Drew | Business Insights

Consultative selling in logistics: Understanding customer needs

Written by Drew's editorial team | Aug 2, 2022 8:33:00 PM

The logistics industry constantly faces various challenges that make companies in the sector have to seek innovation to stay in the race, providing the best delivery service to the customer. The important rise of consultative selling in the marketing of products increasingly influenced the incorporation of this method in logistics processes to help the customer not only in the sales process but also in the experience with the product.

<<< Main problems in product distribution logistics >>>

 

When we talk about consultative selling, we refer to the type of sale that takes into account the need of potential customers and seeks to accompany them throughout the entire buyer's journey. Instead of trying to sell a product that you don't know they need, the sales representative will seek to help customers with their purchase decision. In logistics, a similar result can be achieved by delighting the customer with an exceptional product delivery experience.

In a previous article, we discussed the advantages of consultative selling. In today's article, we intend to understand the application of consultative selling in logistics and how this methodology can contribute to improving customer satisfaction.

 

How does consultative selling help the logistics industry?

In the field of software and technology, as well as in the fields of logistics and supply chain, the concept of consultative selling and solution selling has become the norm today.

Organizations request software experts or preselected providers to collaborate with them in defining the need and finding the right technological solution that can help the organization take the next leap in its business, always focused on the customer experience.

Also, in the field of supply chain and logistics, it has become accepted practice for large multinational customer companies to partner with global logistics players to define problems and design solutions in partnership.

It is now quite common to find DHL, Panalpina, Ceva, or FedEx investing in and running plant logistics or distribution centers next to the customer's plant in the same complex or as a stand-alone facility or setting up supply chain solutions for complete supply management, etc.

Below, we can find a series of applications that consultative selling in logistics offers and how it can improve the operation of the supply chain.

<<< Ways to improve the last-mile logistics  >>>

 

1. Keep the products in optimal conditions for dispatch.

Consultative selling is focused on customer needs throughout the entire business process. When this instance must happen during the delivery of the product, customers expect that the same preferential and personalized treatment will be granted to them during the reception of the order. For this reason, logistics operators must maintain products in optimal conditions before shipment.

Part of this activity is to ensure that the finished products have no visible or functional flaws. Exhaustive quality control will avoid fueling speculation about the state of the products that leave the production. However, it is not the only requirement to guarantee a successful shipment and a satisfied customer. During the transfer, the products packed or packaged inside the vehicle must arrive in the same conditions as when they left the warehouse.

2. Provide the delivery of the product on time.

Customers value the delivery of their products in perfect conditions, but also that they meet the deadlines. As we are in the age of immediacy, wasted time is not profitable, it leads to financial loss for the company and the rejection of customers who may not want to buy where they got a bad long waiting experience.

Worrying about meeting delivery times, but above all meeting customer expectations about their delivery is one of the main aspects that stand out from consultative selling in logistics. Delivering the product to your customers on time is one of the best ways to demonstrate your commitment to them, a detail that you will know how to reward with their loyalty.

3. Communicate with customers and keep them informed about the product journey.

From the moment your customers contact you, they expect you to give them the attention they deserve. This communication does not end with the closing of sales, since it is from there that you must be more aware of delivering what you promised and what they expect of you. A call or WhatsApp to notify that the shipment is on its way and the time it will take to reach its destination is an efficient way to nurture a lasting business relationship.

4. Put yourself in the customers' shoes and be at their disposal.

Sometimes, one of your customers has problems and needs advice or simply needs to be listened to. Perhaps you need an early shipment or to deal with a product complaint, so you must solve your customer's problem as soon as possible. In this way, it will increase their trust in the brand completely and there will be a greater possibility that they will send you referrals.

5. Customize shipments according to customer needs.

It is clear that in the same way that a sales representative will not forward the same email to all potential customers offering them the same value proposition, you will not complete the last mile of product delivery without taking into account the possible requirements of your customers. Perhaps someone needs your product urgently or to have it sent to a different address, or at a special time.

This is why you need to notify the delivery on the way and the estimated time it takes for the transport to travel from the time it leaves the warehouse until it is dispatched. With this data, both logistics operators and your customers will be able to obtain greater traceability of the products, mainly for the benefit of the customer.

6. Compensate customers for mistakes.

If failures inevitably occur at some point in the supply chain, being honest in accepting the error and taking subsequent action to remedy it will work to your advantage because your customers will understand that your commitment to providing a positive customer experience is genuine and compatible with the consultative selling philosophy.

Customers expect to receive their product in optimal conditions and without delay, but if one of the two things (or both) is not possible, the minimum response they expect is an apology and the promise to solve the problem as soon as possible. If it is a delay, a “delayed status” notification can emotionally prepare the customer and put them on notice. If it is a faulty product, after the claim and return, execute the reshipment of the substitute product in a reduced period.

Do not forget to comply with the warranty issue. There are companies, even renowned ones, that promise a guarantee that the products do not have when they show faults after a short time of use or are victims of theft. Many times when customers claim the guarantee, the company tells them that they have to pay for the repair or invest in new equipment.

If the guarantee has the function of protecting the interests of customers, when they do not recognize it, customers lose and never again buy from the companies where they were denied a guarantee.

<<< The role of processes in the logistics area >>>

 

In conclusion, consultative selling in logistics can be applied in a similar way to how it works in the sales process because it is designed to improve the customer experience. Consultative selling not only accompanies the customer on the purchase journey but also cares about making sure that at the end of it they have obtained what they expected and decide to continue buying in the future.