account officer’s basic training improving the promotions and sales skills of account officers

ACCOUNT OFFICER’SBASIC TRAINING

Improving the Promotions and Sales Skills of Account Officers

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What’s in it for me? What’s in it for me?

Why is it important for me to learn about selling skills?

What would I gain from learning and employing it?

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What’s in it for me? What’s in it for me?

Ensure professional and systematic approach to your work as an account officer

Improve delivery of your performance targets Produce clients that are satisfied Generate more income for the bank and thereby, increase your chances of

having better salaries and benefits

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OutlineOutline

Difference between Marketing and Selling The Sales Cycle From Suspects to Prospects Win your Clients by Benefits Selling Who’s afraid of Objections Closing the Sale Interfacing Effectively with your Client

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MarketingMarketing

The management process through which goods and services move from concept to the customer.

Product ConceptProduct Concept CustomerCustomer

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SellingSelling

Concerns itself with the tricks and techniques of getting people to buy your product

“People buy because they need.”

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Marketing CycleMarketing Cycle

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Sales CycleSales Cycle

How are you promoting your product?How are you promoting your product?

Flyers/brochures Radio Television Magazines Newspapers SMS (text) messages Special media: transport, tarpaulin, billboards, caps, pins, t-shirts, etc.

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Stages Predominant Activity

Prospecting Determine who are “suspects” and who are “prospects”

Sales Interview Fact & emotion finding about your prospects

Demonstration/Presentation Present and reinforce the benefits of certain features of your product

Substantiate Establish credibility which gives your customers confidence and comfort in purchasing your product

Negotiate Keep the negotiations going until sale is close

Transaction Closure Get the commitment of the customer

Referral Gather other leads

Typical Sales Cycle

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“From Suspects to prospects”

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PROSPECTINGPROSPECTING

The first stage or beginning of the sales cycle. An activity of finding people whom you may call to

offer the benefits of the company It is a physical activity: the activity of seeing people

and meeting people through them. It is an ability to uncover new customers like cold

canvassing, referrals, telephone directories, trade association, sales employees, etc.

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Who is a PROSPECT?Who is a PROSPECT?

Important elements present in a qualified prospect: Has a good credit rating The authority to make a buying decision. A need or want for your service or product. Can afford to borrow/ use other bank services Can meet the requirements of the bank Can be approached by the bank staff/AO If one of these elements is missing, then what you

have is just a suspect.

Workshop: PROSPECTINGWorkshop: PROSPECTING

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ProspectingProspecting

Do you really know your prospect?(Understanding market segmentation and target selling)

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Prospecting Prospecting

What is market segmentation?

The process of breaking your market into sub-markets of homogenous dimensions or characteristics.

Market characteristics include: market size, number of competitors, profitability, life cycle, geographic locations.

Buying behavior includes such actions as: frequency of purchase, brand loyalty, urgency, motivation, price importance, quality perception.

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What is Target Selling? What is Target Selling?

What is Target Selling?

This consists of using due diligence to learn about each prospect within the market segment and identifying target accounts that you wish to become your customers.

OVER-ALL MICRO

ENTERPRISE SECTOR

OVER-ALL MICRO

ENTERPRISE SECTOR

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Steps to Segmenting your MarketSteps to Segmenting your Market

Identify your over-all-market and assign a name to it.

ManufacturingDivide your overall market into

sub-markets by the nature of their business activities.

Then further divide the sub-markets by micro-enterprise activities. List as many activities as you can think of.

Trading

Service

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Do you really know your Do you really know your prospect?prospect?

Market Segmentation Exercise

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Steps to Segmenting your MarketSteps to Segmenting your MarketThe various micro-enterprise activities can be analyzed and

grouped according to:

1. Market Segment Size (how many are there of specific ME’s in the area?) 2. Size of Operation(Is the business operation classified as small, medium, large?) 3. Business Cycle(Does the product/service have a fast turn-over? Does it experience seasonality/trends?) 4. Geographic locations(how far are the ME’s from the bank’s branches?) 5. Potential Risks

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Steps to Segmenting your MarketSteps to Segmenting your Market

Step 4: Having identified the various micro-enterprise activities, you can now start taking a look at your trade

area or your geographical area of assignment and locating them.

It would help a lot if you have a listing of the establishments in your area, either from the Municipal Planning & Development Office, Municipal Treasurer’s Office and Market Administrator’s Office. The Barangay Office is

also a good source of info for community-based enterprises.

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SSteps to Segmenting your Marketteps to Segmenting your Market

Step 5: Once you have studied and analyzed the various micro-enterprise activities in your area of assignment, you can start doing your prospecting list.

Use the suggested Weekly Prospecting List Form.

