WEBVTT 1 00:00:00.960 --> 00:00:07.759 The mindset is that I want to create value and capture fair return for that 2 00:00:07.960 --> 00:00:12.119 value, not just on my side, but for the customer as well. 3 00:00:15.839 --> 00:00:19.760 You're listening to the audible Ready Podcast, the show that helps you and your 4 00:00:19.800 --> 00:00:24.760 teams sell more faster. We'll feature sales leaders sharing their best insights on how 5 00:00:24.760 --> 00:00:29.120 to create a sales engine that helps you fuel repeatable revenue growth. Presented by 6 00:00:29.120 --> 00:00:33.359 the team Afforce Management, a leader in B to B sales effectiveness. Let's 7 00:00:33.399 --> 00:00:40.039 get started. Hello and welcome to the Audible Ready Sales Podcast. I'm Rachel 8 00:00:40.200 --> 00:00:43.920 klepp Miller, joined today by Tim Cato. Hi. Tim, Hello, 9 00:00:44.000 --> 00:00:47.399 Rachel, How are you good? How are you doing? You know, 10 00:00:47.560 --> 00:00:52.840 it's a wonderful day here in the southeast United States. It's sunny, everything's 11 00:00:52.920 --> 00:00:56.679 comfortable, little warm. Well, what a perfect day to talk about our 12 00:00:56.719 --> 00:01:00.799 topic for today. Yes, yes, and so often when we bring Tim 13 00:01:00.840 --> 00:01:03.519 on the podcast, we tackle the topic of negotiation, and that's what we're 14 00:01:03.560 --> 00:01:11.879 going to do today. But specifically we're going to talk about presenting multiple options 15 00:01:11.920 --> 00:01:15.560 to your buyer, your customer. Why that's important, how you frame it, 16 00:01:17.040 --> 00:01:22.159 tips for doing so, how to frame your mindset around presenting multiple options 17 00:01:22.159 --> 00:01:25.000 and I know Tim is going to share some great tips for us as we 18 00:01:25.079 --> 00:01:27.760 talk through this topic, So let's go ahead and dive in. Tim. 19 00:01:27.840 --> 00:01:32.400 We've said this before, but I think it's important to level set here at 20 00:01:32.400 --> 00:01:37.560 the start of our conversation. Let's start with the mindset we need as great 21 00:01:37.599 --> 00:01:45.760 sales negotiators and how that mindset carries through this idea of presenting multiple options. 22 00:01:45.760 --> 00:01:49.319 Perfect. Well, let's start with that mindset. Then. The mindset is 23 00:01:49.359 --> 00:01:56.920 that I want to create value and capture fair return for that value, not 24 00:01:57.040 --> 00:02:00.480 just on my side, but for the customer as well. And that's where 25 00:02:00.640 --> 00:02:07.400 the mindset of using multiple options really comes into play. Rachel. It is, 26 00:02:07.800 --> 00:02:15.479 for my money, the most underleveraged best practice in a sales negotiation that 27 00:02:15.520 --> 00:02:23.360 allows us to operationalize that mindset. I said a lot there, Yes, 28 00:02:23.800 --> 00:02:30.319 but the mindset is really the well you said, operationalizing that mindset that is 29 00:02:30.360 --> 00:02:36.520 exactly what we want to do, and selling this way throughout the sales process 30 00:02:36.560 --> 00:02:42.360 and carrying that through negotiation allows us to keep the focus on values. To 31 00:02:42.479 --> 00:02:46.800 talk a little bit about why that happens. Yeah, and again, another 32 00:02:46.919 --> 00:02:53.439 distinction of a great sales negotiator. They do not see sales negotiations something that 33 00:02:53.479 --> 00:02:58.520 takes place at the end of the conversation with the customer with the intent of 34 00:02:58.680 --> 00:03:04.240 simply reaching in a agreement to sell them something for them to buy something. 35 00:03:04.840 --> 00:03:09.599 Right, the mindset how you operationalize that, create and capture value is it 36 00:03:09.639 --> 00:03:15.840 starts from the very beginning. Right, we're laying the foundation of the things 37 00:03:15.879 --> 00:03:21.520 that matter the most of the customer through our expertise and knowledge, expanding the 38 00:03:21.520 --> 00:03:25.800 customer's understanding of the scope, the depth, the breadth of what they're dealing 39 00:03:25.840 --> 00:03:31.599 with, and the potential for the value that can be achieved for them if 40 00:03:31.599 --> 00:03:38.120 they think through how they're going to address those problems. Now that you can 41 00:03:38.159 --> 00:03:40.280 consider a foundation, a lot of people say, well, that's selling, 42 00:03:40.800 --> 00:03:46.960 yes, and guess what two for one, it's also negotiating from the very 43 00:03:46.000 --> 00:03:52.120 beginning, I'm building my position to be able to help the customer get more 44 00:03:52.199 --> 00:03:57.280 value, maybe than they anticipated, and help us capture more value, maybe 45 00:03:57.280 --> 00:04:01.919 more than we anticipated, by laying down that foundation so that by the time 46 00:04:02.039 --> 00:04:06.439 we get to what someone call the formal part of the negotiation, the back 47 00:04:06.479 --> 00:04:13.199 and forth to reach an agreement, I'm not just putting things out getting things 48 00:04:13.280 --> 00:04:19.959 back putting things out. I'm building my final negotiation strategy to reach an agreement 49 00:04:20.160 --> 00:04:25.639 on the foundation of everything that's been done up till that point. Now here's 50 00:04:25.680 --> 00:04:29.839 the key, Rachel. In sales negotiation. A lot of sellers think that's 51 00:04:29.879 --> 00:04:32.240 the end. I find a way to reach an agreement with the customer. 