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186 Cards in this Set

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Many experts believe it is the most important activity a salesperson does

The world is constantly changing

More important in some fields than in others

No salesperson can ignore leads, even in a position requiring less emphasis on new contacts
Importance of Prospecting
5 Characteristics of a Good Prospect:
1. Does a want or need exist?
2. Does the lead have the ability to pay?
3. Does the lead have the authority to buy?
4. Can the lead be approached favorably?
5. Is the lead eligible to buy?
The most effective source for leads
satisfied customers
Gatherings designed to allow current customers to introduce prospects to the salesperson, to generate leads
referral events
Additional sales to satisfied customers who provide leads
selling deeper
Customer who tells others about how poorly you or your product performed
negative referrals
3 ways to maximize usefulness of satisfied customers:
1. Make a list of potential references from among most satisfied customers
2. Decide how each customer can help
3. Ask for the names of leads and the specific type of help needed
salesperson uses personal relationships with those who are connected and cooperative to secure leads
networking
5 Suggestions for Networking:
1. Call at least two people a day and go to at least one networking event every week
2. Mingle at events
3. Learn about your prospect's business and non-business interests
4. Thank your contacts for leads
5. Follow up with your new contact on a regular basis
sales person cultivates well-known, influential people in the territory who are willing to supply lead information

Buying community

May never buy
center of influence
Salesperson uses websites, e-mail, listservers, bulletin boards, forums, roundtables, and newsgroups to secure leads

Extranets

E-selling
the internet
Salespeople use these forms of promotional activities to generate leads

Postcard pack

Bounce-back card
ads and direct mail
Salespeople use these venues for lead generation
shows, fairs, and merchandise markets
Appeal to a specialized market

Invite good prospects

Go high-quality

Be involved before, during, and after
seminars
Salespeople use secondary data sources, which can be free or fee-based

SICs and NAICS

Purchasing lists
lists and directories
Salespeople use sophisticated data analysis software and the company’s CRM system to generate leads

Interactive databases
data mining
Salesperson tries to generate leads by calling on totally unfamiliar organizations

A blitz
cold calling
Salesperson pays someone for lead information

Also called bird dogs
spotters
Salesperson uses phone staff to generate leads
telemarketing
7 Other Sources of Leads?
1. Personal observation
2. Nonsales employees within the salesperson’s firm
3. Government agencies
4. Clubs
5. Other salespeople
6. Trade associations
7. Volunteer activities
First step in the sales process?
Locating prospective customers
T/F?

Not all sales leads qualify as good prospects
True
What is the best method to locate prospects?
Satisfied customer
2 Necessities for Effective Prospecting?
1. Developing a lead qualification and management system
2. Overcoming reluctance to prospect
3 Reasons to plan the sales call?
1. The buyer’s time is valuable

2. The seller’s time is valuable

3. Planning must fit into the salesperson’s goal for the account
3 Steps of the Planning Process:
1. Gathering information about the prospect and firm
2. Setting objectives for the call
3. Making an appointment
Can reduce embarrassing situations and increase the probability of meeting the prospect's needs and developing a long-term relationship
Obtaining Precall Information
Name (including pronunciation)

Family status

Education

Aspirations

Interests and disinterests

Social style
Personal
Toward salespeople

Toward your company

Toward your product
Attitudes
Formal reporting type

Important reference groups and group norms

Bonds that the prospect has already formed with other salespeople
Relationships
Type of organization

Size, number of locations

Products and services offered

Financial position and its future

Overall culture of the organization
demographics
Types

Benefits they seek from the prospect’s products and services
prospect's customers
Who they are

How they differ in their business approaches

Prospect’s strategic position in the industry
prospect's competitors
Amount purchased in the product category

Sole supplier or multiple suppliers – why?

