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Sales, then and now, 10-minutes exercise comparing two links. How we approach sales in innovation and startups has changed a lot recently, but not for everyone. Enter the "sell me this pen" as seen in "Wolf of Wallstreet". It's a sales classic. You inspire desire in your customer in your sales pitch, and quickly he wants to buy, at any price. I frequently talk to startups about sales, but coming from a product management perspective. The closest thing to selling in strategic product management is "solution selling". As the name suggests, it's about identifying a problem the customer actually has, then understanding how big the problem is. So when talking to the sales people at startups, we talk about pricing, job-to-be-done, and unmet needs of the customers. What kind of product do you have, in the eyes of your customers? Is it a nice thing to have once the customer learns about its existence, a "Vitamin"? Or is it something the customer really needs, a solution to an existing problem, something the customer already needed before he learned that there is a solution to the problem, is it a "Painkiller"? If your product is still a Vitamin, it will be hard to sell, you will see a lot customer churn, customers quitting soon, instead of staying for the long run, and no recommending of your product to other people in the industry. To transform your product from a Vitamin to a Painkiller, you need to understand your customer's pain point. That's very close to S-P-I, "situation", "problem", "implication" in the SPIN-selling system that we use in solution selling. Do this little test: Read a very short description about Vitamin vs Painkiller, and then read through a sales pitch (which is described as "the best" by its author) and note which parts are addressing a need for a Painkiller, and which address the wish for a Vitamin. - Intro Vitamin vs Painkiller: https://www.entrepreneur.com/article/230736 - "Sell me this pen" sales pitch: https://www.linkedin.com/pulse/best-answer-sell-me-pen-i-hav... When you compare those two, you will see that the "sell me this pen" pitch is based on a Vitamin product. Most pens are Vitamin products to most customers, no matter how brilliant your sales pitch is. You can't use sales skills to fix a lack of product management. |
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The product-load-feature that is described in the entrepreneur.com article as a "vitamin" mere seems poorly marketed. Keeping your e-business platform up-to-date with your products is very much something that can raise revenue or lower costs (or, if not, it's not actually a product at all, vitamin or not). On the other example, the healthcare payments solution, why would you not expect the provider of the existing invoicing solution to "just" enable some sort of upfront payment to lower bed debts, if this is really a problem?
(Also, dismissing business ideas on the basis that someone else would already be doing it if it's actually a problem seems to be a great way to never be successful in business)