52 00:04:33.120 --> 00:04:40.199 Wrong. Guess what the real negotiation might actually be getting ready to begin the 53 00:04:40.319 --> 00:04:47.199 implementation, the utilization, the success, the measurement, how many people use 54 00:04:47.279 --> 00:04:50.800 it, how often do you use it? How do we track renewals, 55 00:04:50.920 --> 00:04:59.480 reorders, expansions. Those are all negotiations, even Rachel, getting time with 56 00:04:59.560 --> 00:05:02.600 the i MC buyer, the executive buyer that bought whatever it is in the 57 00:05:02.639 --> 00:05:09.240 first place, to check in three months later. Sometimes that is a negotiation. 58 00:05:09.439 --> 00:05:15.959 So laying the foundation early, operationalizing it in reaching the contractual agreement, 59 00:05:17.000 --> 00:05:24.199 and then setting up the ongoing relationship that is a continuum. That the mindset 60 00:05:24.240 --> 00:05:30.519 of creating and capturing value is really the kind of the driver behind all of 61 00:05:30.560 --> 00:05:35.639 that. And each of those components has multiple options in them exactly. And 62 00:05:35.680 --> 00:05:40.800 you said something at the start of that answer that I also wanted to make 63 00:05:40.839 --> 00:05:46.319 sure people heard we want our customers to buy instead of us to sell. 64 00:05:46.480 --> 00:05:50.480 We want the choice to be there's aligned to the outcomes that they're trying to 65 00:05:50.600 --> 00:05:55.360 drive. So when we're talking about this mindset that Tim has mentioned, it's 66 00:05:55.399 --> 00:06:00.319 about keeping the value top of mind for the customer and keep I mean their 67 00:06:00.319 --> 00:06:03.800 outcomes type of mind. But also your process has to be aligned to that 68 00:06:03.920 --> 00:06:09.160 so they are able to buy based on what they want to achieve versus you 69 00:06:09.319 --> 00:06:14.279 giving your sales presentation, which means Rachel both selling and negotiation, or something 70 00:06:14.319 --> 00:06:17.279 I do with the customer as opposed to something I do to the customer yes 71 00:06:17.839 --> 00:06:23.680 with not too awesome. So, given that mindset and that framework we've kind 72 00:06:23.720 --> 00:06:28.399 of talked about so far, when we come up with our multiple options, 73 00:06:28.560 --> 00:06:31.879 you know, different plans a customer can choose when they buy from us. 74 00:06:32.759 --> 00:06:36.800 What do we want to make sure that we're thinking through as salespeople, and 75 00:06:36.839 --> 00:06:41.800 what should that finished product look like? Walk through that for us. So 76 00:06:41.879 --> 00:06:45.680 I might start this one with a little bit about what it is not okay 77 00:06:45.680 --> 00:06:48.839 good. That's a lot of our customers have experienced sellers in the past, 78 00:06:48.879 --> 00:06:54.519 believe it or not, and you know the reality is they've experienced some good 79 00:06:54.519 --> 00:07:00.720 selling and they've experienced a lot of bad selling, and the historic traditional common 80 00:07:00.879 --> 00:07:06.560 view of presenting multiple options more often than not fits into the not so good 81 00:07:06.600 --> 00:07:11.040 selling category. And let me tell you what I mean by that, all 82 00:07:11.120 --> 00:07:14.399 Right. One of the things that we're trying to do when we show up 83 00:07:14.399 --> 00:07:19.759 and work with our customers as experts in solving the problems, they have deep 84 00:07:19.879 --> 00:07:27.920 domain knowledge, telling them all that we have done to learn, all that 85 00:07:28.000 --> 00:07:31.519 we have learned from others that they can leverage, and we do all of 86 00:07:31.560 --> 00:07:35.560 that through the whole sales campaign and we show up at the end in a 87 00:07:35.680 --> 00:07:42.199 very manipulative way. Right, We've been a knowledge partner. We've been an 88 00:07:42.240 --> 00:07:46.120 expert. You know. The parallel here would be Rachel. I work with 89 00:07:46.160 --> 00:07:49.600 a physician and they do an awesome job and hearing me out, going through 90 00:07:49.680 --> 00:07:55.199 testing, diagnosis, and then at the end they say, yeah, I 91 00:07:55.319 --> 00:08:00.000 am the founder of a medical vitamin company, and I think you're a whole 92 00:08:00.079 --> 00:08:03.360 thing. You need to order my vitamins. Now here's the thing. You're 93 00:08:03.360 --> 00:08:05.279 gonna urge just one hundred to try it out, but I'd like to recommend 94 00:08:05.279 --> 00:08:09.800 a volume purchase of five hundred, because that's really going to get It's like 95 00:08:11.600 --> 00:08:16.319 this whole thing that I thought was good was a set up. It feels 96 00:08:16.439 --> 00:08:20.959 manipulative at the end. And so where does that come into multiple options. 97 00:08:22.199 --> 00:08:26.920 Imagine you've been working really well with the customer drive and discovery. They're getting 98 00:08:26.959 --> 00:08:31.480 insights, leveraging your expertise. They feel so good about what you're positioning to 99 00:08:31.519 --> 00:08:33.799 them, they say, hey, why don't you send me a proposal? 