How the “five Ps” method will help you create an effective business proposal

2024 Author: Malcolm Clapton | [email protected]. Last modified: 2023-12-17 03:44

Look at the situation through the eyes of the client, be laconic and offer clear instructions for further action.

Things to Consider Before Preparing Your Presentation

Presentation is the central and key stage of any transaction. If it is structured and takes into account the needs of a potential client, then it becomes a guarantee of interest in a purchase. The scope of possible questions and objections often depends on the content of the presentation.

The first step before negotiating is to look at the situation through the eyes of the client. Here's what he has at the time of meeting you:

• the task to be solved;
• interest;
• choice.

Do not take your offer as uncontested. Even if your product is a new technology, the client still has a choice whether to implement it or not. And in a niche with high competition, the ability to choose is also a kind of trump card for the client.

This is what the client does not have at the time of meeting with you:

• depth of product knowledge;
• time;
• trust.

Sometimes the person you are meeting with has a really busy schedule, he physically does not have the amount of time that you would like to spend on a presentation. And sometimes the “lack of time” is just an instrument of pressure in the negotiation process. In any case, you must take this into account.

And even when meeting with a regular and loyal customer, you may encounter distrust of a new product or offer. What can we say about new, still "cold" clients.

Also, before the presentation, consider why the client meets with you:

• solve an actual problem or task;
• get a profit from the deal;
• make a choice from existing offers.

What conclusion should be drawn from this? When presenting a commercial proposal, you need to position the client, briefly, easily and easily telling how you will help in solving his problems, as well as explaining what is your uniqueness in comparison with competitors.

A sales pitch - a short motivational speech for a client or target audience - will help to conduct just such a presentation.

What questions to answer before putting together a pitch

A good example of a pitching approach is the rule of former Apple evangelist, marketer and author of books on building and promoting startups, Guy Kawasaki. In one of his lectures, he formulated the 10-20-30 rule:

• 10 slides maximum;
• 20 minutes for the entire performance;
• 30 point size for the main ideas on the slide.

This means that you need to present your product as succinctly as possible, using the required minimum of visual materials, highlighting key thoughts.

To prepare an effective pitch that adheres to these principles, first answer the security questions.

1. Who is your client?

What is his social status, values and needs, level of knowledge and motivation to conclude a deal?

For example, when communicating with a small or medium-sized business owner aged 50+ from a small town, it would hardly be wise to use complex technical terms or appeal to the latest European trends. And the possible abundance of Anglicisms in speech will cause irritation rather than trust. It is much more productive to demonstrate how your proposal will reduce costs or improve business security.

2. What is the context?

What is the market like at the moment? Are there circumstances that affect the customer's experience of your offer? Let's say your company provides investment services and there was a major banking crisis a week ago. Then it will be difficult for you to convince the listener that investing in securities is a good idea.

3. Are there alternatives?

What are the strengths and weaknesses of competitive offerings? How are they different from your proposal?

4. What is the main idea of the proposal you want to convey to the client?

What should he be more likely to remember an hour, a day, or a week after the meeting? For example, you may be in the hands of the fact that you were the first in Russia to start producing software for a smart home, or that you only use high-mountain spring water for the production of your sports drinks. The client will easily remember such advantages.

Did you answer the questions? Then move on to preparing your pitch.

What makes an effective pitch

We suggest using the “five Ps” technology developed by Business Speech methodologists. This is a five-step presentation, each of which begins with the letter “P”:

• performance;
• eyeliner;
• offer;
• Benefits;
• appeal.

Now more about each item.

Performance

Briefly and accurately indicate the purpose of the proposal: “to tell about a new generation contactless payment terminal”, “to present the most reliable network perimeter security system on the market”. The more precise and memorable the wording opens the presentation, the better. Here you can also sew in the key idea that you want to convey to the client - about what your product is.

Eyeliner

Speak information that will help you to form a clear context of the proposal and to attract attention. This is an unexpected fact, amazing statistics, an unconventional view of a task or situation, an actual problem, an illustrative case from your or general business practice, and even a provocative statement. Of course, you do not have a task to turn a presentation into a show, but it is always useful to be remembered as an interesting feature.

Offer

Explain what your solution is and how it works. It is important not to slip into complex and confusing explanations of technical characteristics and speak with the client in his language. Analogies can be drawn with products familiar to him. For example: "Our video conferencing system is a virtual meeting room in which from 2 to 50 people can communicate." The more comprehensible and visual, the better.

Advantages

Tell us about the explicit and implicit benefits the customer will receive from the proposed product. What problems can he solve and why is this solution preferable for him?

Any manager is familiar with the USP designation - a unique selling proposition. This part of the pitch is the most suitable for vocalizing. You can compare your product with competitors if the comparison is in your favor.

The appeal

Guide the client on the next step to take. Do not rely on the fact that he himself will guess what to do with the information received. The simpler, more straightforward, and safer this step is, the better. Offer to download a trial version of the program, take a test drive, use a test sample - all this is much easier than paying right away. The main thing is that the step leads to familiarity with the strengths of your proposal and the likely deal. Also, remember that clear instructions increase the likelihood of an action being taken. Tell me what number to call, how to go to the site, leave a request or who to contact for detailed information.

As practice shows, using the “five Ps” method, you can present even a complex technical product with a lot of settings in just 5-7 minutes and convey to the client the main thing - its benefits and your uniqueness. Save client time and reduce the mental effort required to make a decision. Everything is as clear as possible, concise and unambiguous - this is the main advantage of pitching.