Mark 3337 Amy Vandaveer test 3 review

The Office Video - Michael training sales people on how to get their attention and presentations

it demonstrates the approach on a sales meeting / have to know people to sell and experience / the prospect doesn't know you to buy from you / shows how to build relationships

Preappoach

involves preparing presale objectives and developing a presale presentation plan / key step in preparing a sales presentation

approach

involves makeing a favorable first impression, securing the prospect's attention, an transitioning to needs identification

Objectives for first call

-establish rapport and begin building a relationship with the customer

-obtain permission to ask need identification questions

-obtain personal and business information to establish the customer's file

-involve the customer in a product demonstration

-provide value justification with cost reduction and increase revenues

- compare and contrast features

Team selling

-for organizations that sell complex / customized products and services

- uncover problems and solutions that individuals may not

-require a detailed pre-call plan

-team members must know role

Business contact approaches - different kinds

1.agenda approach

2.product demonstration approach

3.referral approach

4.customer benefit approach

5.question approach

6.survey approach

7. premium approach

8. Combination approach

Agenda approach

review meeting goals, shows that you value the customer's time, should be flexible

Product demonstration approach

showing the product to the customer

Referral approach

utilizes a 3rd party to make the main points of the presentation / can add credibility, include name/direct reference to 3rd party

Customer benefit approach

to point out benefits to the customer for purchasing the product / present key benefits in order of importance

Question approach

ask a direct question, gets prospect thinking about problem your product will solve/ listen to response

Survey approach

prospect completes questionnaire before contact/ analyze results to assess needs and benefits/ avoid early price discussion

Premium approach

provide free sample of products / or give a gift such as a monthly appointment calendar.

Combination approach

the use of multiple approaches / allows for flexibility

-can provide transition into needs discovery part of presentation

6 step presentation plan

approach, need discovery, presentation, negotiation, close, servicing the sale

Gatekeeper role in sales

- assistant or secretary who manages prospect's daily schedule / treat with respect , learn name

-important source of information

-can make a preliminary qualification before meeting with decision maker

Mad Men Video - Lucky Strike Presentation - what did it demonstrate?

-Needs Benefit Approach/ finds needs benefit/ needs implementation/ uses an emotional approach

-Don't show that cigarettes kill, make it different that everyone else's product

"Its Toasted"

Alignment in sales process

-increase customer satisfaction

- more sales closed

-fewer order cancellations

-fewer returns

-increased repeat business

-increase referrals

- consultative sales process

4 part consultative sales presentation

1. need discovery

2. selection of the solution

3. need satisfaction through informing, persuading, or reminding

4. servicing the sale

Need discovery - qualifying the prospect

- ask appropriate questions

- listen and acknowledge customer response

- establish buying motive

-skillfully diagnose and solve customer's problems better than competitors

types of questions relating to spin

-survey-"can you describe problems your having with?"

-Probing-are you problems affecting xyz

-confirmation-so you think the problem is affecting...

-need satisfaction-with some ownership to this do you think you will ....

general survey questions

- Situation questions

- discover facts about the buyer's problem and existing situation

specific survey questions

-Problem question

-gives prospect ability to describe in detail the problem, issue or dissatisfaction they are experiencing

- delve more deeply into the customer's buying situation

probing questions

-Implication question

-uncover the pain / circumstances surrounding the customer's buying problem

-why a problem is important

confirmation questions

-Implication questions

-used throughout the sales process to verify the accuracy and assure a mutual understanding of information

need-satisfaction questions

-Needs payoff question

-designed to move the sales process toward commitment and action

Video Clip - Mad Men Don Draper and Kodak Carousel

-related to customer

-Persuasive Presentation-Draper persuades the people with a pitch of how his family uses Kodak to make memories. He plays to their emotions and persuades them with their own product.

Informative presentation

-inform and educate by emphasizing facts

-used to introduce new products and services

- stress clarity, simplicity, and directness

-less is more - avoid information overload

- goal is to transition from information conveyor to trusted advisor

Persuasive presentation

-main purpose it to persuade the prospect to take action

-To influence: Prospect's beliefs / Attitudes, or behavior / Encourage buyer action

-Transition from intellectual emphasis to EMOTIONAL appeals

- Requires training and experience to be effective

Reminder presentation

-remind the prospect of the product's features, benefits, and value

-reinforcement presentations

-Sometimes a dimension of service after the sale

-Maintains product awareness

-Good when working with repeat customers

-Focus on value; not on price

Creative demonstration - Texas Monthly example in class

using a map to catch decision maker's attention and sale to them

laid out map showing they advertised in tx and could advertise because of southwest airlines.

