Why Focusing On Closing Is Killing Your Sales

Dear Jeff, I’ve got this problem. I’ve been calling customers to follow up on quotes that I’ve given them and on prospects who have expressed an interest.

They tell me they haven’t had time to look at the proposals or aren’t ready to… make a decision. The interest was supposedly there in the first place, but I only close 20 percent of interested people.

Can you help me? -Sandra

Dear Sandra, Let’s start with a basic premise: If you’re closing only 20 percent of your opportunities, than 80 percent of the people you’re talking with aren’t buying.

Eighty percent of your time is wasted. Here’s something to think about: If you only wasted 60 percent of your time you would double your income.

If you’re focusing on improving your closing skills, you’re focusing on the wrong problem. Improve the quality of your “OPENING” skills, and you’ll close many more small business sales. Let me explain.

You said, “The interest was supposedly there in the first place.” But there is a difference between having an ‘interest’ and having a NEED. If your customers have a need, and they want to do something about it, they buy.

If they don’t, there is no sale. In every sales opportunity you must know the following:

* What is the customer’s situation or problem?

* Why does the customer need your product or service?

* Who are the decision makers?

* How do they go about making decisions?

* What is their financial situation?

If you don’t have answers to each of these five questions the sale never closes.

You may think you have an opportunity, but you don’t. It’s a mirage. You call every few days – or weeks – and are always told, “We’re still thinking.”

30, 60 or 90 days later, after placing a dozen phone calls, you’re finally given the bad news, “Thanks, but we’re not interested.” Ask better questions instead of being in a hurry to have face-to-face meetings and create proposals, take more time to ask better questions.

I teach my consulting clients how to ask qualifying questions, need development questions, and economic consequences questions over the phone so they can pre-qualify their prospects ‘before’ they meet with them. If the prospect gives answers that match what you think they should be, it leads to an appointment and probably a small business sale.

If the answers don’t measure up, there’s no reason for getting together. To make this work you’ve got to have great phone skills. The goal isn’t to have lots of face-to-face meetings. It’s to have meetings with interested prospects. Furthermore, the goal isn’t to create proposals. It’s to close small business sales. So don’t be in such a hurry to create quotes and proposals.

Ask questions to learn about their goals, dreams and desires. What problems do they have that you can help them solve? What keeps them up at night? Once you’ve gotten satisfactory answers to your questions, create your proposals and make your presentations.

You’ll see fewer people, but will close a much higher percentage of them.

And with your newly freed up time, you can get on the phone and look for more prospects.

– Jeffrey