Sellers are normally good at identifying their own risk, but not so good at understanding buyer risk. Sellers need to imagine themselves in the role of the buyer. Buyer risk considerations can be divided into two categories of buyer consideration: purchase considerations and vendor considerations.
How Buyers Assess Risk
Think about how buyers assess risk. Even in making a purchase, they consider the complexity of the buying process, of evaluating the solution, challenges with implementation. They have to consider other alternatives to explore. One huge factor may be whether or not they have purchased a similar solution. In other words, they have purchase experience that can be helpful. And, of course, the importance to the buyer, business, and repercussions if the solution fails, is a huge factor.
When Buyers are Determining a Vendor
Now, think about how buyers assess the risk in determining a vendor to select. They have to consider the vendors’ experience, or their own experience with the seller or their organization. Do they have a good track record, a reputation for delivering intended results? Does the seller’s organization have a reputable brand or good market image? Do they seem forward thinking and demonstrate thought leadership in helping bring ideas? How important is the ongoing relationship – that is, after the sale services, support, etc?