So how do you find those opportunities in an economic downturn?  Salespeople and sales managers should find the answer in not only avoiding some common mistakes, but by taking some proactive steps.  The most recent STAR blog presented 5 common mistakes made by salespeople during a down economy and featured the first two mistakes shown below:

1. Not spending enough time on sales prospecting, at a time when sales prospecting is needed more than ever.
2. Getting discouraged, which allows your competition to take business away from the seller’s company.

Now, we continue the topic and feature the balance of the list of common mistakes salespeople make during a down economy.
3. Not responding well when customers ask for additional concessions.
4. Failing to communicate the value that the seller’s company can provide for a particular customer.
5. Missing the opportunity to wow existing customers.

Take these proactive steps to find opportunities in spite of the challenging economy we’re all facing:
 
Don’t be surprised if your current customers ask you to make additional concessions. The prevailing bottom-line climate has created an increasingly frequent request by customers to reduce costs.  Salespeople are being pushed more and more by customers for deeper concessions, especially on price and payment terms.  The prevailing competitive culture makes Sales Negotiation Skills savvy a top priority, and requires you to be confident and skillful at both giving and getting concessions.

Highlight the value that you can provide. You don’t always have to make a concession, even though times are tough. If you can provide value to a client in ways other than reducing the price, this is the time to do so and can be a "win win" solution for both of you.  As an example, STAR was recently asked by one of our clients to make a concession but offered instead to help them in some revenue-generating actions that will end up increasing both of our revenue streams, and negated the need to make a price concession.

This is the time to wow your customers. What can you do to exceed your customer’s expectations? If you can provide them some additional service or benefit, at no extra charge, you will strengthen your relationship and set yourself apart.  For more on this topic please visit our recent blog “Last Time I Checked, Wowing Your Customers Did Not Any Include Nickel-and-Dime tactics.” 

We'd like to hear from you. Which other mistakes do sellers make during a business downturn? What should sellers do now to win and retain business?

The best companies will survive during a down economy and will ultimately thrive when the recession ends precisely because of their efforts made during those tough times. As you’ve already seen, many weaker organizations will not survive.  As one of many examples, compare Best Buy to Circuit City.

In an analogous way, the best sellers are adaptable and find opportunities during a down economy to retain business and strengthen customer relationships. By contrast, poor salespeople make several mistakes and don’t do well during difficult economic times. 

Common Mistakes Made by Salespeople in Difficult Times
• Not spending enough time on sales prospecting, at a time when sales prospecting is needed more than ever.
• Getting discouraged, which allows your competition to take business away from the seller’s company.
• Not responding well when customers ask for additional concessions.
• Failing to communicate the value that the seller’s company can provide for a particular customer.
• Missing the opportunity to wow existing customers.
 
For starters, we’ll focus only on the first two mistakes:
 
Now, more than ever, you need to spend time prospecting for new business. In our Prospecting and Business Development Workshop, we cite that successful sellers spend more time than average sellers do at keeping their sales pipeline full. This is always important but notably so when times get tough.  In a down economy, you must spend extra time on sales prospecting. In addition, a down economy is a great time to be more creative in your sales prospecting. As one example of the latter point, now is the time to explore for slightly different market segments or geographic regions that may not be experiencing as difficult a time as your existing customer base.
 
Don’t get discouraged.  It is easy to get discouraged when customers are slowing down and reducing the frequency and quantity of their orders.  Today, nearly all salespeople are likely to encounter more “no’s” when asking for an order, but keep in mind that the competition is experiencing the same difficult times.  Here is how one seller that is being coached by STAR has responded to the slower economy:  “I'm going to try to contact XYZ customer again this afternoon - I don't give up easily!”  Nor should you!
 
We'd like to hear from you. Do you agree that more time and creativity needs to be spent on sales prospecting during a down economy? How can you minimize becoming discouraged in today’s business climate?