Quantify your targetsQuantify your targets

Example: • 60 additional accounts in 6 months• Monthly, weekly per month…

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TARGET AO 1 AO 2 AO 3 TOTAL

6 MONTHS 60 60 60 180

January 10 10 10 30

1st week 3 3 3 9

2nd week 2 2 2 6

3rd week 3 3 3 9

4th week 2 2 2 6

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Weekly Prospecting List FormWeekly Prospecting List Form

ABC LOAN PRODUCT WEEKLY PROSPECTING LIST

Week 1 :January 5-9, 2004 1. New Accounts

Market Segment: Wholesale & Retail Trade Sector

Name of Business

Address Projected Loan

Amount

Call Date

Follow-up

Date

Remarks

1.2.3.4.5.

Prepared and Submitted by: _______________________________________ Signature over Printed Name of Account Officer _______________________________________ Date of Submission *To be prepared in duplicate copies; 1 for the account officer 1 for the MF Supervisor

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Step 6: Having studied the micro-enterprise sector well, it is also expected at this point that your bank has already formulated a Unique Selling Proposition (USP) intended for this sector.

USP is characterized as a series of factors that competitors cannot claim for themselves. This is something that differentiates your products/ service/organization from your competitors.

USP gives the customer or prospect the best reason why s/he should buy from you rather than your competitors.

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Some examples of USP

Our bank is known for its fast service. Our bank is open to serve you 7 days a week. Our bank is known for its friendliest account officers. Our bank is your one-stop shop for financial services.

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“It is a game of numbers” Know your ratios and strive to improve them Quality prospects Make every day a prospecting day

Some things to remember about prospecting

Workshop: PROSPECTINGWorkshop: PROSPECTING

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“Benefits selling: the heart of a

winning presentation”

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Client Orientation

The client orientation is comparable to the

sales presentation stage of a sales cycle. The predominant activity of this stage is to

teach your customer the benefits of doing

business with your bank. The objective here is to be able to sell the

product’s benefits and that the client takes the step to apply for a loan.

Workshop: CLIENT ORIENTATIONWorkshop: CLIENT ORIENTATION

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Selling Benefits: Selling Benefits: The heart of a winning presentationThe heart of a winning presentation

Buying Motive - The reason why a product user buys. - It is his/her motivation to buy and own a specific product. - The buying motive must always be the focus of the selling activity. A client will be motivated to “listen” if the discussion on the product will meet his/her objective in buying.

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The Buying Market

1. Effectiveness 2. Supply 3. Convenience 4. Availability 5. Pride 6. Economy

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FEATURES: An element of a product that delivers a benefit. It is the inherent characteristic of a product. It is the quality that makes it competitive with other lines. It always answers the question “what is it?”BENEFITS: It is the performance of the product to promote the well being of the

user. It answers the question “What can it do for me?” (WIFM)

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Some examples:

FEATURE BENEFITS

Airbags Lowered risk of serious injury

Large type Ease of reading

Digital recording Hiss-free listening

Soft leather sneakers More comfortable walking

Mercedes Benz logo Increased self-esteem based on status

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WORKSHOP:BENEFITS WRITING EXERCISE

Converting your loan product features into benefits

Bayanihan Loan ProductBayanihan Loan Product

• Loan Amount: 3,000 to 150,000• Interest Rate: 2% per mo., flat, add-on• Service Charge: 3%, advance deducted• Term: 2 to 12 months• Savings: Initial deposit P100• Regular deposit: 10% of princ. amort.• Payment frequency: weekly, semi-monthly, monthly• Insurance: insurance pays outstanding

loan/ balance when the client pass-away during the duration of loan

term• Payment can be sent through e-money (e.g. G-cash or Smartmoney)

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Handling ObjectionsHandling Objections

“Overcoming objections in a Planned Manner”

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Handling ObjectionsHandling ObjectionsProcess:

Step 1. Hear the full objections(listen before reacting)Step 2. Make an accurate diagnosisStep 3. Review the objection with the clientStep 4. Answer with proof (whenever possible)Step 5. Seek agreement with the client that his objection has been answered and overcome

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Methods in Handling Objections

“YES-BUT” METHOD BOOMERANG METHOD QUESTION METHOD COUNTER BALANCED METHOD THIRD PARTY METHOD DIRECT DENIAL METHOD

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1. “YES-BUT” METHOD The account officer acknowledges understanding of why the

prospect is making the objection and then shows the prospect why he does not have adequate information.

2. BOOMERANG METHOD The account officer using this method turns the objection

into a reason for buying.

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3. QUESTION METHOD The account officer prods the prospect to answer his own

objection by asking him a series of question.

4. COUNTER BALANCED METHOD The account officer uses this method when the prospect’s

objection is valid and cannot be truthfully denied. However, it can be compensated for by some other overbalancing benefit.

