Does Your Team Have a Strategy for Closing Deals?
Wouldn’t it be nice if customers just showed up, ready to buy your products or services? Your reps’ job would be much easier. They wouldn’t ever have to qualify leads, negotiate, or worry about the other milestones along the path to closing a deal.
In reality, selling is complex. To be successful, salespeople need a plan for navigating the sales process and getting customers across the finish line. Otherwise, they may miss out on opportunities and struggle to replicate their results.
In this lesson, you’ll learn about common sales methodologies, why a methodology is essential to closing deals, and when different selling approaches are most useful.
Watch this video to learn about common sales methodologies and when you should use them.
What Is a Sales Process vs. a Sale Methodology?
In sales, the terms “methodology” and “process” are sometimes used interchangeably. However, while they’re related, they’re not the same thing.
Explore the flashcards below to learn the difference, starting with “Sales Process.”
Tap on each card to reveal more information.
Sales Process
Sales Process
Sales Methodology
Sales Methodology
Think of it like this: If a sales process is a map for closing a deal, then a sales methodology provides turn-by-turn directions for getting customers to the destination successfully.
Why a Sales Methodology Is Essential
Over time, a team’s selling approach can become inconsistent, especially when it grows or changes. New or inexperienced reps may experiment with different methodologies, while veteran sellers often stick with tried-and-true practices. This patchwork of selling approaches can make achieving consistent results difficult. The solution? Adopting a universal sales methodology for the entire team.
Let’s look at three benefits of a consistent sales methodology:
- Streamlined customer experience. In today’s fast-paced buying environment, customers demand effective solutions quickly. With a universal selling method, all team members are on the same page about how to assess needs, meet them, and move customers from one selling stage to the next. No matter who your customers work with, they get the same buying experience.
- Targeted performance metrics. Knowing what is—and isn’t—working is challenging when your reps all take different approaches to selling. You end up with an overabundance of metrics in an effort to accommodate different selling techniques. By contrast, when you adopt a consistent selling framework for your team, you can narrow your metrics down to only those ones that assess optimal selling behaviours.
- Cohesive support network. Salespeople aren’t the only parties involved in the selling process. Subject matter experts, executives, and other stakeholders can also play a role (for example, as part of a sales presentation). When a team uses a universal selling methodology, non-sales professionals only have to learn a framework once—instead of every time they work with a different sales rep.
Now that you know what a sales methodology is and why it’s beneficial, let’s move on to some common selling approaches and when to use them.
Top Sales Methodologies
Choosing the right sales methodology for your team can be overwhelming, especially because new approaches crop up frequently. Which is the best one for your team, customers, and overall situation?
In the drop-downs below, you’ll find some of the most common sales methodologies, along with when it’s best to use each one.
Challenger Sale
The Challenger Sale method, developed in 2011 at an executive consulting firm, advocates that salespeople take the lead in conversations with customers. A sales rep’s role is to educate a buyer about an undervalued or low-visibility issue. The theory indicates that when reps lead with insights, rather than with a product or service, buyers focus on the problem and how the offering can solve it.
To be effective, Challenger Sale reps must deeply understand their customers’ industries and pain points. In doing so, they can position themselves as trusted advisers and tailor the sales process according to their customers’ needs.
Use this approach for:
- New product categories. When companies diversify their product range into new areas of operation, they may not immediately recognise problems in their operations. Reps can make companies aware of potential issues and how their offering can address them.
- Highly competitive markets. If you have a product or service that your competitors can’t match, then your reps should focus on educating buyers about what sets your company’s offering apart. For example, if you’re the first to market with an innovative product feature, reps could use that as a selling point.
SPIN Selling
The SPIN Selling method has been used by sales professionals for over three decades. This approach uses question-asking and discovery to uncover customers’ problems, the impact of those problems, and potential solutions.
Each letter in SPIN stands for a different type of question that reps can use to uncover customer issues.
SPIN stands for:
- Situation. Situation questions are used to gain understanding about a buyer’s context, and can’t typically be answered through research. For example: What tools do you use to manage projects?
- Problem. Problem questions get the buyer talking about their problems and needs. For example: Do your employees ever get overloaded with tasks?
- Implication. Implication questions build urgency by uncovering what would happen if the buyer doesn’t address their problem. For example: What impact has work overload had on your team’s morale?
