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Don't get caught in the buyer's remorse trap

Thu, Dec 30th 2010 12:00 am
An excited Jerry recently came to me with this story about a large client he'd been working to get for months.

"Greta," he said. "I did it! I got 'em! The big one I was working on!"

After congratulations and backslapping, I asked a few key questions. "Jerry, wasn't that the prospect working with your largest competitor?"

"Yep. They sure were," he replied, "and that's the best part!"

I then asked how they were going to handle the situation when the incumbent (who'd had the account since the first Bush was in office) found out he'd taken it and then counteroffered to keep the account.

"They're so mad at him," Jerry said. "The service has gone down and they told me it was time for a change."

Having received a promise that the initial order would arrive within the week, he left the prospect's office with a handshake and then indulged in a rousing "Yes!" once he got to the parking lot.

Three days later, there was a message on his voicemail.

"Jerry," spoke the voice of his new client. "Call me ASAP. We've got to talk."

From the tone of his voice, Jerry knew there was a problem. He immediately called the client and asked if there was something wrong. The man told Jerry he was sorry, but the incumbent vendor found out about the potential loss of business and came back with a counteroffer. Lots of promises. Better service. And, of course, a significantly lower price.

Predictably, the incumbent kept the business. Jerry tried to call back to see if he could offer any other concessions, but the client was too embarrassed to even return his calls.

So what happened? Typically, salespeople hate bad news. They don't want a potentially unpleasant conversation with a prospect, especially when it feels like things are going well. They often put blinders on when their guts tell them a situation could be on the horizon. And they're rather quietly praying that it won't happen, rather than taking steps to head it off at the pass. Big mistake.

You've got to deal with potential problems when you see them coming. If something can go wrong, or if your gut tells you it might, deal with it right then. In this case, Jerry knew it was a possibility. So what could he have done that might have changed the outcome?

At the end of the process, when the client agreed to move forward, Jerry should have made this move:

"I'm glad we're going to be working together. Between your needs and what we have to offer, it seems to be a good match. But I'm curious: When "ABC Competitor" finds out you're making a change and comes back offering to beg, borrow and steal to retain your business, what will you do?"

By taking this step, you'll have a much better chance of saving the account. Bring it up when you're there, rather than later, when they're too embarrassed to discuss it. If they're switching for a legitimate reason, this discussion helps solidify the decision. If they say, "Well, I'd have to look at it," then you never really sold it in the first place.

This will also allow you to have a conversation right then and there about that, bringing up the reasons they were leaving their existing vendor. After you leave, it is much less effective to have this conversation.

Greta Schulz is owner of Schulz Training, a West Palm Beach-based consulting firm. To receive her free e-newsletter, e-mail her at greta@schulztraining.com.