Serious Business E-Book

Stephan Heinrich

• Herausgeber: Books on Demand
• Kategorie: Fachliteratur
• Sprache: Englisch
• Veröffentlichungsjahr: 2015

Seitenzahl: 246

Beschreibung

The traditional sales professional is a thing of the past. Today, people are increasingly selling independently—be it a product, a service, or their own image. Everybody’s looking for a good deal. But how does it work? Different than you might think, says Stephan Heinrich. People don’t want to be persuaded. Instead, they want to negotiate at eye level. That’s why this book won’t reveal how to create interest, but rather how to locate interest that is already there. Furthermore, how to put your decision maker into a position to decide reasonable: For a purchase, for a project, for an investment or for a cooperation. Making your business connections profitable in the long term.

Leseprobe

Contents

Preface

1 Look for the Why

2 Find Out Who Holds the Power

3 Dig Patiently for the Underlying Motives

4 Listen Instead of Speaking

5 Don’t Ride a Dead Horse

6 Find Out What Your Client Really Needs

7 Assess Your Sales Potential Properly

8 First Pull, Then Push

9 Hunt Down the Zebras First

10 Use the Buddy Filter

11 Get Rid of the “Logo Graveyard”

12 Use Social Media

13 Flirt With Your Client

14 Introduce Yourself Properly to Your Client

15 Tackle the Decision Maker

16 Send a Letter

17 Stay Poised

18 Get Past the Gatekeeper

19 Don’t Let Yourself Get Brushed Off

20 Use a Mirror When Prospecting

21 It’s the Right Question That Counts

22 Don’t Interrogate

23 Hold Back on Your Solution

24 Steer the Thoughts of Your Client

25 Create the Pressure to Act

26 Play the Good Fairy

27 Stay on Equal Terms

28 Don’t Land Without Your Landing Gear

29 Help the Client Come to a Decision

30 Make the Best Proposal Without Alternatives

31 Score Points With Your Evaluation Plan and Investment Appraisal

32 Heed Your Intuition

33 Others Don’t Think Like You Do

34 Don’t Lecture

35 Aim for Seduction, Not Demonstration

36 Experiment

37 Take Your Customer on an Adventure

38 Lead Your Customer to the Contract

39 Target Emotions

40 Make a Checklist for Your Proposal

41 Expose Sales Myths

42 Spare Yourself the Game of Price Poker

43 Close Your “Appeal Ear”

44 Say Your Panic Phrase

45 Conduct a Strategy Test

46 Choose the Best Strategy

47 Do Not Reveal Too Much to Your Client

48 Hunter or Administrator?

49 Set Reasonable Goals

50 Predict Your Revenue

51 Reduce Complicatedness

52 Never Stop Learning

More Profitable Business

Bibliography

About the Author

Preface

The traditional sales professional is a thing of the past. The vacuum cleaner salesman is almost ripe for the museum. Instead, people today are increasingly selling independently—be it a product, a service, or their own image.

Thirty years ago, there were many professions that had nothing to do with the notion of “selling.” The conventional wisdom claimed that if someone had learned a reasonable trade, he wouldn’t have to sell himself. Today, things are different. There’s hardly a profession or a position in a company in which people don’t have to sell their service or themselves. Having said that, the old-school type of selling has gone out of style.

The Internet has brought enormous changes to the business-to-business (B2B) sales world, and there are three salient changes that I would like to shed some light on.

Firstly, clients today are better informed. They seek out and find recommendations or warnings issued by other customers online.

Secondly, new and small suppliers have easier access to the market.

Thirdly, customers are more demanding. They expect variety and tailored solutions for products and services.

Does this mean that the sales professional will soon lose her role? No, she is adapting. One thing is certain, however: Today, she no longer has an informational advantage. Information is freely available to all decision makers online. And often, due to the Internet, buyers are even better informed than salespeople are.

In the future, sales organizations that target business clients in the long run will only make profits under one condition: if they help their clients succeed. That is why those sales professionals will be in demand, who can place the decision maker in a position to make wise investments.

Since 2004, renowned scientists have conducted intensive research into people’s decision-making process and brought new insights to light. Those who wish to work successfully with clients should take these to heart. Many books would have to be rewritten, because the role of rationality in this matter has been overrated and in some cases misunderstood.

What is clear is that rational thinking is well suited to deal with simple factual matters. But as soon as the number of parameters required for a smart decision goes beyond a certain limit, the individual is overwhelmed. When it comes to complex decisions, people are much more liable to use their intuition.

