UNIVERSITI TEKNOLOGI MARA UiTM SEGAMAT DIPLOMA IN BANKING JULY / NOV SEMESTER 2010 MKT 361 PRINCIPLES AND

PRACTICE OF SELLING ASSIGNMENT QUESTION: 7 ELEMENTS IN THE SELLING PROCESS PREPARED BY NAME STUDENT ID H/P GROUP : : : 012: D6D1

PREPARED FOR: PUAN SHAHNIZA BINTI SAHARI FACULTY OF BUSINESS MANAGEMENT UiTM, SEGAMAT, JOHOR

Acknowledgements
First of all, I would like to appreciate and express my special thanks to my lecturer PuanShahniza Sahari who are always gave me update information and guidance in assisting me whenever Im in facing problem in doing this assignment. I would like to thank librarian for letting me borrow some books, for the computer lab in charged for letting me to use computer. I would like to thank to my parents for their financial and never ending support, for the help in our study and for its success. And it would not be successful without God who guides me in my everyday life and activities. For all the people who helped me a lot, thank you very much and may god bless you all.

Table of contents
No 1 2 3 4 5 6 7 8 9 10 Prospecting Pre- approach Approach Presentation Handling Objection Negotiation Closing Sale Executive summary Conclusion References Particulars Page numbers 3 4 5 6 7 8 9 10 11 12

PROSPECTING DEFINITION

Prospecting is a first step in selling process. It is a process to find new customer or potential customer that has qualification criteria established to buy product and services. Prospecting also, who have ; 1) Need or want Example: Dolly needs a washing machine to replace his old damages washing machine. The electrical sales person must access the prospect needs by evaluate the Dollys old washing machine. Dolly tells the salesperson that his old washing machine are Pensonics brand, E551 model and he buy it 3 years ago. He like the function of the machine, but the old washing machine are too noise. This can help the salesperson to recommend the suitable washing machine to the prospect as he wanted for. 2) Authority to buy The salesperson must make sure that the prospect has authority to buy the product. It is easy for the individual buyer. But for organization buyer, the buying decision must have approval from the upper organization to make the decision. So, it is important for the salesperson to call or talk to right person that have the authority to buy or can influence to make buying decision. 3) Money or financial to pay The salesperson must make sure that the prospect have sufficient financial to buy the product or services. It is easy to evaluate the individual client. For example, the electrical salesperson can ask about the prospects occupations. For the organization, the salesperson can make sure it by check the financial with credit rating service. There are a lots of sources of prospects that salesperson can get. 1) 2) 3) 4) 5) Centers of influences, family and members Referrals Cold calls Directories websites

PRE-APPROACH DEFINITION Pre-approach is a second step in the selling process that requires the salespeople to prepare in advance before approaching the prospect. This steps are useable to avoid salesperson from make mistake during sales presentation and can make the sales destroy. When the prospects have been located, the sales person will begin to plan the sales call. There are several reasons why the sales call is important: 1) To builds self-confidence The sales person must plan before approach the prospects. They must prepare how to communicate well with the prospect. Planned well will increase self-confidence and ability of the salesperson. For example: the handsets salesperson must know about all brand, model and function about handset. The knowledge about the handset will build up the salesperson confident. 2) Increase sales When the salespersons are fully prepared, they will be successful then the salesperson that are not well prepared. Planning will make the salesperson are well known about the product or services the he sales and that will make the sales increase. For example: when the computers salesperson complete explain about the computer that the prospect want, it will make the prospect influence to buy it, and that will make the sales increase. 3) Creates professionalism Knowledge about the company and customers need, will build good business relationship. This can do by the salespersons that are following up the customer needs or problems. This is the salesperson professionalism that uses certain criteria to satisfy the certain customers needs. 4) Develops an atmosphere of goodwill The buyer will appreciate the salesperson that are understand their needs, and willing to discuss about the benefit of the products. The salesperson must concern to the needs and interest of the prospect to bring the attitude of goodwill from the prospect. This is important to make the buyers confident to the salesperson. For example: the washing machines salesperson knows what the functions that the buyer wants. So, it will brings a good impression to the buyers that the seller can help them to find a good product.

