Chapter 7. Sales Dialogue: Creating and Communicating Value

Exhibit 7.3: Reasons for Using Sales Aids

-Capture prospective buyer's attention. -Generate interest in the recommended solution. -Make presentations more persuasive. -Increase the buyer's participation and involvement. -Provide the opportunity for collaboration and two-way communication. -Add clarity and enhance the prospect's understanding. -Provide supportive evidence and proof to enhance believability. -Augment the prospect's retention of information. -Enhance the professional image of the salesperson and selling organization.

Exhibit 7.5: Guidelines for Product Demonstrations

-Ensure that the appearance of the product is neat and clean. -Check for problem-free operation. -Be confident and able to demonstrate the product skillfully. -Practice using the product prior to the demonstration. -Anticipate problems and have back-up or replacement parts on hand. -Make sure that setup and knockdown are easy and quick.

Exhibit 7.4: Tips for Preparing Visual Materials

-Visual materials should be kept simple. -When possible, use phrases and let the buyer's mind complete the sentences. -Use the same layout and format throughout to tie the presentation together. -Check for typographical and spelling errors. -Use colors sparingly and for functional rather than decorative purposes. -Leave plenty of white space; do not crowd the page. -Each visual should present only one idea. -Target using a maximum of seven words per line and seven lines per visual. -Where possible, use graphics (charts and graphs) rather than tables. -Use bullet points to emphasize key points. -Never read the presentation directly from the visual. -Clearly label each visual with titles and headings to guide the prospective buyer.

7-5c. Electronic Materials

Electronic materials include all sales aids in electronic format. These span individual slides and videos to complete multimedia presentations. As technology continues to develop, more options to use electronic materials become available to salespeople. Salespeople today can customize graphic presentations for each buyer. Customizing and enriching presentations by using electronic multimedia can be done inexpensively and in a fairly short period of time. Microsoft PowerPoint, for example, allows the salesperson to build a complete, high-impact graphic presentation customized for an individual prospect quickly. The use of video has the advantage of both sound and action. These powerful multimedia presentations might include pictures of products, as well as product demonstrations and competitive comparisons. The buyer can be taken on a virtual tour of the selling organization and see the product being produced or simultaneously see and hear a personal message from the president of the selling organization as well as testimonials from satisfied customers. David Frick, President of Success Ventures, talks about the value of electronic sales aids: Leading pharmaceutical companies are using electronic materials in two interesting ways. First, iPad applications (apps) have been developed by some firms to facilitate interaction between sales reps and doctors. The salesperson can use the app to visually illustrate how a drug works in the body and to respond to questions a doctor might have. Second, doctors are very busy and may not have time to interact with a salesperson during an office visit. In these cases, the sales rep can give the physician a card with a URL on it and invite the doctor to view a presentation electronically, engage in an online discussion, or participate in a live electronic presentation at a more convenient time. These and other forms of "e-detailing" are being explored by many pharmaceutical firms.*

7-1. Effective Sales Dialogue

Preparing and completing this phase of the sales process successfully has been compared to doing surgery in that it is complex and requires preparation, knowledge, and skill. Prior to conducting surgery, the doctor has acquired a great deal of relevant information from a variety of sources and developed a comprehensive understanding of the patient's problems and needs. Based on this understanding of the patient's needs, the surgeon utilizes his or her training and skills in combination with an assortment of tools to conduct a surgical procedure unique to the individual patient's needs. Continuing the analogy, up to the point of the presentation in the selling process, the salesperson has been developing his or her knowledge and understanding of the buyer's situation and needs. Now, in the form of an effective presentation, the salesperson presents a solution that is specific and customized to the needs of the buyer, illustrates and demonstrates the benefits of the solution, and confirms the buyer's belief in and desire to obtain the benefits. Good salespeople are very much like good surgeons in that they are serious in what they do and leave nothing to chance. They work with the prospective buyer to identify, diagnose, and clarify unsatisfied needs or problems and then show the buyer how much better the situation would be by purchasing the proposed product or service. As discussed previously, it will normally take several sales calls to complete a sales dialogue. Many firms plan for multiple sales calls in their sales process. For example, salespeople at Northwestern Mutual conduct an initial "fact finding" sales call to identify the financial situation and objectives of potential clients. Then, one or more subsequent sales calls are used to present strategies for achieving these financial objectives. Professional selling classes often require students to role play a sales dialogue, have sales contests within their institution, or have students competing against other colleges in events such as the National Collegiate Sales Competition, National Sales Challenge, Great Northwoods Sales Warm-Up, Ball State Regional Sales Competition, and The International Collegiate Sales Competition. Each of these sales competitions requires students to conduct a complete sales dialogue within a 15- to 20-minute sales call. So, because this has been found to be an effective way for students to learn about and develop skills for a sales dialogue, we will cover a complete sales dialogue in one sales call in this chapter and Chapter 8. The keys to effective sales dialogue are presented in Exhibit 7.1. The importance of planning and practicing were emphasized in Chapter 6 and are an area that does not receive enough attention from some salespeople. This planning and practice should focus on an organized sales dialogue and not a canned sales presentation. Salespeople who practice asking questions, getting different responses, and adapting to these responses appropriately are better prepared to be successful in a real sales dialogue. Proper planning and practice provide an important foundation for effective sales dialogue. New developments in technology are becoming available to help salespeople be more successful in communicating value during sales dialogue as presented in "Technology in Sales: Improving Sales Dialogue."

