MGMT231 Final Flashcards
How does the consultative sales process add value to the sales process?
By accurately determining the prospect’s needs and selecting an appropriate product or service.
What are the six steps in a consultative Sales process?
- Approach : Initiating customer contact.
- Need Discovery: Determine customer needs and selected product solution
- Presentation: Select a presentation strategy, initiate presentation.
- Negotiation: Anticipate buyer concerns, plan negotiation method
- Close: Pan appropriate closing emthods, recognize closing cues, initiate closing methods.
- Servicing the Sale: Follow-through, follow-up calls, Expansion Selling
What are the four parts of the Need-Satisfaction Model
- Needs discovery
Effective use of questions to achieve need identification and need satisfaction
* Consider the What, When, and How of the quesitons you ask.
- Selection of the solution
Involves a careful analysis prior to solution introduction
Counselling alternatives:
a) Recommend solution and consumer buys immediately
b) Salesperson makes need-satisfaction presentation
3) Recommend another source
- Need satisfaction through informing persuading, and/or reminding (emphasis on statements)
- Servicing the sale (build repeat business)
What are the four types of questions? Describe them.
- Survey
Discovers basic facts about the buyer’s problem and existing situation.
“What problems are you experiencing”
- Probing
Designed to uncover pain and clarify the circumstances and implications surrounding the customer’s problems
“Are there any problems that are affecting…”
- Confirmation
Used throughout the sales process to verify the accuracy and assure a mutual understanding of information exchanged
” So you think that this problem is affecting how you…”
4.Need-satisfaction
Designed to move the saless process towards commitment and action.
“if this solution is provide do you think This problem would be solved”
What is active listening? Why important?
Active listening is the process of sending back to the prospect what you as a listener think the person meant, in terms of both content and feelings.
- Need to focus your full attention, paraphrase the customer’s meaning and take notes.
- Allows one to ask better questions and uncover proect needs and buying motives.
How to select solutions that match customer needs?
- Digest relevant information, perceive patterns and determine unique solutions that will work n each unique situation
What are the three types of need satisfaction presentation Strategies?
- Informative
- Emphasizes Factual
information (often taken from technical reports)
- Company-prepared sales literatures or written testimonials from other consumers - Persuasive
motivating someone else to voluntarily so something you;d like them to do
- Sales strategy that influences the prospects beliefs’ attitudes, or behaviour and encourages buyer action. - Reminder (Reinforcement)
- Assumes the prospect has already been involved in an informative or persuasive presentation and understands the basic product features and buyer benefits.
What are the key elements of a Informative Presentation Style?
- Clarity, simplicity and directness are key
- Welcomed by a reflective and directive communication-style customers
-Keep in min the “less is more” Concept - Salesperson must transition from an information conveyer roles of a trusted business advisor.
What are the guidelines ti creating consultative presentations that add value?
Prior to Presenting:
- Review Prospect infromation
- Review buying motives
-Review product selection
-Select need-satisfaction presentation strategy
-Develop consultative presentation plan that adds value
-Rehears presentation
During Presentation:
- Re-establish relationship
- Confirm buying conditions
-Present specific benefits - Conduct appropriate demonstrations-
- Confirm customer understanding
-Negotiate concerns, close and service the sale
What are the guidelines and elements of a persuasive presentation strategy?
- Conviction (Emotion) is more vital to persuasion than position (Logic)
- Persuasive communication is personal, subjective, an emotional response, emphasizes benefits, and influence driven (as oppose to information driven).
What are the guidelines for a Group Sales Presentation?
- Identify the titles and roles of the people who will attend
- Check out the meeting room in advance.
- Ensure presentation is characterized by clarify and simplicity (mental imagery)
- Anticipate diverse questions and prepare concise persuasive answers.
What are some selling tools that add value to sales demonstrations?
- Product and plant tours
-Models (working or not)
-Photos, illustrations and brochures
-Portfolios ( a wide variety of sales-supporting materials)
-Graphs, charts, test results - Rehearsing the presentation
What are the principles of formal negotiations as part of the win-win strategy?
- Take time t0 discover customer’s needs and recommend best possible solution
Planning for negotiation:
- Anticipate buyer concerns
- Review common types of buyer concerns
- Review methods of negotiation buyer concerns
4.Prepare a negotiation worksheet.
Activities during negotiation
- Recognize and understand verbal and non verbal clues.
- Validate the problem.
- Find point of agreement
- Co not allow anger to surface
- Answer buyer concerns.
- Be alert for closing cues
What are the types of buyer concerns?
A) Related to the need for the product
- Prove product is a good investment
B) Concerns about the product or service
- Product is not well established so show third part testimonials, demonstrations, guarantees etc
C) Concerns related to the source
- Difficult relationship to buyer means work harder to identify problems only your company can solve, point out superior benefits, stay visible and connected
D) Concerns related to time
- No benefit to buy now; use probing questions, present the benefits of buying now sincerely. Contract Renewal may mean negotiation.
E) Concerns related to price
- May only be an excuse
-Most common form of resistance
How to work with buyers whoa re trained in negotiation?
1) Budget Limitation Tactic
2) Take it or Leave it Tactic
3) Let us split the difference tactic
4)”If then” tactic
5) Sell low Now, Make Profits Later) tactic
Consider what you are willing to accept and how to handle any plausible option a client might present.
