By The Running The Room
“We really like what you’re offering, but just so you know, we are also talking to your competition.”
This statement from a client can send salespeople into a tailspin.
“What? They’re talking to the competition? Lower the price! Lower the price!”
Take a deep breath and don’t panic. This statement is straight out of the sourcing playbook, and you should understand that:
1. The client is stating the obvious. We should always assume that they are talking to the competition (because they are).
2. The client is giving a little flash of its BATNA. This is how the client says, “You may have something I really want; but I have power. I have alternatives I can go to. Your solution is not the only answer to my problems.”
So what is the best way to respond to a client’s exertion of its power?
One of the most fundamental emotional desires we have is to be appreciated and respected. With the existence of our “self” comes the feeling that our “self” matters. We see this often in the news when people act out; they want the attention, and for people to know “I matter.”
So the way to handle someone asserting their power or authority in a sales situation is to overtly recognize it in your response. This statement of power is one that comes, more than anything, out of emotion. You can defuse and calm that emotion by acknowledging the assertion for its legitimate purpose: the client wants you to know they want the best deal possible.
One potential response: “It sounds like you’re focused on making the best decision possible for the company. It makes a lot of sense for you to get other points of view. This is an important decision and I know I would want a point of comparison as well. My goal is to work collaboratively with you to understand the outcomes your company wants to achieve so we can present a proposal that provides greater value than any other alternative you have.”
And that is now your sales strategy! Articulate how your value proposition is greater than the competition. Because the client will only exercise its BATNA power when it perceives that what the competition is offering is better than what you’ve said you will do. Provide more options. Bring unique capabilities. If you truly understand the client’s interests and goals, you should be able to offer different ways that you can achieve those goals, and more, together.
