Yesterday I was looking to refinance a loan I had. With these great interest rates – who wouldn’t!!!
As I was reviewing the loan, I thought there has to be something in this loan that I can use in negotiation. I didn’t know enough about loans to know where a loophole might be.
As I walked through the loan with the loan officer and we got all the way down to the last number on the page – he did the right thing – He asked for the sell! “Let’s wrap this up today. You know how quickly rates are changing right now.”
Sales Tip #1: He asked for the sale. So many times we don’t ask for the sale – you will never get what you don’t ask for!
Sales Tip #2: He packed it with a sense of urgency – “you snooze you lose!”
I stopped hesitated for ohhhh maybe 15 seconds – just long enough to make him want to talk so more.
Then Sales Mistake #1: He panicked! He said with a bit of uncertainty in his voice. “So What’s stopping you?” Pointer – over the phone you can perceive soooo much more than in person. In person many times you can hide your fear or uncertainty with a façade – a physical level of confidence. Over the phone that extra quickness in your voice or quiver cannot be disguised.
Sales Mistake #2: He said what is it the underwriting costs? He just dropped all his eggs right there in front of me. Told me exactly where he could cut costs.
…I hesitated some more and said yes – that is the issue.
Sales Mistake #3: He said what if I dropped them by $1000. By giving me a dollar amount right up front instead of asking me what would work for me – I know knew where I would start my negotiations. I then proceeded to negotiating and got $2000 off instead of $1000.
Why did all of this go wrong for him? Because he forgot to begin the sales process with Why Buy questions. He did not lead me through the Circle of Trust. This means he needed to get to know me, find out who the competition is, see what dollar value he could add for that extra $2000. So many things.
The bad thing is he makes this sell every day. Day in and Day out. Now you might say – Hey! He got the sell, didn’t he? But if he closed – let’s say 6 sales a day he’s leaving $6000 a day every day all year long. How much is that costing the company (and probably him in commissions) $1,500,000. Now doesn’t that add up!
Read our blog post to learn “What is Negotiation?”
Learn the importance of understanding your clients in sales and negotiation, their needs and how you can make it a win for your client, a win for your company, and a win for you!
