Black Sales Journal

As a sales professional you sell what you are given to sell.  When the company that you are representing is selling a commodity, or something near to 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 nearly the same as your competitors.  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.

The profession of sales is a seductive art. I did not say it was sexy.  No matter how you try may to make it sexy, it still involves the nuts and bolts and rigorous work of someone moving a product by convincing an individual to do something that they otherwise might not do.  This is the essence of the chain of distribution.

_____________

Is All Sales Just Sales?

There are those whose job is sales, yet the audience is different; actually it is much different, as they will not be the end-user of  your product. When you are selling products and services to those who have the responsibility of selling them to others, you are in an interesting situation.  Whether you are a manufacturer’s rep, a wholesaler, a distributor selling to retail, or another like role, you have a responsibility to recognize the subtle difference in a role that exist when you are not selling to someone who will then sell your product to the end user.

In most of these cases, you are selling to sales professionals who work under various titles.  These are the people that will ultimately sell to the end user, and most likely have characteristics (as sales professionals) that we all know quite well.  It is a group with personal drive and a quest for dollars (most of the time), and recognition (quite often).

You know a great deal about them because you, as a successful sales professional,  have many of the same traits.

What is Different?

When you are selling product to sales professionals, you must recognize some simple rules:

• You are talking to the “Star” when you talk to your customer (the dealer, sales rep, or otherwise).
• Time is of the essence so respect it.  Attention spans can be short, and getting shorter once you start talking if you are not getting to the point.  They need something from you, but don’t want to spend an afternoon getting it.
• Clarity of information is essential, know this and deliver everything in the clearest format possible.  As a sales professional yourself, you recognize that vagary causes you to move to consider another offering.
• The information you leave behind must be useful and in a format which gets interest and solves problems.  The information that you leave for the customer must be useful, or you have wasted print cost or development costs.
• If he/she cannot understand it, they cannot sell it! Be precise and simple in your explanations and characterizations of your product.

Why do I say “you are talking to the Star?”  Remember, the “star” is the one with the  relationship  That is the ultimate “star” because they can present your product the way you want them to do it, or the way they want to do it.  You obviously want them to present your product the way you want it, so recognize the need to make them look good!

Other Important Strategies

There are a couple of other things to remember that might work well for you in this endeavor:

• Recognize who is your “customer”. In most cases, it is not the end user; it is the individual who makes the decision to recommend your product.  This is a huge issue.  There is a difference between customer and end user, and depending on how you run your process and present your product, you could alienate your“customer”.  Don’t make that mistake, as your competition may be solid in this distinction.
• Be the best in customer service and support. This is an area that you are in control of.  Even if yourcustomer is a “prima donna”, it is your customer, and your compensation and ratings are dependent on, most likely, several individuals like him/her.  Make them look good, and you benefit; if you are remiss in giving proper support, you both suffer.  They don’t get the sale, and you might get the criticism.
• Always document well…but don’t use it as a hammer. When a sales professional works to procure business, they often read proposals from suppliers and vendors for hours.  As a matter of fact, they see so many that they often get confused.  Be clear in your documents and your presentation, and realize that they will make a mistake at some point; you just hope it is not an expensive one.  If you can, consider helping them, yet the clarity of the information and your documentation will protect you.
• Always be discreet. Do not discuss their business or affairs with any of your other customers or contacts.  Treat them the way you would like to be treated in that regard.

Get the most out of your contacts!

Your value to your customer comes in your knowledge of your product and process, and your ability to sell to them based on your understanding of what the customer needs. Your objective is to make this person successful, and thus a believer in you…then you will meet your production goals!

In the end, they will acknowledge you and your input into their success…or at least we hope they will.  Let’s put it this way, they will recognize it, and hopefully acknowledge it. The most important thing is that they will contribute to your success.

Your comments are welcome.