One of the questions I always get, in nearly any sales seminar or training program (whether the subject matter is related or not), is, “Troy, how do I find the decision maker?” This is one of those questions that has bedeviled sales reps as long as there have been sales reps, and it shouldn’t. Actually finding the decision maker in any organization is one of the easiest things you’ll ever do (as I will explain below).
The problem isn’t finding the decision maker. It’s having the courage to approach the decision maker. What these salespeople are asking really isn’t “How do I find the decision maker,” it’s “How do I find someone who can help me that I’m not afraid to go after?” That’s the bigger issue, isn’t it? The obstacle of all good things in life and in business is fear. With that said, let’s find that old decision maker, shall we?
First, let’s define our terms. A Decision Maker is someone who can green light a purchase, or make a change in purchasing decisions, without having to ask anyone else. I’m always talking to salespeople who claim to have “found the decision maker – he just has to ask his boss.” Then the boss is the decisino maker, and you’ve been dealing with an influencer.
Now, with that said, let’s understand how purchasing power is allocated in a company. The power to unilaterally green light a purchase, without having to ask someone else, begins in the corner office and emanates out only as far as the person in the corner office wants it to.
This is a tough concept for many salespeople to get and to implement because of that old ‘fear’ factor again. Are you dealing with the President or CEO? Then you’re dealing with the Decision Maker. Beyond that, you can’t be 100% sure.
Typically, people whose title starts with a “C” are decision makers. That means, “CEO,” (Chief Executive Officer), “CIO” (Chief Information Officer), “CFO” (Chief Financial Officer), etc. The exception is when companies give these titles out like candy. I’ve seen a receptionist titled “Chief First Impression Officer.” I’m guessing that receptionist, no matter how competent, probably doesn’t have much purchasing authority. There’s another exception to this, which I’ll deal with in a moment.
People whose title start with a “V” probably have some decision making power. That is to say, “Vice President of….” One exception to this would be the banking industry, where half the people in the building are Vice Presidents. VPs seldom have full purchasing power, even over their own departments and budgets; ‘major’ purchases will still need to be kicked upstairs.
People whose title ends in “Manager” seldom have much purchasing authority, except in very small businesses, or when their title is “General Manager” or “Plant Manager.” Middle managers hardly ever can purchase anything significant.
The final note is this: Only Presidents, CEOS, and sometimes General or Plant Managers have purchasing authority over more than one department. This is important if you’re trying to sell cross-departmental solutions.
If you read my articles on “Fred,” (and if you didn’t, go read them now), you know that Fred – your IDEAL customer – always has purchasing authority. You also know that successful salespeople spend 2/3 of their time or more on Fred. Here’s a little self test:
How much of your time is spent talking to departmental managers?
How much is spent on departmental VP’s?
How much on departmental C’s?
How much in the corner office?
If you really want to succeed, it should look like this:
Department managers: 10% or less
VP’s and departmental C’s (the roles tend to be similar): 25% or less
The Corner Office: 66% or more
If you’re not getting the results, you need to change your call patterns. Call on the people who can buy.
NEXT STEPS:
Attend my “21st Century Selling” Boot Camp in Overland Park to learn how to SELL the Decision Maker!
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