Objections and Misunderstandings
By Sam Parker of Just Sell
"One of the best ways to persuade others is with your ears-- by listening to them." -- Dean Rusk, US Secretary of State (1909-1994), served under presidents Kennedy & Johnson
We've all been taught how to handle our most common objections or misunderstandings from prospects and customers but in some cases these "objection handlers" have a defensive or an offensive tone, especially when we're in the middle of a presentation (formal or informal). Nothing can send a presentation in the wrong direction more than a misunderstanding (small or large).
Over the coming weeks (or this weekend if you can), invest some time outside the money hours in examining your planned responses to your top three objections. If you don't have anything to examine, here is another idea.
Remove anything that could potentially be misinterpreted as defensive, manipulative or borderline sarcastic or in other words, leave slick and "cute" lines to your competition.
Show appreciation for the objections in a way that validates the prospect's concerns. Work through your responses with someone outside your sales & marketing department.
Get genuine feedback, make appropriate changes and practice the delivery of your responses until you have them as tight as your opening prospecting statements.
Selling is about helping your prospects and customers solve a problem, not about winning a court case.
Think non-abrasive. Think appreciation. Think validation. Then just sell.
It's all about sales™
Justsell.com-- your sales & marketing portal™
http://www.justsell.com
(c) 1998-2002 www.justsell.com MaxPitch Media, Inc. All rights reserved. Samparker @ justsell.com.
Saturday, July 9, 2011
Sunday, June 26, 2011
A.C.R.O.N.Y.M.S in Selling
By Ron LaVine, MBA, President
Accelerated Cold Call Training, Inc.
A lot of acronyms are used in my cold call training business because it makes it easier for people to learn, remember and use key ideas. I joked once about coming up with an acronym for acronym. Maybe something like Always Call Right Officer, Now, Yet Nicely.
I use bunches of Acronyms, from Sales M.A.P. (Mutually Agreed Process) for setting up time and date specific action steps. Another example is W.H.I.I.F.M.-A.M.C. (What's In It For Me - And My Company) or what the prospect really cares about. Or C.V.M. (Call Value Maximization) which means to get the most information out of every call by being polite yet persistent. I have developed a new one called T.E.S.T.S. to help students remember the kinds of questions that will uncover needs, challenges, problems or pains.
Here's one you may want to keep in front of you.
T. is for Tell me more.
What are your biggest problems in the area of...?
What are the specifics?
How do you currently handle...?
How do you go about...?
What are you using to get ____ types of data?
What are you doing in the area of...?
What happens when ____ occurs?
Who beside yourself is affected?
E. is for Experience over time.
How long has this been a problem?
What actions have been taken to try to fix the problem?
What do you think about the results?
Have you given up?
S. is for a Sample of what it is costing them.
Give me a rough idea of how much this is costing you?
What impact is this having?
How does this affect you personally?
What happens if the problem is not fixed?
T. is for Taken action yet?
What actions have you taken to fix the problem?
How do you measure the effectiveness of these actions?
What have you done to try and fix it?
S. is for a Sample of their feelings?
How does it make you feel?
How do other people you work with feel about the problem?
These reminders make sure you don't forget to ask the types of direct specific questions to uncover the information that will help you help your prospects and customers pass their T.E.S.T.S.
REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Cold Call Training, Inc., a cold call training firm located in Oak Park, CA. If you need to develop new business and would like information on How to Make Successful Cold Calls – LIVE Call Training, call Ron at 818-519-3852 or visit www.coldcalltraining.com. © 2011 by Accelerated Cold Call Training, Inc.
Accelerated Cold Call Training, Inc.
A lot of acronyms are used in my cold call training business because it makes it easier for people to learn, remember and use key ideas. I joked once about coming up with an acronym for acronym. Maybe something like Always Call Right Officer, Now, Yet Nicely.
I use bunches of Acronyms, from Sales M.A.P. (Mutually Agreed Process) for setting up time and date specific action steps. Another example is W.H.I.I.F.M.-A.M.C. (What's In It For Me - And My Company) or what the prospect really cares about. Or C.V.M. (Call Value Maximization) which means to get the most information out of every call by being polite yet persistent. I have developed a new one called T.E.S.T.S. to help students remember the kinds of questions that will uncover needs, challenges, problems or pains.
