
Premature
Presentation Syndrome:
The Death
of Feature and Benefit Selling
Most
companies and their salespeople covet their value add, their features
and benefits, and their value proposition as if it were the Holy Grail.
The reality is all value propositions are inherently valueless. The
feature and benefit style of selling that has served companies so well
in the past no longer works. It is tried, but no longer true.
Firms
that have successfully relied on this kind of selling to differentiate
themselves from their competition, translate their value, maintain their
margins and avoid the dreaded price focus are discovering that this
once-dependable method is backfiring. The irony is that in today’s
highly competitive marketplace, where information runs freely, companies
actually create the commoditization they work so hard to avoid.
Value
added selling is rooted in old economic conditions using time-honored
traditions, a sales strategy from another era entirely, some unimaginable
distant epoch of 5-10 years ago. This artificial style of selling that,
until recently, has withstood the test of time, only homogenizes your
offering. Value proposition selling is just roll-the-dice selling, where
you are on autopilot and you cross your fingers and show up and throw
up. It is driven by the love to talk and the fear to listen. It is jargon
on crack.
Premature
presentation syndrome is typified by ready, fire, and then aim. Shoot
and ask questions later. You are simply unleashing the product hammer
and as Abraham Maslow stated so eloquently, “If you only have a
hammer, you tend to see everything [problem] as a nail.”
Salespeople
operate under the quaint notion that it is their God-given right to
sell their features and benefits. Since it states in the Sales Constitution
that all products are not created equal, it is your solemn right and
salesman duty to show prospects the correct way to the Promised Land.
However, no one has the corner on absolute truth.
If
it was all this easy and it really was all about our product’s capabilities
and market leadership, we would all be retired now because the product
would speak for itself and sell itself. Actually, we would all be out
of a job and a profession if it were all about the product. If it were,
they certainly would not need most salespeople.
The
following is an illustration of how the value proposition plays out
and puts you at a severe disadvantage:
Imagine
you’re meeting a prospect for the first time. After a little chitchat,
this potential customer asks you to describe what you do, what you sell,
what makes you different. “Why should I buy from you?” they
ask.
More
than likely, you would include the following: quality, service,
reliability, expertise, and value/performance.
Now
let’s imagine that you just landed a plum job with your biggest and
strongest competitor, gaining a better compensation package and three
weeks of vacation instead of two. To add icing to the cake, you have
your former territory.
Excited
to prove yourself to your new employer, you return to your old contacts,
including the one from the example above. Your former client congratulates
you on your new position, and then queries you about the new company
and its capabilities. Again, this former client asks, “What makes
you different and why should I buy from you?”
This
time, the prospect may prompt you by asking, “You know, one of
the things we really appreciated and valued about your former employer
was its quality—do you have good quality?”
Your response: “You bet, it’s one of the reasons I moved over
to ABC Co.” The prospect might then ask, “What about service?”
You stress the company’s wide commitment to service and pull out the
mission statement to drive your point home. And being a professional,
you continue producing all the latest industry reports that highly rate
your company’s reliability, expertise, value, and star performance.
In
all your excitement to create this unique value proposition, what you’ve
really done is to commoditize it. You’ve recited, chapter and verse,
the exact value proposition your competitors tout. Of course, you have
left the prospect with one differentiator: the same differentiator by
which they will now measure all your competitors: You guessed it—price.
In
today’s marketplace, the feature and benefit sales methodology that
so many companies use to differentiate themselves actually makes them
look and sound like everyone else, completely marginalizing their value
proposition. The sales reps all sing from the same hymnbook and they
all reduce themselves unwittingly to the lowest common denominator.
What a lot of sales reps don’t realize, however, is that many customers
work very hard to set reps up to sell this way.
Illustrating
this point, I once gave a presentation at a company where a buyer attending
the meeting pulled me aside and proceeded to explain this exact strategy
and how it benefited him by getting all the suppliers to believe they
weren’t different at all. As soon as the reps were convinced they
were basically interchangeable, he noted, they would all reduce their
pricing.
The
irony is all companies, big or small, sophisticated or unworldly, in
all industries, covering all products and all services, intangibles
or tangibles, sell the same way. They sanitize and whitewash their offering
by using common standards, open architecture specifications that multiple
vendors can easily meet. In the end, it becomes a wash. The very thing
that feature and benefit selling tries to protect against, it reinforces.
