Selling in the Post-GFC world: Phasing

Continuing the theme of what works in post-GFC selling, another pattern has emerged in my research and discussions. For the time being, let’s call this theme Phasing. Like other themes I’ve discussed, Phasing is not really a new concept. Nor was it unsuccessful or useless before the GFC. What we’re seeing is simply an acceleration or an amplification of an existing trend.

I had a very compelling and inspiring discussion the other day with two colleagues in the sales effectiveness field, Tamera Lloyd and Mark Lloyd at Candescent Consulting. Tamera reinforced the Phasing theme as we talked about the challenge of growing business in difficult times: Phasing, or down-scaling, is an approach that has been a successful strategy for both Candescent and their clients.

As I’ve mentioned earlier, there is immense pressure on budgets, and even projects that seem to have merit and impact get knocked back simply because of a lack of funds. One approach to combat this is to outline the programme or investment, and to also demonstrate how it can be phased in over time. The first phase might be a relatively lower investment, obviously with lower impact, with future phases implemented when budget is available, e.g. in future financial periods. Hopefully, financial periods where budget is available .

This Phasing approach can be a very nice way to build intimacy and credibility with the account. The salesperson demonstrates that they can understand the pressure of the current environment, and is working to find a way that will create value for the account.

The Phasing approach is more than just throwing out features, functionality, or components in order to drive the cost down to an acceptable budget level – that’s just dickering. What we’re seeing among successful organisations here is a consultative approach that keeps the overall goals intact, but looks for ways to get there over time. As Tamera phrased it, and I’m paraphrasing here, Phasing allows you to grow the client when we can, and focus on a few key bits for now.

There is an implied collaboration in Phasing, and one that should be leveraged by the salesperson. Defining what are the key pieces of the product or service can and should be a discussion. The sales team can certainly come with some ideas, but the process should be one that engages both sides, allowing for a potentially robust discussion of business drivers and business needs. Engaging with the client also prevent this from becoming just a negotiation; it is a process of searching for the best impact that can be built for the account, given the current constraints.

For sales teams that are seeing pushback around budgets, size of investment, etc, the Phasing approach is an easy one to try out, and an easy one for managers to coach with their salespeople. Suggest another conversation with the account, where the scope of the project is divided into “Now” and “Later”, and potentially you’ll see progress.

Of course, price objections can mean many things, which we can cover later. But ‘in these difficult economic times,’ it’s worth having a go. Sometimes a lack of budget is just a lack of budget.