SPIN SELLING Fieldbook

by : Nirbhik Jangid

About AuthorNeil Rackham is a speaker and writer on sales and marketing. Three of his books have been on the New York Times best seller list and his works have been translated into over 50 languages.

He is an entrepreneur. He owns Huthwaite International, an international research and consulting firm, and became Chairman

Introduction

• The SPIN Selling Fieldbook shows you how to actually put into practice the proven tools and techniques outlined in that cutting-edge guide.

• He shows you how to apply the tools and techniques to your own selling situation, using practical, skill-building exercises incorporated into each chapter. Addressing the sales of services as well as capital goods.

• Fieldbook provides you with a hands-on implementation guide for applying SPIN in a wide range of businesses from localized companies to large multinationals.

SPIN Selling Model

S - Situation Questions

Background creation

P - Problem Questions

About Difficulties / Dissatisfaction

I - Implied Needs

Problem that Product can solve

N - Need Pay off

Show how you can meet implied needs

SPIN

Situation

Problem

Implication

Need

Pay off

The 4 Stages of a Sales Call -

• The Investigating is the most important stage of a sales call – This is where successful sellers invest most of their efforts

• A poor Investigating stage will greatly compromise the call’s outcome

Opening InvestigatingDemonstrating

Capability

Obtaining

Commitment

Opening

Investigating

• Getting Started

• Preliminaries

• Purpose of the call

• Positioning yourself to ask questions

• Permission to continue

• Asking Questions

• Effective deployment of the SPIN™ Model

• Understanding the buyer’s needs and concerns

• The development of Implied Needs to Explicit Needs

Demonstrating Capability

Obtaining Commitment

• Showing how can you help

• Presentation and/or Demonstration of the solution by describing Features, Advantages and Benefits

• Main source of objections in complex sales

• Gaining agreement to the next step

• Obtaining Commitment requires 3 steps :

1. Check that key concerns are resolved

2. Summarize benefits

3. Propose a realistic commitment

Questions, Questions, All Kinds of Questions

Questions are the most effective form of verbal behaviour you can use to persuade and that’s not just in selling.

• Closed Questions can be answered with a single word, often “yes” or “no.”

• Open Questions require longer, more descriptive answers, often taking the form of “Could you tell me something about?” or “Why is that important to you?”

“Open Questions” are better for selling than “Closed Questions.”

The Objectives and Value of the SPIN

Questions Situation Questions:• Collect facts and background data about the customer’s existing situation

that is relevant to your products and services.

• While these questions are easy to ask, they bring little value to the buyer and can certainly aggravate him if too many of these questions are asked.

• A good knowledge of the customer’s industry and/or the information provided by an internal or external contact can help planning the call in a way to reduce the number of Situation Questions required.

• The most effective Situation Questions are targeted toward customer problems.

Problems Questions:

• These questions probe for problems, difficulties or dissatisfactions. They prompt the buyer to state needs to which we can provide solutions.

• These questions have a lot of value to the customer because of the latter's interest to resolve its problems.

• It is essential to effectively plan these questions ahead of time, otherwise the sales call will most likely remain in the Situation Questions stage.

• The best way to plan problems questions is to previously set a minimum of three potential customer problems on a form and then planning examples of questions that will be used to highlight these issues.

Implications Questions:

• Discover the implications of customer problems related to our business solutions.

• These questions are very valuable because they develop the Implied Need toward other potential problems.

• The Implications Questions are particularly efficient in a complex sales approach.

• These questions, much more difficult to ask, requires careful planning because of their importance in the development of Implied Needs to Explicit Needs.

• Implications Questions must be planned by thinking of the possible impacts associated to the customer’s potential problems.

• To begin your planning on the problems possible impacts, use the following model:

• B.O.T.C.H.

B - Bottlenecks/ Backlogs

O - Other People Affected

T - Time Lost/ Wasted/ Needed

C - Costs Associated

H - Hassles

Implications Questions:

Need-Payoff Questions:

• Need-Payoff Questions are intended to develop the buyer’s desire for a solution to their problems.

• When the Need-Payoff Questions are asked too early in the sales call, the customer is naturally suspicious.

• Need-Payoff Questions, certainly the most difficult to ask effectively, should start from the Implied Needs to develop toward Explicit Needs.

• Effective Need-Payoff Questions will engage the buyer to openly talk about the benefits of solving their problems.

Need-Payoff Questions:

•Only when the buyer recognizes the severity of the problems and the urgency to find a solution to them, it makes sense to ask Need-Payoff Questions.

•It is easier to ask these questions by adopting the ICE method.

I.C.E

•Ask closed questions to IDENTIFY the Explicit Need

•Ask open and closed questions to CLARIFY the Explicit Needs and the expected Benefits

•Ask open and closed questions to further EXPAND on the long-term Benefits of a solution for the customer`s business environment

Demonstrating Capability

The 3 Ways to Demonstrate/Present a Solution

Features

•Demo/ Presentation of the features, price, accessories.

•Low impact in the customer’s buying experience

Advantages

•Demo / Presentation of the advantages linked to the features

•Sufficient impact in a simple/transactional sales call

Benefits

•Demo/ Presentation of the solution in response to the customer’s explicit needs

•High impact in the customer’s buying experience during complex/consultative sales call

Demonstrating Capability

Buyer’s reactions:

• Features

Objections related to the cost of the product/service.

• Advantages

Objections related to the value of the advantages mentioned.

• Benefits

Buyer’s agreement because it meets with his expectations.

Obtaining Commitment

The Call’s Outcomes in a Simple Sale:

2 Possible Outcomes

• Win the Sale

• Loose the Sale

*The objective is to win the sale.

Obtaining Commitment

The Call’s Outcomes in a Complex Sale:

2 other Outcomes:

• Advance - The buyer accepts to move to the next step

• Continuation - The discussion continues, but no action is agreed upon

*The objective is to obtain an Advance.

[Four Outcomes]

Order (Win) Order (Win)

Advances

No Sale (Loss) Continuation

No- Sale(Loss)

S

U

C

C

E

S

S

F

A

I

L

U

R

E

Simple Sales (Smaller) Complex Sales (Larger)

• Commitment to buy

• Agreement on an action

that moves that moves the

sale forward

• Discussion continues without

agreement on action

• Refusal to buy

Call Outcomes:

Obtaining Commitment

Thank You.

You would love this.

•Profitability and Financial Health of a Company

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