Monday, December 5, 2011

Keys to Customer Loyalty Drivers and the Need for Sales People Who Deliver Value

In an earlier blog posting  (Different Selling Techniques - Challengers vs Relationship Builders, vs Lone Wolves vs Hard Workers vs Reactive Problem Solvers ), it was identified that "Challenger" Sales people were more successful than "Relationship" Sales People and other types of Sales people and customer service.

Obviously, a reasonable relationship needs to be maintained with a client, because otherwise, anything that the Sales Person may present to the client will be dismissed or not considered, or at most....the client will not allow a Sales Person to even meet with them to hear what they have to say. Given today's market place, just getting in the door to decision makers on any level, is much more challenging given the time constraints in heavily over worked and matrixed buying decision makers.

The context of the "Relationship Manager", however, is a person who builds a good rapport with the client but that is about all. This type person may answer questions about the product/service and help in simplified ways, but little more is provided. The needs by purchasing, or the customer, has become much more complex and as a result, more is being expected by a supplier than in the past.

Alternatively, in certain cases, the product/service may be viewed as a commodity, in which case the buying decision is driven mostly by price.

In recent research from the Sales Executive Council, this research has determined that the customer driver for loyalty for a supplier comes largely from the experienced Sales Person and amounts to a 53% loyalty influence. These Sales People demonstrate and provide significantly more support to the client by giving:
1) a unique value proposition(s),
2) navigating alternatives for the client,
3) avoiding landmines (how to use the product without problem(s))
4) demonstrating and showing a better understanding in how to use the products in unique or unusual way(s),
5) an easy methodology to buy from, and
6) the supplier has widespread support within the organization (i.e. depth of penetration at the account) on multiple levels.

In comparison, the other factors like: Company and Brand (19%), Product and Service Delivery (19%) and Value-to-Price Ratio (9%), were significantly lower in influence.



So the key to developing a strong and lasting relationship with the client is to demonstrate ways to use the product and service in ways that may not be immediately apparent to the client, or by highlighting the product in new and maybe more complex ways. However, it is also always better to penetrate the client on multiple levels than with just the single apparent buying decision person(s). While none of this is overly surprising, it it is helpful to refresh how to better serve the client by gaining their support and loyalty.

Building and developing strong Sales Teams along these lines will most likely be keys to success in the present, more complex and global World marketplace.

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