7 Sales Methodologies and How to Use Them for Your Small Business
In our ongoing efforts to empower small business owners and entrepreneurs with effective sales strategies, we’ve conducted in-depth research to present to you 7 effective sales methodologies that have the potential not only to foster growth in your business but also possess the sustainability to ensure its prosperity for many more years to come. As you explore these methodologies, you’ll gain insight into their unique properties, as well as the best scenarios for their application. The question that arises now is which of these techniques ideally aligns with your sales team to maximize their potential? Read further to delve into our findings to understand the dynamics of 7 sales methodologies and explore how they can be leveraged for your business’s benefit.
1. The SPIN Method
What is it?
SPIN stands for the four types of strategic questions salespeople can ask their customers: Situation, Problem, Implication, and Need-payoff. This sales technique relies on sellers raising pointed questions early in the deal. Situation questions gather information on a prospective client’s current situation. Problem questions help illustrate different needs that a product or service can solve. Implication questions show a client why their problems need solving, and need-payoff questions lead that customer to their own conclusion: that a certain product or service is the answer.
When is it effective?
The SPIN approach can be effective if your product or service is a clear solution to common difficulties that customers are experiencing, especially when those customers may not have previously identified those difficulties.
2. The MEDDIC Sales Program
What is it?
The MEDDIC Sales Program focuses on the idea that finding the right prospects will lead to a higher closing rate. The acronym MEDDDIC stands for the criteria that make a prospect highly qualified. They are Metrics, Economic buyer, Decision criteria, Decision process, Identify pain, and Champion. In this program, a seller uses those criteria to identify who within an organization to approach about a sale.
When is it effective?
This approach tends to be most effective if your sales team is working in B2B environments where they need to be highly knowledgeable of who will help them drive sales.
3. The Challenger Sale
What is it?
As the name suggests, challenger sellers challenge the status quo by opening prospects’ eyes to possible solutions to a problem that may exist outside of the norm. Rather than offer a solution to a known problem, a challenger seller may alert a prospect to a problem they didn’t even know they had.
When is it effective?
If your product or service is “cutting edge” or has unique selling features, the Challenger Sales Approach may be one that your team wants to consider.
4. Solution Selling
What is it?
Like the SPIN method, Solution Selling is an inquiry-based sales approach. However, it is much more in-depth. Rather than ask guided questions to lead prospects toward a pre-determined solution, this approach seeks to understand the specific problems affecting a client. It then offers a customized solution that solves the client’s problem.
When is it effective?
Because it requires customized solutions, this sales approach is only effective when those customizations are available. It also requires a high level of responsiveness from clients, so is better done in cases where that responsiveness can be ensured.
5. The Sandler Selling System
What is it?
This method emphasizes salespeople acting as consultants to their clients. It requires relationship building and the establishment of mutual trust between sellers and clients.
When is it effective?
Because it requires that building of trust, this method can be time consuming. Therefore, it tends to be most effective if your a company is selling a large-scale product or a product with a high markup percentage.
6. SNAP Selling
What is it?
Yet another acronym-based approach, SNAP stands for 1. keep it Simple 2. be iNvaluable 3. Always align and 4. raise Priorities. This pared-down sales approach requires sellers to communicate a product’s value simply and in a way that shows prospects that a certain product or service will help them achieve their objectives.
When is it effective?
SNAP selling is most effective when your clients are busy and your sales team needs to communicate and close quickly and efficiently.
7. Gap Selling Methodology
What is it?
Like SPIN, Solution Selling, and SNAP selling, the Gap Selling Methodology is a problem-and-solution based sales approach. However, gap selling is unique in its focus on identifying a prospect’s current state and desired future state. Only after identifying those states does a seller using this method present their product or service as the solution to help prospective client bridge that gap.
When is it effective?
Like Solution Selling and The Sandler System, this method requires a good deal of back-and-forth between seller and prospect. Therefore, it is most effective when both your sellers and prospects have time and space to engage in the dialogues necessary to make it work.
Whichever sales approach (or approaches) you choose, having a common language with which to discuss sales will unify your selling team and provide actionable steps to help them become better sellers. And that’s just good business, not matter who you are.
Bidding Farewell to 2023 with EFBC President
Happy New Year! As we bid farewell to 2023 and step into the possibilities of 2024, it’s a time of fresh beginnings, renewed ambition, and the excitement of setting new goals.
Personally, this is my favorite time of the year, as it allows us to reflect on our achievements, dream big, and set our compass for the journey ahead. Set SMART (Specific, Measurable, Achievable, Relevant, and Time-bound) goals that will guide you throughout the year.
My favorite December read was “How To Know A Person: The art of seeing others deeply and being deeply seen” by David Brooks. It dives into the essential skill of truly understanding others and fostering meaningful connections, at home, at work, and throughout our lives.
