Throwing in the Kitchen Sink
Recently I had a conversation with Bruce Beghune, President of pcCentral, about business development and one of the pitfalls into which business owners without a lot of sales experience can fall.
In order to close the deal, they throw everything in the deal including the kitchen sink.
Here is how it happens. The business owner makes a fair proposal to a prospect. If the prospect does not accept, what should happen is the business owner should go back and confirm that they have understood the needs of the prospect and the business value of the solution. If they have, then the prospect is likely a "tire kicker," or just does not have the resources. In either case, red flags are waving and perhaps the business owner should thank them for the opportunity to propose a solution and move on.
What often happens is that the business owner will start throwing in extras until the prospect recognizes that they are getting way more value than what they are paying for and they accept the proposal.
Not only is the margin minimal this time, but this new client will always expect the extras on any future dealings.
Sometimes you just need the cash flow and margin is not that important. But most times, some deals worth walking away from.
Are there business deals you wish you had never made?
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