1. Source: National FFA Career Development Events Handbook Georgia FFA Association Career Development Events Handbook Presented by: Forrest Stegelin Extension Agribusiness Economist and UGA professor teaching “Selling in Agribusiness” (students make sales presentations) and “Food and Fiber Marketing” (students develop and present marketing plans) in Dept. of Agricultural & Applied Economics, and who has judged both events at state and national conferences. Agricultural Sales CDE

2. Event format consists of 4 parts: team sales situation; written test; sales call; and sales situation. Team sales situation (200 points) to demonstrate group dynamics, problem solving, data analysis, decision making and oral and written communications skills. Determine potential customer needs and wants; Identify features and benefits of the products to address customers’ needs and wants; Identify potential customer objections and prepare to address them; Identify potentially related products (competition) and suggested selling strategies; Develop a sales plan and goals for each customer.

3. Scoring Criteria for Team Sales Situation (200 points): Teamwork Evaluation (50 points), 25% of total score Leadership roles easily perceived Participation by each member of the team Members demonstrated effective listening and communication skills Analysis of the Information (40 points), 20% Clearly identify the product features and the market for the product Provided information and data is analyzed and utilized Demonstrate the use of basic sales skills Quality of the Team’s Solution (70 points), 35% Identify sales goal for each customer and or market segment Identify the key benefits of the product Identify potential customer objections and develop strategies to address those objections Possible solutions are discussed and analyzed Justify decisions Presentation (20 points), 10% Presents team’s solution Overall delivery professional and well thought out Presentation is clear and effective All team members participated Questions Taken From: (20 points), 10% Teamwork evaluation Analysis of information Presentation

4. Individual sales situation (100 points) in 1 of 3 scenarios: Customer Relations Activity Introduction (10 points) Identify yourself Purpose of call Establish rapport Attitude (20 points) Pleasant, friendly, professional, empathetic Information via Customer Interaction (25 points) Probing to determine and clarify the problem; ASK! Develop Solution (30 points) Evidence of product knowledge Overcome customer objections Closing (15 points) Get customer agreement and commitment Review and closure; THANK YOU!

5. Order Taking/Customer Service Introduction (10 points) Identify yourself Establish rapport Attitude (20 points) Pleasant, friendly, professional, empathetic Clarify and confirm the order (30 points) Question the customer for understanding of each key item Confirm availability; be specific about the product Suggestive/consultative selling (25 points) Suggest related or alternative products (not the competition’s) Note items on special offer; suggest substitutes for stock-outs Close the order (15 points) Get commitment by repeating the order Ask for other needs Confirm delivery date, installation, training, etc. as customer service

6. Prospecting for New Customers Introduction (10 points) Identify yourself Build rapport Attitude (20 points) Pleasant, friendly, professional, empathetic Qualify the prospect (25 points) Probe for customer needs Check on ability and willingness to buy Demonstrate good listening skills Provide features, advantages, and benefits (25 points) Describe features and benefits appropriate to the prospect’s needs, using “feature – advantage – benefit” statements Closing (20 points) Ask for a buying decision Review the order or commitment to continue working together

7. Individual activity of objective written test (100 points, 25 questions at 4 points apiece): Designed to evaluate individual participant’s knowledge of basic sales skills True/false, multiple choice, essay, and short answer questions may be utilized Questions from references listed in National FFA Career Development Events Handbook for Agricultural Sales CDE

8. Individual activity of a sales call (100 points), including product summary sheet: Pre-call Planning (15 points) Anticipating customer needs (prospecting and profiling) Product knowledge (uses, features, advantages, benefits) Approaching the Customer (10 points) First impression; create customer attention Establish rapport Determining Customer’s Wants, Needs, and Problems (15 points) Probe by asking leading questions Demonstrate good listening skills Demonstration (20 points) Product features, advantages, and benefits relevant to customer’s needs and problems Allow customer to participate Customer Objections (20 points) Identify and handle customer resistance and objections Closure (20 points) Confirm customer interest; use trial closes; recognize opportunities Ask for a buying decision, and get commitment to work together post-sale

9. And now, the rest of the story: Complete the “Ag Sales” product summary sheet provided, with details. “The participant will select an agricultural product representing one of the seven instructional areas: (1) agricultural mechanics; (2) agricultural production; (3) agricultural products and processing; (4) agricultural supplies and services; (5) forestry; (6) natural resources and rural recreation; or (7) ornamental horticulture.” Why do people buy? Almost always want a product they need, but may not need many products they only want – focus on needs (and problems). Sale will occur only when fulfillment of needs provides customer with more than cost of buying the product – value. As much as 90% of buying decision is based on emotional rather than logical reasoning – let customer see themselves using item. Abraham Maslow’s Hierarchy of Human Needs

10. 3 types of buyers: Relationship buyer characteristics: trust is paramount (may not compare price if trust rep); like full-service packages; chatty Economic buyer characteristics: cheapest or most competitive price (or lowest cost of service) is key; no time for conversation; competitive and quick to react; self-reliant; pragmatic Business buyer characteristics: bottom-line results (not what it costs, but what it does or produces) is key; brief and to the point; facts and research; appointments; seeks expertise; comparison shopper; considers the “value package” How do people buy? Buying decision process: need recognition, information search, examine alternatives, choose, and post-purchase evaluation – same process even if different types of buyers Technology adoption: innovators, early adopters, early majority, late majority, laggards Learn who decision maker is for this decision (gate-keepers run interference), as well as power and influence of opinion leaders Remember, people buy “expected benefits” – not things.