APPROACH DEFINITION Approach is a third process in selling process. It can be defined when salesperson meet the potential prospect for the first time. This situation can be done when the salesperson make an appointment with the prospect and then set a time to meet each other or by phone call. There are several methods, how to approach the prospects: a) Telephone By using telephone, it is easy to salesperson to make appointment and can reduce time for meet or waiting the prospect. If the prospects are busy, they still can pick up the phone, and the salesperson have chance to introduce themselves and prepare for next meeting. Sometimes, prospects will turn someone down over the telephone and sometimes there are harder to find the right person with whom to talk. b) Personal letter By using letter, the salesperson can include brochures or pamphlet that tells information or benefits about the products. Besides that, using letter can invite the prospect to events of the products by offers gifts to whom that make appointments. c) Cold calls This method involved contacting prospects without appointments. They find the prospects by knock on doors or by using a telephone. At first there are quiet difficult to meet the prospect and need several step before getting to see the actual prospects.

PRESENTATION DEFINITION Presentation is a discussion between the salesperson and the prospects about the product features or benefits that the products can brings to the prospects. Besides that, sales presentation can help the salesperson to indicate or match the prospects requirements and satisfy their needs. They are several types of presentation: 1) Memorized presentation This type of presentation requires the salesperson to memorize and prepared the information about the product to deliver to the prospects. The prospects are more listening than talking during this presentation.

2) Planned (formula) presentation The salesperson is more focus to introduce the products rather to the need of prospects. The salesperson will more planned and have specific planned sales to deliver to the prospects. These salespersons are not suitable for complex buyer behavior.

3) Need satisfaction presentation This type of presentation requires more creativity from the salesperson during handling the presentation. The salesperson must be flexible to bring a good relationship with the prospects.

4) Problems- solution (survey-proposal) presentation The salesperson must indentify the prospects problems and needs trough analysis. The salesperson must try to come with suitable method in handling the prospects problems. For example, through survey or analysis, many people that their age are 50 years above have hair falling problems. So the salesperson will suggest shampoos that can solve the problem, such as Sunsilks hair fall control.

5) Eclectic presentation This type of presentation is flexible because it combined many types of presentation to manage the prospects. It can make the salesperson be more flexible and can reduces the presentation weakness and.

HANDLING OBJECTION DEFINITION Objection can be defined as refusal to accept by the prospect on the some salespersons presentation. When the prospects raise their objection, they actually are showing their interest and asking for more information about the product. But, for the prospects that do not show any respond. It is actually brought a difficult to the salesperson to interpret whether the prospects like the product or not. Categories of objection 1) Hidden objection Hidden objection is when prospects do not show their refusal directly or they refuse by silently. 2) Stalling/ procrastinating objection It happens when the prospects want to postponed the presentation or the sales. For example, the prospects want to buy the product next time. Another situation, is by tell the salesperson that they are busy and tell the sales person to come next day or next week. 3) No-need objection This situation is happens when the prospects tell the salesperson that they do not need and interested with the product. 4) Money/ price objection The prospects make objection because the price of the product. For example the price of your product is too high. Techniques for handling objection: 1) Third party Third party can be use such as person or someone else that is already using the product. These people are use as a testimony to the new prospects for the proof of

the product. For example, showing the prospect about previous customer that using the product, what result they got after using the product. 2) Ask question By asking question to the prospects, it show that the salesperson know about the product well. So it will impress the prospects for gaining information about the product. For example, the salesperson ask the prospects do you know that this product are contains vitamins that can prevent from skins cancer? 3) Boomerang The salesperson must prepare to change the prospects objection into the reason to buy. This can be done by switching the prospect negative perception about the product into positive perception.

