Presentation on theme: "Promoting & Selling Your business. Objectives of the workshop Establish if your business has a Marketing culture Highlight the central role of customers."— Presentation transcript:
Promoting & Selling Your business
Objectives of the workshop Establish if your business has a Marketing culture Highlight the central role of customers to your business. Examine ways to promote your business Examine ways of improving your selling skills
Introduction to Marketing Section 1.
What does the term Marketing mean to you?
What is Marketing? Marketing is … a business philosophy which puts the customer at the centre of all your companys activities
A customer is the most important visitor to our premises. He is not dependent on us; we are dependent on him. He is not an interruption to our work; he is the purpose for it. He is not an outsider to our business; he is part of it. We are not doing him a favour by serving him,he is doing us a favour by giving us an opportunity to do so. Mahatma Gandhi once said…
The Marketing Mix Marketing Information Marketin g Planning Marketin g Activity Marketin g Control Target Customers Produc t Price Promotio n (Inc Sales) Plac e The External Environm ent 5 th `P` For People
Remember? Marketing is more than …. Advertising Selling Designing websites Sending out brochures Giving Christmas calendars to customers
A simple definition: Marketing is satisfying your customers needs more effectively than your competitors while still making a profit
So who are your customer?
Who are your customers? Your Customers are those groups you serve that have needs which you can satisfy
Exercise 1. Who are your customers? Take a few minutes to list all the customer groups serviced by your business?
Craft Sector Example General Public Tourists Direct Sales to other independent shops Retail craft / giftware chains groups Customers at exhibitions & craft fairs Web customers Interior designers Specialist Commissions e.g. Wedding invitations Agents / wholesalers
Do you monitor customer performance Do you know who your largest and smallest customers are? Do you know who your most and/or least profitable customers are? Do you know what products they buy and why? Do you know why they dont buy all the products and services you provide? Are you too dependent on one key customer?
The life-time value of a customer? Calculate average daily sale / customer £3.50 By the number of sales each year £21.00/ week X 48 Weeks = £1,008/Yr By number of years you keep the customer Say 20 years x £1,008 Gross life time sales value per customer £20,160
How to create business growth? Sell more - Existing Products to Existing Customers Sell new - Products to our Existing Customers Find new- Customers for our Existing Products Find new- Customers for New Products
Promotional Activity Section 2.
Your Brand Develop the core values you wish to portray Decide on a budget Ask graphic designers / printers to show you completed works Make decision on price, quality of work and personality Once you have a Corporate Identity / Logo make sure you keep it consistent
What is Promotion? Any form of communication used by business to send messages to existing or potential customers
Why promote your business? To create Awareness for your product / service Gain the Interest from the target audience Sell benefits that satisfy their needs so that they Decide to buy your products / service Encourage Action, invite participation or encourage them to make a decision
Promotion Successful promotion depends on Planning and Preparation
Stages in developing a Promotional Plan AudienceWho are you promoting to? ObjectiveWhat is it you want to achieve? Tools &Which promotional tools should you use Budgetand how much will they cost? Monitor &Are your achieving what you wanted to Evaluateachieve?
Who are your Audiences? Have you segmented your markets? What customers are you targeting? Where are they located? Do they know you exist? If so, what do they think of you? If they dont, how can you create awareness with them?
Setting Clear Objectives These could be, to: Move your audience along the buying process: Change perceptions of your business/company Build customer loyalty Stimulate demand Increase your distribution and sales Launch a new product / service
Promotional Tools Four main types Advertising: any paid for form of non-personal promotion of goods and services by an identified sponsor Sales Promotion : short term incentives to encourage purchase of product / service Public Relations : activities designed to improve, maintain or protect a company or product image Personal Selling : oral presentations with one or more prospective purchasers for the purpose of making a sale
Exercise 2 List 10 different promotional tools which might be of use to your business?
Promotional Tools Advertising Sales Promotion Public Relations Personal Selling Newspaper Magazines TV Radio Billboards Displays Packaging Logos Leaflets POS Discounts Offers Exhibitions Vouchers Competitions Trade-ins Low Interest Rebates Direct Mail Loyalty cards Press release Seminars Sponsorships Community R Charitable £ Speeches Interviews Workshops Sales calls Tele-sales Sampling Exhibitions Incentives
Promotional Tools Target Market Word of mouth recommendations
Word Of Mouth Extremely effective and common source of promotion for businesses Advantages Costs nothing Requires little effort – just satisfy customers Disadvantages You cant control what they say Slow to build Can be very damaging if the customer has had a bad experience
Promotional Tools The Communications mix Advertising Target Market Word of mouth recommendations
Recognised method to raise profile and awareness to a wider audience. Can be expensive and ineffective Key to success lies in: 1. Having a clear message 2. Planning and designing the advert 3. Choosing the right place to advertise Advertising
1. Have a clear message Inform customers of product and service Create awareness for a new business Build the image of a product or business Tell customers about a special event /offer Counteract competitor efforts Reinforce and assure customers they made the right choice
2. Designing the Advert Strong Headline Sell benefits Keep copy short Contact details Branding / logo Note – select the best media for the target audience and get timing right
3. Choose the right media Newspapers Magazines Yellow Pages Local Radio TV Buses Billboards (48 Sheet) Adshels
Promotional Tools Advertising Target Market Word of mouth recommendations Exhibitions
Choosing an exhibition Why are you considering this exhibition? What do you want to achieve? Who else exhibits? Who visits? How much does it cost?
