The document provides guidance on selling strategies during an economic recession. It defines a recession as occurring when the GDP decreases for two consecutive quarters. Major challenges during a recession include pressure from competitors, budget constraints, and slower customer decision making. The document recommends maintaining a positive attitude, understanding customers' psychology and needs, and focusing sales strategies on consultation, value demonstration, and creating a sense of urgency. New conditions demand innovative sales approaches centered on customer results and relationships.

1. Pointers for Selling in a
Recession!
Selling in a Tough Economy
Tonye Briggs

2. Slow Economy – Definition
An economic slowdown occurs when the rate of economic growth
slows in an economy. Countries usually measure economic growth
in terms of gross domestic product (GDP), which is the total value
of goods and services produced in an economy during a specific
period of time.
The prolonged effect of a slow economy is RECESSION

3. What is a Recession?
Recession is the economy shrinking for two consecutive quarters
(=6 months) with a decrease in the GDP (=Gross Domestic Product)
GDP = Value of all the reported goods and services produced by the
people operating in the country
GDP = MONEY VALUE OF {C + I + G + (X – M)}
C = Consumables, I = Gross Investments, G = Government Spending,
X = Exports, M = Imports

4. What is Recession?
• It is a phase of business cycle.
• In recession total investment, Income,
employment and demand comes down.
• Production of goods and services is more but
demand is less, so price level also comes
down.
• It will further discourage investment and
employment.

5. 5
Maintaining A Positive Attitude1
2
3
4
Understanding Your Customer
.
Sales Strategies during a
Recession
Major selling Challenges during
a Slow Economy
SE L L I NG I N A SL OW
E CONOM Y

6. MAINTAINING A POSITIVE ATTITUDE

7. During tough times you are surrounded by bad news. negativism:
the media, peers, customers, concerned family and friends, and a
worried management that is trying desperately to keep things
afloat.
How you choose to input and process this information determines
your attitude and behaviour.
We can control our “MINDS” and our attitudes
Maintaining a Positive Attitude

8. View success in the long term and failure in the
short term
Reframe what you hear and see.
Remain focused
Give tough times an appropriate amount of emotion
Maintaining a Positive Attitude

9.  Garbage in—garbage out. Good in—good out. Put good stuff into your head
and good stuff will come out in your behaviour.
 “Tough times never last, but tough people do.” Robert Schuller
 “Any fact facing us in not as important as our attitude toward it, for that
determines our success or failure.” Norman Vincent Peale
 “The last of human freedoms: to choose one’s attitudes in any given set of
circumstances, to choose one’s own way.” Victor Frankl
Fuel yourself emotionally, spiritually, and mentally. Your abilities
will expand to your capacity for believing.
Mental Reprogramming

10. Maintaining a Positive Attitude

11. UNDERSTANDING YOUR CUSTOMER

12. 12
Psychology
of Recession
Source for
Information
Customers
Reaction to
a Recession
Understanding your Customer

13. Psychology of Recession
One common denominator in a recession is a feeling of
uncertainty and an increased importance half price/value
During recession time, people act less impulsively and more
rationally, they shop in scanning mode
The consumer is not a moron , but in crisis times with less
money in their wallets, they become really picky - David Ogilvy

14. Source for Information
Get out and talk to your
customers
Talk to your sales team
Talk to the “other no
competition” players in
the market

15. Source for Information
 Speak to the Key Performers in the market
 Discuss the current trends and what sectors are still performing
reasonably well.
 Try to identify any new areas that may be showing signs of growth
opportunity.
 Discuss what promotional activity may help sell through in your product
areas
 Listen and note views of your sales people as to where you can compete

16. In Tough Times Your Customer will
• Take a bit longer to decide on a purchase
– So start earlier!
– Build the additional time in your sales plan
• Need shorter ROI timeframe
– In good times you could justify a purchase with a
return on investment over multiple years In tough
times you may need a pay back of less than a year
• The Need to Save Money is acute
– All solutions will need to save money first

17. In Tough Times Your Customer will
• Need to have a purchase budgeted
– And then it may need to get reapproved
• Ask you for longer payment terms
– 30 days could go to 45 days
• Avoid taking risks!
– At the end of the day your deal will come down to
how comfortable your customer is with you and your
company
• Demanding More for Less
• Be asked by management to get more quotes
– A trusted advisor relationship is key here

18. SALES STRATEGIES DURING A RECESSION

19. Sales Strategies during a Recession
 Be a true business consultant for your customer. Talk business strategy with your
customers. Show how your offering advances their strategy.
 Do your homework. Know more, be more connected than your customer and turn
that knowledge into value.
 Focus on results and relationship. In these tough economic times your customer
is focused on results. It is important to enhance both the customer relationship
and results.
 Explore creative pricing options. Provide financial incentives that cover the
totality of your business with a customer.

