Knowledge and Attitude provide us with the foundation for a successful sales career. However we need to build on this foundation, clearly defined objectives so that we can make sales, and that requires skill. Salespeople are not born they are made. More accurately I should say, they make themselves. It will always be your responsibility to build your sales skills and to practice them until you are proficient.
There will be some who seem to have a natural ability - just as there are a few outstanding individuals in any field of endeavour. The great news is that, to be successful and earn a high income in selling you do not have to be the best. You just need to be consistently good. In this chapter I want to overview the basics of selling so you can see how they fit together. In Part 3 we will look at the individual skills in detail and develop a plan for self improvement. For now let us focus on mastering the sales process.
You may have heard of the term 'Sales Cycle' which refers to the general step by step process of completing a sale. This cycle usually includes prospecting, getting an appointment, identifying the need, presenting the product, handling objections and closing the sale. There is nothing wrong with these steps, they comprise the basic ingredients of any sale. However, it is the concept of a 'Cycle' that I believe causes many problems in selling. By focusing on each step of an individual sale, rather than the ongoing process of consistent selling and creating regular work habits, three specific difficulties arise.
There is a tendency for production to become rather cyclical, i.e. a series of peaks and troughs in sales. Selling is not about creating a number of individual sales, but rather creating a regular flow of business. By treating selling as an ongoing process you can develop a consistent pattern of sales activity which, in the long run, will produce better overall results and eliminate the problem of getting hung up on the big sale.
People do not like to be sold to. How do you feel when a salesperson tries to 'Close' you using one of the popular closing techniques, or tries to answer your quite reasonable question with a clever 'Objections Handling' technique? Nobody wants to buy your company's products or services. What they want is to satisfy a personal or corporate need or desire. They will buy your product if they are satisfied that it will achieve their objective.
Focusing on individual sales tends to result in getting locked into a win/lose battle for the business. If all the effort is on the individual sale instead of the regular process, not getting that sale will affect our income and our sales targets. This results in applying pressure to the prospect and feeling that we must go out and "close " some business, somehow.
If no individual sale is particularly important because you are working a regular process which consistently produces a regular flow of business, the pressure comes off. If prospects get the impression that the main reason for buying is to help you to solve your problem - you are behind on your sales target - they are not going to feel very positive. Once they feel that you are there to help them, they become much more predisposed to buy.
Too much dependence on the individual sale leads salespeople to focus on the "product". This in turn means they tend to become over enthusiastic about the features of the product,. rather than demonstrating how they can benefit the prospect. Many prospects today have acquired considerable knowledge about the range and price of products available and have a pretty clear idea of what they want. Others are confused by their research and are looking for friendly expert advice, someone they can trust and rely upon in the future. In both instances, what is wanted is a business relationship, not a sales pitch.
Treat selling as a process instead of a cycle and you will be able to achieve four important objectives.
Each step in the sales process is distinctly separate. It has its own objectives that are measurable so that you can check to see if you are being successful. Each step has its own Knowledge to study, its own Attitudes to cultivate, its own Skills to develop and its own Habits to build.
In fact each step is a separate entity and it is important to be clearly aware of which step you are working on in any individual sale. If you move onto the next step before you have completed the objectives of the previous step the sale will become more difficult to achieve and you will begin to revert to the old Sales Cycle approach.
Objective - To identify a clearly defined group of contacts, decision makers and influencers, whom you suspect have a need or desire for which your product or service is a cost effective solution.
Nothing lasting can ever be built, without first creating a solid foundation. If the preparatory work is done well, the rest is much easier. Attention to preparation defines the difference between a professional and an amateur salesperson. That preparatory first step is to find people who have a need or desire for which your product or service may be a solution. In our increasingly complex world of information overload, this process of identifying or targeting potential prospects needs even more attention.
The days of randomly attempting to sell to people who vaguely look as though they might need your product is both expensive and ineffective. To be heard you need to establish a relationship with prospects and persistently remind them who you are.
We all have an increasing number of unsatisfied needs and tend to make buying decisions only when a need becomes a priority. The more difficult the economic climate, the less likely we are to buy on impulse. We also tend to be far more influenced by recommendations from friends, colleagues, magazine articles and other customers than ever before. People in similar markets have a tendency to know each other and communicate with each other on a regular basis even if they are competitors. They read the same magazines, attend the same exhibitions, and have the same types of problems.
It is also important to manage expenses and time effectively and this means being selective about who you spend your time with. Decide in advance who you plan to do business with. Target clearly identifiable groups of decision-makers with similar needs and problems and focus your sales activity almost exclusively upon them.
Market knowledge is far more important in establishing a sound relationship with prospects than product knowledge. By targeting you are more able to develop expertise in your chosen market. Targeting puts you in much greater control of your sales activity. You can more easily establish your credibility. The ability to identify new sales opportunities are also increased. You are better able to see specific gaps and needs in clearly identified markets and can develop sales campaigns and activities to tap these opportunities.
