5 Steps to Selling Services Success—Step One

If you want to change selling behavior--in this case, selling services and not giving them away--you must address all the factors that impact seller motivation.



Step One: Remove Excuses

Most salespeople weaned on selling products say that selling services:

• Lengthens the sales cycle, thus jeopardizing their 30- and 90-day numbers.

• Raises the overall price, thus making the deal more susceptible to competitors.

• Lowers their income potential because, compared to the price of products, services are small change, and time spent on services takes away more valuable time spent on products.

• In addition, most product salespeople will not say it, but they feel that selling services challenges their abilities, as it is much different than selling products and, actually, a little scary.

Since none of these stated reasons are not correct, is it any wonder why services and solutions sales performance is so poor? Let’s review each of these assumptions from the viewpoint of serious services sellers—those who truly understand it:

• Lengthens the selling cycle, thus jeopardizing their 30- and 90-day numbers. False. Top sellers understand that services are a vital part of the customer’s value proposition and need to be sold with the product at the time of the product sale. Furthermore, when selling complex solutions, selling some services up-front (e.g., an assessment or audit) can actually compress the overall solution selling cycle.

• Raises the overall price, thus making the deal more susceptible to competitors.

True and False. Of course the overall dollar amount increases when more offerings are provided. However, properly done, the value potential of a true solution increases dramatically. As your organization performs services, credibility and trust rise, lowering the possibilities of competitive inroads.

• Lowers their income potential because, compared to the price of products, services are small change. Really False. When your selling arsenal only includes products, you are quickly viewed as a commodity seller, where price becomes the customer’s hammer and you become the nail. Your percentage of wins goes down, and you are totally susceptible to competitors who know how to sell services and solutions. When you sell solutions, both your deal size and your win rate increase.

• Challenges their abilities, as it is much different than selling products and, actually, a little scary. True. Selling services and solutions effectively is different, more difficult, and initially frustrating to those used to transaction selling. Top sellers understand this, accept it, and do whatever it takes to improve their capabilities; it is as much an attitude as it is a set of skills.

Whether product sellers actually believe these points or just use them as company-acceptable excuses, they must be addressed head-on. So find the figures that demonstrate that services can be sold. Use respected companies that successfully sell lots of services as proof, compare your results with what your competitors have done, and present research showing that customers value services and want to buy them. This information is readily available, so use it.

Furthermore, several of the remaining steps also address these excuses and reinforce the message that, when properly done, selling services is good for everyone. In the next blog entry we’ll delve into Step Two. In the meantime if you want all the details on services selling success, please feel free to buy a copy of Seriously Selling Services from this site, or from Amazon.com

Tags: selling services