Selling to Various Stakeholders
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Selling to Dealers
Strengthen your relationships with dealers by
focusing on how much they sell, not how much
they buy.
When you commit to their success, both parties
win.
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Many companies sell to dealers as part of their
distribution channel
Most have a Unique Selling Proposition (USP),
but the reality is most products are very similar.
Companies are focused on selling to the dealer,
rather than through the dealer.
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1.Sell the dealer
If you’re not on the shelf or in the store, you won’t
get sold.
Convince the dealer to carry your product. You
could focus on product features, price, terms and
the customer demand created by your brand and
big ad campaign.
But in today’s world, it’s a shortsighted approach. It
keeps you at odds with the dealer, since you’re both
focused on who can get the best deal.
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Channel Conflict
One of the biggest problems dealers face today
is channel conflict, where big box stores can
easily out-price and out-advertise them with
your same products.
Most manufacturers attempt to ignore this
discussion unless the dealer brings it up. And
then they have a lame answer like, “If you could
purchase in their volume, we could offer you the
same deal.”
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A better way to sell dealers is to do a little
homework before the sales call. Clear your mind
of everything you thought you knew about
dealers and this dealer in particular.
Become an anthropologist. Look at them as if
you just discovered an unknown tribe in the
jungle. How do they communicate? What
dangerous beasts or other tribes are a threat to
them? What is their average day like? Sit at their
location and watch who shops there. What do they
talk about with each other and with customers?
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Now that you have a more accurate and timely
picture of their situation, take a fresh look at
how buying from you can make the dealer more
successful.
Beyond your product, price and terms, what else
can you do for them? How can you be their
partner in your mutual growth and success?
Now you’re ready to sell into the dealer
successfully.
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2. Become the Dealer’s Preferred Brand
Understand their sales process and discover
who the gatekeeper is.
Who can best sway the purchase decision? It
may be the designer, as with a kitchen and bath
dealer; a counter person or outside sales person
for a lumberyard; or the in-home sales person
for a remodeling business.
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Ask why they prefer a particular product or
brand. Is it easier to sell? Is the quality and
delivery better? Do customers request it? Are
there more callbacks or installation issues?
What bad experiences have they had in the
past? This last point is extremely important,
because people will do more to avoid a bad
experience than to benefit from a good one.
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Have they had a bad encounter with your
company or product? If you don’t overcome the
root problem, you won’t succeed.
Have a sales training meeting with the
Gatekeepers
If there are any real or perceived negative issues
with your product or company, deal with them
in a straightforward manner. Walk them through
the features and benefits and any consumer
sales tips you have.
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Review the support tools and answer any
questions.
Finally, check in a few weeks later with the
dealer and gatekeepers to see how it’s going.
Any time there is something new, there will be
problems as people learn how to deal with a
new supplier or product.
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3. Grow the Dealer
Ask the dealer how he advertises and promotes
business.
How do they get more customers or leads?
Most dealers are stuck in the past using the
same old tools, e.g. an ad or a mailer
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Develop new dealer support programs that go
beyond ad slicks and into all the new media,
such as social media, pay per click advertising,
blogs, word of mouth programs and events.
Dealers are just like most other businesses; they
are too busy to think, so they continue with
what they’ve done before or what a media
salesperson sells them.
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The only way they are driven to change is when
a competitor does something new and they
react to it.
As in, “They have a new website; we need a new
website.”
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Step 1: Determine a channel partnership
strategy
A channel partner distributes goods and
services. There are three major types of channel
partnership options to distribute your product.
One: You sell through your partner.
Product companies sell their product through a
third party storefront. Retailers are partners to
products they think will sell with their
customers.
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Two: Your partner sells with you.
Here, partners sell your products as an upsell or
missing value proposition.
Any company that offers your service as a way to
expand their offering fits into this category.
e.g. a car reseller might work with a bank
to upsell a car loan
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Three: Your partner sells for you.
Any partner acting as the promoter or seller of
your product falls into this category.
This partner is:
1) a sales and marketing partner using marketing
and sales resources to promote your product to
new markets, or
2) a value added reseller, using your service as part
of their own service offering. This provides
additional value in the operation of that service,
instead of simply selling it e.g. an OEM
partnership
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Step 2: Identify relevant partners and grade
them
Factors to consider to ensure a partnership is
relevant and profitable:
• What market reach do you need? A local partner might
be faster to “close” than a national partner, and could
be helpful if you are targeting a niche market.
• Do they complement your product? Determine how
each partner might help you reach your goals.
• How well does your solution fit the need of the
customer? How likely are your partner’s customers to
purchase?
