Episode #146: Chasing Buyer “No” Replies

The Cutting Edge Japan Business Podcast



Everyone hates to be rejected, but not many people have this as a fundamental aspect of their work. We ask colleagues for help and they assist, we ask our bosses for advice and they provide it. Buyers though are different. They can easily find a million reasons not to buy and unashamedly tell us “no”. The rejection itself is not so much the problem, but how we respond to and deal with the rejection.

In Japan, the two areas our clients seek special attention in sales training for their team are around understanding the client’s needs and asking for the order or closing, as it is commonly referred to in sales parlance.

The poor questioning skills are a result of salespeople wanting to tell the buyer many things about the features, but not bothering to ask well designed questions to uncover their client's needs. This alone explains why buyers say “no”. If we don’t properly understand what they need, then how do we suggest solutions that make sense and motivate the buyer to action?

The two problems are closely linked. Even assuming that the questions are well designed and that the solution selected is professionally conveyed to the buyer, they may still say no. This is because the buyer’s hesitations have not been properly addressed. There was something unsatisfactory in what they heard from the salesperson and they are not convinced this is the right solution.

This is why a “no” will certainly be forthcoming, especially from Japanese buyers. Risk aversion is a fundamental part of Japan and buyers observe this in distinct detail. They would rather give up on something better, if they thought there was a possibility their decision might bring some stain on their record.

Failure is hard to recover from in Japan. There are no second chances here. People have learnt the best way to avoid failing is to take as few decisions as possible. Especially any decisions which can be traced back to you. Best to have a group decision, so the blame can be spread around and no one loses their job. Actually that works like a charm here, so no one wants to buck the system

Having given the sales presentation, many salespeople in Japan simply don’t ask for the order. They get to the end of their spiel and they just leave it there. The buyer is not asked for a decision, it is left vague on purpose, so that if it is a “no” then that will not have to be dealt with directly. The Japanese language is genius for having circles within circles of subtle obfuscation

The end result is a “no” but nobody ever has to say it or hear it. To get a sale happening, the buyer has to do all the work here in Japan, because the salespeople don’t want commit, to take the plunge and ask for the order. If they get a “no”, their feelings of self worth are impacted, they feel depressed, that they are failing. Not doing fully competent work or being highly productive, yet keeping you job is a pretty safe bet in most Japanese companies. The level of productivity amongst white collar workers is dismally low. Collective responsibility helps because it lessens the impact of personal inability to reach targets or make deadlines.

Sales though is totally crystal clear about success and failure. It is very hard to argue with numbers – you either made the target or you didn’t. Sales is also a numbers game. You are not going to hit a homerun every time, so the number of times becomes important.

You will have certain ratios of success that apply right through the sales value chain and the only way to increase your sales, is to improve these ratios. You have to up the ante, regarding the volume of activity. This sounds easy, but it isn’t when you are feeling depressed, insecure and plummeting in confidence.

The key is to see sales in a different way. The increased volume of activity will even out the rejections. The way you think about rejection has to change. Rejection isn’t about you personally. Buyers don’t care that much about salespeople as people. They are rejecting your offer. As it is made today. In this part of the budget process. At this point in the economic cycle. In this current construction. At this price, with these terms. We haven’t shown enough value yet, to get a “yes’.

As these aspects change, the answer can go from a “yes” to a “no” and from a “no” to a “yes”. That decision is irrelevant of the salesperson and how the buyer feels about them. These are macro and micro factors which can impact the decision one way or another. The answer is to see more people. In that way you can have a better chance of meeting a buyer for whom all the stars align and they can say “yes”.

At the same time, you need to keep working on getting better, at showing more value. You need to harden up and become tougher. Whatever you are selling, you always need to remember your AFTOS mantra: “ask for the order stupid”. Never say no for the buyer and understand that “no” is never “no” or forever.

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