7-5a. Types of Sales Aids

Sales aids allow the salesperson to involve one or more of the buyer's senses in the presentation, help illustrate features and confirmed benefits, and add clarity and dramatization to increase the effectiveness of a sales dialogue. The types of sales aids available to a salesperson include visual materials, electronic materials, and product demonstrations.

7-6a. Statistics

Statistics are facts that lend believability to claims of value and benefit. When available, statistics from authoritative, third-party sources carry the highest credibility. Third-party sources include independent testing organizations and labs (e.g., Consumer Reports, Underwriters Laboratories), professional organizations (e.g., American Dental Association, Risk Management Society), research companies (e.g., Booz Allen Hamilton, The Industry Standard, PricewaterhouseCoopers), institutions (e.g., Sandia National Laboratories, MIT), and various governmental entities (e.g., Census Bureau, state licensing bureaus, Department of Commerce). Statistics prepared by the selling organization as well as the salesperson can also be useful in providing evidence for claims. Facts and statistics are most powerful when they fairly represent all sides to the story and are presented in printed form rather than simply stated orally. Not only does the printed word carry more credibility but also it is convenient and can be left as a reminder to aid the prospect's retention of information.

7-4a. Voice Characteristics

The key aspects of voice characteristics are the pitch and speed of speech. Varying and changing pitch on key words adds emphasis and increases impact. It is analogous to putting different colors and hues into your voice. The increased intensity and vividness grabs attention, holds interest, and helps the buyer remember what is said. Fluctuating the speed of speech can add emphasis and guide the buyer's attention to selected points of the presentation. Important details—especially quantitative information—should be provided at a slower, more careful pace. Less critical information can be presented at a faster pace in order to grab the buyer's attention and redirect his or her interest. Changes in volume can be used to add emphasis on an important phrase or topic, and a softer volume—almost a whisper—can build intrigue and pull the prospect into the conversation. Altering volume from loud to soft can better grab and hold the buyer's interest while simultaneously adding clarity and emphasis to increase understanding. A salesperson can know his or her product inside and out, but if there is no energy and passion in his or her voice, the potential for making the sale will be seriously impaired. A medical salesperson talks about the importance of voice characteristics:* Voice quality can be used to bring excitement and drama to the presentation by doing three things: varying the pitch, fluctuating the speed, and altering the volume.

Exhibit 7.1: Keys to Effective Sales Dialogue

The most effective sales dialogues: 1. Are planned and practiced by salespeople. 2. Encourage buyer feedback. 3. Focus on creating value for the buyer. 4. Present value in an interesting and understandable way. 5. Engage and involve the buyer. 6. Support customer value through objective claims.

7-5b. Visual Materials

Visual materials represent a variety of sales aids intended to engage and involve buyers visually. The major types of visual materials are printed materials, photographs and illustrations, and charts and graphs. Exhibit 7.4 provides salespeople with a number of tips for preparing printed materials and visuals.

7-5i. Summarize

When finished explaining the significance of the sales aid, summarize its contribution and support and remove the sales aid. If not removed, its presence can distract the prospective buyer's attention from subsequent feature and benefit points. The use of the SPES Sequence to use a sales aid in our customer service training program sales dialogue is presented here.

Exhibit 7.2: Illustrative Examples of Check-Backs

"How does this sound to you?" "Does this make sense to you so far?" "Would this feature be useful to you in your current operations?" "What do you think?" "So is this something that would be valuable to you?" "Isn't that great?" "Do you like this color?" "From your comment, it sounds like you would want the upgraded memory. Is that correct?" "Does that answer your concern?" "Would this be an improvement over what you are doing right now?" "Is this what you had in mind?"

What should Tracey do?

(A) Recommend the R740 because it offers the most value to the customer. (B)Recommend the R800 by telling the buyer that the additional features would be needed as the company grows. (C)Present a detailed comparison of all of the features offered by the R740 and R800 and let the buyer make the decision.

