Pay Per Click Marketing Centricity

Why You Must Focus on Face-to-Face Meetings with Potential Customers

While managers frequently tell sellers to get in front of their customers, many sellers fail to listen. A couple of studies show why this is a mistake.

In one study, subjects were shown a series of faces flashed on a screen. Some faces were shown more often than others. The faces were shown so quickly, though, that when later asked, subjects could not remember seeing any of the faces before. However, the study found the more often a person was exposed to a face, the greater the liking for the individual when they later met.

Sell in Reality to Sell Efficiently and Successfully

Although we’d like to think every individual or company on our account list or within our geographic territory is a potential customer, the reality is that this is simply not the case. I’ve read a statement (that I tend to believe) which states you’ll win 1/3 of the business regardless of what you do; you’ll lose 1/3 of the business regardless of what you do; and it’s that 1/3 that remains that will determine your success or failure in selling. Maybe these ratios are different for you, but the important reality is that you won’t win every possible sale.

 

An Interesting Equation for Buy/Sell Transactions

Len Berry, author of Discovering the Soul of Service, developed a three-part equation for the variables involved in transactions. He notes that in every transaction, participants have three different perspectives from which to judge what is happening:

1)  They have their expectations of what will happen.

2)  They have their experiences of what did happen.

3)  They have their observations of the process, or getting from expectations to experience.

All three are equally important, but the author sees a relevant compounding effect that also needs to be taken into account. Rather than simply being added together, these three variables actually multiply each other. In other words, it's not 1+2+3 that determines how well you're doing, but 1x2x3. When you multiply something by zero, of course, the total or result is also zero, regardless of how large the other variables might be.

Thus, everything counts in a relationship.

by Rob Reed  web: www.terrakon.com   blog: www.marketingcentricity.com

 

Is Your Sales Trust Factor Higher Than Your Competitors'?

How high is your sales trust factor?

Is it higher than the sales trust factor of your competitors?

It should be, if you want to increase your success in sales.

Your sales trust factor represents the level of trust that buyers have in you as a seller. In the buy/sell relationship, perception is the reality under which sellers operate, and trust is based on the buyer’s perception of you.

You may be the most honest, trustworthy person in your field, but if buyers don’t perceive you to be trustworthy because of your selling behaviors, it doesn’t matter how trustworthy you are in reality.

Thirteen Tips to Selling More Successfully as a Trusted Sales Professional

1. Attitude can be everything. It is important to remember that your attitudes drive all actions and these actions are perceived by buyers as trust-building or trust-breaking. The most important change you can make to sell more successfully is to adopt and reinforce attitudes that will lead to actions resulting in greater levels of trust. Conversely, it is just as important to "lose the attitudes" that result in actions that are trust-breaking.

 

My Customers Trust Me…Don’t They?

Studies have found that our perception of how much another person trusts us is much higher than the trust level is in reality. In other words, we tend to overestimate, sometimes significantly, the level of trust others have in us.

In one particular study with sales reps and purchasing executives, the sales reps overestimated the level of trust the purchasing execs had in them by nearly 30%.

As a seller, you may feel that you're a trustworthy person and, when asked, your buyers would describe you as such. According to these studies, however, the buyer's stated level of trust would not be nearly as high as you might expect or desire.

So when you lose a sale, the buyer may attribute the loss to price, features, delivery schedule, etc. when in actuality he or she didn't really trust you, or at least trust you to the same level as your winning competitor.

Again, this goes back to the importance of paying attention to the "small things." While you may think that it's no big deal to be fifteen minutes late to an appointment, every little thing that you do or don't do has a direct impact on the perceived trust level of customers - whether they say so or not.

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Feel free to use this article on your website, blog or enewsletter. The article must appear with the following credit and links:

Rob Reed is president of Terrakon Marketing, a sales and marketing consulting firm based in St. Louis. Terrakon helps service professionals, firms and small businesses attract more prospects and win more customers. Learn more at www.Terrakon.com or Rob's blog at www.MarketingCentricity.com.

Should I Use a One-Sided or Two-Sided Argument When Presenting My Product or Service?

When presenting to an individual or group, is it better to present only "your side" of why a customer should purchase your product or service or is it better to also present some of the drawbacks or concerns some people may have about your offering - items your competition might present?

According to research, it depends on the specific sales opportunity. In most sales situations, though, it is more credible to present a two-sided message. These messages, in general, are more credible because they acknowledge your product or service does have shortcomings. If it was "perfect," then competition would most likely not exist.