Their self-indulgent presentations reflect mostly minimum standards
and lowest common denominators for being considered or just staying
in business. It is truly a zero-sum game. Companies are just grounding
down one another to a lackluster sameness.
In
respect to your features and benefits, there is ample anecdotal research
that prospects perceive differences between competing products and services
to be considerably less measurable and important than salespeople think
it is. On an average sales call, a salesperson touts 6 to 8 features
and the average prospect can only remember one product feature and frequently
that was inaccurately recalled.
That
correlates well with industry accepted research that says the success
of a salesperson is based only on 10% product and technical expertise,
15% on selling skills, 25% on relationship and people skills, and 50%
on beliefs and attitude (goals, motivation, and beliefs about sales).
In
addition, neurolinguistic programming (NLP) research states that your
message to an individual whom you are trying to persuade and convince
will evaluate you by:
- 7% -- the words
we use
- 55% -- nonverbal
message: the way we look when we say it
- 38% -- vocal:
how we say it
93%
of communication is nonverbal. Imagine what that means in relationship
to your features and benefits and your value proposition. With your
mouth shut, barring any information spewing, you have a 93% chance to
communicate. When it is open wide, you only have 7% chance to communicate.
Although
trite, the following truisms really debunk the time-honored product
dump:
- Seek to understand
before being understood
- Prospects hate
to be sold, but love to buy
- It certainly begs
the question, “Do you want to sell or have someone buy?”
- Prospects don’t
care how much you know until they know how much you care
- Seek to be interested
before being interesting
- Prospects don’t
remember what you said, but how you made them feel and what they emotionally
experienced. They don’t care about facts or figures, but feelings
and emotions. They buy intuitively and justify their decision logically
and intellectually
- No one resists
his or her own ideas. The best ideas people ever heard were the ones
that they thought of themselves
- Prospects are
people, not companies. Features and benefit selling’s fatal flaw is
it predominantly positions itself as if it were selling to companies
- Prospects buy
what they want, not what they need. And in many cases, they are not
even aware of what they want. We are trying to sell prospects something
before we establish why they want it and what is at stake
A
recent study by the National Association of Manufacturers found that
there is a superfluous 30% added value on products that are valueless.
Vendors are supplying products and services that customers do not want,
need, or recognize. Our hype and over-reliance on featuring our products’
attributes cause this. We use our products as a stick to try to beat
people into submission. The harder you attack and hold onto your products’
features and benefits, the harder you hold onto the belief that it is
universally right for everyone. It is a vicious cycle.
The
irony is that prospects will do everything possible to have you sell
your features and benefits, outline your solutions, have you ask as
few questions as possible to learn more about them, and make premature
recommendations, when the exact opposite is what they desperately need
and want. Be aware that they will deny you an authentic, professional
approach because of fear and apprehension of full disclosure. That is
why you get blank stares and restlessness from prospects after you have
expertly showed them how you can help them, and you ultimately walk
away with nothing to show for your efforts. There is an old fable that
captures this concept well: the mythical story of Samson slaying
10,000 Philistines with the jawbone of an ass. Salespeople are doing
the same thing daily by killing sales opportunities with the same weapon.
When prospects ask if you can help them, inquire about what makes you
better, ask for a proposal, request your pricing… what they really
are asking and what they really care about is, “Do you understand
me?”
Value
based (features and benefit) selling does not work as well today because
prospects are more savvy and sophisticated. They have less time to be
influenced with all your information (especially as you move up the
food chain), they are held more accountable in their purchasing decisions,
and the information you have can be ascertained and accessed through
alternative channels.
In
the knowledge based economy, the value of a salesperson is judged not
on what they know about their product but on what they can learn about
their prospects’ problems and critical success factors. Unlike in
the Dark Ages, leading with your product information and solutions now
is looked upon with suspicion.
In
the Internet era, sales organizations can no longer get away with placing
pathetic faith and stock in their products and solutions. We eulogize
and romanticize our products and service offerings as if they were the
end all, the real thing. We can no longer afford to treat prospects
as Pavlovian dogs that are shaped by only one stimulus—our features
and benefits. All products and services are intrinsically valueless.
We need to put more faith and value into our prospect’s problems,
their corresponding consequences, and learning the intricacies of their
business so we can build a business case that supports change or recognizes
that change is not feasible.
