9 ways to convince people to switch their service provider
The process of convincing prospects to go though the hassle of changing their provider can be a challenge, but if you can crack this problem then it can be incredibly powerful for your bottom line profits as you dont have to spend lots of money on marketing.
To prise customers away from their existing suppliers, you have to offer differences that deliver benefits they really value – and better still, dramatic differences that deliver benefits they really value.
Create your USP
A unique selling proposition, which defines your company’s unique position in the marketplace, is an important part of creating pricing power and a business that customers genuinely love.
A strong unique selling proposition lets you to stand apart from other competitors offering their sevices and actively focus your energy on creating things that cater to your ideal group of customers.
A simple process for creating your USP statement:
a. List out what you believe are your USPs – the things that make customers buy from you instead of from the other person
b. Take your list of USPs, and for every item on it ask the question, “Could, or do, more than a quarter of our competitors say this too?” If the answer is “yes”, then it cannot be a UNIQUE Selling Proposition, can it?
b. List exactly how, where and when you convey your USPs to your customers.
d. Get your team together to help you complete the following four sentences:
‘You know how most people have a problem with…’ – indentify the pain
‘Which means that…’ – explain how the pain causes problems for them
‘Well, what we do is….’ – explain what you do to remove that pain.
Stand out from the crowd
In the age of the internet, your customers have more options than ever before. It’s therefore more important than ever to make it clear why they should choose you over those competitors.
More often than not, people will either buy from a business that best communicates their value or simply make a choice based on price alone.
So how do you stand out from the competition, capture customers’ attention, and drive sales based on your value rather than your pricing? You define and communicate your unique value proposition.
A value proposition can be defined as a short, memorable statement which quickly communicates why customers should use your services instead of anything else out there. An effective value proposition will highlight the benefit that most resonates with your customer. Ideally, this will also be a benefit your competitors aren’t advertising—which is what makes it a unique value proposition.
Here’s an equation to make everything clearer:
Benefits to customer – Cost to customer = Value to customer
Remember the secret to getting the right price, a price that truly reflects the value is to educate the client. So make the value obvious; explain the benefit to the client – what’s in it for them.
Unfortunately, most Industries get this wrong because they talk in terms of features, of what their service does but not what is the real value.
Present the benefits to your prospects not the feature of your service
When speaking to prospect do you talk about the features of your IT services or the benefits!
One of the biggest mistakes business owners make is talking about what thier services provides, ie it features…
However, customers rarely buy FEATURES, they buy BENEFITS. When it comes to features versus benefits, what’s the difference and why does it matter?
A service Benefit describes how the feature will solve a particular problem. In other words, what does it mean to the customer?
To convert those prospects into customers, you must sell them on the benefits of the experience that they can expect. It is only when you tie them together or translate features into benefits can you engage with your target audience and increase your success rate of closing the sale .
Find your prospects pains & frustrations
What are your customers’ key frustrations? Like any problem, customer pain points are as diverse and varied as your prospective customers themselves.
Asking the question “What are my customers’ pain points?” is an incredibly powerful way of identifying how to add extra value to your services.
Every product or service should be carefully designed with the aim of fulfilling a particular need. Many attribute the success of a business to reasons like pricing, marketing, etc. But, the real reason lies behind the ability of a business to solve its customer’s pain points.
Use soft offers to engage prospects
Having an offer to attract the prospects attention is a great strategy. Some offers mean the prospect has the engage with the business directly to take up the offer (ie free initial consultation) . For the more reserved business owner this can be a bit off putting as they will need to speak to someone before they have had time to gauge how good they might be.
This is where soft offers can be so valuable, as these require no interaction from the prospects point of view. Example of these may include:
– Free Special report
– Free information pack
– Free coupon
– Free guide on buying your next computer
This free resource can then be exchanged for an email address where the prospect will then receive further communications from you until they are ready to speak to you in a more direct manner.
Not having this no commitment soft offer can mean you miss out on the more reserved types of buyers.
Be persistent and consistant
Are you giving up too quickly and missing out on 73% of the market for your IT/Telcoms services
Research suggests that 73% of business buyers say “No” at least five times to any salesman before eventually saying “Yes”. But a staggering 92% of salespeople give up and move on to another target before they get to the fifth “No”
This leaves the remaining 8% of salespeople with 73% of the market share or putting it another way, for every new sale the impatient salesman wins, the patient salesman wins 31 times more
So what you need to put in place is some systems for being persistent, but in a way that adds value. Some ideas could be
Promptly sending out your quotations
Follow up calls
Auto-reponder emails that give valuable info
Doing something to keep in touch regularly – with the aim of trying to get to that 5th, 6th point of contact until eventually they say yes.
Remove the barriers that prevent prospect from getting over the finish line
Sometimes getting new customers is like a hurdles race. To get a YES you must cross the line first. In other words, you must overcome the barriers to YES.
Better still removal of those hurdles would make getting to the finish line so much easier.
The hurdles, or “barriers to yes”, facing every business are different. You will need to work with the client to identify their specific hurdles and then finding ways to remove them, common examples of these include
Potential customers don’t really know who you are – So you must give them a very good reason to give you the time of day and take you seriously. And that means that you need to demonstrate social proof by using testimonials, press coverage and referrals – all of which help to establish credibility.
You haven’t made it easy for customers to find you in their hour of need – giving them items that they will use all the time with your details is one particular solution to this issue ie mug, pens etc
You’ve made it hard for them to trust you – Creating extraordinary guarantees that remove some or all of the risk makes it much easier for people to trust you
You’ve made it hard for them to buy – make sure client onboarding is made simple as possible, perhaps by handling all the transfer process from the previous supplier
You’ve You’ve made it hard for them to pay – The more payment options you offer, the easier you make it for people to say yes. Direct debit mandates, clickable links on emails that take them to a payment page…
Use social proof to provide credibility to what you are saying
Every business out there tells potential customers that they can do amazing things for them. The trick is getting people to understand (and believe!) what you’re saying.
Trust is one of the most important things for your brand, and one of the best ways to generate trust is through testimonials.
They’re a vital tool for building trust, credibility and social proof amongst your customer base. Although written testimonials are great, you will find that a video version has much more power and eliminates any doubts people may have about the authenticity of a testimonial.
Use them liberally across all your digital and offline marketing materials and you can hope to see an upturn in conversions and a boost to your profits in no time.
Be on the front foot to expect and respond to objections
The word “no” can be a tough pill to swallow. But objections are actually opportunities in disguise. If the customer wasn’t interested he wouldn’t bother to object, would he?
So the fact that you’ve received an objection tells you that the customer is interested. And, of course, the better you reply to these objections, the greater your chances of turning every no into a successful sale.
The secret to this is creating a script…. continually testing it…. and continually improving it
To help you with this you can use the 6 step process below
1. Listen to the objection carefully
2. Make sure you understand the objection – by repeating back to them
3. Acknowledge the customers point of view – “so if i have understood correctly, what your saying is….”
4. Answer the objection – you could start off saying something like “others also had the same concerns but what they found after working with us….”
5. Check that concern is answered
6. Ask for the business – if objection still faced go back to step