In fact, research suggests that it is worthwhile to disclaim at least one minor feature because it will increase the buyer's confidence that the seller is "telling the truth." The belief that the seller is telling the truth, then, creates credibility in the mind of the buyer and strengthens the positive aspects of the product or service even more. Two-sided messages are perceived as opposing the sales goal, therefore resulting in the belief that the sponsor is honest.

It may also be a good idea to refute the weakness or counterargument once it has been presented. For example, "I can tell you that there is a high likelihood that our product will cost more than others you may consider. The reason is we use the highest quality parts available to reduce the number of breakdowns and ensure a longer useful life for the product."

In general, two-sided messages are more effective when the audience is critical, skeptical or unfriendly (e.g. already use a competitor's products or services); is well educated; or is likely to hear opposing arguments from your competition. In addition, by offering some of your shortcomings, you also lower the customers' expectations for the product or service and lessen the likelihood of dissatisfaction.

One-sided messages are more effective when your audience is friendly (e.g. already use and like your product or service); already favor and/or agree with your message; or they are unlikely to hear counterarguments from others or your competition. If you face competition, then one-sided messages will usually lose credibility with your audience in the long-term.

The bottom line is that you should be honest about the shortcomings of your product or service. Buyers will perceive you as more trustworthy which is often more important than the positive or negative aspects of your solution.

by Rob Reed  web: www.terrakon.com   blog: www.marketingcentricity.com

  

Another Critical Reason to Ask Good Questions When Selling

Sales experts have concluded that successful selling is not about talking features and benefits. Instead, successful sales people ask questions to better understand the prospect's needs.

Of course, clearly identifying and understanding your prospect's needs is extremely important, but is there another reason that you should rely heavily on asking appropriate questions?

Absolutely.

Trust in the salesperson is often the number-one decision factor, so higher trust versus your competition will lead to more sales. Credibility is a key ingredient in building trust, and questions can help you build credibility with your prospects.

Here's the proof.

In a series of experiments, researchers told two people they were going to play a quiz game. One person was the "Questioner," and the other was the "Contestant." The researcher told the Questioner to ask ten difficult but not impossible questions based on one of the Questioner's particular interests. In this situation, someone interested in stock car racing, for example, might ask questions on NASCAR, even if the Contestant knew nothing about the subject.

After the quiz was over, the Contestants nearly always rated the Questioners as being smarter than themselves. Even when told before the quiz that the questions would be biased in favor of the Questioner, the Contestants still rated the Questioners as smarter.

The conclusion is clear: When you ask informed questions, you are perceived as a smarter person.

Now imagine that the participants in this situation are seller and prospect. Too often during presentations and/or sales calls, the seller (you) provides information and the audience (the prospect) asks questions. But now you know that the individual who acts as Questioner will most likely be perceived as smarter — and therefore increase his or her credibility.

If you haven't already, wouldn't it be a good idea to incorporate more questions in your sales calls and/or presentations whenever possible? Do it — you'll add to your credibility and increase your prospect's trust.

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Feel free to use this article on your website, blog or enewsletter. The article must appear with the following credit and links:

Rob Reed is president of Terrakon Marketing, an internet marketing and sales consulting firm based in St. Louis. Terrakon helps small businesses, service firms and professionals attract more prospects and win more customers. Learn more at www.Terrakon.com or Rob's blog at www.MarketingCentricity.com.

Think Introvert and Business First When Selling Your Solution

The expectation that most people have of salespeople is that they are extroverts. While this may be true, it is important for the extroverted seller to understand that there are also many people who are introverts - including many of your potential customers.

When meeting a potential customer for the first time, though, a good rule of thumb is to assume your counterpart is an introvert until he or she shows otherwise.  It is even more important for you to lean toward the introverted side of your personality, or at least try to get to the middle with what you say and do when you first meet a potential customer.

Why? Because if you walk into a first-time meeting as a high-energy extrovert, there's a chance that you will immediately turn your potential client off if he or she happens to be an introvert. And since most buying counterparts already perceive sellers to be extroverts, they will be looking for cues to reinforce this belief. If you walk in as a high-energy extrovert, then, you've reinforced what the buyer already believes and you've already failed your first test to differentiate yourself from other sellers.

On the other hand, if you walk in with a more subdued, introverted personality, an extroverted customer will not be turned off by this, and as soon as it becomes apparent that you're dealing with an extrovert, you can quickly switch to your normal, extroverted self.