7-2. Encouraging Buyer Feedback

7-2. Encouraging Buyer Feedback In a productive sales dialogue, the salesperson continually assesses and evaluates the reactions and responses of prospective buyers. The SPIN or ADAPT questioning processes are designed to get the buyer to provide feedback to specific questions the salesperson asks. During the presentation portion of a sales dialogue, the most successful salespeople encourage buyer feedback. In contrast, less successful salespeople often rush through the entire presentation from beginning to end and never stop to invite feedback from the buyer. Feedback from the prospective buyer provides the salesperson with important information measuring the climate between the salesperson and the buyer, the buyer's level of interest in the product's features and benefits, whether the salesperson has successfully responded to the buyer's concerns, and how well the presentation is progressing toward the buyer making a purchase decision. As detailed and discussed in Chapter 4, the observant salesperson can receive a great deal of continual feedback in the form of the buyer's nonverbal cues. In addition to observing nonverbal cues, high-performing salespeople incorporate verbal probes at key points to evaluate the buyer's interest and assess the progress of the sales dialogue. These verbal probes are typically confirmatory forms of questions in search of simple "yes" or "no" responses from the buyer. The phrases check-backs or response checks have become common names for this form of questioning—seeking feedback from the buyer. Although feedback can be sought at any point in the conversation, check-backs are commonly employed at two key points: (1) after a specific feature-benefit sequence in order to confirm the benefit and better assess the prospective buyer's level of interest and (2) following the response to an objection in order to evaluate the level to which the salesperson has handled the problem. Exhibit 7.2 provides an illustrative selection of check-back examples that salespeople indicate are typical of those they commonly use. The effective use of check-backs offers a number of advantages. Probably the most evident is increased buyer interaction. Asking for buyer feedback helps to ensure that the dialogue remains a two-way, collaborative exchange. The effective use of response checks also helps the salesperson evaluate the level of the buyer's understanding and keeps the salesperson on the right track. If feedback indicates a lack of understanding—or even worse, a lack of interest—on the part of a prospective buyer, the salesperson must make changes to improve alignment with the needs and expectations of the buyer. In contrast, positive feedback indicating a high level of understanding and interest on the part of the buyer would signal the salesperson to stay the course and advance the presentation toward gaining the buyer's purchase commitment. A series of positive response-checks indicates that the buyer is nearing a purchase decision. The more positive affirmations a salesperson receives in relation to his or her response checks, the easier the final purchase decision becomes and the more confident the prospective buyer is in having made the appropriate decision. Specific examples of check-backs within a sales dialogue will be presented at appropriate places in the remainder of this chapter.

7-4c. Comparisons and Analogies

A comparison is a statement that points out and illustrates the similarities between two points. Comparisons increase the buyer's level of interest and understanding of information. The production equipment salesperson could emphasize the value of the infrared guidance control through the use of a comparison: A salesperson for Rubbermaid might illustrate the benefits of setting up an end-of-aisle display of special occasion containers by using the following comparison to the store manager's sales goals for the product category: Medical products salespeople often use comparisons in their role as consultants to doctors. The salespeople will provide a direct comparison of existing products to new products that will be introduced in the near future. Doctors find these comparisons valuable and, in some cases, find the new product valuable enough to postpone non-emergency surgery until the new product is available.* An analogy is a special and useful form of comparison that explains one thing in terms of another. Analogies are useful for explaining something complex by allowing the buyer to better visualize it in terms of something familiar that is easier to understand. The production equipment salesperson might employ an analogy to help the buyer better understand the value of infrared guidance control:

Technology in Sales: Improving Sales Dialogue

Advances in artificial intelligence and machine learning are being transferred into technological products that can help salespeople be more successful in all types of sales dialogue. These products, offered by companies such as ClearSlide and Bigtincan, are typically called sales enablement platforms that can be integrated into CRM and e-mail systems. Salespeople can use the products when e-mailing contacts, making phone calls, conducting Web conferencing, and engaging in personal sales calls. The sales enablement platforms generally consist of a cloud-based suite of products that integrate content, communications, and insights into a guided selling process through rule-based recommendations and insights based on machine learning. They allow salespeople easy access to presentations, videos, pictures, or whatever content is most appropriate for a particular buyer. Analytics are provided to help the salesperson understand the specific interests of the buyer and to determine the most effective materials to use to communicate value more effectively to a specific buyer. Salespeople at companies, such as Merck, Sacramento Kings, and Wall Street Journal, are using sales enablement platforms successfully.*