Customer demonstration - how to get them involved

• Product and plant tours

• Models

• Photos, illustrations, and brochures

• Portfolio of support materials

• Reprints

• Catalogs

• Graphs, charts, and test results

• Bound paper presentations

• Laptop computers and demonstration software

Preparing for presentations

• Review prospect information

• Review buying motives

• Review product selection

• Select need-satisfaction presentation strategy

• Develop consultative presentation plan that adds value

• Rehearse presentation

Video Clip - Tommy Boy and Guarantee

-overcoming objections

- understands the emotional tie to guarantee

-FIND A REASON BEHIND THE NO

-Alleviated concern and found an alternative solution.

Win-win solutions

- focus on integrative negotiations with joint problem solving, trust and rapport, and a win-win relationship strategy

-trust and rapport must be maintained on the front end and throughout process

- goal is to maintain long term relationship

BATNA

Best Alternative to Negotiated Agreement

-what alternatives will be acceptable to you if your negotiation does not succeed.

ZOPA

Zone of Possible Agreement

- the space between the seller's walk away point and the buyer's highest willingness to pay

Need for product

Conditioned response: "I don't need the product."

Sincere need resistance a great challenge

Not convinced of your product's benefits

For business prospects: prove your product is a good investment

The product or service not well established, People do not like to take risks. They need plenty of assurance that product is dependable. Use laboratory results, testimonies from satisfied customers, or effective demonstration to create value.

Price concerns

-Price is one of the most common buyer concerns

-Skillful negotiation is required

-Price objections may be nothing more than an excuse

-To most buyers, value is more important than price

-Position product or service with convincing value proposition

=Customers who perceive added value less likely to object on basis of price

overcoming price concerns

-DO - clarify with questions, add value with cluster of satisfaction, point out relationship between price and quality, explain and demonstrate the difference between price and cost

-DON'T - make the price a focal point, apologize for the price

Negotiation preparations

-gather information before the negotiation

-decide who will be in negotiations

-understand the value of what you are offering

-determine your goal an finanical objective

-prepare an agenda

-review adaptive selling style

-prepare a negotiation worksheet

Direct Denial

Refute prospect's opinion or belief

Be firm, not offensive, think win-win

Indirect Denial

Acknowledge prospects as partly right

Feel-Felt-Found

"I understand how you FEEL"

"Others have FELT that way"

"Until they used the product and FOUND it quite easy and reliable"

Questions

Convert problem into need-satisfaction question

"What would a 10 percent reduction in employee turnover save your company?"

Trial Offer

Prospect tries product without purchase commitment

Third-party Testimony

Favorable testimony of a neutral party can be effective

Neutral third-party testimony adds credibility

Almost never triggers client argument

Postpone Method

Postpone response to buyer concerns

Postpone answers to client concerns until later in dialogue

Explain why you want to postpone

Superior Benefit

Acknowledge prospect has valid concern and focus on superior benefit

Demonstration

Discuss competitive advantages of your product

-overcome buyer skepticism effectively

Combination Methods

Sometimes combination of methods proves to be the best way to deal with buyer's resistance

Might attempt to use a trial close, which means concluding the sale w/o opportunity to continue the sales process

EX: "If I can address this final concern of yours, would you buy it?"

Video Clip - Boiler Room Clip - Ben Affleck Closing:

you are always closing, recognize the close, a close is made on every call

Planning for close

-review possible barriers to closing the sale

-review closing guidelines

-prepare several closing methods

-plan to ask for the order more than once

-practice closing

guidelines for cosign the sale

-focus on dominant buying motives

-achieve incremental commitments particularly for situation involving long selling cycles

-negotiate through tough points before attempting to close

-avoid surprises at close

-display high-degree of self-confidence

-ask for the order more than once

Buyer anxieties

BUYER'S REMORSE

-loss of options

-fear of making a mistake

-social or peer pressures

Trial close:

closing attempt made at an opportune time during sales presentation to encourage customer to reveal readiness or unwillingness to buy, also known as minor point close. Good way to test the buyer's attitude toward the actual purchase.

Direct appeal

Ask for the order in a straightforward manner

Should not come too early

Gain prospect's respect first

After asking, remain quiet

Assumptive close:

Subtle way to ask for decision, assuming customer will buy.

