Once we create a suspicion of value in the mind of decision-makers we earn CREDABILITY by showing the customer how we make our value proposition a reality. In earning CREDABILITY we’re evolving that suspicion of value to an acknowledgement of value. The three primary paths to customer credibility are demonstration, recommendation and education.
Demonstration – If you’re able to, show them how you’ve done it before and how you can do it for them.
At HP we bid on and won a new manufacturing solution at Boeing Commercial Airplane Company. We were bidding against the incumbent so we had to prove that we could do what we proposed. We set up a large conference room with a mock-up of an airplane assembly-line and had the customers assemble model airplanes while using our software to log and monitor activities. We had fun and while letting them experience the usability of our solution.
We had to show how simple it was to do what we proposed. We earned credibility by letting them do the demo for themselves thus showing them how we’d done it before and how we could do it for them.
Recommendation – Having customers who will advocate for you is a great benefit. You should use strong referrals whenever you have that opportunity.
At American Bank Stationery, a key target market was top credit unions in the country. Boeing Employees Credit Union (BECU) and Alaska Federal USA Credit Union were in my territory. We did business with BECU before I joined so Alaska USA was a top focus for me. Their top two executives made the decision so I needed them to understand our value proposition. We were in Valdez, Alaska, for a credit union conference and I organized a meeting between the presidents of both credit unions. The agenda was about how to grow membership and the BECU president talked about how our New Accounts sales training had helped them. I ended up getting a dinner meeting with the president of Alaska USA and three months later we were supplying them with checks.
The customer developed a suspicion that we have value based on the recommendation of the BECU president. I used the next three months to prove we could make it true for Alaska USA.
Education – If you’re in an industry that relies on innovation as a value proposition you won’t be able to rely on demonstration and recommendation because it’s all new.
In the early 1980s, UNIX-based servers were new to the commercial software market. Computer manufacturers didn’t have the ability to show what had been done before. Our challenge was to sell the benefits of UNIX computing and to show that HP offered the most expertise. HP put our global account teams through training at Cambridge Technologies Group (CTG), at MIT, to learn the benefits of UNIX. It was so compelling we decided to go back with key customers. That customer education led many Fortune 100 companies to choose HP for this innovation in server technology.
Education is a very valuable tool even when you have demonstrations and recommendations. It helps customers assess your solution, makes them comfortable with the unknown and, most importantly, it makes them confident in your ability to deliver.
Without earning CREDABIILTY we can’t win business. Demonstration, recommendation and education are the primary means for us to earn sales CREDABILITY with current and future customers.
©2015 Rick Wong – The Five Abilities LLC
