How to overcome a customers’ fear of spending

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One of the biggest complaints from salespeople in a tight economy is the time it takes to achieve a sale from their customers. So, what can you do to speed up the sales process?

Sell the solution not the product

Branding is an integral part to your business but unless your brand is as big as Coca Cola, it’s unlikely people will purchase your products or services on your brand alone.

It’s more important than ever to know why your product or service is valuable to your client and why they should be buying it from you. You have to show your customers how your product or service will benefit them, not solely your business and give them a meaningful message to take away.

For an example of how Berlei used this strategy to their advantage, click here!

Sell the savings

Does your product offer your customer any form of efficiency gain or benefit beyond value over time? Can you justify it with real examples such as testimonials and worked examples?

If it does, then you need to ensure that you articulate this message. If there is a benefit, ensure you highlight it and emphasise the result in things such as your advertising.

You may want to try and stay away from long range forecasts. If it is going to take a few years to see the real value then this is not a compelling selling point in the current market. 

You are only as strong as the weakest link in your sales process

If your first point of contact is the weakest link in your sales chain, then you need to fix it. Help your team identify and capitalise on opportunities by giving them the training and structure they need.

Value added discounts

Discounting is a common strategy to increase sales but it comes at the cost of your margin. If you are going to discount, do it strategically. For example, you can implement a loyalty program and/or have a discount for specific groups of people. Loyalty programs work really well because there is always a higher chance to make a sale with a returning customer. You can also package items together in a deal or bundle if you’re experiencing tough economic times or a decrease in purchases. However, if you use this strategy, it is important to package products that have higher profit margins or are slow moving.

Now it’s time to give these tips a try to boost your sales and conquer your customers’ fears of spending during hard economic times.

For business advice, contact us today!