What Is Value Selling And Why Is It So Important
Why is Value Selling important?
To answer this question, it is necessary to first understand why selling services in the B2B market is so challenging.
This type of customer has difficulties understanding how the product on offer can solve their problems, which creates obstacles in negotiations.
The whole process can be made easier if the sales team knows how to apply Value Selling.
When using this strategy, the service or product in question must be described in detail, focusing on the benefits it will provide to the client.
The major problem is that this doesn’t always happen.
The consumer is responsible for making the right choice since large amounts of money will be invested. If this person doesn’t know the real value of what is being offered, it will be hard to convince them to buy.
In this situation, the only way to overcome objections is to have Value Selling as the basis of the negotiations.
This post will deal with this subject through the following topics:
Keep reading and learn more about the subject!
What is Value Selling?
Value selling is a technique focused on reinforcing what a product or service can deliver to the customer.
This approach promotes a more consultative sales process. For this, the sales team needs to understand the client and make more accurate offers, according to their needs.
With this position, the seller manages, with solid arguments, to show the customer how the offer can improve their business.
This process is built with valuable offers, detailing the benefits that will be generated.
To understand Value Selling, we have to talk about the main concept involving this sales approach: the price is different from value.
How much you will pay for a product or service is its cost, that is, the price. The value involves the benefits that this investment will bring. The greater they are, the greater the value.
When thinking about why Value Selling is important, we must remember that this approach will make the client think more about the product’s benefits rather than its price.
Often, the client doesn’t even know that they have a specific need until the sales team talks about it.
Along with the problem above, the solution is already offered, and this is how a product gains value.
What is its importance?
Answering the question of why Value Selling is important is not as complicated as it sounds.
A sales team can achieve great results if they can establish a negotiation process focused on the offer’s benefits to the potential customer.
Below, we will better understand what these possible gains are and how they are highly advantageous to companies in the B2B market.
Helps overcome sales objections
Suppose your company sells CRM software.
In a traditional offer, vendors inform the customer what the software’s features are, the system requirements for it to work, and the monthly licensing fee.
As important as these issues are and need to be highlighted, these factors may not generate immediate customer interest. That is why sellers face objections right at the beginning of negotiations.
With Value Selling, it is possible to overcome this rejection entirely if the sales team focuses exclusively on the benefits that the solution will provide.
Talking about how this software solves the company’s problems changes the client’s perception of the service’s value. From this, the remaining process happens more quickly.
Reduces sales cycles
Sales cycles sometimes can be longer than expected.
Of course, some customers need more time to make the purchasing decision, which is quite understandable. However, when that time is extended, there are consequences for the sales team.
The need to dedicate more time to a negotiation generates higher costs and extra dedication on the seller’s part. Even so, there is the risk that the sale will not be realized.
When Value Selling is the approach chosen, there are good opportunities to reduce this time, and the reason is simple: the client has continuously received the information they need to make their choice.
If your sales team focus on highlighting the offer’s value, the client can make their decision in a shorter time.
Ensures consistent pricing
Price reduction requests are common in negotiations. The sales team has to know how to get around these situations.
The best way to avoid these reductions is to ensure that the customer understands what your product can offer. That’s why value selling is important.
Focusing on the benefits during the negotiation process leaves less room to ask for lower prices.
This happens because they understand that what they will pay is fair about the number of problems that can be solved.
At the same time, the seller has more arguments in their favor to justify the price they are charging.
Generate more sales
One of the big challenges faced by sellers is not knowing how to connect the features of their products and services to the customer’s needs.
However, the path is open for a sale when this is done correctly. After all, part of the sales process is composed of the presentation of the offer value.
The more qualified a sales team is, the greater its power of persuasion when working with a value selling strategy.
The sales process should start before the first contact with the client.
Sellers must research these companies’ needs to find out then how they can develop the perfect offer.
With this done, the next steps should be focused on making, at last, the connection between the solution and what the customer needs. Only then the idea that there is a perfect offer being made is generated.
Why is value important? Simply because it allows the sales team to have a shorter and more accurate negotiation process. Professionals who can show value above price stand out in B2B markets.
Now, better understand how you can optimize the sales enablement process with the help of interactive content.