Here’s what’s on the horizon for our EFBC community as we dive headfirst into January & February 2024.
- Flex Forum – January 17th, 2024
- Financial Wrap-Up Seminar Hosted by Private Vista – January 24th, 2024
- Fireside Chat – February 8th, 2024: “NIL Name, Image, Likeness” a topic with profound implications for business and sporting industries. The event will feature EFBC Strategic Partner Eric VanderPloeg from Burke Law and special guests Jahvae “Jay” Giddens from Purdue University and Megan Jerabek from von Briesen
Remember, your journey towards your goals doesn’t have to be a solitary one. EFBC is your community, a network of support, and a source of inspiration.
Wishing you a prosperous and goal-driven January!
Dave Horvath
EFBC President 2023-2024
Happy Holidays from EFBC!
As the year draws to a close and the holiday season approaches, our EFBC team along with our Board of Directors are filled with immense gratitude towards our valued community. We have created a short video filled with holiday greetings to express our appreciation exclusively to you.
May the holiday spirit embrace you and your loved ones, and may it fill your hearts with joy, love, and aspirations for a promising new year. From all of us at EFBC, we wish you and your family a safe, happy, and joyful holiday season!
EFBC NEWS: Congratulating Cha Mi on her Promotion!
This month we are excited to announce that intern, Cha Mi Fung, has been promoted to Marketing Coordinator! We are excited to keep her on with us and looking forward to what she has in store for EFBC!
Please tell us about you experience as an EFBC Intern and prior experience prior to your time with us!
Reflecting on my journey, I have had the privilege of gaining invaluable knowledge & skills and working in a dynamic and collaborative work environment through my time as an intern at EFBC. Working closely with a teeny tiny but the BEST team, I had the opportunity to learn and grow, acquiring hands-on experience not only in marketing, but in event planning as well. Prior to joining EFBC, I had the opportunity to undergo management training in the hospitality industry at Hilton Chicago.
How did you hear about EFBC originally?
Well, let me take you back to my days as a graduate student at DePaul University. During that time, I was on the lookout for internships that could provide valuable real-world experience in the marketing field. My search led me to a job posting site affiliated with the university, where I stumbled upon EFBC and it caught my attention and curiosity!
What are you most excited about in regards to working for EFBC in a full time capacity as opposed to an intern?
As I step into this new role, I am most excited about the chance to be more involved in decision-making process and contribute fresh ideas to ensure our marketing efforts align with the organization’s goals and objectives. On top of that, now as a I hold a full-time position, I can fully immerse myself in the EFBC’s culture and build stronger relationships with my team as well as EFBC community. I look forward to taking on new challenges and contributing to the growth and success of our marketing and programming efforts!
In your spare time, what do you like to do for fun?
I absolutely love exploring new coffee shops and restaurants here in Chicago. Being a total foodie at heart, this has become a weekly tradition for me! If you have any hidden gem recommendations or favorite spots, I would love for you to share them with me! Beside indulging in delicious food, I’m also taking jiu jitsu classes and recently started attending salsa dancing classes!
What is your go-to karaoke song?
I have 3 staple karaoke songs!
- Imagine Dragons – “Demons”
- Adele – “Someone Like you” I gotta admit that I can’t hit those high notes though
- Black Eyed Peas – “I gotta feeling”
CLICK HERE to read Cha Mi’s full biography.
How to Delegate Like the Boss You Are
Delegating, the art of transferring responsibilities from one person to another. Not only does learning to delegate free up time in your schedule to focus on higher level tasks, it also helps you grow a team of empowered and self-sufficient employees for your business. In fact, according to a Gallup study, CEOs adept in delegation generate 33% higher revenue.
