People do business with people they like
Mentor Speak
This series of short write ups provide pearls of wisdom from Global Leaders and Mentors who are associated with us. They bring in a practitioner’s perspective and serves as an effective combination of advice that has authenticity, experience and most importantly – relevance.
It's a belief many of us have embraced for much of our careers…..But is it actually true in practice? The overwhelming and current evidence suggests that it is not only real, but it may still be the most effective approach to effectively selling both products and services across most market verticals. Although internet selling and the rise in peer marketing have indeed introduced new sales channels and somewhat dramatically changed the way we take our product to market, the fundamentals of relationship sales still dominate most successful sales organizations.
Succinctly, Relationship Selling focuses on buyer-seller interactions, rather than on the details of the product or the price. The relationship may be existing or newly developed, but the attributes that create the most favorable climate for success in the relationship sales endeavor include:
The existence, or rapid development of trust
Increased perception of value (especially crucial in the sale of intangible services)
Higher loyalty to the product and process via the relationship value
A sense of cultural affinity
The above list is certainly not exhaustive, and neither does it suggest that all attributes listed are necessary for every successful sales exercise. That said, the higher the number of these positive, engaging connectors, the higher the probability of closing the sale and establishing a lasting client relationship.
Once established, relationships become enduring, assuming no betrayal of trusts such as faulty delivery of product or service, a breach of representations made during the sale process, or any compromise of integrity. As the customer progresses through their personal career, either within the company or moving on to their next challenge, the established relationship will undoubtedly move along with them. Thus, the relationship established during the initial sales period can prove to provide a lifetime value far exceeding the initial sale value. A long-time colleague and a valued friend recently described a fifteen-year-old relationship that began with selling a service campaign valued at approximately $3.5 million. Over the ensuing 15 years, the mutual trust yielded the sales executive over $800 million in top-line sales.
Anecdotes such as this form behavior patterns that contribute to the conclusion that 'Relationship Sales' is compelling. But how do you go about forming these relationships in today's environment when so many alternate communication channels have become methods of choice in vendor selection?
The most successful sales executives apply the principles of "Engage, Expand and Enlarge" as we would develop a traditional professional relationship, adding the benefits that we can realize through employing technology to assist and enhance.
As the need for a prospect becomes known, the ability to research virtually all aspects of the prospect company has never been more effortless. Secondary research via numerous free search engines and fee-based business intelligence services is readily and easily available. Once the data is gathered and the organization and the decision-makers needs are identified, the basics of establishing a relationship remain largely the same as any business/social interaction. The difference is the approach method. Engaging via social media outlets allows for an introduction to the prospect that gives her/him the ability to review your credentials, including your business success, interests, lifestyle, etc. before accepting an invitation. As you would correctly deduce, it is vital to make sure that your social media business profiles describe you in a manner that is acceptable and compelling to the majority of your potential market.
Once the connection is made, it is imperative to make it easy for the prospect to engage. Providing multichannel access, a broad spectrum of availability and an inviting information set will entice your prospects to reach out. From that point on, the basics of quickly establishing rapport, taking the next steps in rapidly deepening the relationship, and, most importantly, building trust, take over as priority. Soon you will find that the transaction will morph into much more of a traditional professional relationship, yielding both the business and personal fulfillment that we all look for.
As we look forward into the future of Relationship selling, we also must consider the ever-evolving relationship between sales and marketing. The traditional relationship between the two disciplines was often one of tolerance rather than acceptance. That attitude is rapidly evolving into a much more collegial relationship as the approach to prospecting becomes ever more dependent on what have been traditional marketing responsibilities. Similarly, marketing departments are fielding many more traditional sales inquiries due to copy written for digital market awareness campaigns. So the question arises…..do we need both? The answer, I believe, is an adamant yes. Marketing is a discipline mostly entrenched in science, and rightfully so. Most often, the analysis of data drives the formation of marketing plans and opines on the execution's effectiveness. Sales marry science with art to deploy the go-to-market strategy and develop the relationships that are so vital to success. In today's world, facing the challenges of impersonal digitized product presentation, the two disciplines must work together to "re-personalize" the sales dialogue. The best and most effective marketing campaigns elicit a call to action from its target audience that compels the personal interaction that is the bedrock of relationship sales. A capable marketing group can also define or redefine a company's image in a market vertical at speed, not imagined just a decade ago. With market conditions changing as rapidly as they have recently, this capability is imperative to remain competitive. The exposure of this ability to quickly maneuver can, however, exact a toll on the existing company relationships making it vital to keep the sales/relationship managers apprised of all such decisions on a real-time basis. In the absence of a tight working relationship between marketing and sales teams, delayed information can undermine the relationship sales effort's foundation. That foundation is trust.
So do people do business with people they like? My sincere hope that the information presented persuades you to embrace the development of relationships and maximize the Relationship Selling approach as the most effective way to expand your business.
