Chapter 2The personal selling process

THE PERSONAL SELLING PROCESSCLAUDIO

SALONGA

INTRODUCTION

Personal selling is where businesses use people (the “sales force”) to sell the product after meeting face-to-face with the customer.  The sellers promote the product through their attitude, appearance and specialist product knowledge.  They aim to inform and encourage the customer to buy, or at least try the product.

8 STEPS OF THE SALES PROCESS Prospecting Preapproach Approach Need assessment Presentation Meeting objections Gaining commitment Follow-up

PROSPECTING

It is the method or system by which salespeople learn the names of people who need the product and can afford it.

2 STEPS IN PROSPECTING:1. Generating leads2. Qualifying leads

IDENTIFYING LEADS

Referrals from customers Referrals from internal company sources Referrals from external referral agencies Published directories Networking by the salesperson Cold canvassing

QUALIFYING LEADS

The customer has a need for the products which are being sold

The customer can afford to buy the products

The customer is receptive to being called upon by the salesperson

PREAPPROACH

The preapproach step includes all the information-gathering activities which salespeople perform to learn relevant facts about the prospects and their needs and situation.

CUSTOMER RESEARCH

The sales rep should learn everything possible about the business of the prospective client. A few examples would be:

1. It’s size2. Purchasing practices.3. Name of executives4. Those who affects the buying decision

PLANNING THE SALES PRESENTATION

Planning the sales presentation is the analysis and the interpretation of all the data gathered during the customer research. Sales reps usually take a few calls in order to close a sale, but planning it creates an effective strategy. This is also called adaptive selling.

THE APPROACH

Once the sales rep has the name of a prospect and adequate preapproach information, the next step is the actual approach. It is important to make an appointment to see the buyer. This increases the chances that the salesperson will have the buyer’s attention during the meeting.

NEED ASSESSMENT

Companies and consumers purchase products and services to satisfy needs or to solve problems. In a business situation, the company’s purchases are always related to the need to improve performance. The important points a salesperson must achieve would be to discover, clarify, and understand a buyer’s needs.

SITUATIONAL QUESTIONS

Give an example of a situational question and win a prize! :)

These are questions which ask for factual information about the buyer’s current situation. Salespeople ask these questions to get ideas about how the customers might be able to use their products.

PROBLEM DISCOVERY QUESTIONS

Give an example of a problem discovery question and win a prize! :)

These are questions used to uncover potential problems, difficulties, or dissatisfaction that the customer is experiencing that the salesperson’s products and services can solve.

PROBLEM IMPACT QUESTIONS

Give an example of a problem impact question and win a prize! :)

These are questions about the impact that the buyer’s problem will have on various aspects of their operations. Salespeople ask these questions to make the buyer think about the consequences of not solving the problem.

SOLUTION VALUE QUESTIONS

Give an example of a solution value question and win a prize! :)

These questions ask the value or the importance of a solution to a problem uncovered earlier in the conversation. Salespeople use these to reinforce the importance of the problem and to help the buyer assess the value of a solution.

CONFIRMATORY QUESTIONS

Give an example of a confirmatory question and win a prize! :)

These questions ask for confirmation from buyer that they are interested in hearing about how your products will help them. Salespeople may use confirmatory questions to make the transition into their presentation of their products’ features and benefits.

THE PRESENTATION

This is primarily the discussion of those product and/or service features, advantages, and benefits which the customers have indicated are important to them. Most presentations are done oral; however, they also include written and visual presentations to support the statements done orally.

PRODUCT DEMONSTRATIONS A good sales presentation is built around

a forceful product demonstration. Reps should demonstrate everything possible during the presentation. Today there are numerous softwares which can be used with laptops to make product demonstrations easier.

PREPARED SALES PRESENTATION This is also called a canned sales talk,

meaning that the presentation is not as spontaneous as it would be. As to its efficacy is still debatable, it has several advantages like:

1. It gives salespeople confidence2. It can utilize tested & effective sales

techniques3. It gives some assurance that everything

will be discussed4. It greatly simplifies sales training

DEVELOPING EFFECTIVE SALES PRESENTATIONS

Keep the presentation simple Talk the prospect’s language Stress the application of the product or

service to the prospect’s situation Seek credibility at every turn

MEETING OBJECTIONS

Objections are encountered in practically every presentation. They should be welcomed because they indicate that the prospect has some interest in the proposition. There are several techniques that should be used in responding to a buyer objection.

LISTEN!

"Effective questioning brings insight, which fuels curiosity, which cultivates wisdom."— Chip Bell

It is important that you listen actively. Do not assume that you know what the buyer is going to say. Encourage the buyer to talk. This helps to get the objection out in the open.

CLARIFY!

“Clarity is the counterbalance of profound thoughts.” — Luc de Clapiers, Marquis De Vauvenargues

Repeat and clarify the objection by asking for more information. The buyer may confirm that you are correct in your understanding or provide additional information. Sometimes this step can uncover a misunderstanding that the buyer has about your product and/or services

RESPECT!

“When people do not respect us we are sharply offended; yet in his private heart no man much respects himself.” — Mark Twain

Acknowledge that you understand and appreciate the concerns. Remember that the buyer is not attacking you personally, so you should not become defensive.

RESPOND!

“Sometimes it's just harder to remind yourself about what you're doing and why you're doing it. Other times, you have a great desire for it, but physically you're not responding the way you want. That presents other challenges. Then sometimes it all comes together.” — Andre Agassi

It is important that you respond to the buyer’s concern. The specific response to the objection depends on the type of objection it is.

TYPES OF OBJECTIONS

Price or value objections Product or service objections Procrastinating objections Hidden objections

GAINING COMMITMENT

At some point after the salesperson has convinced they buyer that his or her products at least warrant further attention, the salesperson must ask the buyer to commit to some action which moves you further toward the sale.

FOLLOW-UP

Reps must learn that the sale is not over when they get the order. Good sales reps follow up in various ways. They make certain that they have answered all the buyer’s questions and that the buyer understands the details of the contract.

THE END