7 effective sales closes and ways of gaining commercial commitment and converting more sales

If you

- haven't set clear selling objectives
- haven't planned and prepared your sales call,
- haven't clearly explained the purpose of your call,
- haven't maintained and sustained your prospects attention throughout,
- have only carried out a cursory investigation of your client's needs and wants,
- have not matched your offers' benefits to those needs and wants of your buyer,
- have not handled and not answered your client's objections and concerns

- but you are the most marvellous 'closer' in the world

WHAT HAVE YOU CLOSED ON ?!!!!!!

It seems so obvious to state this - yet still in 2011 you see recruitment advertisements in the on- line sales recruitment sites asking for "Closers" as if that is all that is all that is required or worse implying that closing is some kind of knack or magic trick of the trade.

The close of the sale cannot stand by itself - it is the logical end to a well planned and well executed presentation.

(Photos in this post are of commerical buildings in the City of London ( Financial district), the Shell building South bank of the Thames and an office in Hammmersmith, West London)

No method of closing is likely to succeed if the presentation has been weak; on the other hand even a good presentation may not ensure the business if it is not properly concluded.

To bring any sale to a successful conclusion you must keep your decision based objective clearly in mind and close on that objective by obtaining from the client either:

• firm commitment (e.g. a signed purchase order, a verbal acceptance)

or

• positive agreement (e.g. that you will be specified in future, that you will be given an order when the need next arises).


When to conclude or close

The timing of the close is important. You can fail to achieve your objective by attempting to close too soon - before your prospect has enough information on which to base their decision - or by going on too long and spoiling an otherwise sound presentation.- in effect talking your way out of a sale.

This does not mean there is only one ‘psychological moment’ at which to close.

It does mean though that your close should be planned.

At every stage of your offer, ask questions to ensure that your prospect has understood what has been said - and perhaps more importantly, agreed with it.

Checking for these ‘yes responses’ will ensure that any doubts, disagreements or objections are brought out at the appropriate time.

For example “Are you happy with what I’ve said so far?” or “Is that type of service quality important to your company?” sometimes referred to as trial closes


As the interview progresses, you should watch and listen for ‘buying signals’ - indications of how the prospect’s mind is working. A buying signal may be physical
(e.g. picking up your sales literature); or it may be verbal (e.g. “What is delivery on this?”). The prospect has not yet definitely decided to buy - but is considering doing so.

When buying signals are observed, you can afford to become assumptive and change from “If you have this” to “when you have this”. You must develop the skill of becoming gradually more assumptive as the ‘yes responses’ become more positive.

Sometimes your buyer will close the sale themselves naturally, but if not you should try to close on a buying signal which comes towards the end of your planned presentation.


How to conclude or close

You must always be prepared to ask for the decision.

Sometimes simply asking will be sufficient, but here are 7 basic techniques (and many other variations/combinations thereof) which can be used to make the asking more effective:

•1. Assumptive close: maintain the positive momentum of ‘yes responses’ and ‘buying signals’. Use that momentum to close by wording the close carefully.

Not “Do you want to go ahead?” but, “How soon would you like delivery?”

• 2. Alternative close: offer a choice of two (or sometimes more) positive alternatives in terms of timing, specification, colour, payment method, delivery etc.

e.g. “Would you like the ads to start in March or April?” “Would you prefer delivery to gate C or gate D?” " It is available in blue or green - which would you prefer?"

This method is the only one, which in itself asks for a decision and can be used either by itself or with one of the others.

It is particularly effective because you are asking the prospect to decide ‘yes or yes’ rather than ‘yes or no’ - even if both are rejected, your prospect has not rejected your offer itself, only those particular choices.


• 3. Summary close: briefly summarise the main points of your discussions and presentation, paying particular attention to the benefits of your offer as it relates to your prospect’s needs, wants, problems and priorities; in a competitive situation also emphasise those factors about your company and your product or service which your competition cannot match.

• 4. Verbal proof close: refer to an existing client or a particular case history, or white paper outlining what your company has done and the benefits derived; this will build confidence in your prospect’s mind and show that you can also provide the same benefits for their organisation.