Here's one you may want to keep in front of you.
T. is for Tell me more.
What are your biggest problems in the area of...?
What are the specifics?
How do you currently handle...?
How do you go about...?
What are you using to get ____ types of data?
What are you doing in the area of...?
What happens when ____ occurs?
Who beside yourself is affected?
E. is for Experience over time.
How long has this been a problem?
What actions have been taken to try to fix the problem?
What do you think about the results?
Have you given up?
S. is for a Sample of what it is costing them.
Give me a rough idea of how much this is costing you?
What impact is this having?
How does this affect you personally?
What happens if the problem is not fixed?
T. is for Taken action yet?
What actions have you taken to fix the problem?
How do you measure the effectiveness of these actions?
What have you done to try and fix it?
S. is for a Sample of their feelings?
How does it make you feel?
How do other people you work with feel about the problem?
These reminders make sure you don't forget to ask the types of direct specific questions to uncover the information that will help you help your prospects and customers pass their T.E.S.T.S.
REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Cold Call Training, Inc., a cold call training firm located in Oak Park, CA. If you need to develop new business and would like information on How to Make Successful Cold Calls – LIVE Call Training, call Ron at 818-519-3852 or visit www.coldcalltraining.com. © 2011 by Accelerated Cold Call Training, Inc.
Sunday, June 19, 2011
Free Resources to Turn Data Into Dollars
By Ron LaVine, MBA
President of Accelerated Cold Call Training, Inc.
Finding new business can be a snap, if you know where to look and what to do with the information you find. Using the telephone along with publicly available information, you can turn data into dollar
Understanding the importance of the "fact finding step" in the sales cycle, is key to making more sales. We need information resources to enable us to determine who is responsible for decision making, where an account is now, where they want to be and how they plan to get there.
It is easy to mishandle this part of the sales cycle in an eagerness to sell. Finding data about a shift in the way an account does business is not enough. Understanding the potential effects of the change is key to finding revenue producing events.
Show Me the Money
Look for accounts in your territory who:
* Acquire, merge or joint venture with another company,
* Have been acquired by another company,
* Add additional equipment or hardware or facilities,
* Announce a change in staffing requirements or business, practices due to expansion, restructuring or relocation,
* Receive contract awards,
* Mention cost cutting initiatives,
* Outsource certain services to concentrate on core businesses,
* Are embarking on new projects,
* Issue an IPO to raise operating capital for buying more assets,
* Spin off a division into a new company with new ownership,
* Maybe affected by pending legislation or regulations.
Turning Data into Dollars
Once a change occurs, ask yourself these questions. "How can my products fulfill a need or challenge as a result of the change?" "What additional services can my company provide to lessen the impact of the shift?" When the change effects a company who is your customer, ask yourself "How can I expand the use of or prevent the replacement of my services?"
For instance, you read an account plans to expand their operations. When companies expand or restructure, typically the management re-evaluates human resources and capital assets to decide what stays, what goes and what's needed. When preparing your sales strategy, keep in mind the big picture. An enterprise wide sale is far more valuable than an individual business unit sale.
Different Ways to Create More Sales
1. Assembling a plan showing how the effects of the change relate to the benefits your products and services provide can position you for a sale.
2. Taking note of changes or trends that may affect both you and your account's industries will make you sound intelligent and increase the odds of a sale.
3. Looking for stories about accounts using your competitor's products and applying that application to your offerings is another way to make more sale
4. Keeping your account records up to date allows you to invest your time locating who is responsible for and capable of making a buying decision.
5. Finding and calling up users of your competitor's products is a way to replace or augment existing products. Be sure to explain up front, you are looking for ways to improve your product
* What do you like about their products or services?
* Is there anything you dislike or have found unsatisfactory?
* If you had a wish list, what features would you like to see their product have?
Assuming your service provides missing features and benefits your competitors do not offer, you have yourself a potential sale.
