The Sales Process

1. Marketing Essentials The Sales Process

2. The Sales Process What You'll Learn • The seven steps of a sale • The importance and purposes of the approach in the sales process • How business-to-business sales representatives conduct the initial approach • The three initial approach methods used by retail salespeople

3. The Sales Process Why It's Important Knowing the seven steps of a sale gives you an overview of how a sale is conducted from beginning to end. Learning the various methods of approaching a customer is the first step in that process.

4. The Sales Process Steps of a Sale • Professional salespeople go through seven steps when helping a customer make a purchase. • 1. Approaching the customer • 2. Determining needs • 3. Presenting the product • 4. Overcoming objections • 5. Closing the sale • 6. Suggestion selling • 7. Relationship building

5. The Sales Process Approaching the Customer • The approach is the first face-to-face contact with the customer. The approach sets the mood or atmosphere for the other steps of the sale. It has three purposes: • to begin conversation • to establish a relationship with the customer • to focus on the merchandise

6. The Sales Process Approaching the Customer When approaching the customer, follow these rules: • Treat the customer as an individual. • Be perceptive about the customer’s buying style. • Be enthusiastic, courteous, and respectful.

7. The Sales Process Steps of a Sale • Sometimes it is easy to remember many steps by creating a mnemonic device, such as ANPOCS for the steps of a sale. What is the significance of each letter in this mnemonic device? How is “Customer Relationship Building” part of the sales process?

8. The Sales Process The Approach in Business-to-Business Selling • In B2B selling, the salesperson will set up an appointment in the preapproach stage of the sale. At the approach, follow these rules: • Arrive early to show you are interested and give yourself time to organize your thoughts. • Introduce yourself and your company. • Use the customer’s name. • Offer a business card.

9. The Sales Process The Approach in Retail Selling There are three methods you can use in the initial approach to retail customers: • the service approach • the greeting approach • the merchandise approach

10. The Sales Process The Service Approach In the service approach method, the salesperson asks the customer if he or she needs assistance. This method is acceptable when the customer is obviously in a hurry or if you are an order taker for routine purchases.

11. The Sales Process The Greeting Approach In the greeting approach method, the salesperson simply welcomes the customer to the store. This lets the customer know that the salesperson is available for any questions or assistance.

12. The Sales Process The Merchandise Approach In the merchandise approach method, the salesperson makes a comment or asks questions about a product in which the customer shows interest. This method can only be used if a customer stops to look at a specific item.

13. Retail Approach Methods Hurried Customer Routine Purchase BrowsingCustomer Fixated Customer ServiceApproach GreetingApproach MerchandiseApproach

14. ASSESSMENT Reviewing Key Terms and Concepts • 1. Do you think all seven steps of a sale are followed in every sale? Why or why not? All seven steps do not have to be followed in every sale. Some customers are pre-sold and know exactly what they want. Also, the salesperson may do such a good job matching products with a customer’s needs that there are no objections.

15. ASSESSMENT Reviewing Key Terms and Concepts • 2. Why is the initial approach in business-to-business selling different from a retail approach? In retail selling, the customers arrive in the store location. In business-to-business selling, salespeople go to the customer’s place of business to make a presentation. Also, a business-to-business meeting is usually make by appointment.

16. ASSESSMENT Reviewing Key Terms and Concepts • 3. What are the advantages of the merchandise approach? The merchandise approach immediately focuses attention on the product and gives the salesperson an opportunity to tell the customer about its features and benefits.

17. ASSESSMENT Thinking Critically • You are given the opportunity to train new retail sales associates in the art of approaching customers. What three key concepts would you make sure you covered first? Why?

18. Marketing Essentials Determining Needs in Sales

19. Determining Needs in Sales What You'll Learn • Why determining needs is an essential step in the sales process • Three methods used for determining needs

20. Determining Needs in Sales Why It's Important A thorough analysis of customers' needs and wants is necessary when planning and executing effective sales presentations. Customers vary greatly in their perceptions and requirements, so salespeople must learn how to uncover those differences. This section will help you to accomplish that goal.

21. Determining Needs in Sales Determining Needs Customer needs are directly related to buying motives. Motives can be rational, emotional, or a combination of both. In this step of the sale, your job is to uncover the customer's reasons for wanting to buy.

22. Determining Needs in Sales When to Determine Needs • The salesperson should determine the customer's needs as early in the sales process as possible. • In a retail selling, the salesperson should begin to determine needs immediately after the approach. In business-to-business selling, needs can be determined in the preapproach.

23. Determining Needs in Sales How to Determine Needs • Three methods will help you determine customer needs: • observing • listening • questioning

24. Determining Needs in Sales Observing • When you observe a customer, you look for buying motives that are communicated nonverbally. Nonverbal communication is expressing yourself through body language such as facial expressions, hand motions, and eye movement. In B2B selling, nonverbal communication can include the personal belongings in a buyer's office.

25. Determining Needs in Sales Listening • Listening helps you pick up clues to the customer's needs. Remember these five important listening skills when talking to your customers: • Maintain good eye contact. • Provide verbal and nonverbal feedback. • Give customers your undivided attention. • Listen with empathy and an open mind. • Do not interrupt.

26. Determining Needs in Sales Questioning • In order to listen to customers, you must get them talking. One way of engaging a customer in conversation is to ask questions. • Build your questions around words like: • who • what • when • where • how • why

27. Determining Needs in Sales Questioning • Do ask open-ended questions—questions that require more than a yes or no answer. • Do ask clarifying questions to make sure you understand customers' needs. • Don't ask too many questions in a row. • Don't ask questions that might embarrass customers or put them on the defensive.

28. ASSESSMENT Reviewing Key Terms and Concepts 1. Why is determining needs an essential step in the sales process? Determining needs is used to build the entire sales presentation and is the basis for consultative selling. Slide 1 of 2

29. ASSESSMENT Reviewing Key Terms and Concepts 2. How can you use open-ended questions to encourage customers to do the talking? Asking open-ended questions allows the customer to talk about his or her needs. Slide 1 of 2

30. ASSESSMENT Reviewing Key Terms and Concepts 3. You are a salesperson in a rug store that carries inexpensive are rugs, medium-priced area rugs, and very expensive handmade area rugs. How would you determine your customer’s price range? Do not directly ask about his or her price range. Instead, ask about the rug’s intended use to gain clues of how much he or she expects to pay. Slide 1 of 2