I have been in sales for 25 years and I have benefited greatly by some great sales tips that I learned and applied along the way. In addition to the 7 steps, there are 4 rules you must absolutely follow to be successful in sales.
I cannot forget this incident that happened early in my sales career. This story emphasizes the importance of applying the sales rules to ensure sales success.
The customer pushed away from the desk and abruptly stood up. ”I’ll have to think about it”, he said forcefully.
I was a novice in sales at that time but my mind was racing because I know from experience that if a customer walks out from the showroom, there’s a very slim chance I’ll see him again. That’s because of the Law of Diminishing Return (more of this later) I knew he was definitely buying and I’ve given him a great deal.
I stood up, extended my hand which he grasped and which I did not let go, and blurted out something I read in Joe Girard’s book, ”John, let’s be opened. What can I do to get your business now?” I remembered emphasizing the word NOW.
He was stunned for a moment because he thought I was letting him go and to think about it. ”Well…actually…I’m thinking of another brand of car, a ….ah…Model B”
”Ah, I see, I have some information about this model, may I share that with you?”
We sat down and I told him that the competitor’s model he’s interested in retail for $40,000, $5,000 more than the model I was selling.
His reaction was, ”Oh really, I guess that’s out of my budget.” I closed the deal. And he became a good friend. That was 25 years ago!
Thank you, Joe Girard! (How to Close Every Sale?)
You may know Joe Girard as the world’s best car salesman. He’s recognized by Guinness Book of World records as the world’s greatest salesman, having sold 13,001 vehicles from 1963 to 1978, which were 867 units a year!
Reading his book the first time 25 years ago, and learning and tumbling through trials and errors, I know the selling game or process has not changed. Whether you’re selling cars or cats, house or insurance, flowers or coffee, you need to follow the rules of the game and you’ll be able to sell anything to anyone.
I would like to share 4 powerful rules that will help you improve your sales closing ratio. (Don’t forget the 7 steps)
You must be super knowledgeable about the product you’re selling. I’ve seen many salespeople giving this matter scant attention. They tried to get by with minimal knowledge as they’re lazy to learn.
A good friend of mine was very excited to start working as a salesperson in a company owned by his elder brother. The company deals with high-end security locks. He thought he’ll hit the road selling security locks when he reported for work. But instead, the brother sent him to the office basement where he repaired locks for 2 months! He was initially disappointed but later he realized the knowledge he acquired was invaluable in his sales career. He became the best sales person in the company. He said, ‘I know the inner workings of all locks of our brands and even that of the competitors. I can explain clearly all inquiries. I can handle all objections. That gave me great confidence in facing the customers. And better closing power’.
So true. Referring to my own experience mentioned earlier, I would not be able to close that sale if I didn’t know the competitor Model B was selling for $40,000, $5,000 more than the model I was recommending. The best part of closing that sale was that he became a good friend and recommended his friends to purchase from me.
This law simply means that the prospect is at his highest eagerness to buy a product when discussing with you. But if you let him or her go without closing, their desire to buy from you diminishes over time. When you call back, you get a ringing tone that goes on and on.
Hence, you’ve got to build the belief and confidence to ‘close on the spot’ every buying prospect you meet. Opportunity may not knock twice.
A couple was looking to buy a van to ferry factory workers. Tried as I might, I couldn’t close. Finally, the husband said, ‘I’ll like to discuss with my wife first.’ Without missing a beat, I replied, ‘Ok, that’s a great idea.’ I stood up and moved away from the discussion table. They were surprised because obviously, they thought they’ll be going home to discuss.
I stayed out of earshot and from the corner of my eyes I could see an animated discussion. The husband looked up and I came over. They raised s final objection which I was able to overcome. And a deal was signed! If I’ve allowed them to return home to discuss, the Law of Diminishing Return would have kicked in. The chance of closing will drop greatly.
The best part was, he recommended another 4 of his friends to buy the same model factory van!
A couple was planning their wedding anniversary in a fancy restaurant out of the city. One problem. The wife accidentally packed his old pants that he couldn’t fit anymore! So they rushed to a store. The nearest was a branded store. He told the salesperson the story why he needed a new pair of pants, his size and that they should not cost more than $40.
The salesperson found a pair and began to explain the benefits of the pants: braces buttons already sewn in, less cease, less dry cleaning and pressing.
The husband said that was not important. He just wanted a pair that cost less than $40. So how much was this pair?
‘Sir, they’re only $120’, the salesperson answered confidently.
The man explained that’s just too much for him to pay for a pair of pants and started to walk out.
‘By the way, what time is your anniversary dinner?’, the salesperson asked.
