1. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill Chapter 7 Planning The Sales Call Is A Must!

2. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill The Consultative Selling— Customer Relationship Model 7-1 Customer strategic needs Customer strategic needs Salesperson’s creative solutions Salesperson’s creative solutions Mutual beneficial agreements Mutual beneficial agreements Long-term relationships Long-term relationships Performance Goals Costs Productivity Sales Profits Performance Goals Costs Productivity Sales Profits

3. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill Steps in the Preapproach: Planning the Sale 7-2 Determine sales call objective Determine sales call objective Develop customer profile Develop customer profile Develop customer benefits Develop customer benefits Develop sales presentation Develop sales presentation

4. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill Information Used in Profile and Planning Customer Profile and Planning Sheet 1.Name: Address: 2.Type of business: Name of buyer: 3.People who influence buying decision or aid in using or selling our product: 4.Buying hours and best time to see buyer: 5.Receptionist’s name: 6.Buyer’s profile: 7.Buyer’s personality style: 8.Sales call objectives: 9.What are customer’s important buying needs: 7-3A

5. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill Information Used in Profile and Planning 10.Sales presentation: a. Sales approach: b. Features, advantages, benefits: c.Method of demonstrating FAB: d.How to relate benefits to customer’s needs: e.Trial close to use: f.Anticipated objections: g.Trial close to use: h.How to close this customer: i.Hard or soft close: 11.Sales made—product use/promotional plan agreed on: 12.Post sales call comments (reason did/did not buy; what to do on next call; follow-up promised): 7-3B

6. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill Examples of Topics Contained in the Marketing Plan Segment of a Sales Presentation 7-4A Advertising  Geographical National Regional Local Co-op  Type Television Radio Direct-mail Internet Sales Promotion  Contests  Coupons  Demonstrations  Samples  Sweepstakes  POP displays Sales force  Working with their salespeople Trade Shows Resellers

7. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill Examples of Topics Contained in the Marketing Plan Segment of a Sales Presentation 7-4B Availability Delivery Guarantee Installation  Who does it?  When?  How? Maintenance/service Training on use Warranty End-Users

8. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill Examples of Topics Contained in the Business Proposition Segment of a Sales Presentation Resellers List price Shipping costs Discounts  Cash  Consumer  Quantity  Trade  Financing Payment plans Interest rate Markup Profit 7-5 End-Users List price Shipping Costs Discounts  Cash  Quantity Financing  Payment plans  Interest rates ROI Value analysis

9. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill Major Phases in a Presentation: A Sequence of Events to Complete in Developing a Sales Presentation 7-6A Rapport-building Uncover needs Attention, interest, transition Features Advantages Benefits How to resell (for reseller) How to use (for consumers and industrial user) 1. Approach 2. Fully discuss your product 2. Fully discuss your product 3. Present your marketing plan 3. Present your marketing plan

10. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill Major Phases in a Presentation: A Sequence of Events to Complete in Developing a Sales Presentation 7-6B What’s in it for your customers? Recommend what to buy in order to fill their needs uncovered in the presentation Ask for the business! Do not give up! Act as a professional Leave the door open 4. Explain your business proposition 5.Suggested purchase order 6. Close 7. Exit

11. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill The Prospect’s Five Mental Steps in Buying 7-7 Attention Interest Desire Conviction Purchase

12. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill The Selling Process and Examples of Prospect’s Thoughts and Questions 7-8A Steps in the Selling Process 1. Prospecting Salesperson locates and qualifies prospects 2.Preapproach Salesperson determines sales call objective, develops cus- tomer profile, customer benefit program, and selling strategies. Customer’s needs are determined. Prospect’s Mental Steps Prospect’s Potential Verbal and Mental Questions

13. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill The Selling Process and Examples of Prospect’s Thoughts and Questions 7-8B Steps in the Selling Process 3.Approach Salesperson obtains interview, meets prospect, and begins individualized sales presentation. Needs are further uncovered. Prospect’s Mental Steps Attention due to arousal of potential need or problem. Interest due to recognized need or problem and the desire to fulfill the need or solve the problem. Prospect’s Potential Verbal and Mental Questions Should I see salesperson? Should I continue to listen, interact, devote much time to a salesperson? What’s in it for me?

14. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill The Selling Process and Examples of Prospect’s Thoughts and Questions 7-8C Steps in the Selling Process 4. Presentation Salesperson relates product benefits to needs, using demonstration, dramatizations, visuals, and proof statements. Prospect’s Mental Steps Interest in information that provides knowledge and influences perceptions and attitude. Desire begins to develop based on information eval- uation of product features, advantages, and benefits. This is due to forming posi- tive attitudes that product may fulfill need or solve problem. Positive attitudes brought about by knowledge obtained from presentation. Prospect’s Potential Verbal and Mental Questions Is the salesperson prepared? Are my needs understood? Is the seller interested in my needs? Should I continue to listen and interact? So what? (to statements about features) Prove it! (to statements about advantages) Are the benefits of this product the best to fulfill my needs?

15. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill The Selling Process and Examples of Prospect’s Thoughts and Questions 7-8D Steps in the Selling Process 5.Trial close Salesperson asks prospect’s opinion on benefits during and after presentation. 6. Objections Salesperson uncovers objections. Prospect’s Mental Steps Desire continues based on information evaluation. Prospect’s Potential Verbal and Mental Questions Do I understand the salesperson’s marketing plan and business proposition? I need more information to make a decision. Can you meet my conditions?

16. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill The Selling Process and Examples of Prospect’s Thoughts and Questions 7-8E Steps in the Selling Process 7. Meet Objections Salesperson satisfactorily answers objections. Prospect’s Mental Steps Desire begins to be transformed into belief. Conviction established due to belief the product and salesperson can solve needs or problems better than competitive products. Appears ready to buy. Prospect’s Potential Verbal and Mental Questions Let me see the reaction when I give the salesperson a hard time. I have a minor/major objection to what you are saying. Is something nonverbal being communicated? Did I get a reasonable answer to my objection?

17. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill The Selling Process and Examples of Prospect’s Thoughts and Questions 7-8F Steps in the Selling Process 8. Trial Close Salesperson uses another trial close to see if objections have been overcome; or if presentation went smoothly before the close, to determine if the prospect is ready to buy. Prospect’s Mental Steps Conviction becomes stronger. Prospect’s Potential Verbal and Mental Questions Can I believe and trust this person? Should I reveal my real concerns?

18. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill The Selling Process and Examples of Prospect’s Thoughts and Questions 7-8G Steps in the Selling Process 9. Close Salesperson has determined prospect is ready to buy and now asks for the order. Prospect’s Mental Steps Action (purchase) occurs based on positive beliefs that the product will fulfill needs or solve problems. Prospect’s Potential Verbal and Mental Questions I am asked to make a buying decision now. If I buy and I am dissatisfied, what can I do? Will I receive after-the-sale service as promised? What are my expectations toward this purchase? Why don’t you ask me to buy? Ask one more time and I’ll buy.

19. © McGraw-Hill Companies, Inc., 2000Irwin/McGraw-Hill The Selling Process and Examples of Prospect’s Thoughts and Questions 7-8H Steps in the Selling Process 10. Follow-Up Salesperson provides customer service after the sale. Prospect’s Mental Steps Satisfaction—Dissatisfaction Prospect’s Potential Verbal and Mental Questions Did the product meet my expectations? Am I experiencing dissonance? How is the service associated with this product? Should I buy again from this salesperson?