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The mistake of negotiating with your own company in sales

Table of contents:

Anonim

The antiventa is more common than is believed and is the most serious cause of the deterioration of relations between seller and company:

What to do when our salesman uses his ability to obtain advantages in his own company?

It is not a strange or science fiction scenario, but there are times in the future of companies when some sellers turn their most powerful weapons against their company instead of using them with the customer.

This manifests itself little by little and in an imperceptible way until the work structure changes and the business margins are damaged:

It consists of designing crisis scenarios so that the boss agrees to requests to close businesses that can be perfectly closed to the client instead of arguing in the company.

Why does the seller prefer to put pressure on the company rather than its customer?

Selling is not easy, especially since sellers at some point in their work think that selling works only by lowering the price. This conviction generates dangerous asymptotic behavior of the margin and small localized price wars, a feeling of distrust of the client towards the supplier company and finally an increase in the frequency of price auctions by the client. Here are some of the reasons:

  • A very inexperienced boss, novice in the business or new in the market Absence of Sales Management and Control programs Lack of training in sales techniques, which is perceived in a reductionism of the salesperson sales arguments to phrases like: Do you need something?; How can I help you?; etc. Improvised and results-based sales programs at any cost. Unclear, weak or absent sales policies. Technically capable sellers versus technically limited or incapable bosses. Volume-based sales culture over service. Misunderstood between what is service and what is servility. Absence of stable leadership, or weak leadership. Financial problems mixed with sales ambition:Often this mixture generates large losses due to compression of the profit margin or due to the null effectiveness of the credit, which leads to scams that further undercapitalize the company.

How to avoid this problem?

Honestly, the solution is not easy since companies usually, when they have this problem, get used to working symptomatically instead of systematically, making it difficult to isolate the causes with the naked eye, especially since daily action is colored shouting, careers, pressure and a conflictive and tense work environment. However, there are some symptoms that warn the appearance of the phenomenon of seller involution, although we list them, the most difficult thing is that the boss, and sometimes the general manager himself, accept it as negative to undertake the correction:

  • Urgent orders in unusual numbers that complicate logistics management. Slow margin compression. Excessive and frequent approvals from the bosses to authorize special discounts that are not justified either by the volume or the projection of these transactions. Frequent and generalized disqualifications against bosses, the credit department or the operations area. Sometimes with the participation of the bosses themselves.

Etc., etc., etc…

It is advisable to hire an advisor or consultant specialized in the subject who, from an objective and professional perspective, allows to offer an accurate diagnosis and recommend solutions tailored to the company: one thing is clear, normally the patient does not want to heal because He has become accustomed to the symptoms and has decided to work in these conditions, believing them normal.

Immediate and immediate consequences:

The immediate consequences are perceived in the environment, however the most serious consequences are perceived in an increase in operating costs, increased credit risk and a feeling in cash flows that is characterized by selling a lot and earning little; I say a feeling because the general manager usually takes his head and says: for everything we sell, I can't explain where the money is… !!!

Another thing that exasperates is the arrogance of marketers who squeeze the margin that they tend to have better sales volume, but a lousy return, an increase in bad debt and an increase in urgent orders.

This added to the permanent pressure on the boss to grant special discounts, authorize merchandise under special conditions and support him in prioritizing the office. The boldest of them even dare to renegotiate their remuneration, commissions and incentives in a constant hammering that ends up boring the company.

Final recommendation

To the company I recommend paying attention to the lesser appearance of these symptoms and seeking support in time. Losses are sometimes more expensive than consulting and advisory costs and all the benefits that result.

Entrepreneurs have a lot of value for hard investments (expanding production, buying more warehouses, remodeling offices, etc.), but they are really irresolute with the soft investments that really represents the main source of income for the company: (training of salesmen, selection expert, business consulting, management and control systems, and intelligence applied to processes, work methods, quality or service).

To the seller: I recommend defending the margin trying to sell benefits attached to the price such as service, quality, professionalism and stability of supply. Without a doubt, for a professional salesperson it is very difficult to understand this and even less to apply it, since it is the professionalization of the seller that generates the change in attitude and values. Nevertheless, there are many companies that for years have paid attention to maintaining and developing their sales human resources, transforming it into a competitive and comparative advantage that uses its power to convince the client and close good business instead of convincing the company and close spurious businesses that only give movement to the company, but that leave meager profits.

To the CEO: Remember that the results of your work are measured in three directions: profitability, growth and risk dispersion in the business, and curiously these three concepts are inextricably linked to the destinations of sales. Therefore, the next time you feel troubled, don't hesitate to brainstorm with an expert sales human resources consultant, as Ortega y Gasset said: "Technique is the effort to save effort." CÑM.

The mistake of negotiating with your own company in sales