By Reed K. Holden
Revenues execs now confront the main severe probability to their luck. despite their measurement, undefined, state, buyer kind, nature of the connection or volume of worth they supply, revenues pros are discovering that buying judgements are more and more being constrained via procurement. the trendy procurement functionality is deciding to buy on steroids. the place conventional buying managers negotiated, procurement officers try and dictate. Procurement deploys quite a few strategies designed to do something: achieve remarkable discount rates and concessions out of even the main subtle revenues professionals. This e-book is a method advisor for salespeople to assist them point the procurement taking part in box through displaying readers the best way to determine the sport procurement performs, describing confirmed how you can face up to discounting and defend margins, demonstrating how you can preserve worth on the vanguard of negotiations, providing distinct strategies to guard well-deserved gains from senseless discounting, and detailing 8 suggestions potent in any kind of pricing negotiation. This publication can be a useful source for B2B revenues pros, customer-facing execs, and bosses chargeable for major winning revenues corporations.
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Extra resources for Negotiating with Backbone: Eight Sales Strategies to Defend Your Price and Value
Sample text
There Is Hope if You Play the Game Right Yes, salespeople and their leaders have responded by mindless discounting, hoping to make up any losses through higher volume. Unfortunately, discounting is a fool’s response. Those who live and die by discounting don’t live very long. Sales professionals labor under the assumption that all the power is on the customer’s side. That’s because the inevitable response is price discounting. Discounting becomes an addiction that actually undermines the long-term health of the business.
Furthermore, the sales quotas are easily measurable. All business people know that they have to hit their numbers. When was the last time you heard of a human resources manager being fired for not making his or her numbers? Salespeople are a special category; they live and die by their numbers—weekly, monthly, quarterly, and yearly. Their compensation is directly related to the last set of numbers. If they slip one month, salespeople know they might have a month or so to make up the difference.
The problem was that Starbucks had extracted price concessions so extravagant that Incredible Foods couldn’t service the account at a profit. Starbucks had been opening ten stores a year in each of its regions. Incredible Foods dedicated five trucks and drivers to the account, plus two employees who did nothing but write reports for Starbucks. The cost of fuel, insurance, and employee benefits made the whole partnership unsustainable for Incredible Foods. So Christy made the decision to cut its relationship with Starbucks.