Some salespeople quote their sales philosophy as, “Relationships based.” After a conversation I had last week with the CEO of a marketing company, I realized that good relationships do guarantee a sale. As we talked, I realized that in spite of the great relationship I have with my sister, she wouldn’t buy clothing or accessories from me. She’ll go to Nordstrom, Macy’s or Ann Taylor, and she would rather buy from the strangers in those store than from me. Of course, my wife, mother and daughters would also rather go to these establishments. If I can’t sell to my family based on my relationship with them, how can I be expected to sell?
When most salespeople are applying for a job, they will try to reassure the hiring manager they build great relationships with their clients and customers. Because of those connections, the people you visit buy from you, right? Relationships can help a sale, but they will not guarantee it. I sold against competitors who took physicians (and their families) on golf outings, movie nights and ski trips. You don’t win contracts with prizes, gimmicks or solely on relationships. You win contracts with…
- Superior Products – If a consumer feels there is a significant difference between your product and your competitor, the relationship won’t matter. People do not intentionally buy inferior products. “Build a better mousetrap, and the world will beat a path to your door.” Make sure you build the best mousetrap.
- Communication – Scientists and engineers are frequently the smartest people in the room. Unfortunately, we are frequently lousy communicators. We have all bought things we didn’t need because a salesperson was a great communicator. If I have the best product, I need to clearly share the benefits in a way that makes sense (even to my sister).
- Like You vs. Respect You – I will not buy from someone who I don’t respect. My wife loves me, but she won’t ask my opinion on wedding dresses because she does’t respect my opinion. My teenage daughter asks my opinion about calculus because she respects my opinion. It’s nice if your clients like you; it is critical they respect you.
- Value – After 5 years of social media consulting, my sister has not even opened up a Facebook page. In spite of the long conversations we have had on the benefits of social marketing, she does not see the value. Until your prospects and leads see the value in your product or service, they are not going to buy or even return your phone calls. Make sure they understand how it reduces their pain points.
- You Charge Too Much – Even if you have a great relationship with a client, the price must be right. Research your industry and know the fair price for your product or service. If you charge too much, they may feel you are trying to take advantage of them. If you charge too little, they may see little value in your product. Don’t be afraid to negotiate on price. That may help your customer pay want they feel is fair.
Relationships have always helped me generate prospects, leads and early stage opportunities. However, the relationship I have with the person will not always move them through the sales funnel. Value, respect, communication, price and quality all play a large role in my client’s buying decision – even if she is my sister.