11. Customers buy value. How an individual defines value determines what the individual values Understand past experiences, current situation, and expectations – value is an interactive experience, a perceived worth to customer Selling is solving people’s problems and addressing their needs Perceived value is increased by quality (positioning in the mind); sources are economic benefits, functional benefits, and psychological benefits to the customer Value as business results: increased revenues, decreased costs, enhanced relationship, reduced complexity, increased returns Situation analysis – SWOT (strengths, weaknesses, opportunities, threats) Segment, target, and focus (determining differential advantage) Customers for life Prospecting methods (cold calls, leads, segment-specific)

12. The call plan. Probable needs of account – expertise, product solutions, service, relationship support Personal characteristics – where they are in their unique decision process, impulse buying or analysis, sources of information Competitor stacking – other businesses used, others actively selling to them, your differential advantage, relationship support Opening the call successfully: Create a positive impression Meet basic expectation of any consumer relationship Meet “cultural norms” of business or person to whom you are selling Meet the customer’s personal behavioral “norms” Get prospect’s attention Arouse their interest in your product or service Build rapport (find a topic of common interest – a toehold) Bridge to a discussion of needs

13. Make a smooth transition. When customer says what they are looking for, great! Ask and listen to understand specifics, other considerations, budget, timeframe. When the customer says they’re shopping around, ask what they’ve been looking for and why. Listen before selling. When the customer says they’re “always looking just to see what’s new”, learn what part of their operation they want to improve, or if there’s something specific they’d like to see or learn more about. Again, listen before selling. When the customer says they’re not in the market right now, ask about current products or services and suppliers; look for opportunities to support their management decisions Sales call openers: standard approach and direct approach. Probing using productive questioning. Open questions Closed questions Clarifying questions Confirming questions

14. Building a question flow: Explore situation Uncover any problems or opportunities Investigate implications of those problems/opportunities Develop a “need payoff” – what it would be worth to solve the problem (with agreement) Productive listening – listening for facts, listening for feelings, and watching for non-verbal cues. Presenting value. Features are facts; advantages explains how solution will fit into business; benefits explain why that fit is a good one (problems solved, needs met, opportunities uncovered) Features – advantages – benefits statement: Because of (feature), you will be able to (advantage), which means (benefit). Sell the total product

15. Process of presenting. Confirm primary needs of customer and current satisfaction level Ask for any additional information Offer more than one alternative – a choice between solutions Fully develop benefits and results for the chosen alternative Dealing with resistance. Active resistance takes form of objections (valid reasons not to buy, at least in the mind of the customer). Objections often presented as negative reaction. 3 common reasons for objections: misunderstanding; misinformation; or lack of information. Excuses often sound like objections, but less based on any benefit you have presented and more based on some other circumstance; excuses are smoke screens designed to hide the real reason for not buying – not the final decision maker; not enough money, not enough management skill to implement changes or solutions. Questions are not objections or resistance.

16. 4 types of stated objections: I don’t need your product. I guess I need it, but not now. I don’t want it. I can’t afford it. Best practices for handling objections. Listen; restate; ask for more information; handle when arise. Specific techniques for handling objections. “Feel, felt, found” – I understand how you feel, other customers felt the same way until they tried (product) and found it easier to use and more profitable in the long run. The objection behind the objection – “let off steam” or “echo” Turn the objection into a selling point (pre-empt the objection) Counter with a question Agree when appropriate, and deny objection when appropriate

17. Closing the sale means asking for a commitment from the customer (to buy, to talk again, to keep in contact, to continue to work together); every call should have a close. Trial close usually takes form of a question in the subjunctive mood (how would you, rather than how will you) Ask for general agreement Ask how the product/service would be used Ask for information that helps the customer “imagine” the sale Techniques to close: The direct close – simply ask the customer for their business. The summary close – works well for complex problems or solutions. The choice close – a small, easy choice, but not between buying and not buying. The assume close – routine (begin planning); command (state customer’s need for the product forcefully); dramatized (paint a positive picture of the future solution); and action (say nothing; finalize paperwork for their signature) The special features close – add something extra (small discount, extra service, trinket) Reinforce customer’s choice.

18. Thank you for your time and attention. Are there any questions or comments? stegelin@uga.edu