Definition: The term 'consultative selling' first appeared in the 1970’s book Consultative Selling by Mack Hanan. It describes a selling technique in which the salesperson acts as an expert consultant for his prospect, asking questions to determine the prospect's needs and then using that information to select the best product or service for those needs... ideally, the salesperson's own.
Selling Smarter, Not Harder
Taking the consultative selling approach, you must first examine your sales territory by reviewing customers, analysing target accounts, determining how much an account is worth and learning how to prepare sales objectives.
The sales objective method is based upon strategic sales planning and professional selling tactics. This includes:
· territorial examinations,
· customer reviews,
· account analysis,
· worth/value of time,
· writing sales objectives,
· translating account needs and objectives into a plan of action.
A Major Account Plan would include;
· data on the target company along with specific major sales objectives,
· the date to accomplish the objective,
· the person affecting the buying decision,
· the anticipated obstacles, and
· the plan sub-objective steps with dates that are necessary to achieve the major objective.
Why Objectives?
· To know where you're headed...
· For self-evaluation...
· To strengthen salesperson-manager communication…
· For allocating rewards based on performance...
· To make the most of available time...
Planning the Sales Call Methodology
For implementing the strategy it makes sense to understand the personality and objectives of the person affecting the buying decision before beginning the sales process.
When you hope to gain the favourable attention of another person, consider stating your intention upfront. The more direct you are in stating your intention, the more likely you will be able to experience an authentic conversation where each party shares what's important to them.
To ‘sell’ your idea, product or service, you must pass the ACID test:
A. Gain favourable Attention,
C. Inspire Confidence,
I. Build Interest to where,
D. Desire surfaces.
When 'desire' surfaces, the prospective buyer takes the lead in the conversation, while you provide the evidence necessary to justify the transaction.
Prior to the Sales Call
The salesperson needs to plan for the sales interaction.
She or he must write down the "sales call objective" and their conversational strategy (what they plan to ask, show and tell the prospect). Also, it is important to list the anticipated obstacles that might come up and what the salesperson's response will be to each obstacle.
Writing these preparations down on a 3 x 5 or, 4 x 6 card will help the sales person remember to review the plan prior to the start of the sales conversation.
As stated previously, understand your own personality and that of the prospective buyer; as well as the personalities of others who may be influential in the decision-making process. Learn how to adapt to different buying styles and secure a commitment.
Reference: Mack Hanan: Consultative Selling: ‘The Hanan Formula for High-Margin Sales at High Levels’
Business Tips
Selling Smarter NOT Harder. What is Consultative Selling?
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