ADV 352 Test 1

5 Step Sales Process

1: Plan and prepare Qualified prospects: need, money, authority. New business development Include pre-approach and telephone skills. 2: Needs analysis Success of the process depends on this phrase Figuring out if the person your talking to can become a client Questioning and creative listening skills are necessary Literally hundreds of questions you could ask. 3: Build a solution Organization specific 4: Present & Close Handling objections and negotiations It's up to the seller to qualify the buyer - don't waste your time! 5: Follow through / service after the sale Avoid buyer's remorse / reduce churn

Price of Major Media Types - Radio

92.9 NPR The Drive with Jack Ebling $90 to $200 per week on a rotator schedule Advantages Good local acceptance and promos Frequent copy change Lower cost of entry Limitations: Audio only Fragmented audiences Poor measurement XM/NPR/Spotify/Podcasts

Rock Solid Rule #1

Because of their great attitudes, successful people always do more than they're supposed to do. More selling?? Not necessarily, and most times, not at all. Answer questions and show up on time! A good deed without the ask for future business can be all it takes. (Friends with clients)

Prospecting - Join civic organizations (rotary, Athena, Junior League, etc.)

Become visible and have a goal meeting (2 new contracts) Reach out to new members and use active listening for opportunities Local chamber of commerce - membership directory (lansingchamber.org)

Price of Major Media Types - Out-of-home

Billboards, bathroom ads $1,500-$3,000 for artwork/production/installation + $5,000 - $25,000 Advantages High repeat exposure Low CPM Low message competition Digital creative changes Limitations: No demo targeting Creative limitations (10 wds?) Weather impact Short exposure time (6-8 secs) Disengaged audience

Purchase Decision Process Step 4: Purchase Decision

Can be made easier by a professional salesperson. Designated Marketing Area - Lansing DMA for example Involves a set of related criteria: Financial considerations: price, discounts, credit policies Intangible factors: reputation, past performance, or delivery dates.

Social style profile: analytical technical specialists

Cautious in decisions and action - focus on the "how" Likes organization and structure Prefers objective, task-oriented, intellectual work Wants to be right, so collects much data. Works slowly, precisely, and alone Has good problem-solving skills

Cognitive Dissonance/Buyer's Remorse

Cognitive dissonance = post-purchase anxiety. "I've made a huge mistake" A seller can reduce this by: reinforcing the buyer's belief that the right decision was made. Demonstrating the capabilities and quality of the product.

Purchase Decision Process Step 5: Post-purchase evaluation

Cognitive dissonance = post-purchase anxiety. "I've made a huge mistake" A seller can reduce this by: reinforcing the buyer's belief that the right decision was made. Demonstrating the capabilities and quality of the product.

CRM System - Salesforce.com

Customer Relationship Management (CRM) Software - SalesForce.com

Social style profile: Driver control specialists

Decisive in action and decision making - focus on the "what" Likes control; dislikes inaction Prefers maximum freedom to manage self and others Cool, independent, and competitive with others Low tolerance for feelings, attitudes, and advice of others

Price of Major Media Types - Digital

Google ESPN Adwords/PPC = $.05 - $20+ per click Display ads = $250 - $5,000+ per month Advantages ROI/Measurement Immediacy/engaged Interactive capabilities Limitations: Need strong website/landing page for conversions Can be low impact Audience controls exposure/clutter

Consumer Behavior

Is the set of actions that make up an individual's consideration, purchase, and use of products and services. This includes the purchase as well as the consumption of the products and services. What has the most impact on consumer behavior? Word of mouth Referrals THE INTERNET

Price of Major Media Types - Print

Lansing State Journal The State News $1,300 per week for quarter-page ad run 3x Advantages In-depth explanation/fast copy change Good local market coverage/believability Price shopping/coupons Limitations: Short life Declining circulations Skews 50+ High cost for large sizes

Purchase Decision Process Step 1: Problem recognition

May occur when customer receives information from conversation with colleagues/superiors that causes awareness of need. Sometimes hinges on the seller's ability to uncover a need (upsell or add on additional product) May occur when customer re-evaluates the current situation and perceives an area of void or dissatisfaction

Prospecting - Referrals

People are 4x more likely to buy when referred by a friend! Have that person make the initial contact for you. Learn how to ask for a referral - it takes practice!

