Assumed Knowledge

A wise friend listened to me explain a concept then reached out and stopped me from continuing. “Greg,” he said, “after listening to you, I know what my wife means when she says I suffer from assumed knowledge syndrome. I have no idea what you’re talking about.”

Last spring I attended a conference where I observed this phenomena firsthand. It was in the lobby where a dozen vendors gathered. Each one had a specialized offering that made life easier for a law practice. As I listened to their conversations, I couldn’t tell if their offering was of benefit or not, so I asked the lawyers in attendance. To my surprise, four out of the five said the exact same thing. “Greg, I couldn’t tell you if I need that or not.” (The other one was avoiding the vendor area.)

 

 

Those vendors had the perfect audience, the perfect offering, and yet, connections weren’t being made. Why?

Take a look at this graphic.

On the X axis we have Product Sophistication ranging from simple to incredibly complex. On the Y axis we have Buyer Budget Control ranging from a rigid budget to be allocated to a flexible budget that can be prioritized.

That gives us four quadrants. Let’s talk about them.

Bottom left is a product simple to implement and a buyer with an inflexible budget to allocate. To work with him, you need to demonstrate one thing, make it easy for him to purchase. Think Amazon, think office supplies.

Bottom right is a complex product but the target buyer is still allocating a rigid budget. To work with her, teach her how the product fills the need. Think of software as a service (SaaS) for bookkeepers. There’s a budget, a need, so teach them how your product solves their problem.

Top left buyers can pull budget from anywhere if they think it will help fill a strategic vision. To work with him, you have to demonstrate one thing, that it will work. Think of HR reporting software. Straightforward, but is it enterprise compatible? HIPAA compliant? Satisfying union requirements? It’s not about fitting a budget, it’s a question of does it fit and deliver.

Top right buyers can prioritize budget and your offer is complex and customizable. To work with her, your job is to enlighten her on what can be done. Think of consulting and advisory work. The buyer will find budget if they think the product or service will get them to their goal. Your job is to enlighten them on a better way.

Going back to my law firm vendors, what was I hearing? I was hearing them sell complex products as simple. I was hearing them skirt price questions to someone with a set budget. They shoved everyone into one quadrant. Talked about complex products as simple, avoided budget talk with buyers that had set budgets.

The key to the quadrant is this: it’s not your people who decide where the buyer belongs. It’s the buyer that tells them. Their job is to question it out of them.

Don’t assume knowledge. Let the buyer tell you where they are and how you should sell to them. Find the fit.