For sales professionals, the return on investment (ROI) is often seen as a powerful selling point. Yet, while ROI can help justify a decision, it rarely sparks genuine demand. Here are three essential insights to help salespeople use ROI effectively and understand where it truly fits in the sales process.
1. ROI Doesn’t Hook Prospects in Cold Outreach
Many salespeople make the mistake of leading with ROI when prospecting cold leads. Messages like “Our clients achieve a 73% ROI within six months” seem logical on the surface, but they don’t resonate with prospects who aren’t yet ready to think in terms of returns.
During the early stages of awareness, potential buyers aren’t focused on specific outcomes; they’re not even fully sold on the problem they’re facing. ROI matters when a prospect is nearing a decision, not when they’re just becoming aware of their needs.
2. Clear ROI Doesn’t Guarantee Engagement
ROI alone isn’t enough to keep prospects interested. Salespeople may still face “ghosting” from potential buyers, even after presenting clear, compelling ROI figures. Imagine this scenario: an enterprise sales representative works on a promising lead for months. The prospect agrees that the solution could provide a tenfold return on investment. However, when it comes time to commit, the prospect declines, saying, “Check back with us in six months; we have other priorities right now.”
What happened? ROI wasn’t the issue—it was demand. The client’s urgency was simply directed elsewhere. No matter how impressive the ROI may be, if the buyer’s focus and resources are needed elsewhere, they’ll delay or forgo the purchase altogether.
3. ROI Works Best in the Later Stages of the Sales Cycle
Sales 101 reminds us that people buy on emotion and justify their decision with logic. ROI is, essentially, a logical tool—it helps buyers rationalize a choice they’re already inclined to make. However, it’s not an effective tool for generating emotional demand.
Think of ROI as a hammer: fantastic for driving nails, but entirely unsuited for more delicate work. In the same way, ROI is invaluable in the later stages of the sales process, where prospects need reassurance that they’re making a sound investment. Trying to use ROI as a hook in the early stages is like using a hammer to perform surgery—it’s the wrong tool for the job.
In Summary
Salespeople should remember that ROI doesn’t create demand; it justifies it. By understanding where ROI fits into the buyer journey, sales professionals can use it more effectively to support—rather than lead—their sales strategy. Focus on building emotional demand first, and save the ROI conversation for when prospects are ready to make a logical commitment.
