How to sell: Notes for founders from YC

Cutting prices to sell something unwanted often backfires. If you keep lowering the price of a burrito no one wants, it raises suspicion about its quality....

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Discounting Pitfalls

Cutting prices to sell something unwanted often backfires. If you keep lowering the price of a burrito no one wants, it raises suspicion about its quality. Instead of focusing on discounts, understand the customer’s needs and offer genuine value. This approach builds trust and ensures that both parties benefit from the transaction.

Redefining Sales

Good sales don’t feel like sales at all. It’s about understanding and solving the customer’s problem, not pushing a product. When you engage with service providers who address your issues effectively, it feels like a collaborative effort. This is the essence of good sales—being empathetic, listening, and providing solutions that make the customer feel valued and understood.

Avoiding Empty Trades

True trade benefits both parties. Selling something that doesn’t solve the customer’s problem isn’t trade—it’s a missed opportunity. Focus on understanding the customer’s real needs and ensure your product genuinely addresses them. This mindset not only builds long-term relationships but also aligns with the fundamental principle of business: mutual benefit.

“”Good sales is so good, it doesn’t feel like sales.””

Empathy in Sales

Put yourself in the customer’s shoes. Truly understanding their perspective can transform your sales approach. Imagine their challenges, priorities, and what they seek in a solution. This empathetic view helps tailor your offering to their needs, making your sales pitch more relevant and impactful. It’s about connecting with their reality, not just pushing your agenda.

Founder-Led Sales

Founders should stay involved in sales, especially in the early stages. Hiring a VP of Sales doesn’t mean stepping back entirely. Founders bring unique insights and passion that can drive sales efforts. Their involvement ensures alignment with the company’s vision and helps build strong customer relationships. It’s about being hands-on and using sales as a tool for growth and learning.

Consulting Misconceptions

Consulting isn’t always a bad word. While building bespoke solutions for one client can be risky, early-stage consulting can offer valuable insights into customer needs. It provides a chance to learn deeply about problems and refine your product. Don’t dismiss opportunities to engage closely with customers, as they can lead to a stronger, more tailored offering.

“”If you don’t want something, cutting the price doesn’t make you want it.””

Problem-Solving Sales

Great sales are about solving problems, not just hitting targets. When you focus on genuinely addressing customer issues, you build trust and loyalty. This approach ensures that both you and your customer benefit from the transaction, creating a sustainable business model. Always aim to leave your customers better off, reinforcing the core principle of mutual benefit in business.

Frequently Asked Questions

What are some common misconceptions founders have about sales?

Many founders believe that sales is just about pushing a product onto customers, often associating it with high-pressure tactics like those used by used car salesmen. However, effective sales should feel more like problem-solving, where the focus is on understanding and addressing the customer’s needs rather than just closing a deal.

How can I improve my sales approach as a founder?

Start by listening to your customers and understanding their problems deeply. Instead of focusing on selling your product, think about how you can genuinely help them solve their issues, which will create a more positive experience for both you and the customer.

Is consulting a viable strategy for startups?

Consulting can be a valuable way for startups to learn about customer needs and build relationships, especially in the early stages. While it’s important to avoid getting stuck in a consulting model that doesn’t scale, leveraging consulting opportunities can provide insights that help refine your product and approach.

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