What is What is Selling?Selling?

Helping Helping customers make customers make

satisfying satisfying buying decisions buying decisions

by by communicating communicating how products how products

and their and their features match features match

customers’ customers’ needs and needs and

wants.wants.

Personal Personal SellingSelling

Verbal presentations Verbal presentations to with the intent of to with the intent of

making a sale.making a sale.

Goals of SellingGoals of Selling

Help customers decide on Help customers decide on purchasespurchases

Ensure customer Ensure customer satisfactionsatisfaction

Promote repeat businessPromote repeat business

Remember the Remember the Marketing Marketing Concept:Concept:

Satisfy customer needs and Satisfy customer needs and wantswantsAND

Make a profit

Feature - Benefit Feature - Benefit SellingSelling

The concept that a The concept that a salesperson needs to salesperson needs to match the features of match the features of each product to a each product to a customer’s needs and customer’s needs and wants.wants.

Types of Product Types of Product featuresfeatures

TangibleTangible StyleStyle ColorColor QualityQuality OptionsOptions

ExtendedExtended WarrantiesWarranties DeliveryDelivery InstallationInstallation Return Return

policypolicy FinancingFinancing

Product Knowledge Product Knowledge SourcesSources

Printed materialsPrinted materials• BrochuresBrochures• Product tagsProduct tags• CatalogsCatalogs

ExperienceExperience Other employeesOther employees

• MentorMentor• TrainerTrainer

Formal trainingFormal training

Customer Buying DecisionsCustomer Buying Decisions

Salespeople Salespeople must studymust study• what motivates what motivates

customers to buycustomers to buy• what decisions what decisions

customers make customers make before finally before finally purchasing a purchasing a product.product.

What motivates a What motivates a buyer?buyer?

Rational motivesRational motives Conscious, Conscious,

factual reason for factual reason for buyingbuying

DependabilityDependability Time/money Time/money

savingssavings ConvenienceConvenience Health/SafetyHealth/Safety ServiceService

Emotional motivesEmotional motives Feeling of Feeling of

satisfaction desired satisfaction desired from a productfrom a product

Social approvalSocial approval CuriosityCuriosity RecognitionRecognition PowerPower Love/affectionLove/affection PrestigePrestige

Preparing to Sell Preparing to Sell (con’t)(con’t)

Customer Customer knowledgeknowledge• Buying motivesBuying motives

RationalRational EmotionalEmotional

• Buying Buying readinessreadiness

• DispositionsDispositions• Repeat Repeat

customerscustomers

Rational MotiveRational MotiveConscious, logical Conscious, logical

reasons for reasons for making a making a purchasepurchase

Emotional MotiveEmotional MotiveFeelings Feelings customers customers

associate with associate with the productthe product

Customer Buying DecisionsCustomer Buying Decisions

Extensive Decision Extensive Decision MakingMaking

Used when little or Used when little or no previous no previous experience with experience with the item because it the item because it is infrequently is infrequently purchased.purchased.

Customer Buying DecisionsCustomer Buying Decisions

Limited Decision Limited Decision MakingMaking

Used when a Used when a person buys goods person buys goods and services he or and services he or she has purchased she has purchased before but not on a before but not on a regular basis.regular basis.

Customer Buying DecisionsCustomer Buying Decisions

Routine Routine Decision Decision MakingMaking

Used when a Used when a person needs little person needs little information about information about a product because a product because of a high degree of of a high degree of prior experience or prior experience or low perceived risk.low perceived risk.

Types of Sales PositionsTypes of Sales Positions Retail sales personnel - Sales Retail sales personnel - Sales

clerks and sales associates. clerks and sales associates. Communication skillsCommunication skills

Professional sales (Industrial: Professional sales (Industrial: B2B) - Require extensive training B2B) - Require extensive training and product knowledge.and product knowledge.