- Need-payoff. Need-payoff questions reveal the potential benefits of solving the problem. These questions propel the deal forward by getting the buyer to acknowledge—and sell themselves—on the benefits of solving the problem. For example: Would a project management tool that lets you see workloads and team availability reduce this issue?
Use this approach for:
- Complex deals. Some buyers may not have the patience to answer a lot of questions. Make sure the question-asking is warranted, and parts of your sales process are dedicated to discovery calls.
Sandler Selling
The Sandler Selling method, developed in 1967 by David Sandler, is rooted in human behaviour psychology. It emphasises asking questions, rather than simply giving customers the answer, and a mutual level of commitment from both the seller and the buyer.
In Sandler Selling, the rep acts as a trusted adviser, not a stereotypical pushy salesperson. They’re as invested in the success of the proposed solution as the buyer is. When done right, the Sandler Selling approach can actually lead the buyer to believe they’re the one pursuing the deal, not the other way around.
The Sandler Selling method includes three stages:
- Building the relationship. The rep first develops a rapport with the buyer and demonstrates a desire to solve the buyer’s issue.
- Qualifying the opportunity. Then, the rep determines if the potential buyer is a strong lead and can commit financially, and who the decision-makers are.
- Closing the sale. If the potential buyer passes the qualification stage, the rep focuses on presenting a solution and closing the sale.
Use this approach for:
- Most sales situations. Sandler Selling is a versatile approach that can be used in a variety of selling environments.
MEDDIC
The MEDDIC method is a top choice for identifying quality leads, usually in a business-to-business selling environment. This strategy, which was developed in the 1990s, focuses on qualifying potential customers to achieve higher closing rates. By gaining insight into the decision-making processes inside a buyer’s organisation, reps can determine if a company is likely to buy—and then tailor and target their sales strategy.
MEDDIC stands for:
- Metrics. What’s the measurable impact of the solution?
- Economic buyer. Who is financially responsible for this decision?
- Decision criteria. What criteria does the buyer use to evaluate a vendor?
- Decision process. What is the approval process?
- Identify pain. What are the primary pain points and business objectives?
- Campion. Who’s a key player who can sell on your behalf inside the company?
Use this approach for:
- Organisations with multiple decision-makers. This method helps reps navigate complex buying processes. When they know which steps to take with each decision-maker, reps increase their odds of closing the deal.
Inbound Sales
Inbound Sales rejects traditional “hunting” methods in favour of the leads that come to them. Using insights from the marketing team regarding leads’ challenges, pain points, interests, and priorities, reps can personalise their messages and solutions. Aligning their selling methods with the buyer’s journey takes priority.
Use this approach for:
- Buyers who are already actively searching online for a solution like yours. These buyers have a demonstrated need, which you can meet with your product or service.
Transparency Sale
The Transparency Sale focuses on building trust with buyers through honesty and integrity. Customers expect to feel manipulated by salespeople. But with the Transparency Sale, reps lead with the truth. They tell prospects not only what’s good about their products or services, but also what’s wrong with them. By doing so, they can win people over and build long-term relationships with customers.
Use this approach for:
- Most sales situations. The Transparency Sale is a versatile approach that can be used in most selling environments.
Which methodology is right for your team? You might use different approaches depending on the circumstances. Factors to keep in mind include your customers’ needs, the complexity of your sales process, and your overall business goals.
Summary
Once you have your sales process figured out, the next step is choosing a sales methodology for getting customers from one stage to the next. A consistent methodology not only keeps your reps on the same page, but it also streamlines the customer experience, helps you target your performance metrics, and makes working with non-sales stakeholders much easier. Given the wide variety of sales methodologies to choose from, you may need to examine your operations from different angles. Consider your customers’ needs, the complexity of your sales process, and your overall business goals when deciding which methodology—or methodologies—will work best for your team.
- Is one methodology enough for your team? Probably not. No single strategy works in every situation. As your company grows and business needs evolve, so will the methods you use to close sales. What worked in one stage of your company’s growth may fall flat in another. So, arm your team with several effective methodologies and adapt your approach when needed.
You’ve already learned how to develop an effective sales process and gotten strategies to meet your goals. Next, you’ll learn how to set clear guidelines your team can follow to meet goals.
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