6. Calling your customers pro-actively and assuring them of continuous service provides an opening to
* Find out more about an account's future strategic direction.
* Expand and cement contact relationships,
* Uncover potential evaluations, projects or initiatives,
* Locate the main or new users of your products,
* Gauge customer satisfaction and nip potential problems in the bud before they become unmanageable,
* Offer consulting services, education or documentation,
* Inquire about other business units that may need your products,
* Provide greater customer service, making difficult for competitors to replace your product
Understanding the effects of change can present an opportunity to persuade management to invest in new products, services or technologies.
Free Sources of Business Sales Intelligence
An account's sales literature
Employee telephone interviews
Competitor user telephone interviews
Online and hard copy business and finance publications
State and federal government agencies such as the Office of Management and Budget or the General Services Administration (GSA).
Using the Freedom of Information Act to obtain your competitor's GSA schedules
Classified advertisements
Visit the SEC website
Other suppliers who service your account
LinkedIn, Jigsaw, etc.
Finding information is easy. Systematically connecting the shift effects to the benefits your products provide, is the challenge. Correlating specific benefits to specific contact wins will place you in a position to watch your sales climb. However, you must act upon the change, before your competitors do. Change is constant and change creates sales opportunities.
REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Cold Call Training, Inc., a cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – LIVE Call Training please call Ron at 818-519-3852 or visit www.ast-incorp.com. © 2011 by Accelerated Sales Training, Inc.
President of Accelerated Cold Call Training, Inc.
Finding new business can be a snap, if you know where to look and what to do with the information you find. Using the telephone along with publicly available information, you can turn data into dollar
Understanding the importance of the "fact finding step" in the sales cycle, is key to making more sales. We need information resources to enable us to determine who is responsible for decision making, where an account is now, where they want to be and how they plan to get there.
It is easy to mishandle this part of the sales cycle in an eagerness to sell. Finding data about a shift in the way an account does business is not enough. Understanding the potential effects of the change is key to finding revenue producing events.
Show Me the Money
Look for accounts in your territory who:
* Acquire, merge or joint venture with another company,
* Have been acquired by another company,
* Add additional equipment or hardware or facilities,
* Announce a change in staffing requirements or business, practices due to expansion, restructuring or relocation,
* Receive contract awards,
* Mention cost cutting initiatives,
* Outsource certain services to concentrate on core businesses,
* Are embarking on new projects,
* Issue an IPO to raise operating capital for buying more assets,
* Spin off a division into a new company with new ownership,
* Maybe affected by pending legislation or regulations.
Turning Data into Dollars
Once a change occurs, ask yourself these questions. "How can my products fulfill a need or challenge as a result of the change?" "What additional services can my company provide to lessen the impact of the shift?" When the change effects a company who is your customer, ask yourself "How can I expand the use of or prevent the replacement of my services?"
For instance, you read an account plans to expand their operations. When companies expand or restructure, typically the management re-evaluates human resources and capital assets to decide what stays, what goes and what's needed. When preparing your sales strategy, keep in mind the big picture. An enterprise wide sale is far more valuable than an individual business unit sale.
Different Ways to Create More Sales
1. Assembling a plan showing how the effects of the change relate to the benefits your products and services provide can position you for a sale.
2. Taking note of changes or trends that may affect both you and your account's industries will make you sound intelligent and increase the odds of a sale.
3. Looking for stories about accounts using your competitor's products and applying that application to your offerings is another way to make more sale
4. Keeping your account records up to date allows you to invest your time locating who is responsible for and capable of making a buying decision.
5. Finding and calling up users of your competitor's products is a way to replace or augment existing products. Be sure to explain up front, you are looking for ways to improve your product
* What do you like about their products or services?
* Is there anything you dislike or have found unsatisfactory?
* If you had a wish list, what features would you like to see their product have?
Assuming your service provides missing features and benefits your competitors do not offer, you have yourself a potential sale.
6. Calling your customers pro-actively and assuring them of continuous service provides an opening to
* Find out more about an account's future strategic direction.