7-3. Creating Customer Value

After the introductory part of a sales call, the salesperson must try to determine what the buyer considers to be of value. A salesperson can use the SPIN or ADAPT questioning strategies (discussed in Chapter 4 and included in the Sales Dialogue Template in Chapter 6) to understand the buyer's situation and to identify needs, problems, or opportunities important to the buyer. The salesperson must ask questions, probe for details, and listen carefully to what the prospective buyer is saying. This may take more than one sales call depending on the amount of probing and clarifying that must take place to understand the prospect's needs. The salesperson's primary goal is to uncover the prospect's specific needs or problems and then focus on what products or services will solve the problem or meet the specific needs. As discussed in Chapter 6, features are the characteristics of a product and benefits are the favorable outcome from a feature or the value received by the buyer. Most products have many features and benefits, but the buyer generally is not interested in all of a product's features and benefits. Confirmed benefits are those benefits the buyer has indicated are of interest. A major purpose of the use of the SPIN or ADAPT questioning process is to help the salesperson identify the confirmed benefits for the buyer. Then, the salesperson presents a recommended solution by emphasizing product features that will produce the confirmed benefits the buyer desires. Product features and confirmed benefits are linked to the buyer's specific needs in a way that generates the buyer's desire to purchase and acquire the recommended solution. The "Beginning the Sales Dialogue" section in Chapter 6 provides an effective introduction to a sales call. The sales dialogue would then transition into a stage where the salesperson identifies the confirmed benefits the buyer desires. An example of this interaction using the ADAPT questioning process is presented here. This sales dialogue example illustrates the value of the ADAPT questioning process to help salespeople identify confirmed benefits and transition into the presentation of a solution to solve the problems the buyer expresses. This presentation should focus on a customized training program that emphasizes dealing with difficult customers (confirmed benefits), but it should not be an online training program (benefit not confirmed). This example sales dialogue will be continued later in this chapter. Sometimes salespeople understand the confirmed benefits of a buyer and know the best product to provide the best value for the customer. However, pressure from their company or other sources can put salespeople in very difficult situations. One such situation is presented in "An Ethical Dilemma." Creating and communicating value is also important in maintaining relationships with existing customers, because changes can occur in a customer's situation. For example, Match Eyewear had been doing business with a large account. This customer had made some changes in its business objectives and was ready to stop doing business with Match Eyewear. The Match Eyewear sales team found out about this and met many times with the customer. These meetings identified the new value needed by the customer. Match Eyewear addressed the new value requirements by improving its service and support offerings and communicating these changes effectively. The customer was retained and Match Eyewear used this situation to develop a stronger relationship with this customer.*

7-4b. Examples and Anecdotes

An example is a brief description of a specific instance used to illustrate features and benefits. Examples may be either real or hypothetical and are used to further explain and emphasize a topic of interest. A production equipment salesperson might further explain the purpose of an infrared guidance control by using the following example: An anecdote is a type of example presented in the form of a story describing a specific incident or occurrence. Stories can be very effective in keeping a buyer interested and helping the buyer understand the solution a salesperson presents. The production equipment salesperson might use an anecdote such as the following: A salesperson's use of examples and anecdotes keeps the buyer interested, brings clarity into the presentation, and improves the buyer's understanding and retention of what the salesperson is presenting. The use of an example and anecdote in our sales dialogue example for customer service training follows.

7-6. Supporting Product Claims

As discussed earlier in this chapter, confirmed benefits answer the buyer's question, "What is in it for me?" In a similar fashion, proof providers such as statistics, testimonials, and case histories can be utilized to preempt the buyer from asking, "Can you prove it?" or "Who says so?" Claims of benefits and value produced and provided to the buyer need to be backed up with evidence to highlight their believability.

7-7a. Sales Tactics for Selling to Groups

Assuming that the salesperson or sales team has planned a comprehensive sales dialogue and done as much preselling as possible, there are some specific sales tactics that can enhance presentations to groups. Sales tactics for group presentations fall into three general categories: arrival tactics, eye contact, and communications tips during presentation delivery.

7-6c. Case Histories

Case histories are basically a testimonial in story or anecdotal form. Their added length allows more detail to be presented to further clarify an issue or better itemize the proof for a given statement. Case histories can also break the monotony of a long presentation. Like their counterpart testimonials, case histories should be used only when they clearly illustrate a particular point and are appropriate for the prospective buyer. Unrelated or tangential stories not only distract the customer but also can be a source of irritation that works against credibility building. Case histories should be short and to the point, lasting no more than a minute. They should support the presentation rather than becoming the center of attention. Salespeople at a productivity software firm use case histories in most of their sales dialogues. Once the specific needs of the buyer are identified, the salesperson presents a solution, and then uses a case history for each need to add credibility. Each case history illustrates how they have created the value desired by the buyer for other customers. The case histories are often communicated in a story format as a way to engage the buyer more actively.* The effective use of a proof provider in our customer service training program sales dialogue follows.

From the Classroom to the Field: Communicating Value Effectively

Chris Day graduated from the University of Louisville in 2013. He has served as Ticket Sales Representative for the Orlando Magic and Senior Premium Sales Manager for the Nashville Sound. Chris talks about how he has used verbal support elements to communicate value effectively: "My sales job was to sell various ticket packages to families and business customers. I tried to determine the type of experience valued by the prospect and then determine the specific ticket package that would provide the desired value. My focus was to use examples, anecdotes, comparisons, and analogies with the appropriate voice characteristics to communicate value in an interesting and understandable way." "Many family prospects found value from the entire experience of purchasing a ticket package and attending a game. As a salesperson for the Orlando Magic, I had the opportunity to allow the family to come to the game early and watch the team warm up before the game. I often used an example and anecdote within a story to communicate this benefit effectively. For example, I would often tell the story of a family that bought a ticket package and the entire family came to the game early and was sitting courtside watching the team. Victor Oladipo, the rookie star on the team, came over and gave the kids a high five and talked with them for a couple of minutes. This story included an example and anecdote to communicate a valuable aspect of the game experience to prospects." "Business prospects often viewed the attendance at a game as an opportunity to entertain customers. Nashville business prospects usually considered tickets to major league games of the Tennessee Titans or Nashville Predators, as well as the minor league Nashville Sounds. In this competitive situation, I employed comparisons and analogies to communicate the differences between these options. Although I would compare ticket prices and other basics, my emphasis was more on the atmosphere of the different options. Those attending Titan or Predator games were usually most interested in the outcome of the game, while those attending Sound games were more interested in the overall atmosphere and experience. If entertaining customers was the major value desired, I would point out that they would have many more opportunities to interact with these customers at a Sounds game compared to a Titan or Predator game." "As a salesperson in two different selling situations, I realized the effectiveness of using various combinations of examples, anecdotes, comparisons, and analogies. I would also vary the tone of my voice and speed of delivery to emphasize the key aspects of the value desired by the customer. These verbal support elements can be incorporated into stories that help 'paint a picture' that allows the prospect to visualize the value received from purchasing ticket packages from me."

