Tips for Closing a Sale

Many entrepreneurs have little or no experience in outside sales. Finding new prospects and explaining features and benefits — the stock-in-trade of salesmanship — can be difficult for an entrepreneur who isn’t sales-oriented. But inexperience can be crushing when it comes time to close the sale. After all, even sales pros often have trouble closing the deal.

Although it may be difficult, closing doesn't have to be painful or bewildering. Here are a few basic pointers to help demystify this potentially awkward process:

• Close from the beginning. Don't confuse this idea with the hard sell; the cutthroat approach alienates many potential customers. Instead, explain your agenda. Tell the prospect exactly what you're selling and how it can benefit their business. Being up front about your intentions promotes an honest, mutually respectful, and rewarding discussion — paving the way for a smooth close.
  
• Learn to recognize when potential customers are ready to buy. A customer might indicate they're ready by asking questions about the product or the buying process: "How long would delivery take?" "What does that button do?" or "Is an upgrade available?" Other signs include complaints about previous vendors and interested comments such as "Really?" or "Good idea."
  
• Don't respond to questions with merely a yes or no. Answer your prospect's queries with questions of your own. Carefully chosen, these return questions can help lead to a sale. For example, instead of answering the question, "Does this come in black?" with merely an affirmative, you could say, "Would you like it in black?"
  
• Free trials often lead directly to sales. In sales-speak, this approach is sometimes called the "puppy-dog" close, because it's reminiscent of the attachment children develop to a puppy after keeping it overnight. This strategy works well for all sorts of businesses and appears frequently in magazine subscriptions, where you can receive one month for free; Internet services, where there are often free 30-day memberships; and car sales, where potential buyers are offered test drives.
  
• Suggest specific terms. Rather than asking whether your prospect wants to buy, suggest a specific buying scenario and then ask if your customer agrees to it. For example, "We can ship 150 units on Tuesday for $1,000. Do you want us to do that?" addresses three separate questions: the number of units to be shipped, the price of the shipment, and time it will be sent out. If your prospect is uncomfortable with any of the specifics — for example, he wants shipment on Monday — he will say so. You've offered him a chance to let you make decisions about details that otherwise would delay a sale. But be sure you know enough about your customers' needs to make reasonable suggestions. Otherwise you'll sound ignorant and pushy.