8 steps to turn your sales proposals into signed contracts
The sales proposal is a truly strategic tool in the sales cycle. Its aim is to trigger a purchasing decision or the signing of a contract. If it is well constructed, the sales proposal becomes a powerful weapon of persuasion, capable of transforming a simple interest into a concrete sale. In fact, 84% of customers say they prefer to buy from a company that can identify their needs (source: Salesforce Research).
Presented in the form of a guide, this article details each of the stages involved in writing a sales proposal, so that you can master it clearly and convincingly.
What is a sales proposal?
Definition of the sales proposal in general
A sales proposal is a formal document drawn up by a sales representative for a potential customer. It presents the advantages of a product or service in a clear and convincing manner, highlighting its suitability for meeting the customer's specific needs.
The sales proposal is frequently used in B2B and is a highly effective way of closing a sale. A study carried out by the Sales Management Association revealed that companies that consider their proposal efforts to be effective experience 40-50% higher rates of new account acquisition and sales growth than those that do not. This correlation highlights the importance of a well-structured and relevant sales proposal in closing B2B sales.
💡 Generally speaking, it is not used in B2C. So, a sales proposal must persuade your prospects that your offer best meets their needs and convince them of your expertise in this area. A good sales proposal will convert your leads into new customers.
The different categories of sales proposal
There are several types of sales proposal, depending on the nature of your offer. There are two types of sales proposal.
The solicited sales proposal
A solicited sales proposal is when potential customers ask for a proposal.
Proposals are said to be formally solicited when the prospect requests the proposal and in response the company drafts it based on the specific needs of the potential customer. For example, public tenders. Here, the customer expresses a need that it wishes to satisfy. Interested companies must then submit a structured commercial proposal:
- understanding of the need
- methodology
- planning,
- rates, etc.
Here, the proposal is not simply an offer: it is a strategic document, formally required, used to assess the service provider's ability to respond with relevance, rigour and added value.
Informal proposals, on the other hand, represent situations in which it is not necessary to formulate a commercial proposal for the customer. For example, at a trade show, a prospect expresses interest in a service after a discussion with a sales representative. Without going through a call for tenders, they ask for "an idea of the price and service". In this case, the sales proposal is solicited informally: it is not governed by a procedure, but it remains decisive in initiating a commercial relationship.
Unsolicited commercial proposals
Also known as an unsolicited proposal or cold proposal, this consists of an offer sent by a sales representative to a potential customer, partner or investor, but who has not requested a proposal.
This type of proposal needs special attention from the offeror, because used in the wrong context and with the wrong person, it can be seen as spam.
This is the case of an agent who sends an unsolicited email to the director of a growing company, after studying the sector and identifying opportunities for improvement. In this email, he offers his services, detailing solutions tailored to the company's specific needs. Here, the proposal is unsolicited, as the email is sent proactively, without any prior request from the recipient. The aim is to arouse interest and start a sales conversation.
The distinction between a sales proposal and a quotation
It is not uncommon for people to confuse this term with a quotation. It is therefore important to highlight the differences between these two commercial documents.
As we defined earlier, a sales proposal sets out the potential customer's needs, and the services or products that the agent proposes for their benefit, in detail.
A quotation, on the other hand, is a summary of information about the services or products that the agent wishes to sell to the prospect. It includes
- quantity
- unit price
- sometimes the estimated delivery time.
👉 The quotation focuses particularly on the price. In addition, the quotation must explicitly state its period of validity, which is not a mandatory criterion for the legal conformity of a commercial proposal.
Essential information prior to drafting a proposal
Drawing up a prospect qualification sheet
Before drafting a sales proposal, it is essential to research the potential customer. You need to find out about the prospect's profile so that you can personalise your offer as much as possible and respond appropriately to their needs. To do this, this article presents the key elements for drawing up a prospect qualification sheet.
The profile of the potential customer
It is vital to analyse the status of the person you are talking to. Is the decision-maker a buyer, a manager or the end-user?
Their needs may be explicit or implicit. So it's important to identify what they really want. To do this, it is essential to identify :
- their problems
- their objectives
- their priorities: saving time, performance, image, expected KPIs, etc.
- the degree of urgency of their needs.
The agent should approach the prospect by assessing the history of their relationship. In other words, if the agent has already had previous dealings with the potential customer, or if the potential customer uses competitors' services or products, the sales proposal will not highlight the same expertise.
Your company
You need to identify your business sector and the regulatory constraints it faces. To obtain a complete profile of your potential customer's business, you also need to identify the competitive environment in your sector.
Other factors that come into play when analysing your prospect's business are :
- the size of the company: VSE, SME, ETI, major account,
- the number of decision-makers involved
- investment capacity.
The prospect qualification sheet
To make this time-consuming research easier, we have prepared a summary PDF table containing all the key information relating to the potential customer. You can also access the sales proposal document to complete later in this article.
Tools to help you find potential customers
Lead generation software enables the marketing team, or sales agents directly, to identify leads. It's a process that analyses the behaviour of visitors to a website and identifies potential customers based on indicators such as the number of clicks, length of visit and conversion rate. Here's a complete guide, including a selection of the best tools for saving time and better profiling potential customers.
Customer prospecting software is used to automate the tasks involved in identifying and approaching potential customers. This type of software centralises data relating to the search for new customers, making the process more efficient and relevant. Here is our selection of the best customer prospecting tools:
8 steps to writing a propale
Stage 1: Cover page
In the first part, you will briefly present your company. You will include your company's contact details:
- company name
- the company telephone number
- the contact email of the sales representative sending the sales proposal,
- postal address
- logo
- date of the proposal.