7-7c. Eye Contact

For both small and large groups, establishing periodic eye contact with individuals is important. With small groups, this is easily accomplished. With larger groups, especially formal presentations where the salesperson is standing and the group is sitting, there may be a tendency to use the so-called overhead approach. This method calls for looking just over the heads of the group, with the idea that those seated farthest from the presenter will feel included as part of the group. This method should be avoided. It might be fine for a formal speech to a large audience in a convention hall, but it is far too impersonal for groups of 10 to 25 individuals. Also avoid a rapid scanning from side to side. This gives the appearance of nervousness and is ineffective in connecting with individual group members. The most effective eye contact is to try to connect with each individual or small subgroups for only a few seconds, moving through the entire group over the course of the presentation. Professional entertainers often use this method to connect with audience members, and salespeople can do the same.

7-7e. Handling Questions in Group Dialogue

Just as is the case with sales dialogue to individuals, questions from buyers in a group are an important part of the buyer-seller interaction that leads to a purchase decision. Salespeople should recognize that questions fill information gaps, thus allowing buyers to make better decisions. In a group setting, questions can also add a dramatic element, making the presentation more interesting for those in attendance. To the extent that it is possible, salespeople should anticipate group questions, and then decide whether to address the question before it arises or wait and address the question should it arise during the presentation. To handle questions that arise during the meeting effectively, salespeople should listen carefully and maintain eye contact with the person asking the question. Generally, it is a good idea to repeat or restate the question. Questions should be answered as succinctly and convincingly as possible. By listening carefully to the question, salespeople should show proper respect to the person asking the question. At the same time, they are helping direct the attention of the group to the question. As the question is posed, it is important for the salesperson to maintain eye contact with the person asking the question. Again, this demonstrates respect for the person and for his or her right to ask questions. This may require some practice, as salespeople might be tempted to glance at sales materials or perhaps their watches when the attention is shifted to the person asking the question. To do so could insult the questioner, who might feel slighted by the lack of attention. In many cases, it is a good idea to repeat or even restate the question. This will ensure that everyone understands the question. It also signals a shift from the individual back to the group. Additionally, it allows the salesperson to state the key issue in the question succinctly. This is often important because not all questions are well formulated and they are sometimes accompanied by superfluous information. Consider this dialogue: When restating questions, salespeople must be careful to capture the essence of the buyer's concern accurately. Otherwise, they could be perceived as avoiding the question or trying to manipulate the buyer by putting words in his or her mouth. Therefore, when in doubt, it is a good practice when restating a question to seek buyer confirmation that the restated question is an accurate representation of the original question. For example, salespeople might say, "Ms. Jackson, as I understand the question, you are concerned about the effectiveness of our seasonal sales promotion programs. Is that correct?" When you are answering questions, there are three guidelines to follow. First, salespeople should not attempt to answer a question until he or she and the group members clearly understand the question. Second, salespeople should not attempt to answer questions that they are not prepared to answer. It is far better to make a note and tell the group you will get back to them with the answer than to speculate or give a weak answer. Third, try to answer questions as directly as possible. Politicians are often accused of not answering the questions posed during press conferences, but rather steering the answer toward what they wish to talk about. Salespeople will quickly lose credibility if they take a long time to get to the point in their answer. To answer convincingly, start with a "yes" or "no," and then explain the exceptions to the general case. For example, say, "Yes, that is generally the case. There are some exceptions, including ..." is preferred to answering, "Well that depends ...," and then explaining all of the special circumstances only to conclude with "but, generally, yes, that is the case." When answering questions, it is important to address the entire group rather than just the individual who asked the question. Otherwise, salespeople may lose the attention of other group members. When salespeople conclude their answers, they have the option of going back to the person who asked the question, continuing their presentation, or taking a question from another group member. Salespeople can rely on their common sense and experience to decide what is appropriate in a given situation. In larger groups, it is particularly important to avoid getting locked into a question-and-answer dialogue with one person if other people are showing an interest in asking questions. Indeed, it is important to take all questions, but it is also important to spread the opportunity to ask questions around the room, coming back to those who have multiple questions until all questions are answered. If one person is a dominant force within the buying group, other group members will typically defer their questions until that person has asked all of their questions at different points in the presentation. When selling to a group, salespeople should have a clear objective for their presentation. To get the group to take the desired action, salespeople must make a convincing case, motivate the group to take action, and make it easy for the group to take the desired action. Some of the methods for handling buyer objections and earning a commitment, as will be discussed in Chapter 8, will prove useful for accomplishing these tasks. In some cases, the group will wish to deliberate and let the salesperson know of their decision at a later time. This is not uncommon because the group may need a frank discussion without outsiders to reach a final decision. Should this occur, salespeople should be certain that the group has all the information they need or offer to provide the needed information promptly and offer to follow up within a specified time period. The process for planning and delivering a group sales dialogue is much the same as it is for sales dialogue with individuals. By paying attention to the special considerations in this section, salespeople can build on their experience with sales interaction with individuals and engage in effective sales dialogue with groups.

