personal selling

Personal Personal SellingSelling

Module TwoModule Two

A MANAGER SHOULD A MANAGER SHOULD AT A MINIMUMAT A MINIMUM

HAVE COMPETENCY IN,HAVE COMPETENCY IN, AND BE AND BE

KNOWLEDGEABLE OF, KNOWLEDGEABLE OF, THE AREAS OF HIS THE AREAS OF HIS

REPONSIBILITY.REPONSIBILITY.

UNBC

IndustrialIndustrialRevolutionRevolution

Post-IndustrialPost-IndustrialRevolutionRevolution

War andWar andDepressionDepression

ModernModernEraEra

1800s1800s 1900s1900s 2000s2000s

The Evolution of Personal SellingThe Evolution of Personal Selling

Selling function became more

structured

Peddlers selling door to door . . . served as intermediaries

Business organizations employed salespeople

Selling function became more professional

As we begin the 21As we begin the 21stst century, selling continues to develop, century, selling continues to develop,becoming more professional and more relationalbecoming more professional and more relational

The Continuing Evolution of Personal The Continuing Evolution of Personal SellingSelling

ChangeChange Salesforce ResponseSalesforce Response

More emphasis More emphasis on improving on improving sales productivitysales productivity

Increased use of technology Increased use of technology Increased use of lower-cost-Increased use of lower-cost-

per-contact methodsper-contact methodsMore emphasis on profitability More emphasis on profitability

objectivesobjectives

Intensified Intensified competitioncompetition

More emphasis on developing More emphasis on developing and maintaining trust-based, and maintaining trust-based,

long-term customer long-term customer relationshipsrelationships

Continued EvolutionContinued Evolution

ChangeChange Salesforce ResponseSalesforce Response

Demand for in-depth, Demand for in-depth, specialized knowledge specialized knowledge as an input to purchase as an input to purchase decisionsdecisions

Team sellingTeam selling

More emphasis on customer-More emphasis on customer-oriented sales trainingoriented sales training

A FUNCTIONAL UNDERSTANDINGA FUNCTIONAL UNDERSTANDING OF THE PERSONAL SELLING OF THE PERSONAL SELLING

PROCESS PROCESS IS ESSENTIAL.IS ESSENTIAL.

THERE ARE EIGHT BASIC STEPS

INTHE PERSONAL SELLING

PROCESS

THE FIRST STEP #1THE FIRST STEP #1 PROSPECTINGPROSPECTING GENERATE LEADSGENERATE LEADS

SOURCES OF LEADSSOURCES OF LEADS

• CUSTOMER REFERALSCUSTOMER REFERALS• ‘‘IN HOUSE’ REFERALSIN HOUSE’ REFERALS• REFERAL AGENCIES REFERAL AGENCIES • NETWORKING NETWORKING • DIRECTORIES DIRECTORIES • COLD CANVASINGCOLD CANVASING• FOLLOW YOUR FOLLOW YOUR

COMPETITIONCOMPETITION

•

QUALIFY LEADSQUALIFY LEADS ESTABLISH ESTABLISH

•NEED NEED •ABILITY TO BUY ABILITY TO BUY •READY TO BUYREADY TO BUY

#2 #2 PRE APPROACHPRE APPROACH PLANNING THE SALEPLANNING THE SALE

• AQUIRE AQUIRE AS MUCHAS MUCH INFO ABOUT THE CALL INFO ABOUT THE CALL AS IS POSSIBLEAS IS POSSIBLE

• SET AN SET AN OBJECTIVEOBJECTIVE FOR THE CALLFOR THE CALL

• USE USE ADAPTIVEADAPTIVE SELLINGSELLING

#3 #3 THE THE APPROACHAPPROACH

• CHECK PERSONAL HYGENE, DRESSCHECK PERSONAL HYGENE, DRESS

• ESTABLISH RAPPORT (MOOD, ESTABLISH RAPPORT (MOOD, ENVIRONMENT, TIME OF DAY)ENVIRONMENT, TIME OF DAY)

• HAND SHAKE, EYE CONTACT HAND SHAKE, EYE CONTACT

• LIMITED SMALL TALKLIMITED SMALL TALK

• USE SAMPLE OR BROCHURE AS LEAD-INUSE SAMPLE OR BROCHURE AS LEAD-IN

#4 #4 NEED ASSESSMENTNEED ASSESSMENT

SITUATIONAL QUESTIONSSITUATIONAL QUESTIONS: SO HOW MANY : SO HOW MANY TIMES HAS IT BROKEN DOWN??TIMES HAS IT BROKEN DOWN??