* Expand and cement contact relationships,
* Uncover potential evaluations, projects or initiatives,
* Locate the main or new users of your products,
* Gauge customer satisfaction and nip potential problems in the bud before they become unmanageable,
* Offer consulting services, education or documentation,
* Inquire about other business units that may need your products,
* Provide greater customer service, making difficult for competitors to replace your product
Understanding the effects of change can present an opportunity to persuade management to invest in new products, services or technologies.
Free Sources of Business Sales Intelligence
An account's sales literature
Employee telephone interviews
Competitor user telephone interviews
Online and hard copy business and finance publications
State and federal government agencies such as the Office of Management and Budget or the General Services Administration (GSA).
Using the Freedom of Information Act to obtain your competitor's GSA schedules
Classified advertisements
Visit the SEC website
Other suppliers who service your account
LinkedIn, Jigsaw, etc.
Finding information is easy. Systematically connecting the shift effects to the benefits your products provide, is the challenge. Correlating specific benefits to specific contact wins will place you in a position to watch your sales climb. However, you must act upon the change, before your competitors do. Change is constant and change creates sales opportunities.
REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Cold Call Training, Inc., a cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – LIVE Call Training please call Ron at 818-519-3852 or visit www.ast-incorp.com. © 2011 by Accelerated Sales Training, Inc.
Sunday, June 12, 2011
What Makes a Qualified Prospect, Qualified? Part 4 of 4
By Ron LaVine, MBA
President of Accelerated Sales Training, Inc.
www.ast-incorp.com
16. Resources
Does the Prospect have the time and staff necessary to conduct an evaluation?
Does the Prospect have the time and staff necessary to prepare a cost justification?
Does the Prospect have a budget available or access to discretionary funds?
Does the Prospect have the right physical environment for your solution?
What are the bare minimum requirements for your product or service to work?
17. Next Steps
After summarizing your conversation, follow up with a next step question such as:
"What's next?" or "What's the next step?"
"Where do we go from here?"
"If we had a solution that would help you do a better job than your current solution what is the process you go through to look at new solutions?"
"What do we need to do to move forward on this?"
What actions need to be taken by you and the prospect to get them to evaluate your solution?
Have you set up a SALES M.A.P. (Mutually Agreed upon Process™)?
What day and time do these actions need to be completed by?
What is the time-line or what are the milestones for moving the sale to its completion?
Next steps need to be time and date specific. "I'll call you back next month" is not the same as "We'll speak next Tuesday at 3 p.m. Eastern Time to discuss the merits of the proposal after you have had the opportunity to review it with your peers, correct?"
Examples of Next Steps
Do you have permission to send literature, an email or a fax while also setting a specific date and time to call to be sure the information is received and to answer questions or discuss the materials?
Is the Prospect willing to accept your proposal or do they want a demonstration or presentation?
Is a call required to answer or clarify any complex issues?
Are you in the habit of following a phone call with a fax or an email?
Do you follow a fax with a phone call or an email?
What about following an email with a phone call or a fax?
Conclusion
If you or your sales force has not defined the characteristics of a most profitable prospect, it is time to do so. Consistency of definitions and the use of a well-defined cold calling system result in prospects well qualified and ready to buy what you are selling.
REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Sales Training, Inc., a live cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – Live Call Training please call Ron at 818-519-3852 or visit www.ast-incorp.com. © 2011 by Accelerated Sales Training, Inc.
President of Accelerated Sales Training, Inc.
www.ast-incorp.com
16. Resources
Does the Prospect have the time and staff necessary to conduct an evaluation?
Does the Prospect have the time and staff necessary to prepare a cost justification?
Does the Prospect have a budget available or access to discretionary funds?
Does the Prospect have the right physical environment for your solution?
What are the bare minimum requirements for your product or service to work?
17. Next Steps
After summarizing your conversation, follow up with a next step question such as:
"What's next?" or "What's the next step?"
"Where do we go from here?"
"If we had a solution that would help you do a better job than your current solution what is the process you go through to look at new solutions?"
"What do we need to do to move forward on this?"