7-5h. Explain the Sales Aid

No matter how carefully a sales aid is prepared, it will not be completely obvious. The customer will not necessarily understand the significance unless the salesperson provides a brief explanation. Do not rely on a chart or graph to illustrate fully the points being supported. Similarly, a prospect might enjoy a product demonstration yet totally miss the information or experience supporting the presentation. The salesperson should point out the material information and explain how it supports his or her points.

7-4. Interesting and Understandable Sales Dialogue

Once confirmed benefits have been identified, the salesperson needs to present key selling points in a manner that is interesting and understandable to the buyer. The presentation should focus on the buyer and is intended to gain and hold the buyer's attention, and to increase the buyer's understanding and retention of the information provided by the salesperson. Verbal support elements include voice characteristics, examples and anecdotes, and comparisons and analogies. These elements can be incorporated into stories to produce interesting and understandable sales dialogue. Examples of the successful use of verbal support elements are presented in "From the Classroom to the Field: Communicating Value Effectively."

7-5e. Using Sales Aids in the Presentation

Practice! Practice! Practice! Rehearsal of the presentation is the final key to conducting effective sales dialogue. Understand what features are relevant and what benefits are meaningful to the prospective buyer in terms of value to be realized. Be confident in developing and using multiple sales aids to add impact to the presentation itself. Using the SPES Sequence can facilitate the effectiveness of presentation tools and sales aids: S = State selling point and introduce the sales aid; P = Present the sales aid; E = Explain the sales aid; S = Summarize.*

7-7. Group Sales Dialogue

Sales dialogue with groups is fairly commonplace in business-to-business selling. For example, retail chains often employ buying committees when considering the addition of new products for their stores. Hospitals use cross-functional teams comprising medical and administrative personnel to choose vendors such as food service providers. A group of marketing and upper-management people usually makes the decision of which advertising agency will be chosen. Corporations often depend on representatives from several departments to make purchase decisions that affect all employees, such as the choice of insurance providers. Interacting with groups presents special challenges and opportunities. In addition to the basic fundamentals of planning and delivering sales dialogue to individual buyers, there are additional strategies and tactics that can enhance sales dialogue with groups. When selling to groups, salespeople can expect tough questions and should prepare accordingly. Although buyer questions are part of most sales dialogue whether to individuals or groups, they are particularly crucial when there are multiple buyers. Most buying groups are assembled to tap the individual expertise and interests of the group members. For example, a buying committee for a company's computer information system could include technical specialists; finance and accounting personnel; and representatives from production operations, logistics, management, and marketing. All of these individuals are experts and demand in-depth information in order to make a decision. In some situations, this calls for a sales team to address all questions adequately, while in some cases, an individual salesperson has the cross-functional expertise required to make the sale. When selling to a group, salespeople should take every opportunity of preselling to individual group members prior to the group presentation. Preselling to individual buyers or subgroups of buyers takes place before a major sales presentation to the entire group. Buying procedures in a given company may or may not allow preselling. If it is an option, the salesperson should work with the individuals comprising the buying group prior to presenting to the group as a whole. By doing so, the salesperson can better determine individual and group interests and motives and possibly build a positive foundation for the group presentation. Preselling can also reveal the roles of the individuals in the buying center, as discussed in Chapter 3. Knowing who the decision maker is, along with the other roles such as users and influencers, is crucial for success in group sales interactions. The importance of preselling is discussed in "Selling in Action: Preselling Strategies."

Selling in Action: Preselling Strategies

Salespeople at a logistics company spend a lot of time preselling people from different business functions within a buying organization. The company helps manufacturing companies improve processes throughout their supply chain. The supply chain services impact many different business functions, such as warehousing, logistics, accounting, finance, and information technology. Each of these business functions has different needs and defines value in different ways. So, it is critical to identify the key concerns of each business function before conducting sales dialogue with the entire group. The typical strategy is to meet individually with someone from each buying function to determine the desired value. Sometimes it is not possible to meet with the different functions personally, so a survey or e-mails are used to get the information needed by the salesperson. This preselling approach prepares the salesperson for the group sales dialogue where the objective is to get "buy-in" from the buying group. The most successful salespeople communicate the value desired by each business function, and then summarize the total value the entire company would receive from using all of the supply chain services.*