PROBLEM DISCOVERY QUESTIONSPROBLEM DISCOVERY QUESTIONS: HAS : HAS SERVICE/REPAIR BEEN ADEQUATE?SERVICE/REPAIR BEEN ADEQUATE?

PROBLEM IMPACT QUESTIONSPROBLEM IMPACT QUESTIONS: IF IT BROKE : IF IT BROKE DOWN HALF AS MUCH WOULD THAT MAKE A DOWN HALF AS MUCH WOULD THAT MAKE A DIFFERENCE?DIFFERENCE?

CONFIRMATIONARY QUESTIONSCONFIRMATIONARY QUESTIONS: MAY I TELL : MAY I TELL YOU ABOUT AN AFFORDABLE SOLUTION TO YOU ABOUT AN AFFORDABLE SOLUTION TO THIS …THIS …

REMEMBER!REMEMBER!

THE SEQUENCE MATTERS:THE SEQUENCE MATTERS:

»DON’T USE OVERKILL DON’T USE OVERKILL

»GET CONCURRANCE AND GET CONCURRANCE AND

»PROCEED TO NEXT PROCEED TO NEXT STAGESTAGE

#5 #5 THE THE PRESENTATIONPRESENTATION

• FEATURESFEATURES – CHARACTERISTICS OF THE – CHARACTERISTICS OF THE PRODUCT OR SERVICE.PRODUCT OR SERVICE.

• ADVANTAGESADVANTAGES – HOW THE FEATURE ENHANCES – HOW THE FEATURE ENHANCES PRODUCT PERFORMANCEPRODUCT PERFORMANCE

• BENEFITSBENEFITS – DESCRIBE HOW THESE ADVANTAGES – DESCRIBE HOW THESE ADVANTAGES WILL HELP THE BUYER (IE. SOLVE HIS PROBLEM).WILL HELP THE BUYER (IE. SOLVE HIS PROBLEM).

• PRODUCT DEMONSTRATIONSPRODUCT DEMONSTRATIONS – LAPTOPS, – LAPTOPS, BROCHURES BROCHURES

PREPARED SALES PRESENTATIONSPREPARED SALES PRESENTATIONS (DOG & PONY SHOWS)(DOG & PONY SHOWS)

HAVE LIMITED APPLICATION (TOO INFLEXIBLE)HAVE LIMITED APPLICATION (TOO INFLEXIBLE)

DEVELOPING PRESENTATIONSDEVELOPING PRESENTATIONS

• K.I.S.S. K.I.S.S. (Keep It Simple Stupid)(Keep It Simple Stupid)

• TALK THE PROSPECTS LANGUAGETALK THE PROSPECTS LANGUAGE

• STRESS PRODUCTS APPLICATION STRESS PRODUCTS APPLICATION TO CLIENT’S SPECIFIC NEED.TO CLIENT’S SPECIFIC NEED.

• ESTABLISH & MAINTAIN ESTABLISH & MAINTAIN CREDIBILITY.CREDIBILITY.

#6 #6 MEETING MEETING OBJECTIONSOBJECTIONS

–LISTENLISTEN–CLARIFYCLARIFY–RESPECT / RESPECT / EMPATHIZEMPATHIZEE

–RESPONDRESPOND

PRICE OR VALUE OBJECTIONSPRICE OR VALUE OBJECTIONS

• (WORTH THE COST)(WORTH THE COST)

• OFFER PRICE/VALUE OFFER PRICE/VALUE COMPARISON OF ALTERNATIVE COMPARISON OF ALTERNATIVE SOLUTIONS SOLUTIONS

• OR COST OF NOT DOING IT!OR COST OF NOT DOING IT!

PRODUCT SERVICE PRODUCT SERVICE

OBJECTIONSOBJECTIONS• CASE HISTORIESCASE HISTORIES• DEMONSTRATIONDEMONSTRATION• TRIALTRIAL• TESTIMONIALSTESTIMONIALS

HIDDEN HIDDEN OBJECTIONSOBJECTIONS

• KEEP ASKING KEEP ASKING QUESTIONS TO TRY QUESTIONS TO TRY AND ISOLATE THE AND ISOLATE THE OBJECTIONOBJECTION

INVALID INVALID OBJECTIONSOBJECTIONS

• DISARMDISARM• HUMOURHUMOUR

#7 #7 GAIN GAIN COMITTMENTCOMITTMENT

• PLAN REALISTIC OBJECTIVES FOR PLAN REALISTIC OBJECTIVES FOR EACH CALLEACH CALL

• ASK FOR COMMITMENTASK FOR COMMITMENT

CLOSESCLOSESASSUMPTIVEASSUMPTIVE

SPECIAL-OFFERSPECIAL-OFFERSUMMARY CLOSESUMMARY CLOSE

#8 #8 FOLLOW UPFOLLOW UP

BE THERE AT THE TIME OF DELIVERY!BE THERE AT THE TIME OF DELIVERY!