It is then necessary to briefly announce your proposal. Recall the request for a proposal in the case of a solicited proposal, or the potential customer's problem in the case of an unsolicited proposal. Next, highlight your company's expertise and values in a clear and structured way, to demonstrate your ability to provide an optimum response to the needs expressed by the prospect.
Note: this part is one of the contact's first impressions of the company. So it's essential to be distinctive, while at the same time being graphically in line with the brand's identity and values. In addition, make sure that the structure is as concise as possible.
Be careful not to overload the cover page! To do this, you should avoid dwelling too much on the presentation of your company or using a page layout that is too busy. The aim is not to distract the prospect's attention from the main offer.
Step 2: Summary
This step is optional, but highly recommended. Inserting a summary helps to structure your proposal while highlighting the different points covered. This stage encourages a gradual approach to the prospect, without overwhelming him with information from the very first pages.
Stage 3: Executive summary of the sales proposal
The executive summary summarises the sales agent's proposed action plan. Placed at the beginning of your sales proposal, it gives the potential customer an overview of the overall content.
In this part, you need to establish a bond of trust with the prospect. You will summarise the history of your company, highlighting the projects and professional experience you have undertaken in which the problem is similar to that of the prospect. Describe the company's values and primary mission, and explain how they align with the target's requirements and professional values. Write this step, adapting it specifically to the prospect's profile and needs, to demonstrate a detailed understanding of their issues.
💡 On this page you can add visual elements that will confirm your motivations and justify your expertise in the field.
Step 4: Your analysis of the prospect's issues
In the first paragraph, using the information obtained during the lead profiling and identification process, write down your analysis in detail. Give the profile you have drawn up for the prospect and the environment in which you see him or her. Indicate :
- their objectives
- the company's strengths and weaknesses,
- the competitive environment, etc.
Present the results of your research to show that you have an in-depth understanding of their situation. This shows that you have taken account of the company's entire ecosystem when drawing up your recommendations.
Next, reiterate the prospect's problem. Make sure you formulate it from their point of view. Emphasise your understanding by explaining the sources of the problem and the repercussions on various factors. Then, if there are any other challenges or threats that could also affect the prospect's needs, provide them.
✅ Show your commitment while remaining true to your customer's point of view. As a result, the prospect will be more likely to accept the proposal. In fact, if you understand their problem and recognise their objectives, the solution you offer is very likely to be relevant.
Step 5: Your answers to the prospect's problems
This part is the heart of your proposal. If you've managed to convince your potential customer so far, this part will determine whether your solution is what they need. This stage will take the information set out briefly in the operational summary stage and expand on it. You will indicate the resources required to execute the plan, the duration of the project, the methodology, the implementation, etc.
The format of this part is fairly free. You can associate a specific solution with each problem, or deal directly with fairly broad problems and list possible solutions. Specify the sacrifices required (financial costs, considerable time, etc.) to implement each solution. And, of course, list the benefits. You may wish to provide forecast data to reinforce the credibility and rationality of your project.
Step 6: The price
The price must be justified and reveal the true value of your offer, while being in line with the potential customer's budget. You can illustrate your prices more attractively by using a table detailing the prices of each service offered.
Determining the price and the margin for negotiation is entirely up to you. However, bear in mind that offering pricing options maximises your chances of closing the deal.
In any case, the sales proposal is not a quotation and therefore does not focus on price, but on the advantages of contracting with you and not another agent.
Step 7: Summary of your skills
In this part, you summarise all the reasons why you are a unique sales agent, reiterate why you have committed to this project with this prospect, and reiterate the advantages and key factors of success of your plan. Convince the potential customer one last time of the benefits they will get from you that they won't get from competitors.
Step 8: Terms and conditions
Finally, set out the terms and conditions of the contract so that the prospect can take action as quickly as possible.
Sales proposal template
To help you draw up a sales proposal, we've put together a Word example for you to download, where all you have to do is fill in the missing fields.
How can you be sure to close with your sales proposal?
The sales proposal should never be seen as a mere formality, but as a strategic lever for conversion. To maximise your chances of closing the deal, each element must be thought through rigorously, precisely and coherently. It's not just a question of responding to a request, but :
- demonstrating an in-depth understanding of the prospect
- anticipating their expectations
- proposing a clear, advantageous and credible solution.
By methodically following the steps in this guide, you can structure your sales pitch in a persuasive way. Personalising the content, focusing on the benefits and providing transparent information are all factors that have a positive impact on the decision to buy.
Finally, an effective sales proposal is one that succeeds in establishing a bond of trust. It reassures people, promotes your expertise and makes the added value of your offer clear.
FAQs on sales proposals
What format should I use for my sales proposal?
The format of a sales proposal plays an essential role in its readability, credibility and impact on the prospect. The most common format is PDF. It is therefore advisable to convert your proposal to PDF before submitting it.
What strategy should I adopt to follow up on a prospect's unanswered proposal?
To follow up an unanswered sales proposal, wait 3 to 5 working days, then send a short, personalised and courteous message. Remind them of the date you sent the proposal, offer your help and make yourself available for discussion. If necessary, vary the channels (email, telephone, LinkedIn) and limit yourself to 2 or 3 reminders spaced out. Keep your tone professional, not insistent.
How do you respond to an objection after you've sent a sales proposal?
Firstly, rephrase the objection to show that you understand. Next, validate the prospect's concern, provide a personalised response by highlighting the value of your offer, and possibly propose a compromise. Finally, encourage the prospect to ask further questions and conclude positively by reaffirming your availability.
Article translated from French