100 00:08:35.159 --> 00:08:37.639 And in that proposal it looks something like this, right, This is how 101 00:08:37.679 --> 00:08:45.039 they usually title option one by some of what I have for this amount, 102 00:08:45.799 --> 00:08:50.480 by these kind of services for that amount, and oh, by the way, 103 00:08:52.000 --> 00:08:54.639 do it within this time frame. And here's what your price is. 104 00:08:54.919 --> 00:09:01.600 That's option one. Option two buy more of my stuff for maybe a slightly 105 00:09:01.639 --> 00:09:09.120 discounted price, get more services which costs you a little bit more. Oh, 106 00:09:09.240 --> 00:09:11.279 by the way, I'm going to allow you to buy that at two 107 00:09:11.360 --> 00:09:16.200 times instead of just one. In other words, what ends up happening Rachel, 108 00:09:16.200 --> 00:09:22.799 And the way multiple options are perceived in the marketplaces being used is they're 109 00:09:22.879 --> 00:09:26.120 not tied back to anything that was done in the past. We assume the 110 00:09:26.279 --> 00:09:31.480 customer will know the value of option and one Option two other than this one 111 00:09:31.519 --> 00:09:37.639 looks like it's is a subset of that one. It's basically multiple options on 112 00:09:37.679 --> 00:09:43.120 how much of my stuff do you want to buy without strong connection back to 113 00:09:43.159 --> 00:09:50.679 the reasons why, and frequently for their position somewhat technically, if it's a 114 00:09:50.720 --> 00:09:56.039 technical sale, right, it's you buy this and this, and we leave 115 00:09:56.080 --> 00:10:01.440 it up to the executive buyer economic buyer to determine what does an asynchronous platform 116 00:10:01.600 --> 00:10:09.799 do to help me understand how I get visibility to all my I assets. 117 00:10:09.080 --> 00:10:13.039 I mean, that's my problem, right, and you're telling me to pick 118 00:10:13.080 --> 00:10:18.320 between these two things, and all it looks like is a menu of how 119 00:10:18.399 --> 00:10:22.559 much of your stuff I want to buy and go. Guess what the careman 120 00:10:22.679 --> 00:10:26.320 organizations have learned over the years, Right, there may be something in there 121 00:10:26.360 --> 00:10:30.720 they want, but odds are there's a lot of fluff, because I know 122 00:10:30.759 --> 00:10:33.600 you'll be shocked to hear this, Rachel, just like my listeners, our 123 00:10:33.639 --> 00:10:39.320 listeners will be shocked to here. Sometimes those options really reflect what we, 124 00:10:39.519 --> 00:10:45.240 the sellers, hope the customer will buy, to the point where let's say 125 00:10:45.240 --> 00:10:52.480 I give them three options, one being one I know the customer will never 126 00:10:52.519 --> 00:10:56.720 say yes too. It's woefully incomplete, but it does have a low dollar 127 00:10:56.799 --> 00:11:01.360 amount right, I give them that offer, almost trying to not laugh because 128 00:11:01.399 --> 00:11:05.279 I know that's never gonna fly. Right. Then I give them an offer 129 00:11:05.840 --> 00:11:11.360 that is that one with a few enhancements in it. You know, it's 130 00:11:11.399 --> 00:11:13.960 like, you know, probably use a bad phrase, I'm trying to shine 131 00:11:15.000 --> 00:11:20.039 up something that's stinky, and it's just still gonna be stinky. And I 132 00:11:20.159 --> 00:11:22.600 know on that second one, there's no way that customer is going to go 133 00:11:22.639 --> 00:11:26.240 for it. It's got a couple things in there that the customers already told 134 00:11:26.320 --> 00:11:28.840 us I'm not going to do, and we're gonna see if we can say, 135 00:11:28.879 --> 00:11:31.559 well, if you give us some of this, I'll let you slide 136 00:11:31.600 --> 00:11:37.279 on some of that. And then there's the third one that's got the bright 137 00:11:37.360 --> 00:11:41.879 lights on it, it's got background music. It's clearly in their eyes, 138 00:11:41.120 --> 00:11:46.320 the one you want them to buy. That, Rachel, is the epitome 139 00:11:46.600 --> 00:11:52.279 of a manipulative close at the end. And guess what that generates, right, 140 00:11:52.879 --> 00:11:58.840 mandates for concession. Now that's the common view of multiple options. Let's 141 00:11:58.840 --> 00:12:01.600 flip it around to what we mean by multiple options, Rachel. Okay, 142 00:12:01.960 --> 00:12:09.559 first of all, there are two or three bundled solutions that represent different forms 143 00:12:09.600 --> 00:12:15.159 of value. To the customer, not based on our stuff, based on 144 00:12:15.279 --> 00:12:20.360 their problem. It's like, what approach to your problem do you want to 145 00:12:20.360 --> 00:12:24.759 take? Do you want to take the creative foundation? Do you want to 146 00:12:24.799 --> 00:12:31.799 take the roadmap to transformation? Do you want to take the low cost approach 147 00:12:31.879 --> 00:12:35.200 to dealing with this problem? It's framed. Each of those options, first 148 00:12:35.200 --> 00:12:43.039 of all, are framed or branded in a interest that the economic buyer would 149 00:12:43.039 --> 00:12:48.480 first recognize and be willing to invest in. At a minimum, say they 150 00:12:48.559 --> 00:12:56.480 say, this is the establish a foundation of visibility into our it assets proposal, 151 00:12:56.320 --> 00:13:05.720 compared to the identify ongoing visibility to our IT assets to enable cost reduction, 152 00:13:05.240 --> 00:13:13.080 security enhancements, compliance understand downtime option. Now, those might have technical 153 00:13:13.120 --> 00:13:16.399 things in them, but what I'm counting on is based on what I've done 154 00:13:16.480 --> 00:13:24.440 up front. I know that those two branded titles will matter to the people 155 00:13:24.519 --> 00:13:28.440 that are determining the priorities of their investment. And then if I do it 156 00:13:28.559 --> 00:13:31.039 right, it's got. Each one has some things bundled underneath, Rachel, 157 00:13:31.519 --> 00:13:37.759 but they're totally justifiable back to the business outcome that they're framed under. And 158 00:13:37.960 --> 00:13:43.919 now an amazing thing happens. First of all, Rachel the customer says, 159 00:13:43.759 --> 00:13:48.320 looks like you were listening to me, right, it looks like you understand 160 00:13:48.399 --> 00:13:52.240 my business seller deficit disorder. Wait, we always come back to that article. 