Tip of the Week #136 – Walk Away from a Bad Sale
This week, Sales Manager John Mullins offers up a savvy sales suggestion.
Salespeople are often afraid to walk away from any deal no matter how small or how little profit there might be in the deal. This is something I think I am guilty of.
On the one hand that’s good – because in sales we’re taught to stay in the game. But on the other hand, it doesn’t make any sense to win clients if you’re going to lose time, money and resources—just to feed the urge of closing a sale.
As we look at smaller deals and cloud solutions in the world of print MIS and ERP implementations, companies need to know what the minimum expectations are before you start any sales negotiation. If you don’t, you’ll get hammered, because you’ll wind up giving and giving, all the while thinking that just giving one more item won’t make that much of a negative impact.
Walking away from a sale is not something a salesperson wants to do, but he or she needs to be prepared to do it.
When they do, it’s amazing how liberating it can be. And they actually become better salespeople.
All it takes is for a salesperson to do it once. From that point on, they can find they are approaching each sales negotiation with a much different attitude.
With one successful rejection of a customer under a salesperson’s belt, they will have far more confidence going into every sales negotiation from that point on, with the long-term result of having negotiations that are far more profitable for them and their company.
They will also have gained the confidence of their company peers – when they realize that the sales team isn’t willing to roll over and take a deal at any cost.
Now for the outcome you didn’t expect to hear: The customer you walked out on – over price – will many times come back to you and agree to buy from you on your terms.
Does it happen every time? No, of course not – but it will happen. And when it does you’ll find you’ve gained a profitable customer who respects you during the implementation, and listens to you more as an expert – and not “just a sales person.”