In this article, we will explore the key principles of value-added selling and how it can help businesses increase sales and build long-term relationships with their customers.
In the world of sales, there are many different approaches and methodologies that can be used to close sales and build relationships with customers. While there are numerous sales methodologies, there seems to be a common theme. Let’s review some sales approaches:
Solution Selling: This approach involves identifying the customer's pain points and providing a tailored solution to address those needs.
Consultative Selling: This approach involves building a relationship with the customer by understanding their needs, offering advice, and guiding them to the best solution.
Insight Selling: This approach involves providing the customer with valuable insights and information that help them make informed decisions.
Challenger Selling: This approach involves challenging the customer's assumptions and offering new insights and perspectives that help the customer see the value in the seller's solution.
Relationship Selling: This approach involves building long-term relationships with customers based on trust, communication, and mutual understanding.
Customer-centric Selling: This approach involves putting the customer's needs and preferences at the center of the selling process and tailoring the solution to meet those needs.
The common theme is what’s known as “Value-added selling” and it has emerged as a popular approach in sales in more recent years, and it can be considered as a fundamental principle underlying the various methodologies mentioned above. This approach involves establishing a strong rapport with clients by demonstrating genuine interest in their unique requirements and providing tailored solutions to address those needs. Regardless of the industry you are in, whether it be construction, real estate, or hospitality, value-added selling can be an effective approach for building strong relationships with customers and increasing sales. By focusing on delivering value to the client, businesses can differentiate themselves from competitors and build long-lasting relationships with their customers.
“with 87% of high-growth businesses reporting using a value-based approach to their sales tactics.” – say MixMax in their Sales Trends and Predictions for 2023, you could argue that its a no-brainer approach, but why then are numerous sales people not using this approach?
Justin Liegh's book 'Inspire, Influence, Sell: Master the psychology, skills and systems of the world's best sales teams’ suggests that “There are 21 million professional salespeople in the world. Research shows that 55% of them don't have the right skills or training to be successful. That's over 11 million people who haven't developed the necessary skills or been provided with the right training to do their job well” . So, a large number of salespeople may lack the training, knowledge, and skills required to effectively identify customer needs and provide tailored solutions.
Another reason could those traditional sales techniques, such as product-focused selling, may be more familiar and comfortable for many salespeople, and they may not be aware of the benefits of a value-added selling approach.
Alternatively, it could be that organisations may prioritise short-term sales results over long-term customer relationships and may not provide the necessary support and incentives for salespeople to adopt a value-added selling approach.
Additionally, some salespeople may simply be resistant to change or may not believe that a value-added selling approach will be effective in their particular industry or market. It requires pro-active planning of one’s diary and investing time in researching and probing to gather data.
Here are some of the noticeable benefits of valued-based selling and why organisations need to be thinking about training their sales teams in this methodology and shifting the culture to reflect this approach:
Increased Sales:
Valued-based selling can help businesses increase sales because the sales professional can position the product or service as a solution that provides real value and addresses the specific challenges faced by the customer. This approach can make the customer more receptive to the sales pitch and increase the chances of closing the deal.
Stronger Customer Relationships:
Valued-based selling can help businesses build stronger relationships by taking the time to listen to the customer's concerns, asking thoughtful questions, and demonstrating a genuine interest in their business. By doing this, the sales professional can establish a rapport with the customer, which can lead to a long-term relationship built on trust and mutual understanding. This type of relationship can lead to repeat business and referrals, as the customer is more likely to turn to the sales professional for future needs and recommend them to others.
Competitive Advantage:
Valued-based selling can give businesses a competitive advantage by emphasising the value of the product or service, rather than just the features. By doing this, businesses can differentiate themselves from the competition, who may be focusing solely on the features of their product or service. Valued-based selling can help businesses position their product or service as the best solution for the customer's needs, by highlighting the unique value it provides. This approach can make the customer more likely to choose the business over competitors and can help the business stand out in a crowded marketplace.
At Infinite Consulting, we offer sales training programmes that teach valued-based selling techniques and strategies. Our programs are designed to help sales professionals develop the skills and confidence they need to close more deals and grow their businesses.
If you're interested in learning more about how valued-based selling can help your business grow, we invite you to contact us today. Our experienced team will work with you to develop a customised training program that meets your specific needs and goals.
By investing in sales training that emphasises valued-based selling, you can equip your sales professionals with the skills and strategies they need to succeed in today's challenging marketplace.
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