161 00:13:52.279 --> 00:13:56.840 I think it's an automatic pin in anything I do, Rachel, because 162 00:13:56.840 --> 00:14:01.559 it's so powerful. Right, But you look like you understand my situation. 163 00:14:01.720 --> 00:14:05.639 You clearly have expertise. And if I say how come you got this thing 164 00:14:05.639 --> 00:14:09.799 in there, you say, because you told me, You told me you 165 00:14:09.919 --> 00:14:15.519 wanted to you told me this was important. Well when did we say that 166 00:14:15.960 --> 00:14:18.440 way back at the beginning, and we were repeated it several times? Oh 167 00:14:18.519 --> 00:14:22.279 yeah, I did say that. Now I understand why you're included. That 168 00:14:22.320 --> 00:14:26.840 makes sense to me. Right, And then they look at the second one 169 00:14:26.840 --> 00:14:30.080 and say, well, how come this one is configured different? Well, 170 00:14:30.120 --> 00:14:33.639 it's a different business outcome. It's something you know, this one said you 171 00:14:33.679 --> 00:14:37.919 just wanted to get started and understand how big your issue is this one is. 172 00:14:39.440 --> 00:14:41.039 You know, you'll get that idea, but it's not a one and 173 00:14:41.080 --> 00:14:45.559 done thing. It's an ongoing thing, and you want to drive it through 174 00:14:45.600 --> 00:14:50.720 reporting, through consulting, through tracking of measurements and metrics that helps you get 175 00:14:50.720 --> 00:14:54.519 to the long term plan. Oh I get that. That's why you have 176 00:14:54.679 --> 00:14:58.600 consulting services in there. That's why you have reporting in there. That's why 177 00:14:58.639 --> 00:15:03.399 you have automated reporting. A measurement didn't Oh, now I get it. 178 00:15:05.159 --> 00:15:09.679 And guess what, Rachel. A beautiful thing happens Somewhere along the way, 179 00:15:09.440 --> 00:15:13.519 somebody says, well, I like a lot of that one. But there's 180 00:15:13.559 --> 00:15:18.559 two things in there I'm not sure we need right now. What if we 181 00:15:18.679 --> 00:15:24.120 pulled something from here the first option into the second, the option on gain 182 00:15:24.240 --> 00:15:30.440 initial visibility to my IT assets. What if I pulled two items out of 183 00:15:30.440 --> 00:15:35.399 that and put it over here to gain ongoing visibility and operationalize that. What 184 00:15:35.480 --> 00:15:39.879 if I put those over here? Now, look what's happening, Rachel. 185 00:15:39.399 --> 00:15:45.039 This is not a conversation on mandates for concession. This is a conversation on 186 00:15:45.080 --> 00:15:48.879 trading, and any sales negotiator in the world knows that at the end, 187 00:15:50.200 --> 00:15:56.279 I would much rather be in a conversation about trading with the customer than responding 188 00:15:56.320 --> 00:16:00.759 to mandates for concession, which are typically one way. It's just got all 189 00:16:00.840 --> 00:16:07.240 kinds of tactics and manipulation around it. So when we talk about multiple options, 190 00:16:07.279 --> 00:16:11.120 A couple things to keep in mind, what's the intent both to demonstrate 191 00:16:11.279 --> 00:16:17.720 our knowledge, our expertise, and our credibility in solving their problems, giving 192 00:16:17.720 --> 00:16:23.360 them options that are viable, understandable, And second, I want to mechanically 193 00:16:23.559 --> 00:16:32.480 design trading into the final contractional negotiation as opposed to mandates for concession. So 194 00:16:32.600 --> 00:16:37.279 to do that, multiple options are always built on the foundation of what took 195 00:16:37.360 --> 00:16:41.879 place upstream, that conversation and selling, of them, identify their problems, 196 00:16:42.159 --> 00:16:48.159 of them understand their required capabilities or decision criteria. That then when it's I 197 00:16:48.159 --> 00:16:51.919 mean, I know I'm going to give them multiple options. If this goes 198 00:16:51.960 --> 00:16:53.840 forward, at some point I'm going to give them multiple options, I'm going 199 00:16:53.919 --> 00:16:57.159 to have to explain it. Why not start building the foundation for that right 200 00:16:57.200 --> 00:17:02.879 away and change the conversation at the end. If you wanted me to put 201 00:17:02.879 --> 00:17:07.400 a title on this, Rachel, it's called change the conversation away from them 202 00:17:07.480 --> 00:17:12.359 feeling like you're trying to manipulate them into one thing you want that they got 203 00:17:12.359 --> 00:17:18.200 to dig into and find out where the fluff or excess is. To Wow, 204 00:17:18.640 --> 00:17:22.960 you're showing me two viable approaches here. You have backed it up with 205 00:17:23.039 --> 00:17:26.960 what I've said. You have shown me what it will take to get there, 206 00:17:27.680 --> 00:17:33.680 and now you've put me in a position to work with you to configure 207 00:17:33.680 --> 00:17:37.640 this in a way that's right for me. Very different approach. Yeah, 208 00:17:37.680 --> 00:17:41.359 that's great, And I think this if I were to sum up a couple 209 00:17:41.359 --> 00:17:48.480 of additional thoughts that I had while you were talking rambling on no, not 210 00:17:48.559 --> 00:17:52.720 rambling on it at all. I think this is fruitful and I hope many 211 00:17:52.759 --> 00:17:57.759 of you are backing up the conversation taking notes. Because the customer wants to 212 00:17:57.839 --> 00:18:03.559 feel good about their decision. I mean a lot of these deals that our 213 00:18:03.599 --> 00:18:07.079 listeners are selling, our big ticket items and in tight economies, and when 214 00:18:07.119 --> 00:18:14.160 budgets