How to achieve the desired results during negotiations: 4 rules of an effective sales strategy
Sales people usually understand the basic rules of negotiation to establish relationships with potential customers. At the same time, they often overlook the importance of certain details of the process that seriously affect the final result.
"In fact," SSPDaily writes, "they are the core of the deal, on which the fate of this business project depends." Here's what experts advise you to pay attention to so that sales negotiations bring multiple profits to your company.
Knowledge is power
Malcolm Gladwell's David and Goliath philosophy is applicable to many life situations, especially in sales. One of its main tenets is to prepare for a meeting with the enemy. "If you understand your opponent, you will always find the best weapon to defeat them."
However, in sales, negotiations are not so much a "battle" as an interaction between two partners who are ready to work together to achieve a common goal. And yet, Gladwell's philosophy is still relevant here.
When you, like any good salesperson, have a goal, you must prepare to achieve it. Accordingly, a sales expert should come to every meeting knowing everything about the industry, the company, and the person to whom he or she is planning to sell something. And this is the key to a successful outcome.
Speak less and to the point
During sales negotiations, you are often tempted to act before the potential client has time to think. However, this is a mistake as you are revealing all your cards at once.
On the other hand, by letting the client's team speak first, you save your best moves, hide your defense tactics, and don't exhaust all your options before the negotiations begin.
Another mistake is that during such meetings, salespeople often suffer from verbosity, repetition, and unnecessary explanations.
Tip. Choose your words wisely and use them as an answer, not a statement. This way, you'll have some wiggle room when you get to the heart of the negotiation process.
Choose cooperation over submission
Salespeople often walk into a room thinking that prospects are doing them a favor by signing a contract.
Realize that your team exists because there is a quality product or service to sell. Your prospects need you as much as you need them.
When salespeople are too accommodating, they lose their bargaining power and end up agreeing to a less favorable contract.
The task of the selling party is not to serve others but to show the benefits of working with your company.
Tip. Enter into sales negotiations with an attitude of equality and cooperation to achieve a common goal and conclude a contract that benefits both parties.
Talk about value, not price
There is a clear difference between price and value. Although these two concepts are often correlated, their relationship is not guaranteed.
During negotiations, customers may keep pushing the conversation towards the price of goods and services, forcing sellers to make concessions. As a result, the company suffers losses.
Remember that talking about the price always leads to discussing discounts, which means less profit for you as a result.
Therefore, if the negotiations are going in the wrong direction, direct them to the value of the product. This will encourage the client to sign the contract on your terms without unnecessary discussion of the contract price.
When the client realizes that value is more important than price, it gives you a strong financial advantage.
