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Sales Management: Shaping Future Sales Leaders

The Selling Process

The Selling Process : 8 Steps


Post Sales Feedback Call Prospecting

Closing

Qualifying & Preparing

Objection Handling

Approaching

Product Presentation

Probing, Need Identification

Prospecting
Prospecting
involves identifying potential customers for a particular product or service
Not an easy job Can take longer Frustrating May face rejection

Prospecting
Successful salespeople develop a strategy that involves an organized and active system to generate sales leads and qualify potential buyers. Networking an active process of acquiring new contacts and cultivating existing ones.

3 Step strategy
Define Target Market Generate Sales Lead Qualify Prospect

Identifying Prospects
Sources
Present Customer
Former Customers Cold Calling (knocking the door) Spotters (sales trainee, internship) Directories & Mailing List
(telephone, trade associations, professional associations)

Referrals (satisfied customers, center of influence, endless


chain

Personal Contacts
Trade Shows Direct Mailing

Sales Lead
Lead Management
Program to generate better leads and more prospect information Telemarketing and direct mail to generate sales lead

20% of all sales lead and inquiries through advertising, promotion, trade shows & direct mail will result in sales with in six months.

Qualifying Prospects
Avoid selling to people who can not make a buying decision
MAN MAD Approach Money Does potential homeowner have enough money to buy a new house or department manager has enough budget for new office furniture. Authority Has authority to buy Need or Desire Does the prospect want or need the good or service

Preparing
Pre-Approach - the salesperson tries to gather additional
information about the prospect & his/her needs

Who is the customer


Who is actual purchase decision maker Who can influence the decision Who is responsible for using good or service With whom the salesperson must maintain a continuing favorable relationship.

Preparing
Pre-Approach - the salesperson tries to gather additional
information about the prospect & his/her needs

Who is the customer


W/S Retail selling One or two decision makers Medicines/Medical Equipment Purchase Committee Industrial Selling Different Persons/Departments Gatekeepers are helpful - secretaries, admin assistants & receptionists Economic Buyers CEOs, Users & Technical Personnel

Preparing
The salesperson tries to gather as many additional information about the prospect, as he can Personal Information Required Family background, hobbies, membership of clubs & professional organizations, credit rating, product line, industry reputation Some companies have developed standard questionnaire to compile relevant information about the customers

Call Planning
Specifying the objectives
Salesperson MUST establish objective of the call Why am I going on this interview ? What am I trying to make happen ?

What am I going to recommend ? (if customer agrees)


Developing Strategy salesperson MUST develop a strategy or plan of actions to achieve his sales objectives

Make an appointment
The most professional way

Call Planning
Other planning preparation requires knowledge
Product
Company Industry Competition Prices

SMART objectives
Specific
Sets a clear direction, where you want to go

Measurable
compare your achievement versus planned

Achievable (yet challenging)


Keeps you motivated, you can do it

Realistic
Makes you confident, you have some basis, grounds

Time bound
Makes you organized, disciplined, you have to finish the task/job with in time limit

Approach

Approach:
salesperson asks buyer for meeting

Presentation

First Impression

First Impression
Wear neat clean, conservative clothes
Be clean and carefully groomed Know the prospects name and pronounce it correctly Be alert and pleasant Let the prospect offer to shake hands Forget about your self and concentrate on the prospect Avoid smoking or chewing gum Switch off your mobile

Probing
To identify need - Ask questions
Open ended questions
Reflective question Directive/Leading Close ended questions

Probing
Open ended questions
Tell me what you had in your mind Will you please tell me a little bit about your investment portfolio What type of car do you want?

Directive/Leading questions
Designed to point the prospect towards area of agreement

Close ended questions


Put pressure on the prospect to make a decision

Presentation
salesperson describes the product and how it meets buyers needs. Applies feature benefit strategy FEATURE CHARACTERISTIC OF A PRODUCT Provides/demonstrates evidence BENEFIT NEED SATISFACTION CUSTOMER GETS Gets agreement

Presentation
Presentation:

salesperson describes the product and how it meets buyers needs

Feature

Evidence

Benefit

Agreement

Presentation

What is required to make an

effective presentation?