Telemarketers - Sell products over Telemarketers - Sell products over the telephone. Communication the telephone. Communication skillsskills

Internet Sales - Computer skillsInternet Sales - Computer skills

Traits of Successful Traits of Successful SalespeopleSalespeople

Problem-Problem-solverssolvers

People-People-orientedoriented

Possess math Possess math skillsskills

Have product Have product knowledgeknowledge

Common Common personal traitspersonal traits

SinceritySincerity Good attitudeGood attitude EnthusiasmEnthusiasm EmpathyEmpathy PoisePoise PerceptionPerception

Steps of the Sales Steps of the Sales ProcessProcess

ProspectingProspecting Pre-approachPre-approach ApproachApproach Determining Determining

needsneeds Handling Handling

objectionsobjections

Closing the Closing the salesale

Suggestion Suggestion sellingselling

Reassuring/Reassuring/

follow-upfollow-up

The Buying The Buying ProcessProcess

Series of mental steps that a Series of mental steps that a customer goes through when customer goes through when making a purchase. (usually making a purchase. (usually

unconscious)unconscious)

ProspectiProspectingng

Act of looking for and Act of looking for and qualifying a potential qualifying a potential

customer (lead). customer (lead).

Sources/Methods of Sources/Methods of ProspectingProspecting

EmployerEmployer Telephone Telephone

DirectoryDirectory NewspapersNewspapers Cold-callingCold-calling Commercial listsCommercial lists Customer referralsCustomer referrals Trade/Professional Trade/Professional

directoriesdirectories

Pre-Pre-ApproachApproach

““Getting ready to Getting ready to sell”sell”

Types of Pre-ApproachTypes of Pre-Approach

RetailRetail Clean storeClean store Displays neatDisplays neat Products Products

stockedstocked Promos visiblePromos visible Merchandise Merchandise

taggedtagged

IndustrialIndustrial Past sales Past sales

recordsrecords Buyer’s productsBuyer’s products Competitors’ Competitors’

products used products used by buyerby buyer

Buyer’s Buyer’s interests, interests, hobbieshobbies

ApproachApproach

Initial contact with Initial contact with customercustomer

Types of Approach Types of Approach (retail)(retail)

•Service

•Greeting

•Merchandise

“May I help you?”

“Good morning”

“Those shoes also come in black” – making reference to merchandise

Determining Determining NeedsNeeds

Observing (non-verbalObserving (non-verbal communication)communication)

ListeningListening Eye contactEye contact FeedbackFeedback empathyempathyQuestioningQuestioning Confirm selling pointsConfirm selling points Encourage communicationEncourage communication Clarify customer’s pointsClarify customer’s points Regain customer’s Regain customer’s

attentionattention

Product Product PresentationPresentation

Product SelectionProduct Selection No more than 3 No more than 3

at one timeat one time Mid-price range Mid-price range

to startto start

What to do/say?What to do/say? Descriptive Descriptive

adjectivesadjectives Display productDisplay product Demonstrate Demonstrate

productproduct Involve customer Involve customer

(hands-on)(hands-on) Sales aids Sales aids

(samples, articles, (samples, articles, charts, charts, testimonials)testimonials)

Objections vs. ExcusesObjections vs. Excuses

ObjectionObjection

Concerns, Concerns, hesitations, hesitations, doubts or doubts or other honest other honest reasons a reasons a customer has customer has for not making for not making a purchasea purchase

ExcusesExcuses

Insincere Insincere reasons for not reasons for not buying – buying – there’s there’s nothing you nothing you can do about can do about thesethese

How to know the How to know the difference…difference…

Determine if the objection Determine if the objection addresses one of the 5 buying addresses one of the 5 buying

decisions…decisions…

Buying DecisionsBuying Decisions•Need

Conflict between wanting and not needing something

•Product

Objections about the product and/or its features

•Source

From negative past experiences with company or store

•Price Usually associated with high-end products

•Time Hesitation to buy immediately

Common Common ObjectionsObjections

•Need

“I don’t need another coat”

•Product

“I can’t wear this dress to work”

•Source “The last time I ordered something from this store, I didn’t get it for 4 weeks

•Price “This is more than I want to spend.”

•Time “I don’t get paid until Friday.”

Steps to handling Steps to handling objectionsobjections

Listen Listen carefullycarefully

Acknowledge Acknowledge objectionsobjections

Restate Restate objectionsobjections

Answer Answer objectionsobjections

Methods of handling Methods of handling objectionsobjections

Yes, but… (provides another Yes, but… (provides another viewpoint)viewpoint)

Boomerang (turns objection Boomerang (turns objection into selling point)into selling point)

Question (to learn more about Question (to learn more about objection raised)objection raised)

Superior Point (offset objection Superior Point (offset objection with other features/benefits)with other features/benefits)

Methods of handling Methods of handling objections (con’t)objections (con’t)

Direct Denial (customer Direct Denial (customer inaccurate. You provide inaccurate. You provide proof/accurate information – proof/accurate information – be careful!)be careful!)

