Often Sales heads and Business heads have told me that their
salespeople aren't very good at closing. One thing that crosses my mind
at that moment (which I certainly don't share with them) is that it's
very likely that they aren't very good salespeople in the first place.
One issue that I have understood is that the confusing signals sales
people get from different sales experts; some say ‘ABP’ Always be
prospecting, some say ‘ABC’ Always be closing. This often leads to a
misguided emphasis people place on closing. You would say, if only it
were that easy. Super endings to otherwise mediocre plays aren't going
to result in super salesman awards. In fact, too frequent closes in
direct sales can be offensive to the buyers.
Very often sales people are not aware of, or neglect, several aspects
of closing because they have their own agendas, which they think, will
get them the sale. Well before closing, customers / prospects must
understand their desired outcomes, why they can or can't be achieved,
what capabilities are needed, the potential value and the price. In many
instances they will want to compare other vendors.
Another mistake is that sellers try to close with non-decision
makers. It's embarrassing for them to admit that they can’t take a call
as they aren't authorized to commit. Sales people err by not getting in
front of decision makers to close. Some reply upon proposals they hope
decision makers will not only read but also understand.
Many sales people put pressure on buyers when they try to close
prematurely. Some buyers will be "put off", and may decide not to buy.
Those that are willing to buy will almost certainly expect discounts, or
better terms for buying, sooner than they expected.
If closing is running so much on the mind, most sellers will have a
parallel word running in their heads, discount. There may be instances
in direct sales transactions when closing and discounting may work, if
the sellers aren't the vendor of choice. Some sellers rationalize that
it makes sense to discount even if they can't win, because the winning
vendors will accept lower prices. I believe putting discounted numbers
on the table can come back to haunt sellers.
We could to consider the ABC approach in an entirely different way.
In sales situations involving long buying cycles it is important to gain
commitment along the way. Minor yeses are the key. Rather than closing
for the business earlier in buying cycles, there are other commitments
to ask for: access to key people, agreements on potential value, an
estimated decision date, agreement of buyers to spend resources in
evaluating offerings, having some staff see demos, etc.
Sales professionals in direct selling have to get many yesses with
the ultimate one being an agreement to move forward. My advice to all
sales people is that they must be patient enough to wait until they've
earned the right to ask for the business.