The Economic Buyer is the person with the overall authority in the buying decision.
The Economic Buyer can say “No” when other people say “Yes”, and, “Yes" when other people say “No”.
We have some bad news for you – the term and definition of Economic Buyer are only used in sales. You’ll never find a customer who refers to any stakeholder as an Economic Buyer, nor will they ever have a name for someone who follows the same definition.
This means you are all alone in finding out who they are and not only that but identifying them isn’t easy because sellers have a habit of either under-qualifying or over-qualifying who the Economic Buyer is.
They have veto power to push the project forward or to stop it regardless of other stakeholders position such as your Champion/Counter Champion.
Their focus is in line with the strategic objectives of the organization. You are likely to be able to read about their role or initiatives in the annual report.
They have access to discretionary funds that aren’t budgeted.
They are likely to have profit and loss responsibility.
They will sign your contract, or be a part of the approval process leading to signature.
The success of your deal hinges highly on how well you can engage with the Economic Buyer. It is often not an easy process and requires skill, patience and perseverance.
Your Champion will play a critical role in your process of identifying and engaging with the Economic Buyer. If your Champion is unable to, or flatly refuses to introduce you to the Economic Buyer you should see this as a major red flag and risk in your deal. This is something you should look to solve asap.
This is potentially one of the most critical moments of your deal. Metaphorically speaking if you get this right you will have put yourself in pole position for the race ahead.
You need to impress upon the Economic Buyer that you are someone that can bring value to them. This starts with talking in their language.
This is easier said than done. The chances are you have been waiting for the opportunity to engage with the Economic Buyer for a while and you don’t want to miss your chance to talk about how great your solution is. Hold that urge! Be consultative, and don’t talk about your solution. Talk about the business objectives and outcomes they are trying to achieve.
A good method to win credibility quickly with an Economic Buyer is to reference other organizations you have helped:
What have you helped them solve?
What results did they see?
Which mutual connections do you have?
Who can you introduce them to?
Your Economic Buyer’s questions about to you will adapt as your sales process evolves.
Once your deal is closed the Economic Buyer is unlikely to have any further hands-on activity with your solution.
Elite Sellers know that keeping the Economic Buyer informed on the progress of the implementation of the solution will reap rewards later on for the seller when they want to re-engage in a renewal or upsell conversation. Not forgetting the likelihood that the Economic Buyer could become an invaluable reference for your future deals if you deliver upon your promises to them.
The Economic Buyer can say “No” when other people say “Yes” and “Yes when other people say “No”.
Engagement with the Economic Buyer is important but equally as important is how we engage with them.