What actions need to be taken by you and the prospect to get them to evaluate your solution?
Have you set up a SALES M.A.P. (Mutually Agreed upon Process™)?
What day and time do these actions need to be completed by?
What is the time-line or what are the milestones for moving the sale to its completion?
Next steps need to be time and date specific. "I'll call you back next month" is not the same as "We'll speak next Tuesday at 3 p.m. Eastern Time to discuss the merits of the proposal after you have had the opportunity to review it with your peers, correct?"
Examples of Next Steps
Do you have permission to send literature, an email or a fax while also setting a specific date and time to call to be sure the information is received and to answer questions or discuss the materials?
Is the Prospect willing to accept your proposal or do they want a demonstration or presentation?
Is a call required to answer or clarify any complex issues?
Are you in the habit of following a phone call with a fax or an email?
Do you follow a fax with a phone call or an email?
What about following an email with a phone call or a fax?
Conclusion
If you or your sales force has not defined the characteristics of a most profitable prospect, it is time to do so. Consistency of definitions and the use of a well-defined cold calling system result in prospects well qualified and ready to buy what you are selling.
REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Sales Training, Inc., a live cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – Live Call Training please call Ron at 818-519-3852 or visit www.ast-incorp.com. © 2011 by Accelerated Sales Training, Inc.
Sunday, June 5, 2011
What Makes a Qualified Prospect Qualified? - Part 3
By Ron LaVine, MBA
President of Accelerated Sales Training, Inc.
www.ast-incorp.com
13. Competition
What other companies are also being considered and why?
Who is favoring the other company's solution and why?
What are the Prospect’s likes or dislikes about their current supplier?
If the Prospect had a wish list and could have or change anything he wanted with their current or a potential supplier, what would be on the list?
14. Locations
Are decisions centralized (one location makes the decision for all locations) or decentralized (each location decides for themselves)?
How many locations, subsidiaries, partners, alliances and/or joint ventures are there and do we do business with any of them?
Is it possible to sell your solution on an enterprise wide basis rather than a departmental or business unit basis?
Do any other locations have an existing relationship with your company, partners or affiliates?
15. Confidence
Does the Prospect trust you?
Have you established credibility?
Does the Prospect know the company you represent?
Does the Prospect believe you sincerely have their best interests at heart?
Does the Prospect have confidence in your company's ability to provide them with and support your solution that works?
REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Sales Training, Inc., a live cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – Live Call Training please call Ron at 818-519-3852 or visit www.ast-incorp.com. © 2011 by Accelerated Sales Training, Inc.
President of Accelerated Sales Training, Inc.
www.ast-incorp.com
13. Competition
What other companies are also being considered and why?
Who is favoring the other company's solution and why?
What are the Prospect’s likes or dislikes about their current supplier?
If the Prospect had a wish list and could have or change anything he wanted with their current or a potential supplier, what would be on the list?
14. Locations
Are decisions centralized (one location makes the decision for all locations) or decentralized (each location decides for themselves)?
How many locations, subsidiaries, partners, alliances and/or joint ventures are there and do we do business with any of them?
Is it possible to sell your solution on an enterprise wide basis rather than a departmental or business unit basis?
Do any other locations have an existing relationship with your company, partners or affiliates?
15. Confidence
Does the Prospect trust you?
Have you established credibility?
Does the Prospect know the company you represent?
Does the Prospect believe you sincerely have their best interests at heart?
Does the Prospect have confidence in your company's ability to provide them with and support your solution that works?
REPRINT PERMISSION
Ron LaVine, MBA is president and founder of Accelerated Sales Training, Inc., a live cold call training firm located in Oak Park, CA. If you would like information on How to Make Successful Cold Calls – Live Call Training please call Ron at 818-519-3852 or visit www.ast-incorp.com. © 2011 by Accelerated Sales Training, Inc.
Sunday, May 29, 2011
What Makes a Qualified Prospect Qualified? - Part 2
By Ron LaVine, MBA
President of Accelerated Sales Training, Inc.
www.ast-incorp.com
6. Good Fit
Does your solution make good business sense?
