Biz wiz How to Close Every Sale

The closer can be the hardest part of a sale. How to Close Every Sale by Joe Girard and Robert L. Shook outlines the 13 principles behind closing a sale – and why you need to ‘sell’ yourself to the buyer.

Principle 1: understand sales resistance - Many buyers don’t like being sold to, for a number of reasons:

• poor previous experience
• misconception that all salespeople are manipulative
• feeling the buying/sales process is a contest between adversaries: buy and seller
• buyer is time-poor
• buyer is judged as ‘tyre-kicker’ from the start, and is subconsciously aware of the judgement
• buyer doesn’t want to be cornered and have to say ‘no’, so resists the sales presentation

Principle 2: sell yourself first - Sure, you business may sell cars and services, but you are its first product. If the potential buyer responds to you, they’ll respond better to everything you want to sell.

• promote your firm’s reputation
• believe in your firm and the products
• believe in yourself and your abilities
• visualise completing the sale
• create a positive self-image – recognise your own value
• be confident and prepared, do your homework on the product and your company
• have the look of success, not just in your wardrobe but also your office and every aspect the potential buyer comes into contact with
• make the buyer feel important – by knowing they are important
• bring your personality to the conversation, but with discretion
• where possible give gifts… even a small and inexpensive ones make people feel important (and keep working as a marketing tool)
• be sincere, be honest, be trustworthy. Don’t make promises you can’t keep
• make the buyer feel good about the deal, and they’ll be back next time they’re shopping

Principle 3: assume the sale - If a potential buyer is in front of you, they are generally interested enough in the product. Stay on that positive note.

• if you get an objection, ask for the specific reason behind it – and address that and then bring the conversation back on track
• offer the potential buyer a choice of positive statement options: ‘do you want the red model or would you like to look at other colours?’
• give them every chance to experience the product
• use the correct words to lead to closure. For example: When instead of if (“when you own this car”)
• assume repeat business, and make sure the buyers gets outstanding service to ensure that happens

Principle 4: know how to read buying signals - There are techniques that can help you build your ‘reading skills’

• try to evaluate the potential customer’s buying habits, but…
• don’t stereotype. Somebody who’s walked into your showroom in thongs could still afford to drive out in your most expensive car
• observe them as they try the product… you’ll be able to pick up when their attitude shifts from ‘looking’ to ‘engaged’
• top salepeople are top listeners. Listen carefully … it will help you understand what they are thinking
• network, connect, observe their social landscapes
• understand the different egos. Healthy egos will often take risks, while weaker ones will baulk at making expensive decisions because they fear making an error

Principle 5: handle objections well - Objections are a gift, because they express an interest. When a potential buyer makes an objection, it’s a chance to deftly present aspects that will answer the objection

• identify and weed out false objections that are cloaking the real reason somebody may be reluctant to close. Unless you know the real reason, you can’t overcome it
• don’t put a customer on the defensive or back them into a corner
• be prepared for, and even prevent, the most common objections:

1.  I can’t afford it. (explain financing options and break the cost down to monthly, weekly, daily)
2.  I want to discuss it with my partner (make sure all decision makers are there at the earliest opportunity)
3.  I want to shop around (from the start, introduce subtle information that shows how well your product compares with its competition, but if they still want to shop around,  welcome their decision but gently and cheerfully warn them to be careful about ‘bait-and-switch’ and similar pitfalls)
4. Give me some brochures and I’ll think about it. (This is a signal you haven’t yet fully convinced them of the reasons to buy the product. Give them the brochures, but add more compelling arguments)
5.  I don’t want to buy this X because of this, that or the other. (Weed out until you get to the one specific problem, and than solve it)

• once you’ve answered the objections, move on to close. Reinforce the basis that your role is to give them all the valuable information they need to make the best decision

Principle 6: overcome procrastination - A potential buyer will often drag their feet on making a decision, often because they are afraid of making the wrong one. You can overcome this if you:

• emphasis how the purchase represents good value
• if they lack confidence to make a decision without having somebody else weigh in, get the somebody else in with them
• gently remind them that time is important to them, but don’t apply pressure so hard they back off
• appeal to their ego, make them feel important and confident enough to make the decision
• use ‘words of wisdom’ or quotes at the right time to move them along – but in a friendly fashion and appropriately. You might quote George Patton "No decision is difficult to make if you get all the facts” to one person, but perhaps for another you might quote (famed Vogue editor) Anna Wintour: "The spread of luxury means more people are able to buy more stylishly. And the more people who can have style, the better”. 

Principle 7: control the sale - Maintain a gentle control on the flow of the conversation and don’t allow it to lose direction.