Demonstration (illustrating Demonstration (illustrating one or more features)one or more features)

Third party (testimonial)Third party (testimonial)

Buying Buying DecisionsDecisions

ObjectionObjection ResponseResponse Method of Method of ResponseResponse

NeedNeed I don’t need another I don’t need another coatcoat

Another coat would Another coat would give you flexibility give you flexibility with our varying with our varying weather conditionsweather conditions

Yes, butYes, but

Superior Superior PointPoint

ProductProduct I can’t wear that to I can’t wear that to workwork

What do you do?What do you do?

Where do you work?Where do you work?QuestionQuestion

SourceSource The last time I The last time I ordered something ordered something from here it took 4 from here it took 4 weeks to deliver.weeks to deliver.

We had some We had some problems in the problems in the past, but we have past, but we have reorganized our reorganized our systems so we systems so we guarantee 2-day guarantee 2-day deliverydelivery

Yes, butYes, but

Direct DenialDirect Denial

PricePrice This is too expensive.This is too expensive. This product is of This product is of high quality that is high quality that is guaranteed to least guaranteed to least for at least 10 for at least 10 years.years.

Superior Superior PointPoint

BoomerangBoomerang

TimingTiming I don’t get paid I don’t get paid until next week.until next week.

That’s ok. We That’s ok. We have a layaway have a layaway plan with no plan with no money down.money down.

BoomerangBoomerang

Sample Objection Analysis Sheet

Summary of handling Summary of handling objectionsobjections

Identify reason for objection Identify reason for objection (buying decisions)(buying decisions)

4 basic steps: listen, 4 basic steps: listen, acknowledge, restate, acknowledge, restate, answeranswer

Use one or more response Use one or more response methodsmethods

Closing the SaleClosing the SaleObtaining Obtaining positive positive agreement agreement from the from the customer to customer to buybuy

Timing – be flexibleTiming – be flexible

Buying signals – Buying signals – indicates readinessindicates readiness

Trial close – initial Trial close – initial attempt to close attempt to close the salethe sale

8 rules for closing a 8 rules for closing a salesale

Stop talkingStop talking Stop showing Stop showing

more productsmore products Summarize Summarize

features/beneffeatures/benefitsits

Don’t rush Don’t rush customercustomer

Use words of Use words of ownershipownership

Use major Use major objectionsobjections

Use effective Use effective product product presentationspresentations

Look for minor Look for minor agreements on agreements on selling pointsselling points

Methods of closing a Methods of closing a salesale

““Which” close – deciding between Which” close – deciding between two productstwo products

Standing-room-only close: short Standing-room-only close: short supply or expected price risesupply or expected price rise

Assumption close: “You’ve made a Assumption close: “You’ve made a wise choice.”wise choice.”

Direct Close: “Let me ring this up.”Direct Close: “Let me ring this up.” Service Close: “May I gift-wrap that Service Close: “May I gift-wrap that

for you?”for you?”

Suggestion Suggestion SellingSelling

Attempt to sell additional Attempt to sell additional goods or services to a goods or services to a

customercustomer

Why Suggestion Why Suggestion Selling?Selling?

More money for companyMore money for company

More money for you More money for you (commission?)(commission?)

Satisfied customerSatisfied customer

Repeat businessRepeat business

Common methods for Common methods for Suggestion SellingSuggestion Selling

Related merchandise (shoes Related merchandise (shoes socks) socks) Larger quantity (inexpensive items)Larger quantity (inexpensive items) New stockNew stock Advertised/sale merchandise (old Advertised/sale merchandise (old

stock)stock) Special occasion merchandise Special occasion merchandise

(holidays, seasons, events)(holidays, seasons, events)

Rules for Suggestion Rules for Suggestion SellingSelling

Make suggestion after closing but Make suggestion after closing but before payment or order taken.before payment or order taken.

Give reason for your suggestionGive reason for your suggestion Make the suggestion definiteMake the suggestion definite Show/display the suggested itemShow/display the suggested item Make the suggestion positiveMake the suggestion positive

Sale Follow-upSale Follow-up Remind customer of special Remind customer of special

instructionsinstructions Thank customerThank customer Follow-up:Follow-up:

• Delivery promisesDelivery promises• Information callsInformation calls• Courtesy callCourtesy call• Customer fileCustomer file

Self-EvaluationSelf-Evaluation