The ‘verbal proof’ must, of course, be true and if possible capable of being checked - documentation or a letter of reference will add impact and increase credibility. And if you can cite a prestigious, local or relevant, and similar existing customer, so much the better.

• 5. Concession close: encourage the prospect to make a positive decision by offering a concession (within company policy) which is either designed to apply time pressure (e.g. a small price reduction for an immediate order) or to show that you personally are providing specially good service for that particular prospect (e.g. a small specification change at no extra cost). Concessions should be kept till the very end and used only if necessary - if a concession is introduced too soon, or if it is seen to be available to everyone, its impact is reduced.



• 6. Caution close: introduce a note of caution by explaining the disadvantages of not making a positive decision.

e.g. “So that you will have sufficient stock for the new season shall we...” “To avoid any unnecessary expense shall we double the order at the current price before the price rise is due to take place next month” The overall message being put across is “... you would be well advised to order now - Buy now while stocks last ...”

• 7. Isolation close: if your client raises a last-minute objection, try and make sure there is nothing else stopping them from going ahead. “So if we can take care of that point of concern, Charlie, will you attend the demonstration?”

There is no one best way to close, but there is a best time - when the presentation is complete, and when you have been getting sufficient ‘yes responses’ and ‘buying signals’. At that point your buyer is convinced, so that is the best time to close.

You should prepare and practise as many of the different methods as are appropriate to your business. Then you will be flexible enough to react correctly in every sort of selling situation. Such practise also helps you build your confidence where 'fear of trying to close due to fear of rejection can hold one back from asking for commitment.

Don't be a "Charlie" be an "Alfred"Just think to that toe curling scene in the Film "Four weddings and a funeral" when Hugh Grant's character Charlie waffles on about the Partridge family instead of asking the question of the girl of his dreams played by Andie MacDowell.

Alfred Tack , the father of UK sales training said once " If you don't try and close- you are working for the competition!"

Related Links

7 step approach to appointments

3 Levels of Sales Research

5 ways of gaining attention

3 Parts to your differentiated Value Proposition

5 of the most common objections and how to answer them

DVP , branding - Milk chocolates and Milk Flowers for your valentine?

One of the oldest botanical gardens in London is the Chelsea Physic Garden ( CPG)founded in 1673 by the Society of Apothecaries. Chelsea Physic Garden was established to teach apothecaries about medicinal and other uses of plants..

The land on which the garden is situated came into the ownership of Sir Hans Sloane in 1712 and leased at a rent of £5 in perpetuity to the Apothecaries.

Sloane was a physician, botanist, philanthropist and relevant to this blog an entrepreneur. A statue of the great man is the centrepiece of the garden.

Sloane lived to the remarkable old age of 92.

He believed in

“ sobriety, temperance and moderation are the best preservatives nature had
vouchsafed to mankind”

Of his many achievements those who follow this blog might like to acknowledge his part in the history of selling.

As a result of travels to the Caribbean Sloane he introduced a “health promoting” recipe for drinking chocolate. By 1689, Sloane developed a milk chocolate drink as a result of his travels to the Caribbean and in particular Jamaica.

Well before what we might call the modern era of selling ,he had branded his product (milk chocolate drink) ‘licensed’ his formulation and sold it to be made exclusively by a ‘manufacturer and had his product distributed through outlets – the coffee houses of Georgian England.

He even expressed his distinctive value proposition (DVP) as can be seen by the poster. ( note the old use of ‘f’ for ‘s’ my spell checker has blown a fuse!)

Sir Hans Sloane’s

Milk Chocolate.

Made only by William White , succefsor to
Mr Nicholas Sanders, No 8 Greek Street, Soho, London.

Greatly recommended by feveral eminent physicians, efecially of those of
Sir Hans Sloane’s acquaintance.
For the Lightnefs on the Stomach, and its great Ufe in all Confumptive Cases

N.B. What is not figned by my name and fealed with my Arms is counterfeit.

In the 21st century we are also familiar with stories of medicinal benefits of chocolate .

Cocoa or dark chocolate may positively affect the circulatory system. Other possible effects include anticancer, brain stimulating activities.

Any aphrodisiac effect is as yet unproven despite what hopes today spring from giving one’s ‘valentine’ a box of chocolates! But hope springs eternal ! .. talking of which..

