"A good decision is based on knowledge, not on numbers"- Plato

Product knowledge, or more to the point lack of product knowledge, is one of the areas where you can lose credibility real quick.

Having excellent product knowledge enables you to handle any sales situation with complete confidence in the knowledge that you can answer any question asked of you in a nice and relaxed manner. This confidence transfers to the customer and this is where trust starts to build.

Customers will not buy anything, no matter how favourable the offering, if they do not feel an element of trust exists.

With good product knowledge you can quickly link features to benefits and start building the conditions for people to buy. People like it when you address their needs directly.

Good product knowledge gives you an air of authority. It shows you know your business and this gives the customer the feeling that you are well placed to help them. That safe feeling you get when you are dealing with someone who can talk about their product with authority is one of the motivation drivers that make people buy.

Customers like to deal with people who know what they are talking about, full stop.

You also need to know whether or not your product/service is able to solve the problem you are faced with, because that's what you are doing- solving a problem. The customer wants a quick solution to whatever is bothering them. If you can't help, say so right away and, if possible, recommend someone who can. People will appreciate your honesty. This maintains the trust you have already built and they may well come back at a later date for something else or, better still, refer someone to you.

There are of course some products, especially technical ones, that require a real in-depth understanding and it would be unreasonable to expect a salesperson to know every single aspect.

That's alright as long as you acknowledge as much.

If you are ever faced with a question to which you don't know the answer, say so immediately and find the right answer as soon as you can. Most people are reasonable and will find this acceptable. This will maintain your credibility.

Poor product knowledge really is putting some salespeople to the back of the queue. They are losing sales because the next guy that comes in knows that little bit more.

Apart from that, it just doesn't look good.

Having good product knowledge can make it a level playing field when up against stiff competition. As long as you know what you're talking about, and you can deliver, you will be able to compete with anyone.

Try and get your product knowledge to be the best it can be. Show people how best you can help them and offer proper solutions to their problems. This approach will get you more sales. Lack of product knowledge can give the impression that you don't care.

And if you don't care, why should they.