Purchase Decision Process Step 3: Evaluation of options

Perceived value, price, schedule, creative, etc.

Prospecting - Email and US Mail

Possible sources: Membership lists (alumni) Community business groups Social networks Past customers/inactive accounts - work the churn list

Prospecting - Power of observation - always be looking

Read newspapers, trade journals, blogs and magazines Competitor media (TV, radio, MLive, Townsqaure, Adams Billboards in Frandor) Follow organizations on social media/subscribe to feeds:

Relationship Selling Skill Builders/Breakers

Relationship builders Treat customers like partners Underpromise and overdeliver Schedule regular service calls Take responsibility for mistakes Relationship breakers Simply wait for a problem to develop Focus only on closing the deal or personal gain Lie or speak badly of your competitor... salespeople live in small ponds.

Social style profile: Amiable support specialists

Slower in making decisions or taking actions - focus on the "why" Likes close, personal relationships Dislikes interpersonal conflict Supports and actively listens to others Weaker in goal setting and self-direction

Social style profile: Expressive social specialists

Spontaneous actions and decisions - focus on the "who" Likes involvement Exaggerates and generalizes Tends to dream and get others caught up in those dreams Jumps from one activity to another Has good persuasive skills

Rock Solid Rule #4

Successful people are goal-oriented. They have written specific goals and strategic plans for their lives, careers, and businesses. So you don't forget Writing it down = commitment to achievement You have to sleep with you at night.

Rock Solid Rule #6

Successful salespeople are in control. Take the heat as well as the praise Control of plans: sales plan, activity plan, marketing plan, script for cold calls or objections... Anticipate situations and PLAN AHEAD.

Rock Solid Rule #5

Successful salespeople are self-motivated No one is going to do it for you. Back to the plan

Rock Solid Rule #7

Successful salespeople constantly practice and prepare "Just wing it" = "more nerves" Professionals prepare Do you want your doctor, lawyer, or teacher to be unprepared? Sales is the same!

Rock Solid Rule #3

Successful salespeople don't prejudge, don't assume, and don't minimize themselves, their prospects, or their clients. They need it. I sell it. Why not me? Regardless of size and scope. Do not sell out of your own pocket. $100 million life insurance example? Get friendly with the gatekeeper!

Rock Solid Rule #8

Successful salespeople see and talk to more people than anyone else AND get more people to say no to them. How many no's do you need to get a yes? If you can quantify, it makes rejection less scary. Activity plan - page 64-65 - review in book.

Rock Solid Rule #2

Successful salespeople see themselves successful. "Excuse makers" will always have friends. I called them last year. They had a bad rep before me. Everyone's spent their budgets by January 1.

Rock Solid Rule #9

Successful salespeople take action. You have about 24 hours to act on a good idea. We are what we think about all day. Follow up is CRUCIAL: email, note, service calls

MADDEN

The Madden approach specifies what you need to know M= Money (do they have it?) A = Approachable (can you get an appointment?) D = Desire (do they want it from you or are they happy with current vendor?) D = Decision Maker (can they authorize it?) E = Eligible (is the scale ok? Committed to someone else?) N = Need (is your investment of time worth it?)

Proxemics

The study of the physical distance individuals prefer to maintain between themselves and others Personal (2 to 4 feet) = use only if prospect is comfortable/familiar Social (4 to 12 feet) = allows room for gestures

Purchase Decision Process Step 2: Search for options - can be limited by:

Time, experience, or cost Risk involved in the purchase

Price of Major Media Types - Television

WILX 10 NBC Lansing/Jackson ABC 53 Lansing/Jackson FOX 47 Lansing-Jackson WLNS 6 Lansing-Jackson $500-$1000 for one 30-second commercial (prime-time) Advantages: Popular shows Appeals to sight, sound and emotions Strong branding capabilities Limitations: High absolute costs High clutter Declining ratings DVR/Hopper/Streaming services