Copyright © 2006 Thomson Delmar Learning All Rights Reserved Selling Hospitality Chapter 8 Phase Two— Approaching the Buyer
Copyright © 2006 Thomson Delmar Learning All Rights Reserved The Buying/Selling Process The Pre-Negotiation Process Phase 1—Pre-Negotiation Strategy –Understanding Negotiations –Prospecting –Pre-call Preparation Phase 2—Negotiation Process Strategy –Approaching the Buyer (Chapter 8) –Investigating Needs (Chapter 9) –Demonstrating Capability (Chapter 10) –Negotiating Concerns (Chapter 11) –Gaining Commitment (Chapter 12)
Copyright © 2006 Thomson Delmar Learning All Rights Reserved Evolving Customer Status Converting –suspects (or leads) into –prospects into –customers
Copyright © 2006 Thomson Delmar Learning All Rights Reserved Salespeople Must Be Highly Selective in How They Use Their Time Evolving Buyer Status Probability of Becoming a Customer Type of Communication Lead Generation Suspects 10% to 29% 30% to 49% Basic direct mail 1.Customized direct mail 2.Proposals to RFPs 3.Telephone Sales CallProspects50% to 69%1st Personal sales call
Copyright © 2006 Thomson Delmar Learning All Rights Reserved Use Time Wisely Stop calling on people who are not likely to evolve to profitable customers.
Copyright © 2006 Thomson Delmar Learning All Rights Reserved A Qualified Prospect A qualified prospect has the –authority to purchase or can influence the purchase. –means or ability to purchase. –need to purchase. –interest in purchasing the product or service.
Copyright © 2006 Thomson Delmar Learning All Rights Reserved Multicall Sales Session 1 st appointment—Establish rapport; investigate needs 2 nd appointment—Demonstrate capability
Copyright © 2006 Thomson Delmar Learning All Rights Reserved Multicall Sales Session 1 st appointment—Establish rapport; investigate needs –50% to 69% probability 2 nd appointment—Demonstrate capability –reserve for 70% to 89% probability
Copyright © 2006 Thomson Delmar Learning All Rights Reserved Gaining a Face-to-Face Appointment by Phone Direct mail, with telephone follow-up Introduction –identification –lead-in follow-up to direct mail a third party reference a statement of a known problem in prospect’s industry the inactive account approach—“we haven’t heard from you in awhile” –interest-capturing statement –stating the purpose of the call and asking for an appointment –handling objections or resistance over the phone
Copyright © 2006 Thomson Delmar Learning All Rights Reserved Leaving a Message on Voic Use pleasant voice—smile when speaking. Use a referral’s name if possible. Give a sound reason for the person to call back—usually a benefit. Consider setting a date and time at which you will call back.
Copyright © 2006 Thomson Delmar Learning All Rights Reserved Face-to-Face Appointments On-property (your property) — site visit Off-property
Copyright © 2006 Thomson Delmar Learning All Rights Reserved Face-to-Face Appointments 1 st meeting –Establish rapport. –Gain prospect’s attention. –Investigate needs. 2 nd meeting –Demonstrate capabilities. –Gain commitment. Without an effective approach, there may be little chance for advancing the sale.
Copyright © 2006 Thomson Delmar Learning All Rights Reserved Building Rapport According to Manning and Reese (1997) –competence –propriety, politeness –trustworthiness According to Marks (1997) –appearance –greetings –posture –eye contact –etiquette
Copyright © 2006 Thomson Delmar Learning All Rights Reserved Building Rapport Social or small talk –topics –source –how much?