2.

Before Negotiations (2): Selling

Purpose
To help you understand how to build
long-term,
mutually
beneficial
customer relationships, one sales
call at a time

Customer Needs Concepts

Need: A customers desire to improve or
accomplish something
Circumstances: Facts, events or
conditions in the customers environment
Need Behind the Need: The more
important objective underlying the need

Customer Inventory - examples

CIRCUMSTA
NCES

? NEEDS

Many employees
leaving company
for other
opportunities

To increase
employee
satisfaction

New competitor
has entered the
market

To implement a
new marketing
campaign

Production costs
continue to rise

To reduce labour
costs

NEED
? BEHIND THE
NEED

To maintain
consistent
relationships
with customers
(performance)

?
Expansion,
margins, profits

?
?

Sales Process Approach

Mutually Beneficial Commitment

A customer commitment that moves the
sales process forward in a way that benefits
both you and the customer
Examples:

Agree to a product demonstration.

Sign a contract.
Schedule a future meeting with other

Open
Transition to your opening.

Agenda

Value

Propose an agenda.
State the value of the agenda.
Check for acceptance.

Open - example
When we spoke on the phone, you
mentioned an interest in equipping your
organization with a state-of-the-art system.
I suggest that we spend some time
discussing the challenges you are
experiencing that led to the decision to
upgrade. Then Ill be able to suggest
possible solutions that would get you the
results you want. Is there anything else
youd like to cover?

When do Customers Express

Indifference?
Indifference

Respond to Indifference

Gain
Agreemen
t

Acknowledge the customers

indifference.
Gain agreement to discover.

Copyright MHI Global 2015. All Rights Reserved.

Respond to Indifference - example

Gain
Agreemen
t

I agree that it does not make sense to make

unnecessary changes. I wonder if we could
briefly discuss the way you currently organise
projects. Even though youre satisfied with
your current supplier, we might find ways in
which we could help you at some point in the
future. Would a few minutes be all right?

Discover
Build a clear, complete,
mutual understanding of
the customers:
Circumstances
Needs
Need behind the need

Clear, Complete, Mutual Understanding

Clear:
The cause of a need (circumstances)
Specifically what the customer wants
to accomplish (needs)
Why the need is important (need
behind the need)
Complete:
All the customers needs
The priority of the needs
Mutual:
You and the customer share the same

Open and Closed Questions

Closed Questions limit a response
Open Questions:
Encourage customersto:
A yes or no
to
Have you ever used an outside
respond freely
research service?
What are you trying A choice among alternatives
to achieve?
Are you interested in leasing
Tell me more about
the new computers, or do you
plan to buy?
that.
A single, often quantifiable, fact
Why is that
How many field
important?
representatives do you have?

Resolve Indifference

Build awareness of unrealized needs by asking

questions to:
Understand current circumstances.
What is the customer doing now?
Identify opportunities to improve
circumstances.
What, if anything, isnt ideal about the current
situation?
Discuss consequences of current circumstances.
What is the risk of continuing with the current
approach?

Questions to Create Awareness

of Unrealised Needs

Satisfy

.........................................................................

Acknowledge the need.

Features
Benefits

Describe relevant features and

benefits.
Check for acceptance.

.........................................................................

Sample Satisfy Statement

Having accurate information about your

competitors is critical to your ability to
plan your product strategy. Our
researchers will gather and analyze
information about your competitors
products. This will help you develop
targeted, competitive strategies that
increase your market share. Is that the
kind of help youre looking for?

Customer Concerns
o

Scepticism: The customer doubts your ability

to provide the features and benefits you say
you will: Its hard to believe the product will last
as long as you say it will.
Misunderstanding: The customer thinks you
cannot provide features or benefits that you
can actually provide: I only work with companies
that provide round-the-clock service. (The
customer does not know you provide 24-hour
service.)
Drawback: The customer has a need you are

Resolve Customer Concerns

Discover

Resolve

Discover.
Acknowledge the
concern.
Resolve the concern
Check for acceptance

Resolve Scepticism
Offer relevant proof:
Referrals
Demonstrations
External research
Example: Id be happy to provide you with
the names of customers whove
implemented the system. Id expect them to
tell you that theyve seen savings of 15 to
25 percent

Resolve a Misunderstanding
Provide accurate information:
Explain the correct feature.
Ideally, include a relevant benefit.
Example: Our service desk is open 24
hours a day, seven days a week, so any
problems that arise at night or over
weekends can be resolved right away,
minimising downtime.

Resolve a Drawback

Refocus on the bigger picture.

Outweigh with previously accepted benefits.

Example:From what youve told me so far, there are

other aspects of this implementation that are also
important to you. Lets consider everything together.
Our technicians will work with yours to ensure that the
integration with your current system is seamless,
resulting in uninterrupted work for your employees. We
also discussed how 24-hour support will provide your
staff with access to experienced help at all hours, so
that software issues can be resolved without delay.

.........................................................................

Close

Commitment

Transition to your
close.
Propose a mutually beneficial
commitment.
Check for acceptance.

Transition
to
Your
Close
.........................................................................

Review accepted benefits: As we discussed, our

market analysis will enable you to segment your
market more effectively and target your advertising
accordingly. Our focus group research will clarify the
most important features to your customers and allow
you to make product development decisions that will
result in improved sales and increased market share.
Suggest its time to wrap up: Weve covered a lot.
Lets take a few minutes to wrap up and confirm the
next steps.
Highlight something positive about the customer,
you or your organisation or the sales call: Thanks
so much for sharing information on your challenges. I

Close Example

.........................................................................

As we discussed, our market analysis will enable

you to segment your market more effectively and
target your advertising accordingly. Our focus group
research will clarify the most important features to
your customers and allow you to make product
development decisions that will result in improved
sales and increased market share. As a next step, Id
like to prepare a full proposal for your review. If that
makes sense, Ill ask you to coordinate a time when I
can present it to you, your CEO and other colleagues
who would contribute to the decision. Do those next
steps make sense for you?