Comes near the end of the presentation

"Because this shipment can meet your timetable, let's go ahead and place

your order."

Summary-of-benefits close:

Reemphasize value-added buyer benefits

"That's $25 for each lunch, four conference rooms, and audio/visual support, plus our special

meeting package. Can I make this reservation for you?"

Special concession close:

Extra incentive for acting now

Sample inducements

Sale price

Quantity discount

Liberal credit plan

Use with care

Multiple options close:

Present several options to customer

Steps:

Configure more than one product solution

Stop when ample selection presented

Remove less-appealing options or products

Balance sheet close:

Outlines reasons to buy and not to buy

Engage customer in this process

Management close:

Involve senior executives or sales manager

Upper-level managers add value

Makes prospect feel important

Impending event close:

Also known as the positive/negative technique

Requires knowing the needs of the prospects well enough to turn their objections into your selling points

Combination close:

Sales person simply combines two or more close methods for effectiveness

trial close steps

approach, presentation, trial close, demonstration, trail close, negotiation, trial close, actual close

Confirmation step

-Reassure customer

-Confirm sale and partnership

-Reduce buyer's remorse—forms of regret, fear, anxiety about sale by Complimenting buyer on wise decision

and Thanking customer for order

Dealing with loss

Learn to manage disappointment

When a sale is lost:

Make sure the deal is really dead

Review chain of events

Interview the client. Obtain feedback

Competition

Some buyers want to look at competing products/services

Do everything to help

customer make an

intelligent comparison

Review your product's strong points

Make it easy for person to buy your product next time

Video Clip - The Office: Gift Baskets

have to understand the need

need to know what matters most

relationships are important, but you can't rely just on relationship

price and convince mattered most to customer

Reason for losing customers

50 - 70% Poor Service

12 - 15% Product Dissatisfaction

10 - 15% Price

Developing relationships

diligence, information communication, inducements, empathy, sportsmanship

diligence

-combines responsiveness and reliability

-following up on commitments, returning phone calls, being available

information communication

regularly relaying product information to the customer in a clear and concise way

inducements

personalizing the relationship with the customer

empathy

strong willingness to help customers and make an effort to understand them

sportsmanship

demonstrating good social judgment and professionalism during all customer interactions

moment of truth

happens when the customer's expectations were met

moment of misery

customer's expectations were not met

moment of magic

customer's expectations were met and exceeded

Follow through - importance of

-on assurances and promises made during sales presentation

-key to customer retention

-key to successive sale

-adds value to relationship

Post sale services

make credit arrangements, schedule delivereies, be present during deliveries, monitor installation, offer training on using and caring for product, provide price change information

Follow up objectives

tell your customers that you appreciate their business and determine whether they are satisfied

Follow up methods

personal visit, telephone call, e-mail message, letter/card, call report

Expansion selling and kinds of

full-line selling, cross selling, upselling

upselling

Effort to sell better quality product

Works best when:

Established relationship exists—built on trust Salesperson continuously qualifies prospect

Most customers want the right purchase over the least expensive

Partnership building

key people can affect you ability to develop a relatioship with customers

-receptionists, technical personnel, stock or receiving clerks, management personnel

Handling complaints

Let customers disclose feelings

Keep in mind that it doesn't matter whether the complaint is real or perceived

Do not alibi and blame others at company

Politely share your view of problem's cause

Decide on action to remedy

Full-line selling

-Suggest related products/services to customer (suggestion selling)

-Done correctly, provides value-added service

- Guidelines are

Plan during pre-approach

Make recommendations after first satisfying primary need

Thoughtful, positive suggestions

When appropriate, demonstrate

Full-line selling could involve a salesperson recommending a grass trimmer to go along with a lawn mower purchase as part of a special bundle promotion.

Tinting car windows

Cross selling

Selling products not directly associated to those already sold to established customer

Additional source of business

Buyers like single-source convenience

Most effective when salesperson/customer enjoy true partnership

Examples- If a customer buys an iPhone encourage them to buy a complementary product like the iPad

A Life Insurance company suggesting its customer sign up for car or health insurance.

A wholesale mobile retailer suggesting a customer choose a network or carrier after one purchases a mobile.

A television brand suggesting its customers go for a home theater of its brand.

A laptop seller offering a customer a mouse, pen-drive, and/or accessories.