Thursday, July 31, 2008

In a Sales Interview: Why You Should be Careful Asking, “Why?”

When my oldest son was a teenager, he had a hard time meeting his Saturday night curfew time. Whenever I asked, “Why can’t you get home on time?” he was put on the defensive. An argument usually resulted. Fortunately he turned out great anyway!

When interviewing a customer or a prospect to find out what they want or need, a “why” question is used to get more information—to delve more deeply so you can learn all you can. But in a similar way to my teenager, it can also put another person unnecessarily on the defensive. This is especially true if the question is perceived as manipulative by the other person. “Why are you buying from them?” or “Why do you set the spec up this way?” or “Why didn’t you call me for a quote?” are questions that might be perceived as trying to get the other person to “admit to something.”

Why questions are better for getting opinions or information about a third party or a situation. “Why do you think that is seen as a problem?” asked after your prospect has told you about a problem, can help you get information about the root cause. “Why is xyz material specified rather than the more common abc material?” is asking for clarification. “Why do you think that happens?” is asking for an opinion.

When “peeling back the onion” with a prospect try substituting one of these phrases, “Tell me…” or "Help me understand..." for the word, “why.” If the prospect says, “The engineering department thinks that material will be a problem,” you can say, “Tell me more about that,” instead of “Why do they think that?” Rather than asking, “Why didn’t you call me for a quote?” you could say, “Please help me understand how to insure that my company is always asked to submit a bid when you make a purchase.”

It is important to find out why, and to keep asking “why-type” questions until you are satisfied that the real answer is on the table. Before you conclude your interview, try this: "In addition to that, what else...?" Remember, you can get the same results or better without using the word “why” to draw out that information.

Wednesday, July 30, 2008

Selling Technical Products to non-Technical Customers

You may have heard the joke about the conscientious father whose six year-old son abruptly asked one day, “Dad, where did I come from?” Taken aback, Dad spent about 10 minutes giving his best six year old version of the “birds and the bees.” His little boy replied, “Thanks, Dad. Justin said he came from Charlotte, and I just wanted to know where I came from.”

Sometimes technical sales people are in a position like our hapless dad in this story. They often have to present their sophisticated products to customers or prospects who do not really understand the technical significance of the product features. So the sales person rattles off the “gee whiz” virtues of the product, assuming that the prospect understands the information and how to relate it to their application. Unfortunately, unless a clear need for the product has been established, little or no value is associated with these great features. This can lead to a lack of appreciation for the product and questions about price that are premature.

Recently I went into a computer store to look at notebook computers. (Compared to some of your products, this is “low tech.”) I started the conversation with, “I want a notebook computer that weighs four pounds or less and has the Windows XP operating system.” The sales person began showing me computers. He never asked how I planned to use the computer, how much I would use it at my desk versus on the road, how I would use a touch screen, what I liked about my present notebook and what I wish it would do better. He focused on two computers in stock, based on my two criteria. One was a display model. As he explained the features of each, I got bogged down in technical details, which I didn’t fully understand. So I started focusing on the price. I thought the discount should have been higher, so I postponed the decision.

You are probably thinking, “Why didn’t you know more about what you wanted?” Simple: I don’t know enough to ask the right questions. I need help. So do some technology customers.

What if the conversation had gone something like this?
Me: “I want a notebook computer that weighs no more than four pounds and uses Windows XP.”
Him: “Okay, let’s see if I can help you find what you want. Please tell me how you are going to use this computer. How much are you on the road?”
Me: “Not a lot, but when I am, I frequently don’t take my computer. It’s too heavy, and very inconvenient to take through airport security. I am out of my office a lot locally, and would like to use my computer more around the metro area. I do a lot of PowerPoint and video presentation on my computer.”
Him: “So a lighter computer would help you both when you travel and locally when you’re out of the office?”Me: “Yes. Plus I need more RAM. My present notebook gets bogged down too often.
Him: “Probably from the video in your presentations. How much RAM?”
Me: “At least a gig.” (My son told me this. I don’t know what a gig is.)
Him: “Okay. What makes you want XP instead of the new Vista?”

See how this is going? This imaginary sales person is asking me open-ended questions: “How are you going to use…, How much RAM…, What makes you want XP…?” He paraphrases back to me what he heard to show he is getting it. My answers also tell him that I’m not a techie, in spite of throwing in that I need “a gig of RAM.” As he collects information about what I need and want, he can be mentally matching it up to the notebook computers in his inventory. After collecting the information he needs, he might have two options:
a. I am a prospect: “I have two computers which meet your needs.” Then he could explain the features in terms of what I need, not because they are wonderful and he likes them. He’s giving me the choice of two “yes” options, and he can even make a recommendation.
b. I’m not a prospect: “I don’t have anything that does what you want with the XP operating system. How would you feel about considering Vista?” If “not willing,” then he has no prospect.

