EBlog

What does your buyer want?  Dissecting the complex B2B sale.  Part 4: Negotiations.

August 27, 2008 | Posted by: Lee

A series of posts that looks at the complex B2B technology sale.  Specifically, what's changed, who's involved, what they want, and where they go to find answers.

PHASE 4: NEGOTIATIONS.

Who's involved? 

Bring on the decision makers.

At this point in the sale, the buyer is comparing vendors on their short list to each other, talking specifics about pricing, support, and features.  They're also looking to develop a personal relationship with your company.

When it’s time to start comparing vendors, the true decision makers start appearing.  Typically, these individuals have final say when it comes to costs, and ROI, and are often a key part of the negotiations.

What do they want?

If you've made the short list, the buyer continues to collect information about your solution, but they're diving deeper into features and functionality.  They're also ready to know more about the company and people behind the solution.

Specifically, they're looking for information on:

• Your management team, experts, and product specialists
• Your customers
• Your history
• Your latest news

Where do they go?

Social network sites provide validation and pricing info.

At this stage, buyers are using social networking sites to reach out to others who've used your products.  They're looking for price points and specifics on implementation and customer services. 

If they can get information on what another company paid, they’re in a better position to negotiate a better price for themselves, or at least they’re armed with what the pricing might be.  That’s difficult for you as if the information they’re getting is too high, they may bolt.  If it’s too low, then negotiations start off on the wrong foot.  Either way, be prepared for the buyer to have some expectation of what pricing should be.

Webinars and podcasts become more important.

MarketingSherpa found that webinar and podcast attendees are more senior members of the buying team who are further along in the buying process.  Because representatives of the company are involved, buyers get a better sense of who's behind the solution.  Webinars that allow audience participation also allows buyers to see how you interact with and address potential buyers' questions and concerns.

What does this mean for me?

Make it easy to get in contact with you.  And respond quickly.

Because much of the negotiations process is offline or face-to-face, your buyer is starting to rely on direct communications to get their questions answered.  Be sure your contact information is easily accessible. Include both email link and phone number.  We recommend putting both in the footer of every page.  

It’s not surprising that the faster you respond to inquiries, the better it is for your company.  What is surprising is how fast you need to respond.   A MarketingSherpa study found that at least half of the organizations responded within 1 – 2 days, but a third said it typically took more than three days.  Your buyer, however, wants and expects a response within 24 hours. 

Give buyers insight into your company and the people behind your solution.

Don't skim on the "Company" section.  Help buyers get to know what you're all about.  In addition to company history and the obligatory management bios, link to photos or videos of events you've held or attended to show a more personal side of your company.

If budget allows, shoot videos of your leadership talking about your philosophy, successes, and key differentiators. Include quotes from clients that back up what your leadership says.

Develop podcasts and webinars with rich content.

Consider creating and posting webinars and podcasts that focus on benefits, ROI, and integration concerns.  Post these to your site as well as push them out to other industry related sites.

The most often cited reason for bailing on a webinar was that the “content was not as advertised,” followed by “the presenter read directly from the slides,” and “the webinar began with company/sales information”.  Be sure you’re clear about the content you’ll deliver and then be sure you deliver on that promise.  Don't make it a sales call, make it informative.

Monitor social media sites for your name and products.

If you don't monitor the blogosphere you won't know who's talking about you (and potentially providing inaccurate information).  Set up a Google alert to search for your company and product names.  Monitor influential social media sites and provide clarification when needed about products and services.  Be sure not to sell or "call out" people, but simply provide clarification as needed.

In the next and last post (woot), we'll dissect the final phase of the buying cycle - Purchasing.   Who's involved, what they're looking for, and where they go to get it.