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The Issue: Transaction Sales vs. Selling Consultatively
Let's discuss Consultative Selling first. One definition is as follows: Consultative selling is the interactive process of convincing buyers they will benefit from taking actions different from those they might otherwise have taken without your counsel. The hallmark of consultative selling is your ability to change buyer beliefs and behaviors.
Most authorities agree that Consultative Selling is absolutely essential when making complex sales that involve large expenditures of time and money and include many buying influencers with differing interests. If the need is highly impactful and your product/service is well-differentiated, with unique features and benefits to correct the situation, Consultative Selling is mandatory. A "mountain" is a good analogy and diagnostic probing skills are your most effective climbing equipment. The percentage of sales that require Consultative Selling may be somewhat smaller than many people believe. For instance, sales that can be described as "mole hills" are better served by a Transaction selling.
Transactions share many of these "mole hill" characteristics:
- The need is simple, obvious and agreed to.
- Your product is clearly an ideal fit.
- The salesperson's role may be more service oriented than sales.
- The transaction may be either a one-time purchase or a part of a consistent pattern of similar purchases.
- The product purchased is considered a commodity and you offer no unique relationship or service benefits. (This is a very dangerous situation, because price will be the major factor in the buyer's decision, and only the lowest cost producer can survive in the long run.)
- The sale often turns on a believable and enthusiastic sales "pitch."
As you look at the two types of sales, you may find that you need to utilize both types of selling to meet the needs of various buyers. The key is for you to help your salespeople understand the difference and choose the correct sales model for each application. Doing so will help them avoid "making mountains out of mole hills."
Consider This Idea:
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