The couple explained it’s another 2 hours at a restaurant about 20 minutes from their hotel. The salesperson reminded them that the pants needed to be tailored. And it will take time. He called the tailor and said, ‘…yes we need it tailored now. …this is important…..it’s his anniversary which is at 8 o’clock. Can you make it in time?’
The salesperson was assuming the sale as the customer priority now was not the price but getting the pants ready in time for his anniversary!
Turning to the man, the salesperson asked, ‘Straight legs or cuff, Sir?’ The answer was straight legs. ‘Would that be cash or credit card?’ Credit card. And so the man bought $120 pants!
See how the salesperson controls the sales by asking questions that divert from the cost problem and instead by focusing on the man’s problem which was getting a new pair of pants and be on time for his important date.
Just last week I was training some new salespersons about the importance of sales scripts. Great scripts allow you to control the sales. He applied it and was so surprised with the results. One afternoon, a prospect called in and inquired about a car model. Then the prospect said he’ll drop by another day.
The newbie said, ‘‘Let’s meet this afternoon at 3:30 pm or 4:30 pm?”. There was a slight pause at the other end and then the prospect replied, ‘Hmm…ok, 4:30 pm is fine”. They met, and a sale is closed!
You see, powerful scripts can help you to control the sale. In this case, the salesperson has decided for the customer that they were going to meet that day and it was either 3:30 pm or 4:30 pm. The reason why the salesperson did not say 3 pm or 4 pm was because it would give the impression that the meeting would be an hour long. By saying 3:30 or 4:30, his brain registered the word “30” and decideed that the meeting would only be 30 mins. It’s just like we see an offer for a t-shirt for $9.99, and we tell ourselves it’s less than $10.
One more point. I was watching a salesperson talking to a prospect on the telephone. He was explaining the different models and the different promotions. It took a good 30 minutes. Finally, when he requested for an appointment the prospect said – you guessed it – “It’s ok, I know where is your dealership, I’ll drop by when I’m free”. Of course, chances are he would not.
So, how can you get an appointment over the telephone? Persuasive script.
Prospect – What’s the offer for this Model?
You – We have several variants on this model with different offers. It’s not easy to explain over the telephone. Let’s meet up.
Prospect – Please try.
You – Well, it will take quite a bit of time. An appointment will be great.
Prospect – In that case, I’ll see you when I see you.
You – Mr. John, I understand why you are a little hesitant to meet me. Perhaps, you are worried I’ll pressure you to buy. Here’s my promise, we meet, I give you the brochure, explain the price and promotions, then I’ll leave.
Prospect – Oh…in that case, ok.
You – Shall we meet this morning or this afternoon?
Prospect –this afternoon
You – that’s fantastic, 3:30 pm or 4:30 pm
Prospect – 4:30 pm is good.
You – Wonderful, your address is…
Initially, the customer did not agree to an appointment because he was worried the salesperson would pressure him to buy. But the salesperson understood his feeling and promised not to force him to buy. That eased the tension, and an appointment was secured. And a deal was done!
So you’ll need to find persuasive scripts for the product you’re selling. Scripts for greeting, consulting, product presentation, closing, and negotiation. You’ll get more ideas on persuasive scripts as you read How to sell ice to an Eskimo in 7 steps.
Hi my name is song. I hope by sharing my years of selling experience, you will be able to make more sales!
One more thing, I would love to hear your comment on other effective sales rules that you use.
32 thoughts on “How to sell ice to an Eskimo, the 4 Rules”
Awesome post sir,one of the best articles have read
You are most welcome! Stay safe!
Hi Song, thank you for your time to writing this useful tips and sharing to us. Appreciate on it. Have a nice Day ??
Hi Thomas,
Thanks for dropping by my page! Hope the tips keep you going strong in your sales job! Have an awesome day!
Song
Hi Song, thank you for your time to writing this useful tips and sharing to us. Appreciate on it.
Hi Evelyn,
Happy to share my experience! Hope the selling tips will help you reach greater success in your sales career! Have an awesome 2018!
Song
hi.. Song
tq for yr sharing. 7 step by step find n closing sales. very useful to us .
Hi Say Shiann,
Glad to share! Sales success to everyone!
Song
Awesome article….?
Hi Thet,
Youe’re Awesome too! Thanks for visiting!
hi Song..thats a good tips?
Hi Rizal,
Thanks! Tips learned the hard way are tips worth applying!
Song
Excellent read. Thanks for sharing wonderful information.
Hi Christina,
Awesome you find the piece helpful! Thanks for visiting!
Song
Hi Song,this is really helpful,thanks so much for sharing…excellent information.thanks u.
