In the absence of value proposition, salesperson tend to speak on price

Let’s look at this from two angles – From Customer angle and from Salesperson angle.

Customer Angle:

Are Customers not interested in listening to “Value” from the Salesperson? If so, why?

- When Customer is more aware than the salesperson about the products/services he or she is buying

- When Customer is not aware that a salesperson can provide, he /she is not interested to lend his/her ears

In most cases, the starting point of customer’s buying decision is the “need or what is the value” and not “Low price or better credit terms”. What occurs to him or her First is “Will it serve the purpose”.

In certain extreme situations, when the “low priced product or service” is the starting point, then the buyer’s remorse is high. Researchers have concluded that the repeat purchase doesn’t happen, when the buyer’s remorse is high.

What Customers Value? What are some of the Starting point/s of his/her decision making? This starting point may vary from customer to customer and from time to time.

• Time Saving / Reduced effort/ Decreased Hassles / Information / Transparency/ Product Quality /Scalability / Innovation / Meeting Specifications/ Right Price /Regulatory Compliance/Ethical Standards/ Availability / Options / Risk Reduction/ Reach / Flexibility / Component Quality/ Integration with the existing Infrastructure/Simple to use/ Connectivity/ Responsiveness/Expertise / Commitment / Stability / Cultural fit / Appeal to aesthetics / Growth and Development / Reduced Anxiety / Perks / Incentives/ Marketability / Reputational Assurance / Contributing to Vision/ Extending social support / Strengthening Hope / Efficiency/ Effectiveness/ Profitability / Productivity/ Dependability/ Association / Credit limits/ Credit terms/

Salespeople in Business-to-Business, may appreciate that the above mentioned starting point may vary from level to level. For eg., A junior level personal would be more interested whether the product is matching the specifications or not. Sometime he or she will not have the power to change the specifications. On the other hand, a Technical Head may be interested in efficient and effective functioning.

Customer is intelligent to think of Value versus Price. Customer sees whether his / her starting point of buying decision is satisfied or not, before he/she decides to place an order. That’s why sometimes, we find that the customer is reluctant place an order even when the Price is Low.

Salesperson Angle:

The only critical stage for the salesperson to get the deal is the closing stage. Is Salesperson in a hurry to get to the point of closing stage ? If so, why?

- Salesperson may be too anxious to get the order faster than the competition.

- Salesperson is preoccupied with his or her sales targets, more so during the month end. In his mind, there is NO time to speak on Value.

- Sometimes, Salesperson assumes Customer know it all. Over-estimates Customer that he would have studied all about the product. This forces the salesperson to think “Why spend time on Value communication”

- Sometimes Salesperson assumes Customer knows less. This makes him/her think “why spend time to explain Value, when customer cannot understand”.

What are the Must do’s and Never do’s for a Salesperson in this scenario:

Must Do’s:

Reach out to Customer much before you need an order

Ask One question without fail, “ Apart from price, “What vaue do you expect from the product?”

Explain “what value” customer gets. To do this, one doesn’t need more than a few minutes (if prepared well)

Before you leave the customer’s place, ensure to leave a strong message with the customer - what “Value he or she gets” and not just what “price he or she gets at”.

Never Do’s:

Don’t meet only when you need the order or business

Never under-estimate or over-estimate customers

Never leave customer’s place without telling What Value he or she gets, even when the customer is not interested in listening to.