But if he has done a good job of showing interest in what I want, and that he understands my needs, I just might be open to Windows Vista because I am beginning to trust him.

All of his conversation is about what I want and need and the features of the new computer are explained in terms of how they benefit me, meeting the needs I outlined for him. In the end if I feel I am going to get my ideal computer, which will do just what I want, price is no longer the issue.

Here are some clues you are spending too much time on features and not enough time explaining how the benefits of the product features meet the prospect or customer’s needs:
1. Silence after you explain some technical issue.
2. Looking at the clock, or around the room, or at something on the desk.
3. Questions like, “What does that mean?”
4. Asking “How much” before agreement has been reached that this is what s/he needs.
5. Statements like, “I need to talk this over with (fill in the blank).” Or “I think I need to do a little more research on this before making a decision.”

One more thought: pretend the person you are talking with has hired you to be their technology consultant in your area of specialization. Your job is to identify exactly what s/he needs by asking appropriate questions, and then tell briefly how the product will do what s/he wants. In summary the old adage still prevails: “Features tell; benefits sell.”

Sunday, July 27, 2008

The Myth of “Multi Tasking”

When you are giving a presentation to your team, or to a client, how do you feel when you notice one or more participants looking down at an I-Phone or Blackberry device? How valued do you feel when you are speaking with someone on the phone, and you hear them talking “off line” to someone else? Or you hear the clickety clack of their computer keyboard in the background, when you know they have no reason to be typing related to your conversation? What goes through your mind when you are having a face to face conversation with a friend and he reaches to his belt and pulls up his cell phone to check the source of the call causing the phone to vibrate? (or ring?)

In each of these cases the other person may be thinking she/he is multi tasking. In reality they are focusing their attention on something besides you and your needs or your information.

The proliferation of cell phones with e-mail, and video has led to the idea that people can do two or more things simultaneously. I think this is a myth!

To illustrate: close your eyes (after you read this) and imagine a big, gray elephant, then open your eyes. Now close your eyes and imagine a fuzzy little brown lion cub. What happened to the elephant? It disappeared while you were thinking of the cute little lion cub. Your mind can only hold one thought at a time. So when you think you are “multi tasking,” you are just shifting your attention from one task or issue to another, then back, which is not only inefficient – it is unproductive.

There is something I call “multi processing.” That is, you can have many projects and tasks in stages of progress at one time. To be effective at multi processing, you need to do a little planning, and you need to have a system for projects or tasks in progress, so you can trust that the next step will come up for your attention at the right time. Using such a “system,” that your mind trusts, will enable you to temporarily forget the details, with confidence that they will come back for your attention at the appropriate time.

We call this process, “Time Activate.” Whether your system uses Outlook, ACT!, GoalMind, a Google or Yahoo calendar, CalendarStar®, or a paper planner, the principles are the same. When something needs your attention in the future, Time Activate it. Use your system to tell you three “W’s” or three pieces of information:
* What to do
* When to do it
* Where the information is to get it done.

The last “W” enables you to take the paper off your desk and put it away, or the e-mail from your inbox and put it in a specific e-mail folder. Time Activating makes you an effective “Multi-Processor.” Now you can focus on the people or tasks at hand with confidence that other issues will come back to you in your system at the right time.

Friday, July 25, 2008

"Listening" with your Body Language

In an earlier blog post we talked about active listening techniques, one of which was “conversational listening.” Using body language is a form of conversational listening. Some of the ways to use your body language to encourage people to talk are:

Look them in the eye. Literally in one eye, because you cannot looking into both of their eyes at the same time. Caution: Some cultures view such directness as an insult, so this is usually reserved for Western cultures.

Avoid looking around as they talk. Keep focused on them when you talk.

Sit up straight. (Do not slouch)

Take notes, when appropriate. (Remember, you are not taking dictation, so every word is not important.)

Lean forward slightly, indicating interest.

Cock your head slightly as they talk.

Smile, when and if appropriate.

Nod your head, without speaking, as a way of saying, “I understand, please continue.”

One of my first sales managers, Russ, told me a way he used to draw more information out of a prospect without saying a word. When the prospect would tell him something and he wanted a further explanation, Russ would look directly at the person with an expectant look on his face and think to himself, “Go on…” When he did that, his head moved in an almost imperceptible, positive nod, and the prospect would invariably continue talking, helping to clarify the situation.

Keep in mind that you are using body language all the time, whether you think about it or not. Develop the habit of using it to the benefit of your client, and therefore to your own benefit, by drawing out the wants and needs you can meet.

