THE SPIN MODEL: INTRODUCTION

The spin questions consist of sequence of four question types. This model was first developed by Neil Rackham of the Huthwaite Organization in his best-selling book of 1978, "SPIN Selling". The acronym SPIN represents the type of question on each letter, which can be explained below

S- Situation questions

P- Problems questions

I- Implications questions

N- Need-Payoff questions

One of the key principles of selling is that people only buy when they have a problem.

1. SITUATION QUESTIONS

Situation questions are used to collect facts and data about the customer’s /buyer/ prospect existing situation that is relevant to the one selling the products and services. Situation questions are normally the first questions one need to ask after he has introduced himself to the prospect/buyer.

Often situation questions can be answered as part of the prospecting process. Hence one need only to ask “essential” situation questions as prospects/buyer quickly becomes impatient if too many situation questions are asked.

Having a good knowledge or information of the prospect/ customer can help planning the call in a way to reduce the number of Situation Questions required

Examples of situation questions might include I. what happened when your laptop broke down?, II. What equipment are you using now?, How long have you had it?, How many people use it?

2. PROBLEM QUESTIONS

These are the questions which are designed to identify customer’s problem. They normally reflect on the prospects problems, difficulties and dissatisfaction that the prospect has on which they can be provided with a solution later. The answers to problem questions will direct towards the core need of the prospect/ buyer as every problem implies a need

An overall objective of problem questions is to help prospects define their needs explicitly

Example of problem questions include (I) Are you satisfied with your present equipment?, (II) What are the disadvantages of the way you’re doing it now?

3. IMPLICATION QUESTIONS

These questions ask about the effects of the problem, eg "What would be the worst scenario if you had no Internet connection for a week or more?" How will this problem affect your future profitability?

4. NEED-PAY OFF QUESTIONS

Need-Payoff Questions are intended to develop the buyer’s desire for a solution to their problems. The answers to need questions will get the prospect/buyer to tell you the benefits that they are looking and the benefits your solutions offers

For example how do you feel a faster machine will help you?

When these questions are asked too early in the sales call, customer would naturally be suspicious.

HOW TO INFLUENCE A PARTNER DURING NEGOTIATION USING SPIN PRINCIPLE

The chief principle underlying the SPIN selling model is that people don't buy from salespeople because they understand their products but because buyers feel that salespeople understand their problems.

The following need to be considered during negotiations using spin principles that can influence a partner during negotiation

1. You must build rapport with your buyer before they will buy. Rapport eases the tension that buyers have about finding a solution to their problem.

2. Don’t manipulate the buyer by finding common areas of similarity between you. Instead, look for unconscious rapport such as matching speed and tone of speech.

3. Don’t ask too many Situation questions that the buyer feels uncomfortable with. Instead, do your homework on your buyer's situation first.

4. Spend most of your time asking Problem questions rather than Situation questions on the basis that people buy when the pain of their problem is greater than the cost of the solution.

5. Know in advance how your product or service solves problems.

6. Uncover several problems before asking Implication questions as focusing on just one problem invites your buyer to raise issues where your solution doesn't do too well.

7. Aim to get buyers to articulate the benefits in your product or service rather than have you spell them out.

8. Work out the action steps that the buyer needs to take to complete the sale and get commitment to one of these steps on each occasion that you talk.

9. Understand that a questioning mindset is more important than the ability to persuade.

All in all these questions take the buyer through the steps of identifying their problem, their pain, and a solution that the product or service offer.

REFERENCES

http://www-rohan.sdsu.edu/~renglish/377/notes/chapt10/ (Accessed 20th march 2015)

http://www.profitworks.ca/blog/917-blog/sales/205-spin-selling-questions-determine-buyer-needs.html (Accessed 20th march 2015)

Neil Rackham, SPIN Selling, McGraw- Hill, Inc. 1988