If you wanted to use the Maginot Line to describe some of today’s sales reps, you would come up with something like this: A. they have a false sense of security based on past performance, B. they fail to see the buying paradigm shift in the last six to eight months, C. they underestimate their competition, D. they are blind to the consequences of plans based on false assumptions.
Prior to World War II, the Maginot Line meant “safety” to a Frenchmen. It was a line of concrete fortifications, tank obstacles, and machine gun posts constructed after WWI to keep the Germans out of France. It was built upon the strategic success of static, defensive combat in WWI and the concept of dissuading a direct assault by the Germans upon France.
At the beginning of WWII, while France’s concept of war remained stagnant, Germany creatively changed the rules of engagement. France’s strategy was rendered ineffective as the Germans flanked the Maginot Line by invading Belgium and by flying over the defensive wall.
The Maginot Line reflects the stagnant, unchanging selling strategy of many sales people today. Over the past few years, some sales people have constructed their own “concrete fortifications” to protect their sales territory and sales philosophy.
But, a closer look reveals that “boom” times often are the results of a vibrant expanding economy. To fail in the last six to eight years, a salesperson had to target failure. Since 2000, a lot of superstar sales reps owe their success to being in the right place at the right time. By taking orders from customers anxious to buy, these sales wunderkinds became sales heroes. But, what looked like selling genius was often only the luck of the draw and many reps were drawing aces.
Some “in-the-right place” sales reps remain blind to the economic and market changes now underway. Due to their sales Maginot Line they dramatically underestimate their competition, continue to execute flawed plans and implement outdated selling techniques.
Circumstances have changed and sales presentation priorities must change. Often sales management discounts the idea that “price” is important. And, in a booming market, price often doesn’t hold center stage. In a contracting market, price dramatically moves up the food chain.
Things being equal, people prefer to buy from people they like. But, when a buyer’s budget is reduced he must make fewer dollars go further. Given the choice between purchasing 3 widgets from you for $24 and paying your competitor $24 but receiving 4 widgets your prospects expects more than a smile and a good story. A twenty five percent premium for relationship is asking a lot of your customer.
Price concession isn’t just about cutting price. Often you can sell a generic or private label version of the product for less— the customer saves and you often make a better GP%. Maybe your customer will increase his order quantity for a reduction in sale price. Use your willingness to lower a price on a specific product as a negotiating tool to get sales for products that are being bought from a competitor.
A challenging selling environment requires a more direct selling approach. Today you must ask for the order on every sales call. The operative action is to be “aggressive”, not pushy or antagonistic. A sales call is, a sale call. Ask for the order!
Maginot Lines can be breached or flanked. The market is what it is. Differentiate between high pay-off actions and low-priority activities.
HOG WISDOM—
In up or down markets, certain elements are critical. Your customer is always looking for you to:
1. Solve his problem
2. Solve his problem economically
3. Solve his problem when he wants it solved
4. Solve his problem how he wants it solved
5. Solve his problem when he doesn’t know he has a problem
6. Solve his problem with integrity. Integrity remains no matter the market conditions.
To bring home more bacon in today’s market follow these tips: 1. Don’t have a false sense of security based on your past performance. You must be flexible and adaptable. 2. Recognize and accept the buying paradigm shift that has occurred in the last six months. Seek out opportunities that change presents. 3. Don’t underestimate your competition. They are in survivor mode, also. 4. Don’t be blind to the consequences of plans based on false assumptions. Be sure your efforts are aligned with your goals and objectives.
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