| Where there is significant complexity to understand but little overall commercial risk in the purchase decision process, a functional specialist generally makes the decision. This is the person who is most conversant with the technology employed in the offering. Sales activities should be focused on the technical side and be prepared to point out the differential advantages of your offering. |
When both the complexity and the commercial risk are high, a number of key people throughout the customer's company will have to be satisfied that the purchase will be beneficial. The decision making unit is likely to be large and the process is likely to be lengthy. Generally there must be sales efforts focused at each of the major groups represented in the process; at the executive, financial and technical levels to insure that their needs and concerns are addressed. |
In the case where there is little product complexity to understand and absorb and there is little risk associated with making an incorrect decision, the purchasing manager generally handles the purchase decision by himself. Here, past experience is the most crucial factor. It is critical here to be in front of purchaser at every opportunity through advertising, promotion, and sales calls. Make sure your offering is readily available through all possible sources and channels so that the purchaser can gain easy access to it. |
When the complexity of the offering is low but the commercial risk is high the purchase decision is usually given to either the purchasing function or the senior financial staff. Efforts must be focused at reducing the perceived commercial risk for these personnel. |