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Step 3: Develop a coherent plan for reaching
these companies
Once you have established criteria for partners,
reach out to these companies and establish a
connection.
Develop a relationship with their sales team. By
doing this, they are more likely to suggest your
product.
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Step 4: Drive growth through your partners
Channel partners boost sales, decrease time to
market, and provide access to competitive
markets.
Develop a compelling value proposition and
pitch it to that company. Position your company
as a value add to the partner. Does your product
help a company drive profits?
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Selling to Superiors
One of the hardest challenges is how to win top
management’s support for their ideas.
Many feel that their proposals are killed not
because they have poor potential but because
their boss simply does not understand them or
does not even listen to the presentation.
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The solution to this problem is to have your boss
onboard long before the idea comes up.
Top executives who successfully promote
innovation hardly invest in unexpected
breakthroughs. They are actively involved
upfront.
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When you have to sell an innovative idea to your
boss keep in mind that Executives give poor
responses to cold calls — especially when it
comes to breakthrough concepts that require
deep understanding and may have risky
implications for the business. In such a situation,
they, of course, prefer to say “no.”
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Instead, start the interaction with senior
executives earlier in the innovation process:
Get an endorsement to investigate a business
challenge
e.g. if you work in the R&D department of a
food company, a challenge could be coming up
with new products that are healthier and
provide a better experience by eating less.
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It’s more likely that you will gain support for
investigating such a challenge than suddenly
selling an idea for a new valuable cheese that
people will buy in smaller quantities.
So even if you already have an idea for solving a
problem, don’t immediately pitch it.
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Design the innovation process together.
Once you have top management’s support to
tackle the challenge, come to an agreement on
how to come up with ideas for tackling it.
Update top executives frequently.
Keep feeding them information on how the
investigation is developing along the way.
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Involve top executives in the creation of the
solution.
By doing so you will not only receive precious
insights but also stronger support, because
executives will feel they own the idea. (This
implies that your boss will put his or her name
on the idea. Are you ready to sacrifice your ego
for the sake of the innovation?)
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I’m not implying that if you follow these steps,
the idea that you ultimately propose will or
should be accepted.
Steve Jobs' “default answer was no.”
But your boss will definitely have a better
understanding of your proposals, your company’s
decision-making processes will substantially
improve, and you will feel more supported and less
frustrated. if you’re pursuing radical innovation, do
not sell the idea. Sell the process.
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Selling to Peers
Peers are those who are at the same status as
you, in an organizational set up they enjoy the
same rank, grade or designation as you
There is no clear guideline as to who should
have the last word
Who is to decide which opinion is more meritorious
than the others when all individuals are supposedly
at the same level of intelligence?
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Here you need to sell your point of view across
without having the advantage of hierarchy
Basic ground rules are:
Always be a good listener even if you think the
idea coming from someone is irrelevant
Do not have pre conceived notions
Focus on content not the individual
State your opinion, not force it
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Selling to Peers….
Eventually go along with the consensus even if
you do not totally agree
Do not be over critical of someone else's views
Be participative but give each member an
opportunity to voice his ideas
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Selling to Teammates
We participate in teams from a very early age
e.g. school debate, cricket matches
We are first divided into teams and then these
teams compete with each other
We are led to believe that each individual in our
team is on our side and the other teams need to
be treated as competition
Each team has a selected or nominated captain
whom the onus of decision making lies in
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Later on in college we learn to make projects, do
assignments as teams
The main difference in this scenario is that there
is no designated captain or leader
Such a group holds collective responsibility for
all consequences favorable or otherwise
In a professional environment we may have to
work in such teams where there is a collective
goal but no appointed leader
Here selling to teammates is important
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Organizational teams have a designated goal to
achieve within a deadline e.g. organize a sales
conference
You may have a flurry of ideas and according to
you there is no better theme
But you need to sell your ideas to the rest of the
team
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Others may have their own suggestions, there
may be a budget to work with
Even if your idea is sold well the credit goes to
the entire team if the event is a success
After all they did agree to your thoughts!
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Selling to Subordinates
Though this may sound strange, since
subordinates can be simply instructed and they
are bound by hierarchy to obey
This necessary to bring a sense of ownership in
them and to convince them that it is necessary
and relevant
This will bring about a wholehearted effort
towards accomplishment of the task
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Compliance – a group or an individual may
behave indifferently and try to escape doing the
task or some may obediently try to fulfill the job
in a reasonable time frame
Commitment – Doing the task with enthusiasm
and do it in the best Qualitative manner
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Sales performances are measured quantitatively
i.e. sales targets
You are a Sales Manager. How do you sell a
Target (to be achieved) to your sales persons?
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Thank You!
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