5.02 Understand retail selling processes in the fashion industry 5.00: Understand the retail selling of fashion. Fashion Merchandising

Essential Questions: What are the steps of the retail sales process? How do the steps of the retail sales process work together for effective selling?

KEY TERMS: Add-ons: Additional merchandise items, such as related items to create complete outfits. Approach: The way salespeople meet and greet retail guests. This includes getting the customers’ attention and recognizing them as important retail guests. Benefit: Favorable outcomes received. Bonding: The process of salespeople doing everything possible to strengthen relationships with customers. Casual Lookers: Classification of customers who are simply browsing or killing time. Client Books: A salesperson’s book of customer’s names, addresses, phone numbers, sizes and important dates. Close (Closing the sale): Getting a commitment from the customer to buy the merchandise.

Key terms Continued: Decided Customers: Customers who know exactly what they want and why, preferring to make their purchase quickly. More-than-one Selling: Suggestion selling of more than one of the same or similar item. Objection: Feelings of concerns or disapproval. Open-ended Questions: Questions that require multiple-word answers rather than merely a yes or no. Pre-selling: Maintaining contacts with previous customers to start the selling steps all over again. Presentation: Presenting the product to the customers. Presenting the features, benefits and solutions. Product Features: Physical characteristics of items.

Key Terms Continued: Responsive Selling: Responding to the customer’s presence rather than going out to find customers. Selling: Determining client needs and wants and responding through planned, personalized communication that influences purchase decisions and enhances future business opportunities. Special Offers: When an additional item can be obtained as a result of purchasing an item. Solution: Answers to problems. Suggestion Selling: Increasing sales by adding to the customer’s original purchases. Trading-up: Obtaining larger sales by selling higher-priced, better-quality merchandise to customers. Trial Confirmation: A salesperson questions to a customer to get an indication of what needs to be done to close the sale. Undecided Customers: Classification of customers that need an item, but see pertinent information about products.

Steps of the Retail Sales Process Approach and greeting Classifying customers Presentation of merchandise Overcoming objections Closing the sale Supplementary suggestions Maintaining relationships

Step One: Approach and Greeting Chapter 18 Step One: Approach and Greeting Salespeople must meet and greet retail “guests” to get the relationship off to a good start Approaching customers includes getting their attention and recognizing them as important The initial hello or personal introduction might be followed by a question or statement that is related to the situation continued

Step One: Approach and Greeting Continued… Chapter 18 Step One: Approach and Greeting Continued… Some retailers suggest giving a compliment or a conversational greeting to the customer Greeting every customer within 30 feet in 30 seconds or less is a policy with some stores The approach and greeting will not make an immediate sale, but it persuades the customer to see and hear more about the merchandise

How To Approach A Customer The Approach Approach – how you initially greet the customer When approaching a customer, you do not want to overwhelm them. Just asking “Hello, how are you?” or “Let me know if I can help with anything,” will lead you into the sale. Bottom line: if you want to stand out in a crowded market where too many people have too many choices of who they do business with, a greeting of “good” trumps the greeting of buy my widget every time. - Bob Phibbs How To Approach A Customer

Step TWO: Classifying Customers Chapter 18 Step TWO: Classifying Customers The greeting might be followed by some key questions that reveal more about the customer’s needs Undecided customers may need an item for personal use or for a gift Decided customers know exactly what they want and why They should be helped right away continued

Step TWO: Classifying Customers Continued… Chapter 18 Step TWO: Classifying Customers Continued… Customers make buying decisions based on conscious reasoning or on feelings or at some midpoint. The salesperson should use open-ended questions which allows the customer to do most of the talking while the salesperson thinks about possible solutions to the customers wants/needs. Open-ended questions: Confirm what the salesperson already knows Draw out new information Learn more about underlying attitudes

Customer Classification Casual lookers – Customers who are simply browsing or killing time. These customers may just want to see what kind of merchandise the store stocks. Being left alone after a cheerful greeting will encourage this type of customer to return in the future. Undecided Customers – Customers that may need any item for personal use or for a gift. They are interested in hearing pertinent information about products and getting ideas. More time might need to be spent with these shoppers. They look closer at details such as labels, care instructions and other printed materials. Salespeople should display patience with these customers. Decided Customers - Customers that know exactly what they want. They should be helped efficiently. They prefer to quickly make their purchases and be on their way. Extra conversation might aggravate these shoppers.

