| The
Installed Sales and Value-Added Selling The
term "value-added selling" has been bantered about in our industry for a number
of years by sales training gurus of all stripes and sizes, but where most of them fail is
in describing just exactly what "value-added" is all about. They constantly tell
us to add value to our sales presentations, but dont ever tell us how to do it. In
selling building materials to a contractor/builder, as in selling products installed to
either that same builder or a homeowner, you cannot hope to generate any substantial
margins without adding value to your products. Without adding value to your offering, you
are forcing yourself to compete in a commodity market where margins are slim and profits a
thing of fantasy.
Selling value-added isnt a black art or science at
all, its simply a matter of properly qualifying your customer and quantifying your
services, based on the expressed needs of your customer. And therein lies the key:
qualifying your customers and meeting or exceeding their needs with your offerings.
(Qualifying: Now, theres another ambiguous term that many of the salespeople in our
industry dont fully understand.)
Thoroughly and properly qualifying your customer is far
more than just getting the company/individual names, sizes of product, how many, and when
they want it delivered. These are simply commodity questions that can be answered by, and
solutions provided by, anyone in the industryyou, your competition or a provider on
the Internet. Qualifying your customer means taking the time to identify those prime
buying motives that drive the salethose core issues that dictate to your customer
that now is the time to make a decision and that the value points that they have
established are clearly defined and worth investing in.
Whats this: value points, prime buying motives? What are
these terms and where do they come from? And another thing, whats this got to do
with installed sales?
Heres what it has to do with installed sales: You
absolutely must find some waysome sustainable wayto differentiate yourself,
your company and your products from the competition in order to succeed and maximize
profits. You have to raise the customers perception of the value of your services in
order to generate the kind of margins that are attainable in selling your products
installed. This means that you must ask the kind of questions that will prompt your
customersbe they homeowners looking for a new kitchen or a builder wanting windows
installedto reveal those points of business that they hold dear and are willing to
pay for.
What kinds of questions? Questions with a purpose.
Questions that are layered one upon the other in order to delve deeper into the primary
buying motivation that all buyers have. Questions concerning the customers position:
What specific problems need to be solved; what opportunities can you and they capitalize
on? Company issues such as: how can they win; how can they save or make money with your
service; how can you help them become more competitive? Personal issues like how will they
win personally; what are their objectives in this project; and what is their prevailing
attitude toward it/ How about money issues: what is the budget for the projectand if
its not enough, what justification can be used to increase the budget?
Then you have your position to consider: Who is the
competition; what does your customer like or dislike about them; and are you ahead or
behind in the process? Time frame and the level of urgency also are necessary information.
How about buying influences: Who will make the final decision, who will impact the
decision, and who all is affected by it?
After you have all this information, you will be able to
present a very concise proposal that addresses the primary buying motive of your customer,
and will also be able to differentiate yourself, your company and your products from the
competition.
You see, anyone can put together a group of products and
offer an attractive price to a customer. But a true sales professional who is dedicated to
offering exemplary service to his or her customer through installation services will take
the time to thoroughly qualify their customers needs, quantify the services and
products being offered, and present a proposal for a project that is specifically tailored
to that customer. Thats the difference between being a sales professional and a
product peddler! |