Posts belonging to Category Entrepreneurs



When Selling A Commodity? – The Difference is You! A Revisit

You!

Whether you are selling a commodity or a specialized product, this post should appeal to you.  Separate yourself from the others and demonstrate the difference.  We revisit this post that first appeared over a year ago.   This one remains tried and true.  Think about it and determine how you can be a difference maker.

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As a sales professional you sell what you are given to sell.  When the company that you are representing is selling a commodity, you have to put forth some extra effort to land the business.

While there are a lot of products out there that “sell themselves”, you may have a product that is as inauspicious as salt.  I am going to talk a little about some ways to get the “edge” in the sales process.

Salt Might be Just Salt, but ‘You’ are Different!

The majority of products do have features that provide benefits that others do not necessarily have.  Commodity products are literally indistinguishable from their peer products.  Know how different your product is, if the customer views your products as “the same” as your competitors, the customer’s perception is the new reality.  Here is some good information that you can use to help

  • The Package – The package is anything you and your company do that gives the product additional or differential value.  Items like delivery time, credit terms, refund policy, and other additions are important.
  • The Professional Edge – You, in partnership with your organization can be the edge.  What makes you the best sales professional out there?  Can you define it? Responsiveness, innovative, intuitive, or are you an expert, product or industry as described in Black Sales Journal’s Your Customer Needs an Expert – December 2010
  • The Pricing – If this variable is equal or close to the other products, it does not detract from the rest of the items.
  • The Perceived Value – The sum of the above three items in the eyes of the customer.  This is how the customer believes that they can benefit from the coupling of your product, packaging, pricing, and the professional that is standing behind those three items.

So the simple equation looks like this:

[PACKAGE + PROFESSIONAL + PRICING] = CUSTOMER’S PERCEIVED VALUE

The Package

This one is simpler than you think.  Keep in mind that since it is under your nose, you might not have studied it much.  Now is the time to take account.

A carpet store knows that most of the carpeting that they are selling comes from the same mills as their competitors are using.  Price is a differentiator, but when it comes to this product, the slight differences in price for buying in volume do not transfer well to the customer.

The answer is the packaging that includes:

  • Same day or next day delivery
  • Sunday Installation
  • Employing your installers (more accountable, more responsible)
  • More favorable credit terms
  • Disposal of your current carpet and pad

None of these things are beyond duplication, yet when some are offered they can make the difference in the sales by appearing more amenable or customer centric.  Think about the advantages that your organization has over your competitors, and focus your sales pitch on them.

The Professional – YOU!

This is the most visible difference out there, if you believe in yourself and give it your all.  Being responsive, giving excellent follow-up before the sale, and being an expert (industry or product) can be solid differentiators.   Know how to use them to your advantage.

It is not enough that you can brag about your experience; can you give references as to you and your company’s work?  Can you drop names of those that have benefited from your ingenuity and judgment?  When you get those compliments, you must file them and be ready to call upon them.

By being the ultimate professional, the Black sales professional can make all of the difference in the world.  Knowing how to smoothly go from appointment to commitment to the close is invaluable.

The Pricing

In a true commodity situation, your price is most likely going to be very near the same.  Pricing factors should affect all products equally.

Perceived Value – The Customer’s View

The customer is looking for some difference, and in the absence of something relevant will consider it a commodity product.  This is not good because then there is an inertia that will keep them with their current vendor.

The sales professional has a responsibility to catalog the differences, and find the ones that apply to the buyer.  The buyer’s perception of those differences is the key.  Know your buyers and know your packaging.

In this example you are selling galvanized screws in 20 pound boxes.  Your product is so much of a commodity that your box even looks like your competitor’s products.  You, as a sales executive, cannot change anything on the product, or the box they come in, yet you can intervene to get them better the credit terms, insure delivery by tomorrow, or something else of value based on your knowledge of the customer’s situation.  The concession regarding credit or delivery is a packaging issue, yet the listening to understand that extensions of more credit or rapid delivery were ultra-important comes from being an engaged professional.  The net result is that the customer’s perception will be that your package, you and your company, have more value.

Try the exercise of taking inventory of you and your company’s advantages down to the smallest of differences.  Be exhaustive in your review.  You will note that even when the product is a commodity, there is still something to sell.  Last but not least, remember the real difference maker, you the sales professional!

Let us know what you think.

Getting Past the Gatekeeper

The Gatekeeper

This post was done last year, and is still one which is quite relevant.  It is imposible to display your trade if you cannot get past that person that acts as the ‘thin gray line’ between you and your buyer.  These points work to structure the relationship that you need to have with this all-important individual.  I think you will enjoy this one again.