Can we establish an ongoing relationship?
Have you calculated the ROI (Return on Investment)?
What is the Net Payback Period or how fast will the solution pay for itself?
Have you created a cost justification (Cost over time versus Savings over Time)?
What would make them smile?
Is the Prospect's business growing or is in or headed for trouble?
Has the account bought into the vision or proposed solution?
Can our solution help the Prospect produce tangible or measurable results to calculate a ROI?
Is there a fit with the current products and services in use or will additional products and services be required?
Is the Prospect willing take specific action(s) towards a solution?
7. Evaluation Criteria
What is the evaluation criterion, if any? Will they fax it to you?
Do you have a criterion you can provide them with?
The final decision is based on what factors?
Is there an agreement on what is important or what is of value?
Have evaluation criteria been defined?
8. Business Impact
What is the cost of inaction or taking the wrong action?
What are the consequences or penalties if the account does not take action by a certain date?
What is the cost of losing a customer?
What is the cost of acquiring a customer?
How much would an addition to the head count cost?
What is the cost of shopping cart abandonment in their web store?
What is the cost of additional training and the time spent away from the job while learning?
Have you calculated the cost of the business impact?
What does the Prospect personally stand to gain or lose if a solution is or is not implemented?
9. Processes
What are the exact evaluation, budgeting and decision-making processes?
Who does the negotiating?
What is negotiable and what is non-negotiable?
Who signs the final Agreement?
What are the payment terms (Net 15, Net 30, etc.)?
Is a purchase order required?
10. People
Who will be involved or influence the final decision?
This can be one or different individual
Is there an individual (or individuals) that understands the value of your product or service, but has not found a good fit yet?
Have all the key stakeholders been identified and contacted?
Are you speaking with the correct contact, which, assuming you have the right solution, has the authority to buy?
Do you know how much authority the Prospect has before further approvals are required?
Who are the decision-makers, evaluators, influencers, and end users of your potential solution?
Final Decision Maker(s) signs the check.
Motivation: What is the effect on our bottom line?
Evaluator(s) screens out and says no.
Motivation: What is the best solution that meets our needs?
Guide(s) want to help guide you through the process.
Motivation: I like your solution. How can I help you get your solution as the one chosen?
End User(s) are concerned about the effect on them and their job.
Motivation: Will it make my job easier or harder?
Initiator(s) want to look good.
Motivation: How can I show that I did a good job of gathering information?
Purchasing/Legal/Contracts are responsible for negotiating the terms and condition
Motivation: How can we get the most favorable terms and conditions for our company (i.e. additional discounts, extra technical support or consulting services, lower pricing, more training or extra sets of documentation, better payment terms, guarantees, etc.)?
11. Organizational Chart
What is the formal and informal organizational structure?
Who reports to whom?
Who influences whom?
Who are the counterparts, back-ups, peers and subordinates?
Who are the assistants?
Do you have all names and titles spelled correctly?
Do you have the correct street address (room, floor, suite, mail code, etc.),
E-mail addresses, fax numbers and extensions?
What are the responsibilities of each of your contacts?
12. Solutions
What types of solutions are currently in use?
Does the prospect have the necessary people, time, money and equipment in place or available to implement your solution?
Could the correct environment to support your solution be put in place?
President of Accelerated Sales Training, Inc.
www.ast-incorp.com
6. Good Fit
Does your solution make good business sense?
Can we establish an ongoing relationship?
Have you calculated the ROI (Return on Investment)?
What is the Net Payback Period or how fast will the solution pay for itself?
Have you created a cost justification (Cost over time versus Savings over Time)?
What would make them smile?
Is the Prospect's business growing or is in or headed for trouble?
Has the account bought into the vision or proposed solution?
Can our solution help the Prospect produce tangible or measurable results to calculate a ROI?
Is there a fit with the current products and services in use or will additional products and services be required?
Is the Prospect willing take specific action(s) towards a solution?
7. Evaluation Criteria
What is the evaluation criterion, if any? Will they fax it to you?
Do you have a criterion you can provide them with?
The final decision is based on what factors?