In addition, you may also want to think about discussing business first and personal or social issues second. It's okay to exchange a few pleasantries about the weather, local sports teams, etc., but try to quickly show your counterpart that you value their time and are there to conduct business. The small talk can always take place later in the meeting. By simply changing the order in which you bring up business and social questions, you will quickly differentiate yourself from many, many salespeople.

by Rob Reed  web: www.terrakon.com   blog: www.marketingcentricity.com

  

Does Closing a Prospect Impact How Much the Prospect Trusts You?

Sellers often use closing techniques to persuade a prospect to act. To determine whether five closing techniques affected trust between a prospect and a seller, a study surveyed 238 industrial purchasing executives. The study also included a no-close option in which no closing technique was used.

Persuading the Prospect

During sales encounters, sellers attempt to persuade prospects to act. Sellers can persuade prospects in two ways. Each has drawbacks.

Type of Persuasion	Description	Drawbacks
Direct	Seller explains the features and benefits of the product so that the prospect understands them. The prospect makes an informed decision on how the product will work in the prospect’s environment.	There is often too much information for the prospect to absorb. Analyzing complex information is hard.
Indirect	Seller uses cues and methods other than objective features and benefits. Closing techniques are a form of indirect persuasion.	Experienced buyers often perceive these techniques as manipulative.

Closing Techniques and Persuasion

Closing techniques are a form of indirect persuasion. All closes are based on persuasion techniques that give the closes their power. Here’s a look at the five closes covered in the study and how they persuade prospects to act.

The assumed close and the either-or close use the consistency principle of persuasion. The consistency principle states that people have a strong need to be consistent in their attitudes. A seller uses this technique when he or she seeks to have the prospect agree to a position that will support the sale.

Closing Technique	Salesperson’s Typical Closing Action	Persuasion Principle
Assumed close	Act in a way that assumes the sale has been made, such as writing the order	Consistency
Either-or close	Ask a minor question regarding a detail of the  transaction — “Would you prefer X or Y?”	Consistency

The social validation close uses social validation principle of persuasion. The social validation principle states that people model their own behavior after the behavior of others they respect. Doing this establishes a basis for action. As a result, the social validation close can be effective when a prospect lacks the knowledge necessary to fully evaluate the product.

Closing Technique	Salesperson’s Typical Closing Action	Persuasion Principle
Social validation	Mentioning a firm similar to the prospect’s that has purchased the product or service, then suggesting that the prospect place the order and receive the same benefits	Social validation

The If-then close uses the reciprocity principle of persuasion. The reciprocity principle states that people feel pressure to repay favors. It is interesting that there appears to be no relationship between the size of the original favor and the value of the repayment.

Closing Technique	Salesperson’s Typical Closing Action	Persuasion Principle
If-then	Offering a concession, favor, or service on the condition that the prospect places the order — “If I can get you X, will you give me the order?”	Reciprocity

The impending event close uses the scarcity principle of persuasion. The scarcity principle uses the fact that products seem more valuable when there is real or implied scarcity. The principle works whether the scarcity is of supply or time, so “Just a few left!” and “Limited time only!” both apply the scarcity principle..

Closing Technique	Salesperson’s Typical Closing Action	Persuasion Principle
Impending event	Asks the prospect to buy now, before X occurs that will eliminate the opportunity	Scarcity

Closing Techniques and Trust

Closing techniques are effective because they introduce “a cue, signal, psychological tendency, or social norm” that may increase the desire to buy. But the study’s authors conclude that closing techniques reduce the prospect’s trust in the seller because prospects see closes as manipulative.

The authors found that not using a close (the no-close technique) resulted in the highest level of prospect trust.

The either-or close and the assumed close, both based on the consistency principle of persuasion, damaged trust between seller and prospect the most. The authors found that the other three closes also reduced trust levels.

The authors concluded that sellers should consider carefully before using closing techniques. Because trust is a prerequisite for effective long-term relationships, they say that sellers must balance potential gain from the current sale against potential loss of trust and a future relationship with the client.

For sellers who wish to sell with honesty and integrity to earn trust — the results of this study suggest that sellers should avoid traditional closing methods. Instead, the seller should seek to establish a trustworthy relationship with the prospect, so that appropriate sales will flow from the relationship and traditional closes will not be required.

My verdict on this study: unless your hawking ipods at Best Buy, don’t close if you want to win the sale — use the no-close.

by Rob Reed  web: www.terrakon.com   blog: www.marketingcentricity.com