Although business-2-business sales can be profitable, a few mistakes here and there can ruin your business. When you keep making these mistakes, they begin to affect your business significantly and cut down your business profits. Sadly, not every business owner can point out these mistakes. It’s worse, especially when other business owners around you are doing the same thing. So, what are these common mistakes, and how to solve them?
Not Going Straight To The Point During Your Sales Pitch
You may be wondering, “But I go straight to the point during my sales pitch, so what do you mean?”. That’s why earlier on, this article mentioned that it is hard to point out some of your sales mistakes. Here’s how you may be getting it wrong with your sales pitch:
Not so long ago, it was perfectly fine to spend a more significant part of the time talking about your product’s features in your sales pitch. However, in today’s world, your customers just want you to go straight to the point — talk about results. When you spend half the time talking about your product’s features and compositions, you end up boring the prospective client. In most cases, your prospect will politely tell you they’ll reach out to you. The truth? 90% of them don’t call back, which leaves you wondering what you did wrong. The truth is you did not do anything wrong. You just refused to get one thing right.
So, what do you do? The next time, instead of talking about the features and benefits of your product, talk about results. Research their business to find out what specific problems they might be facing. Tell them how your product can solve these problems, thus making it easier for them to run their business. Where appropriate, give them practical examples of companies that have used your products in the past to solve their problems. This way, you should be able to close a sale.
Always Giving Discount Sales on Your Products
It is understandable when sales are moving at a snail’s pace, and you just clear out your products from the store. So, you give 10, 20, 30% off or even slash the price in half so that you can sell them. The good news about this strategy is that you will sell them. The bad news about this is that you won’t be making any profits at the end of the day. You may even lose some of your capital to discount sales.
The truth about discount sales is that it attracts every and any customer. If you have an ideal customer your brand caters for, discount sales will ruin that. So, what do you do? Instead of rushing to give discount sales, focus on creating valuable products and finding the ideal buyer. Offering discount sales now and then will only reduce your product’s value and the company’s credibility in the eyes of your prospects. Another thing you must understand is the part that patience plays, especially when your product is unique. Sometimes, it may take a while before you meet with your ideal customer. However, when you do close off a deal with them, you will be glad you waited.
Now, this is not mean that discount sales are a bad sales strategy. However, you must not do it all the time.
Putting Unnecessary Pressure On The Prospects
When prospects say that they will get back to you, the wise thing to do is to follow up. This way, you are constantly reminding them about your business. However, there is such a thing as putting unnecessary pressure on the client. When you call a prospect three to four times a week or send them daily email reminders, it can become irritating. Some prospects may simply block you while some will ignore you.
You need to understands that following up is not the same as being in their face all the time. Give the prospect the time and power of choice to decide whether or not they want to patronize you. There’s no need to call them and you can limit your email reminder to once a week.
Forgetting about Cash Collection
So, what about actual clients whose invoices are way overdue for payment? A lot of companies prioritize closing deals and measure their growth based on their sales performance. However, there is no meaning in making a sale if you don’t get paid for it. Businesses must not forget about cash collection. In fact, 82% of all companies fail because of cash flow mismanagement.
If you struggle to get paid by your customers, you should get B2B software to help you collect past due invoices. Upflow is one of the most recommended accounts receivable management software in 2021. As of June 2021, they announced that they’d closed a $15 million Series A funding round to revolutionize how B2B businesses get paid. Consider using Upflow if you want to track your unpaid invoices and get paid faster.
These common mistakes are what prevent a business from growing. However, with the solutions this article has given you, you should be able to avoid them.
Jason is the Marketing Manager at a local advertising company in Australia. He moved to Australia 10 years back for his passion for advertising. Jason recently joined BFA as a volunteer writer and contributes by sharing his valuable experience and knowledge.