Reasons for losing a deal are information about why the customer decided otherwise. Recording them systematically is the cheapest source of insight into the product, the price and the work of the sales team. The problem lies in data quality: if the salesperson fills in the reason themselves, in the vast majority of cases they will cite the price, because it is the most convenient explanation. More accurate results come from a short conversation with the customer after the decision, conducted by someone other than the salesperson who prepared the offer. Ask who they chose and why, what was missing from our offer, and at what point they decided. Evaluate the data quarterly and look for recurring patterns – a single loss says nothing, while ten losses for the same reason is a brief for change.
See also: Sales pipeline hygiene, Objection handling, Exit interview.