are scrutinized or spending scrutinized, the customer wants to feel like they are 215 00:18:14.200 --> 00:18:21.400 making the best decision possible for their company. So by you presenting multiple options, 216 00:18:21.480 --> 00:18:26.039 giving them a couple of paths to take, they can better visualize or 217 00:18:26.119 --> 00:18:30.119 get their heads around the different outcomes that they're trying to drive and the purchase 218 00:18:30.200 --> 00:18:33.559 that they want to make. Because you know, for us, as in 219 00:18:33.559 --> 00:18:37.480 the selling process, things can get murky and we're dealing with multiple decision makers 220 00:18:37.480 --> 00:18:41.440 and we're having meetings and we're trying to coalesce it and get it on one 221 00:18:41.480 --> 00:18:45.440 PowerPoint slide for the deal right what we do. So breaking it down this 222 00:18:45.519 --> 00:18:51.359 way helps the customer get their heads around the purchase as well and the outcomes 223 00:18:51.359 --> 00:18:55.640 that they want to drive. And you know, I've taught communication classes before, 224 00:18:56.000 --> 00:19:00.119 Tim, and one of the mantras we talk about in any communication speech, 225 00:19:00.119 --> 00:19:07.200 communication, rhetoric business is to think about not what you're saying or you're 226 00:19:07.279 --> 00:19:11.400 presenting to frame it a different way, but how it will be received. 227 00:19:11.680 --> 00:19:15.720 How does it mean to the person. And at the beginning of this conversation, 228 00:19:17.119 --> 00:19:21.960 you talked about how you want the customer to feel when they're part of 229 00:19:21.960 --> 00:19:26.240 the selling process, when they're buying from you, and when you present the 230 00:19:26.359 --> 00:19:30.279 multiple options with one solution Bake, that's like manipulative, as you said, 231 00:19:30.640 --> 00:19:34.400 that's going to be received a certain way. But if you frame that up 232 00:19:34.839 --> 00:19:38.960 and really think about if the buyer just took this one slide or this one 233 00:19:40.039 --> 00:19:42.680 PDF and looked at it, how is that going to be received. Am 234 00:19:42.720 --> 00:19:48.240 I going to be perceived as someone who is really presenting a solution that's going 235 00:19:48.240 --> 00:19:52.000 to solve their business challenges? Or am I looking like a seller who's just 236 00:19:52.039 --> 00:19:55.119 trying to get this deal in by the end of the month, and those 237 00:19:55.160 --> 00:19:57.480 are two different things. I think that's a good litmus test for us to 238 00:19:59.519 --> 00:20:03.960 use whenever we're communicating with the customer, but particularly around these multiple options. 239 00:20:03.079 --> 00:20:07.319 I love that so much. Rachel. There's another old saying in sales negotiation. 240 00:20:07.680 --> 00:20:11.799 Whatever gets anchored into the conversation is what you will negotiate at the end. 241 00:20:12.160 --> 00:20:17.319 So imagine software. Whether we're using old school multiple options or we're just 242 00:20:17.400 --> 00:20:22.960 throwing that big old everything plus the kitchen Sinc Proposal in front of the customers. 243 00:20:22.319 --> 00:20:30.000 It's almost always some configuration of our stuff, our price, and the 244 00:20:30.000 --> 00:20:33.279 timing, and we do it to ourselves. Guess what you're going to be 245 00:20:33.319 --> 00:20:37.000 negotiating. How much your stuff do I need to buy? How much is 246 00:20:37.000 --> 00:20:41.119 it going to cost? What is the timing? And it's not uncommon for 247 00:20:41.440 --> 00:20:45.319 you know, we get what we deserve in that situation. It's not uncommon 248 00:20:45.359 --> 00:20:48.240 for a procurement person to say, Okay, let's start with the timing. 249 00:20:48.480 --> 00:20:52.000 I'm not going to do this by the end of your quarter. We did 250 00:20:52.039 --> 00:20:55.079 it to our Why do they always wait till the end? Because you've taught 251 00:20:55.160 --> 00:20:59.079 to him that they get the best deal. Now we could go back. 252 00:20:59.359 --> 00:21:02.279 I don't think I need all these things? How much? If I took 253 00:21:02.359 --> 00:21:06.440 this out? How much? If I took that out? Oh well, 254 00:21:06.480 --> 00:21:08.960 if you're willing to do that, won't that have an impact on the overall 255 00:21:10.039 --> 00:21:11.319 this or that? And oh, by the way, if you're willing to 256 00:21:11.359 --> 00:21:15.319 do that, I might do it before the end of your quarter. That 257 00:21:15.519 --> 00:21:21.519 is a self inflicted wound. What happens when we present multiple options with multiple 258 00:21:21.599 --> 00:21:26.480 outcomes that let's say it is procurement. Remember one thing, right, chel, 259 00:21:26.119 --> 00:21:32.039 Procurement always buys on behalf of somebody else. Who's the somebody else that's 260 00:21:32.079 --> 00:21:34.880 going to be receiving this, and say, okay, they're probably recommending we 261 00:21:34.960 --> 00:21:38.680 buy too much of their stuff. I know they probably pump that up ten 262 00:21:38.759 --> 00:21:42.559 or fifteen percent. And if you hold out to the end of the quarter, 263 00:21:42.640 --> 00:21:45.759 we'll get a better deal. That's the direction of the procurement person. 264 00:21:47.200 --> 00:21:48.960 Guess what they're going to come back. Here's what I did on amount of 265 00:21:48.960 --> 00:21:53.480 stuff, here's what I did on percent a discount or pricing. And oh, 266 00:21:53.559 --> 00:21:56.720 by the way, I think I could get even five percent more if 267 00:21:56.759 --> 00:22:02.720 we say we might be willing to do it earlier. Such a predictable average, 268 00:22:03.319 --> 00:22:07.640 common approach to negotiation. What if there is procurement and procureman said, 269 00:22:07.839 --> 00:22:12.240 hey, they came in with different options. Well what are the options. 