Presentation
Knowledge
- Company - Customer

- Industry
- Products (Product expert) - Competition - Prices
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Presentation Techniques
During presentation - Eye contact - Sales story - Visual aid - Samples

- Examples
- Guarantees - Testimonials (Reports from satisfied customers)

- Demonstration (check the product)

Presentation
During presentation - Body language - Third party reference - Ask questions

- Listen carefully

Buying Signal
VERBAL - Price, availability, delivery schedule NON VERBAL - Facial expressions, physical action, gesture

- Positive actions- Moving forward, nodding head up & down, open handed gestures, friendly gesture
- Arms crossed over the body, movement away from the salesperson ?

Handling Objections
Sales resistance Actions or statement by a prospect, customer, that postpone, hinder or prevent the completion of a sales

Reasons a buyer offers to not buy your product

Outward expressions of prospect, customers doubts or negative feeling about a sales proposal or product

Handling Objections
Objections
Reasons a buyer offers to not buy your product Helpful to identify customers need Can occur at any time Salesperson should find out root of concern and resolve it

Type of Objections
Timing
- Your proposal is ok but I have to discuss it with my partner, give me some time
- (SR should mention the advantages of the decision right now)

Price (Prospects Financial Constrains)


- I think I can get a better deal elsewhere or X company is offering more economical price
- (additional benefits, durability, longer warranty, after sales service, convenience of repair)

Type of Objections
Source
- Your company salesperson misled me about your products performance record or I have heard that your company has a poor delivery record
- (SR should not be defensive or argumentative)

Competition
- I am doing business with abc company for many years and I like Saleem who has done good job for us. Why should I change?
- (ask questions, identify any dissatisfaction with supplier, emphasis competitive edge, guaranty warranty period, after sales service )

Handling Objections
Steps, Techniques, Methods
Keep yourself cool Listen carefully & show patience Dont interrupt Ask questions Use boomerang technique

Handling Objections
Respond to the objections
Use yes & but technique Boomerang method
(I cant afford insurance policy)

Comparison method Compensation method Case history method

Customer Objection - Reasons


Why ?
Poor sales presentation Lack of knowledge

Customer need, not addressed


Needs more information Previous experience

Salesmans appearance

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Handling Objections
Confirm your response Prospect stats objection

Respond to the objection

Listen carefully

Ask question
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Closing the Sale


Close
When salesperson asks buyer for the order/business
well planned and structured closing techniques move the prospect into making a decision after he convinced that he wants and needs the product When to close Buying signals

Closing Techniques
Direct Close
(Need identified, benefits thoroughly explained and asking for decision)

Trial order close How does this sound or In


your opinion

Special offer (gift) close


Alternative proposal close Assumption close Prospect will make a
commitment

Action close SR take an action which will


consummate the sale

Closing Techniques
One more yes close
(SR restates the benefits & asks for order)

Balance sheet close


(SR & prospect list the reason for acting now against delaying)

Implementation/Follow-Up
Follow-Up
After delivery, ensure that the customer has good experience with product

Training, service, after sales service contract, annual maintenance contract, policies and procedures
Helps to build long term relations

To remove any post purchase doubt

Implementation/Follow-Up
Customer Relations
Handle complaints promptly & pleasantly Maintain contact with customers Keep serving the customer Show appreciation

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Implementation/Follow-Up
Self Analysis
Were the planned sales objectives achieved? What could I have done better? What did I learn from this call that will contribute to my future success?

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The Selling Process : 8 Steps


Post Sales Feedback Call Prospecting

Closing

Qualifying & Preparing

Objection Handling

Approaching

Product Presentation

Probing, Need Identification

THANKS

Selling Approaches
Transactional

Finish sale as quickly and as easily as possible Key to success is making as many calls as possible to as many people as possible Based on the friendship between the salesperson and the individual buyer Identify and solve a clients problems

Affiliative

Problem Solving Also called needs-satisfaction selling or or Consultative problem/solution selling

Enterprise

Business-to-business (B2B) concept Based on not only person-to-person relationships but on company-to-company relationships

Sales Management (Mkt 403)


Quiz - 1 Field sales manager Rehan Nawaz knows that one of his salesperson has serious personal problem which has distracted the individual from selling. The poor sales performance may prevent the sales team to achieve its goals for the quarter. This, in turn, may result in the loss of the yearend bonus for the entire sales team . What should Rehan do?