The first signs of the end of the deep part of winter has passed in London . Snowdrops have appeared.

Last weekend Chelsea Physic garden opened its gates for its Snowdrop Days

The botanical name Galanthus is from the Greek gala – milk and anthos – flower. The garden has a collection of over 100 varieties. The subtle differences can be determined by close inspection of markings, leaf shape and fullness of flower.

However you have to remember your “ leaf, scape, spathe. Pedicel, ovary, flower, outer tepal, inner tepal” all of which I had forgotten from school lessons in Biology. Fortunately CPG supplied visitors with an illustrated guide to their snowdrop trail highlighting 15 different varieties.

One of the most delightful stages of the trail was the snow drop theatre.

This exhibited a range of choice Galanthus cultivars bred and developed over the last 150 years. In late January 2011 a particularly desirable form sold on line for £350 for a single bulb!

As well as the pleasure snow drops give to galanthomaniacs some varieties have medicinal properties. Although galantamine is produced synthetically nowadays for drugs like Reminyl it is used in the treatment in Alzheimer’s disease.www.alzheimers.org.uk

www.chelseaphysicgarden

Aleksandr ORLOV explains Simples Advertising More Th>n Freeman

VCCP the advertising agency responsible for creating the talking Meerkat Alekandr Meerkat is also the creative powerhouse behind" More Th>n Freeman"

Lord Tim Bell whose PR firm Chime Communications bought VCCP in 2005 described some of the changes in advertising :-

" In the 1980s it was all about slogans and catchphrases and humour. Now advertising is about communicating the concept of a visual narrative. More th>n Freeman, like the Meerkat is a visual narrative"

Alekandr Orlov Junior (AOJ) learns about Simples advertising from Uncle Alekandr Orlov (AO)


AOJ"What business are you in?"

AO"I am account executive in ad and & PR agency"











AOJ"Do you write ads?"

AO"No, copywriters do that"











AOJ"Do you create ads?"

AO"No , art directors do that"











AOJ"Do you handle press releases and product launches?"

AO"No, P.R. specialists do that"











AOJ"Sounds like fun job"

AO"It's not that easy - we do lot of research"











AOJ"Do you do research?

AO"No, we have research people for that"











AOJ"Forgive me Uncle, but WHAT IS your job?"

AO"Well it's marketing really"











AOJ"You do marketing for the clients?"

AO"No, not exactly they do it themselves"











AOJ"Are you in management?"

AOJ"No, but I soon will be"







AOJ"Wow, what great job Uncle Alekandr!"




Click for Official Comparethemeerkat.com site trading name of BISL Ltd

When outsourcing costs more,is bad value and when the RFQ or RFP is too inflexible is Selling ever Buying's " keeper"?

Most stories of commercial poor practice that hit the news focus on bad behaviour on the Selling side. These stories should be told of course but excessive media coverage does taint the reputation of the majority of those in the profession who try to do a good job for their customer, for their companies and for themselves.

Stories abound about pensions miss-selling, preying loan sharks in the current recession or stories churned out on BBC TV's "Watchdog" or Radio 4 " You and Yours" stereotyping dodgy double glazing selling or mobile phone contract scams abound.

But before we in Selling get any sense of vindictive satisfaction in reading a story for once of Buyers 'getting a good kicking' we should remember the customer in the M25 extension fiasco is the nation.

You would think that if a commercial project was running to time , was under budget and one that will complete its critical deadline of national importance ( London 2012 Games) that all would be well and good.

Indeed as a set of metrics it might suggest good buying and good selling had taken place.

Yet in the report published 8th February 2011, the Public Accounts Committee have cited, “poor cost estimation” and a lack of “robust information” as key flaws in the handling of the project, describing it as “poor value for money for the taxpayer”.

The case in question is the massive construction project to widen London’s M25 orbital road between junctions 16-23. The Buyer in this case-( the Highways Agency) has been heavily criticised by the Public accounts committee of the UK Parliament.

On BBC Radio 4’s Today programme chair of the committee Labour MP Margaret Hodge said

“They have got it completely wrong.”

