Large international sales with EPC Contractors: three legs table rule

Almost all existing books on selling have used models and methods that were developed in low-value, one-call sales. For more than 60 years, these same concepts have been copied, adapted,and refined with the assumption that they should apply to all sales. 

Many Sales Directors are still thinking that three most important areas of selling -closing, objection handling and probing-are valid for large accounts and system sales.

The closing techniques that can be effective in smaller accounts will actually loseyou business as the sales grow larger.

Later on Neil Rackam introduced SPIN (Situation,Problem, Implication and Need-payoff) Strategy giving a clear route in the way of selling industrial systems to large Corporates.

Personally, after several years as Middle East Africa Sales Director in a top Plate Heat Exchangers Manufacturer, I realized different international implications in large jobs involving EPC Contractors, creating three legs table rule.

If you are dealing with EPC Contractors business you are familiar with Vendor List discussion: your company must be approved by End User and by EPC Contractor as well, otherwise you will never get a chance to get the job.

First Leg: Local Agent where final customer is located. It could be Saudi Arabia, Qatar, South Africa or Southest Asia, but local contact is fundamental to enter into End User Vendor List.

Second Leg: Manufacturer office located at EPC Contractor Headquarter with Sales Manager with contacts at technical level (Static Equipment Leaders, Mechanical Engineers, Project Managers, Procurement Coordinators etc.)

Third Leg: Dedicated team at Manufacturer Head Office with competence to understand Data Sheets, Supply Specifications, Material Requisitions, Technical Queries,etc. to provide a proper Quotation, more complicated than standard.

EPC  Contractors are evaluating a potential supplier on quotation details, therefore an offer of 3 Millions USD consisting of couple of pages will not be the best introduction of your company...

Let's take an example occurred  to me recently.

Largest Italian EPC Contractor after one year paperwork approved PHE manufacturer, sending a RFQ for large project in Saudi Arabia.

European Manufacturer decided to decline to quote because no Agents and Service Centre in the Middle East region.

Agent and Service Centre in Saudi Arabia were appointed by me so that quotation was released with reference list, drawing data sheets etc.

Italian office followed carefully status of quote, visiting technicians, evaluating different options, suggesting solutions even in August holiday period in Italy.

EPC Contractor pushed QC of Arabic Client to visit factory to carry out audit to qualify location to insert into Vendor List for one single project.First question by Arabic Quality Manager was:"Who is your Agent in Saudi?" when I mentioned name of person and company he said: "OK I Know him".

Final negotiation in Italy was made one month later and we got a job of 2 Millions USD.

Therefore I learned that table without one leg will collapse...