Is a “Trust Recession” Hurting Your Sales and Profits?

As teams prepare to grow their revenues and profits one of the most overlooked aspects impacting sales and profitability growth is trust. A “trust recession” occurs when customers and prospects lose confidence in the companies and salespeople they engage with, leading to diminished sales, longer sales cycles, sending projects out to quote with three or more vendors and lower profit margins. The pandemic created a trust rec cession that some companies are still trying to recover from and win back lost customers.

What causes decision-makers to not trust salespeople?

When we conduct Win-Loss interviews we are often surprised by what decision makers share regarding why they did not buy. If we look into the clients’ CRM we read “lost sales due to competitor lower price.” When we interview that customer price may be on the list of reasons why they did not buy, but frequently the number one reason is a lack of trust. Decision makers share they did not believe the salesperson clearly understood their challenges and what they needed, so they did not trust what they pitched. Recent research shared this lack of trust in salespeople who pitch- slapping their customers is so concerning over 32% of them chose not to work with a salesperson today and that number is growing.

Here are some of the main reasons decision makers share they do not trust salespeople:

1. Over-Promising and Under-Delivering
2. Lack of Genuine Understanding of the Client’s Needs
3. Inconsistent Communication
4. Aggressive or Pushy/ Manipulative Sales Tactics
5. Lack of Transparency
6. Failure to Provide Credible Social Proof
7. Insufficient Product Knowledge
8. Focusing Too Much on the Sale, Not the Relationship
9. Lack of Empathy
10. Inadequate Follow-Through Post-Sale

Several businesses are still trying to regain trust lost due to supply chain constraints during and post pandemic. How do we win back those one raving loyal fans? How do we coach and train our sales and customer service teams to build trust and avoid a trust recession?

Here are the top 10 ways salespeople can build trust with customers and prospects:

1. Be Transparent and Honest

Honesty builds credibility. If your product or service isn’t the right fit for a prospect, say so. Transparency about the product’s limitations, pricing, and any potential issues will help customers feel they can trust you. Avoid making exaggerated claims that you can’t back up.

2. Listen More Than You Talk

Active listening is one of the most powerful ways to build trust. When customers feel heard, they are more likely to share their pain points, which gives you the opportunity to provide genuine solutions. Be present in the conversation and ask clarifying questions to show you’re engaged and understand their needs. We equip salespeople in training with discovery and qualifying questions that demonstrate competence and build trust. We coach salespeople we want them speaking no more than 30% of the conversation.

3. Know Your Product Inside and Out

While sales skills are critical, your product knowledge cannot be lacking. A deep understanding of your offerings shows customers that you’re competent and capable of providing value. Know your products their applications and connect the dots to how what you sell impacts your customers bottom-line. If you don’t know something, be honest and get back to them with accurate information rather than bluffing your way through.

4. Personalize the Experience

Customers don’t want to feel like just another transaction. Tailor your pitch to their specific needs and goals. Personalization shows you’ve done your research, listened to their needs and care about helping them solve a unique problem rather than just making a sale.

5. Be Consistent and Reliable

Consistency in communication builds a foundation of trust. Respond to emails or calls in a timely manner and follow through on promises. If you say you’ll provide more information by a certain time, do it. Reliability is one of the hallmarks of trustworthy behavior.

6. Provide Social Proof

Testimonials, case studies, and customer success stories help validate your claims and build trust. When prospects see that others have benefitted from your product or service, they are more likely to trust you. If possible, offer proof from people or companies in the same industry as your prospect. We often train salespeople in storytelling. This gives salespeople the ability to turn success stories into memorable stories customers can see themselves in.

7. Avoid Hard Selling

Nobody likes a pushy salesperson. Instead of trying to close the deal as quickly as possible, focus on educating the customer and providing value. Build rapport and allow the sale to develop naturally. Trust is earned, not forced. That is why I coach salespeople not to follow so called sales gurus who teach what a refer to as sales porn.

8. Admit When You Don’t Know Something

If a prospect asks you a question and you don’t know the answer, be upfront about it. Admit when you don’t know something and promise to get back to them with accurate information. People respect honesty and are more likely to trust someone who doesn’t pretend to know it all. This also reinforces the size and strength of your company.

9. Show Empathy and Understanding

Customers want to feel understood. Show empathy for their challenges and demonstrate a genuine interest in helping them succeed. Ask questions to understand the problem and the cost of doing nothing. A salesperson who is empathetic will build deeper connections, which leads to long-term trust and loyalty.

10. Build Long-Term Relationships

Relationships and trust are built over time. Focus on cultivating relationships beyond the initial sale. Follow up with customers after the purchase, provide excellent customer service, and be available for questions or concerns. When customers see that you care about their success, they’ll return to you for future needs.

Trust is not easily won but can be quickly lost. By understanding what drives distrust in the sales process and taking proactive steps to counteract those factors, salespeople can cultivate stronger relationships with decision makers, leading to greater success and long-term partnerships.

Building trust with customers and prospects is not a one-time task but an ongoing process that requires dedication and consistency. In an era where buyers have more options and access to information than ever before, the ability to build and maintain trust is a crucial competitive advantage.

By incorporating these strategies into your sales approach, you can overcome the trust recession, boost your sales, become trusted advisors and enhance your profits. Trust, once established, leads to stronger relationships, higher customer retention, and increased referrals all vital ingredients for long-term sales success.