THE FIRST STEP IN BUILDING CUSTOMER THE FIRST STEP IN BUILDING CUSTOMER LOYALTYLOYALTY

Always remember…Always remember…

• On average it takes On average it takes fourfour calls to calls to ‘close’ a sale.‘close’ a sale.

• Each call costs an average of Each call costs an average of $ $ 225.00225.00

1.1. Are honestAre honest

2.2. Understand general business and economic Understand general business and economic trends, as well as the buyer's businesstrends, as well as the buyer's business

3.3. Provide guidance throughout the sales processProvide guidance throughout the sales process

4.4. Help the buyer to solve problemsHelp the buyer to solve problems

5.5. Have a pleasant personality and a good Have a pleasant personality and a good professional appearanceprofessional appearance

6.6. Coordinate all aspects of the product and Coordinate all aspects of the product and service to provide a total packageservice to provide a total package

Buyers prefer to deal with salespeople who:

WHERE THE BUYER IS ATWHERE THE BUYER IS AT

Mental StatesMental States– Assume the buying process is essentially Assume the buying process is essentially

similar for most buyerssimilar for most buyers– Often Buyers CAN BE led through certain Often Buyers CAN BE led through certain

mental statesmental states– AIDA (attention, interest, desire, and AIDA (attention, interest, desire, and

action)action)

THE BUYER’S PATHTHE BUYER’S PATH

AttentionAttention InterestInterest ConvictionConviction DesireDesire ActionAction

A BUYER’S NEED STATEA BUYER’S NEED STATE

Need SatisfactionNeed Satisfaction– Based on the notion that the customer is Based on the notion that the customer is

buying to satisfy a need buying to satisfy a need (once they (once they realize they have one!)realize they have one!)

– Salesperson uses questioning, probing Salesperson uses questioning, probing tactic to uncover / illustrate important buyer tactic to uncover / illustrate important buyer needsneeds

Problem Solving SellingProblem Solving SellingOFTEN THE SALE SOLVES A PROBLEM OFTEN THE SALE SOLVES A PROBLEM

THAT THE BUYER HADTHAT THE BUYER HAD

DefineDefineProblemProblem

GenerateGenerateAlternativeAlternativeSolutionsSolutions

ContinueContinueSellingSelling

untiluntilPurchasePurchaseDecisionDecision

EvaluateEvaluateAlternativeAlternativeSolutionsSolutions

Long-term AllyLong-term Ally

Consultative SellingConsultative Selling

Strategic OrchestratorStrategic Orchestrator

Business ConsultantBusiness Consultant

The process of helping The process of helping customers reach their customers reach their

strategic goals by using strategic goals by using the products, service, the products, service, and expertise of the and expertise of the selling organization.selling organization.

SUCCESFUL SELLING ~ SELLING SUCCESFUL SELLING ~ SELLING SUCCESSSUCCESSSalesperson

Attributes

Possess Excellent Possess Excellent Communication SkillsCommunication Skills

Understand Buyer BehaviorUnderstand Buyer Behavior

Be Trustworthy and Be Trustworthy and Behave EthicallyBehave Ethically

To be successful in today’s business environment, To be successful in today’s business environment, salespeople must have a solid relationship salespeople must have a solid relationship

building foundation. building foundation.

They must:They must:

Don’t let the termDon’t let the term “Relationship Selling” “Relationship Selling” miss lead you…miss lead you…

TheThe “relationship” “relationship” is not a personal one, though it may is not a personal one, though it may evolve to be – evolve to be –

It isIt is business basedbusiness based and and

initiated & built solely frominitiated & built solely from superior products & servicessuperior products & services. .

Selling on friendship alone isSelling on friendship alone is deaddead..

(see Death of a Salesman)(see Death of a Salesman)

Arthur Miller's 'Death of a Salesman'Arthur Miller's 'Death of a Salesman'

… … the American dream of success … was in serious the American dream of success … was in serious trouble for Willy Loman … trouble for Willy Loman …

He believed in the myth that success was based on He believed in the myth that success was based on popularity, personality and personal attractiveness. popularity, personality and personal attractiveness.