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5. THIRD PARTY METHOD The account officer can answer a prospect’s objection by

calling on the testimony of a third person.

6. DIRECT DENIAL METHOD The account officer uses this method when the prospect

leaves you no other choice. If the salesperson has been generally pleasant and agreeable throughout the interview, his denial will be all the more convincing.

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Handling ObjectionsHandling Objections Objections are normal. Objections are necessary. Objections are indications of interest. Objections can actually lead to sales.

The next time you hear an objection, do not interpret it as an objection but instead perceive it as a question.

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Overcoming Objections Activity

Workshop: CLIENT ORIENTATIONWorkshop: CLIENT ORIENTATION

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Workshop: CLOSING THE SALEWorkshop: CLOSING THE SALE

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CLOSING THE SALECLOSING THE SALE

Objective: To know when to close the sale

When to close the sale (situations) When the client agrees to the answer to his objection When the client is sold on the benefit of the product When non-verbal signs show satisfaction with the product When the client offers a hidden benefit of the product When all sales resistance shown by the client is contained

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How to closeHow to closeStep 1. Shoot a temperature question

A temperature question will seek the real feelings of the client about a product proposal. The account officer has to review the benefits which can really convince the client to buy. In short, the client is sold or half-sold on the sales proposal.

Step 2. Close the sale

Step 3. Leave with a reminder

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CLOSING THE SALECLOSING THE SALE

Things to remember:

1. Closing is the name of the game.2. Business requires new money coming in or it

fails. Therefore, CLOSE MORE SALES.3. Closing is sweet success.4. A CHAMPION has the habit of closing sales most

of the time.

Workshop: CLOSING THE SALEWorkshop: CLOSING THE SALE

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ServicingServicing

Practical Tips in Servicing:• Be sincere.• If you promise, deliver.• Keep in touch.• If you do not call them, someone else will.

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ASK FOR A REFERRALASK FOR A REFERRAL

Somewhat a new concept in looking at a sales cycle.

Closing the sale is your PAYCHECK; a referral is your BONUS.

A referral, especially coming from a good client, can be your number one prospecting tool.

Referral actually shortens your sales cycle.

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Interfacing EffectivelyInterfacing Effectively Appeal to the personality types of your customer. LOGIC provides the REASON to justify the purchase. But buying decisions always include a PERSONAL

COMPONENT that provides the MOTIVATION to take action.

By using WORDS & PHRASES in your presentation that respond to the PERSONAL NEEDS of the customer’s PERSONALITY TYPE, you build the FEELING that are necessary for a purchase to take place.

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Interfacing EffectivelyInterfacing Effectively

PERSONALITY TYPES

CONTROLLER

INTELLECTUAL

EXPRESSIVE

PASSIVE

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TRAITS: CONTROLLER

Blunt, direct, impatient Task accomplisher Bottom line results Control oriented, self & others Self-motivated, hard worker

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TRAITS: INTELLECTUAL

Detailed, precise, lengthy Gathers information Defines, clarifies, tests Neat, meticulous, organized Comprehensive steady worker

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TRAITS: EXPRESSIVE

Friendly, gregarious, talkative Stands out, colorful Creative, imaginative Generates excitement Initiates activity, motivates

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TRAITS: PASSIVE

Conservative, low key Dependable, loyal, patient Team worker, agreeable Practical, blends in well Reconciling, good listener

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Interfacing EffectivelyInterfacing EffectivelyApproaches to the Different Personality

Types

CONTROLLER INTELLECTUAL EXPRESSIVE PASSIVE

PERSONAL NEEDS

To have control, obtain results

To be an expert, to be right

To be notice, recognized

To have agreement, acceptance

MOTIVATION Get the job done, save time, higher productivity, gain

Make the right decision, have

definable reasons

Receive recognition, be noticed, be first, have the best

Have agreement,

stability, help fellow workers

SALES APPROACH

Get to the point, provide

references, sell staff, give

guarantees

Present data, details, show studies, make comparisons

Refer to new, state of the art, admiration of

others

Develop rapport, provide

references, sell staff, give

guarantees

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Interfacing EffectivelyInterfacing EffectivelyTo what personality types will these statements appeal to?

1. “Let’s get this purchase order out so you can start making money. It will also give you control over the entire process.”

2. “This is going to be a big benefit to your staff. They will all benefit from it and they are going to appreciate you for moving ahead on this purchase.”

3. “Let’s get this purchase now so you can lead the pact on this. Everyone’s going to know who is using state of the art.”

4. “The studies show it’s best, nobody can argue with that. You are going to be the expert after this purchase.”

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References:References:

Jim Kasper, Short Cycle Selling, McGraw-Hill,2002 Jay Levinson & Seth Godin, The Guerilla Marketing Handbook, Houghton Mifflin

Company, 1994

Thank you!

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