Planning for an exhibition Stand location Stand design Products and brochures Personnel Pre-selling
Exhibitions Key issues to address to be effective: At the exhibition Manning the stand Recording enquiries Qualifying leads After the exhibition Follow-up on leads quickly!
Promotional Tools Advertising Exhibitions Target Market Word of mouth recommendations Direct mail & telesales
Direct Mail Advantages: Clearly targeted at specific prospects. Economical way to target large numbers of prospects but in a personalised way. Hidden from your competitors
Telesales Advantages Instant opportunity to answer questions about your products /service Get the opportunity to speak with right person Cost effective compared to direct sales Measurable results Makes personal visits easier
Direct Mail / Telesales Disadvantages Poorly researched prospect lists and databases provide a poor return. Irrelevant or bland message produces a negative image. Lack of planning for follow-up and fulfillment restricts success Many companies now use telesales approaches, the receiver may put up barrier
Promotional Tools Advertising public relations, corporate events, sponsorship exhibitions Target Market Word of mouth recommendations direct mail & telesales
One of the most under-utilised and cost effective forms of promotion: Public Relations Press Releases Sponsorships / Corporate events Always be aware of potential news stories Make sure the media is relevant to target audience and the story supports your company image. PR/Publicity
A good business story Investment in a refit or expansion New product / service launch Technological developments - R&D Company initiatives – NVQ / ISO Exclusive listings Expansion / Recruitment of new staff
Writing a Press Release What, Who, When, Where and Why What is happening? Who is responsible / attending? When and where is it happening? Why is it happening?
Press Release contd In writing a press release: Be Concise – factual, no waffle Use quotes – from a relevant person adds interest Provide editorial notes i.e. background Provide contact names of 2 people Professional presentation Photographs if possible
Exercise 3 You are organising a charity event, you wish to attract as much coverage as possible Write a short Press Release aimed at the local press
Sponsorships How much has been requested? What return will you get ? Who will be promoting the event? Are the any possible sources of conflict? Make sure these wont impact n you Would supporting them in another way be better for you
Promotional Tools Printed brochures; Advertising Public relations, corporate events, sponsorship Exhibitions Target Market Word of mouth recommendations Direct mail & telesales
Promotional Literature Consider how and when you will use the material. Promote features and benefits Keep literature up-to-date. Ensure consistent branding.
Promotional Tools Printed brochures; Advertising Public relations, corporate events, sponsorship Exhibitions Target Market Word of mouth recommendations Direct mail & telesales Web -
Web Site Consider what you want from a web site Get connected – facilities Publish information on your organisation/ company, its products and services Interaction – sharing information, EDI Transaction - ability to sell online Integration- both parties can access information
Web-Site Just having a web site is not active promotion: Integrate your web site into your overall promotional plans.
Effective Web Marketing Careful selection of metatags Search engine registration Reciprocal links Banner Adverts newsletters Non web based promotion
Promotional Tools Printed brochures; videos; CD roms; multi-media material Advertising Public relations, corporate events, sponsorship Exhibitions Target Market Word of mouth recommendations Direct mail & telesales Web-site Sales Promotion Point of sale
Sales Promotion Seasonal Sales periods Weekly / Monthly special offers Price Promotions Loyalty schemes Gift vouchers / money off coupons In-store demonstrations Competitions POS Window displays
Section 3. Selling and the Sales Process
Sales Planning Grade your existing customers Decide what you want to sell them Develop prospect Lists for new business Plan for Who, When, and Where you are going to make a sales approach Set goals so that you have a target to work towards
Sales Preparation Know you Product Know your Customer Know the Competition Have the right People Develop Sales Support Materials Prepare for the Sales Approach and set objectives
Objectives..why are you there? Typical Objectives: generate sales revenue opportunity to quote product trial Arrange a factory/facility visit awareness building
The Sales Process
Sales Process Opening Probing Supporting Overcoming objections Negotiating Closing a sale
Opening...Agenda Setting First opportunity to take control Demonstrates that: you are organised; you have prepared; you have objectives. Communicates confidence - the buyer is more likely to respect you and listen.