She derided the 30-year, £3.4bn private finance contract for widening the M25 and said the mishandling had cost the taxpayer as much as an extra £1bn.

She urged ministers to renegotiate the contract, whose management costs she said were "far too high" following "appallingly bad estimations" produced by consultants employed by the Department of Transport.

Margaret Hodge said "The taxpayers have been the main loser. Road users have had to tolerate constant traffic jams, and the only beneficiaries have really been consultants and advisers."
"The public accounts committee had been "shocked" to learn that £80m was spent on consultants to advise the department on "how to build a road".

This report from Parliament follows the National Audit Office (NAO) report of last year on the project

"Lessons to be learnt" has been the PR soundbite from the criticised buyers but there will ramifications of course for those Selling to the public sector from hereon. The NAO recommended the following for the Buyer in this case - The Highways Agency:-

1. The agency was criticised for being too slow to investigate potentially cheaper alternatives, such as allowing traffic to use the hard shoulder.

2. The NAO study said: “The agency should have adopted a more agile approach to procurement, recognising the potential for making savings using an alternative method of relieving congestion: hard shoulder running.”

3. It estimates this could have saved between £400 million and £1.1 billion. It said slow progress on testing hard shoulder running and the agency’s commitment to widening the motorway limited its options and provided less value for money.
4. An 18-month delay in preparing and finalising the procurement work to widen the road meant the contract was let in May 2009, at the height of the credit crisis. This increased the cost of the deal by almost a quarter to £3.4 billion.
5. The report also described “shortcomings in its cost estimation process”. The Highways Agency’s cost estimates were 27-43 % higher than the bids it received. The NAO recommended the agency investigate the reasons for the difference.

Outsourcing is not always the answer it seems.

The NAO also called on the agency to develop its in-house skills in procurement and contract management because it is “over-reliant” on consultants.
“The agency has not reviewed the total costs of its procurement to identify lessons for future projects,” said the NAO.

“The agency continues to rely on advisers for contract management support and documentation about the procurement."
“The agency’s reliance on advisers has built up over time and in part reflects insufficient commercial and technical skills within the agency.”

The Highways Agency spent £80 million (7.5 per cent of the capital value) on advice and support from external organisations, including £45 million on technical advice, during the course of the procurement for the road widening.

Caveat emptor "Let the buyer beware" one might think . It is the Buyer's lookout but there is always Caveat venditor "let the seller beware" to consider.

Should Selling take responsibility for the product and be discouraged from selling products or services ( including consultancy) that are unreasonable or unsuitable ?

The dilemma here was for those suppliers who wanted to suggest the cheaper hard shoulder option. Their suggestion would probably have run the risk of being rejected because such a suggestion may not have kept within the strictures of the terms and conditions of the request for proposal RFP.

The Buyers Views of Salespeople Survey has also identified additional changes in Purchasing practice. 15% of the sample had increased their outsourcing. But as we see from the M25 extension case this may not mean best value.
Click for free executive summary of the Buyers Views of salespeople research study
Readers might also find the increase in purchasers' consideration of sustainability issues, local sourcing and changes in the number of suppliers used interesting

The Selling sign of our times Neon and Sir William Ramsay's plaque unveiling

2011 has been nominated the International year of Chemistry.

What better way than to remember a great scientist?!

On Wednesday 9th of February English Heritage unveiled one their blue plaques at No 12 Arundel Gardens Notting Hill London W11 - the house which the first Briton to win the Nobel Prize for Chemistry in 1904 lived. No 12 was the home from 1887-1916 of the chemist and discoverer of noble gases, Sir William Ramsay.

The crowd who had come to witness the event were in the main Chemists from University College London and members of the Royal Society of Chemistry. I suppose I could claim to be to be a Chemist although it is some 35 years ago since I studied chemistry! - but I felt among friends.


Most people in the industrialized world will nightly or daily have their attention grabbed as a result of Ramsay's discovery.

From the neon illuminating advertising signs to the xenon that trigger photographic flash bulbs his discoveries touch our daily lives.


It was while living at No 12 that Ramsay made his sensational discovery of noble gases. It was in his study at his home that he and his colleague Morris Travers wrote a joint paper for the Royal society on their discovery of neon. This post box was the one Sir William used to post his groundbreaking paper on Argon.


