Pro Selling Final Exam
Define what account penetration is? in relation to service/follow up
(getting a broader assortment in one store or more stores-- more involved) The ability to work and contact people throughout the account, discussing your products, is referred to as account penetration. Successful penetration of an account allows you to properly service that account by uncovering its needs and problems. Achieving successful account penetration is dependent on knowledge of that account's key personnel and their situation. If you do not have a feel for an account' situation, you reduce chances of maximizing sales in that account. Account penetration is determined by several factors: *your total and major brand sales growth in an account *distribution of the number of products in a product line, including sizes used to merchandised by an account. *level of cooperation obtained, such as reduced resale prices, shelf space, advertising and display activity, discussion with their salesperson, and freedom to visit with various people in the account. *your reputation as the authority on your type of merchandise for the buyer. As a general rule, the greater your account penetration, the greater your chances of maximizing sales within the account. A good sign that you have successfully penetrated an account is when a competitor dismally says, "forget that account; its already sewn up". You have created true customer loyalty.
Buying signals on the part of the buyer
A buying signal is anything that a prospect says or does to indicate that he is ready to buy. Buying signals hint that prospects are in the conviction stage of the buying process. Prospective buyers signal readiness to buy when they: ask questions, ask another person's opinion, relax and become friendly, pull out a purchase order form, carefully examine merchandise. *ask questions = "how much is it?", "what is the earliest time that I can receive it", "what are your service and returned goods policies?". At times, you may respond to a buying signal question with another question. This helps determine your prospect's thoughts and needs. If your question is answered positively, the prospect is showing a high interest level, and you are nearing the final close. *ask another person's opinion= the executive calls someone on the telephone and says "come here in a minute; I have something to ask you." Or the husband turns to his wife and says "What do you think about it?" *relax and become friendly= once the prospect decides to purchase a product, the pressure of the buying situation is eliminated. A state of visible anxiety changes to relaxation because your new customer believes that you are a friend". *pull out a purchase order form= if, as you talk, your prospect pulls out an order form, it is time to move toward the close" *carefully examine merchandise= when a prospect carefully scrutinize your product or seems to contemplate the purchase, this may be an indirect request for prompting. Given these indications, attempt a trial close: "What do you think about...?" If you obtain a positive response to this question, move on to close the sale. A buyer may send verbal or nonverbal signals at any time before or during your sales presentation. The accurate interpretation of buying signals should prompt you to attempt a trial close.
Major elements involved in managing a territory
A sales territory comprises a group of customers or a geographical area assigned to a salesperson. Reasons companies develop and use sales territories: *to obtain through coverage of the market *to establish each salespersons' responsibilities *to evaluate performance *to improve customer relations *to reduce sales expense *to allow better matching of salesperson to customer's needs *to benefit both salespeople and the company. Elements of Time and Territory Management: *salesperson's sales quota: a salesperson is responsible for generating sales in a territory based on its sales potential. The salesperson's manager typically establishes the total sales quota that each salesperson is expected to reach. Once the quota is set, it is the salesperson's responsibility to develop territorial sales plans for reaching the quota. *Account Analysis: once a sales goal is set, the salesperson must analyze each prospect and customer to maximize the chances of reaching that goal. First, a salesperson should identify all prospects and present customers. Second, a salesperson should estate customers' and prospects' sales potential. *Develop account objectives and sales quotas: may include increasing product distribution to prospects in the territory or increasing the product assortment current customers purchase. *Territory time allocation: how a person's time is allocated within territories. Time allocation is the time spent by the salesperson traveling around the territory and calling on accounts. (number of accounts in the territory, number of sales calls made on customers, time required for each sales call, frequency of customer sales calls, travel time around the territory, consoling time, return on time invested) *Scheduling and Routing: strict formal route designs enable the company to improve territory coverage, minimize wasted time, establish communication between management and the sales force in terms of location and activities of individual salesperson. Carefully plan your route. *Territory and Customer Evaluation: establishment of performance standards for the individual territory in the form of qualitative and quantitative quotas or goals. Did the salesperson meet sales quota? This allows the salesperson to see how well territory plans were executed in meeting performance quotas.
Why do you need to prepare for closing?/How do you prepare for close?/ What stage of your presentation are you in when you close?/why do you have to close more than once?