But just because delegating is an important management skill, doesn’t mean it’s an easy one. A study from the late London Business School professor John Hunt tells us that only about 30% of managers think they can delegate effectively. So if delegation doesn’t come naturally to you, you’re not alone, and we at EFBC are here to help with five steps you can take to learn to delegate and lead like the boss you are:
- Identify What to Delegate
Not everything can be delegated but identifying what can be is half the battle. Start by making a list of all your responsibilities. Then, decide which tasks absolutely need to be done by you. Usually, these will be the tasks that are both important and urgent. If something is neither of those things, it can be delegated. If it is urgent but not important, it can probably also be delegated. The grey area comes when a task is important, but not urgent. For these tasks, ask yourself probing questions about why or why not you might want to delegate them. Will delegating a certain task free you up, as a manager, to help move the business forward? Or will it help one of your employees grow further towards a goal or future position? If the answer to either of those questions is “yes,” the task should be delegated. - Know Your Team
Each of your employees comes with a set of strengths and goals. The best managers know what those are and take them into account when delegating, whether to grow that employee or put them in a position at which they will excel. And taking time to learn employee strengths has proven payoffs. The Gallup Organization’s “State of the American Workplace” study found teams that focus on strengths have 12.5% greater productivity than those who don’t. So if you get to know your team and put your aces in your places, half of the delegation battle will already be won. - Define Success
When delegating tasks and responsibilities, it is important to make sure your employees know how to handle their new roles successfully. Think of what success looks like when you complete a task and make sure your delegatee has the required information to achieve that same success. They should have a good idea of what a “job well done” looks like, as well as the metrics you will use to evaluate them and how everything ties into the overall mission and values of your company. - Establish a Failure -> Feedback Loop
Even if you do a great job defining success, your employees still may fail in their new roles, and that’s okay. Offer constructive criticism and check in to make sure your employees implement your feedback in subsequent tasks. To ensure that you are delegating effectively, also provide employees opportunities to give YOU feedback. One company that does this in an innovative way is the MITRE Corporation, where Senior Principal Systems Engineer Dan Ward has implemented a “failure ritual” that involves eating cake while reflecting on past failures and learning from mistakes. According to Ward, “being honest about failure and having something sweet…helps reduce the pain and shame of the experience.” Think about what a failure ritual might look like for your company. Maybe it doesn’t involve cake, but perhaps there’s something you can do to ensure that your employees can be forthright about their failures and ameliorate them for the next time. - Give Authority and Recognition
This is where you need to fight the urge to micromanage. Once a task is assigned, it is beneficial to give a delegatee authority to make decisions within the scope of their new responsibilities. Establish a communication channel in which questions can be asked of course, but if your employee feels like you’re looking over their shoulder at every turn, they won’t be able to have those moments of failure that lead to growth. Not to mention the fact that you won’t have achieved the point of delegation in the first place: getting a task off your plate. And when someone does a good job, give them credit! This can be something simple, like a shout out in a meeting, or you can follow in the footsteps of over 80% of Fortune 500 companies and implement a formal employee recognition system like Bonusly, Bucketlist, or Motivosity.
Delegating isn’t easy, but following our five tips will help you to cultivate a dynamic and motivated team that contributes to the success of your organization. And the more you practice delegating, the more effective you will become in your role as a manager.
Meet Tiffany Rotondo, Senior Human Resources Manager at The Jel Sert Company
Get to know Tiffany, a new member of EFBC!
The Jel Sert Company
Founded: 1926
Location: West Chicago, IL
Tell us about your career leading up to where you are now:
My name is Tiffany Rotondo and I’m with The Jel Sert Company. I’ve been here for almost 16 years. I started in HR about 25 years ago. I originally started in HR at another family owned company in West Chicago, that specialized in horticulture. I took a 4 and a ½ year break to stay at home and raise my children and re-entered the workforce at The Jel Sert Company as an HR Assistant and have moved my way up to a Senior Manager of Corporate Human Resources. I have two older children, ages 24 and 22 and I’ve been married for 25 years. Actually, this past May we celebrated our 25th anniversary by going on a 12-day trip to Europe. It was a trip of a lifetime!
What do you like most about what you do?
I like the variety. Prior to being promoted to Senior Manager, I used to be an HR Generalist, and I still have some of the generalist responsibilities in my day-to-day work. Overall, I handle compensation, policies, and procedures, implementing state and federal laws, and implementing new policies to ensure we remain compliant. Additionally, I manage our budget, performance evaluations, and of course employee relations, so it’s just a little bit of everything.
How did you hear about the EFBC?
Nisha Patel, of Systematics, Inc. and EFBC member, used to work for me at Jel Sert as our HR Assistant. At the time she was part-time and eventually left to go to work with her family at Systematics. We stayed in touch over the years, and she encouraged me to join and has been talking to me about her experiences, basically since she joined EFBC. She felt it was an opportunity that would be beneficial to me because we are a family-owned business, almost 100 years old, with the third generation currently running the company and the fourth generation working in the business, in sales and marketing roles.
Why did you join, and what do you hope to gain from your membership?
Working for a family organization and specifically in human resources, you do not get a lot of outlets to talk to people or to try and come up with solutions outside of talking to those within your department. I felt that this would be a great opportunity for me to open up and share with others about different things that might be going on for me personally within the business. I hope to be able to use shared experiences for how other companies have handled various situations and how to apply their experiences to where I am at when I am problem solving. Additionally, the community building piece truly intrigued me. Being able to get to know other people from other family owned businesses and the opportunity to join a group of people that I can trust and count on is important in my role and in my life.
Join us in welcoming Tiffany to the EFBC community.