Permission
to Sell
C-Level Support for High Value Sales
by Tim Smith, PhD, 26 November 2003
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In high value sales, prospects need to provide permission
to sell before salespeople can fully engage. Why? Getting permission
to sell transforms the selling process from a constant act of pressuring
and psychologically tricking prospects into a value added sales
process. In a value added sales process, customer challenges are
discussed openly, potential solutions are explored fully, and the
best solution is determined with mutual best interest. When mutual
best interest is created, not only is a sale made but, importantly,
a customer evangelist is created.
The granting of permission to sell moves to higher
levels in the decision making ladder as the value of the decision
to purchase increases. For low value products and services, such
as office supplies ordered by office managers, C-Level agreement
with respect to the vendor is rarely required. However, products
or services valued over $100,000 and sold to companies with a few
million dollars in revenue requires CEOs and owners to agree to
the purchase. And, as the revenue of the prospect company increases,
C-Level attention requires even higher valued transactions while
$100,000 decisions are pushed down to other business decision makers.
A business decision maker’s permission to sell
indicates to both the salesperson and the executive’s company
that a business decision will be made. It enables the salesperson
to execute a consultative sales strategy. In consultative sales
strategy, the salesperson investigates the requirements, assesses
the potential to create customer value, and develops the business
case for purchase. Consultative sales strategy also enables the
salesperson to meet the buying influencers and buying committee.
Meeting these members of the customer’s team enables the salesperson
to craft a selling message to which all parties can say “Yes”
and none will say “No”.
Getting permission to sell is not a game of asking
“Mother May I”, but a dead serious sales tactic of a
thorough sales strategy. This sales tactic uses a three step process:
(1) the value offering is presented; (2) the potential exploitation
of the value by the executive and his/her company is discussed;
(3) the executive and salesperson agree that further exploration
is required to demonstrate that the value offered can truly be captured
by that company and that a sale is possible.
1. Presenting the Value Offering
In getting permission to sell, the first step is to present the
value offering. This is an executive level presentation of the key
problems solved and of the value provided through the service or
product.
As an introduction, the elevator pitch or standard
marketing message is appropriate. An excellent formula for this
message is “Our company is the best at solving these types
of problems for companies in this industry as demonstrated through
these supporting factors and differentiators.”
Need a specific example, try these:
- SpeedRead provides the best solution for reducing
the total cost of utilities for tenants and enhancing overall
property value for apartment owners. Our customers typically achieve
10 times their return on investment with highly reliable technology.
- GSQA is the best solution for managing the blending
ingredient supply chain for quality conscious manufacturers as
demonstrated by our successes with Goodyear and Sargento.
- Adica Consulting provides robust, accurate and
relevant insights for Policy Makers and Market Participants needing
to understand untested electricity market structures with advanced
analytics created by Argonne National Laboratory.
- Blue Heron Consulting provides utilities the greatest
value in implementing and maintaining their CIS systems with highly
trained experts at competitive prices.
As can be seen from the aforementioned examples, creating
an elevator pitch is easy. Key requirements of the elevator speech
is that it keeps the value proposition simple, it communicates the
value in words understandable by any executive in the target market,
and it creates an opening for further clarification and exploration
of the value offering.
2. Customer Exploitation of the
Value
Once the introduction of the value on offer has been made, the salesperson
needs to shift gears from claiming mountaintops towards questions
and listening. While elevator pitches are designed to quickly grab
an executive’s attention and create immediate awareness that
relevant value is being offered, salespeople must help this elevator
pitch achieve this result through body language, tone of voice,
and clarifying statements.
Executives need to know that the value being offered
is relevant to their company. While the value being offered may
be significant, the executive will rightfully question the ability
of his/her company to exploit the offer and capture the value. In
this step, salespeople must create and develop an executive dialogue
that explores the full value offering, supports the claim to create
that customer value, and clarifies the potential for that customer
to exploit value on offer.
3. Agreement that an Investigation
is in Mutual Interest
Permission based selling only comes after gaining agreement to move
forward. This agreement must be mutual to be of any value. The executive
prospect must agree that due diligence is in order and that the
salesperson can provide support for this process. And, the salesperson
must agree that the executive prospect is a qualified prospect.
Qualifying a prospect in permission based selling
means that the salesperson has uncovered three key facts that indicate
a future purchase. These are: (1) the prospect has a challenge that
the salesperson’s company can solve; (2) the prospect is interested
in means to overcome this challenge; (3) the prospect is able to
pay. If the prospect does not meet all three qualities, then the
prospect is not qualified to enter into a consultative selling process.
Further consultative selling efforts to unqualified prospects are
unlikely to yield a sale. In these cases, the selling process may
be continued for training purposes but revenue is unlikely to occur
until the prospect is qualified. Qualified prospects however are
highly likely to close.
If the prospect fails to grant permission for beginning
the sales process, the salesperson should move on to the next contact.
Permission based selling is based on providing value to the prospect,
not in forcing a prospect into a purchase or finding a skunk in
the woods. Salespeople can always call again next quarter when chance
may make the value offering more relevant to the prospect.
Executive agreement for due diligence by the salesperson
opens the door for value added and consultative selling. In this
process, the salesperson executes a selling strategy focused on
uncovering facts that support a business case for purchase. Key
questions in a consultative selling strategy include: How is the
challenge managed currently? What if the challenge was overcome
with the value offering? What other challenges would be overcome?
What is the value in overcoming these challenges? And, most importantly,
if the salesperson can demonstrate that these challenges would be
solved with the offer, will the buying committee and business executives
agree to the purchase?
Customers like to say “Yes” when the value
is spelled out in relevant and believable terms. At the end of this
process, not only has the salesperson gained permission to sell,
but he/she has also earned the right to close.
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Author
Tim Smith, PhD is Editor of the Wiglaf Journal and Adjunct Professor
at DePaul's Kellstadt Graduate School of Business.
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