business – Page 8 – understand-culture

Pharma Sales Reps

According to a recent estimate, American drug companies spend $4 billion a year marketing directly to the American public, and an additional $24 billion marketing to health care providers. In 2014, a poll showed that 9 out of 10 big pharmaceutical companies spend more money on marketing than on research and development.

The median annual pay for pharmaceutical sales representatives in the U.S. is $66,814, compared to $37,316 for research technicians, $47,279 for research associates, $60,951 for civil engineers, $64,853 for mechanical engineers, $65,388 for physical therapists, and $66,823 for product development scientists.

Closing Techniques

Wikipedia lists the following kinds of closes (asking for and making the sale, getting the order):

Alternative Choice

Alternative Choice close, also called the positive choice close, in which the salesperson presents the prospect with two choices, both of which end in a sale. “Would you prefer that in red or blue?”

Apology

The Apology close, in which the salesperson apologizes for not yet closing the sale. “I owe you an apology. Somewhere along the line, I must have left out important information, or in some way left you room for doubt. We both know this product suits your needs perfectly, and so the fault here must be with me.”

Assumptive

The Assumptive close, also known as the presumptive close: in which the salesperson intentionally assumes that the prospect has already agreed to buy, and wraps up the sale. “Just pass me your credit card and I’ll get the paperwork ready.”

Balance Sheet

The Balance Sheet close, also called the Ben Franklin close, in which the salesperson and the prospect build together a pros-and-cons list of whether to buy the product, with the salesperson trying to ensure the pros list is longer than the cons.

Cradle to Grave

The Cradle to Grave close, in which the salesperson undercuts prospect objections that it is too soon to buy by telling them there is never a convenient time in life to make a major purchase, and they must therefore do it anyway.”

Direct

The Direct close, in which the salesperson simply directly asks the prospect to buy. Salespeople are discouraged from using this technique unless they are very sure the prospect is ready to commit.

Indirect

The Indirect close, also known as the question close, in which the salesperson moves to the close with an indirect or soft question. “How do you feel about these terms” or “how does this agreement look to you?”

Minor Point

The Minor Point close, in which the salesperson deliberately gains agreement with the prospect on a minor point, and uses it to assume that the sale is closed. “Would the front door look better painted red? No? Okay, then we’ll leave it the colour it is.”

Negative Assumption

The Negative Assumption close, in which the salesperson asks two final questions, repeating them until he or she achieves the sale. “Do you have any more questions for me?” and “do you see any reason why you wouldn’t buy this product?” This tactic is often used in job interviews.

Possibility of Loss

The Possibility of Loss close, also known as the pressure close, in which the salesperson points out that failing to close could result in missed opportunity, for example because a product may sell out, or its price rise.

Puppy Dog

The Puppy Dog close, in which the salesperson gives the product to the prospect on a trial basis, to test before a sale is agreed upon.

Sales Contest

The Sales Contest close, in which the salesperson offers the prospect a special incentive to close, disarming suspicion with a credible “selfish” justification. “How about if I throw in free shipping? If I make this sale, I’ll win a trip to Spain.”

Sharp Angle

The Sharp Angle close, in which the salesperson responds to a prospect question with a request to close. “Can you get the system up and running within two weeks?” “If I guarantee it, do we have a deal?“

Rarely the final step

Formal presentations are rarely the final step in a German decision making process. Rarely do German managers make a critical decision shortly after having listened to the presentation of various options.

Instead they will take time to reflect, discuss with their direct reports, get additional input from subject area experts, use colleagues at different management levels as sounding boards.

The act of persuasion in the German business context is seldom aimed at getting a specific decision. Truly persuasive argumentation seeks to influence, steer, route the thinking to or in the direction of a desired decision.

“Don’t be pushy!”

Martin Wehrle, a German managment coach, writes career-articles for DIE ZEIT. In a recent article he advises: Nicht aufdrängen! – Don’t be pushy! He notes that many job applicants are far too aggressive, as early as in the initial sentences of their cover letter.

