Do Closing Techniques Damage Customer’s Trust

Field sales personnel are trained in closing techniques. They know how to encourage the customer, how to influence them if necessary and press them into signing.

Previously research into this topic has focused on which are the best closure techniques and how they function. Sales training experts have raised concerns as to whether these closing methods could possibly have a negative influence.

237 industrial buyers were questioned on this subject. Six different closing techniques were researched:

Assumption technique
The sales person basically acts as if the customer had already “agreed” to the deal. They complete the order with alacrity, talk about the potential delivery date and the payment conditions and announce to the customer in their assumed decision: “I am sure that with this outstanding price you have got a very good deal!”

“By the way” technique
This is similar to the assumption technique. The sales person occupies the customer with secondary details, which, however, encourage the customer to say, “yes” to the contract: “So you concur that this is a fantastic offer? Where should we deliver into, the central depot or direct to you?”

Model technique
The customer says yes all the more willingly the more positive examples affirm them in this. This is particularly accurate with multifaceted purchasing decisions which the customer feels are a little outside their area: "Mr customer, since they decided last month to take our product your colleagues Smith & Co have been producing 50% less surplus.”

“One good turn deserves another” technique
Anyone who does you a favour is owed one in return. This is a commonly accepted social rule. Little gifts, an invitation, and two tickets for the show which is sold out and it already becomes easier for the customer to say yes. In this, it is not greatly important whether the favours are of varying economic significance.

“If…then” technique
“We will give you a credit period of 90 days to save your October budget, if I then get the contract?”  “So at £2.50 per piece would you say yes?”

The sales person manoeuvres the customer with the “if…then” method into a position where they find it very easier said than done to say no.

“It’s urgent” technique
The customer is put under time pressure by the sales person in order to force them to a purchasing decision. They give the indication that, for example, prices will rise within the next month or they envisage a shortage of raw materials and therefore deliveries will bottleneck. It is recommended to the customer that they will have to accept considerable purchasing disadvantages if they do not order immediately.

The trust put in the salesperson by the customer was determined by means of 24 pairs of characteristics for example “open – secretive”, “honest – dishonest”, and a seven step scale. The middle value counts as the “trust index” from assessing all the pairs of characteristics It ranges from "7 = fullest trust"", through "4 = neutral" down to 1 = absolutely no trust".
The following table shows the results of this research.

Influence of different closure techniques on customer trust

 
Closure technique    Absolutely no trust cases    Cases in %    Trust index      
No contract                                38                              16                5.7      
It’s urgent                                  36                              15                4.5      
Model                                         29                              12                 4.4                                                 If – Then                                   43                               18                 4.3                                Assumption                                36                              15                  3.6                                               By the way                                56                               24                 3.8                                    Total                                        237                             100                   -     

Salespeople who do not put in writing a contract enjoy the greatest trust. Every use of a closure technique damages the basis of trust. The disappearance of trust however happens least with the “it’s urgent” and the “model” methods. Evidently the customers sees these methods more as support or help with the result than as manipulation and are taught on many good sales training courses.

The if-then technique takes a middle position, the assumption and by the way techniques on the other hand damage customer trust. The latter methods are found to be too manipulative and are therefore rejected. Having no relevance in practice is the one good turn deserves another technique.

It is interesting that it is those techniques for which the customers have least regard which are predominantly used by sales people.

So does that indicate that we now advise not using closing techniques?  Certainly not! Weighing up the probable victory and the possible damage in advance is important. It is no use having nothing but well regarded and trustworthy salespeople who do not bring in any turnover.

Make sure that in particular the accepted techniques “it’s urgent” and “model” are used and in borderline cases also the “if – then” technique! The “assumption” and “by the way” techniques should remain relegated to almost hopeless cases and impulse business. Closing is an important part of the sales process and sales training can develop a team’s closing techniques.

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