Jackie Zach
August 5, 2024
In today’s discussion, Jackie Zach and Mike McKay dive into the concept of a purpose statement within sales. They explain that a purpose statement is crucial for setting the tone and structure of sales meetings, helping to clarify the agenda and manage customer expectations. By asking for permission and outlining the process, sales professionals can give buyers a sense of control, which enhances the overall experience and effectiveness of the meeting.
The conversation also touches on the importance of addressing objections early and maintaining control throughout the sales process. Mike and Jackie emphasize that each stage of the sales process should have its own purpose statement, tailored to guide the conversation and address potential concerns. They preview future topics, such as scripting, which will further refine the sales approach and strategy.
Do you have a purpose statement in your business? Take advantage of a complimentary business strategy session to discover the opportunities in your business! https://actioncoachwi.com/podcast-ask-a-question-complimentary-session/
Podcast Transcript
Jackie Zach: Welcome back to Tough Love for Business. I’m Jackie Zach, and I’m here with my co-host, Mike McKay. Last time, we covered selling and sales training. Today, we’re diving into the concept of a purpose statement. We’ll discuss what a purpose statement is, why it’s important, and what it might sound like in your business.
Mike McKay: Great. So, Jackie, what does our purpose statement sound like?
Jackie: I have it right here. I won’t read the whole thing, but it starts with: “First of all, is it okay if I outline how our meeting will go today?” We start by asking for permission and then outline the agenda. Why is it important to get permission?
Mike: Because, if you’re not a fan of salespeople, you might not want to listen to this version of the podcast. The point of asking for permission is to give the buyer control over the meeting. We want them to feel in control of the direction we’re taking, even though we guide the conversation.
Jackie: Exactly. Let’s step back for a moment. We touched on the first line of our purpose statement. But what exactly is a purpose statement?
Mike: When you sit down to sell something to somebody, they have two competing thoughts: one is, how much is this going to cost? And two is, what’s this person going to do to me? Like, what’s this conversation going to feel like? The purpose statement is to tell them both of those things.
We don’t include the price in our verbal purpose statement; it’s on our website because it depends on what program the person is looking at. We use a price range of $15,000 to $500 a month, a huge range. This technique is called anchoring. We mention $15,000 to create a strong initial impression. Then, when we show the actual price, it might be $2,450 a month or $3,450 a month depending on the company size. This makes the actual cost seem more reasonable, softening the impact of the high number.
Jackie: Right. The purpose statement isn’t just for one point in the sales process; it’s used at every stage. Each step of the process should have its own purpose statement.
Mike: Yes, exactly. Each step should have a clear goal, be based on what happened before, and include a follow-up if needed.
Jackie: Exactly.
Mike: Every stage of your sales process should have a goal, a basis for that goal, and a follow-up plan if the goal isn’t achieved during the meeting.
Jackie: We’ve recently discussed addressing objections early on, rather than waiting until the end.
Mike: That’s right. By addressing objections early, you give the prospect control over the process. For example, our purpose statement might start with, “Is it okay if I explain how our meetings typically run?” The person we’re talking to has never refused this approach. We then explain our process: asking questions about their business, determining if we can help them achieve their goals faster, and offering a coaching program if it’s a good fit. We address common objections: the cost, the need to think it over, and being too busy. We explain that if they’re busy, it’s a choice, but we’ll provide clarity on their business. If we determine that working together could benefit them, we’ll invite them to invest in a coaching program.
We intentionally ask for permission at the start and end of the meeting, build rapport, ask questions, conduct a financial review to show potential earnings, and handle objections. So, your sales script should have all those sections. In objection handling, if they say they need to think about it, we ask, “What specifically will you think about?” Most people don’t have a clear plan; it’s often a stall. If they need more time, we guide them with three questions: 1) How long do you want to keep facing the same problems? 2) Why haven’t your previous solutions worked? 3) How long do you want to keep leaving money on the table? For a million-dollar business, this can be $10,000 to $20,000 a month due to indecision and inefficiency.
Jackie: Why is it important for the customer to feel in control?
Mike: Because, as professional salespeople, our role is to help them decide if they want to buy based on whether our solution addresses their problem. For example, in HVAC sales, you might ask, “With summer coming, how soon do you want to solve this problem?” Respectfully giving the prospect control helps them decide to buy or not. If they’re set on not addressing their problem, you should let them make that choice.
Jackie: Exactly. If you don’t have a purpose statement at the beginning of your sales meetings and throughout the process, now is a good time to create or revise one. Consider using scripting to define your goals, ask for permission, and manage the meeting so the prospect feels in control. While it might seem minor, a purpose statement sets the tone for everything. Also, addressing objections upfront is crucial. We’ll discuss scripting in another podcast, as there are varying opinions on it, even among respected sales training organizations.
Mike: Yes, we should definitely cover scripting in a future podcast.
Jackie: Great. Tune in next time when we discuss scripting.