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Ch. 13 Initiating The Sale
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The 7 Steps of a Sale Approaching the Customer – Greet customer face-to-face Determining Needs – Learn what customer is looking for Presenting the Product – Educate customer about the product
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The Steps of a Sale (Cont.)
Overcoming Objections Learn why customer is reluctant to buy Provide info to remove uncertainty Help customer make satisfying buying decision Closing the Sale – Get customer’s agreement to buy
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The Steps of a Sale (Cont.)
Suggestion Selling – Suggest that the customer buy additional merchandise or services Relationship Building – Create ways to maintain contact after purchase
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Relationship Building
Remembering the 7 Steps Approach Customer Needs Determined Product Presentation Objections Handling Closing the Sale Suggestion Selling Relationship Building
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Approaching the Customer
First face-to-face contact Critical first few minutes Sets mood for the sale Approach has 3 purposes: Begin conversation Establish relationship Focus on the product
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Approaching the Customer (Cont.)
Begin Conversation Be alert to customer’s interest B2B: Doing homework/research Retail: Be observant from moment the customer enters store
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Approaching the Customer (Cont.)
Establish relationship Treat customer as individual Be alert to customer’s buying style (methodical/quick) Be enthusiastic, be courteous, maintain eye contact
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The Approach in B2B Sales
Arrive early to appointment Introduce yourself (firm handshake and smile) Use customer’s name Comment on something that matters to get the customer’s attention (Save money, increase sales…)
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3 Approaches in Retail Selling
Service Approach Method Greeting Approach Method Merchandise Approach Method Each is detailed on the next 3 slides…
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3 Approaches in Retail Selling
Service Approach Method Salesperson asks customer if they need assistance “May I help you?” Only effective if customer is in a hurry or if you are simply an order taker for routine purchases In all other cases, this method is ineffective
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3 Approaches in Retail Selling
Greeting Approach Method Salesperson simply welcomes customer to store “Good Morning!” After greeting, pause for a few seconds (many customers will feel obligated to respond) This approach begins conversation, and establishes positive rapport
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3 Approaches in Retail Selling
Merchandise Approach Method Salesperson comments or asks question about product that customer is looking at. Then make a statement about product’s features/benefits Notice their interests Usually the most effective approach - it focuses attention on merchandise
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Chapter 13 Continued … Determining Needs
13.2 Step 2 of Sales Process: Determining Needs What is basis to determine needs When determine needs How to determine needs
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What is basis of determining needs
Directly related to buying motives Motives affect outcome Uncover reasons for wanting to buy
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…Outcome When customer needs are satisfied:
The business benefits The customer benefits The salesperson benefits Goals of selling and business are achieved
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When to Determine Needs
Salespeople should determine customer needs as soon as possible If you don’t determine needs, you could miss the sale Woman buying a tennis racquet Salesperson: “That racquet is perfect for you!” Woman: It’s for my 9 year-old daughter Needs and Motives tell you which products/features to focus on
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Retail vs. B2B Needs Determination
In Retail Selling, determine needs immediately after the Approach In B2B Selling, needs can be determined during the Preapproach In Both—continue to determine needs all throughout sales process
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How to Determine Needs 3 methods to help determine customer needs:
Observing Listening Questioning
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Observing When observing, look for: Nonverbal Communications - Body language (examples: facial expressions, hand motions, eye movement) Shows mood and interest Other Details - How long customer looks at or holds product The key to observing is: proper selection of facts!
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Listening Listen to what customer is actually saying – Helps you pick up clues to the customer’s needs To develop good listening skills, you must learn how to listen to and understand others…
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Listening… Applying active listening to the sales process:
Maintain good eye contact Provide verbal and nonverbal feedback Give customer your undivided attention Listen with empathy and an open mind Do not interrupt
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Questioning In order to listen to customers, you must get them talking
How? Ask questions (uncover needs/ buying motives, put customer at ease) To begin, ask questions about intended use or prior experience with product Build your questions around words like: who, what, when, where, how, and why
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Do’s and Don’ts of Questioning
Ask open-ended questions to encourage customers to talk (require more than a yes or no answer) Do ask clarifying questions to make sure you understand customer’s needs DON’T: Ask too many questions in a row Ask questions that might embarrass or put them on the defensive. (“How much do you want to spend?”)
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Step 3 of the Sales Process: Presenting the Product
Chapter 14.1… Step 3 of the Sales Process: Presenting the Product
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Presenting – Show and Tell
During this step, salespeople show/tell about product Based on buying motives, display products that match needs you uncover – consultative selling Goal: match customer’s needs with appropriate product features/benefits
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Show and Tell: What Product(s) to Show
Selection of product(s) is critical to “Product Presentation” Needs-based - Intended use Select a few items that match criteria
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Show and Tell: What Price Range to Offer
If you don’t know customer’s price range, or Don’t have enough info Begin with medium range product Move up/down price based on feedback
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Show and Tell: How Many Product(s)
Don’t overwhelm customer Show no more than 3 at a time If want to see more, put away some products
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Show and Tell: What to Say
Point out features and benefits Use features benefits chart Match buying motives Use descriptive adjectives and action verbs Avoid words like nice, fine, cool B2B vs. Retail: B2B – can use jargon – technical or industry-specific terms Retail – use layman’s terms – words typical customer can understand
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Making the Presentation Come Alive
Four Techniques: Displaying and handling the product Demonstrating product Using sales aids Involving customer
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Presentation Technique: Displaying and Handling
Creative display/handling is 1st step in an eye-catching presentation The way you handle a product presents an image of its quality Handle it with respect, and use hand gestures to show certain features
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Opening Question How might you display and handle the following products:
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Presentation Technique: Demonstrating
Show how to use product Builds customer confidence What to show: How to use it Prove selling points
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Presentation Technique: Sales Aids
When impractical to demonstrate product Examples: Samples, reprints of magazine and newspaper articles, audio/visual aids, models, photographs, drawings, graphs, charts, spec-sheets, customer testimonials & warranty information Particularly important in B2B (e.g., PowerPoint or video)
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Presentation Technique: Involve the Customer
Get customer physically involved ASAP Appeal to customer’s senses (“try it on”) If customer is involved -> More intelligent buying decision If lose customer’s attention, regain it: Ask a question: “Now that you’ve seen the features, what do you think…”
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DOs & DON’Ts of the Sales Approach in Other Cultures
Gift Giving France – No wine, but a French gift Japan – gift from the US (brand name, wrapped) Mexico – No yellow flowers Belgium – No white mums Greeting & Handshake Arab & S. America - Light & long handshake US, Poland & Hungary – Firm and short handshake Japan – One handshake with a slight bow Singapore – Palm slide and bow Appointments France – Never before 10 am Spain – Not during siesta time Germany & Japan – Be on time US – Power breakfasts OK
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