Overcoming Customer Behaviour Pattern - Part1

Successful closure of any sale is critical for other functions in the organizations to be productive and in turn ensure profitability and survival. In the eighties and early nineties the awareness of customer on available alternatives was limited, by the huge effort and cost that was required, to find alternatives. The arrival of the internet has transformed the customers buying behaviour, as the customer is now more aware of the alternatives that are available browsing the internet. The time and cost of knowing about available options has greatly reduced. Hence it becomes all the more important for sales person to understand customer behaviour pattern before deciding what and how to sell. Customers do not buy products or services; they buy solutions for their problems.

A company may package the solutions as a product or as a service. There\'s a difference in mindset if we look at it as if we\'re selling a product or selling a service versus what we\'re really selling is a solution to their problems.

On what basis is the value for what you have to offer as a seller established? The value can differ based on the perception of seller and buyer of the solution. Supplier values his product based on the effort that is put into making of the product or service and providing to the customer. From a customer perspective the value ascribed to a product is arrived at based on the potential benefits that can accrue on owning the product.

When a sales person come to your office to make a sale, as a customer you don\'t bother how much effort he might have put in or what would be his investment to make the product, to base your purchase decision. As customer you bother about the effectiveness of the product or service in solving or reducing your problem and accordingly base your purchase decision.

What are the conflicting questions a sales person may find himself in, when selling a solution? The sales person typically begins the sale process by explaining the features of the product, the service difference that they bring with them, their reputation in the market, and cost of acquisition and so on.....

The response of the customer to sales person typically can be concerns on the claims of sales person. Concerns can be on the product capability, company track record, price, and so on. These concerns turn into objections and this lowers the chances of sale being executed. The sales person's objective should be to avoid creating these objections in customers mind.

What is the origin of these objections and what leads to the concerns? If there is no mismatch between customer's needs and the offerings of the seller, then the objections are provoked by the actions of the seller himself during the sales process. The seller comes with the intention of demonstrating the solution at the early stage of the sales process or he is simply eager to close the deal at the earliest instance.

In most of the sales presentations, I have participated as a buyer; I have noticed the penchant for sales person to start giving a power point presentation of their product or service capability. By the time the sales presentation is over, everyone including the buyer and seller are too tired to think about issues facing the customer.

Only in handful of meetings, I have observed sales person conducting analysis of prospect's issues and wants then unfolding the solutions that is available with them.

For the sales person then the first conflict begins; whether to show the value of the product at the first instance to the customer but at the same time not cause the prospect to object, to say no. To make the prospect understand the value of the product or service sales person has to show the product to the prospect, specially the features that can take care of his needs, which he does not understand. On the other hand, in order not to cause the prospect to object, sales person must not show his product or service. Else there is every possibility of prospect raising objections to the salesperson\'s praising product or service.

The challenge thus starts with assumption of sales person that the prospect understands his needs. Does the prospect understand his problems, the issue they are struggling to solve? Normally the problems are easily understood by the prospect but do they understand the root cause of the symptoms that have led to the problems in the first place and which they need to address. The challenge of the sales person is to make the prospect understand the magnitude of the problem and the fact that it arises from one or more sources.

The other side of the conflict still exists which is every time the sales person talks positive about the product, it leads to objection from the prospect.

Hence the first task of the seller is to make the prospect understand the magnitude of the problem, the source of the problem. This has to be done in such a way that it builds trust and has to be done slowly. The next step is to make the prospect understand that the solution offered by the seller will solve the source of the problem. In the transaction building trust will be key challenge. This does not yet conclude the deal.

The prospect wanting to acquire product or service does not mean he can acquire it. There can still be priority buying based on budget and organization priorities. Closing deal situations is a place where the seller may lose the trust of prospect in him which can lead to delays or losing deal.

The sales process to be followed should take care of the following four activities:

• Clearly identifying and agreeing on problems to be solved by the offering
• Providing logical sequence of how the product will solve the prospects problem.
• Understanding from prospect all his concerns on the offering
• Identify prospects obstacles to buying