Obtaining Commitment Some questions answered in this chapter are: How much emphasis should be placed on closing the sale? Why is obtaining the commitment important? When is the best time to obtain commitment? Which methods of securing commitment are appropriate for developing partnerships? How should pricing be presented? What should a salesperson do when the prospect says yes? When the prospect says no? What causes difficulties in obtaining commitment, and how can these issues be overcome? Page 304 12-1 McGraw-Hill/Irwin

Obtaining Commitment Today Buyers want to buy, not be sold. Reliance on closing techniques may reduce the chance of making a sale. No commitment, no sale. Relationship commitment vs. single sale. Page 306 12-2 McGraw-Hill/Irwin

Obtaining Commitment Today (continued) Part of the process Salespeople actually gain commitment repeatedly Important in moving the account through the relationship process The importance of securing commitment Tells the salesperson what to do next Defines the status of the client Time to make a sale Customer realization of benefits Company good will and profit Financial rewards for the salesperson Page 306, 307 12-3 McGraw-Hill/Irwin

Financial Terms and Conditions Discounts Quantity discounts Credit terms Cash discounts for early payment Shipping costs Free on board (FOB) FOB destination FOB shipping FOB installed Pages 307-310 12-4 McGraw-Hill/Irwin

Financial Terms and Conditions (continued) Presenting price Usually discussed at the end Price is carefully set after studying: The competitor’s offerings The value delivered by the product or service The cost of providing the product or service Present with confidence Not the focus of the presentation Page 310 12-5 McGraw-Hill/Irwin

When to Attempt to Obtain Commitment Buyer comments Buyer questions Requirements Benefit statements Responses to trial closes Nonverbal cues Facial expressions Actions Requirements are conditions that have to be met before a purchase can take place. Pages 310-313 12-6 McGraw-Hill/Irwin

How to Successfully Obtain Commitment Maintain a positive attitude Let the customer set the pace Be assertive, not aggressive Sell the right item in the right amounts Pages 313-315 12-7 McGraw-Hill/Irwin

How to Successfully Obtain Commitment Look Lean Lower Ask Shut up Pages 313-315 12-8 McGraw-Hill/Irwin

How Aggressive, Submissive, and Assertive Salespeople Handle Sales Activities Page 315 12-9 McGraw-Hill/Irwin

Effective Methods The salesperson’s purpose is to sell the right product in the right amounts. The seller should sell in a fashion consistent with the way the buyer prefers to buy. Buyers need a choice. Pages 315, 316 12-10 McGraw-Hill/Irwin

Effective Methods (continued) Direct request Simply ask for it Benefit summary Reminds the buyer of the agreed-on benefits of the proposal Balance sheet method List pros and cons Probing method Initially uses another method Uses a series of probing questions Consider cultural differences Pages 316-319 12-11 McGraw-Hill/Irwin

Effective Methods (continued) Alternative choice Limit choices Other methods Many methods tend to be ineffective with sophisticated customers The buyer must trust the salesperson, the company, and the product Page 319 12-12 McGraw-Hill/Irwin

Some Traditional Closing Methods and tacky Minor-point close Continuous yes close Assumptive close Standing-room only close Benefit-in-reverse close Emotional close Page 320 12-13 McGraw-Hill/Irwin

If Commitment is Obtained No surprises Go over all important information Confirm the customer’s choice Assure customers they have made an intelligent choice Get the signature Make the actual signing an easy, routine procedure Fill out the order blank accurately and promptly Be careful not to exhibit any excess eagerness or excitement at signing time Pages 320, 321 12-14 McGraw-Hill/Irwin

If Commitment is Obtained (continued) Show appreciation Thank-you letter Small gift Genuine but not effusive Cultivate for future calls How the salesperson treats the customer is the biggest determinant of future sales Review the actions to be taken Avoid misunderstandings Be sure the buyer gets what they were promised Page 321, 322 12-15 McGraw-Hill/Irwin

If Commitment is Not Obtained Some reasons for lost opportunities Wrong attitudes Poor presentation Poor habits and skills Discovering the cause Critical so that salespeople can proceed intelligently to eliminate the barriers Pages 322-324 12-16 McGraw-Hill/Irwin

If Commitment is Not Obtained (continued) Suggestions for dealing with rejection Maintain the proper perspective Recommend other sources Good manners are important Pages 324, 325 12-17 McGraw-Hill/Irwin

Bringing the Interview to a Close Most sales take several calls to complete Leave with a clear plan for all parties Review what you will do next What the customer will do next When you will meet again Follow-up promptly with a thank-you and reminder note Pages 325, 326 12-18 McGraw-Hill/Irwin

Commitments should result in a win-win situation for all parties. Summary Commitment cannot be obtained by some magical or miraculous technique if the salesperson has failed to prepare the prospect to make this decision throughout the presentation. Commitments should result in a win-win situation for all parties. Pricing is an important element of any sale and is usually presented at the time of closing. There is no one “right” time to obtain commitment. Page 326 12-19 McGraw-Hill/Irwin

Summary (continued) To successfully obtain commitment, the salesperson needs to: Maintain a positive attitude Allow the customer to set the pace Be assertive rather than aggressive Sell the right item in the right amounts No one method of obtaining commitment works best for all buyers. If commitment was obtained, the salesperson should immediately assure the buyer that the choice was judicious. If commitment was not obtained, the salesperson should analyze the reasons. Pages 326 12-20 McGraw-Hill/Irwin