The key to winning more deals is a great prospect-needs assessment. This allows you to serve the needs of the prospect, build a good foundation for business and find out if it is a good fit for both of you. Without this you will just be pitching your product or service hoping you understand their needs, that it will meet some need that you are imagining all the while assuming they are the best customer for your company.
Often the root cause of why a prospect is looking for something is hidden. To do the job well and find out what is driving the potential purchase, an in-depth-needs analysis needs to be done, particularly with the complex sale.
You will find that the prospect may need help in uncovering their real needs rather than felt needs themselves and appreciate those who help them build out a solution that will uniquely work for them. A good needs assessment includes gathering information about a prospect’s problems, desires, and goals. There is always the surface reason, but deeper down is the driving force like for example, a desire for increased efficiency coming from a new manager who is looking to make an impact in their new position as much as the bottom line.
In today’s environment, most prospects have already done some research, evaluation and have an opinion of what they think they need. An evaluation of their needs at the most basic level can be insulting. But truly understanding the deeper and unique driving forces behind their potential buying decision can be very beneficial for them.
Common Myths
There are a lot of myths about the prospect needs assessment that block a salesperson doing this well and going from average to great, but here are a few:
Myth #1: It’s a waste of time. Reality: Skipping detailed assessments can lead to missed opportunities.
Myth #2: Just sell the benefits. Reality: Benefits must align with what the buyer values to be effective.
Myth #3: Today’s buyers only want experts. Reality: Balancing expertise with genuine interest and understanding in the prospect's needs is crucial to showing that you are an expert with wisdom without being arrogant.
Qualifying Prospective Buyers:
Before we get to a full-on needs assessment, and you spend all that time understanding the prospect, first make sure that the prospect aligns with your business criteria. Not every prospect is a good fit for your company.
Budget: Ensure they fit within your pricing structure. The best way to do this is ask about the range within which they are looking to spend.
Business Compatibility: Determine if they can work within your operational timelines and requirements. The best way to do this is to ask some brief questions about their timelines and expectations.
Buyer Type: Determine if they are a person that will champion or make a decision. In complex sales environments, engage with make it happen buyers rather than those who are just talking a good game. Those capable of championing and driving decisions within their organizations end up being the best customers.
The In-Depth Assessment
Now you are ready to do an effective needs analysis and evaluation of the prospects must haves, like to have and wish I had as well as the why behind it all. To do this effectively – here’s some simple things to start with:
Preparation: Research the prospect, their industry, and the general trends driving
decisions to be able to offer valuable insights about their buying journey.
Discovery: Ask well educated open-ended questions that demonstrate you are an expert in this area to begin to uncover the prospect’s perceived needs.
Active Listening: Prioritize listening over talking to glean crucial information. If you are talking more than 20% of the time, it’s too much. Engage in active listening to understand the root causes of their challenges and motivations. If you are thinking about what you want to say in response to what they are saying, you have probably missed a lot of information from them.
Qualify and Dig Deeper: Qualify that you are hearing them right by saying things like “so what I hear you saying is…” and then dig deeper until you feel you have a good grasp on background, the driving forces and the primary needs they have.
The Why: Understanding the why and the motivation behind the purchase is key to not only understanding what and how to provide the best solution to the prospect, but also getting clarity on the keys to closing the deal.
Key Questions for a Great Prospect Needs Assessment
A good prospect needs assessment aims to gather detailed information about why a prospective prospect might want to purchase a product or service, as well as its associated benefits:
Purpose of Purchase: What is the primary reason behind the prospects decision to purchase?
Distinguishing Needs: What specific needs or challenges distinguish this purchase?
Utilization: How does the prospect intend to use what they purchase?
Optional or Required: Is the purchase optional or mandatory?
Dependency: What other steps or needs does this purchase depend on?
Primary Benefit: What is the main benefit the prospect expects?
Secondary Benefits: Are there additional benefits the prospect anticipates?
Alternative Options: What alternatives does the prospect have?
Decision Criteria: What are the key factors influencing the prospect's decision?
Geographical/Structural Considerations: Are there any affecting their decision-making process?
Decision Makers: Are there multiple stakeholders involved in the decision?
Secondary Decision Makers: What additional factors need to be considered?
Involvement: How hands-on is the secondary decision maker?
Motivating Factors: What benefits influence the secondary decision maker?
Timeline: What is the expected timeline for secondary decision makers' involvement?
Conclusion
A successful prospect needs assessment hinges on understanding the prospect’s unique challenges and motivations. By preparing effectively, asking insightful questions, and listening attentively, sales professionals can build trust, customize their solutions if necessary and align their proposals with the prospect's specific needs, ultimately driving successful outcomes.
Stephen E. Wright
Practical Business Growth Consulting
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