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As a sales professional in B2B sales the first significant milestone in the sales process is getting past the Gatekeeper. This might not be an easy process, but the truth is you have limited sales possibilities until you master getting past, or in some cases around this individual.  Let’s spend some time discussing some tips on how to get you past the gatekeeper.

Working with the Gatekeeper

The Gatekeeper’s role is simply to screen calls and visitors.  As you know the calls are screened to allow his/her boss to be efficient and focused. You and I both know that one of the items that will make increase efficiency and effectiveness is your product or service!

Chances are you may have received some training in how to do this, or have been doing it long enough that you have your own techniques, but this general refresher cannot harm you.

Here are some tips in regard to getting past the gatekeeper, keeping in mind that sometimes getting past the gatekeeper is simply getting around the gatekeeper.

Getting past the Gatekeeper:

  • Befriend the Gatekeeper – A vast majority of Gatekeepers are helpful professionals.  They are doing their job.  They should be treated well.  Be personable but not phony.  You may find an ally here.
  • Do not send anything in writing – Many Gatekeepers will ask you to send information.  What do you think happens to this information once sent?  Advise that the information you send is based on the needs of the account.  Let the Gatekeeper know that you need to talk with that buyer to discuss what is needed.
  • Keep it vague – Remain vague, as you do not want the Gatekeeper making decisions as to the worth of your product or service.
  • Don’t settle for another contact – Chances are you will never talk to the decision maker after electing to talk to a surrogate.
  • Always use the buyer’s first name – Familiarity is important.  Use the first name if you know that his/her first name is used.
  • Call back when the gatekeeper says to call – This is important even if you don’t get through.  Remind the Gatekeeper of this when you call.
  • Agree to early appointments – Offer for an early appointment (telephone or in person).
  • Drop Names – This can give credibility.  “I work with ABC Company across the street.
  • Use Referrals – Referrals build credibility if appropriate.  “John Johnson of ABC Company next door requested I call Mr. Jones, and I am doing it.”
  • Practice all Scenarios and be prepared for each call – Be prepared knowing your responses to the common objections.  It is projected that the gatekeeper knows 3-4 objections, and readily uses at least 2 objections.  Anticipate the objections.
  • Follow-Up is a must – You must track the conversations with notes and follow-up.  Don’t miss an opportunity.
  • Never show frustration – Your 10th call should have the same tone as your first.  Display no rudeness or sarcasm
  • Never pose as someone you are not – You are a sales professional, not the IRS, Police, or a relative.

Another Approach – Getting Around the Gatekeeper

Sometimes you cannot convince the Gatekeeper of the importance of your visit.  If that is so, you might need to be resourceful.  I am not a total advocate of all of these, yet you may need to try some different measures.

  • Call during the lunch hour – There is a good possibility that the Gatekeeper will be out and you will talk to a ‘stand-in’ who is easier with information.
  • Call Early or Late- This may get you through to the buyer without interference from the gatekeeper.  Many buyers are in the office as early at 7:00A.
  • ‘Misdirection’ - Call one number different than your buyer (Gatekeepers number 445-5858 so dial 445-5857) When you get the wrong number, say which number you dialed and who you want to speak to. In many cases they will connect you to the buyer, as it will look as if the call is from another department, not the outside.
  • Ask the Operator for accounts receivable or the mailroom - They are not trained to screen calls.  Once you get that department, tell the person on the phone that you want to speak to ‘John Buyer’, and they will try to connect you.  Same principle as above.
  • Always ask for the extension – When you do get someone to attempt to connect you make sure to ask for the extension “so you do not have to bother anyone again!”  This should be a habit.
  • Listen to the Voicemail Message- Note the return date, any alternative contacts, and remember you don’t have to leave a message.

You can make it to the buyer but need to be creative and professional.  There is no way to be successful until you hone these skills.  Keep good notes and always know the name of person that you are talking to.  Remember the Gatekeeper is a person who desires respect for his/her position.

Imagine being in a job where people who are supposed to be professionals treat you rudely and with dispatch when you are doing your job?  That is a reality in the Gatekeeper’s role.  Make a positive impression and be personable. They will remember you.  Your treatment of the person in this role will make the difference.  If it does not work, you still must accomplish your mission, and will have to consider Getting Around the Gatekeeper.

Someone will get through at some point, and your hope is for it to be you. Know the techniques and give it your best shot.  Remember that it is your first milestone in this important customer relationship.

Never give up!  Thanks for reading.  We look forward to your comments.