Episode 317: Sales Is A Process In Japan

Because the vast majority of people in sales have no idea what they are doing, they are making it up as they go along. Wouldn’t it be better to have a roadmap to progress the making of a sale? This roadmap will keep us on track and not allow the buyer to take us off on a tangent that leads to nowhere. Foundering around with no central direction wastes a lot of key buyer facing time and we don’t want to do that. We can’t expect unlimited access because of their busy schedules, so once we are in front of them we have to get all of the discovery process done in usually around an hour.

The sale call roadmap starts even before the call. These days with so much information readily available, especially with the advent of AI tools, we can’t turn up and ask basic questions about the company. We need to have done some research beforehand on media reports, their website, annual report, social media and using LinkedIn where possible, to check on the individuals we will meet, before we meet them.

Having done all of that, we are well armed to get the conversation off to a great start. We may have friends or contacts in common; or shared a similar working experience in the same company; or lived in the same town; or went to the same university or studied the same subjects. When we have done our research we will have an opportunity to try and find these little connectors. I was working with an American guy when I was at the Shinsei Bank. He was an absolute master at this. He had just joined the bank and I was supposed to brief him on the work my division was doing. We spent the whole time with him making connections between people we both knew. He did this to break the ice and establish rapport. I never did get to brief him on my division!

This rapport building is important with clients. We know if we don’t get a good relationship going at the start of the conversation, then it is unlikely they will buy from us. Even if we don’t have much in common, we can use other techniques like bring some interesting industry data or intelligence to them. We might have seen something work somewhere else and we can introduce this idea to them. In this initial meeting process, we need to make a very important intervention.

We need to get permission from the buyer to ask questions. When they are happy to meet us and having established some rapport, they are more likely to say “yes” to our request to ask questions about the inner details of what the company is doing and all the problems they are encountering. In other words, all the firm’s dirty laundry. If there was no rapport or trust created would you be keen to share that detail with strangers? Now in a western business environment, asking questions is no big deal, but with Japanese buyers it is crucial we do this. They are used to being hit with sales pitches, so the concept of them being questioned by the seller is not something they are used to.

Having gotten that permission we should ask very intelligent questions, so that we can fully understand their needs. Now buyers sometimes don’t want to tell us their precise situation. We have to ask our questions in a way that gets around that reluctance. We are searching for an entry point where we might become useful to them, to solve a problem they have. If they don’t have a big enough problem or if they think they can fix it themselves, then we will have a lot of difficulty making the sale. We have to show why this issue is best addressed now, rather than after. And why they should leave it to us to fix, rather than trying to do it themselves. Left to their own devices and a hundred year time frame, businesses can solve their own problems and they don’t need us, which is why we have to emphasise speed and the urgency of time to get them moving. If we don’t deal with these issues up front, then no sale.

Once we understand their needs, we move along the roadmap to the part when we present the solution. Now in Japan, this will usually take place at the second meeting. There will be a discussion about the technical pieces of what we will do, talking about how this solution will fit their company. We can’t leave it there though, because that is still too abstract. We need to talk about how they can project and apply these benefits inside their company, in order to get better results. This is where word pictures are very powerful. In most cases, we are selling a future that they can’t fully appreciate. So we need to explain how we can add to their business through increasing revenues, reducing costs or grabbing greater market share.

If we have been able to uncover what the success of this project will mean for them personally, then we wrap that bit around the benefit too. The client naturally doubts what sales people are telling them, so we need to show evidence for them that this has worked for other companies. Once we have done that, then we can test the waters to see if what we have suggested is the right solution for them. We do this by asking a simple trial closing question like, “How does that sound”. We want to flush out any resistance to place an order. If they don’t have any problems, then we just ask for the order, “Shall we go ahead?”.

If they have issues with what we are suggesting, then we need to confirm what these are? They may have problems with our pricing, payment terms, quality, delivery or schedule. It doesn’t matter what they mention, we shouldn’t answer it immediately. I know the emotional temptation is strong to jump in and correct their misunderstanding or their resistance but wait.

Remember, we are only getting the headline, at this point and we need more information before we are in a position to answer their objection. Once we have heard the details of what they are thinking, we still wait, we don’t answer it. We keep digging. There may be other even more pressing concerns they haven’t mentioned yet and there is no point in answering a minor concern, if the big one is left unattended. Once we have gotten out their key concerns, we ask them about which one is the highest priority for them. And then we proceed to answer that item. Often once we have answered that one, the other concerns fade away.

Finally we ask for the order. They may say they have to think about it and because of the consensus decision making system in Japan, they actually have to get the rest of the organisation behind this yes.

That is fine but make an appointment right then and there for a follow up meeting to put a firm schedule behind getting that consensus. If you don’t, then it could drag on forever. You are better to push for a finite yes or no. Thinking you have something in your pipeline, when you don’t is false comfort. A clear no is better because then you have a better picture of deal flow and revenue projections. You can devote your full energy on another buyer who can say yes and go ahead. If we get a yes, next we do the follow up and deliver on what we promised.

This roadmap is how we run the sales meeting with the client as opposed to Japan where, typically, the buyer hijacks the process and usually runs the meeting. We need to keep control and bring the buyer back to the roadmap to move along the rails or we will never get a sale. Winging it may be more exciting and appealing to your free spirit, but you won’t make as many sales. The path to the sale is clear and you have to keep it moving along that path, going through all the stages, to get to a yes.