by Denise Barnwell

Your customers are people who decided to buy your solution instead of an alternative. So, how does someone decide to buy from one business vs. another?

The same way you decide. And me too. Because every buying decision follows the same five stages:

Stage 1: Acknowledge the need
From the impulse purchase of candy at the supermarket checkout to the six-figure employee training contract, every purchase is motivated by a desire to avoid or alleviate discomfort or to experience pleasure. Upgrading employees’ skills stems the tide of turnovers; chocolate provides an affordable indulgence. What pain can you alleviate with the products and services you offer? What pleasurable outcome can you promise to deliver? The answers will lead you to your ideal prospects.

Stage 2 – Identify the options
What alternatives would your potential customer consider to address their needs? Where would they go to get a referral or recommendation? Would your company be considered? The biggest mistake business owners make is thinking and acting as if “everybody” is a candidate for customer. Focus your marketing promotion efforts on becoming “known” to people who share carefully selected characteristics related to the needs you can fill, so they will consider your business when they go shopping. If your company doesn’t make the cut here, you are out of the running.

Stage 3 – Evaluate the options
Still in the running? Even if you offer the only solution being considered, you can still lose the sale. At this stage, buyers weed out options based mostly on presentation, whether from personal contact or in reaction to the “look and feel” of marketing materials. Realize that buyer wants to feel they can TRUST your business. (This is why well-known brands have an edge.) They are also judging your responsiveness, credibility, accessibility and empathy for their situation.

Take a hard look at every area where you “touch” the prospective customer: phone manners, business card, signage, printed materials, web site, grooming. Also, be prepared to provide the breadth and depth of information that a prospective buyer expects. Instead of concentrating on making a sale, make building trust your ultimate goal. Even if you don’t make the final sale, you may still gain an ambassador for your business.

Stage 4 – Negotiate terms
Every buyer negotiates before making their final decision. Sometimes they negotiate with themselves. Don’t panic if you reach this stage and nothing happens for weeks or months. Some people make quick decisions, some take their time. Some reach this point and realize they actually don’t have the money required. Think about the times you have changed your mind while standing at the cash register. Delays happen with business buyers for lots of reasons: the boss leaves, the budget gets cut, a merger is announced, and so on.

If you have the opportunity, this is the stage to find out what’s really on the prospective buyer’s mind. Keep communicating. Follow up with a phone call, postcard, email, or newsletter. Keep telling your value story, keep building trust.

If a prospect wants to negotiate price, first consider how to reduce the scope of services or substitute equally suitable, but less costly, products. This strategy allows you to make a fair profit and still provide a solution. Better yet, hold your price and offer extra services or items that add value but cost you very little.

Stage 5 – Make the final decision
Trust = buy. If you have earned the highest trust, you will be rewarded with a relationship with a new customer. Do all you can to nurture and build upon the trust you have established by delivering what you promised.

Trust is priceless and very profitable. Every customer has a potential lifetime value to your business much higher than his or her initial purchase for two simple reasons: (1) It is easier to get an existing customer to buy again from you.
(2) An ambassador, a.k.a. a happy customer, can literally lead another person through all the stages of the buying process and present them to your company to consummate the purchase.

So think like a buyer and grow many happy customers!

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