Reason for buying from present suppliers

Level of satisfaction with suppliers

Reasons for any current dissatisfaction with suppliers or products
historical buying patterns
Type of buying process

Strengths and weaknesses of potential competitors
current buying situation
How they fit into the formal and informal organizational structure

Their roles in this decision

Who is most influential

Any influential adversaries

Current problems the organization faces

Stage in the buying cycle
people involved in the purchase decision
About salespeople

About sales visits

About purchasing and contracts
policies and procedures
Sales portals

Selling center
resources within your company
Prospect company’s own Web page

Personalized Web pages

Hoovers, Factiva, etc.
the internet
Trade show

Lists and directories

Center of influence

Outside consultant

U.S. government’s export portal

U.S. Commercial Service market research library
Other Sources of Information
Review what has been learned from precall information gathering

Understand what relationship the firm wished to have with the prospect
Setting Call Objectives
3 Things to take into account when developing call objectives:
1. Firm's goals
2. Sales team's goals
3. Salesperson's goals
All Sales Call Objectives should be:
1. Measurable
2. Realistic
3. Specific
Set objectives that require?
a buyer's response
SMART?
Specific
Measurable
Achievable
Realistic
Time-based
The actual goal the salesperson hopes to achieve
primary call objective
The minimum a salesperson hopes to achieve
minimum call objective
The most optimistic outcome the salesperson thinks could occur
optimistic call objective
Remaining objectives after the primary objective
secondary call objectives
What is a good primary objective for a first session?
To have another chance to visit
4 Things to consider in setting objectives for several calls?
1. Keep good records
2. Make necessary adjustments in long-term call objectives
3. Prepare for the next sales call
4. Consider whom to call on in upcoming meetings
Based on perceptions of how the salesperson’s product or service can add value
How Buyers are Setting Goals
On-time delivery

To-spec quality of products

Competitive pricing

Proper packaging/paperwork

Technical support service

Quality of sales calls

Level of technological innovation

Good emergency response
What buyers look for to increase value
Most often used to make the initial appointment
telephoning
Goal of telephoning?
Make the appointment
Salespeople need to anticipate _________ and decide exactly how to respond
objections
Salespeople should do this before calling on customers?
make appointments
The content of an actual sales call depends on what 2 things?
1. Specific Situation
2. Extent of the established relationship
Four A’s of selling process?
Acknowledge
Acquire
Advise
Assure
What should you do when waiting for the prospect?
Make good use of your waiting time
Making a favorable first impression usually results in a prospect who is willing to ______.
listen
3 Important Things to remember in regards to looks when making a first impression?
1. Be well-groomed
2. Be confident
3. Smile
When making a first impression, you should modify your behavior based on?
a prospect's state
2 Things to take into consideration when selecting a seat and making a good impression?
1. Be aware of your surroundings
2. Read the prospect's nonverbal cues
Prospects use the first few minutes to determine?
if they will benefit from the interaction
Salespeople basically have less than ___ minutes to get credibility with the client
six
Most important aspect of getting the customer's attention?
presentation opening
Simply introduce yourself
introduction opening
Tell about someone who referred you to the buyer
referral opening
Start by telling some benefit of the product
benefit opening
Demonstrate a product feature and benefit as soon as you walk up to the prospect
product opening
Start by complimenting the buyer or buyer’s firm
compliment opening
Start the conversation with a question
question opening
Should be the goal of every salesperson

Small talk

Office scanning

Consider cultural and personality differences

Share goals or agenda
Developing a rapport
3 Things to do when making a good impression and things go wrong?
1. Maintain the proper perspective and a sense of humor

2. Apologize

3. Think before you speak
in selling is a close, harmonious relationship founded on mutual trust
rapport
After capturing the buyer’s _________, it is time to identify the buyer’s _____.
attention; needs
This is part of qualifying the prospect?
discovering needs
require the prospect to go beyond a simple yes-or-no response
open questions
require yes, no, or short “fill-in-the-blank” type response
closed questions
In most cases salespeople need to ask?
open and closed questions
Objective of asking open and closed questions?
summarize the prospect's needs
General data-gathering questions

Can be answered through precall information gathering and planning
situation questions
Questions about specific difficulties, problems, or dissatisfactions
problem questions
Help the prospect recognize the true ramifications of the problem

Motivate the prospect to search for a solution to the problem
implication questions
Questions about the usefulness of solving a problem

Solution centered
need payoff questions
Encourages the prospect to define the need

