“Let us never negotiate out of fear. But let us never fear to negotiate”.
– John F. Kennedy
I have been a parent for many years now. One of the things I have discovered during this portion of my life is that teaching kids how to advocate and negotiate for themselves is a key life lesson. Recently, while reflecting on my time as a parent, it occurred to me that being a good negotiator is also an absolute must in sales.
It’s a given that if you are a parent you must learn to negotiate. It’s the same if you are in sales. Negotiation is part of the process as we seek to add value for our customers. We may have to negotiate on price, delivery or the size of an order. There will also be disputes that must be negotiated from time to time. Negotiation is not a dirty word. It is simply part of the sales process and when done correctly, both the buyer and the seller walk away pleased with the outcome.
Another critical component when dealing with parent and child interactions is emotional intelligence. It’s very often counterproductive to fall back on logic and reason when dealing with a parenting problem. Whether in parenting or sales we should try to move away from the zero-sum game approach to something more akin to joint decision making. This way both the buyer and seller can end the negotiation with a feeling of satisfaction.
Let’s look at a few common scenarios faced by all salespeople and some potential solutions.
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“We can’t afford to replace our fleet vehicles due to budget cuts”.
In one form or another, we have all heard customers use budget cuts as a reason for not buying.
The great sales trainer and motivational speaker Zig Ziglar had an effective way to handle this objection by replying in the form of a question. The question is designed to reflect the customers’ statement. Zig would say, “You can’t buy because of budget cuts”?
This is a brilliant response as it confirms you have heard the customer and you empathize with them. The customer feels like they are being understood and this helps to establish a connection between buyer and seller.
This approach also gives the customer permission to clarify and elaborate on what they have stated. Now you have additional information that can be used to find a solution. This allows for the opportunity that the customer may buy your product despite the aforementioned budget cuts.
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“It sounds like you are concerned about after-sales support”.
Another approach favored by Ziglar and other top sales professionals is to take the questioning up a notch. Rather than simply responding by repeating what the customer has said we need to label his/her feelings. This allows us to tap into the buyer’s emotions. Fear being one of the most powerful emotions. This requires superior listening skills on the part of the salesperson.
Buyers like to feel like they are being understood. This example demonstrates empathy on the part of the seller. It goes a long way towards establishing a rapport with the customer.
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“Do you think it’s a bad idea to invest in a vehicle that will carry heavier payloads while reducing spending on fuel”?
In this example, we are starting the discussion by giving the customer permission to say “no”. This is a smart move in many cases as buyers often feel pressured to say “yes”. Saying yes can have the effect of putting a person on the defensive.
If you have ever been involved in a sales presentation for a timeshare condominium you will know the feeling of being pushed into a corner. You can feel obligated to make a commitment.
On the other hand, allowing the prospect to start the conversation with a “no” can actually make them feel more comfortable.
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“It sounds like you need a solution that will enhance fleet efficiency without a need to retrain your drivers”.
After allowing the customer to feel comfortable saying “no”, the next thing you want to hear is “that’s right”. Again, this requires the salesperson to be a good listener who can succinctly sum up the feelings of the prospect.
It’s very important to show the customer that you understand the issue under discussion by restating what they have told you.
When the customer can say “that’s right”, it’s a way for them to acknowledge your understanding of their position. It’s a way of saying we have a mutual understanding. This will likely lead to your offer receiving a favorable review.
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“What’s the biggest challenge you face”?
This is where the really good salespeople shine the brightest. At this juncture, the salesperson and the customer are cooperating in a joint problem-solving manner. This discussion is no longer around negotiation. It’s now all about helping the customer achieve their desired outcome.
At this point, the client can elaborate more freely on their business challenges. They can open up to the possibilities the seller can offer.
A few final thoughts based on my personal experience. Firstly, nobody likes to feel like they are being sold to. Instead, they are looking for someone that can understand their challenges and work with them to find the best solution.
In most cases, this will require more than one interaction between the players. Just be sure that you end each discussion with a clear deliverable and a firm date to discuss again.
Remember, sales is not a contest. It’s a collaborative effort that will involve a certain amount of emotional investment from both sides. When the techniques outlined in this article are applied properly they can have significant positive implications. Not the least of which will include the client attaining their key business objectives.
“The best move you can make in negotiation is to think of an incentive the other person hasn’t even thought of – and then meet it”. – Eli Broad