NEGOTIATION Definition Negotiation can be defined as the discussion that aims to reaching an agreement between the salesperson and the prospects. This is important to make deal on the business. It is process to settle or find the solution that make people want to buy. Types of buyers concern 1) Concerns related to need for the product Situation where the prospects said they do not need the product. The salesperson can overcome it by tells the prospects about the benefits of the product. 2) Concerns about the products it self This happens when the products are not well known by the prospects and the products are not meeting the prospects requirements or wants. Methods of negotiation buyers concerns 1) Direct denial This method involves belief on the prospects even though they are wrong. The salesperson must provide right information when the prospects are misinformed. For example, when the prospects knows wrong information about the product, the salesperson must tell the prospects in sincere. 2) Demonstration

This happens, when the salesperson knows well about their product and can tell the prospects about the products with confidence. The demonstration are needs to overcomes prospects skepticism and show the proofs to the prospects. For example, automobile salesperson will demonstrate the cars to show the prospects how the cars work. 3) Third- party testimony This method provides a positive perception to the prospects about the products. The prospects will more belief with the product when the third party gives a positives experience after using the products. 4) Trial offer This method gives the prospects to try the products first without making a purchase. For example, the salesperson give the prospects taste the brand new sausages. The prospects can taste it, without need making payment, and if the prospects like, they can buy it.

CLOSING SALE Definition Closing sale is the last elements in selling process. At this stage, the salesperson will help the prospects to get their product that will satisfy their needs and wants. Closing techniques 1) Summary-of-benefits close The Situation, where the salespersons close their sales by tells frequently about the product benefits, and how the product is really valuable to the prospect. For example, with RM45 you can get a set of laptops accessories such as cooler pad, headphone, laptop cleaning screen and card reader. 2) Special concession close This happens, when the salesperson provide special offers to the prospects to encourage them to sign the order. This can encourage prospects to made decision immediately. For example, the salesperson offers the low price for the prospects that agree to sign the offers now. 3) Assumptive close

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This happens when the salesperson assume that the prospects has made decision to buy the products. For example, now how do we go about order. 4) Balance sheet close This situation happens when prospects had problem in making buying decision even though they are given a lots of information. The salesperson will help the prospects by draw a T line on a papers, and list all benefits of the products on the left side and the disadvantages at the another side. This will help the prospects to close-up, either they should buy or not.

EXECUTIVE SUMMARY
The first element in selling process is prospecting. This step requires the salesperson to find the potential customers that are interested to the salesperson product. Pre-approach is a second step in the selling process that requires the salespeople to prepare in advance before approaching the prospect. This steps are useable to avoid salesperson from make mistake during sales presentation and can make the sales destroy. Approach is a third process in selling process. It can be defined when salesperson meet the potential prospect for the first time. This situation can be done when the salesperson make an appointment with the prospect and then set a time to meet each other or by phone call. Next, presentation is a discussion between the salesperson and the prospects about the product features or benefits that the products can brings to the prospects. Besides that, sales presentation can help the salesperson to indicate or match the prospects requirements and satisfy their needs. Another element in selling process is objection to refusal to accept by the prospect on the some salespersons presentation. Next is negotiation. Negotiation is discussion that aims to reaching an agreement between the salesperson and the prospects.

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This is important to make deal on the business. Closing sale is the last elements in selling process. At this stage, the salesperson will help the prospects to get their product that will satisfy their needs and wants.

CONCLUSION
In conclusion all the seven elements in the selling process; prospecting, preapproach, approach, presentation, handling objection, negotiation and closing sale are important to make the selling process successful. The salesperson must, mastering all the elements to bring a good criteria and perception to the prospects during selling process.

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REFERENCES

Selling Today (creating customer value) - 11th edition, by Gerald L. Manning Barry L.Reece Michael Ahearne Sales Management (concepts and cases) 4th edition, by Douglas J.Dalrymple William L.Corn Lecturer Notes http://www.scribd.com/doc/28455387/Personal-Selling-Process http://www.howjsay.com/

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