How To Increase Your Closing Ratio?

How To Increase Your Closing Ratio?

As a sales rep, one of the key performance measures you have is to have a great closing ratio. It’s about how many deals you can convert and close, and prevent your customers from not buying from you, or worse, buying from your competitors. Increasing your closing ratio lets you achieve your goals and targets faster and outperform, and in order to achieve this, you need to focus on three key things.

 

The first key parameter is Trust. When you create high levels of trust between you and your customer, the results can be amazing. There are many ways to create and build this trust, and I am going to give you one small example of how building trust works wonders for you.

 

trust

 

I used to work as a door-to-door sales representative selling kitchen cutlery, and there was a week which went by and I didn’t make a single sale. I went to my manager very frustrated, and he asked me why I was selling those knives? I said because I like to help people, and then he asked me if my customers knew that I was trying to help them. When I reflected on his question, I realized that as soon as a customer showed some interest in my products, I started thinking about my personal benefits, instead of trying to help solve my customers’ needs, and then the customers would simply back off the deal. It is key to build up the trust so your customers know you are trying to really, truly help them.

 

As Zig Ziglar said it perfectly, in order to get what I want, I first must help other people get what they want. Once this becomes your true intention, the unconscious trust between your customer and you is easily created, and you can close your deals much easily than ever before.

 

The second key parameter is to develop and identify your customers’ needs. Until and unless you are able to develop or identify a need for your customers, and attach a value for those needs in your customers’ minds, being able to sell your products is not going to be easy for you. Sometimes, customers are hesitant to try new, better, and expensive products, and are not aware of the value such products could create for them.

 

identity

 

For example, I was once trying to sell food items to the owner of a restaurant. The owner was hesitant to buy those expensive value-added products, and thought his customers wouldn’t really pay for them. It was also an entertainment centre frequented by many tourists,after which the customers would usually eat on their way out. I asked the owner a few questions like, where could his customers go to eat if they didn’t eat in his restaurant, and how much did they spend on food? The owner showed me the fancy restaurants in the mall, and said that the tourists would easily spend up to $50 at those places. Then I asked him how much did the average tourist spend in his restaurant, for which he replied $20.

 

I asked him if increasing his average order was important for him, for which he replied in an affirmative, and if offering some value-added products in his own restaurant menu would help him attract more customers who would eat in his outlet rather than going to the other restaurants? By this time the owner had realized that if he did not take those products, he was losing out a lot of revenue. The need to increase his revenue and profit could now clearly be achieved by the products that I was selling and, thus, the sale was complete.

 

Once a customer is able to see that the value offered by the product addresses his needs, he is much more willing to buy your products. If they don’t see the value of what they’re missing out, then your customers will not buy your products.

 

The third key parameter is that you have to offer relevant solutions to the customers’ needs. Like in the previous example, I offered a solution to the customer which could increase the footfall in his outlet, and drive up his average sales per customer, and then asked the owner if this was something he wanted to achieve. As this solution was relevant for the customer, he was more than happy to buy my products.

 

relevent

 

To summarize, you have to keep these three things in mind while talking to a customer:

  1. Are you thinking about what you want, or about what your customers want?
  2. Are you making your customers realize a value for not using your product? Can they quantify what they stand to lose if they don’t do the deal with you?
  3. You need to offer them a solution that helps them achieve what they want to achieve.

 

Once you start doing these three basic things, you will be amazed at how quickly you close your deals and grow.

 

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About the Author

Ramez Helou administrator

Ramez Helou is the founder and CEO of The Academy for Sales Excellence Dubai – the region’s foremost sales training institute and consultancy, Keynote speaker, sales trainer and management consultant. You can reach him via email at ramez@ramezhelou.com

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