I have come to the conclusion that the one thing you should never do is to just telephone the prospects and say that you have decided not to bid. Nor should you just write.
Firstly, it would mess up the relationship; and secondly, there is a much better way to do it!
You go to the prospect and give them your problem.
I would be delighted to bid but unfortunately there is no way I can meet your implementation timescales. I am worried that Imight be wasting your time and mine by bidding. Can we discuss how we might fix the problem?
In other words:
Convince me I should bid!
Either they will convince you or they will not.
If they do convince you that is great because you have shifted the goal-posts in your direction. The prospect is now more articulate in your strengths.
If they do not convince you, then the game is to get the prospect to tell younot to bid! If you can get the prospect to tell you not to bid, then you have kept the relationship squeaky clean and neither the prospect nor your management can complain about you not bidding.
It is hard to describe but it is such good fun to go to a sales meeting when you know that the outcome will be that the prospect tells you not to bid! It is certainly not what the prospect is expecting.
If you have a sales hat on your head then it may seem a bit strange and embarrassing to behave this way. Put a business hat on your head and it is the easiest thing in the world.
Designing the Quit Points
The strongest salespeople are very tough qualifiers. I always enjoy it when people design what I would call ‘Quit Points’ into their plan.
A Quit Point is defined as follows. Let us assume that there is some potential show-stopper. To overcome the show-stopper, some commitment is needed. In other words you need to ‘Change the Rules’.
If you achieve the commitment, change the rules, then the sale goes forward for you to win it. If you do not achieve commitment, you quit. If you cannot change the rules then the potential show-stopper becomes a real one and you WILL lose. In other words, the Quit Points are those critical commitments that convince you it is worth bidding.
If You Are Going To Lose Then Lose Quickly
Coming second doesn’t count in sales. It saps morale, wastes your time, pays no commission and messes up your company’s resources.