“Because I am a perfect fit for the position, I am sending you my application ….” Starting off like that almost guarantees an immediate rejection, writes Wehrle.

Instead of allowing the reader to make her own judgement, the applicant makes it for them. Personnel departments want to make their own decision who is right for the company. That’s what they get paid for.

Wehrle recommends: “Intelligent applicants act like witnesses before a jury. They don’t push the jury to a decision. Instead they simply state the facts, objectively.

The more objective the witness comes across, the more they are believed. The best applicants don’t speak for their application. Their application speaks for them.

Starting Point

The present is always the starting point for any action. The present is current, a result of what was decided, of what has been done, of action taken. To understand the present means to first understand how it became what it is, to understand its history.

Before Germans can be persuaded by any future action, they have to be convinced that the presenter has understood the present – the starting point – via its past.

Ten Slides

Imagine the same task given to ten different Americans, in ten different companies, in ten different business sectors. A thousand people. They’re asked to use a maximum of ten slides in a presentation in order to persuade an audience of fellow Americans about the virtues and value of their product, service, idea, concept, recommendation.

On average, how many slides would the Americans use to explain the present (current situation), the past (how the present was arrived at), and the future (the desired situation)?

Optimal e-mail frequency

Under the title Optimum Follow-up Frequency for New Leads Samuel Smith, a consultant and blogger on business and online marketing, posted the following advice:

„A good e-mail marketing effort doesn’t inundate your customers with hard sales pitches. Following up quickly is the first step. Schedule your first follow-up email to go out two hours after your customer submits his or her information.

From here, you may want to gradually slow your e-mail frequency and aim for about three content emails for one purely promotional email. Depending on your budget, you could aim, at the high end, for sending four emails a week, but with a smaller budget, you can send an email every two or three days and have similar success.

Once a potential customer has been receiving email from you for a couple of months, it’s okay to drop off the number of emails to once a week. The optimum e-mail frequency reminds customers several times over that your product has value to them.“

They’ll remember your product.

frequent follow-up

Interestingly, typing „frequent follow-up“ into Google leads to 179 million results. The first ten pages with ten results each all refer to healthcare:

Long-Term Follow-up of Asymptomatic Healthy Subjects. Frequent follow-up as data gathering and continued care. Colonoscopy Overuse A Result Of Frequent Follow-Up. Follow-up see eMedicineHealth. Is There a Benefit of Frequent CT Follow-up After EVAR?

The term follow-up in the medical space is about: care; staying on top of a problem; remaining proactive; constant monitoring; reacting to a changing situation.

Still a Priority

An additional purpose of follow up in the American context is to signal to the other parties that the agreement is still of high priority. No or late follow up can be interpreted as a signal that the agreement is no longer important to the other party.

Americans place a very high value on flexibility, on the ability to respond to the needs of the market, of customers, of changing situations. Big decisions are broken down into smaller ones. Isolating individual decisions allows for rapid reaction as well as rapid revision. Up to the minute overview of agreements is essential.

Follow-up is omnipresent in American life. The preference setting of email programs, social network accounts, as well as information sources can be set so that information is pushed immediately to the user.

Most doctors offices send out reminders to patients of their upcoming appointments via traditional mail, email and even voicemail. When one turns on the television five minutes prior to the show they want to watch, one sees a reminder indicating that the program they are want to watch is about to be shown. Banks offer depositors the option of immediate notification via email or text message of any changes to their balance.

Follow-up is in many cases simply a reminder.

Personal nice. Professional better.

In small talk situations Americans seldom jump directly into the business subject matter. For Americans business is always to certain degree a personal matter. In fact, Americans prefer to work with people they like, and who like them.

Germans, on the other hand, can and will do business with you even if you have little or no personal relationship. Most importantly, they want to know if you are good at what you do. Personal is nice. Professional is better.