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PRICING BEST PRACTICES, RESEARCH REPORTS, TRAINING COURSES AND WEBINARS

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OUTSMARTING EXCUSES FROM THE SALES TEAM

No one likes to take the blame when things go wrong. So when it becomes clear
that we aren’t going to measure up to expectations, we start looking for
excuses.

Sometimes, those excuses are obviously not valid: “My dog ate my homework.” “My
alarm didn’t go off.”

Other times, the excuses might have some basis in reality: “I got stuck in
traffic.” “I got sick and can’t come into work.”

When you work in pricing, it’s pretty common to hear excuses from the sales
team. And by “pretty common,” we mean that this is absolutely going to happen.

So how are you going to deal with excuses?

You could just wait to hear what lame reason the sales team offers up for
missing their forecast. And then you could point out the inconsistencies in
their logic and watch them flounder while they try to explain what happened.

But if you wait for an excuse to materialize, it’s already to late. The team has
already missed their numbers, and you can’t do much about it.

Instead, it’s much better to get ahead of the problem. We recommend a three-step
process that we’ve found to be very effective through our research:

 1. Anticipate: Identify the possibilities in advance, away from the heat of the
    battle, as objectively as you can. If you are planning to roll out a new
    prices or pricing structure, consider how the sales team might react. They
    might express concerns about the complexity of the new structure or the
    potential impact on their relationships with clients. By anticipating these
    objections, you can prepare to address them effectively–or even modify your
    structure to preempt their concerns.
 2. Eliminate: Identify the themes that could be legitimate and figure out how
    to take them off the table. In the case of a new pricing structure, you
    might be able to simplify it furtheror provide training to help sales reps
    understand and communicate it to clients. By addressing these concerns, you
    make it more difficult for the sales team to justify any resistance.
 3. Mitigate: For issues that can’t be entirely eliminated, find ways to
    minimize their impact. If the sales team is worried about the effect of the
    new pricing model on client relationships, you can provide them with data
    showing how similar changes have been successful in the past or offer
    support in communicating the changes to clients. By mitigating these
    concerns, you can ease the transition and ensure that the sales team is on
    board with the new pricing approach.

We cover this process in much greater detail in the webinar on Neutralizing the
Sales Team’s Excuses. It also uncovers many of the most common explanations you
are likely to hear, and it offers several mitigation strategies for dealing with
all kinds of scenarios.

Remember, the goal here isn’t just to point out how bad the sales team’s excuses
are. Your goal is take those excuses out of play altogether so that improved
pricing outcomes are a natural result of the systems and processes you’ve put in
place. Give it a try and we’re pretty sure you’ll see better collaboration and
results.



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