Basic Sales Principles for Entrepreneurs / Business Owners




Garry Duncan, in an article that appeared at Businessjournals.com, enumerated a few key principles for sales people.  Among the roles of a business owner is being the company’s top sales person – the rainmaker.  It is not enough that you, as an entrepreneur, know everything about your products or services.  You should be able to sell them to your customers.  Duncan suggests that you should know about the concerns of your customers.  Listen to their problem, and find out how your product or service can address this or be the solution to it.  Do not talk too much.  This turns off most customers.  Explain to them in plain simple language how your product or service will benefit them.  Do not use technical jargon. 

For many nonselling professionals, the role of salesperson also carries a stigma and mark of disgrace. Whether you like it or not, you’re the company’s sales force or sales team leader. Understanding some basic sales principles will help grow your revenue. Here’s a short list of what every business owner should know about selling.

• First, avoid believing that educating the buyer completely about your offerings will motivate them to buy.

That leads to the No. 1 problem in selling — talking too much. Listening conveys empathy and empathy builds trust.

• Understand value from the buyer’s perspective.

Turn a feature into a benefit by tying it to a problem. Prospects will buy more quickly to solve a problem or perceived problem than they will to gain a benefit that will occur later. Studies also suggest buyers will buy to prevent a loss before buying for pleasure.

Prospects who disclose the problems and fears they face are more likely to buy. The ability to uncover and solve customer problems on a continuing basis turns you into a trusted adviser. Once you are in that valued inner circle of trust, the sales process becomes almost automatic.

• Because potential customers often don’t know what they don’t know, they ask for proposals and presentations, or to stall the sales process.

Proposals and presentations should be to prove how your solution is the right one for the buyer, not to create interest.

Save valuable resources by qualifying first. A qualified prospect means you thoroughly understand their need, you know the decision criteria, and you have qualified them for their ability and willingness to make the required investment.

• Avoid using industry and product jargon if possible.

Using clear and simple wording doesn’t hurt you with the knowledgeable buyer, and protects you from creating even more hesitation from prospects that don’t know or understand the technical terms.

• Remember that hearing no is a good thing.

Getting a clear decision is better than hearing a stall or excuse, which only extends the investment of time and resources. …

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