make a decision.  And then go dark.

Part of the problem as salespeople is, we let our guard down when selling to friends assuming it is a done deal before the details of the deal are negotiated.

Think about it for a second?  Who do you prepare the most for:  A new prospect you have never met or someone you know?

Chances are, while you are under-preparing for your friend, your competition is acting just as you would if you had to try and break through a new prospect knowing they already had a friend in the business.

Next thing you know (often a month or two later) your prospect/friend calls you in on what you thought was a slam dunk…and instead, you find yourself in a fire fight.

So how do you distinguish between a (real) friend and an acquaintance?  Your friends will:

• Bullet-point everything they need in an honest and open manner.
• Let you know when the office requires more quotes, but will quickly follow with “but unless you come back with something ridiculous, we are using you”.
• Show you the competitions quotes and provide feedback on the way the competition framed themselves.
• Keep the line of communications open by returning calls and emails within a reasonable time frame.

 

“Just Kicking Tires”

How many times have you gotten to the decision maker, had a good, engaging conversation over the phone, and set the appointment…only to show up a few days later  with an unengaged prospect that seems to have forgotten everything you had discussed over the phone?

It sounds something like this:

“Thanks for inviting me in today Bill, as we discussed over the phone, we help companies that are frustrated with __________________, are constantly fighting _________________, and tired of ___________________.  If you don’t mind, can you share with me the main reason for wanting to get together with me today…from your perspective?  And maybe give me a little history about where you have come from, where you are now, and where you hope to be in the future with regard to…(whatever you sell)”?

“I don’t know, we are always open to looking around at other things…what do you have”?

“Really, we are pretty happy with our current supplier, I just wanted to see if you had anything better”?

“Don’t you have some sort of presentation you start with”?

Ever hear those responses?

If you do, picture yourself chain-smoking at the car lot…because that’s where the prospect just put you.

“No, I’m good, just kicking tires”.

…Or your favorite clothing store.

“No, just looking today, seeing if you had any good deals”.

If he invited you…meaning, you didn’t beg or stiff-arm your way through the door, why is this happening?

Answer:  Because every other Salesperson has trained him to sit back and wait for the magical Presentation typically given in the first five minutes, that on fantasy island people buy.

Unless your product(s) or service(s) is cheap, this strategy of puking your features and benefits on your prospect rarely works.

Prospects love to buy, but hate to be sold, despite their default position when a Salesperson walks into their office.

So what do you do?  Get out of the way.

“Bill, I would love to tell you all of the great things we do and all of the happy customers that we have if you have an extra hour.  Typically when I meet with business owners like yourself, they are looking for something more than they are getting today, an edge maybe?  You told me you are happy with your current supplier, but no one is perfect, agreed?  If they could do one thing better what would it be”?

Remember the car lot scenario?  How would you feel if as soon as you walked on the lot, the Salesperson started telling you all of the reasons why you should buy from him, immediately, without asking you any questions?

It would be offensive!  But when you do it, it’s o.k.?

(Legitimate) Prospects want to be asked questions about their business.  They want to be validated that they are doing the right thing.  Many also understand that they don’t know what they don’t know.

When you find they won’t open up, chances are:

1. They never wanted to buy, but would be happy to take any free consulting you may provide.
2. They wanted a price…so they could get their current supplier to drop his.  How will you know this?  When the entire focus of the meeting is price.

“But what if I make them mad by not presenting our solutions or giving them a price at the end of the meeting”?

Sponcia’s irrefutable truth #3 says: Prospects that get mad never intended to buy from you.  Don’t sweat it.

 

Option 2

Question:  How do you eat an elephant?

How many times have you heard this oft-quoted truism…and chosen to ignore it?

Of course the home run deals get all the press, but give me a sales force that hits singles and doubles, and I’ll show you a championship team.

The problem with many companies is their “all or nothing” product offering, which surprise(!), produces all or nothing sales.

If you don’t already have a low-barrier to entry product or service, create one…tomorrow.

This doesn’t mean your sales force can’t or shouldn’t swing for the fences, but on the off-chance they don’t get a big contract or order on the first try, option 2 should be your next play.

What is option 2?  Something easy to say yes to/hard to refuse.

“I understand, you have been with XYZ company for some time, and I don’t blame you for not jumping ship right away without establishing a little trust first.  I don’t suppose you could allow us to start with something smaller…”

Option 2 can be a commodity service or product, it really doesn’t matter.  The goal is to get your foot in the door with something low stress, low risk.

Once you are in the door, your team can then work its magic.

The benefits to this strategy are huge:

• You’ll get to know your customers key people on a personal basis.
• You’ll get a close-up view of your competition.
• You’ll get some revenue flowing.
• If you do well, you’ll probably be at the front of the line to get the bigger piece of business down the road.
• You may get a referral.

…and the negatives?  There really shouldn’t be one, unless you gave your product or service away to get in the door.  If you did low-ball your way in, just be aware, there will be another company that will come in behind you to do it cheaper.