There is another recent development that has come to play a decisive role: Since the stock market crash in the first years of this millennium, there has been a sharp increase in regulations. They are designed to combat corruption and nepotism, but in the process have created utterly new requirements for dealing with business clients. Personal relationships with business partners have become difficult when they haven’t been penalized outright.

Needless to say, it is a victory for society when the law manages in some measure to curtail private contributions. After all, decisions should not be bought through personal advantage. However, in some areas, reasonable limits have been exceeded. Gifts in daily business life should not be criminalized. If someone is invited to a dinner with friends, it is customary to bring a bottle of wine or some flowers. Why then should it be forbidden to bring a gift to a business visit?

It’s unfortunate when communication between potential clients and salespeople is interfered with, because good decisions are based on a direct and intensive exchange between customers and service providers. Today and in the future, what is required is a sales professional who not only does things right, but above all does the right things.

Then what is the purpose of this book?

A counter question: Do the ramifications of the premises I mentioned above concern you and your way of dealing with clients? If so, then my book will aid you in increasing the net worth of your sales efforts. This is especially the case if you can hardly identify yourself with the job title of “salesperson.”

There is a widespread notion that says: If I want to achieve something, I have to be persuasive. But is this really the case? Who wants to be influenced or even manipulated? People are already bombarded by messages through countless different channels. There is an over-stimulation, a constant stream of information and an oversupply of sources. And in the midst of this you want to trot out your idea as well?

I believe it is time for a new approach. In my view, it is much easier to locate already existing interest than to create it. And this is what my book is about: tapping the existing potential in your business environment, to pave the way for decisions, be they purchasing decisions, project decisions, investment decisions, or cooperation decisions.

This should be of interest to sales professionals, but also to entrepreneurs, consultants, bosses, colleagues, employees, freelancers, and all those who are looking to guide others toward successful decisions.

I have structured my book so that it can be read in a variety of ways. You can go through it chapter by chapter, or you can pick out specific tips that are particularly relevant to your current situation. Even if you don’t read the book chronologically, you will not be afforded any less of an overview. I provide the basics, give you tips in your search for your target group, and advise you on closing deals. Thoughts on leadership and success strategies are also provided as part of the overall concept.

For every chapter I have provided worksheets, checklists, exercises and other helpful material. You can download it all at www.stephanheinrich.com/sb

A total of 52 chapters also corresponds to the weeks of the year. In this way you can put your B2B sales on a comprehensive fitness program, ensuring many years of solid growth. Set the pace for your company!

Please note: When citing examples to illustrate a given point, I have employed both feminine and masculine pronouns throughout. And where there are no specific gender pronouns being used, it is assumed that both are intended. It is important to me that women and men feel they are being addressed equally in regards to the subjects raised by my book. I am a supporter of diversity, for it is only when men and women of all ages, and people of all cultural backgrounds work together, that it gives us the best possible chance of success.

I hope you will be inspired by the book and I wish you a lot of success in your own projects.

Stephan Heinrich, December 2015

1

LOOK FOR THE WHY

Many sales organizations diminish their effectiveness because they explain the features of their products and services, but forget to convey what really matters. They explain WHAT their product is, HOW it works, and how it differs from the competitors‘ products. What they fail to explain is WHY it even exists.

SuperCloudSolution offers rapid IaaS cloud computing, that allows companies quick access to secure, virtual server environments and lends itself to development, testing and other dynamic workloads. The SuperCloudSolution is suited for ABC as well as XYZ development teams and offers you cloud-based services, systems and software for your business needs.”

OK. The “what” is pretty clear, and it also explains somewhat how it works. But why is it used? How will it change things for the customer who decides to invest in it? What value does it have for the client‘s company?

HOW WILL IT CHANGE THINGS FOR THE CUSTOMER WHO DECIDES TO INVEST IN IT?

Let me explain: It‘s about cutting costs, because companies with dynamic (that is, fluctuating in their need for computing capacity) areas of application have to have the highest capacity available, even though it is not in constant use. If this is the case, then the target group would be more interested in the following message: “No more costly, unused server capacity: Maximum performance when you really need it—otherwise cut unnecessary costs.” A professional copywriter could surely improve on the wording, but the key message here is in any case conveyed much more clearly.

My question to you is this: What are the key messages of your brochures and websites? And how would you respond if I were to ask you: “What are you really selling?”

Use the opportunity and switch the perspective. Look at it from your customer‘s standpoint—better yet, from the decision maker‘s standpoint. And now, read your message and ask yourself the following crucial question: “What am I getting out of this?”

Here are some concrete steps to follow:

Take a sheet of paper and in the center of it write the most precise term for what it is you are selling. Let‘s take an easy example. Say you sell screws. Then you would write “screws” right in the center of the paper.

