the sales process

Chapter 13 Initiating the Sale

The Sales Process

Marketing EssentialsMarketing Essentials


What You'll LearnWhat 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

The Sales ProcessThe Sales Process


The Sales ProcessThe Sales ProcessWhy It's ImportantWhy 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.



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

Steps of a Sale


The Sales ProcessThe Sales ProcessApproaching 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


The Sales ProcessThe Sales ProcessApproaching 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.


The Sales ProcessThe Sales ProcessSteps 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?

Chapter 13 Initiating the Sale 8


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.

The Approach in Business-to-Business Selling



There are three methods you can use in the initial approach to retail customers:

the service approach

the greeting approach

the merchandise approach

The Approach in Retail Selling



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.

The Service 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.

The Greeting 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.

The Merchandise Approach


Retail Approach MethodsRetail Approach Methods

ServiceApproachService

Approach GreetingApproachGreetingApproach

MerchandiseApproach

MerchandiseApproach

Hurried Customer

Hurried Customer

Routine Purchase

Routine Purchase

BrowsingCustomer

BrowsingCustomer

Fixated Customer

Fixated Customer


ASSESSMENTASSESSMENT

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.




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.




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.



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?


Determining Needs in Sales

Marketing EssentialsMarketing Essentials


What You'll LearnWhat You'll Learn

Why determining needs is an essential step in the sales process

Three methods used for determining needs

Determining Needs in SalesDetermining Needs in Sales


Determining Needs in SalesDetermining Needs in SalesWhy It's ImportantWhy 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.



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.

Determining Needs


Determining Needs in SalesDetermining Needs in SalesWhen 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.


Determining Needs in SalesDetermining Needs in SalesHow to Determine Needs

Three methods will help you determine customer needs:

observing

listening

questioning


Determining Needs in SalesDetermining Needs in SalesObserving

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.



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.

Listening



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:

Questioning

who

what

when

where

how

why



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.

Questioning




1. Why is determining needs an essential step in the sales process?

Slide 1 of 2

Determining needs is used to build the entire sales presentation and is the basis for consultative selling.




2. How can you use open-ended questions to encourage customers to do the talking?

Slide 1 of 2

Asking open-ended questions allows the customer to talk about his or her needs.




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?

Slide 1 of 2

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.

the sales process

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