Sales and Distribution

Management 2e

Tapan K. Panda
Sunil Sahadev

Oxford University Press 2012. All rights reserved.

 Chapter 3

The Selling Process

Oxford University Press 2012. All rights reserved.

 Learning Objectives
Learn and apply the basic steps in the selling process

Understand the needs of a prospect and the method of

prospecting

Take note of various approaches to sales presentations

Learn various methods of handling objections

Apply various methods of closing a sale

Understand the concept of systematic selling

Oxford University Press 2012. All rights reserved.

The Selling Process

Oxford University Press 2012. All rights reserved.

Salespersons Knowledge Universe
Product
knowledge
Feature
Benefits
Styles
Origin
Price

Company Competitors
knowledge knowledge
History Industry
Finances Salespersons structure
Management knowledge Market share
Size universe Market
Policies and behavior
procedure Other policies

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 Prospecting

50 potential prospects 50 potential prospects

15 Qualified prospects 25 Qualified prospects
6 Interviews 17 Interviews
1 sale 7 sales

No Yes

Successful prospecting

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Process of prospecting

Identify and define prospects

Search for sources of potential

accounts

Qualify the prospects from the

suspects

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 Methods of prospecting
Cold canvassing
Endless chain customer referral
Prospect pool
Centers of influence
Non competing sales force
Observation
Friends and acquaintances
Lists and directories
Direct mail
Telemarketing
Trade shows and demonstrations

Oxford University Press 2012. All rights reserved.

The Selling Process

Oxford University Press 2012. All rights reserved.

 The Selling Process
Pre approach to selling
Approach to the customer
Sales presentation
- approach to sales presentation
- attracting customer attention
- creating interest
- arousing desire and building conviction
Methods of sales presentation
- canned presentation
- organized presentation
- tailored presentation

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 Handling customer objections
Suggested by SMITH
Start with your highest expectations
Avoid conceding first
Be sure the customer understands the value of a concession
Make concessions in small amounts
Admit mistakes and make corrections willingly
BE prepared to withdraw a concession
Avoid split the difference strategy
Do not advertise willingness to concede

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Methods of handling customer objections
Superior feature method
YesBut method
Reverse English method
Indirect denial method
Pass out method
Comparison method
Direct denial method
Another angle method
Narrative method
Testimonial method
Question or WHY method

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 Methods of handling price objections
Method
Breaking down the price into smaller
units
Converting to lower priced items
Firing the customer
Postponing
Quantifying differences
Showing returns on investments
Stressing exclusive features and
differences
Talking about ultimate costs
Using comparison
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Strategy
Salespeople take the price of the product and divide it by the number of years of
use, take into account the appreciation in the market, and compare the product
with those of the competitors to show the same as a product advantage.
Salespeople counter the price objection of a prospect by showing him/her a
lower priced model and comparing it with the higher priced one.
Salespeople call the objections bluff.
Salespeople avoid answering the objections early in the interview and postpone
the price question till the closing of the sale.
The salesperson tries to quantify the differences explicitly as much as possible.
The salesperson tries to show that the product gives more in return than the
current level of investment.
Salespeople compensate for a higher price by indicating features and benefits
that are absent in competitors products.
Salespeople tactfully talk about the initial cost and the total cost including
installation and servicing costs.
Salespeople compare the price of the product with the other competitors
product that have also gone higher or with the discomfort of the cheaper
alternatives.
 Closing the sale
Methods of closing the sale

Follow-up action

B2B selling

Oxford University Press 2012. All rights reserved.