270 00:22:12.759 --> 00:22:17.079 Well, they didn't do it the way most do. There's not an option 271 00:22:17.160 --> 00:22:22.599 one option too, there's an option create baseline understanding for visibility to our itsts 272 00:22:22.599 --> 00:22:29.279 across the entire organization, and hopefully that internal customer says, well, that's 273 00:22:29.359 --> 00:22:34.119 actually what's in that one. And then they start going through and they call 274 00:22:34.160 --> 00:22:37.799 over there, you know, their technical buyers, they call over the other 275 00:22:37.880 --> 00:22:44.519 influencers that helped create the inputs that was based on Hey, this seller says 276 00:22:44.640 --> 00:22:48.799 we need these things to produce that outcome, and the people around that that 277 00:22:48.920 --> 00:22:52.599 kind of embarrassing. Well, honestly they got that from us, and I 278 00:22:52.599 --> 00:22:57.160 think it's pretty critical. If we don't have it. We're the automation site. 279 00:22:57.519 --> 00:23:03.119 We can do it manually, but it takes a year, it takes 280 00:23:03.480 --> 00:23:08.039 fifty people, and it's all on spreadsheets and the second one and it doesn't 281 00:23:08.039 --> 00:23:14.000 give us current visibility to what might be broken, what's out of commission. 282 00:23:14.359 --> 00:23:18.279 It gives a zero visibility from a security start Oh yeah, Actually, I 283 00:23:18.319 --> 00:23:22.359 guess I need those things now. It's not procurement coming at us to attack. 284 00:23:22.440 --> 00:23:26.000 Do I really need all that you have in here? Because you and 285 00:23:26.079 --> 00:23:30.039 I both know that's what sellers do. They pump this thing up with fluff. 286 00:23:30.319 --> 00:23:34.920 I can defend everything in there any if you don't want it. The 287 00:23:34.960 --> 00:23:40.119 implication is back to you achieving. You're welcome. So what kind of outcome 288 00:23:40.200 --> 00:23:42.839 do you want? Do you want to get started outcome? Do you want 289 00:23:42.839 --> 00:23:48.279 the long term? We are now in an informed position to manage all of 290 00:23:48.279 --> 00:23:53.039 our assets across organization on a daily basis, you know. And by the 291 00:23:53.079 --> 00:23:57.680 way, if I am a health system of twenty seven hospitals, you know, 292 00:23:57.720 --> 00:24:02.400 do you think about the important to know how many pieces of medical equipment 293 00:24:02.880 --> 00:24:07.640 are available, our purchased, our compliant are on and on and on. 294 00:24:07.720 --> 00:24:12.480 So it just presents it differently. And not only does it not film aniptive, 295 00:24:12.839 --> 00:24:17.960 they get involved on their side to say, well this one, that 296 00:24:18.240 --> 00:24:21.680 one, what about a hybrid, and here's the other beautiful thing. Why 297 00:24:21.680 --> 00:24:26.440 I say it's slander leverage, Rachel. More often than not someone says, 298 00:24:26.519 --> 00:24:30.880 Yeash, some things have changed evolved. Thanks for these perspectives, I'd like 299 00:24:30.000 --> 00:24:34.680 to create a hybrid between the two. Really, what would that look like? 300 00:24:36.200 --> 00:24:37.400 Well, I want all this for that price, I don't. Well, 301 00:24:37.440 --> 00:24:41.119 if it's that price, it's this one over here. No, no, 302 00:24:41.279 --> 00:24:42.640 no, I want to pay less for that. Well, you know, 303 00:24:44.079 --> 00:24:45.960 there might be a way to move closer to it. But here's what 304 00:24:47.240 --> 00:24:51.119 we are going to need in return. We need a multi year commitment. 305 00:24:51.839 --> 00:24:55.839 We need to be able to track, and we want the ability to advertise 306 00:24:55.960 --> 00:24:59.720 that we helped you drive your costs down with that one. By the way, 307 00:25:00.160 --> 00:25:03.200 we'd like a semi annual meeting with your senior executives to get caught. 308 00:25:03.920 --> 00:25:07.000 We now start being able to weave in the things we want and guess what 309 00:25:07.160 --> 00:25:12.119 starts to happen. The value of the final agreement starts to grow, and 310 00:25:12.359 --> 00:25:18.440 what a foundation we've created for once we start working on that three year relationship 311 00:25:18.119 --> 00:25:22.400 to come back with more MATHIL options in the future. So I know, 312 00:25:22.599 --> 00:25:26.000 I'm really I feel like I'm trying to sell this, but it is such 313 00:25:26.039 --> 00:25:30.559 a powerful approach. Now, one last thing, I know you want to 314 00:25:30.599 --> 00:25:33.920 move on. I don't have to wait to the final proposal to use multiple 315 00:25:33.960 --> 00:25:37.599 options. I can use them right after discovery. Hey, I've talked with 316 00:25:37.759 --> 00:25:42.440 the people in operations. I've talked with the people in IT. I've talked 317 00:25:42.519 --> 00:25:47.480 with the people in security. I've talked with the people in product. I've 318 00:25:47.559 --> 00:25:52.000 talked with the people in customer service. I talked to the people in finance. 319 00:25:52.680 --> 00:25:56.079 You know, you might not realize this, but you all don't agree 320 00:25:56.119 --> 00:25:59.880 on your side on what should be done. There's a lot of opinions there. 