The process of finding the market includes compiling a detailed database of clearly identified decision makers. Research will help establish the most likely occasions when you can satisfy their needs or desires.
At the end of the Finding the Market phase, you will have a list of names and other relevant information - These are CONTACTS - People in decision making or influencing positions whom you suspect may have a need for which your product is a solution
Objective - To introduce your company and its products and services to a target group, to identify those prospects who have a definite need for your product or services now, and arrange either appointments to see them or telephone interviews.
Most of us close our minds to the daily bombardment of information about products and services - how else can we with our jobs and our lives. In addition, the increasing pressures on us in the 1990's means that we all need to be more economical with the time we spend with other people. We cannot afford to spend time with salespeople unless we believe they can help us solve our everyday problems.. Equally, as salespeople, we can only afford to spend time with people who are currently in the process of considering a buying decision that could lead to them purchasing our product or services
.The approach phase of the sales process is not just a matter of getting appointments. There must be a serious chance of leading to business. The techniques of approaching the market are also a qualifying and communication process. We are advertising our company and communicating what we do. Much of the approach phase is focused on developing the skill of using the telephone. Yet face to face approach work should not overlooked. Fewer salespeople today use face to face cold calling as an approach tool, but there are many prospects who can only be reached this way. Whether the call is on the telephone or face to face, the objective is still the same - to get an appointment to talk business, to persuade the prospects to give you some of their time.
As time is so important and expensive today, it is essential when 'phoning to decide whether the potential sale requires a face to face meeting. This depends upon the nature of the business but I have earned thousands of pounds on the telephone and sometimes, I never met the prospects face to face. But don't confuse the approach with other stages in the sales process. If you call to identify the decision maker, that is part of the process of finding the market. It requires a different set of skills to getting an appointment and it is better to treat the two as separate calls unless you are ready to deal with getting an appointment. If you sell on the phone, make sure that the prospect agrees to give you the time first, in effect secure an appointment before beginning to establish the relationship.
Often when you approach someone, they will claim not to have a need or possibly be using a competitor. They may be too busy to talk, may not be in or even have someone trained to intercept calls and prevent contact. Some of the time they will make an appointment. The real skill in approaching the market is to identify when the prospect is most likely to be in the market and approach then when they are most likely to say "yes".
However, it is no good being a wizard at getting appointments on the phone, if half fail to keep the appointment or clearly have no want. Some salespeople seem able not only to get appointments with people with no needs, but also to sell them products they do not need. In the short term this may seem to be effective selling, but the price they pay in the long term is high and often fatal. High pressure techniques only make selling harder eventually, whereas our job is to make selling progressively easier.
Another trap for the unwary salesperson is that of pestering a prospect. Securing an appointment does require you to maintain regular contact with prospects over a long period of time. To achieve this without pestering requires a variety of regular communications using telephone, direct calling, exhibitions, seminars, hospitality events, direct mail, socialising, referral introductions, public speaking and any other PR techniques to remind the prospect, positively, about you, your company and your products.
At the end of the Approaching the Market phase you will have secured appointments on the phone or face to face with a group of PROSPECTS who have indicated that they do have a need, for which your product or service may be a solution.
Objective - To establish a positive personal relationship with a prospect, to clearly identify the present need or desire that the prospect wants to satisfy, and stimulate the motivation to do business with you.
This is the primary relationship building phase of a sale. It could take minutes or it could take years to achieve. It may be the result of a telephone call or it could take many face to face meetings and reports. Whatever the case, the purpose is to find out about the prospects, their needs and their desires. Nobody needs your company's product! What they need is what it will do for them. This is not even about benefits.
Selling Is Solving People Problems at a Profit.
Sometimes it is difficult to separate the product from the need. If you sell photocopiers there is a tendency to think that the prospect needs a photocopier. As a result many salespeople would tend to go in talking about photocopiers and highlight the new features and then use the standard formula to convert them into benefits. The fact that the prospect is talking indicates that there is a need to copy documents. But why are they looking at changing from their current solution? Answering that question focuses on the real needs.
What are the problems with the present solution? What is the present requirement and how will that change in the future? What are the financial and budgetary considerations? Is noise a factor, or peaks and troughs in use, is there a servicing problem? Are there printing requirements that could be handled with high quality copying? This information can only be discovered by in-depth fact finding and this is the key to establishing relationships. Salespeople who ask searching and relevant questions, who delve into the prospects' needs, will demonstrate clearly that they have the prospects' interests at heart.
Establishing the relationship is a people handling skill. It includes a considerable amount of psychology, creating rapport, identifying the type of prospect, deciding how best to present the solutions and negotiate terms. It requires the skill of using humour appropriately, being relaxed and confident, presenting a good professional image but, most of al, it is a skill of demonstrating care. The best way to achieve this is firstly to be demonstrably knowledgeable about the prospect's business and market and then to show interest in their problems by asking relevant questions.