Is there an agreement on what is important or what is of value?
Have evaluation criteria been defined?
8. Business Impact
What is the cost of inaction or taking the wrong action?
What are the consequences or penalties if the account does not take action by a certain date?
What is the cost of losing a customer?
What is the cost of acquiring a customer?
How much would an addition to the head count cost?
What is the cost of shopping cart abandonment in their web store?
What is the cost of additional training and the time spent away from the job while learning?
Have you calculated the cost of the business impact?
What does the Prospect personally stand to gain or lose if a solution is or is not implemented?
9. Processes
What are the exact evaluation, budgeting and decision-making processes?
Who does the negotiating?
What is negotiable and what is non-negotiable?
Who signs the final Agreement?
What are the payment terms (Net 15, Net 30, etc.)?
Is a purchase order required?
10. People
Who will be involved or influence the final decision?
This can be one or different individual
Is there an individual (or individuals) that understands the value of your product or service, but has not found a good fit yet?
Have all the key stakeholders been identified and contacted?
Are you speaking with the correct contact, which, assuming you have the right solution, has the authority to buy?
Do you know how much authority the Prospect has before further approvals are required?
Who are the decision-makers, evaluators, influencers, and end users of your potential solution?
Final Decision Maker(s) signs the check.
Motivation: What is the effect on our bottom line?
Evaluator(s) screens out and says no.
Motivation: What is the best solution that meets our needs?
Guide(s) want to help guide you through the process.
Motivation: I like your solution. How can I help you get your solution as the one chosen?
End User(s) are concerned about the effect on them and their job.
Motivation: Will it make my job easier or harder?
Initiator(s) want to look good.
Motivation: How can I show that I did a good job of gathering information?
Purchasing/Legal/Contracts are responsible for negotiating the terms and condition
Motivation: How can we get the most favorable terms and conditions for our company (i.e. additional discounts, extra technical support or consulting services, lower pricing, more training or extra sets of documentation, better payment terms, guarantees, etc.)?
11. Organizational Chart
What is the formal and informal organizational structure?
Who reports to whom?
Who influences whom?
Who are the counterparts, back-ups, peers and subordinates?
Who are the assistants?
Do you have all names and titles spelled correctly?
Do you have the correct street address (room, floor, suite, mail code, etc.),
E-mail addresses, fax numbers and extensions?
What are the responsibilities of each of your contacts?
12. Solutions
What types of solutions are currently in use?
Does the prospect have the necessary people, time, money and equipment in place or available to implement your solution?
Could the correct environment to support your solution be put in place?
Sunday, May 22, 2011
What Makes a Qualified Prospect, Qualified? Part 1 of 4
By Ron LaVine, MBA
President of Accelerated Sales Training, Inc.
Have you ever asked yourself, what are the specific characteristics of a qualified prospect? What are the minimum pieces of information you need to know to determine if the potential for a sale exists? What pieces of information are required before you consider a prospect qualified? Am I using a consistent cold calling system to successfully obtain the information needed?
Here are the first of a four part blog on 17 areas with questions you may want to ask yourself so you can create a qualified prospect profile also known as an Account Sales Profile™.
1. Basic Demographics
Ask yourself "Which type of organization do I make the most money when I make a sale?" For example: Is it a company with 10 employees or 100 employees? Does the company have over $10 million in gross sales or over $100 million in gross sales? Are most of my customers in the Retail Industry or the Financial Industry? What types of organizations will provide the highest payoff in return for my limited amount of selling time?
In summary, what are the demographics of your most profitable accounts in terms of...
> Industry Verticals (such as Software, Printing, Frozen Foods, etc.)
> Total Gross Sales
> Total Number of Employees
2. Business Practices
How does the account currently conduct business?
Where is the Prospect now?
How did the Prospect conduct business in the past?
What is the Prospect's future strategic direction?
Where does the Prospect want to be?
How does the Prospect plan to get there?
3. Needs, Problems, Challenges, Critical Business Issues, Pains or Drivers
Is there a perceived or unperceived need for your solution?
What are the needs, challenges or problems the Prospect facing?