321 00:26:00.359 --> 00:26:03.480 So I would like to share with you based on all those conversations, 322 00:26:03.559 --> 00:26:08.680 we've had three different directions we could go. Now. I'm not putting a 323 00:26:08.759 --> 00:26:14.839 price tag on it. I'm not even doing going deep in what solutions are 324 00:26:14.880 --> 00:26:18.440 bunderneath that, but I am using those branded options and a value proposition. 325 00:26:18.960 --> 00:26:22.279 You know what I'm counting on, Rachel. I present those options and someone 326 00:26:22.319 --> 00:26:26.839 says, yeah, I've heard some of that too, And now I can 327 00:26:27.000 --> 00:26:34.000 watch the political landscape inside the organization as they socialize those three options. I 328 00:26:34.119 --> 00:26:38.200 either start to get out understanding that one of those is actually the dominant thought, 329 00:26:38.839 --> 00:26:44.240 or I get some insight to the functions that are trying to make their 330 00:26:44.720 --> 00:26:51.119 idea the dominant thought. Again, just tons of utility on how to navigate 331 00:26:51.519 --> 00:26:55.960 not only the business landscape to try and get an agreement done, but also 332 00:26:56.039 --> 00:27:00.680 the political landscape of who are the people that might influence it's And I love 333 00:27:00.759 --> 00:27:04.440 this topic, Tim, because I know that we have a lot of individual 334 00:27:04.640 --> 00:27:10.240 reps out there listening who might not be at companies that have contracted force management 335 00:27:10.359 --> 00:27:12.359 or don't have commanding the message, so to speak. But they're in there 336 00:27:12.480 --> 00:27:18.720 just trying to grind and do the best that they can to get their deals 337 00:27:18.720 --> 00:27:22.000 across the finish line. And this is something that you can really think about 338 00:27:22.079 --> 00:27:26.400 as an individual seller. Let me look at what I'm presenting to my customers, 339 00:27:26.599 --> 00:27:30.799 let me see how it's going to be received. Let me think through 340 00:27:30.920 --> 00:27:33.039 some of these tips Tim share today and figure out how I can give them 341 00:27:33.720 --> 00:27:40.039 multiple options that are aligned to their outcomes. Would love to hear how this 342 00:27:40.279 --> 00:27:42.839 podcast topic maybe has changed your frame of thinking. And if you have any 343 00:27:44.160 --> 00:27:48.240 success stories after listening to this, please reach out and let me know find 344 00:27:48.279 --> 00:27:51.519 me on LinkedIn. But I think there's also the next step here, Tim, 345 00:27:51.640 --> 00:27:53.839 is that if we are leading a team, if we are leading a 346 00:27:53.960 --> 00:28:02.480 sales organization, getting the right mindset around our negotiations strategy is something that will 347 00:28:02.559 --> 00:28:07.079 really move the needle and make things more efficient and effective and stop the fire 348 00:28:07.160 --> 00:28:11.920 drop well and not stopped. We can never stop fire drills. We minimize 349 00:28:11.400 --> 00:28:18.440 the mess that sometimes happens at the end of these deals. And I would 350 00:28:18.480 --> 00:28:23.160 just like to maybe close here with a little bit of your perspective, and 351 00:28:23.359 --> 00:28:29.279 how do you equip a team to think this way? How can you operationalize 352 00:28:29.880 --> 00:28:34.119 better multiple options for your buyers at the manager level, at the leader level, 353 00:28:34.640 --> 00:28:37.839 you're gonna be shocked to hear this, Rachel. Let's go back to 354 00:28:38.000 --> 00:28:42.640 four essential questions. Yeah, I can get my team focused on what are 355 00:28:42.720 --> 00:28:48.759 the big problems we solve for our customer, how do we solve them, 356 00:28:48.799 --> 00:28:52.799 and how do we solve them differently? Okay, now from the insights to 357 00:28:52.960 --> 00:28:57.559 that. As a leader, I can say we should be managing our upfront 358 00:28:57.640 --> 00:29:02.000 discussions. We call its every I don't care what course you've been through. 359 00:29:02.160 --> 00:29:07.279 The conversations. We have to understand their situation and help them better understand their 360 00:29:07.359 --> 00:29:12.319 situation. I want to use that time period to start growing their understanding what 361 00:29:12.480 --> 00:29:17.240 it's going to take to solve those big problems, because I know eventually we're 362 00:29:17.279 --> 00:29:21.359 going to give a recommendation. I want the recommendation to be heard by the 363 00:29:21.519 --> 00:29:26.880 customer in the context of things that are required for them to solve their problem, 364 00:29:26.359 --> 00:29:30.519 not a list those things they could buy from us. So that's you 365 00:29:30.599 --> 00:29:33.279 know, thing number one, or think number two. I guess, come 366 00:29:33.359 --> 00:29:37.920 up with the big problems, figure out up front discovery. How do we 367 00:29:37.119 --> 00:29:44.599 create customer awareness and appreciation for those items number three? All right, there 368 00:29:45.119 --> 00:29:48.680 are a lot of problems out there that we solve, and frankly, there's 369 00:29:48.759 --> 00:29:52.599 probably about half a dozen ways we could do it, half a dozen business 370 00:29:52.720 --> 00:29:57.240 outcomes we can create. Why not start framing out what some of these multiple 371 00:29:57.240 --> 00:30:02.960 options could look like. You know, there's almost always a foundational piece that 372 00:30:03.079 --> 00:30:07.279 I could do now, there's almost always a long term piece that might save 373 00:30:07.759 --> 00:30:11.319 some more money. There might also be a tan gentle one. But I 374 00:30:11.440 --> 00:30:15.599 can start framing those out right now as a leader and say, we know 375 00:30:15.759 --> 