Closing Begins the Relationship 13 Chapter Closing Begins the Relationship McGraw-Hill/Irwin Copyright © 2006 by The McGraw-Hill Companies, Inc. All rights reserved.

13 13-3 Chapter

13 Main Topics Chapter The Tree of Business Life: Closing 13-4 Chapter Main Topics The Tree of Business Life: Closing When Should I Pop the Question? Reading Buying Signals What Makes a Good Closer? How Many Times Should You Close? Closing Under Fire Difficulties With Closing Essentials of Closing Sales

13 Main Topics Chapter Prepare Several Closing Techniques 13-5 Chapter Main Topics Prepare Several Closing Techniques Prepare a Multiple-Close Sequence Close Based on the Situation Research Reinforces These Sales Success Strategies Keys to Improved Selling The Business Proposition and the Close Closing Begins the Relationship When You Do Not Make the Sale

The Tree of Business Life: Closing Guided by The Golden Rule: Look for buying signals Be confident in your suggested order Prepare several closes for each call Do not take “No” personally Remember that a successful close begins your relationship You now prove your value with ethical service and your new relationship T T Ethical Service T T T T T T T T Builds T r u e Relationships T C I

When Should I Pop the Question? Closing is the process of helping people make a decision that will benefit them There are no magic phrases and techniques to use in closing a sale Close when the prospect is in the conviction stage of the mental buying process

Before You Close, What Should Be Done? Ask a trial close

Why Ask a Trial Close Before You Close? To determine if the prospect is ready to buy, and To determine if there are: Objections Questions

Let’s Review! When Is It Time to Use a Trial Close?* After making a strong selling point in the presentation After the presentation but before the close After answering an objection Immediately before you move to close the sale

Let’s Review! What Does the Trial Close Allow You to Determine? Whether the prospect likes your product’s FAB – the strong selling point Whether you have successfully answered the objection Whether any objections remain Whether the prospect is ready for you to close the sale

If Objection Arises After the Close* Move into your presentation Close the sale Prospect raises an objection Response to the objection Use a trial close

The Parallel Dimensions of Selling* Discussion Sequence Selling Process Buyer’s Mental Steps Discuss Product Show Feature Explain Advantage Lead into Benefit Let Customer Talk Prospecting Money Authority Desire Preapproach Approach Attention Interest Present Marketing Plan Availability, Delivery, Guarantee, Merchandising, Installation, Maintenance, Promotion, Training, Warranty Presentation Desire Presentation Discuss Product Present Marketing Plan Explain Business Proposition Suggest Purchase Trial Close Conviction Determine Objections Explain Business Prop List Price, Shipping Cost, Discounts, Financing, ROI, Value Analysis Meet Objections Trial Close Action (Purchase) Suggest Purchase Product, Quantity, Features, Delivery, Installation, Price Close Follow-up & Service

Exhibit 13-1: Close When the Prospect is Ready

Reading Buying Signals A buying signal is anything that a prospect says or does to indicate that he is ready to buy Asking questions Asking another person’s opinion Relaxing and becoming friendly Pulling out a purchase order form Carefully examining merchandise

Exhibit 13-2: Answering a Prospect’s Buying Signal Question with a Question

Exhibit 13-3: The Moving Selling Process A positive response to the trial close indicates a move toward the close A negative response means return to your presentation or determine the prospect’s objections

What Makes a Good Closer? Asks for the order and then remains quiet Gets the order and moves on!

How Many Times Should You Close? You must be able to use multiple closes Three closes is a minimum You will learn how without being pushy

Closing Under Fire The first “no” from the prospect isn’t necessarily an absolute refusal to buy

Difficulties With Closing Closing is the easiest part of the presentation Salespeople may fail to close because: They are not confident in their abilities to close They determine that the prospect does not need the quantity or type of merchandise or that the prospect should not buy They may not have worked hard enough to develop a customer profile and customer benefit plan

Essentials of Closing Sales Be sure your prospect understands what you say Always present a complete story to ensure understanding Tailor your close to each prospect Everything you do and say should consider the customer’s point of view Never stop at the first “no” Learn to recognize buying signals

Essentials of Closing Sales, cont… Before you close, attempt a trial close After asking for the order, be silent Set high goals for yourself and develop a personal commitment to reach your goals Develop and maintain a positive, confident, and enthusiastic attitude toward yourself, your products, your prospects, and your close

Exhibit 13-5: Twelve Keys to a Successful Closing

The Last Key to Successful Closing is to “Leave the Door Open The Last Key to Successful Closing is to “Leave the Door Open. Act as a Professional.” How Can That Be Done?* Always place the customer’s needs first Treat a customer as you would your grandmother Be a person of character, integrity, and trustworthy If your product will help the person, then you will be back another day

Exhibit 13-7: Techniques for Closing the Sale: Which Close Should be Used?

