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SAVVY SELLING - APRIL 22, 2005

The Art of Managing Expectations

By Michelle Nichols

How salespeople handle such beliefs can be crucial to a sale. Here are some tips for preparing clients on what they can look forward to

Great Expectations was one of Charles Dickens' most famous novels. But had he penned a sales-training book, he might have called it Managing Expectations. How you handle the expectations of the parties involved during the sales process can literally make or break a deal.

While the customer's actual buying experience is important, how it compares to what each party expected is significant, too. It's like when analysts on Wall Street expect the quarterly earnings for a publicly traded company to come in at 25 cents a share. If they end up announcing they're 27 cents a share, everyone is elated, but if they come in at 24 cents, investors are upset. The contrast of the expectation with the actual results affects the outcome.

WEB OF CONCERNS. In a similar vein, your customer doesn't just care how great you are at every step along the way of the sale. It's also how you came across, compared with how they expected you to be, that influences their satisfaction. This is why it's so important to actively manage your customer's expectations.

Don't forget, you have to influence the beliefs of more players than just your customers. You must also consider the management and others in their business, and perhaps some third parties, too. You also need to set appropriately your own expectations and those of the key players in your company.

For example, let's say you're going to try to sell a computer-based accounting system to Joan Smith, a VP of finance. Not only do you have to manage Joan's expectations, you also have to be concerned with those of her boss, who might worry whether the installation's timing will coincide with other big projects throughout their company. You might also involve third-party sales reps who sell ink, paper, and office furniture, so they know when to ask for these related orders.

MATCHING FIRST IMPRESSIONS. You also need to give your boss accurate estimates of when you expect the deal to close, so she knows where she stands with her supervisor. (And if you've earmarked your commission check for fun, you might need to manage the expectations of the local dealers of golf clubs, fishing boats, or luxury cars.)

Let's look at the entire sales process. From your first interaction to closing the final deal, there are expectations to meet -- or beat -- but never to fall short of.

In the beginning, your marketing department kicks off your customer's expectations. Your company's name, logo, colors, location, Web site, and literature give some idea of what buying from you will be like. If you're called, "Speedy Accounting Systems," your customer expects you to be fast in all areas of your business. You must ensure everyone in your company expects to be quick about returning messages, getting quotes, installing the accounting systems, and resolving any issues along the way.

NO SURPRISES. Even your job title sets an expectation. Long ago, a sales professional was called a salesperson. Then they became account managers, sales directors, consultants, and new business developers. Since the intent is the same -- to sell the customer something -- I recommend using the word sales in the job title because it sets the proper expectation. No one's surprised when a salesperson asks for the order.

Let's say Bob Williams, a happy customer, refers you to Joan. When you call her up and say, "Bob told me to call you because I saved him 25% on his monthly accounting fees and an hour a day of labor compared to his prior accounting system," you've set an expectation for Joan. If you don't think you can at least replicate, if not improve on, these benefits to Joan, temper her beliefs of what you probably can do for her right from the start.

As you commence convincing Joan to meet with you and discuss her situation, again remember to manage her expectations. Let her know what you plan to cover and about how long it will take and what the likely next step would be. Getting her approval on these matters takes the pressure off the meeting because you both expect the same experience. There's no surprise at the end when you ask for a fee to do a detailed needs analysis or a down payment on their order.

PROVIDE EARLY NOTICE. Your customers expect your selling style to be consistent throughout the process. If you hounded a prospect with a dozen cold calls just to get the first appointment, they will probably expect you to continue your dogged ways throughout your business relationship. If your situation changes, let your prospective customers know right away.

Then there's the honeymoon. After you close the sale and install the system, there are still expectations to handle. Let your customers and their associates know about how often you plan to check in on them and any other support or experience you routinely offer.

Also, let them know early on if and when you expect to sell them something again, either more of the same, complimentary items, upgrades, or even something else unrelated.

CLEAR ROAD MAP. One of my favorite expectations to set involves asking for referrals. Let your prospects know early on in the sales process that you increase your business by referrals. Then when you request them, clients aren't surprised -- they should have expected you to ask for them. Alternatively, if you create that expectation and fail to ask for referrals, they might be disappointed.

Managing the expectations of all the parties involved in a sale isn't easy, but it pays big dividends. Everyone likes to know what to expect, including your customers, so tell them, manage them, meet them -- and close the sale. Happy selling!

Michelle Nichols is a sales speaker, consultant, and trainer based in Houston, TX. Her columns are available to purchase for reprints or syndication. She welcomes your questions and comments. You can visit her web site at www.savvyselling.com or contact her at michelle.nichols@savvyselling.com. Her direct line is (281) 610-6307 and her toll-free number is (877) 352-9684.

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