By
playing the role of a product pitchman and being a talking brochure,
we end up simply parroting what our competition is doing: advancing
our position negligibly. By being exactly like all the other competitors,
we naively participate in the parade of venders who are like the lemmings,
blindly and without question, marching to the sea to their inevitable
demise.
Like
professional boxers, you cannot just be equal to the incumbent to be
a challenger; you must be demonstrably better. Too often, salespeople
are forcing their will and agenda on prospects before they have firmly
established if their prospect has a compelling and driving reason to
change. You cannot sell value until your prospect has voiced what value
looks like to them.
Prospects
do not buy in a vacuum where there are no other variables or priorities
to consider, yet salespeople conduct themselves as if they did. Roughly
60% of all sales are lost to a “no buy” or “no change”. Selling
your value proposition does not account for the prospects who do not
buy from anyone. Salespeople waste untold amounts of time and credibility
establishing product superiority with a prospect who has not firmly
decided they are truly committed to changing. They are trying to close
someone Moses or the Prophet Mohammed could not close.
To
exacerbate the problem, most salespeople operate under the belief that
their prospects have a very evolved understanding and have deep insight
into their problems and are fully capable of making rational, informed,
and quality decisions. Unfortunately, most prospects and salespeople
do not have the time, inclination, or expertise to fully diagnose and
prioritize their business problems. “There is clearly a performance
oversupply in the marketplace that outstrips the comprehension and needs
of prospects. We see this with our more technical customers where close
to 80% of the prospects do not understand their needs or their priorities.
Frequently, their problems are more complex than salespeople are treating
them as,” says Jeff Thull.
Feature
and benefit selling works moderately well with prospects who know exactly
what they want and works well in slow-moving, more price sensitive and
commodity oriented businesses where being an advisor is not valued.
“If you are strictly product focused, you will ultimately be a commodity.
If you are obsessed with your competition, you will always be product
driven,” says Skip Miller. Feature and benefit selling also has
modest success with prospects who buy from you solely for the intrinsic
attributes of your product. We call these intrinsic value buyers. They
only buy your product for what it can accomplish and perform for them.
“Unfortunately,
these are the type of prospects who are price shoppers, not loyal, and
who maintain a very hardened and inflexible procurement-like attitude.
Feature and benefit selling works extraordinarily poorly with extrinsic
value buyers. They are more concerned with all the extrinsic or external
elements beyond your product offering. They are more concerned with
your advice and counsel and they will pay a premium for your integration
capabilities,” says Jeff Thull.
Feature
and benefit selling is a static and fixed method of selling that does
not translate well into the realities of how prospects really buy, which
is experientially and emotionally. It also wastes a lot of time and
credibility because it does not fit well into the 80/20 rule… 80%
of buying decisions will be focused on only 20% of the product’s benefits.
Ultimately, salespeople end up doing dog-and-pony shows, pulling out
all the stops on their floor show, getting out all their pots and pans
and their bells and whistles and getting on their soapbox to do their
premature presentation. This premature presentation syndrome has the
salesperson always beaming with excitement, but prematurely climaxing
with their information and ultimately leaving everyone (prospect and
salesperson) unsatisfied and unfulfilled.
In
relation to feature and benefit selling, familiarity not only breeds
contempt, but defensive prospects. They put up their guards. As Ralph
Waldo Emerson said, “What you do shouts so loudly in my ears, I
can’t hear a word you are saying.” Too often salespeople are
a dogmatic mouthpiece of run-of-the-mill standard fare, stressing the
same-old same-old. Salespeople unwittingly relegate themselves to being
the master-of-the-obvious. Their selling position is simply a triumph
of the lowest common denominator. When all their distinctions (features
and benefits) without a demonstrable difference cancel out, vendors
are reduced to a pure commodity play. Products become interchangeable
and easily substituted and readily replaced. Your products can now be
easily matched, point-by-point, by your competition. Salespeople believe
their products’ value proposition is their lifeline, but it really
is a hangman’s rope.
Salespeople
using value based selling end up being very promiscuous sellers by giving
away, for free, all their valuable ideas and solutions, resulting in
free consulting, unfair product comparisons, and collusion with the
competition by sharing clever ideas that prospects invariably bring
to your competitors to replicate… better, faster, and cheaper. We
treat our features and benefits as the Holy Grail. Unfortunately, prospects
do not pay homage respectfully, canceling out the similarities and devaluing
the differences.
