DEFINING RELATIONSHIPS

BY MARK SERAFINO

A universal goal of every salesperson is to establish a relationship with a prospective customer. It is nearly impossible to make a sale without first making a connection with the customer. The need for a relationship is so great that salespeople are often measured by the number and quality of customer relationships that they possess. When sales managers meet a salesperson to discuss their performance, the salesperson will invariably point to the quality of their relationships to highlight their worth to both the customer and their employer. But are all customer relationships the same?

Understanding the foundation that a relationship is built upon is a necessary component to continued sales success and growth, both with the customer and for the salesperson. Without an understanding of why there is a good relationship, we might leave the door open for a competing salesperson to fill a void that we may not know existed.

Customer relationships can be sorted into three basic categories: compatibility, knowledge, and trust. Relationships that are founded on only one of these building blocks could be susceptible to competitors who could erode existing business, by standing on firmer relationship ground.

Having all three parts assures a salesperson favored vendor status, while only connecting on one of them could make you vulnerable to competitive attack.

Of the three relationship components, compatibility is the most common and with rare exception the point where all relationships begin. ‘You do business with people you like’, is an adage often repeated by both seasoned buyers and sellers. The danger of a compatibility only relationship is that it lacks useful depth for the customer, Relationships that center on fun topics without sharing knowledge can be easily replaced.

For this reason, knowledge stands hand in hand with compatibility, since having the ability to provide expertise in your products and industry offers customers an added value and efficiency which can have an impact on their bottom line. Imagine competing salespeople calling on the same customer within hours of each other. ?The first salesperson has a compatibility-based relationship with the buyer and starts the sales call with a funny story, short discussion on last night’s ballgame, and the weather forecast for the weekend. He asks the buyer ‘how it’s going’ and follows up on a previous transaction. After a few minutes the conversation grows stale, and the salesperson ends the call and goes on to his next customer visit.

Later that day, the competitor’s salesperson visits with same customer. This person’s relationship has equal elements of compatibility and knowledge. After a similar conversation of soft topics, i.e. last night’s game, and following up on previous transactions, she asks the buyer a question about an upcoming project they are pursuing and shares knowledge she has about supply chain issues and how her company is offering a cost saving solution. She leaves this meeting having scheduled a follow-up meeting with the buyer and his executive team.

?Both salespeople possess compatibility with the customer. In the beginning stages of a relationship, compatibility is like a cover charge that everyone pays to get into the club. Once inside the building knowledge moves you from general admission to VIP status.

Compatibility is not merely subject to chance. In today’s world, there are social media sources that allow us to learn a great deal about our prospects and customers. Researching these sources will give you insight into the things that are important to your client. Does the customer have a growing family? An interest in sports and specific teams? Is she a pet owner? Do they own a boat? The opportunities are many. Obviously, it helps if you have some interests in common, but you can also build compatibility just by showing genuine interest in the things they love. Prior research on such topics and sincere questions about them can build compatibility.

?Having knowledge is of course a critical asset to any salesperson. Successful sales professionals make sure they are up to date on the latest trends in their industry. How and when you use that knowledge matters. Knowledge shared could help a customer to avoid costly errors or open new avenues to increased revenues for both customer and salesperson.

When compatibility and knowledge come together in a relationship, the salesperson is one step closer to achieving the ultimate in relationship status: trust. According to the United States Marine Corps trust is given, not earned. Trust given to a salesperson is most often the result of sustained performance on the customer’s behalf in broad spectrum of services. Trust given by a customer is acceptance into an inner circle of essential suppliers relied upon to help customers meet and exceed their goals.

If as most salespeople would agree, ‘good customer relationships drive success’, then relationships formed by compatibility, knowledge, and trust, are the pillars that build a lifetime of growth and record performance.

?? 2024 Mark Serafino

[email protected]