7-5. Engaging and Involving the Buyer

Simply informing the prospect about the benefits and their value to the buyer is seldom sufficient to generate the level of interest and desire required to result in a purchase decision. To maximize the effectiveness of the sales dialogue, salespeople utilize various sales aids to engage and involve the buyer throughout the sales interaction. These sales aids also help to capture and hold the buyer's attention, boost the buyer's understanding, increase the believability of the claims, and build the buyer's retention of information. (See Exhibit 7.3.) Not all sales aids are suitable for all products, selling situations, or buyers. Nor should a salesperson feel the need to use each and every tool in any given sales call. A salesperson should use the sales aids that will engage and involve each buyer most effectively in a particular sales dialogue. Many times, the selling organization provides these sales tools. However, experienced salespeople are quick to comment that some of their most effective sales aids are those that they developed themselves for specific prospects and selling situations.

Introduction

Successful salespeople focus on creating and communicating value during sales dialogue by addressing the key issues of each buying organization. This is a difficult task because more individuals are involved in the purchasing process, buyers are more informed than in the past, and many buyers are reluctant to meet with salespeople in the early stages of the buying process. In addition, although many salespeople conduct most of their sales dialogue in personal meetings with buyers, salespeople are increasingly interacting with buyers through a variety of different technologies. More sales meetings are being conducted via Web conferencing, e-mail, and the telephone. The expansion of social selling results in more communication using social media. These technologies provide more opportunities to engage in sales dialogue, but it requires salespeople to adapt to the characteristics of each technology. Despite the challenges, creating and communicating value effectively is critical for salesperson success. One study found that the main barrier preventing salespeople from achieving their quota was the inability to articulate value. In another study buyers reported that only 34 percent of salespeople communicate the value of their product very well. The buyers in this study indicated that salespeople spend most of their time talking about their product and not how purchasing and using their product will create value for the buyer.* Salespeople can use stories to communicate information about value concisely and to create a mental image of value in the mind of the buyer. Research suggests that stories serve to inform, persuade, and build bonds with customers.* One study of buyers reported that customer stories communicate value in a way that buyers trust. The best stories highlight the capabilities of the salesperson's product to create value in the unique situation of the buyer, and help connect with buyers on an emotional level.* Salespeople face difficult challenges in the critical task of creating and communicating value to buyers effectively. Sales dialogue can be conducted using different technologies, and technology products are available to provide insight and materials to help salespeople customize interactions to meet the needs of each specific buyer. Stories can engage buyers and facilitate the communication between sellers and buyers. A sales trainer provides insight on the complex situation facing salespeople:*

7-6b. Testimonials

Testimonials are similar to statistics, but in the form of statements from satisfied users of the selling organization's products and services. Supportive statements from current users are excellent methods to build trust and confidence. They predispose the prospective buyer to accept what the salesperson says about the benefits and value a recommended solution offers, and they reduce the prospect's perceived risk in making a purchase decision. Written testimonials are especially effective when they are on the recommending user's letterhead and signed. However, testimonials that list customers, trade publications, trade associations, and independent rating organizations along with one-sentence comments in a presentation can also be effective. For instance: "The American Dental Association has endorsed the new Laserlite drilling system as being safe and painless for the patient." "In January, Fortune magazine recognized CDW as the top-rated technology vendor on the basis of services provided to the buying customer." "The RIMS Quality Scorecard rated Arthur J. Gallagher & Co. as the highest-rated insurance broker in North America in terms of value and service provided to its clients." Testimonials are used extensively across industry and product/service types. To maximize their effectiveness, testimonials should be matched according to relevance and recognition to the prospective buyer. It is critical that the organization or person providing the supporting testimony be known or recognized by the prospect, above reproach, and in a position of respect.

7-5d. Product Demonstrations

The product itself is often the most effective sales tool because it provides the prospective buyer with an opportunity for hands-on experience. When the actual product does not lend itself to being demonstrated, models can be used to represent and illustrate key features and benefits of the larger product. The value of an actual product demonstration is applicable to all types of products and services. For example, aircraft salespeople use scale models to give the buyer a detailed and realistic feel for the aircraft, which cannot be tucked into the salesperson's briefcase. Major vendors of office furniture will set up an actual model office so that the prospective client can experience its actual use. Pharmaceutical companies provide doctors with actual samples of the product for trial use with selected patients. As detailed in Exhibit 7.5, the salesperson should make sure the product being demonstrated is typical of what is being recommended. Furthermore, it should be checked to ensure that it is in good working order prior to the demonstration and that setup and removal do not detract from the presentation. The last thing the salesperson wants is to have to apologize for poor appearance or inadequate performance. It is important to customize the demonstration as close as possible to the buyer's situation, and to allow the buyer to actually use the product, if possible. Salespeople at a payroll processing firm focus on making the demonstration as realistic as possible. These salespeople conduct sales dialogue in person and electronically using Web conferencing services with individual buyers and buying teams. A software demonstration is set up to include the logo, information, and settings specific to the situation of the buyer. The salesperson can then show how each buyer need is addressed and use check-back questions to confirm understanding. During in-person meetings, the buyer is, in fact, able to use the product on a computer, as well as try the smartphone and tablet app. This type of product demonstration is engaging and interactive, which helps the buyer understand the value offered by the salesperson's product.* Sometimes it is more effective to bring the buyer to another site for a product demonstration. Toshiba Medical Systems uses this approach very successfully for buyers of CT scanners and MRI systems. It conducts 20 to 40 site visits a week with potential buyers. The buyers have the opportunity to see the products in action in a clinical-like environment, and get to know the Toshiba executives. This demonstration approach has led to significant sales growth and better customer relationships for Toshiba Medical Systems.*