Now think of descriptions that are more general and broader in scope than the first term and write them above. Then find terms that more precisely and specifically describe what somebody (your target group) would get out of it, were they to buy your screws. Your page would then look something like this:

fastener technology

fastener products

screws

high-tech screws

security screws, which can only be removed with special tools

Now bring the topmost term together with the bottommost. If this example is to serve as an improved answer to the what-are-you-selling question, then from that moment you would no longer say “screws” but: “We offer our customers fastener technology for security screws, which can only be removed with special tools.”

By specifying the term “screws”, you are firing up the imagination and preventing your outstanding product from landing in a pigeonhole. After all, your target customers don‘t require run-of-the-mill screws; they require solutions to their problems.

It‘s actually very simple. The challenge, however, is this: Sales organizations are always faced with questions and statements by the customer. These questions usually stem from their uncertainty regarding suitable suppliers. That‘s why nearly all such questions contain the core element of “WHAT is it exactly?” or “HOW does it differ from other products?”

How would you respond if I were to ask you: “What are you really selling?”

These questions are ostensibly important for the customer. She poses them because she feels the need to translate the given information into facts concerning each individual benefit they yield. That is why most of the client‘s questions—albeit not the essential ones—target the “what” and the “how.” Questions that revolve around “what” and “how” change the perspective of salespeople and sales organizations. It‘s no wonder that they keep giving the same old answers and forget the “why.”

That is why it is a good idea to celebrate, at least once a year, a “Why Day.” In fact, it would be best if you put this day in your agenda as an annual reminder. On that special day all statements in brochures, websites and slides—including all frequently used phrases—should be put to the test and realigned with the customer‘s perspective.

You‘ll soon find that this change in perspective is crucial for your success in sales.

stephanheinrich.com/sb/Chapter01

2

FIND OUT WHO HOLDS THE POWER

»Every ship has a captain. He bears the ultimate responsibility—whatever happens. And that‘s what makes him the top decision maker.

In the world of business clients, too, there is a top decision maker who will be your relevant contact where investments are concerned. Your services will be of most interest to her, but she will rarely be the first to show interest. Before you meet her, you will be faced with other types of people along the way.

YOU CANNOT SELL THE RECOMMENDER ANYTHING.

The Recommender

seeks providers who can solve one of his problems, looks to improve his work environment, or pursues a personal interest through the acquisition

issues (purchasing) recommendations, but is often ignored

has a clear understanding of what is actually needed by the staff, but knows little about how management thinks

is talkative and responds to inquiries with good suggestions regarding problems as well as background information about the organization in question

The biggest mistake salespeople make is trying to sell to the recommender. The urge is understandable; recommenders love to speak about their fields of expertise and will almost always find favor in what you‘re selling. My tip: Use this constructive exchange to find out as much as you can about the decision-making processes and to gather background information about the customer.

The Influencer

looks to behave in a neutral, proper and “correct” way and makes the best choice from a selection of alternatives in an audit-proof and impartial manner

reacts negatively if she feels influenced or manipulated

is critical of new ideas and approaches that might go beyond the initial solution in mind

tends to emphasize downsides, thinks over-critically and undermines arguments

This type is not usually well liked by sales professionals. Perhaps because the old-school approach to sales (a good relationship) doesn‘t work on her. The influencer insists on being independent. Therefore, she keeps her distance. The best thing that a salesperson can do when dealing with her is simply to inform her in a neutral and comprehensive manner.

Careful: Through frequent contact with recommenders and influencers, even the most experienced of salespeople will find themselves manipulated into speaking constantly about the “what” and the “how” of the product, at the expense of the “why.” But the “why” is precisely what‘s crucial to the next type, who is the most important one.

The Decision Maker

can choose from among several alternatives

seeks recognition for a successful initiative or a profitable project

is interested in the ROI (return on investment)

is usually fearless, but not naive

is used to make decisions and is willing to take risks

first answers the question “What are we getting out of this?”, then weighs the question “What do I risk?”

This is who you want to talk to! This is the key person for your sale. All the others are important, but not decisive. If you‘re negotiating a larger investment, this is the only person you can deal with in preparation for its signature.

However, even if you know the decision maker and understand her way of thinking and her problems, you still haven‘t reached your goal. In some larger organizations there is a fourth category of person you must deal with.

INFORM THE INFLUENCER IN A NEUTRAL AND COMPREHENSIVE MANNER. THAT SUFFICES.

The Signer

has veto power and although he cannot make decisions, he can prevent them from happening

is interested in maintaining his monitoring or controlling position

looks to increase the value of the company in a sustainable way

thinks strategically and asks himself, “How are we going to position ourselves?”

