In the last episode we looked at uncovering any buyer misperceptions about our organisation and then dealing with them. How did that go? Today we will work on one of the most critical phases in the buying cycle – uncovering buyer needs. Depending on where the client sits in the buyer organisation, they can have different needs. In broad brush terms, we can assume that the CEOs are strategy focused, CFOs are bottom line focused, the user buyers are interested in ease of use and the technical buyers are checking up on the spec, to make sure it matches up with what they need.
It doesn’t always fall out so neatly, but experience tells us that directionally these framings are usually true. We do need however, to use our communication skills, in particular our questioning skills, to better understand the buyer and what is most important to them. Even inside the same firm, we recognise that depending on who we are talking to, these buyer needs could be quite different. I was talking to a President recently and he was pushing me for some sort of added value or a discount. When I asked him “why”, he said that his headquarters had a form he had to fill out indicating where they improved on the supplier’s offer. I was glad I asked, before I made a small accommodation to help him out. Otherwise I might have gotten ahead of myself and offered too much to drive the deal forward. The lesson is always ask ”why” when you get an objection or a hesitation.
We can analyse the buyer needs through four categories, to better help us uncover their most important needs. This step in the sales cycle precedes our direct questioning techniques, which we will handle in a forthcoming episode. To design good questions, we have to know what we are looking for and this is a vital step in our sales process.
Primary Interest:
The client is mainly interested in the outcome of the buying decision and not so much interested in the tool which delivers the outcome. It might be more revenues, enhanced effectiveness, improved efficiency, better safety, increased comfort, greater flexibility, higher quality or an increasing ROI. Spending all of our time talking about the tool rather than the outcome the tool will furnish, rather misses the point. We are going to face many needs, however we need to zero in on the most high priority need and focus right there.
Buying Criteria:
There are the “must haves” which cover the basics of the solution. These will include budget, features, internal approvals, after sales support, location requirements, quantity, quality, etc. These are often related to the application of the solution and how it will play out in reality for the buyer and the internal company divisions it will impact.
Risk vs Reward Considerations:
In Japan, the safest decision by the buyer is to stick with the current supplier or the current system and buy nothing. This makes life tough for salespeople, so we need to be ready for this inertia preference on the part of the buyers. In this case, the decision we want them to consider is the opportunity cost of no action. Initially, taking no action looks like there is no cost attached to it. In fact, there is an opportunity cost of the lost opportunity. This lost opportunity may favour a competitor’s position vis-à-vis this buyer or it may lead to missing a turning point in the market.
The purchase is designed to improve the situation of the buyer. Their question however is to what extent does the return justify the cost of the investment? How much will the buyer get back for every dollar they spend? We have to be pouring on the value for the buyer in order to make that buying decision much easier. If we don’t come with concreate numbers, we will have a hard time to convince them.
Individual Motive:
We all have compelling emotional reasons for buying. It might have to do with strengthening our relationships within the company, gaining recognition for our good work, getting a big bonus, keeping our job or maybe being promoted. We may feel a sense of self-fulfillment that we made a contribution. We may be worried about internal rivals and need a quick win. It could be something which increases our power within the organization.
Human nature is such that we are all primarily focused on our own needs first and the company’s needs second. As salespeople, we know that about our buyers and we need to adjust our communication accordingly.
Just turning up and pitching to the client is essentially dumb. How do we know what they need? Well we don’t, which is why we need this analytical process to be completed before we show any materials to the buyer or talk about any products or services. You would think this process was the most obvious thing in the world, yet so many salespeople are skipping this step and then wondering why selling is so tough!