Probing Probing allows you to establish a clear, complete, mutual understanding of the customers needs.
Probing.... Closed probes limit customers response egs: How many representatives do you have? Have you ever? How do you feel about...? Open Probes help you identify / understand customers needs, and increase the chances of the customer offering an opportunity : what, when, how, who, in what way,.... Positioning probes and check questions : Many of our customers have found that...what has been your experience? Softening probes for sensitive areas: Would you mind me asking what.....? Express it positively tell me about the problems...but which areas would you like to improve.
Exercise 4 List 10 questions which may be of use to you with a prospective buyer.
Listening.... Listen actively Acknowledge Allow time and opportunity to speak Dont prompt Dont interrupt Understand context and content
Active Listening.... Listening to understand Listening to win Listening to talk
Supporting.... Use features and benefits to provide information to the customer
Supporting.... The Supporting Process: acknowledge the need describe the relevant features and benefits check for acceptance.
Benefits.... A product benefit can be defined as what the product or service will actually do for the customer In a selling situation it is useful to translate all features into the relevant benefits Never assume that the customer will make the translation from feature to benefit To communicate the benefit simply state the feature and follow it with the benefit Feature.....and that means to you....Benefit
Provide Proof & Build Confidence Core product benefits & list of competitive advantages Brochures and technical details Accreditations Press cuttings Samples
Deal with Objections Be prepared for every objections List all objections in advance Discuss with your colleagues how they address each objection Combine the outcomes to develop a strong response to the objections Write them down and practice
The 3 common objections Im happy with my current supplier! - suggests Loyalty I cant see me needing that! - suggests lack of awareness to the Demand Its too expensive! - Price objections can be a hidden request for more information
Supplier Loyalty Dont undermine their current supplier Move slowly Ask lots of questions Identify a niche to show additional sales opportunities Differentiate your offering Give supportive reasons for changing Suggest a trial order
Absence of Perceived Demand Prepare your argument around wants and needs Prove demand Quote current customer base Obtain an opening through active questions
Price Objection Comparison with other products, differentiate where possible Question the customer on their requirements to show how your additional benefits can satisfy their needs Look at the total product inc order size, terms volume discounts, after sales service, warranties etc
Negotiation Identify all of the potential negotiation points that may arise Set the negotiation limits that apply to each negotiation variable Always pitch your opening stance high: the buyer might agree! it provides a basis for concession from you.
Exercise Take five minutes and consider the answer(s) to this question. What aspects of the product or service that you sell is negotiable?
Negotiation:Concessions A concession from the seller will give the buyer a feeling of power and control Always maximise the sellers concession In order to deliver 4, which is actually below the minimum order quantity of 10, well have to incur double the distribution price per item
Negotiation:Concessions Always minimise the buyers concession: There is no need to offer us a three week lead time on delivery as we carry all lines in stock and call in your area weekly. When a concession is agreed: - clarify and use it as the basis for an attempt at closing: So, if we agree to offer 5% ongoing nett invoice discount youll pay within 30 days of delivery of the goods. It that your understanding? Okay, lets talk about an order
Typical Buyer Negotiation Techniques Give us £5 off per case on the first container load and then well look at a higher price on the second load. The Sellers Option: ask for a commitment for a second order and price; assess the balance of power; sell the advantage of a mid-price and establish this as the on-going price; defuse and wait for a reaction.
Negotiation Resist the option to concede without negotiation: it suggests weakness it suggests that you have more room for concessions.
Negotiation:Summary Identify negotiation points; Calculate your concession range; Pitch high and prepare to negotiate; Maximise sellers concessions; Minimise buyers concessions; Never roll-over.
How To Close... Review previously accepted benefits: let me go over some of the ways we can help you achieve your goals. lets go over what weve talked about so far.. Propose next steps for you and the customer: if youll draw up a purchase order, I can process the order today Id like to arrange for our technical manager to visit your warehouse, to do that Ill need you to fax me the contact names and addresses
How To Close... Check For Acceptance: what do you think? how does that sound? Is that acceptable?
Sales Summary To be successful remember Time is short - so use it effectively Preparation before hand Plan for and set set realistic goals Know your product / service Know the competition Prepare for objections Watch and listen for buying signals to close Leave the door open
To Conclude Know your target audience. Have a well defined promotional objective. Carefully select the most effective mix of promotional tools. Consider your budget. Check results, if not working take corrective action. Use results to assist with future promotional decisions.