By John Hertel
November 19, 2007

In our last issue, we discussed the importance of a sales process and I introduced you to DECOSTA’s approach to sales, The 6 Step Selling Process.

Last month, we covered the first two steps, also known as the foundation steps, Preparation and Approach (click here to review the previous article).  In this issue I will walk you through Steps 3 and 4, Discovery and Solution Design.

Very often we see clients spending an inordinate amount of money, energy, and time training their teams on Presentation and Closing skills.  The reality is that a healthy investment in time and energy to understand your customers business, their challenges, and priorities will lead to the presentation and close as being logical next steps from the customer’s point of view.

The better the Discovery, the better your solution will be and the easier it will be for your customer to say ‘yes.’  In the whole sales process, the close can often be the easiest part.

I’ll use primarily point form again to highlight the key points.

Step 3 - Discovery

During the Discovery phase, the goals are to: a) understand your customers’ priorities and challenges; b) establish a buying motive, c) create interest and d) secure an agreement to present a proposal if this is a qualified opportunity.

Summary Tips Always prepare and propose an agenda Use open questions e.g. begin with “what…?, “how…?” or request information Probe to understand the: Business needs and potential links to your offerings/solutions (understand the business needs and potential links to your offerings/solutions) Decision maker and buying process Budget availability, financing requirements Timing Competition Use “active” listening techniques 80:20 for customer:you

A Sample Agenda:

• Introductions & Agenda Review
• Brief Credentials Overview or Update
• Understanding Your Current Situation
• Discussion of Potential Synergies
• Next Steps

Sample Discovery Questions

• What are the top 3 challenges that you and your team face over the next 6-12 months?
• What differentiates you in the market place?
• What business problem are you trying to solve?
• What impact have you felt with the shortcomings of your current solution?
• Why are you currently considering this change?

Demonstrate Active listening skills Send clear signals to the customer that you are listening intently Feedback what you believe the customer meant Give verbal signals Restating what you heard Ask related follow up questions Use a strong and engaging tone Give non verbal signals Take notes Lean into the conversation Look the customer in the eye

Step 4 - Solution Design

The goal is to translate the Discovery findings into a solution; there are 3 key elements that make up a solution:

Element 1 - Translating Customer Needs Into a Solution
Element 2 - Your Value Proposition – Customer Expectations
Element 3 - The Competition

Summary Tips

1. Be able to clearly articulate and translate your customer’s objectives, challenges, and opportunities gained in the Discovery phase
2. Remember that customers look at a cluster of values when assessing a prospective supplier partner:
   • The sales professionals
   • The recommended solution
   • Your company
3. Customers look at the relative cost of your Value Proposition as compared to your competitors

Element 1 - Translating Customer Needs Into a Solution a) A specific project What is the project scope? Timing Competitive position Customer’s and your objectives b) Business Relationship What are their top priorities and challenges? What are their key performance indicators? Assess their resources and capabilities Where does your Value Proposition align with theirs? What is your current and potential share of wallet?

Element 2 - Your Value Proposition – Customer Expectations

a) Sales Professionals

• Business acumen - Act as a Partner - sell me what is right for my success
• Be knowledgeable with expertise behind you
• Understand my industry and my business
• Provide service after the sale

b) The recommended solution Exceeds my expectations High quality, breadth of selection New products Applications centric Include support bundles c) Your Company Act as a team Financially stable Flexible and responsive Strong delivery and installation capabilities Training capabilities Financing options Strong post sales service capability

Element 3 - The Competition

• Be an industry expert
• Know your own company capabilities intimately
• Understand your key competitive differences
• Avoid criticizing the competition – lay traps
• Say informed of technology trends and futures

To recap, a great Discovery is most likely to occur when the customer does 80 per cent of the talking, based on relevant, open questions and active listening on your part.  The Solution Design phase might take place in real time because you are on a call with a customer and trying to complete the entire process through to the close, or it might take place back in the office with your colleagues as you sort through various options that will meet the customer’s needs and budget.

In the next issue, we will explore the Presentation and Implementation steps, where we will discuss the weight of a good presentation in closing a sale, recognizing buying signals, handling objections, and the importance of following through on promises to ensure satisfaction.

As a final note, remember that a sales process will be successful in driving results when it is integrated across your organization and embedded into your culture.

For more information about this article, please contact John Hertel.