relationship selling ppt
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sales managementTRANSCRIPT
Introduction to Introduction to Relationship SellingRelationship Selling
DivyanthDivyanthBhavanaBhavanaHimavanHimavan
ZubairZubairSri KrishnaSri Krishna
1-1
INTRODUCTION TO RELATIONSHIP SELLING
1-2
Learning Objectives
• Identify and define the concept of relationship selling
• Understand the importance of a customer-centric organization
• Explain why value is a central theme in relationship selling
• Identify the processes involved in relationship selling
• Identify the elements in managing relationship selling
• Discuss and give examples of the elements of the external and internal environment for relationship selling
INTRODUCTION TO RELATIONSHIP SELLING
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A Model for Relationship Selling and Sales Management - Overview
• Are customer-centric
• Are highly customer-oriented
• Exhibit a customer mindset
Firms successful at relationship selling and sales management:
INTRODUCTION TO RELATIONSHIP SELLING
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Customer Orientation
• Focus on understanding customers’ requirements
• Generate an organization-wide understanding of the marketplace
• Respond effectively with innovative products and services
Firms that have a high level of customer orientation:
INTRODUCTION TO RELATIONSHIP SELLING
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A Model for Relationship Selling and Sales Management - The Customer
• The customer is at the center of the model
• Return on customer investment
• Lifetime value of a customer
INTRODUCTION TO RELATIONSHIP SELLING
McGraw-Hill/Irwin © 2005 The McGraw-Hill Companies, Inc. All rights reserved.
INNOVATION
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1.1
1. Doing it your way, not the customer’s way
2. Focusing on your objectives, not the customer’s
3. Pushing for a client meeting as though it is the end game
4. Pushing the customer
5. Failing to listen
Source: John R. Graham, “Think Like a Customer – Or Lose the Sale, “American Salesman (January 2002), p.3.
Want to Think Like a Customer? Mistakes to Avoid Always
INTRODUCTION TO RELATIONSHIP SELLING
McGraw-Hill/Irwin © 2005 The McGraw-Hill Companies, Inc. All rights reserved.
INNOVATION
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1.1
• Making the sale the goal
• Giving too many or too few options
• Writing off the customer too soon
Source: John R. Graham, “Think Like a Customer – Or Lose the Sale, “American Salesman (January 2002), p.3.
Want to Think Like a Customer? Mistakes to Avoid Always
INTRODUCTION TO RELATIONSHIP SELLING
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A Model for Relationship Selling and Sales Management – Value Creation
• Value is the bundle of benefits the customer derives from a purchase
• Give-get ratio
• Value creation - adding value for a customer beyond an isolated transaction
INTRODUCTION TO RELATIONSHIP SELLING
EXHIBIT
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Time Investment in Each Stage of the Sale1.3
Traditional selling
Value-added sellingDeveloping an understanding
of the buyer’s needs
Closing the sale
Presenting your solution
INTRODUCTION TO RELATIONSHIP SELLING
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A Model for Relationship Selling and Sales Management – Relationship Selling
Process elements of relationship selling:
• Using information
• Communicating the sales message
• Negotiating for win-win solutions
• Closing the sale and follow-up
• Self-management
INTRODUCTION TO RELATIONSHIP SELLING
McGraw-Hill/Irwin © 2005 The McGraw-Hill Companies, Inc. All rights reserved.
INNOVATION
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1.3
• Attrition for first-year accounts is more than twice that of long term accounts due to:• Early problems that sour the relationship• No formal servicing system• Communication breakdowns
• Avoid the early break-up by:• Saying thank-you• Seeking feedback early• Responding quickly
Source: Erin Strout and Michael Weinreb, “Please Come Again,” Sales and Marketing Management (February 2003), pp. 47-48.
The Importance of Follow-up
INTRODUCTION TO RELATIONSHIP SELLING
EXHIBIT
1-12
The Firm
Components of the Internal Environment1.4
The Custome
r
Goals, objectives, culture
Goals, objectives, culture
PersonnelPersonnel
Financial resourcesFinancial resources
Production and supply-chain capabilities
Production and supply-chain capabilities
R&D and technological capabilities
R&D and technological capabilities
Service capabilitiesService capabilities
INTRODUCTION TO RELATIONSHIP SELLING
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Internal Environment
• Places the employee at the center of its business model
• Promotes fun
• Hires people by “tryouts”
• Lends itself to a favorable service culture
Southwest Airlines' corporate environment
INTRODUCTION TO RELATIONSHIP SELLING
EXHIBIT
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The Firm
Components of the External Environment1.5
The Custome
r
Legal and politicalLegal and political
TechnologicalTechnological
Social and culturalSocial and cultural
EconomicEconomic
NaturalNatural