How to Sell to Purchasing Agents
When I started in sales, I learned that there were such things as Purchasing Agents, and I thought this created a perfect situation for me: I want to sell stuff, and they want to buy it. The trouble is that this isn’t exactly what happens with Purchasing Managers. Most (not all) Purchasing Managers see salespeople alternately as servants or as adversaries (or worse, both at once).
In most cases, whatever is bought by Purchasing Departments is spec’d by other departments within the company who are either using it or reselling it. Therefore, make an appointment with a Purchasing Manager to talk about how much better your product is than their current product, and it will fall on deaf ears. Why? Because the Purchasing Manager doesn’t really know their current product. Those specifications have been set by someone else in the building. If you want to understand what Purchasing Managers are really all about, read on.
What Purchasing Agents really value:
The Status Quo. Here’s the truth: Purchasing Managers are not normally agents of change within their organizations (and, of course, to sell something new, we need agents of change). The status quo is always safer for the Purchasing Manager because he’s not screwing anything up by making a decision to buy a new product.
Price savings. Purchasing agents love it when they have a product spec that sets up competition between multiple vendors. That means that he has leverage to beat the vendors up on price – which is never a winning situation for the salesperson. If you’re looking for a pure “bid” opportunity, this is it. But why look for that opportunity? Typically, PM’s are rewarded not on growth, but on cost savings and efficiencies. Other people in the building are rewarded for growth.
Gatekeeper power. Like it or not, Purchasing Managers function as intermediaries between you and the ultimate buying power. That makes them the gatekeeper, and my experience is that most PM’s employ this power to keep you at bay. For this reason, if you start your selling with the purchasing manager, you typically stay with the purchasing manager forever. You will never, or rarely, see the people who are really making the buying decisions.
Long selling cycles. Heavy reliance on PM’s tends to extend the selling cycle. First of all, because they are tough to see, it takes a long time to get on their calendar. Secondly, because they tend not to trust salespeople, it takes a longer time for them to buy into you and your products. Finally, they then have to advocate internally for the purchase of your stuff, which they tend not to be aggressive about. The selling cycle, if it does not get derailed completely, gets extended significantly.
In the interest of honesty, I must say that the above does not apply to all purchasing managers. There are some – not a lot – of proactive PM’s out there who will see value in your product or service and advocate its use within their client companies. But those PM’s are few and far between. In fact, I was fortunate enough to deal with one such PM early in my career, and much of what I’ve just told you came straight from him. He contributed greatly to my success by telling me that I shouldn’t be starting my sales process with him.
Dealing with Purchasing Managers:
The ideal situation is to be handed down to the purchasing department by someone who has seen you, investigated your stuff, and found it (and you) worthy. In that case, the purchasing department will be responsible for the details. When you are handed down to the Purchasing Department, you have some level of power. The key is to not abuse it.
Be nice, be respectful, and helpful. Don’t treat the PM like a lesser being – they hate that and will do whatever they can to place obstacles in your path. Treat them as if they have decision power, and you will be fine.
The ultimate selling tool: When you are selling to someone who makes decisions based on some sort of growth or comparative advantage, you can effectively sell change.
