How often do you try to increase your average deal size? Many sales reps focus instead on closing as many deals as possible, regardless of size. They may prioritize quantity over quality, chasing after low-value opportunities that yield quick wins but don’t boost their revenue potential. However, by learning how to increase your average deal size, you can drive greater revenue and more success in the long run.
Negotiation is a key part of the process. When you negotiate, you can land on favorable terms and pricing while meeting your prospects’ needs. To get your prospects to agree to a larger deal, highlight what you bring to the table. You might also sweeten the deal with other promo.
A post on the Piscari blog highlights a few tips for increasing your average deal size. We share these ideas in this issue of PromoPro Daily.
- Focus on value. Before beginning any sales conversation, make sure you understand the prospect’s business and biggest challenges. The post says that when you have a clear understanding of where your prospects are coming from, you’re in a much better position to develop solutions and demonstrate ROI for your proposed solution.
- Show how you’re different. Why should the prospect choose your promo company? It’s critical to articulate your competitive advantage, the post says. Prospects can access virtually endless solutions, so prove what your business can offer that others can’t. The post suggests working with your marketing team to develop battlecards and ROI calculators.
- Qualify your leads. When you want to boost your average deal size, lead qualification is key. The post recommends gauging metrics, ensuring clear, measurable benefits for the client. Then, identify the decision-maker with the authority to seal the deal. The next step is to pinpoint decision criteria to streamline the path to closure. Finally, delve into pain points and seek champions within the prospect’s organization who advocate for your solution.
- Develop a value-based negotiation strategy. According to the Piscari post, you should lean on the value you’ve already established you can bring to the prospect. Reference their challenges and explain how you can solve them. Focus on the value you can deliver.
Your deal size impacts your bottom line. It’s not just about the number of deals you close but also the value of those deals. A higher average deal size means more revenue with fewer transactions, which can lead to increased profitability and efficiency. Implement the tips above to lay the groundwork for mutually beneficial relationships that allow you to increase your average deal size.
Compiled by Audrey Sellers
Source: The Piscari blog. Piscari helps salespeople become better negotiators and win more profitable deals.