Like
attracts like. Since we do not judiciously protect our information,
prospects like-mindedly do not respect and treat our information as
valuable. Loose lips not only sink ships, but they sink sales orders.
We sell our products vigorously and then we buy them back. It is not
unlike quicksand. The more we struggle and work to sell our products,
the more we sink deeper into a giant black hole. How can we expect prospects
to have an open mind when we feed them all our dogma? Without demonstrating
and initiating a balanced approach, prospects will not feel obligated
to treat us as equals.
Not
only have salespeople commoditized their company’s value proposition,
they also have commoditized themselves. They look and sound like everyone
else, yet wonder why it is so difficult for them to get new accounts,
to get high-level meetings, and to have customers respect their time.
Because
we are in the information economy, customers are savvier and better
informed. They now have direct access to the traditional information
they once obtained and valued from salespeople.
“To
counter this scenario, companies feverishly bring out new products,
add new bells and whistles, and become certified by the ISO (International
Organization for Standardization) or Six Sigma, only to
be eclipsed or copied within a few months, a few weeks, a few days,
or even a few hours. So from where the buyer sits, all salespeople and
products look frighteningly similar,”
says Christine Gould.
So
long as we rely on our hollow dog-and-pony shows, we will be set up
to be shot down like ducks in a row. As with certain diseases, the stronger
the medicine we use to fight it, the more resistant the disease becomes.
Feature and benefit selling by itself is the disease of which it is
purported to be the cure. Prospects are resistant to your value pitch.
The law of unintended consequences fits perfectly for feature and benefit
selling. We are reduced to column fodder where prospects spreadsheet
us and devalue our offering.
Feature
and benefits selling is marginalized because we do not know what we
are selling until we know what our prospects are buying, why they are
buying, how they are buying, and when they are buying. Without these
benchmarks being established, instead of getting active listening from
our prospects, we get active annoyance. They are annoyed because being
a product expert does not mean we are customer experts. When we recite
volumes of technical information about our products, we are demonstrating
we understand our own products, not our customer’s business. We are
essentially cutting off our nose to spite our face.
Imagine
going to an orthopedic surgeon complaining about knee pain and after
5 minutes, he recommends surgery or he gets out all his product information
on the latest surgical techniques and starts telling you in intimate
detail ad nauseum about how he will apply all these nifty new techniques
to make you even better than when you came in. How would you feel if
this happened to you? Now imagine you go to surgeon #2. After an initial
one-hour consultation, with careful review of X-rays and lots of questions,
he also recommends surgery. Who would you feel most comfortable with?
As
you can pointedly see, all prospects are futures traders. They buy future
expectations. No one buys the product for itself. We all buy it for
what it can bring, but most salespeople are so in love with their offering,
they are too busy to find out what the prospect is trying to accomplish
and then help them navigate and define their options with a balanced
assessment of the pros and cons.
The
reason sales can appear to be so challenging and difficult is because
we carry this heavy burden of proof around. The more we think we must
sell our products’ features and benefits, the less we will sell. It
is a cruel joke of the universe. Ironically, the reason we do not change
is because we would feel so guilty at how easy it is by not selling—it
would grate against our Puritan work ethic. We would feel so cheated
and shortchanged by patiently sitting back, listening, observing, questioning,
and letting the prospect proactively do all the selling as to why or
why not they would be open to changing. What would you do if you no
longer had to be in charge? We take the path of most resistance because
we feel in control, we hate to listen, we are self-absorbed, and we
love to convince and persuade, even when it is not necessary.
As
soon as salespeople conclude that they have nothing inherently special
or unique to sell, that is when they will truly differentiate themselves
from the competition and not have to rely on a flawed style of selling:
features and benefits selling. We should no longer treat our product
as if it were the means to an end. Our product and its attributes are
simply a vehicle to help us build trust and respect by learning about
our prospect’s business. We should look at our products or services
as an empty container. This container is inherently without value and
it remains neutral until we start to fill it up with compelling and
demonstrable proof and evidence as to why someone would want to change
or buy. Today’s salespeople can no longer be like Willie Loman in
Arthur Miller’s Death of a Salesman, who is out there
gripping and grinning and telling and selling unsubstantiated and prejudiced
features and benefits. Value based selling is fatally flawed because
it fails to sufficiently address the two most important issues on any
prospect’s mind -- “my personal agenda
and my company’s needs.”