Posts Tagged ‘neil rackham’

SPIN Selling

January 13, 2012 Leave a comment

Inspired by Mistake No. 11 in The Termite Effect.

Mistake No. 11 in The Termite Effect  is “Your Business Does Not Have a Well-Defined Sales System”.  Many business owners and entrepreneurs are winging it when it comes to their sales process. As a matter of fact, calling their sales activity a process is quite a stretch.

One of my favorite books on sales is Neil Rackham’s SPIN Selling whose analysis suggests a specific questioning sequence. Below is a synopsis:

S – Situational Questions

  • Background and data-gathering.
  • “How long have you had your present equipment?”

P – Problem Questions

  • Implied needs, explore difficulties and dissatisfaction in areas where your products or services can help.
  • “Are you concerned with the quality of output from your current equipment?”

I – Implication Questions

  • Build upon the implied need. Discover the seriousness and urgency of the need.
  • “How does the equipment impact your profitability?”

N – Need-Payoff Questions

  • Get the customer to explain to you the benefits that your solution could offer them.
  • “What would it mean to your business if we improved your equipment’s speed by 10%-15%?”

Rackham suggests developing and maintaining a problem solving mentality. If you can solve a problem for a prospect, you most likely have a sale. You identify their problems by asking great questions.  |

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