What is the importance of product knowledge when satisfying customer needs?

Knowledge is power and for retailers, product knowledge can mean more sales. It is difficult to effectively sell to a customer if we cannot show how a particular product will address his or her needs. Read on to learn some of the benefits of knowing the products you sell.

Strengthens Communication Skills

Having a thorough understanding of the products on the shelves can allow a retailer to use different techniques and methods of presenting the product to customers. Stronger communication skills will allow a salesperson to recognize and adapt a sales presentation for the various types of customers. One of the questions you should always be asking yourself is "are my employees talking or communicating?" Too many times, they are just talking. Train your employees to sell the benefit and not the features. More importantly, to see what the customer needs, not what he (salesperson) likes. 

Boosts Enthusiasm

Seeing someone completely enthusiastic about a product is one of the best selling tools. As you generate excitement for the product, you remove any uncertainty the product may not be the best solution for that customer. The easiest way to become enthusiastic is to truly believe in the product. Remember, the first sale you make is yourself; the second sale is the product. If they believe in you, they will believe in the product you are selling. 

Grows Confidence

If a customer isn't fully committed to completing a sale, the difference may simply be the presence (or lack) of confidence a salesperson has towards the product or towards his or her knowledge of the product. Becoming educated in the product and its uses will help cement that confidence.

Assists in Answering Objections

Objections made by customers are really nothing more than questions. If they object to a product, it is likely either you chose the wrong product or the customer needs more of your product knowledge to know why it is the best solution for them. That information usually comes in the form of product knowledge. Being well versed in not only your products but similar products sold by competitors, allows you to easily counter objections.

How to Gain Product Knowledge

  • Marketing Literature
  • Sales Reps
  • Training Sessions
  • Testimonials
  • Role Playing (the best system) 
  • Practical Use

It is important to understand how the product is made, the value of the product, how the product should and can be used, and what products work well together.

What to Know About Your Products

  • Pricing structure
  • Styles, colors or models available
  • History of the product
  • Any special manufacturing process
  • How to use the product
  • Product distribution and delivery
  • Servicing, warranty, and repair information.
  • And most importantly - how to show what the customer is interested in

It may take a while to easily articulate your product knowledge, especially with new products, but over time you'll become comfortable and confident in providing the correct information to shoppers. That confidence will pay off in improved sales results.

Sell Benefits not Features

The most important element of product knowledge is to sell the benefit and not the feature. Too often as salespeople, we get all excited about features and overwhelm the customer. A customer wants to know WHY that feature is important to them. Never make the mistake of talking about more benefits than you need too. In other words, six benefits do not make the product seem twice as good as three. Only relate benefits to the customer that you uncovered during your researching phase of the sale. Just because it is a cool feature to you does not mean it will be to the customer. The truth is, a customer will likely only use 20% of the features of the product when they buy it anyway. And the more complicated you make it, the more likely they are to walk. 

The bottom line is that customers crave and need product knowledge. It's how they make the buying decision. It's how they know they can trust you as the salesperson But remember, using product knowledge is a skill. Don't throw up your great knowledge every time. Only talk about the features (benefits) the customer is interested in. It may be exciting to you, but may not be to the customer. The customer needs to feel that you have their best interest at heart and not putting on a show of your great intellect. 

Metafields in Shopify POS help you equip store staff with the information they need to serve customers with confidence. You have complete control on what to include in metafields, which makes them a flexible tool for sharing detailed product information and helping staff resolve questions quickly, while reducing dependency on managers and more tenured staff. 

Let employees demo products

A hands-on experience is always the best way to learn more about products. Have your staff give product demos to each other first, so they can practice what they will say to customers. Then, when they demo products to customers, assign a senior employee to gauge their performance and share feedback on how they can improve.

Team huddles about new products

Team huddles are a great way to announce new products to your team. This is best done five to seven days before launching a product. Steps include:

  • Prepare an agenda, set talking points, and create a doc that talks about the product
  • Set a date and gather everyone on the floor
  • Explain the product’s features/details, demo it, and share common uses
  • Open the floor for Q&A
  • Do a short quiz after the huddle to see if everyone understands the product and can sell it

Build a product knowledge repository 

Repositories are a great way to share knowledge about your products and keep your employees updated at all times. You can simply create one in Google Drive or a Notion dashboard. A typical product knowledge repository consists of:

  • Product origins: How/where the products are made, along with materials/ingredients used
  • How the product is to be used (and how not to use it)
  • Who the target audience is for the product
  • Common questions
  • Common objections and how to handle them

These repositories are living documents, meaning you should continue adding relevant information that will help your staff sell your products seamlessly. 

Share customer feedback with staff

Customers may be your best resource to improve your product knowledge. If you, as the store manager/owner, are receiving feedback from customers that’s pertinent to a product you’re selling, pass it on to your team. 

Their feedback could come in the form of a new product use case, a specific feature they like (and why they like it), or how the product improved their life. Your staff can then use this feedback during sales conversations with other customers. 

Empower your retail staff with product knowledge

If you want your retail staff to perform as well as they can, you need to arm them with end-to-end product knowledge. Help them find the best products for your customers, guide sales conversations with ease, have intellectual discussions with customers regarding the industry and related topics, and, most importantly, always feel confident on the job.

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About the author

Deb Mukherjee

Deb Mukherjee is an ecom/retail tech writer and content strategist with 6+ years of experience working with companies to scale their organic growth. When he's not writing cool stuff, you can find him watching the latest anime or binging through Shark Tank pitches.

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Why is product knowledge important in customer service?

Having good product knowledge in customer service will not only help generating customer satisfaction but it usually helps improving brand perception and help customer service operators to feel more confident in their daily activities.

What is the importance of product knowledge?

Product knowledge is a highly relevant skill for customer-facing retail employees, like sales reps. Besides being able to clearly communicate details about the product, the sales rep must be able to explain product benefits, offer alternatives, and even upsell or cross-sell other products.

How does product knowledge attract customers?

They may ask customers to 'like ' or 'follow ' the business, or to make recommendations or post images of themselves using the business' product or service. Businesses sometimes post updates about their products, eg product launches and upcoming events, to keep customers involved and engaged.

Why product knowledge is essential in food and beverage service?

It's simple: you can't sell what you don't know. In the restaurant business, learning about every item on the menu is a critical component to service and sales training. Guests are depending on your staff to describe menu items, make suggestions, and answer questions that will help them enjoy their dining experiences.