The name neon comes from the Greek ‘neos’ meaning new. The early developments of neon lighting in advertising probably goes back to Georges Claude.

In 1913 a large sign for the vermouth Cinzano illuminated the night sky in Paris, and by 1919 the entrance to the Paris Opera was adorned with neon tube lighting according to Wikipedia.
The first neon sign in the UK was probably at Piccadilly Circus was for Bovril – the beef tea drink.


Whether used by independent retailers or big chain global franchise operations, like Subway, Neon signs abound even in the era of LED.

Dr Andrea Sella, Inorganic Chemist at UCL Chemistry Department said “ Ramsay was a groundbreaking chemist and built up an outstanding research department at UCL. Nicknamed " the Chief”, he was an inspirational teacher and revered by his students . He maintained that his greatest contribution to science was not the chemistry but his students that he had produced."

To commemorate Sir William, a group of chemists led by Dr Sella cycled Sir William’s cycle route to UCL from his former house to the University. A route he would have cycled over cobbled roads on a rigid bike. In a letter to his aunt not long after moving int o the house he wrote “…I go to town on a bicycle.! Right along the Bayswater road to Oxford and to Gower Street. This morning I was at College in 18 minutes from the house."




Dr Sella and fellow chemists cycle the Ramsay cycle route.

Click for year of Chemistry 2011


Click for English heritage

Show me - 4 types of Sales Demonstration and how best to use them face to face and or line

One the criticisms of salespeople that has been repeated over the 12 years of the Buyers views of salespeople study is that many of us "talk too much." Maybe like the suitor in My fair Lady we should listen and read our buyers better.

"….Sing me no song ,rhyme no rhyme
Don’t waste my time show me.Don’t talk of June, Don’t talk of fall
Don’t talk at all – Show meNever do I ever want to hear another word
There isn’t one I haven’t heard…."

Elisa Doolittle from My fair Lady by Lerner and Loewe to the hapless suitor Freddy Eynsford-Hill

54% of Buyers said that their buying groups found demonstrations as a media to receive a supplier presentation. (Source: Buyers Views of Salespeople see below)
The use of sales aids must be planned along with the content of each of your sales presentations.

Your sales aids are not a substitute for a well-structured presentation - they are a complement to it.
4 Different types of sales aids

• Interest 'stimulators' which engage one of your client’s other senses (i.e. apart from hearing), an aid which brings in sight, smell, touch or taste can be an excellent ‘attention getter’.

• Trust builders such as testimonials, newspaper articles, white papers or independent test reports will reduce any doubts a prospect may feel about the wisdom and safety of purchasing from you.

• Visuals such as diagrams, photographs or advertisements help to communicate facts or explanations, and add variety to the presentation.

• Laptops help you make your whole presentation logical, complete and well ordered; for example, a well-structured PowerPoint presentation, Video Web Conference with ‘on screen’ you appeal, combined with good graphics, can be very persuasive.

Your own sales literature may encompass some or all of these aids or may simply be a summary or a reference document to leave with your client.

Remember not to hand over literature to a client until the stage in the presentation where the objective of the literature is the same as the next objective in the presentation. *If they wish to look at the interest by all means hand it over but stop talking over it because they may not take in your messages.
Similarly when using PowerPoint blank (toggle key B) or white ( toggle key W) the screen until you are describing what's on the screen.




Demonstrations act as an
• explanation of what your product is or does
• proof that it works and is effective and relevant to your client
• motivation of your prospect to want it after seeing it in action or using it
• trial/practice in advance somewhere where mistakes do not matter


Prepare carefully giving yourself time to resolving any problems - for example:-




Ensure you find appropriate location of your demonstration can make all the difference; if possible arrange to demonstrate in a typical “user location”; if not, it is wise check in advance what facilities are available and gear your demonstration accordingly ( or if using web conferencing all the equipment is compatible)



Pace your demonstration so that you explain sufficiently what is happening without being so slow as to sound laboured.