Responsive Selling Responsive selling – Responding to the customer’s presence rather than going out to find customers This is done by salesclerks and sales associates.

Step THREE: Presentation of Merchandise To successfully present merchandise the customer should be actively involved. A salesperson should adjust the presentation according to the customer’s feedback/input. All customer’s needs are different and each sales presentation should be tailored to the individual person. Good presentations include an explanation of product features, or physical characteristics of items Consumers don’t buy products, they buy the benefits and solutions that product features provide A salesperson should present the advantages of goods based on the customer’s needs Involving the customer in the presentation is key. Salespeople may allow the customer to touch or try on the product.

Step FOUR: Overcoming objections Customers who do not buy merchandise immediately after the sales presentation often have spoken or unspoken objections to certain aspects of the products These objections can be logical or psychological. They may relate to the product, price, retail company timing or the salesperson. They may occur at any point during the sales presentation, or they may surface as the salesperson tries to close the sale. Salespeople should use a positive approach when handling objections They should try to seek out hidden objections or ask customers to clarify their objections. They should try to turn the objections into reasons for buying. If not handled well, objections can be stumbling blocks to making sales.

Step five: Closing the sale Closing the sale means getting the customer’s commitment to buy the merchandise Some salespeople dislike this phase of the selling process because they fear rejection A trial confirmation is a technique used to get an indication of how to close the sale Example: A question could be asked to see if the product’s benefits and solutions are understood A customer’s decision about a large purchase might cause a long silence while weighing the pros and cons Longer silences mean the sale is more likely It is more difficult to close the sale when the product is expensive. The salesperson should keep trying to close the sale as long as the concerns expressed can be handled effectively and the customer does not show signs of resentment Pushing the sale after the customer has decided against the product may cause the shopper to never return to the store.

Step Six: Supplementary Suggestions Directing customers to other merchandise, additional services, or other departments or company-owned stores can increase sales Suggestion selling: The method of increasing sales by adding to the customers’ original purchases. It should be done to help customers, rather than to force more sales. Add-ons: Additional related merchandise items that complete outfits. Example: A woman buying a suit might be encouraged to purchase a coordinating scarf or pin. “This necklace goes great with this outfit!” Trading up: Also called upselling, is suggesting a substitute item that is higher-priced, better quality, or more economical. Special offers: When an additional item can be obtained as a result of purchasing an item. “Today if you buy one necklace you can get any other piece of jewelry half-off!” More-than-one selling: Suggestive selling of more than one of the same or similar items. “Different colors to match every outfit!”

Step Seven: maintaining relationships Closing a sale is the beginning of a relationship The salesperson should reinforce the customer’s purchase decision with an approving statement The salesperson should also ask the customer to please return soon Salespeople with high-service retailers keep client books, or important data about customers’ purchases Follow-up is important to ensure customer satisfaction with purchases and repeat business Contacting previous customers when special sales are scheduled or new merchandise arrives is called preselling. Internet retailers maintain relationships with customers via e-mail

Step Seven: Maintaining relationships Continued… To continue strong customer relationships and maintain a loyal clientele, responsive sales professionals do the following: Respond to personal needs of customers, but also honor manufacturers’ warranties Follow through on commitments made to customers Adhere to the company’s return policy while handling customer complaints cheerfully Maintain key information about customers Balance phone queries with in-store customer service Complete special orders Schedule personal appointments with shoppers and select merchandise in advance, if requested.

Steps of the selling process working together Sells people need to understand that there is no, single correct selling process. Each customer and situation will be different and should be tailored to fit that customers’ wants and needs. All the steps should be performed consecutively. Steps should not be skipped, otherwise it can affect the selling process and potential sales/profits.