What is keeping them up at night?
What is required to solve the problem and does your solution fit the bill?
Is the Prospect actively searching for a solution, which you can provide?
Does the Prospect have any current or future business initiatives?
Has the Prospect expressed an interest in what you have to offer?
Does the Prospect have a compelling business issue that needs to be solved?
Is the Prospect using outdated products and services, which may need to be replaced?
Is there a need for a specific product or service but the Prospect can't afford the time or money or man hours to build their own solution?
Is the Prospect using some type of solution and not yet seeing business results?
Is the Prospect starting to look at competitors?
Has a specific person been assigned to find a solution to a specific need?
Does the Prospect have a serious intention to buy or are they just being time wasters or tire kickers or a just send me something?
4. Time-frames
What are the time-frames for...
The RFI or RFP or RFQ (Request for Information, Proposal or Quote)
Evaluation period
Decision date
Roll-out of a pilot solution
Implementation of an enterprise wide solution
5. Budget
Does the Prospect have a budget already set aside?
Can the Prospect get it from someone else's budget or next year's budget?
At what level are further sign-offs required? ($10,000, $50,000? 100,000?)
What amount is budgeted for a solution?
Is there a deadline where the Prospect will lose the budget or funding (usually in schools or government organizations)?
More on What Makes a Qualified Prospect, Qualified? next week.
President of Accelerated Sales Training, Inc.
Have you ever asked yourself, what are the specific characteristics of a qualified prospect? What are the minimum pieces of information you need to know to determine if the potential for a sale exists? What pieces of information are required before you consider a prospect qualified? Am I using a consistent cold calling system to successfully obtain the information needed?
Here are the first of a four part blog on 17 areas with questions you may want to ask yourself so you can create a qualified prospect profile also known as an Account Sales Profile™.
1. Basic Demographics
Ask yourself "Which type of organization do I make the most money when I make a sale?" For example: Is it a company with 10 employees or 100 employees? Does the company have over $10 million in gross sales or over $100 million in gross sales? Are most of my customers in the Retail Industry or the Financial Industry? What types of organizations will provide the highest payoff in return for my limited amount of selling time?
In summary, what are the demographics of your most profitable accounts in terms of...
> Industry Verticals (such as Software, Printing, Frozen Foods, etc.)
> Total Gross Sales
> Total Number of Employees
2. Business Practices
How does the account currently conduct business?
Where is the Prospect now?
How did the Prospect conduct business in the past?
What is the Prospect's future strategic direction?
Where does the Prospect want to be?
How does the Prospect plan to get there?
3. Needs, Problems, Challenges, Critical Business Issues, Pains or Drivers
Is there a perceived or unperceived need for your solution?
What are the needs, challenges or problems the Prospect facing?
What is keeping them up at night?
What is required to solve the problem and does your solution fit the bill?
Is the Prospect actively searching for a solution, which you can provide?
Does the Prospect have any current or future business initiatives?
Has the Prospect expressed an interest in what you have to offer?
Does the Prospect have a compelling business issue that needs to be solved?
Is the Prospect using outdated products and services, which may need to be replaced?
Is there a need for a specific product or service but the Prospect can't afford the time or money or man hours to build their own solution?
Is the Prospect using some type of solution and not yet seeing business results?
Is the Prospect starting to look at competitors?
Has a specific person been assigned to find a solution to a specific need?
Does the Prospect have a serious intention to buy or are they just being time wasters or tire kickers or a just send me something?
4. Time-frames
What are the time-frames for...
The RFI or RFP or RFQ (Request for Information, Proposal or Quote)
Evaluation period
Decision date
Roll-out of a pilot solution
Implementation of an enterprise wide solution
5. Budget
Does the Prospect have a budget already set aside?
Can the Prospect get it from someone else's budget or next year's budget?
At what level are further sign-offs required? ($10,000, $50,000? 100,000?)
What amount is budgeted for a solution?
Is there a deadline where the Prospect will lose the budget or funding (usually in schools or government organizations)?
More on What Makes a Qualified Prospect, Qualified? next week.
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