“Sales, Just Answer the (Dam) Price Question”
Wednesday, May 20th, 2009On the 3rd of March, I published this post “Need Sales Training, Let’s Sit Down and Talk About it”
It was a rough transcript of a phone call I took from an Irish Sales Director. He was inquiring about sales training for his sales team and insisting that I send him a proposal and price - he did not want to meet up. I refused as I didn’t feel that I was in a position to do so. He refused to accept my explanation - and the call ended somewhat badly.
In hindsight, I could have taken a differing approach, and perhaps drawn out the conversation more - but my instinct was telling me that I would be wasting my time.
This post has generated a lot of interest, critiques and debate; I am somewhat surprised - because it appears to have split some sales experts’ right down the middle. Some have strongly complimented me on my stance, where as others feel I lost potential business -because of my approach.
So what would you do in this same situation?
The prospect wants a proposal and price, before you have had a chance to investigate their needs. He/she is insisting that you do, and your competitors have willingly obliged. Remember, in not doing so – you probably lose any chance of making the sale.
Here are some of the comments that this post has generated.
“Good to read from a sales trainer that walks the talk”
“Niall sets an example for sales trainers as well. I commend him on his understanding of how sales performance improvement should be approached and his integrity for not folding, even with money on the table during these tough times”
“I’ve been through that conversation myself many times. I also will sometimes ask the potential client, “If this was your salesperson, would you want them to blindly respond to a price quote request without knowing anything about the customer at all?”
“How would you like your own people to respond to a question like that from your potential customers? Just give a price, without really diagnosing their situation, goals and needs?” He got mad, and ended the call. Perhaps I was being too direct. I’m still struggling how best to answer these kinds of “price first” inquiries, before getting the necessary information. But we’d be doing the customer a disservice if we didn’t follow good business practices”
“I take pretty much the same stance as you, stick to my guns and my proposition and am prepared to walk away. Strangely it’s a stance that is often successful”
“I’d agree with you generally - and certainly wouldn’t do a proposal without a clear, agreed understanding of what the customer needs (and I’d prefer not to do a proposal at all).However, I would consider giving the client a ballpark range for how much a 2-day course would cost if it turned out that that was what was needed. In this case I don’t think it would have made any difference. The guy seemed to view sales training as some sort of generic “magic sauce” you could sprinkle on your sales team to improve their performance without needing to tailor it to their needs”
“Again, given the different perspectives on what effective sales training is and how it should/can be delivered, it sounds like he wasn’t a good prospect anyway. In other situations however, DON’T DANCE AROUND PRICE. They have a right to ask and be answered and a good sales person can give them that answer. Use a range to weed out the wrong clients and help weed in the right ones”
“This company may never be my clients but the good news is that I don’t want everyone to be my client. Seems weird to some to say that in this economy but I believe there is still enough business to go around. I want to work with the right clients for my business”
Steve Bent
“The proposition and sales close happen all at once, WAY too quick to get the customer’s buy-in to your process! As consultants my view is we sell in steps, gotta sell the meeting first! If I get in the door, I’m pretty confident it’s a done deal. BUT that means that the real selling part is getting in the door, so we gotta sell! That sales process is the same if you are selling a premium car, or the idea of a meeting - it’s all selling.
I aim to take control, and most importantly not deliver any idea of what I do (unless they ask “credential based” questions first, which occassionally happens. In which case I give background but don’t get drawn into how I work!) and then question, question question!
Obviously it gives call control, and I also find it’s hard for them to get away, maybe because at that stage they don’t want to: I haven’t said no, and actually demonstrating my interest in HIM”
“It’s far more important to help people behave as they don’t currently behave, than it is to teach them something they don’t currently know. If you’d like to chat about how we might accomplish that, I’d be happy to do so. If you’re afraid I’m going to “pitch” you and waste your time, I respect that, but I can’t really help you until we get to chat a bit”
“Shouldn’t we be asking, “if I give you a proposal, without first meeting you and further exploring why your salespeople are struggling, then I am no better than the salespeople you have since that’s what they’re probably doing - generating quotes and proposals and wondering why they aren’t getting the business. Do you want to fix that problem or perpetuate it?”
“Clearly he didn’t (at this stage!) want to spend a lot of time with each supplier, so why not have a conversation on the phone and then put together a ball-park figure? as I’m guessing he just wants to know if it is likely he will be able to afford you.
I think the key here is how the customer wants to do business and adapting your style to match theirs”
……………………………………….A BIG thank you to one and all for their input.
Over at TSE
Still time to register for tomorrow’s webinar over at Top Sales Experts:
How to Close More Sales by Shortening Your Sales Cycle with Dave Kurlan
Thursday May 21st 2009 1:00 PM EASTERN
It is just $59.50 to register here but of course, you have choices - you always have choices: You can become a TSE VIP Member here for just $25 per year and listen in for FREE - in fact, as a VIP Member you can listen in to the other 100 webinars we are presenting this year for FREE too - now that is a “No-brainer”