The best way to identify this type is to ask the decision maker, “Who signs the contract after you do?” In larger companies it‘s a supervisory body that oversees the actions of management or of the executives. But it could also be something like an employee organization or a compliance board. For the salesperson it is of paramount importance to find out if there could be overriding reasons to warrant a veto against the decision. This should be done without addressing the supervisory body, because signers have no interest in speaking with salespeople. They only want to deal with a decision once it‘s been made by the actual decision maker. For this reason, they will most likely refuse all contact with the salesperson before the decision has been made.

Caution: If you‘re thinking, “I‘ve closed deals without ever talking to the decision maker,” I‘m not going to take issue with you. I do believe, however, that the reason for success in those cases is, first and foremost, luck.

The signer wants to ensure that the decision maker‘s decision will not be subsequently seen as unreasonable or subject to review. If you should have the opportunity to speak with the signer himself or through an intermediary, focus on gleaning his values and use them as a basis for your subsequent proposals.

If you want to be sure you understand what the customer intends to purchase, then there‘s no getting around the decision maker. Even if the recommenders and influencers have your interests at heart and make it clear to you that you‘ve got the best offer, that does not mean by a long shot that the decision maker thinks the same way. Therefore, as a professional you have to know the views of the decision maker to be able to judge the outcome of a buying decision.

stephanheinrich.com/sb/Chapter02

3

DIG PATIENTLY FOR THE UNDERLYING MOTIVES

Does the following ring a bell? You could have the old windows in your apartment replaced. After only two years the investment would pay for itself in terms of heating costs. So what‘s preventing you from doing it? Nothing. And what would motivate you to make a decision and hire someone for the job? Again, nothing. And it‘s the same with your clients.

Here you have the main reason for decisions that are not made: The status quo, in other words the present state of things, looks comfortable enough to put up with. You might be thinking, “It can stay the way it is for a while longer. I can come to a decision later.”

The upshot: Apart from the cost-benefit relation, from which the ROI can be inferred, one also has to consider the pressure to take action. The benefit is the necessary condition underpinning the decision to invest. But the trigger for the decision is the motive.

Many sales organizations ignore this—and waste an inordinately high amount of time and money on unpaid efforts, for example for travel expenses, sample products, elaborate proposals and concepts or other upfront services that come to nothing.

FOCUS ON THE MOTIVES RIGHT FROM THE FIRST CONVERSATION.

And now I‘ll tell you how to avoid this: As a sales professional, from the very first conversation with your client, you must focus on the potential motives underlying the buying decision. But be aware that these motives often lie dormant and hidden. Many customers are aware that they should make a change in their current situation. But only rarely can they tell what really triggered their decision.

What should you do? How do you bring the client‘s motives up to the surface? You have to shed light on the implications of the status quo. For example, with the question: “What would happen, if you decided not to invest for the moment?”

Many sales professionals avoid this line of questioning, because they fear the client will then realize that he may not really need the product being offered. This fear is unfounded, because whether you like it or not, the client will ask himself this question in any case before coming to a decision, in order to figure out if he should invest now or wait off.

If you‘re aware that the client is asking himself this question anyway, then it is advantageous for you as a salesperson that the client does so in your presence, because then you have the opportunity to exert some influence. If, early in the proceedings, you discover that the client does not have sufficient motives for purchasing, then it would be wiser to invest that time in another client.

You can significantly improve your ability to assess the customer‘s pressure to act. Come up with targeted questions beforehand. Questions based on your typical customer situations; questions that you formulate according to the customer-related problems you‘ve identified. Look at the following list for some inspiration:

“Assuming you had to postpone the investment in question by six months: How would this affect your operating result over the next 24 months?”

“We have discussed the concrete problems that we would like to solve together. I‘m not telling you anything new when I say that many companies have similar problems but do not take steps to deal with them. What is motivating you to tackle these problems now?”

“You‘ve said that you cannot convey in dollars the concrete implications of the problems we‘ve discussed. But try and think in broader terms: Are we talking about a 50,000-dollar problem or a 200,000-dollar problem?”

The trigger for the decision is the motive.

You will see that the motive for action often depends on the customer‘s risk assessment. The lower the pressure to take action, the lower the sense of risk. Every investment decision carries a certain risk: The project could require more resources than planned for, and the overall outcome could be unfavorable. A poor decision can cause significant problems in the careers of some decision makers.

A POOR DECISION CAN DESTROY THEIR CAREER.

