Retail Doctor Effective Sales
02/03/09
In the third of our 12 part guide to getting the most out of your retail business, Gareth Parton, head of sales at Swish Window and Door Systems, explores the dying [?] art of an effective sales pitch.
A couple of friends of mine recently requested a quote from a national installation company. They had just bought a small B&B and as part of their refurbishment plans had decided to replace the windows.
The experience wasn’t a happy one. Booking their visit they dealt with an unhelpful, bordering on rude administrator. But putting her attitude down to a ‘bad day at the office’, they continued with their booking and were duly visited in a few days by a smartly dressed sales rep.
He measured-up the six window annexe and having spent a little time looking down list prices came back with (and I would suggest that everyone takes a deep breath now) a staggering £22,000 quote.
Naturally, my friends were a little aghast, “that seems a little high” they politely said, “is there anything you can do?” “I’ll tell you what”, the salesman replied, “because you were treated so badly when you called us, I’ll do it for £11,000.” “That’s still a little higher than we had hoped” my friends said.
So the salesman went to his car ‘to speak to his manager’. On his return he said “£6,000 - my manager will do you a special deal at £6,000”. But the sale was lost, having seen £16,000 tumble off the asking price in the space of 20 minutes they didn’t believe a word he said.
There are two things to note here: a sale starts from the minute you get the enquiry, from the minute the receptionist takes the call, through to the booking, the visit and the follow up. Second, ridiculous pitches founded on over-inflated prices don’t work, consumers today are far too switched on.
So am I about to argue that price isn’t important? No I’m not, but it can’t be your sales team’s only tool.
There are opportunities, Window Energy Ratings and energy efficiency, for example, that do offer good sales people an opportunity to up-sell. ‘A’ rated windows can cut heat loss compared to a non-energy efficient window by up to £254 per year in an average three bedroom home, that’s a powerful sales message - but you have to tell it.
The industry has gone to great lengths to reassure prospective customers that we don’t employ pushy salespeople. But that shouldn’t mean that we stop informing homeowners about the benefits of our products and services. The reality is that if you don’t differentiate yourself from the competition it will come down to one thing only - price.
Too many installation companies are still failing to get the basics right, salespeople who don’t take a window sample to a customer visit (or who don’t bother to get it out of the boot).
A product demonstration is probably the most important part of any sales negotiation. If you’re selling a quality product, point out the differences between it and a cheaper one. You need to make the customer understand and want the features and benefits you’re selling.
You also need to dress professionally, if you’re uncomfortable going in suited and booted, keep a clean company branded polo shirt, trousers and shoes in the back of the van.
Whether you’ve closed a sale or not, talking a prospect through a likely scheme of work pre-answers a lot of questions and helps put them at ease about your credibility and professionalism. Describe each stage of the process, what would happen and when?
And don’t put on too much pressure - customers resent it. If your prospect is feeling the heat they won’t be thinking about your product. Leave them client testimonials, the retail literature they need to make an informed choice and then ‘ease back tiger’.
But do follow-up every single sales opportunity - even if it’s just to find out why they have selected a competitor. As we have already discussed, while it may not result in a sale, its information that’s worth its weight in gold as it can help dictate future sales strategy.
Alternatively if the prospect is putting the job off for the time being, ask them when they might consider rescheduling and ask for the opportunity to provide them with a new quote.
Those companies that are doing effective business are those that price sensibly but who are also selling effectively. That means understanding what the consumer wants, how your product fits that need and selling how good you are at delivering it.
Retail Doctor is written by Gareth Parton, head of sales, Swish Window and Door Systems.
Top tips:
- Brands carry confidence and support sales, do you have brand strength on your side?
- Do you have effective sales tool kits in place, retail literature, product samples?
- Are you offering the right product range?
- Is your sales team up to speed product performance, on market opportunities e.g. WERs
- Are your people properly geared to manage enquiries from initial call to project completion?
- Your installations and installation teams are ambassadors for your business. Make sure they’re briefed to handle a lead and make a professional impression.