• focus entirely on the customer and don’t be distracted
• don’t take calls during the discussion
• make the discussion a two-way conversation that lets the prospect give you valuable information about themselves
• show your authority with comprehensive product knowledge
• don’t re-adress the price until you’re sure the buyer fully understands the value proposition

Principle 8: understand different closing techniques - Knowing a range of closing techniques allows you to choose the most appropriate one

• Assumptive close. You assume the customer will buy, and start to write the order
• Assumptive statement and question close. You make an assumptive statement and close with an assumptive question. E.g. "I recommend that you buy this car because (appropriate reason). Would you like to look at the different colour options for it”.
• Minor closes to major close. Guide the buyer through a series of minor decisions, which add up to the major one. “Would you like a different colour? Would you want to add floor mats? Would you prefer monthly or weekly payments? Would you sign right here please…”
• Small mistake vs Big mistake close. Help the customer realise when delaying the decision could cost them more later. “If you act now you will avoid the new luxury tax/price rises/extra repair costs etc.”
• Choice of three. Offer the buyer no more than three choices. “Which of these three payment options would work best for you?”
• Compromise close. If all other objections have been eliminated or solved, and price is the only barrier, negotiate the price where possible.
• Don't keep it a secret close. Let the buyer know you value their custom.  Be friendly about it. “I won't keep it a secret. I want your business."
• Benjamin Franklin/Pros and Cons close. Help the buyer to list all the pros under a Yes column, and then all the cons under a No column – which should be much shorter than the Yes column.
• Hard to get it close. This is based on the buyer wanting what they think they cannot have, and you helping them get it.
• Sell it with Love close. Appeal to the buyer’s love for their spouse or family, and how much the purchase will be appreciated in their household. “You’re going to love having the space and comfort of this car when you take the kids to soccer/school/on holidays”.
• Follow the leader close. Many customers will be encouraged to buy when they learn important or famous people have bought the car.

Principle 9: create a sense of urgency - You need to give the customer a reason to buy now, and sometimes to emphasis future needs.

• Limited offer. An offer that has a limited scope or edition.
• Price increase. Only use this is the price is actually going to increase.
• Time of Life. Where appropriate, make positive reference to a person’s stage in life and how the purchase will benefit them. “Life only happens once. You deserve to have the perfect car to drive when you’re having fun in your 20s / building your career / enjoying a wonderful family life / looking forward to enjoying retirement.
• Exclusivity. If there is something that makes the car or service hard to get, this can help create a sense of urgency.
• Timing. Emphasise the benefit of buying now rather than later

Principle 10. don’t oversell - Be a good listener, and don’t oversell – you risk convincing the buyer out of the sale

• Avoid the ‘fear of rejection’ pitfall.  This mindset makes it hard to move onto the close. Have confidence and believe the customer will buy so you can move onto the close.
• Avoid information overload. Don’t confuse the buyer with unnecessary detail. Identify which information they need and focus on that.
• Avoid suffocation. Allow the buyer a little space and enough time to think in silence so they can process the information before the close.
• Sales close. “Would you like me to tell you about some of its other aspects, or have you sold yourself on it?” If you get a negative response, return to the sell and then try the question again. When you get a yes, close.

Principle 11: all or nothing - You’ve got the best chance at winning the buyer’s confidence the first time around. Make it count. But use the ‘all or nothing’ approach with caution – don’t stray into brinksmanship that could lose you the buyer’s good opinion. Or the sale.

• The first discussion has potential for the greatest momentum.
• Don’t allow so much time that the buyer cools off
• Keep the best interest of the buyer in mind. Don’t rattle the customer, but help them make up their mind.

Principle 12: prevent ‘buyer’s remorse’ - It’s a well-known syndrome. After the close, the buyer has doubts… feels they’ve been too impulsive or have been manipulated. Sometimes this can prompt them to cancel an order. Provide reassurance to help them avoid feeling buyer’s remorse.

• Thank them. And be sincere in the thanks.
• Congratulate them on making an excellent decision.
• Don’t stop ‘selling yourself’ after the close. Keep delivering an excellent customer experience
• Follow up shortly afterward. Keep in touch and check that they’re happy
• Have the customer identify why they bought from you. It will reinforce the best aspects for you as well as for them.

Principle 13: the sale begins after the sale - The close is only the beginning. Outstanding sales service and after-sales service are the follow-on.

• Top salespeople have a commitment to outstanding sales service
• Give the buyer such great service they would feel guilty thinking about going elsewhere
• Keep in contact and build a solid relationship for the next purchase