Closing is the process of helping people make a decision that will benefit them. You help people make the decision by asking them to buy. It is the end result of your sales presentation. You should attempt to close a sales when the prospect is ready. More specifically, close when the prospect is in the conviction stage of the mental buying process. A buyer can enter the conviction stage at any time during the sales presentation. You may be able to ask someone to buy as early as the approach stage or as late as another day. Much of the time, however, the close comes after the presentation. The ability to read a prospect's buying signals correctly helps a salesperson decide when and how to close a sale. The successful salesperson does not stop with the prospects first no. If a customer says no, determine the nature of the objection and then return to the presentation. After discussing information relative to overcoming the objection, use a trial close to determine if you have overcome the objection, and then determine if there are other objections. If resistance continues, remain positive and remember that every time you attempt to close, you are closer to helping the prospect make a decision. In addition, always ask for the order and then be silent. No matter when or how you close, remember that when you ask for the order, it is important to be silent. Do not say a word. If you say something-- anything-- you increase the probability of losing the sale. You must put the prospect in a position of having to make a decision, speak first, and respond to the close. If you succeed, finalize the sale and leave! A positive response to the trial close indicates a move toward the close. A negative response means return to your presentation or determine the prospect's objections. Keep in mind that three closes is a minimum for successful salespeople. Three to five well executed closes should not offend a prospect. Attempting several closes in one call challenges a salesperson to employ wit, charm, and personality in a creative manner. So, always take at least three strikes before you count yourself out of the sale. It is important to close more than once to ensure you get past all objections. If you get an objection and you answer it, ask a trial close to determine if you have overcome the objection. If you receive a positive response to your trial close, you can move to your close. If you receive a negative response to your trial close, you would go back to your presentation. To close more effectively, never take the first no from the prospect to mean an absolute refusal to buy.
Account segmentation-- planning perspective. segment accounts into large and small, why (slide pg. 459 & slide 33)
Salespeople using Account Segmentation approach recognize that their territories contain accounts with heterogenous needs and differing characteristics that require different selling strategies. Consequently, they develop sales objectives based on overall sales and sales of each product for each customer and each prospect.
Why service/follow up are so important to increase sales? benefits. what do you get out of it
Service refers to making a contribution others such as our customers. Follow-up refers to maintaining contact with a customer in order to evaluate the effectiveness of the product and the satisfaction of the customer. It benefits you because it builds long term business friendships, customer satisfaction leads to customer retention. Service and follow up after the sale shows you truly care. You increase sales by obtaining new customers and selling more to present customers. Satisfied customers will provide customer referrals. Thus, very important to service future sales & referrals. Follow up and service create goodwill between a salesperson and the customer, which increases sales faster than a salesperson who does not provide such service.
Describe closing techniques
To determine which closing technique you should use, you should first: determine your approach, create your presentation, then determine how best to close. * Alternative choice- does not give prospects a choice of buying or not buying, but asks which one or how many items they want to buy. it says: you are going to buy so let's settle the details on what you will purchase. buying nothing at all is not an option. "would you like the blue lightbulb or the white one?" * Assumptive close- assumes the prospect will buy. statements can be made such as "i'll call your order in tonight" or "i'll have this shipped to you tomorrow". * Compliment- especially effective when you talk with a prospect who is a self-styled expert, who has a big ego, or who is in a bad mood. Would-be experts and egotistical prospects value their own opinions. By complimenting them, they listen and respond favorably to your presentation. The prospect with low self esteem or one who finds it difficult to decide also responds favorable to a compliment. * Summary of benefits close- summarize these benefits in a positive manner so that the prospect agrees with what you say; then ask for the order. determine the key product benefits that interest the prospect during the presentation, summarize these benefits, and make a proposal. useful when you need a simple, straightforward close rather than a close aimed at a specific prospects personality. * Continuous Yes Close- salesperson develops a series of benefit questions that the prospect must answer. generates positive responses * Minor Points Close- asks the prospect to make a low risk decision on a minor, usually low cost element of a single product such as delivery dates, optimal features, color, size, payment terms, or order quantity. * T account close- weighing the cons against pros. * Standing room only- "if we don't act right now we could lose the opportunity" gets action *Probability- permits your prospects to focus on their real objections. once you have a real objection, convert that objection with a persuasive sales agreement. * Negotiation- "if we could find a way in which we would eliminate the need for a backup machine and guarantee availability, would you be happy with this arrangement?" *Technology Close- using a lot of presentations, sight/sound/motion to close.
Why projecting a professional image is so important./Dress in Your Armor
You should prepare to meet a few unethical and dishonest people. This requires a person to have tough skin, even armor. You need protection from a person who is unethical and/or dishonest with you such as: a customer or prospect, a competitor, a co worker, your boss. Your armor consists of speaking the truth, doing what is right, readiness to discuss what is ethical, and trusting you know what is right, honest, and ethical.
