The Basics of UK sales training
consultative selling, 'needs-creation' selling,
and 'SPIN Selling- sales training (uk)
Consultative selling involves deeper questioning
of the prospect, about organizational and operational
issues that can extend beyond the product itself.
This leads to greater understanding of the prospect's
needs and the questioning process itself also results
in a greater trust, rapport, and empathy between
sales-person and buyer.
The process has been practiced instinctively in
good sales people and organizations for many years,
particularly since the 1970's, especially for concept
selling or service solutions selling, as buyers
began to learn as much about the sales process and
techniques as the sales people themselves. In the
1970's and 1980's various proprietor frameworks
and models were established, and many of these remain
in use today. The 'needs-creation' selling approach
is example of consultative selling. It's more involving
(of the client) than the essentially one-way prescriptive
Seven Steps method, but it is still largely centered
on what the supplier wants, rather than helping
the buyer.
In 'needs-creation' selling, the sales-person seeks
to identify and then 'enlarge' a particular need,
problem, challenge or issue that a potential customer
faces. The consultative aspect exists hopefully
in the sales-person's ability, experience and expertise,
to 'consult' with the buyer in developing a solution,
which of course entails the supplier organisations
provision of product and/or service.
The process is rather like the process employed
by professional consultants in all sorts of 'professional'
and 'technical' disciplines (for example, engineering,
health and safety, law, finance, IT, etc):
1. Research the prospective customer organisations
to confirm suitable prospect profile (subject to
the supplier's prospect qualification criteria),
and competitor threats, opportunities, contract
review dates, past dealings, etc.
2. Establish rapport and seller's professional
credentials with the client (typically by referencing
case-histories and case-studies for successful solutions
provided in similar markets and applications that
are similar to those of the prospective client).
3 Ask 'strategic' open questions to identify, explore
and develop areas of potential problems, difficulties,
aims, challenges and unresolved issues within the
prospect organisations Normally identify and agree
on a single primary issue (which represents both
a major concern for the buyer, and a relevant area
of product and/or service opportunity for the seller.)
This could be a 'distress' or emergency pressure,
priority, or threat, for example an issue which
the prospect is involved in 'fire-fighting' to resolve
currently, such as legislative compliance; or a
strategic development opportunity for market or
business development, to which significant potential
profit, cost-savings and/or competitive advantage
are attached.
4. Interpret, clarify, extend and quantify in financial
and strategic terms the knock-on effects of the
primary area of opportunity or threat. That is to
say, what are all the negative effects and costs
of failing to resolve the threat or pressure?, or
what are all the positive effects and revenues/profits
that will be derived from achieving the identified
strategic opportunity? The sales person is effectively
doing three things here:
a) Increasing the size and cost/value of the issue
heightens the issue's priority and importance, and
thus increases the buyer's feeling that action must
be taken - it gets the issue higher up the buyer's
agenda and closer to the front of his/her project
schedule.
b) Increasing the size and complexity of the issue
increases the need and opportunity for consultative
advice - the buyer increases his/her perception
that outside expertise (from the seller) is required.
b) Increasing the costs or values associated with
the issue naturally increases the buyer's tolerance
and expectations for the cost of the supplier's
proposed product/service solution - the higher the
cost or value of the challenge, then the higher
the cost of the solution.
5. Sell the principle of the seller's solution
(necessarily in outline for large prospects - small,
simple situations often require specific solutions
proposals at this stage), matching the benefits
of the solution to the various aspects of the prospect
need or strategic opportunity. For larger prospects
it is commonly necessary to agree to proceed with
a survey or assessment prior to producing a fully
detailed proposal. A large complex proposal would
typically need to be presented by the sales-person,
or a team from the seller's organisations, to a
board or decision-making team within the prospect
organisations
The final point referring to a buying organisations'
decision-making team provides a clue as to the weaknesses
of these traditional supplier-orientated selling
methods. Decision-making within organisations, particularly
large ones, is a highly complex process. Often the
organisations, and certainly the buyer, does not
understand it, let alone be able or willing to explain
it to a salesman.
Buyers rarely explain everything to a sales-person
during a consultative meeting, however good the
sales-person is. This is not a criticism of buyers
- simply an acknowledgement of the extremely complex
nature of organisational decision-making. As such,
consultative selling and 'needs-creation' selling,
howsoever packaged, don't always provide a reliable
selling framework for the modern age.
Buyers and customer organisations often need more
help, especially in the early stages of the sales
process.
They need help with their own processes of evaluation
and assessment, decision-making, communications,
and implementation, which traditional 'consultative
selling' alone is unable to address in a true and
meaningful sense. For this reason, if a salesperson
seek to become a truly expert and effective sales
person modern selling and business, I would urge
a salesperson to look beyond the traditional methodologies,
to the modern philosophy and concepts contained
in collaborative and facilitative selling.