The importance of explaining services

By November 18, 2010one minute guides

The Point

  • It is important to successfully demonstrate value when explaining your services.

The Problem

  • ‘Describing your services’ is a dangerous time in the sales process as unfortunately many service providers find solace in reeling off lists of services and how they work, with little reference to what these services actually mean to people.
  • Babbling on about services, without demonstrating value and linking the benefits to your prospective clients’ needs, does not win deals and will inevitably leave you falling short to competitors.

Examples

  • A poor demonstration of value for a debt management service: ‘We will be aim to reduce your debtor days from 106 to 65’.A good demonstration: ‘You know you mentioned how much you would like to continue the growth of the company, but didn’t want to go cap in hand to the bank? …I’ve got an interesting proposal for you. Your customers on average take 106 days to pay you and you are owed £580,000.  In six months, with our help, this could be reduced to 65 days, at which point you will be owed in the region of £360,000. The rest, £220,000 will be in the bank. This means you will be able to fund the growth and no need for a cap! Can you see how that will benefit you?’

The Solution

  • SO WHAT? – If your prospect or client can legitimately ask SO WHAT? Then you have failed.
  • Therefore the solution is to prevent them from being able to ask this question.
  • The art is to think benefits, what does this mean to the people who are listening? If the conclusion is that they can think ‘SO WHAT?’, then the point and value has been missed.
  • In its basic form, linking a service to a benefit can be done by ensuring that you use link phrases such as, which means, this means, a benefit of this will be and so you will be able to. So, using this technique means that you will gain more new clients, and the benefit to you is that the fees will go straight to your bottom line. How do you feel about that?

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