Hi Keith,
Thanks for visiting! Glad the post is helpful for you. Have a fantastic 2018!
Song
Hi Song
This was such an enjoyable read and so insightful.
It is true how we phrase something can make all the difference – between saying 3 or 4pm and 3.30 or 4.30. Powerful!
And the law of diminishing returns is definitely true. Many a sales person has let me walk away and I almost never return and talk myself out of it! Pure wisdom!
Hi SJ, thanks for chipping in with your comment. Having gone through the learning curve as a salesperson, I have also let prospects walk away without buying.
The fact is, the prospects actually want us to help them make a purchase decision. If they trust us, and if the product can fill a need, and with a bit of persuasion, they’ll buy.
Have an awesome day!
Song
I have first hand experience with the diminishing return aspect, as a customer. My wife and I were looking to buy a camper. We found one we were very interested in. We got some information, including price, from the salesperson and then we made up an excuse that we had to leave. I went home and that night I emailed them an offer. The next morning, I woke up and for some reason I was relieved that we had not purchased the camper the day before. Later that day the salesperson called me and wanted me to come in to discuss my offer. I told him I wasn’t interested anymore. I can tell you for certain if we had stayed at the dealership the previous day, we would have bought that camper. So, by leaving, your diminishing return example is proven. I loved reading your post, these real life examples are awesome. I really like the example of knowledge is king. I completely agree.
Hi Steve, Hi Kris! Yeah, the Law of Diminishing Returns is a sales killer for many inexperienced salespersons. A great salesperson would have kept you talking and persuaded you to put down a deposit!
But hei, may be you should have bought the camper! Right now you and your wife could be somewhere in Montana, sitting in your favorite chairs, you, puffing a Cuban cigar, she, sipping a great cup of hot coffee and looking at all the Bisons grazing. Ah what a life in could have been! Ha ha!
Song
Lol…you caught me with the title. Like the personal anecdotes. Pretty useful information. I would imagine you could use this in just about any negotiation situation. After all you’re still trying to sell something…whether it’s a product, idea/concept. Can’t wait to try out some stuff…with friends and family first, then on to bigger fish to fry.
Hi Dave, you’re right that the rules or selling principles can be used to sell anything. It’s wonderful to know you can use them some times. Thanks for visiting!
I found the article very enlightening. The 4 rules will be helpful to any salesperson. It was plain and easy to read.The page was very clean with a lot of white space, a little too much. A few more ads need to be added to fill it in. As a whole I would rate it good to very good!
Hi Chris, glad you find the article helpful! Thanks for some good tips to make the site better! Have an awesome day!
I really think you gave some good tips in this article. I disagree to some point about the usage of the phrase of “Law of Diminishing Returns” as utilized in this article. I am accustomed to other uses which are more fitting. However, all four rules were enlightening!
Hi Chris, you know what? You’re right on the original usage of the phrase “the law of diminishing returns”. It’s an economic concept used in production or manufacturing. I guess the first time I heard of this concept was from reading the book by Joe Girard, the world’s best car sale person. So this concept stuck with me and has been very useful in my sales career.
So glad you dropped by and thanks!
Song
Hi Song,
This is such excellent information! I sell wedding cakes and many times work with my customers through text messaging. It was surprising to me to see that without knowing it, the only time I used these rules, I got the sale. Rule number 3 made me smile – changing the priority in the customers mind. I’ve written these and the 7 steps mentioned in your other post. Thanks it was an informative read! Love the drawings – did you do them?
Great you find both articles useful and informative. What’s interesting is that, even though I ‘m writing from the perspective of a car salesperson, but yet the 4 rules can be applied to any type of sales, even selling wedding cakes! Let the wedding bells ring!
Yes, the drawings are mine. That way, I don’t have to worry about copyright issue!
Song
Really interesting article and I have certainly learnt a thing or two here. I’m just starting out with my online business and could certainly use some helpful tips for sales. I look forward to reading your future content and learning from your 25 years experience in salels. You mention a book you read by Joe Girard which I’m intrigued by, do you have any other recommendations for books in sales?
Hi Lee, thanks for visiting. There are in fact several books by Joe Girard, the master salesperson, on selling: How to sell yourself / How to close every sale (my favorite) / how to sell anything to anyone, among others. You may also like books by Zig Ziglar, Selling 101 and Secrets of Closing the sale.
And so glad the 2 articles have been informative and useful to you. Wishing you great success in your online business! Have a an awesome day, Lee!
Song
I admire the way in which the articles , the 7 steps and the 4 rules co – relates. Many lessons and pointers were learnt here. Thank you for your hard knock s experiences .
Hi there, Renestien! Great you find both articles useful. Thanks for visiting, pal.