Preparing the Sale

Personal Selling – any form of direct contact between sales person and customerinvolves two way communication between seller and buyer

Retail Selling – customers come to the store; sales people should be ableto answer any questions about product

B2B (business to business) – can take place at manufacturers or wholesalers showroom (Inside Sales) or at customers place of business (Outside Sales).

telemarketing – selling over the phone

Preparing the Sale

Goals of Selling1. Help customers make satisfying buying decisions, which creates

ongoing relationships with buyer and seller2. Repeat customers – easier and less expensive to keep current

customers than to generate new customers3. Positive Recommendations – happy customers will tell others about

their experience

Consultative Sellingprovides solutions to customer’s problems by finding products that meet their needs.

Preparing the Sale

Feature Benefit Sellingmatching the characteristics of a product to customers needsProduct Features – basic, physical, or extended attributes of the product.

most basic feature of a product is its intended use

Customer benefits – advantages or personal satisfaction a customer willget from a good or service2 questions to answer for customer

how does feature help product performancehow does performance info give customer a reason to buy the product or service

Preparing the Sale

Feature-Benefit ChartConsider an MP3 player you would like to own, or the one that you do own. Think about all its features and what you like about them.Develop a feature-benefit chart for a new portable MP3 player. Come up with8 features of the MP3 player and then list the benefits for the customer

Preparing the Sale

Customer Buying MotivesRational motive – conscious, logical reason for a purchase

Emotional motive – feeling experienced through association w/product

Customer Decision MakingHow a person makes a decision is affected by following

previous experience with product and companyhow often product is purchasedamount of information necessary to make wise decisionimportance of the purchase to customerperceived risk involved in purchasetime available to make decision

Preparing the Sale

Customer Decision MakingExtensive decision making – used when customer has had little or no

previous experience with an item. They are usually expensiveitems and/or items that have high value to customeri.e. buying a home

Limited Decision Making – used when customer buys goods or servicesthey have used before but not regularly. Person often needs some information before buying producti.e. car, furniture, appliances

Routine Decision Making – used when customer needs little informationabout product. Usually inexpensive items that are boughtfrequently. Satisfaction is highi.e. Groceries, products with brand loyalty

Getting Ready to Sell

Pre – Approach - preparation for the face-to-face encounter with potential customers

How to Prepareneed to study products company offerskeep abreast of trends and competitorsresearch potential customersbe familiar with company policies and procedures

Product Information4 ways to find information

Direct experience – use it, wear it, etcwritten publications – manuals, catalogs,

promotional materials, websitesother people formal training – by sales people or vendors/manu.

Getting Ready to Sell

Industry Trends – staying up to date on with current styles, colors, etcread periodicals that pertain to the industry

Prospecting (lead)– a prospect is a potential customerEmployer leads – telemarketing, trade showsDirectories NewspapersCommercial Lists – buy lists of potential customers that meet

specific criteriaCustomer Referrals – satisfied customers give salespeople the

names of others who might buy the product/serviceEndless chain method

Cold Canvassing (Cold calling) – potential customers arechosen at random. Door to Door sales

Getting Ready to Sell

Preparing for Sale – Business to Business (B2B)varies based upon current customer or new customer. Current customer – analyze past sales and notesNew Customer – need to do some research and find out following

Do they need product/serviceDo they have finances to pay for itDoes the person the meeting with make the decision, if not who does

Preparing the Sale – Retail Sellingpreparation centers on merchandise and work area

straightening, rearranging, and refill stockadjusting price tickets before and after salesarranging displayskeeping selling area clean, neat

Getting Ready to Sell

Company Policies and TrainingTraining – four step process: explanation, demonstration, trial, critique

Compensation – how sales people are paid: commission, salary, or both.

Sales quotas – dollar or unit sales goals set to achieve in specific period oftime.

Legal and Ethical issues – all sales orders are legal agreements. All issuesand aspects of the sale should be clearly identified