Don’t Make It About the Dollar

One dreaded statement from a sales prospect can make a salesperson turn pale. “Is this your best deal?” … “I’ve interviewed a couple of your competitors and they are willing to sell for less.” … “Thanks, but we want to shop around before we make a decision.”

How many of us have recently heard, “Our business has been so good for the past . ve years we haven’t felt a need to do any sales training, but things are different now and we need help!” In today’s market of intense competition and constant margin pressure, this scenario continues to replay itself. When not prepared for the price resistance seen in tough market conditions, a weak salesperson stam­mers with a poorly thought-out response like, “Well, let me see what I can do.”

Is your brand really about price or is it value? And what is value anyway?

The truth is value, like beauty, is quite subjective. It is incumbent on every sales professional to . nd out exactly what the prospect values. Lead with your ears and ask the questions that reveal what your prospect actually values. The prospect’s de. nition of value is more important than yours.

In tough markets, selling by value means differentiating every deliverable. The degree to which we are perceived as different from and better than the competition is critical today. To decision makers, sales­people often appear to offer just about the same products and services. Your prospective customers may be busy commoditizing your solution, in which case you must be busy differentiating it. Unless you can create a powerful and distinct difference to the customer, you are not going to stand out from the crowd.

So the question is: How does your agency separate itself and its offerings from the competition? The answer: You’ve got to be different—really different. And it’s not always about price.

Product differentiation. How is your product or offering different from or better than your com­petitors? Creatively exploit every aspect of the difference of your agency’s products and service and tie it into what the prospective customers say they want. Come up with both unique competitive advantages and relative advantages.

Price differentiation. Unsophisticated marketing and salespeople often think the best way to get business is by underpricing everybody else. Thin margins have put more companies out of business than any other single factor. It is the worst approach to try to build a viable long-term enterprise.

Relationship differentiation. Harness the power of relationships and lock out the competition, regardless of the marketplace. If there is a solid relationship between you and your clients based on trust, you have an inside track of tremendous value. The tough market will make you the envy of your competitors, and your client may not even give your competitor a chance if the relationship is strong enough.

Build trust with a solid, high-integrity approach by exceeding their expectations and being a valued resource in every conceivable way. Be prepared to earn their trust, which takes time, planning and perseverance. Be impeccable with your word from the get-go and implement a communication process that continues to keep you and your clients connected.
Process differentiation. Many companies don’t attach enough signi. cance to the processes that dictate the image of their business model. The “we’ve never done it that way” syndrome bites com­panies in the backside when they don’t give innovative thought to their business practices. Brainstorm better, more customer-friendly, out-of-the-box ways to do business. The way business is conducted changes every day due to globalization, e-commerce, the Internet, ever-changing buyer behavior and new software and technology platforms. Capitalize on innovation rather than being a victim of it.

Remember, people will always pay for expertise and do business with those individuals they know, like and trust.

Don Hutson (www.DonHutson.com) is the Wall Street Journal and New York Times best-selling co-author of “The One Minute Negotiator: Simple Steps to Reach Better Agreements.”

Build Brand Through Service

This age of modern technology cre­ates many opportunities to advance your agency’s methods of operating and communicating. These new modes of communication encom­pass a wide variety of options, from using podcasts to update customers or address customer-sensitive issues to a blog that provides “voice” and interface to “hear” from your customers that results in your prospects better understanding updates, changes and timely buying opportunities. Cardinal rule: Make it easy for the customer to communi­cate and buy.

Many people believe the country is in an experience economy. Can you provide customers with knock- your-socks-off service and experiences that are so memorable that they start telling their friends and colleagues? Customer service miracles are anything you can do to make a customer say “Wow!” Ask yourself, “How can I make doing business with me an irresistible experience?” Your goal should be to create not only a brand but a service experience that is terrific.

—D.H.