20.  Use referrals, results stories, and references as your call cards. Results stories and
references supply the firepower you need to build credibility and trust with
prospects
 Go to school on your competitors. Know your Develop defensive strategies and
points of view.
 Focus On Different Groups Of Customers. Conduct a market survey and develop a
new sales call priority list. Prioritise your time on more profitable market
segments.
 Upgrade Your Selling Know-How. Review your ability to handle price objections
and invest extra time brushing up your negotiation skills..
Sales Strategies during a Recession

21.  See More Clients. you're bound to get more than your usual share if you
increase the number of carefully targeted calls.
 Tighten Up Your Message What is your message? Saving Money, Making Money
or Productivity. Make sure the message is relevant to the clients pain Sales is
about the mastery of communication!
 Don't Cut Expenses That Generate Sales! You just might create more problems
than you may have envisaged. Recession is a time to increase innovative
capacity, not reduce it.
Increase Your Commitment To Excellence
Sales Strategies during a Recession

22. MAJOR SELLING CHALLENGES DURING
A SLOW ECONOMY

23. 3 Major Challenges during a Slow Economy
Extreme pressure by competitors to take away existing
customers
Budget constraints when adding resources
 Much slower client decision making process

24. 3 Major Challenges during a Slow Economy
Extreme pressure by competitors to take away existing customersExtreme pressure by competitors to take away existing customers
Implement program to assess and address accounts at risk
Follow formal decision making process when faced with
aggressive competitor discounting
Implement formal on going face-to-face process to demonstrate
value to client

25. 3 Major Challenges during a Slow Economy
Extreme pressure by competitors to take away existing customersExtreme pressure by competitors to take away existing customers
Implement program to assess and address accounts at risk
Client Account Risk
Assessment Action
Plan

26. 3 Major Challenges during a Slow Economy
Extreme pressure by competitors to take away existing customersExtreme pressure by competitors to take away existing customers
Follow formal decision making process when faced with
aggressive competitor discounting

27. 3 Major Challenges during a Slow Economy
Extreme pressure by competitors to take away existing customersExtreme pressure by competitors to take away existing customers
Implement formal on going face-to-face process to demonstrate
value to client

28. 3 Major Challenges during a Slow Economy
Budget constraints when adding resourcesBudget constraints when adding resources
Use a cost-effective process to deploy resources
Increase capacity by increasing selling time
Focus performance improvement activities on the right
members of the team

29. 3 Major Challenges during a Slow Economy
Use a cost-effective process to deploy resources
Budget constraints when adding resourcesBudget constraints when adding resources
Focus on Process ( how things get done) > Results ( what’s done).

30. 3 Major Challenges during a Slow Economy
Increase capacity by increasing selling time
Budget constraints when adding resourcesBudget constraints when adding resources

31. 3 Major Challenges during a Slow Economy
Focus performance improvement activities on the right members
of the team
Budget constraints when adding resourcesBudget constraints when adding resources

32. 3 Major Challenges during a Slow Economy
Much slower client decision making processMuch slower client decision making process
Adjust sales process, evaluate enterprise pipeline and modify
goals if necessary
Evaluate each opportunity and don’t waste on going resources
on extremely delayed decisions
Create a sense of urgency through sales dialogue with client

33. 3 Major Challenges during a Slow Economy
Adjust sales process, evaluate enterprise pipeline and modify goals
if necessary
Much slower client decision making processMuch slower client decision making process
Set realistic Sales
Targets based on
analyses

34. 3 Major Challenges during a Slow Economy
Evaluate each opportunity and don’t waste on going resources on
extremely delayed decisions
Much slower client decision making processMuch slower client decision making process

35. 3 Major Challenges during a Slow Economy
Create a sense of urgency through sales dialogue with client
Much slower client decision making processMuch slower client decision making process
Urgency is both EMOTIONALLY driven and INTELLECTUALLY justified
It’s the buyer’s sense of urgency that lengthens or shortens the sales timeline

36. Summary
Be a true business consultant to your customer.
Do your homework.
Focus on both results and the relationship.
New conditions demand new strategies.
Increase your success in retaining and growing current customers and
finding new prospects by focusing your efforts on calling on the right
people in the right accounts with innovative and competitively unique
ideas.

37. Summary
In the short term, sales organizations that can see through the haze
of recession and stay focused on the needs of customers are less
likely to be unseated by special deals offered by competitors. In the
long term, they will be rewarded with increased customer loyalty
and repeat sales.
The secret to success in a recession is innovation
Forrester Research
The secret to success in a recession is innovation
Forrester Research

38. Tonye Briggs
+234 817 000 1456, +234 805 930 2304
briggs@salesnetworkng.com
www.salesnetworkng.com
Sales Initiative Network is sales performance improvement
organisation dedicated to promoting professional development,
peer networking and thought leadership among of sales and
business development professionals.
Thank You