What Is a Sale?
Summary
- When you're engaged in a transactional sale, you're trying to align the customer's needs with your product.
- For example, if I'm selling pens, my job is to listen to the customer and explain how my pen meets their needs.
- Alternatively, I might need to convince the customer that they're mistaken about their needs, and that my product actually addresses their concerns better than they realize.
- The benefit of the transactional sales model is efficiency in time and operation, typically involving lower-priced items.
- You don't have to tailor the product for individual customers, which simplifies production and sales efforts.
- By centering the sales strategy around a single solution, the sales team can funnel multiple customers towards a uniform product, achieving economies of scale.
Video
How To Take Action
I would suggest starting with understanding your customer's needs. If you're selling a product, like pens, listen carefully to what your customer is telling you. Notice what they think they need and align your product with those needs. Here's how:
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Listen Actively: Every time a customer talks about what they're looking for, take the opportunity to really understand their needs. Make notes if needed. This will help you in the next step.
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Educate Your Customer: If you feel the customer has a misconception about what they need, take a moment to politely educate them. Explain how your product is actually the perfect fit for their real needs.
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Focus on Efficiency: Remember that transactional sales are about speed and simplicity. You're not customizing your product for each person, so streamline your sales pitch to hit the key points that most customers care about.
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Capitalize on Economies of Scale: By funneling multiple customers towards a standard solution, you can produce more and spend less. Make sure your product is versatile enough to meet a range of similar needs without modification.
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Train Your Sales Team: Ensure your sales team understands the product well and can confidently redirect customers towards the standardized solution you offer.
Finally, always keep the sales process fast and the product at a price point that supports quick decision-making. This strategy helps grow your business effectively without increasing costs or time commitment significantly. By implementing these steps, you can align with the transactional sale model and optimize your sales funnel for better efficiency and profitability.
Quotes by Alex Hormozi
"in a transactional sale you typically fit the customer to the product"
– Alex Hormozi
"I sell pens if somebody comes in I'm going to basically spend all my effort listening to what they say they want"
– Alex Hormozi
"telling them how this pen fits their needs"
– Alex Hormozi
"you don't need to personalize anything"
– Alex Hormozi
"you just make a ton of these Solutions and you get lots of efficiencies"
– Alex Hormozi
Full Transcript
in a transactional sale you typically fit the customer to the product let's say that I sell pens if somebody comes in I'm going to basically spend all my effort listening to what they say they want and then telling them how this pen fits their needs or I have to basically say your needs are wrong let me educate you more and this actually solves all your problems now the advantages of having this type of sale is that it's really fast they tend to be lower ticket in general and from an operational perspective in the business you don't need to personalize anything you get the sales team and the sales process to basically Orient everyone like a funnel down to one solution and then you just make a ton of these Solutions and you get lots of efficiencies because you only have to produce one thing
