There’s a lot of confusion when it comes to selling value. Many salespeople think they’re doing it, but in reality they’re only talking about value instead of providing it to prospects.

The possibilities for creating value are limitless: faster service, better delivery, easier ordering, unique features and benefits. Problem is, customers perceive value in different ways. The subjective nature of value makes it difficult for salespeople to quantify and measure it. There’s no one-size-fits-all approach.

A moving target

That’s why the best value-added salespeople define value in the customer’s terms. They understand that value is a moving target: It’s anything a particular customer wants it to be. Seeing value through the customer’s eyes — and selling it that way — wins more sales with less buckling on price.

Start your next sales meeting by debunking three common myths about value-added selling:

• Myth #1: It applies only to a product. Value can be product-related, vendor-related or salesperson-related. Customers buy all three. Salespeople aren’t maximizing their impact unless they consider adding value in all three areas.
• Myth #2: It relates only to combating price objections. Value-added selling is a good offensive tactic to combat any competitive effort. When salespeople promise a lot and deliver even more, customers will be reluctant to hurt their relationship with them by ordering from competitors.
• Myth #3: It’s too much extra work. While value-added selling may require additional effort, with practice and consistency it becomes second nature. And those efforts pay off with increased sales, profit margins and customer loyalty.

What makes a salesperson great at selling value

Here are the qualities salespeople need to sell value effectively. Salespeople must be:

• customer-oriented. Salespeople must think in terms of solving problems for customers. Help them understand problems and opportunities in new and different ways. Then deliver customized or unique solutions that meet customers’ individual needs
• profit-oriented. Help buyers recognize that if you don’t make a profit, your company won’t be able to stay competitive when it comes to service, quality, research and product development, and
• constantly seeking ways to add more value. Start by finding out what customers value most. One idea: List five to six things you could give a customer — faster delivery, better warranty, 24-hour service, etc. — then let the customer pick the one or two value-added features they want most.

Discussion idea: Ask the group to discuss their most effective techniques for setting themselves apart from the competition. What do they do to put their customers’ interests first and find ways to add value? What do they do to understand and solve problems from their customers’ point of view?

What ‘value’ means to customers

Customers typically have at least three main definitions of value:

1. Value = low price. Some customers use the word value to refer to situations where they simply pay a low price.
2. Value = getting what I want in a product. These buyers look at the benefits they receive from the product or service. They focus on the usefulness or the number of their needs that are satisfied by the purchase.
3. Value = what I get for what I give. These customers take a broader view. They perceive value as an offer that provides the most benefit for the lowest price.

Training tip: Quiz salespeople on the range of value-added extras you offer: Do they know which ones customers care about most and least? With those extras in mind, what factors make certain extras more attractive to some buyers than others?  What do they do when a buyer dismisses their definition of value-added and substitutes his or her own definition?

Tags: creating value, customer loyalty, value-added selling