1 Agribusiness Library LESSON: L Selling Agricultural Products and Services

2 Objectives 1.Identify the characteristics of an effective salesperson, and define related terms. 2.Compare and contrast relationship marketing and selling. 3.Describe the customer buying process.

3 Key Terms customer relationship management relationship marketing salesmanship salesperson selling touch point

4 What are the characteristics of an effective salesperson? What are some related terms? Businesses increase revenue when their products or services are traded for money with customers. The sales process closely relates to the marketing efforts, advertising, promotions, and public relations of a business. Marketing, promotions, and more lead customers to the selling process.

5 What are the characteristics of an effective salesperson? What are some related terms? A. The actual process of selling involves a salesperson using problem-solving techniques to find out what a customer needs, providing the customer with applicable choices, and allowing the customer to choose the best option for his or her situation.

6 What are the characteristics of an effective salesperson? What are some related terms? B. A salesperson is someone who works for the business and assists customers in finding what they need or want. An effective salesperson is able to describe product features, demonstrate how products or services work, and show customers the available product options.

7 What are the characteristics of an effective salesperson? What are some related terms? 1. In addition to selling, most salespeople are required to: a.Receive payments b.Give change and receipts c.Bag purchases d.Handle returns e.Stock shelves f.Mark price tags g.Take inventory h.Prepare displays i.Clean the store

8 What are the characteristics of an effective salesperson? What are some related terms? 2. Salespeople are required to continually learn and understand product changes, promotions, and sales. 3. In some sales jobs, salespeople are required to have special knowledge or skills. This is true of jobs that deal with expensive or complex items. Seed and agricultural equipment salespeople must learn how the products will react in a variety of conditions.

9 What are the characteristics of an effective salesperson? What are some related terms? 4. Employers stress that salespeople must provide courteous and efficient service to customers to create a positive experience and to build a long- term relationship. Important traits include: a. Enjoy working with others b. Using tact and patience with difficult customers and situations. c. Communicate clearly and effectively d. Have the ability to speak multiple languages

10 What are the characteristics of an effective salesperson? What are some related terms? 5. Salesmanship is the practice of learning about and satisfying customer needs. Salesmanship involves being efficient, fair, and sincere and is meant to create or maintain a long-term relationship with the customer.

11 In what ways are relationship marketing and the traditional sales process similar? How are they different? It costs up to five times more for a business to attract new customers than it does to retain existing customers. Because of the cost of attracting new business, there is a high value in building strong relationships with customers throughout the selling process so they become repeat customers.

12 In what ways are relationship marketing and the traditional sales process similar? How are they different? A. Relationship marketing is the most popular way to build a business of long-term customers through sales. Relationship marketing includes the marketing and selling activities that build and manage solid, trusting relationships with customers.

13 In what ways are relationship marketing and the traditional sales process similar? How are they different? 1. This type of marketing generally is aimed at larger customers that the company needs to maintain as repeat customers. 2. Usually one person in the business is assigned to each of the major customers. This person may have many businesses with which to work, but the salesperson is able to fulfill each customer’s needs and stay up on the customer’s activities. 3. As in the traditional selling process, the customer ultimately pays the business for the exchange of a product or a service.

14 In what ways are relationship marketing and the traditional sales process similar? How are they different? 4. Unlike the selling process, relationship marketing attempts to create a more meaningful and rich contact with the customer over many touch points. a. A touch point is an interface the customer has with a company before, during, and after a sale. b. Touch points can include receiving or hearing advertisements, browsing in the store, viewing the company Web site, receiving a call from a company representative, experiencing a purchase, and receiving a post-sale follow up from the company.

15 In what ways are relationship marketing and the traditional sales process similar? How are they different? 5.Relationship marketing is very important when the company’s competition offers similar alternative products or services. The customer often chooses which product to buy based on if he or she likes the company.

16 In what ways are relationship marketing and the traditional sales process similar? How are they different? 6. Components of effective relationship marketing include the salesperson: a. Listening carefully to the needs of the customer b. Being honest with the customer c. Caring about the customer as a person, as well as the business he represents or need he has as an individual d. Avoiding the use of pressure e. Being friendly f. Reacting quickly to customer needs g. Offering products and services for a good price h. Maintaining regular contact with the customer

17 In what ways are relationship marketing and the traditional sales process similar? How are they different? B. Technology is available to help maintain and manage customer relationships in a relationship marketing environment. Customer relationship management (CRM ) is the method a business uses to store, track, and organize its contacts with current and prospective customers.

18 What decisions do customers make in the buying process? Businesses often focus on how to sell the products or services they have instead of putting themselves in their customers’ shoes and evaluating how the customers will make decisions regarding the purchase of the company’s offerings. The customer’s decision to purchase a product represents a process.

19 What decisions do customers make in the buying process? The process to buy may happen almost instantly, or it may take several weeks or months of research and evaluation. However, making a purchase is not a single event. It is a progression. The five steps in the buying decision process are (1) identify a want/need, (2) research, (3) evaluate options, (4) make a purchase, and (5) evaluate the purchase.

20 What decisions do customers make in the buying process?

21 What decisions do customers make in the buying process? A. Identify a want/need: The decision process always begins when a potential customer realizes that he or she has a need or a want. B. Research: After deciding a need is present, the customer will explore the possibilities. What is available on the market? What features and benefits do they each offer? What do the options cost? What brands/colors/accessories/ etc. are available? Are warranties available?

22 What decisions do customers make in the buying process? C. Evaluate options: After collecting the information about what products and services are available and the variables that make them each unique, the customer refines and evaluates all of the buying criteria. Then the customer narrows the options to a few of the best alternatives. Finally, a decision is reached, and the best option is selected.

23 What decisions do customers make in the buying process? D. Make a purchase: This is the point in the buying process where the customer takes action and makes a purchase.

24 What decisions do customers make in the buying process? E. Evaluate the purchase: After making the purchase, the customer studies the product or service and re-evaluates whether it was the right decision. Is it a good value for the money spent? Does it have all of the features and benefits needed? Is it easy to use?

25 Review Name some important traits of a salesperson. Why does relationship marketing work to increase revenue? List the five steps a consumer makes in the buying process.