SPANCO method - Boosting your commercial process

‍

‍

Although there are many sales techniques, the SPANCO method is the infallible technique to control your sales process and increase your conversion rate. It is a classic taught on the Akimbo Bootcamp to become a Business Developer

This method, like the MEDDIC method, corresponds to one of the sales techniques intended to improve the sales cycle in order to transform as many prospects as possible.

SPANCO method: successful commercial negotiation

What is the SPANCO method?

The SPANCO method is a classic commercial sales technique used by many salespeople. This sales technique aims to transform a suspect in qualified prospect. It tends to be mobilized in B&B marketing (“business to business” or sales between professionals).

Definition of Spanco

SPANCO is an acronym where each letter corresponds to a phase of the sales process: Suspect, Prospect, Analysis, Negotiation, Conclusion and Ongoing Order. This method thus makes it possible to convert a prospect into a customer through 6 phases based on the customer lifecycle. For it to be effective, the method must be integrated into your CRM in order to improve your efficiency.

Origin of the SPANCO method

Following the technological revolution, the sales mechanism is becoming more and more complex. Thus, several sales methods have emerged in order to allow companies to be more efficient in their sales, by increasing their turnover and by reaching their commercial goals. This method would have been created by the American company Xerox.

‍

How to use the SPANCO method? The 6 steps!

After having introduced this method and having defined the key terms, we are now interested in the 6 steps that characterize it:

Step 1: Suspect - Identify your prospects

The first “suspicious” phase consists of identify the target, qualify it by creating a qualified lead file corresponding to the profile of its buyer personas. Next, it is a question of determining if there is a real business opportunity with it.

Indeed, it is important to know your target well:

- Who will be interested in your product?

- What are his needs?

- What are his concerns?

Thus, thanks to the buyer persona, it will be possible to establish a customer file (CRM) grouping together all prospects.

Example of use:

Before planning a cold emailing campaign, you will have to search on the list of “suspects” held thanks to their subscription to my newsletter.

Step 2: Prospect - Arguing Using The Best Arguments

Previously, the salesperson was able to approximately identify his potential prospects. It will therefore be necessary to segment its suspects to identify those who would be most interested in the company's offer. After sorting through the list, the selected “candidates” become prospects for the company. To achieve this, it is necessary to conduct a effective prospecting strategy :

- Understand customer needs;

- Ensure that the suspects selected correspond to the intended target - build a convincing and solid pitch.

So, he must first land an interview to try to turn these prospects into customers.

Example of use:

The prospecting strategy can be implemented through telephone calls, a prospecting email, or a social sale (“social selling”).

‍

Step 3: Analysis - Listen to your prospects

During this phase, the sales team starts discussions with the prospect. This is the first interview. The seller must practiceActive listening with its customer potential. It analyzes the needs and expectations of the prospect during the appointment. He can thus ask questions to the prospect to better understand his needs. This phase is essential and allows the latter to prepare his arguments. It is a good opportunity to present your company, its offer, while formulating this presentation in such a way that it takes into account the responses of potential customers.

Example of use:

At the end of the interview, it is possible to send content (such as a video of the proposed product or a customer testimonial) to promote solutions to the problems mentioned by the prospect.

Step 4: Negotiation - Addressing objections to facilitate negotiation

During the previous phase, the salesperson has in principle succeeded in identifying the doubts of his prospect that may be the subject of objections during this phase. Thus, the latter must produce a Pitch which highlights the qualities of the offer in place. This pitch should make it possible to deal with all the customer's objections. It must provide the arguments necessary to convince the prospect of the added value of the product proposed and eliminate his doubts. Above all, it should be seen as a solution to

problems exposed by the customer. Since the challenge is to convince, the arguments must be well prepared beforehand.

Example of use:

It is important to be creative in dealing with objections; it would be possible to offer a test for a product, a sample, a withdrawal period, etc.

‍

Step 5: Conclusion - Carefully finalize the sale

In principle, the salesperson answered the prospect's objections successfully. So now it's time to finalize the sale, it's the Closing the sales process. Although the prospect is convinced, the salesperson must provide all the information concerning the terms of the contract to the potential customer, such as sales conditions, deadlines, etc.

Any questions that the customer may have should not remain unanswered in this phase. It is a “lockdown” phase. In case of inconvenience in terms of the conditions or clauses of the contract, negotiation is possible (in particular through the BATNA negotiation method). He must obtain the signature of the bill of sale (quotation, order form or immediate purchase).

Example of use:

The sale can be finalized in various ways: sending back a contract, an order form to be signed or directing your interlocutor to the next phase, which is a validation of the technical specifications.

Step 6: Purchase order - Retain your prospect over time

This phase concludes the SPANCO method. This is the end of the sales process and the beginning of the formation of a business relationship. In fact, the order is placed. The salesperson must ensure that the product meets the customer's expectations. There is the signing of the contract and the delivery of the product or service.

La customer satisfaction is essential throughout the sales process. Customer loyalty could open up new sales opportunities for salespeople. This customer could even become a brand ambassador. This customer loyalty could also lead to cross-selling (cross-selling) or up-selling (upselling).

Example of use:

‍To retain its customers, Nespresso offers a tailor-made service 24 hours a day, 7 days a week for its customers who become a member of the Nespresso club from the first order and have access to personalized mailings, high-end magazines, high-end magazines, exclusive offers, limited series etc.

‍

Why use SPANCO?

The SPANCO method is relatively the simplest and most effective to mobilize. It is a real road map that accompanies both long and short sales cycles and it has several advantages.

Give a framework to your commercial approach

The SPANCO method makes it possible to give structure to your commercial approach. Indeed, it covers all the points that make it possible to transform a prospect into a customer.

It is a genuine waybill which guides the sales team in the execution of its tasks thanks to a monitoring of the evolution of the process that allows everything to be visualized. This method is particularly useful because it is applicable to any type of sale.

Creating an effective business process

This method is a solution allowing salespeople to quickly assess the performance of their actions. It is easier to identify anomalies justifying a conversion rate lower than your expectations and therefore this favors the decision-making of corrective actions at the very moment rather than late, which speeds up the process and makes it more efficient.

What are the benefits of SPANCO?

As mentioned earlier, the SPANCO method is a real solution for businesses looking to maintain lasting business relationships by opting for a process that will increase their conversion rate and their turnover. Thanks to its clear and precise steps, identifying anomalies and implementing corrective measures is easier. This will result in the management of optimized customer relationship And finer commercial projections.

‍

‍