Only if these risks are favorably balanced with the pressure to act, will there be a positive decision made. It is a great advantage for any professional sales organization if it has this kind of know-how and applies it wisely.

stephanheinrich.com/sb/Chapter03

4

LISTEN INSTEAD OF SPEAKING

Almost all sales organizations are masterfully prepared to present their products. But there‘s something more important than a perfect company presentation. Those who don‘t listen carefully to what their customers say will not reap long-term success. How, then, can you best approach this issue?

Countless hours and resources go into the development of a firm‘s presentation. Artistically made slides that present all that is noteworthy and more about a company are created according to corporate design guidelines. The appropriate order is then established and frequently employees are even instructed on what to say about each slide.

Because so much attention is dedicated to a firm‘s presentation, it is no wonder that sales professionals also focus most of their efforts in that direction. If the client asks, “What would you like to discuss?” the salesperson will automatically take out her notebook. What follows is a series of slides with more or less pertinent information for the client. If you ask me, however, no decision maker is interested in watching a slide presentation.

Because the process of explaining, speaking, and presenting is made so much easier with slides and other sales props, the sales professionals are tempted to fully exploit these visual aids. It would be more important, however, for the salesperson to bring some “listening aids” along.

Imagine you‘re in the midst of a typical sales pitch with a decision maker. It might go something like this: First there‘s a bit of small talk. Then you hear him say, “Alright, let‘s see what you‘ve brought with you.” You only need to hear that once, and you‘re off and running. The projector is on, and you work your way through an artfully constructed company presentation. The sequence and theatrics of your sales pitch are very effective, but are you just as effective at this moment?

Imagine a different scenario: You‘re on a date. You may think this is a poor analogy, but I would say a date is indeed comparable to customer acquisition; the latter is simply a business date. So, would you start your first or second date with your future sweetheart giving a presentation? Would you look to tell them everything about yourself first? How about a brief picture slide show? In the spirit of “Here‘s my house—my boat—my horses”? Hardly.

Then why do we think that we should start an introductory business meeting with a presentation? Listen to your common sense. Wouldn‘t it tell you that instead, you should approach your customer with genuine interest and empathy first?

So how can you make the act of listening into an essential tool? Easy: Use a checklist in order to keep your eye on the salient conversation topics to be covered.

One List, Three Questions

The simplest checklist consists of three questions: Why us? Why now? Why at all?

Why Us?

Why should the customer do business with you?

From the customer‘s perspective, what is in your favor?

What motivates the customer to do business with you?

Why Now?

Why should she make a decision at this particular juncture?

Why didn‘t she decide earlier?

Why isn‘t she waiting another year?

How can you turn the act of listening into an essential tool? Easy: Use a checklist in order to keep your eye on the salient conversation topics to be covered.

Why at All?

Why should she care to change her current situation?

What speaks in favor of changing her current supplier?

Why should she do away with her present way of running things and work with you from now on?

As you can see, these three questions actually encompass a complex of questions that can be applied to your business field. You can then extend and deepen the scope accordingly.

If, after your sales pitch, you‘re able to answer these questions better than before, then it was a good pitch.

Now I would like to illustrate the power of listening in a very simple manner. After your next five sales pitches write up three things, and I‘m serious, I‘m asking you to actually write them, not just think about them.

AFTER YOUR NEXT FIVE SALES PITCHES WRITE DOWN THESE THREE POINTS.

Here are the three elements:

The first and last name of the decision maker.

His biggest problem, which you will assist him in solving.

What the decision maker envisions as a possible solution that would be acceptable to him.

If you write down these three points, you will raise the quality of your client communication. And if you know beforehand what you wish to focus on, this will change the way you lead the discussion. In short, communicate in a targeted manner, and your success is practically guaranteed.

stephanheinrich.com/sb/Chapter04

5

DON‘T RIDE A DEAD HORSE

“The good ones go into the pot, the bad ones go into your crop”—poor Cinderella had to pick the lentils out of the ashes. Luckily the doves came to her aid. Some salespeople tend to pick the proverbial lentil from the ash, dust it off, give it a sniff, and maybe even put it in their mouth, only to put it back in the ash, feeling dejected.

Are you familiar with this scenario? It‘s the third or fourth time that you‘re calling an “interesting contact” and he says something like: “Thanks for getting in touch with us again. We‘re still interested, but for the moment it‘s not right for us. Let‘s talk again in three or four months.” And to be honest, that‘s what he said the last few times you called.

Nothing‘s changed. The client keeps postponing, time and again. Perhaps you‘re thinking that you just have to be more persistent. “Stick with it,” says a voice from the depths of your first sales training. “Selling begins with a no,” echoes another in your head. I‘m telling you that you can take these slogans and safely throw them into the garbage dump of sales history. But why?