Contemporary Selling 2016 Final Exam Dr. Carlos Valdez Integrated Business Program College of Business Administration University of Central Florida

Outline Module 1 Module 2 Module 3 Sales Math Sales tools

Module 1: Introduction to Sales How Consumers and Companies buy products Sales Fundamentals The Power of your process The ultimate customer-engagement model

How consumers buys products/services Grewal and Levy (2014)

How companies buys products/services Grewal and Levy (2014)

The power of your process: Sales stages Presale activities Make a list about your prospect Test your product knowledge Create a written call strategy Practice your call Customer engagement Create connection Identify and prioritize customer issues Create credibility Solve the problem Gain commitment Post-sale activities Make a list of implementation steps Create a process for customer-service contact and resolution Create a feedback questionnaire

The Ultimate Customer-Engagement model 1. Create a genuine connection My why story A 90 second to 2.5 minutes story introducing yourself. 2. Discuss problems/issues (consultative quantifying) The 4 I’s Identify, Impact, Invasiveness, Iceberg 3. Share a company story The company WHY story Shows why your company does what it does ( belief, how and what you do) 4. Solve the problem 5. Overcome the objections 6. Ask: What do you want to do?

Module 2: The B2C sales process Targeting high potential customers The customer acquisition Customer service and improving the relationship

Targeting High potential customers Building Customer Loyalty Identifying your best customers Value pyramid, 80/20, Customer lifetime value, RFM Leveraging your best customer Retaining, customer behavior, platinum question Instituting Customer Loyalty Loyalty stages, Action plan (6 steps)

Customer acquisition Set business goals Entice customers SMART goals, determining leads and future sales, KPI for web, social, search and email Entice customers Key demographics, Content, SEO, keywords Convert prospects in qualified leads Compelling offer, CTA, Landing Page and database

Customer acquisition Digital Marketing Strategy Website, SEO, Search, social, Video, Email and Display Paid, owned and earned

Customer Service Fundamentals The value of outstanding customer service Customer service vision Building rapport In person, by the phone and email Solving problems Ownership Measuring your success Performance metrics, perception metrics and outcome metrics

Module 3: The B2B sales process Sales Skills How to communicate and influence others Strong presentations and good negotiations Social selling

Sales Skills The 8 steps of the sales process

How to communicate and influence others The 18 methods of influence

Making great sales presentations Connecting with the audience Mannerisms Appearance

Public speaking fundamentals Preparing your speech Warming up Opening Delivering Closing

Negotiation fundamentals Framing Anchoring

Social selling Up and running with social selling 6 ideas to improve your LinkedIn profile Up and running with LinkedIn Sales Navigator What is LinkedIn Sales Navigator?

Sales Math Gross profit margin Profit Cost per Acquisition Basic Customer Lifetime Value formula Retention

Gross profit margin Formula= sales price – cost of good Sales price Calculate the gross profit margin for the following smart phones sold at a local store. iPhone, sales price $600 and cost of good $200. Samsung Galaxy price $590 and cost of good $160

Profit Sales or revenue Revenue-costs= Profit If in the month of March, they sold 6 iPhones and 5 Samsung Galaxy in which type of phone they made more profits?

Cost per Acquisition Formula= Average revenue per customer = yearly revenue/yearly customer count What was the average revenue per customer for the month of March? And if you going to assign 10% of the average revenue per customer for covering the cost per acquisition, then how much money can you assign to bring one customer?

Basic Customer Lifetime Value Formula CLV = m * L – AC m= contribution margin generated from a customer in a year L= expected purchasing life of a customer AC= up-front cost of acquiring a customer Calculate the CLV for a high-end customer that will stay for three years with a contribution margin of $500 per year. Use the same acquisition cost calculated on the previous problem.

Retention Churn rate= percentage of existing customers who stop purchasing your product, often measured in a year. What is the retention rate and churn rate for the business if in the month of April, 7 March customers return to the store to buy a product or service?

Answers GPM: iPhone: 67% and Samsung 73% Profit: iPhone $2,400 and Samsung $2,150 Revenue per customer: $595 and CPA:$59.54 CLV: $1,440.46 Retention rate: 64% and Churn rate:36%

Tools Social Explorer Simply Map Google Adwords Mailchimp Qualtrics LinkedIn LinkedIn social Navigator Salesforce.com

Thank You Q&A