4.03 A Pre-sales activities to facilitate sales presentations
Define the following terms: prospect, prospecting, lead, referral, endless chain, center of influence, bird dogs, cold calls
Prospect – a potential customer Prospecting – looking for potential
customers Lead – someone interested in your
product(s), synonym for “prospect”
Terms to Know
Define Cont.
Referral- a customer referred by another
Endless chain- one customer refers another who refers another who refers another…
Center of influence - a person recommending you to your target market. Usually this person has a lot of influence over the people that you want to meet.
Bird dogs – point out the buying customers
Cold calls – contacting leads that have not expressed any interest in your products
Prospecting
Sources of prospects Employer’s customer list Customer contacts with the company
▪ Online, Walk-ins, telephone calls, written letters, etc.
Purchased customer listsWhich salespeople should prospect
All sales people who must grow sales How prospecting can help salespeople
Increase contacts and sales
ProspectingDescribe methods of prospecting.
Endless chain:This method is most effective in development of prospects of intangibles like investments and insurance. (Referrals)
Personal Observation Method:Prospects are everywhere. (also called eyes and ears method)
Prospecting
Prospecting Methods continued Cold Canvas/Calling Method:
Calling in person door to
door or from a list without an appointment
Direct Mail and Telephone Method
Sending a direct mail flyer or phoning from a list
ProspectingProspecting Methods continued
Center of Influence Method: Asking a dominant member of a
group to use or endorse your products
Bird-dog Method: ‘Bird dog’ is the nick-name given to
those persons who visit houses at a definite interval. (paper delivery, UPS or FedEx delivery person) They can provide demographic information to sales people.http://www.preservearticles.com/201103164570/8-useful-methods-of-prospecting-used-by-successful-salesmens.html
Prospecting Tips
How to construct a prospect list Keep track of contacts, build a database
How to use a prospect list Assign proper salesperson to make
contact
Importance of maintaining accurate prospect lists
Increase odds of completing a sale, decrease chances of annoying potential customers
Prospect on a regular basis to replace lost customers.
Qualifying a lead
Why salespeople need to qualify their prospects To know what products the customer is interested in buying To identify potential products
Reasons that some salespeople fail to qualify prospects Takes time and research
Criteria prospects need to meet in order to be qualified Interest in the product, means and willingness to buy, has
the authority to buy Good credit rating
How to qualify prospects prior to meeting with them Look at previous orders, read notes on prior contacts, send
information forms that the customer fills out
Qualifying a lead
How to qualify a prospect’s need for a product Research and/or ask questions
How to qualify a prospect’s means and willingness to buy a product
Meet with the salesperson Discuss timing of the sale, where are they in making a
buying decision
How to qualify a prospect’s authority to buy a product
Ask assumptive questions, “At what level will the decision to buy our product be made?”
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