By Benny K P Tan

When Politics Crashed My Deal

There I was, sitting in a plush conference room in Jakarta, watching months of careful work implode in real-time. The contract was drafted, the technical evaluation complete, and the procurement team had given their blessing. We were one signature away from closing a multi-million dollar deal.

Then came the bombshell: “I’m sorry, but we’ll need to delay this decision. The government just announced new regulations that might affect our implementation strategy.”

Just like that, politics had sideswiped my deal.

Sound familiar? If you’ve been in B2B sales for more than a hot minute, you’ve likely had a similar experience. The political landscape shifted, and suddenly your perfectly positioned solution became a question mark.

The Political Blind Spot That’s Costing You Deals

Here’s an uncomfortable truth: most sales professionals are politically illiterate. Not in terms of which party they support, but in understanding how government policies, regulatory changes, and political dynamics impact their customers’ businesses.

When I ask sales teams about their pre-call research, I typically hear:

• “I checked their latest quarterly earnings”
• “I looked at their recent technology investments”
• “I reviewed their organizational structure”

All good stuff. But rarely do I hear: “I researched the regulatory changes affecting their industry” or “I examined how the latest trade agreement impacts their supply chain.”

This blind spot is costing you deals, credibility, and commissions.

Why Politics Matters More Than Ever in B2B Sales

Let’s face it – politics has always influenced business. But in today’s hyperconnected global economy, political factors can ripple through industries with unprecedented speed and impact:

• A single tweet from a government official can send markets into tailspins
• New data sovereignty laws can invalidate entire technology roadmaps
• Changing trade agreements can transform cost structures overnight
• Election cycles can freeze buying decisions for months
• ESG regulations can fundamentally alter investment priorities

If you’re not factoring these dynamics into your sales approach, you’re essentially walking into client meetings with outdated intelligence.

As one CEO told me bluntly: “I need partners who understand my business context, not just their product features. Political risks are business risks – if you don’t get that, we can’t work together.”

Ouch. But he was right.

The Political Dimension of Business: What You Need to Know

When we talk about the “P” in PESTEL, we’re examining how political factors create both constraints and opportunities for your clients. These include:

1. Government stability and policy changes
   • How might upcoming elections affect your client’s investment decisions?
   • Are there shifting policy priorities that could impact funding?
2. Regulatory frameworks and compliance requirements
   • What new regulations are emerging in your client’s industry?
   • How do compliance costs affect their budget allocations?
3. Tax policies and incentives
   • Are there tax benefits for certain types of investments?
   • How might changing tax structures affect their profitability?
4. Trade restrictions and agreements
   • How do tariffs affect your client’s supply chain?
   • Could new trade agreements open opportunities or threats?
5. Labor laws and employment regulations
   • How do changing employment laws impact operational costs?
   • Could labor shortages from immigration policies affect implementation?

The real magic happens when you connect these political factors directly to your solution’s value proposition. That’s when you move from vendor to trusted advisor.

From Political Awareness to Sales Advantage: A Practical Approach

So how do you actually incorporate political awareness into your sales approach? Here’s my three-step method:

Step 1: Build Your Political Intelligence System

Create a simple but consistent approach to staying informed:

• Set up Google Alerts for regulatory terms in your client’s industries
• Follow industry associations that track legislative changes
• Add 15 minutes to your morning routine to scan relevant policy news
• Subscribe to specialized newsletters that track regulatory trends
• Connect with your company’s legal or compliance teams quarterly

One of my clients – a sales director at a technology company – created a simple “regulatory impact dashboard” for his team. Every Monday, they spend 10 minutes discussing how recent policy changes might affect their target accounts. This small habit has helped them anticipate objections and position their solutions more effectively.

Step 2: Incorporate Political Context Into Your Discovery

Update your discovery questions to include political dimensions:

Instead of: “What are your priorities this quarter?”
Try: “How have recent regulatory changes in your industry affected your priorities this quarter?”

Instead of: “What’s your timeline for implementation?”
Try: “Given the upcoming election and potential policy shifts, how are you thinking about implementation timelines?”

Instead of: “Who else needs to approve this purchase?”
Try: “Besides internal stakeholders, are there any regulatory approvals or compliance reviews needed for this initiative?”

The difference is subtle but powerful. You signal that you understand their business exists within a political context, not a vacuum.

Step 3: Connect Your Solution to Political Realities

Once you understand the political factors affecting your client, explicitly connect your solution to these realities:

• Show how your solution helps navigate regulatory uncertainty
• Highlight compliance features that address specific legislation
• Demonstrate flexibility to adapt to changing political landscapes
• Quantify the cost of regulatory non-compliance vs. your solution
• Present case studies of similar clients navigating political challenges

A sales leader I coached in the financial services sector won a significant deal by showing how their platform could adapt to three different regulatory scenarios being debated in parliament. Their competitor only addressed the current regulations. Guess who won?

The Political Differentiator in Action

Let me share a quick story about a turnaround I witnessed:

Sarah was a sales rep for an enterprise software company struggling to close a deal with a large manufacturing firm. Despite having superior technology, she kept hearing “we need to think about it more.”

During our coaching session, I asked if she had examined the political factors affecting the client. She hadn’t. We discovered the company was heavily exposed to US-China trade tensions, with factories in both countries.

Sarah reworked her approach. Instead of highlighting generic features, she demonstrated how their software could help the client model different trade scenarios, adapt supply chains quickly, and demonstrate compliance with both countries’ regulations.

The deal closed within three weeks. The differentiator wasn’t a new feature – it was demonstrating an understanding of the client’s political reality.

Your Next Steps: Political Savvy Starts Today

Here’s my challenge to you this week:

1. Pick your top three accounts
2. For each one, identify two political factors currently affecting their business
3. Revise your value proposition to explicitly address these factors
4. Test this approach in your next client conversation

Then come back and let me know how it went. Did you notice a difference in engagement? Were you able to have more strategic conversations?

Remember, in today’s complex selling environment, the difference between average and exceptional often comes down to the dimensions of understanding you bring to client conversations. The political dimension isn’t just another box to check – it’s a critical lens through which your clients view every business decision.

Ignore it at your peril. Master it, and watch your sales acumen (and results) reach new heights.

Until next week,

Benny

What political factors have impacted your deals? Share your experiences in the comments below or connect with me on LinkedIn to continue the conversation.