Ethical Sales Tactics: Avoiding Techniques that Harm Company Reputation and Prospect Trust

As a seasoned sales professional, I have witnessed and prioritized ethical sales tactics over manipulative techniques that could damage both company reputation and long-term client relationships. My experience taught me that honest, respectful, and transparent sales practices form the foundation of a sustainable and successful sales strategy in the SaaS industry. Here, I will discuss several unethical sales tactics that turn off prospects and how to avoid them.

Unethical Sales Tactics that Should Be Avoided

1. Next Person that Speaks Loses

One of the most infamous techniques is the “Next Person that Speaks Loses” approach. While it might be effective for short-term wins, it often leads to negative outcomes for the company. This method can compel a prospect to make a decision quickly, often without fully understanding the product or service they are buying. In my experience, the prospect who turned around and laughed, told me that such tactics could turn off a potential customer permanently. It’s vital to build trust and credibility, not to force a decision.

2. Wasted Time Issue

Salespeople who state that prospects who waste their time are uninterested are essentially alienating valuable potential customers. Almost no one wants to feel like they are wasting time, especially in sales scenarios. True, salespeople's time is precious, but it’s crucial to approach every prospect with the same level of respect. Listening to the prospect's needs and engaging them in a meaningful conversation can often lead to more significant sales opportunities.

3. Selling Untested Features

Claiming to sell features you haven’t used yourself is highly unprofessional and unethical. In the SaaS industry, where products evolve rapidly, it is incumbent upon salespeople to engage with the product consistently. If you haven’t used a feature, fire up your web browser, try it, and use it as if you were a customer. This level of familiarity and commitment will build trust with the prospect and demonstrate your commitment to the product.

4. Insta-Discounting

While discounting can be a useful sales tool, it should not be the first tactic used. Discounts are often a last-resort measure and can create an unhealthy perception of value. Instead of using discounts to close deals, focus on value proposition and the unique benefits that the product or service offers. Insta-discounting can create a false sense of urgency and can be perceived as desperate, which can harm the relationship. Discounts do not create sales; they do not save sales, and they rarely beat the competition. What they do is create urgency, which can lead to lost deals.

5. Delegate Deal Qualification to SDRs

Letting SDRs handle all deal qualification can be problematic. While SDRs are highly effective in identifying high-potential prospects, it is the sales executive's responsibility to own the sale. SDRs can provide valuable insights, but it is the AE (Account Executive) who needs to engage with the prospect personally, address any concerns, and build a relationship. Over-reliance on SDRs can lead to missed opportunities, as the AE may not fully understand the prospect's needs or be in a position to close the deal.

6. Competitor Bashing

Feigning fear from competitors to drive sales is a risky strategy. FUD (Fear, Uncertainty, Doubt) tactics and competition bashing can sometimes work, but they can also backfire, especially if the salesperson is not truly knowledgeable about the competition. If you are not an expert in the field, it can damage your brand instantly. It’s essential to educate yourself thoroughly before making such claims. Once you have a solid understanding of the market, you can effectively highlight the strengths of your product or service and address any weaknesses in the competition.

7. Inconvenient Scheduling

It is crucial to schedule calls and meetings at times that are convenient for the prospect, not the salesperson. While your schedule may be busy, making the prospect feel important and valued is essential. Provide a range of times that work for them, and don’t just send a “pick a time that works for me” link. This approach will make the prospect feel less like a inconvenience and more like a valued client.

8. Working Around Internal Systems

Bypassing internal systems to expedite deals can lead to significant issues. While internal processes can slow down a deal, doing so can undermine the integrity of the company. It is vital to follow the prescribed procedures to maintain transparency and trust within the organization. If a process is too slow, work with the team to find more efficient ways to streamline the process, rather than circumventing it.

9. CEO Overreach

Directly messaging the CEO for help can be seen as disrespectful and inefficient. Unless it's a key logo or a deeply technical question, it's better to send a question or two per month that don’t consume the CEO’s time. The CEO is likely to be willing to help where a few minutes of her knowledge and unique skills can close a deal. Sending frequent, mundane requests can be seen as disrespectful and unprofessional.

10. Break-Up Emails

Sending break-up emails to qualify out prospects is not a productive approach. While you may want to know if it's time to discontinue pursuing a prospect, such emails can be seen as a waste of the prospect's time. Instead, focus on building and maintaining relationships. If a prospect is not a good fit, let them know respectfully and discuss other options that might be more suitable for them. This approach will leave a positive lasting impression.

11. Automated Cadences

While automated cadences can help with organization, they should not replace personalized interactions. Tools like Mixmax, Salesloft, and Outreach are powerful, but they should augment, not replace, one-on-one emails and interactions. Use these tools to free up time to send more personalized emails and build stronger relationships with prospects.

In conclusion, maintaining ethical and transparent sales practices is essential for building long-term relationships and establishing trust. By avoiding the manipulative tactics discussed above and focusing on building real connections, salespeople can achieve sustainable and successful sales outcomes. Each prospect deserves to be treated with respect and professionalism, ensuring that both the company and the client benefit in the long run.