Professionalism means presenting in a way that has impact and is memorable, but ensuring that your “showmanship” is subtle and not glib or “flashy”



Engage your prospect(s) in the demonstration through their active participation . It makes an enormous difference; plan how to achieve involvement without losing control of the demonstration


Some guidelines

Sales aids and samples used in face to face situations need to be kept clean and in good order.


If you are using them regularly you may not notice their deterioration and gradually looking ‘tired’ but your clients will. Dusting your laptop from time to time is worth doing. They do attract a lot of dust through static.

During your presentation you must keep control of all aids or they may become a distraction from you rather than an advantage to you.



e.g., if you are using a brochure make sure that you are turning the pages as and when you want them turned rather than allowing your client to flick over the pages while you are talking about something different. ( but see * above if they are holding the brochure try not to talk over a brochure which is being read/flicked through by a buyer )

Design and use each aid for a specific objective. Once that objective is attained put the aid to one side or away from your client and out of sight.
Click for free executive summary of the Buyers Views of salespeople research study

Why should sales exhibit? Are exhibitions like old horses only good for the knackers yard?

40% of Buyers said they used exhibitions as a location to meet with supplier sales people over the last twelve months. ( Scroll down to end of post for link to free copy of executive summary of Buyers' survey of Salespeople)
Click to register for Modern Selling.com

Adam Ginty Marketing Manager at Lyme Media & Events Ltd set the debate going by questioning the value of face to face at exhibition encounters in the modern selling era.

In a later thread he wrote

“For the vast majority of (field-based) salespeople, attending exhibitions either as an exhibitor or as a punter ( exhibitions) will be a very rare event compared to the frequency with which they could/should be prospects and customers."

Measurement of return of marketing investment (ROMI) was also mooted by many forum contributors.
“We've tried and tested the merits and costs of each tactic and can apply these on a sale by sale basis."
Some forum members employ cost per sale targets, but they have found there is a spread and some sales are more involved at a higher cost compared to some which are way under Cost per Sale targets, - so they also monitor average cost per sale to analyse overall Gross Profit
As sales professionals in the Selling 2.0 era, we have got bag of tools to use as and when the situation dictates a particular tactic.

This has been described as ranging FROM; Tweet, Re-tweet, email, phone call, proposal then close (and an add on Linked In) - TO; Phone call, email, meeting, (a series of) phone calls etc. etc. to close.





A number of the discussion forum members raised additional “horses for courses” type arguments. But maybe to continue the equine metaphor we in sales need to “avoid putting the cart before the horse” before we even enter and run the race!

So here are some fundamental questions to help clarify our thinking:

1. How important is it for you to meet people with the power to make decisions?


2. How well attended-is the show for your industry?


3. Will it give you the opportunity to meet more key buyers?
   
   Past attendance visitor attendance data are worth considering but how were they audited? ( ABC measured?).
   
   
   
   If you are investing in the exhibition to generate new business leads

What does the show’s marketing campaign consist of? (before, during and after the event)
e.g. advertising, ticket inserts, direct mail and electronic marketing, how does it target its audience

As an exhibitor you will be exposed to actively interested buyers, before, during and after the show.

Exhibiting at an exhibition enables you to meet more professionals at one time and gives you access to new prospects.

Buyers come to you
Well of course your stand presence needs to be attractive

An exhibition is the place buyers come to compare, contrast, source and select new venues and services

. The decision-makers and influencers who are your customers take time out of their busy schedules to come to see you.

Face-to-face contact is one of the most effective sales channels and at an exhibition you can meet more customers than at any other event. This makes an exhibition both cost effective and time efficient, resulting in one of the highest returns on marketing investment.

Customer retention
With the number of conventional face to face one on one meetings reducing in B2B sales exhibitions are a way to meet and nurture clients.

Meeting your existing customers can be part of retaining and developing business. At an exhibition you can benefit from a networking environment in which you can consolidate and develop existing business relationships, as well as gain new business leads and build your brand.

If your competitors are at the show do you need to be too? Your presence can remind your existing customers why they buy from you.

So there is life in the 'old horse' of exhibitions yet. Exhibitions will have to fight for their place in the ever widening array of marketing communications channels available in the selling 2.0 era - whether selling competes 'on the flat or 'over the fences'.

Click for free executive summary of the Buyers Views of salespeople research study