7-5g. Present the Sales Aid

This involves presenting the sales aid to the customer and allowing a few moments for examination and familiarization before saying anything. For example, when using printed materials, place the material directly in front of the customer and allow it to be reviewed momentarily in silence. Allow the customer to review the sales aid and satisfy his or her natural curiosity before using it.

7-5f. State the Selling Point and Introduce the Sales Aid

This means stating the full selling point including the feature and potential benefit and then introducing the sales aid. For instance, "To demonstrate this benefit, I would like you to take a look at this video" or "This graph summarizes the increased performance you will experience with the Honda S2000." This prepares the buyer for the visual aid and informs him or her that attention is required.

An Ethical Dilemma

Tracey Wise has been selling computer systems for just over nine years and has earned the position of senior account manager for one of the leading companies in the industry. For several months, Wise has been working with a major insurance company that is looking for an automated information system to solve the company's growing backlog of worker compensation claims. After reviewing the information from previous sales calls with the buyer, Wise and her tech-support team decided that the R740 system offered the greatest benefits to this particular customer. However, a special sales promotion provided company salespeople additional commissions and double points toward the annual sales incentive trip to Hawaii for each R800 system sold. The higher priced R800 had all the same features and capabilities of the R740 along with many more. However, few of these additional capabilities would ever be of value to the insurance company. During her last sales call, Wise explained and demonstrated the R740 and the R800.

7-7b. Arrival Tactics

Try to arrive at the location for the meeting before the buying group arrives. This provides an opportunity to set up and check audio-visual equipment, prepare collateral material for distribution to the group, and become familiar and comfortable with the surroundings. It also sets the stage for the salesperson to greet individuals from the buying team personally as they enter the room. In a symbolic way, it also signals territorial command, or that the salesperson is in charge of the meeting. Although the control of the meeting is typically shared with the buying group, arriving first sends a message that the salesperson is prepared to start promptly at the appointed time, thus showing respect for the buyer's time. From the very beginning, the salesperson is hoping to connect with each individual in the group, rather than connecting only at the group level. By arriving first, the salesperson may have the opportunity to talk briefly with each individual. If nothing more, a friendly greeting, handshake, and introduction can help establish a rapport with individuals in the group. When not allowed to arrive first, salespeople should attempt individual introductions when joining the group. If that is not practical, salespeople must try to engage each individual through eye contact and, if appropriate, introductory remarks early in the presentation that recognize the individual interests of those present. For example, a salesperson for a food service company might begin a presentation to a hospital with the following: Opening remarks such as these, when kept brief, can be most effective in building involvement with all individuals in a small group.

7-7d. Communications Tips

When selling to groups, it is essential to make all members of the group feel that their opinions are valuable. It is also important to avoid being caught in the middle of disagreements between members of the buying group. For example, if one member likes the salesperson's proposal and another thinks it is too expensive, any resolution of this disagreement must be handled carefully. Although the salesperson may present information that resolves the issue, in some cases, disagreements among group buying members may be resolved outside the meetings. It is to the salesperson's advantage if disagreements can be handled during the presentation, as it keeps the sales process moving; unresolved issues can stall the sales process. As an example of how salespeople can play a peacemaker role, consider this exchange: The point is that salespeople must be diplomatic as a participant in discussions that might develop between members of the buying group. This sometimes means remaining silent while the discussion comes to a resolution, and sometimes it means playing an active role. There are no hard and fast rules in this area, and salespeople must simply use their best judgment to guide their actions. In delivering group presentations, it is important to maintain contact with group members. Thus, reading or overreliance on densely worded slides should be avoided. Think of slides and other audio-visual aids as support tools, not as a "roll-and-scroll" presentation to be read to the group. Natural movement can also enhance contact with the group. Too much pacing about can be detrimental to holding the group's attention, just as remaining tethered to a laptop can detract from group communication. When possible, salespeople should stand to the left of visual aids. This way, it is easier to direct attention to the visual aids while momentarily deflecting attention away from the speaker. In this way, the salesperson becomes an unobtrusive narrator and the visual aid has maximum impact. Body language can add or detract to sales effectiveness in the group setting. In general, posture should reflect an energetic, relaxed person. Conventional wisdom dictates that presenters should avoid contact with their own bodies while presenting. Salespeople who stuff their hands in their pockets, scratch their heads, or cross their arms are creating distractions to their own messages.