Example: The Alternative-Choice Close is an Old Favorite “Would you prefer the Xerox 6200 or 6400 copier?” Study this question – it assumes: The customer has a desire to buy one of the copiers The customer will buy It allows the customer a preference It provides a choice between products, not between a product and nothing By presenting a choice, you receive a “yes” decision or uncover objections

“Would you prefer the Xerox 6200 or 6400 copier?” “I’m not sure,” says the customer (still in the desire stage) Continue with your FABs

“Would you prefer the Xerox 6200 or 6400 copier?” If you see the customer likes both 6200 and 6400 and appears indecisive, you can ask: “Is there something you are unsure of?” This question probes to find out why your prospect is not ready to choose

There are Eleven Closing Techniques in This Chapter, Each:* Is different Can be used with other closing techniques Helps you be a better communicator Helps you better serve others Should be carefully studied

Which Closing Technique Should I Use?* *To answer that question you should first: Determine your approach Create your presentation, then Determine how best to close

Assume You Have Completed Your Presentation and are Getting Ready to Close You remember to use a trial close before you ask the person to buy – if objections or questions arise, what phase of the prospect’s mental steps is the buyer probably in?* (Choose one) Attention Interest Desire Conviction Purchase

The buyer is in the desire stage Assume You Have Completed Your Presentation and are Getting Ready to Close, cont… The buyer is in the desire stage Which stage should the buyer be in before you close?* (Choose One) Attention Interest Desire Conviction Purchase

Assume You Have Completed Your Presentation and are Getting Ready to Close, cont… Ideally, the salesperson should wait for signs that the person is in the conviction stage because a buyer in this stage typically: Has a strong conviction that you can be trusted Feels the product will fulfill needs or solve problems Will reveal real concerns due to trust

If You Close and Receive an Objection, What Should You Do? Find out what the objection is

After You Find Out What the Objection Is and Answer It, What Should You Do Next? Ask a trial close to determine if you have overcome the objection

If You Have Closed, Had an Objection Arise and Effectively Handled the Objection, What Should You Do Next? Close again! This is why you need a multiple-closing sequence

Prepare Several Closing Techniques The alternative-choice close is an old favorite The assumptive close The compliment close inflates the ego The summary-of-benefits close is most popular The continuous-yes close generates positive responses The minor-points close is not threatening The T-account or balance sheet close was Ben Franklin’s favorite

Prepare Several Closing Techniques, cont… The standing-room-only close gets action The probability close The negotiation close The technology close Skip video Video Help

Prepare a Multiple-Close Sequence Different closing techniques work best for certain situations Multiple closes incorporate techniques for overcoming objections

Prepare a Multiple-Close Sequence, cont… By keeping several difficult closes ready in any situation, you are in a better position to close more sales Multiple closes incorporate techniques for overcoming objections Skip video Video Help

Exhibit 13-9a: Multiple Closes Incorporating Techniques for Overcoming Objections

Exhibit 13-9b: Multiple Closes Incorporating Techniques for Overcoming Objections

Close Based on the Situation Different closing techniques work best for certain situations Customer is indecisive Customer is an expert or egotistical Customer is hostile Customer is a friend Customer has predetermined beliefs Customer is greedy, wants a deal

Exhibit 13-10: Examples of Closing Techniques Based on Situations

Research Reinforces These Sales Success Strategies Common salesperson mistakes resulting in unsuccessful sales calls Tells instead of sells, doesn’t ask enough questions Over-controls the call, asks too many closed-end questions Doesn’t respond to customer needs with benefits Doesn’t recognize needs, gives benefits prematurely Doesn’t recognize or handle negative attitudes effectively Makes weak closing statements, doesn’t recognize when or how to close

Keys to Improved Selling Ask questions to gather information and uncover needs Recognize when a customer has a real need and how the benefits of the product or service can satisfy it Establish a balanced dialogue with customers Recognize and handle negative customer attitudes promptly and directly Use a benefit summary and an action plan requiring commitment when closing

The Business Proposition and the Close Use a visual aid to close

When You Do Not Make the Sale Know that you cannot always sell everyone Don’t take buyer’s denial personally Be courteous and cheerful Leave the door open

If After Your Presentation You Received a Positive Response to Your Trial Close, What Would You Do?* Approach Presentation Trial Close Determine Objections Meet Objections Trial Close Close

If After Your Presentation You Received a Negative Response to Your Trial Close, What Would You Do?* Approach Presentation Trial Close Determine Objections Meet Objections Trial Close Close

If After You Meet the Objection You Received a Positive Response to Your Trial Close, What Would You Do?* Approach Presentation Trial Close Determine Objections Meet Objections Trial Close Close Close Close Close Close Close Close Close Close Close Close Close Close Close Close Close

If After You Meet the Objection You Received a Negative Response to Your Trial Close, What Would You Do?* Approach Presentation Trial Close Determine Objections Meet Objections Trial Close Close

If After You Close You Receive a Negative, What Would You Do?* Approach Presentation Trial Close Determine Objections Meet Objections Trial Close Close

Summary of Major Selling Issues Be prepared to logically and clearly respond to your prospect’s objections Basic points to consider in meeting objections Plan for them Anticipate and forestall them Handle them as they arise Listen to what is said Respond warmly and positively Make sure you understand Respond using an effective communication technique

Summary of Major Selling Issues, cont… Objections are classified as hidden, stalling, no-need, money, product, and source Objections help you determine if you are on the right track to uncover prospects’ needs and if they believe your product will fulfill those needs Objections show inadequacies in a salesperson’s presentation or product knowledge Closing is the process of helping people make decisions that will benefit them Constantly look and listen for buying signals from your prospect

Summary of Major Selling Issues, cont… Tailor your close to each prospect’s personality Close in a positive, confident, and enthusiastic manner Plan and rehearse closing techniques A good closer has a strong desire to close each sale Stay cool, determine any objections, try to close again You can’t make a sale until you ask for the order!

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