00:30:18.160 these are the problems, that's the discovery you need to do. Here are 376 00:30:18.240 --> 00:30:23.279 the requirements you might be targeting. Any if you do, here's three bundles 377 00:30:23.440 --> 00:30:27.640 or four bundles that we know resonate with the customer. Oh, by the 378 00:30:27.720 --> 00:30:33.200 way, last thing, if we get into a trading discussion, let me 379 00:30:33.400 --> 00:30:37.440 give you a list of things that we'd like in return. This is the 380 00:30:37.559 --> 00:30:42.039 oldest concept in sales negotiation, Rachel, give gets. I'm going to teach 381 00:30:42.160 --> 00:30:47.000 my customer, when you ask me to give you something, I'm going to 382 00:30:47.119 --> 00:30:51.720 ask for something that I get in return. Why not give your teams some 383 00:30:52.000 --> 00:30:56.319 guidance on that so that it doesn't at the end feel like a surprise. 384 00:30:56.960 --> 00:31:00.000 They've been socializing that with the customer. Hey, payments or something we care 385 00:31:00.039 --> 00:31:04.920 about. Hey, doing this on our contract versus your contract actually is worth 386 00:31:06.000 --> 00:31:11.960 something to us. Being able to use your executives in a publishable case study. 387 00:31:11.279 --> 00:31:17.680 Those things matter to us. And now I'm starting to broaden the items 388 00:31:17.759 --> 00:31:22.920 that could be in a negotiation. And here's the other oldest idea in a 389 00:31:22.000 --> 00:31:26.880 sales negotiation, Rachel. When it comes down to one thing, that is 390 00:31:26.960 --> 00:31:32.039 not a position of strength. Right, the best sales negotiating organizations in the 391 00:31:32.160 --> 00:31:37.640 world negotiate on multiple items, and guess what, they don't bring those up 392 00:31:37.680 --> 00:31:41.200 at the end. They've been building the foundation all on. And when I 393 00:31:41.519 --> 00:31:47.480 can negotiate for value across multiple items, and I got a list in my 394 00:31:47.599 --> 00:31:52.440 pocket of additional things we could ask for if they ask me to give one 395 00:31:52.519 --> 00:31:57.200 more thing. I'm always prepared to get value back in return. That builds 396 00:31:57.200 --> 00:32:01.920 our position negotiate. It makes us more effective, and it helps us and 397 00:32:02.240 --> 00:32:07.000 them capture more value. And guess what, Rachel, At the end, 398 00:32:07.599 --> 00:32:12.799 it doesn't look like what everybody else is doing. They consistently get more value 399 00:32:12.839 --> 00:32:17.680 from us. We capture more value. This is a totally uncommon way to 400 00:32:17.880 --> 00:32:23.799 I toly look different, but to achieve different outcomes, and over a period 401 00:32:23.839 --> 00:32:28.119 of time, maybe not the first time our listeners do this, but the 402 00:32:28.279 --> 00:32:32.079 second or third or fourth time they negotiate with a customer this way, the 403 00:32:32.200 --> 00:32:37.880 customer starts noticing and they pick up. Hey, when I share what I 404 00:32:37.000 --> 00:32:40.720 want with these people, they come back, not always with exactly what I 405 00:32:40.839 --> 00:32:45.519 want, but they hear it, and I know they're going to ask for 406 00:32:45.680 --> 00:32:50.000 something in return. So maybe I'll start thinking about what would be a value 407 00:32:50.039 --> 00:32:53.079 to them instead of just what would be a value to me. And this 408 00:32:53.319 --> 00:32:58.519 thing builds off each other and before you know it, and the cycle of 409 00:32:58.640 --> 00:33:04.880 two or three renewal. It's a completely different conversation. Change the conversation, 410 00:33:05.440 --> 00:33:09.400 change the conversation, and there's as much differentiation and how we sell as there 411 00:33:09.640 --> 00:33:13.839 is in what we sell. Your favorite boom Yeah, top the mike. 412 00:33:13.960 --> 00:33:17.720 Rachel, thank you so much for joining me for the conversation. Tim awesome. 413 00:33:19.559 --> 00:33:22.160 As you can tell, I got a little passion for this, but 414 00:33:22.319 --> 00:33:28.000 it is such an underleveraged piece our tool and our toolkit. I would like 415 00:33:28.079 --> 00:33:30.960 people to learn more about how they do it. Yes, and if this 416 00:33:30.119 --> 00:33:36.519 strikes a chord with you and you're an individual rep and you want more insight 417 00:33:36.680 --> 00:33:40.160 into improving your negotiation, improving your discovery, be sure to check out a 418 00:33:40.319 --> 00:33:45.519 sender. We have plans for individuals and small teams and if you're leading an 419 00:33:45.680 --> 00:33:50.079 organization, we can help you. At Force Management. Thanks Tim, You're 420 00:33:50.119 --> 00:33:52.319 welcome. Rachel, good talking to everybody. Thank you to all of you 421 00:33:52.440 --> 00:33:58.079 for listening to the Audible Ready Sales podcast. At Force Management, we're focused 422 00:33:58.119 --> 00:34:04.160 on transforming sales organization into elite teams. Are proven methodologies, deliver programs that 423 00:34:04.279 --> 00:34:08.719 build company alignment and fuel repeatable revenue growth. Give your teams the ability to 424 00:34:08.800 --> 00:34:14.679 execute the growth strategy at the point of sale. Our strength is our experience, 425 00:34:14.960 --> 00:34:17.840 the proof is in our results. Let's get started. Visit us at 426 00:34:17.920 --> 00:34:22.760 force management dot com. You've been listening to the Audible Ready podcast. To 427 00:34:22.960 --> 00:34:27.719 not miss an episode, subscribe to the show in your favorite podcast player. 428 00:34:28.000 --> 00:34:28.760 Until next time.