Thursday, July 24, 2008

How to Save Money on a New Car (Or Listening Your Way into the Sale)

This is really not about cars. It is about listening. Let me tell you about the time my friend, Dave, saved almost 30% on a new car. This happened in the early 1970’s, when you could buy a new full sized car for about $5,000. Dave was the kind of guy who bought a new car and drove it until it died 10 or 15 years later. His wife needed a big, safe car to haul around their two small sons, so at the end of the model year, Dave made the rounds of the dealers to find a “deal” on last year’s model.

He was disappointed at the small discounts. The best deal he could find was about $4,300 dollars. Finally he stopped at a dealer whose salesperson said, “You're in luck. There was a new full-sized sedan on the truck that came in today, and it is last year’s model. We don’t know how it got there. The price is $3,500.”

Dave exclaimed incredulously, “$3,500?” He was surprised that the price was so much lower than other quotes he’d received. The sales person, however, took his exclamation as a sign of displeasure with a price that was too high. So the sales person said, “Okay, okay. I’ll throw in the undercoating for free.” That was worth another $350! So good ole’ Dave got a great deal on a brand new car.

Instead of commenting on what the sales person said, he simply repeated part of the price quote as a question. In Dave’s case this was an involuntary exclamation of surprise, but it was interpreted as an objection, or at least a request for clarification. Unconsciously, Dave used a form of “active listening” called “content.” We explain more about this on our blog posting “Selling & Serving by Listening.”

When you use active listening in your selling interviews, you give customers a chance to further explain what they mean, reveal additional information, and help you understand whether you have a solution for them.

Wednesday, July 23, 2008

Selling and Serving by Listening

We teach four basic active listening skills in our programs. Here’s a quick summary:

Conversational. You probably do this all the time. Use a word or gesture that indicates that you are listening. Phrases like, “I see,” “My goodness,” “Wow,” “Uh huh,” and “Really?” are conversational. Example: “Then, he got up and left the room!” Conversation response: “Oh, no!” Nodding your head as the speaker talks is also a form of conversational listening.
Content. Choose a word or phrase from what the speaker said and repeat it in the form of a question, which encourages the speaker to continue. Example: “Then, he got up and left the room!” Content response: “He left?” or “He left the room?” (In another blog I tell about how my friend, Dave, inadvertently used the “content response” to save money on a new car.)
Feeling. Tell the person what you think they are feeling based on the emotion you hear in their voice. Example: “Then, he got up and left the room!” Feeling response: “You must have really been frustrated!”
Mirror. Just repeat exactly what the speaker said, word for word, as a question.
Example: “Then, he got up and left the room!” Mirror response: “He got up and left the room?” Of course, use this response infrequently and with care, or the speaker will get the feeling you’re mocking him or her.

Having an effective conversation is often about listening, not offering advice. In selling this means we can do a better job by using active listening to help people clarify their thinking. Then we will know if we have a solution that will meet their need, and customers will often sell themselves as they "think out loud" with you.

One important point: These techniques must be used sincerely, with a genuine interest in helping people clarify their thinking, or give you needed information. If any of them are used in an attempt to manipulate people, they will see through you, and you will lose credibility.

Tuesday, July 22, 2008

Building Relationships as You Are Selling

I have a favorite question that I build into most of my initial sakes interviews with prospective clients. “What do your best people do that you wish everyone would do?” In one two week period, two sales executives answered, “Build relationships.”

What are some of the ways that I and others use to build relationships?

§ Develop trust with people by showing genuine interest in them.
§ Responding to prospect or customer requests promptly is a relationship builder.
§ Look for ways to let customers know you are thinking about the needs they revealed to you.
§ Follow up promptly with commitments you have made or problems a customer has told you about.
§ Avoid obviously self-serving contacts. Make contacts about them and their business.
§ Be interested in their needs. Ask lots of “how, who, what, when and where” questions that can’t be answered with a word, but with information.
§ Talk about your products or services only as solutions to needs they have agreed they are looking to resolve.

Effective use of communication tools. A colleague in Nashville, TN, Harriet Butler, is a master at relationship building. She is uses voice mail after hours to leave short messages letting a client know she is working on something for them. These little messages often take less than a minute, and they help build trust because she is thinking about them and their business needs.

Look for ways that you can save clients money when they make commitments to you. I sell sales and customer service training programs. A few years ago I saved client thousands of dollars over a three year period by asking, “How many people do you think will be going through this program in the next 12 months?” When they told me, the number was significantly more than needed to get them into our highest discount bracket. I simply asked for a letter of commitment stating their expectations, and my boss extended the highest discount immediately to this valued client.

You can also offer to do “leg work” for a client. I used my schedule flexibility when working with a large client to travel all around the state giving executive and supervisory overviews. These helped the client achieve their training goals at virtually no additional cost to them, and I got to know their people all over the state.

Perhaps the best question you can ask yourself to develop trust relationships is, “What would I want me to do if I was this customer?” Then figure out a way to do it. Whether you are selling, or serving after the sale, these ideas can be relationship builders for you!