Salespeople often spend too much time trying to persuade and negotiate with happy prospects.
If a prospect is truly happy with their present supplier, you need to get cheaper for them to buy from you. The question then becomes, how much cheaper?
I’ve yet to discover a price low enough. I’m sure it’s happened to you–time and effort is spent working on a the happy prospect, you provide a price that is really close to what they are presently paying for a similar product and they say ‘I’m not going to switch my business to buy a similar product from you for the same price.’
I’ve even heard happy prospects explain that if they can get to a specific price, they will buy. After working with the manager, the requested price is presented, and guess what? Still no sales.
Instead of this approach, I recommend negotiation strategies focused on helping the prospect rather than chasing business. The next time a prospect says they’re happy where they’re buying presently, try some variance of the following:
‘I understand you’re happy, and I believe that a loyal, satisfactory business relationship is good for both you and the companies you buy from. I also know that things change from time to time, and in those situations, it’s better to have alternative suppliers ready before you actually need them. If you don’t mind, what I’d like to do from time to time is visit with you (without pressing for business) and share some reasons why our customers choose to buy from us. Does that sound okay to you?”’
If they accept, keep your promise during subsequent visits and don’t ask for jobs to quote, only talk about price unless the prospect brings it up. Use this time to explain how you, your company, and your products benefit your customers and would benefit their business.
Happy and unhappy is not often so cut and dry. In reality, there are often layers of content, or discontent between contractors and their distribution vendors. Prospects may also think they are happy, but don’t know other companies may have more to offer. In general, you will be better off not chasing happy prospects—work instead to make them chase you.