At the end of this phase in the sales process you will have established trust and rapport. You will have a solid foundation upon which to build business. You will have a clear idea of the prospect's objectives, and will have agreed these objectives and the budget. In reality, if you have a product that meets the objectives, the sale will already have been made, although the prospect has yet to see a brochure, a demonstration or even discuss the solution.
At the end of the Establishing the Relationship phase you will have QUALIFIED the PROSPECT by clearly identifying that there is a need for which your product or service is a solution, and will have created rapport with the prospect such that he or she would like to do business with you.
Objective - To demonstrate how you are able to meet the prospect's objectives with an appropriate product or service, and complete the necessary paperwork and administrative procedures to enable your company to deliver the goods.
This phase in the sales process should be the simplest and the easiest of all. Yet in so many instances it has become the most difficult and the most complex. The reason for this is that too often the focus is on the salespersons problem - shifting the product. More has been written and spoken about presentation of the product, handling objections and closing the sale than any other aspect of selling. This is one important area where the 'sales process' differs from the 'sales cycle' approach.
With the old approach, the objective is to 'Sell the product'. With the new approach the objective is to 'Create a new customer'. The techniques used in the past to achieve the sale were virtually guaranteed not to create an ongoing customer. Have you ever been on the receiving end of any of the hundreds of clever closing and objection handling techniques? How did you feel about the salesperson and their company afterwards? Do you ever go back to a company or salesperson if you have been subjected to pressure?
People like to buy from people they both like and trust. We like to feel that WE made the decision to buy, and most of us do not like to be 'sold' to. A good salesperson helps us to make a decision and uses knowledge and experience to make our selection process easier. This does not mean that you do not need to present the product well, or that you do not need to deal with objections ,or that the sale does not need to be closed. It is just that the way it is done should be natural, with the focus on assisting the prospect to make a buying decision.
Because we all have a wide range of unsatisfied needs but only limited resources we have to make choices. When a prospects make a buying decision, they re at the same time, deferring decisions on other needs which may have almost equal importance. Concern for other needs constitutes normal resistance to buying.
There is also an element of fear in making a decision. "What if I make the wrong decision? Should I have a look at other products before I make this decision? What if I find I could get a better deal elsewhere? What about that other product I saw last week? If I buy this product will I have enough left for the other things I really want? Should I make some of the other purchases first? Will my boss, wife, staff etc. agree with my decision?"
The fear and resistance goes on and on. For some types of people, the fears are greater than others. The skill required of the salesperson is in understanding the prospect and adapting the presentation to suit. It is also important to help create positive motivation in the prospect, so that the decision becomes easier. Nobody buys anything unless they are motivated to do so.
At the end of the Completing the Sale phase, you will have secured a sale to a CUSTOMER as the first stage in an ongoing business relationship, enabling him or her to satisfy a need or desire using your product or services. .
Objective - To develop an ongoing positive relationship with customers so that they tend towards automatically purchasing from you, and will regularly recommend you and your company to their friends and acquaintances.
The cost of acquiring new business is becoming increasingly expensive. As the products we produce become more and more complex, there is a tendency for us all to stay loyal to a company we trust, rather than have to go through the long and difficult process of finding an alternative supplier. It is therefore imperative that we retain our customers. Once lost, they are seldom regained, and the damage they can cause to our reputation by negative comments is considerable. Yet, despite this many companies ignore service to their existing customers.
To achieve customer satisfaction you must understand and meet their expectations. As a customer I have clear expectations of your company, your products and your service. I expect delivery to take place when agreed as I expect my meal in a restaurant to arrive in a reasonable time. I also expect your product to meet its promotional claims.
Meeting these expectations is the norm. You get no points for doing what you said you would do. Falling short will earn you a rebuke at least, or likely, the loss of my future trade - more and I will probably tell all my friends. At worst we will go to court or some other battle ground.
Exceed my expectations, do a little more than I was expecting, and you become noticed and remembered. You may earn my praise and get my future business. I may even tell my friends. But remember, service is measured against what you led me to expect. Sell me a benefit you can't deliver and I will be dissatisfied even if I didn't really want that benefit.
How do we find out about the customer's expectations? The answer is to clearly understand the customer's needs and desires. If you then ensure that you promise only what can be delivered, you are assured of satisfied customers, most of the time. It is better to promise only what the customer definitely needs and wants, then any extra benefits are a welcome bonus.
Marks & Spencer built their reputation on service. They guaranteed to refund on any items that were returned unused or faulty. Interestingly, the 1973 Sale of Goods Act required everyone to do that. Most saw this as a problem and hid the fact from the public. M & S made it into a long term marketing campaign to their considerable benefit.
If your company is seen to do that little bit extra for the customer it says that you care, and that makes all the difference.
As a result of the Servicing the Customer phase of the sales process you will secure ongoing business, and your customers will become CLIENTS who automatically trade with you and recommend you to their friends and acquaintances.