"Be liked and you will never want." "Be liked and you will never want."

and and

". . . personality always wins the day." ". . . personality always wins the day."

Selling StrategySelling StrategyIn order to be successful in today’s business environment, In order to be successful in today’s business environment, salespeople must also think and act strategically. salespeople must also think and act strategically.

The must develop strategies for:The must develop strategies for:

Their Sales TerritoryTheir Sales Territory

Each Sales CallEach Sales Call

Each CustomerEach Customer

The Sales Process -1The Sales Process -1SalespersonAttributes

• Prospecting• Pre-approach• Presentation Planning• Approaching the Customer

Developing Developing Customer Customer

RelationshipsRelationships

Initiating Initiating Customer Customer


Enhancing Enhancing Customer Customer


The Sales Process -2The Sales Process -2SalespersonAttributes

• Sales Presentation Delivery • Earning Customer Commitment







Adding Value through Follow-up, Self-leadership, and Teamwork

The Sales Process - 3The Sales Process - 3SalespersonAttributes







A Brief Review of Personal SellingA Brief Review of Personal Selling

The Nature (Levels) Of Personal SellingThe Nature (Levels) Of Personal Selling– ProviderProvider – takes order & delivers – takes order & delivers– PersuaderPersuader - minor persuasion - minor persuasion– ProspectorProspector – pro-active solicitation – pro-active solicitation– Problem solverProblem solver – finds best fit for customer’s – finds best fit for customer’s

needsneeds– ProcreatorProcreator – creates best fit for customer’s – creates best fit for customer’s

needs.needs.

New RolesNew Roles

Symbiotic relationship thru expertiseSymbiotic relationship thru expertise• Surveying Surveying – increase knowledge of – increase knowledge of

customers (expert)customers (expert)• MapmakingMapmaking – plan solutions for customer – plan solutions for customer

& sell same.& sell same.• GuidingGuiding – ID opportunities & solutions for – ID opportunities & solutions for

customer.customer.• Fire startingFire starting – engage & direct customers – engage & direct customers

to desired solution.to desired solution.

Personal Selling ResponsibilitiesPersonal Selling Responsibilities

• Locating perspective customersLocating perspective customers (prospecting)(prospecting)

• Qualified leadsQualified leads decision-maker, etc. decision-maker, etc.• Determining customer’s Determining customer’s needs / wants.needs / wants.• Recommending Recommending aa solutionsolution..• ShowShow product / service attributes. product / service attributes.• CloseClose the sale – hardest part. the sale – hardest part.• Follow up & serviceFollow up & service

Evaluating the Personal Selling EffortEvaluating the Personal Selling Effort

• Based on sales criteria.Based on sales criteria.

• % growth / area% growth / area

• New accountsNew accounts

• New account typesNew account types

• New lines / packagesNew lines / packages

Criteria for Evaluating Personal SellingCriteria for Evaluating Personal Selling

• Level & quality of trade / competitive Level & quality of trade / competitive feedback.feedback.

• Level & quality of trade / consumer Level & quality of trade / consumer acceptance of promo materials & acceptance of promo materials & mechanics.mechanics.

• Programme implementation – the quality & Programme implementation – the quality & quantity of promo presentation, execution / quantity of promo presentation, execution / merchandising.merchandising.

Advantages of Personal SellingAdvantages of Personal Selling

– Facilitate two-way interactionFacilitate two-way interaction– Tailoring the message.Tailoring the message.– Fewer distractionsFewer distractions– Involvement in the decision process – Involvement in the decision process –

consultative selling.consultative selling.– Source of research info. – Firm’s eyes & ears.Source of research info. – Firm’s eyes & ears.

Disadvantages of Personal SellingDisadvantages of Personal Selling

• Inconsistent messagesInconsistent messages

• Sales / marketing conflicts (corp. Politics)Sales / marketing conflicts (corp. Politics)

• High costHigh cost

• Poor reachPoor reach

• Potential ethical problems SR’s do Potential ethical problems SR’s do anything to get the sale.anything to get the sale.

Relationship MarketingRelationship Marketing

• An organization’s effort to develop a long An organization’s effort to develop a long term, cost-effective link with customers term, cost-effective link with customers

• For mutual benefit.For mutual benefit.

Purchase decisions Purchase decisions

are not always are not always rationally based.rationally based.

personal selling

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