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Home > Community > Articles > Product to Service Sales: Is it Really Possible…

Product to Service Sales: Is it Really Possible…

June 22, 2010 Leave a Comment

By Jim Alexander

Q. At a recent services industry conference, one of the speakers indicated that only 1 to 2% of product salespeople can successfully make the transition to selling professional services. Is this true?

A. Baloney! Unless you are trying to sell rocket science using anvil salespeople, this is completely false! Yes, it is true that successfully selling services is dramatically different from selling products, but the gap can be closed. It is our experience that 7 out of 10 product salespeople can successfully make the transition to selling professional services if the appropriate time is allocated (plan on a year) and the following systematic approach is followed:

First, change the performance management system to make selling professional services very appealing. Build professional services into expectations and quotas. Make hitting professional services selling targets lucrative (you can scale down later) and put negative consequences in place if professional services selling goals are not met (no trip to the Bahamas for the services slackers).

Second, put everybody through high-quality, services specific sales training. SPIN Selling, Professional Selling Skills, and Strategic Selling, etc., are all good basic primers for box sellers but they don’t cut the mustard when selling the invisible. Find some services experts with training competence and tailor a program specific to the needs of your organization. Make sure components such as these are a part of the curriculum: “How to Sell Intangibles”, “Qualifying Great Services Business”, “Developing Services Power Maps” and “Selling Services to the “C” Level” are covered in the program.

Third provide ongoing reinforcement. Hey, behavior change takes some time and support, so don’t be cheap here. Back up the sales training with reinforcement workshops every 60 days to let people share successes, and practice new skills in safe environments. Keep an electronic classroom going to allow for “ask the expert” dialogue and the sharing of war stories. Invest the money to provide in-field coaching by people skilled in both services selling and one-on-one coaching to build both competence and confidence.

Fourth, stay your guns. Overall sales will go down before they go up. People will resist, and test how serious you are. Firing the number one box seller when he/she refuses to try and sell services sends a powerful message.

Finally, give everyone the opportunity to succeed, but realize some won’t make the cut. It’s not their fault (they weren’t hired on to sell services) so either find them a new role inside the company, or help them find a new company. With most people you’ll find this out in the first 60 days.

Do all of the above and you will see an enormous change in not only the way services are sold but an increase in the motivation to make it work time and time again.

Jim Alexander is founder of Alexander Consulting, a management consultancy that creates and implements professional services strategies for product companies worldwide.  You can reach Jim Alexander at 239-283-7400, alex@alexanderstrategists.com

Categories: Articles

Greg Coleman's avatar

About Greg Coleman

Greg Coleman is a principal partner and CEO of Service Strategies Corp. Residing in San Diego, CA, Mr. Coleman has more than 25 years of experience in the high-technology services and customer experience fields. Mr. Coleman has worked with leading technology services organizations to develop and deploy global standards for service excellence and has assessed the performance of hundreds of organizations worldwide. You can email him at gcoleman@servicestrategies.com.

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