ch05 - customer interaction management

Part IIPart II

SALES FORCE ACTIVITIESSALES FORCE ACTIVITIESPart IIPart II

SALES FORCE ACTIVITIESSALES FORCE ACTIVITIES

Chapter 5:Chapter 5:

Customer Customer Interaction Interaction ManagementManagement

Improving Your Improving Your Chances of SuccessChances of Success

1. Build awareness

2. Get on the short list

3. Demonstrate how your proposal meets company needs

4. Directly address decision maker’s personal needs

5. Be prepared for “buyer remorse”

Personal SellingPersonal Selling

The Selling ProcessThe Selling Process

PRE-PRE-INTERACTIONINTERACTION INTERACTIONINTERACTION

POST-POST-INTERACTIONINTERACTION

Skills:Skills: Skills:Skills: Skills:Skills: Pre-Call Planning Relating

Need discovery Advocating Closing

Supporting Implementing Dealing with

dissatisfaction Enhancing the

relationship

Customer InteractionCustomer Interaction

Pre-Call Planning

What do I want to accomplish?

What do I know about the prospect?

Where can I find the information?

What am I going to say?

Figure 5-2: Some Important Pre-transactional Information

Customer InteractionCustomer InteractionWhat is the size of the business?

What product lines do they sell and what markets do they serve?

Where, how, when, why, and by whom will the products be used?

Who are the prominent executives and other key personnel?

Who are their competitors and on what basis do they compete?

Do they have any previous experience with our company?

What are the prospects for future sales volume and what is the upside potential?

Anticipate Buyer Questions

1. What are you selling?

2. Why do I need it?

3. Who is your company?

4. How much will it cost?

5. Who else is using it? Are they satisfied?

6. What kind of person are you?

7. How does your solution compare to alternatives?

8. Is price competitive?

9. Why do I need it now?

10. Your record for support & service?



Pharmaceutical Reps Run the GauntletPharmaceutical Reps Run the GauntletIf 100 sales reps call on a physician…

100 85 57 20 88 reps speakto physicianand are remembered

…15 depart office before reaching receptionist’s desk

…28 drop off samples at receptionist’s desk

…37 drop off samples at samples closet

…12 speak to physician but are not remembered later

Other reps waiting

Restricted access signs

Physician unavailable

Physician unavailable

Harried physician

Poor communication

Harried physician

Message not memorable

Figure 5-3: Successful Versus Less Successful Salespeople


Successful Salespeople

Research prospect background

Use referrals for prospecting

Open by asking questions

Use needs-satisfaction type presentation

Focus on customer needs

Let prospect make purchase decision

Less Successful Salespeople

Do little background research

Use company generated prospect lists

Open with a product statement

Use standard presentations

Focus on product benefits

Close by focusing on the most important customer objection


Means of Reducing Relationship AnxietyMeans of Reducing Relationship Anxiety

PROPRIETY Show buyer respect; dress appropriately

COMPETENCEKnow your product/service; third-party references

COMMONALITY Common interests, views, acquaintances

INTENTReveal purpose of call, process, and payoff to the buyer

New Discovery SkillsNew Discovery Skills

One initial rapport is established with the prospect, it all about understanding.

Understanding is achieved by:– Identifying motives– Questioning– Advocating skills

Presenting the solutionAddressing concerns

Task MotivesTask Motives

PRODUCTIVITYPRODUCTIVITY MONEYMONEY

More Outputor Quality

Less Cost

Less Effort More Profit



Personal MotivesPersonal Motives

Respect Power

Approval Recognition


Needs Discovery: Types of Questions

1. Permission Close-ended

2. Fact-finding Factual information

3. Feeling finding Open-ended questions

4. Checking questions Confirm understanding

Figure 5-6: Key Differences in Practices Between Relationships

TRANSACTIONALTRANSACTIONALRELATIONSHIPSRELATIONSHIPS

CONSULTATIVE ANDCONSULTATIVE ANDENTERPRISE RELATIONSHIPSENTERPRISE RELATIONSHIPS

Practices: Practices: Focuses on closing sales

Limited call planning investment

Spends most contact time telling account about products

Conducts “product-specific” needs assessment

“Lone wolf” approach to the account

Proposals and presentations based on pricing and product features

Sales follow-up is short-term, focused on product delivery

Focuses on customer’s bottom line

Considers call planning a top priority

Spends most contact time attempting to build a problem-solving environment

Conducts discovery in the full scope of the account’s operations

Team approach to the account

Proposals and presentations based on profit-impact and on strategic benefits.

Sales follow-up is long-term, focused on long-term relationship enhancement



Sales Proposals – General Format

Problem Analysis

Solution

Product Specifications

Cost-benefit Analysis

Contract

Handling Concerns

Listen to the buyers feelings

Share concerns without judgment

Clarify real issue with questions

Problem-solve present options and solutions

Ask for ACTION to determine commitment


Pseudo-Concerns

““I’ll have to talk it over with Frank.”I’ll have to talk it over with Frank.”

““I’ll get back to you.”I’ll get back to you.”

““I’m too busy right now.”I’m too busy right now.”

““Our budget is tight this year.”Our budget is tight this year.”

““We have no room to store it.”We have no room to store it.”


Closing TechniquesCustomer InteractionCustomer Interaction

IMPORTANCE BY PRODUCTIMPORTANCE BY PRODUCT

Selling Technique Industrial Consumer

Direct Ask for the order in a straight-

forward manner 1 1

Summary Summarize the benefits already

covered in the presentation 2 2

Single

Objection

Asks for the order if last obstacle is overcome 3 4

Assumption Assume readiness to buy and

focus on the transaction details 4 2

Choice Focus on version to be ordered 5 5

31%31%

63%63%

87%87%

11%11%

32%32%

62%62%

3%3%

22%22%

59%59%

8%8%

26%26%

58%58%

16%16%

34%34%

49%49%

Most Profitable Return

Top 3 Rankings for Growth

Rated Very Important to Growth

Quality of service to customers

Product improvements or extensions

Information technology

Advertising and sales promotion

Development of entirely new product lines


Figure 5-7 : The Role of Customer Service

Figure 5-8: Servicing the Sale: The Four Pillars of Sales Support


Sales SupportSales Support

Supportthe

BuyingDecision

Managethe

implementation

Dealwith

dissatisfaction

Enhancethe

Relationship

Pillars of Sales Support

Support Buying Decision Reduce buyer anxiety

Make a follow-up call

Ask for feedback

Manage the Implementation Assist w/ approval process

Introduce support resources

Monitor & report progress


Deal with Dissatisfaction Empathize with the buyer

Respond to problems – use objection handling techniques

Anticipate buyer concerns and expectations

Reinforce the Benefits



Enhance the Relationship

Be a resource for info, help and ideas

Grow the business internally

Ask for referrals

Be available

Arrange continuedpersonal communications

Maintain quality of products/services

Provide ongoing updates and progress reports



Constant Selling

Neglecting Customer Problems

Talking Too Much

Stretching the Truth

No Thank-Yous

Ways to Anger Customers


ch05 - customer interaction management

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