Prospect views the salesperson more as a consultant trying to help than as someone pushing a product
SPIN®
SPIN?
Situation questions
Problem questions
Implication questions
Need payoff questions
2 Things to consider when developing a strategy for the presentation?
1. Prioritize buyer needs
2. Discuss features that address buyer needs
quality or characteristic of the product or service
feature
the way in which a specific feature will help a particular buyer
benefit
FEBA?
Feature
Evidence
Benefit
Agreement
Allows the salesperson to stop talking and encourages two-way conversation

Lets the salesperson see whether the buyer is listening and understanding what is being said

May show that the prospect is uninterested
verbal probing
Changing direction

Collecting additional information

Developing a new sales strategy

Altering the style of presentation
Making Adjustments while Assessing Reactions
Clearly delineate the time she or he thinks the call will take and then stop when the time is up

Offer concrete evidence to back up verbal statements

Avoid making statements that do not have the ring of truth to them

Make a balanced presentation that shows all sides of the situation

Recognize subcultural differences

Demonstrate product expertise

Keep it simple

Be willing to say, “I’m sorry, I was wrong on that,” or “I don’t know the answer to that, but I’ll get it to you.”

Never use a word unless you know the exact definition
Building Credibility During the Call
Make every possible effort to ____________ during a sales call.
create a good impression
Establish ____________ before beginning any discussion of product information
the prospect's needs
Translate _________ into _________ for the buyer.
features; benefits
Make any necessary adjustments in the presentation based on _______ __________.
buyer feedback
3 things a salesperson should do when selling to a group?
1. Gather information about the needs and concerns of each individual who will attend

2. Uncover the ego involvement and issue involvement of each group member

3. Develop meeting objectives and individual prospect objectives
5 Characteristics of a Strong Presentation:
1. Keeps the buyer’s attention
2. Improves the buyer’s understanding
3. Helps the buyer remember what was said
4. Offers proof of the salesperson’s assertions
5. Creates a sense of value
2 Things a Salesperson Should Ask Themselves:
1. How can I use my imagination and creativity to make a vivid impression on my prospect or customer?

2. How can I make my presentation a little different and a little stronger?
A seller should strategically select _______ and _____ that will helpfully address the needs of the buyer
methods; media
colorful, visual, positive
expressives
clean, simple, detailed
analyticals
people-filled, slow-paced
amiables
crisp, professional, to-the-point
drivers
4 Elements to consider when strengthening your presentation:
1. How many people will attend
2. Which stage of the buying process they are in
3. What information they need
4. What type of situation this is
Use the ______ of the story to tie back directly to your presentation
"hook"
Keeps buyer interest

Cross-sectional models
models, samples, and gifts
Help to effectively communicate information
catalogs and brochures
should carefully match satisfied user and prospect
testimonials
The person who writes the ___________ should be above reproach
testimonial
Test results from ____-______ organizations have more clout
third-party
are statements written by satisfied users of a product or service
testimonials
Be prepared

Secure a proper place for the demonstration

Check the equipment before beginning

Get the prospect involved in a meaningful way

Always relate product features to the buyer’s unique need

Plan what you will do during any dead time

Find out whether anyone present has used your product before
product demonstration
Don’t forget the goal of your meeting

Don’t cram too much information on a page

Don’t drown your prospect in information

Important for foreign buyers
handouts
written documents provided to help buyers remember what was said
handouts
Include customer’s specifications for the desired product, including delivery schedules
RFP Process
4 Things to include in the body of the proposal:
1. The total cost minus the total savings
2. A brief description of the problem
3. A brief description of the proposed solution
4. Budget
Know your audience well

Know what you’re talking about

Prepare professional, helpful visuals

Be yourself

Get a good night’s sleep

For presentations to groups, feed off the energy and enthusiasm of several friendly, happy-looking people in your audience

Recognize the effect of fear on your body and reduce the accompanying stress manifestations

Visualize your audience as your friends

Psych yourself up for the presentation

Realize that everyone gets nervous before a presentation at times

Practice, practice, practice
Dealing with the Jitters
Strengthening ___________ with the buyer is important.
communication
A backbone of many sales presentations is the ______ _____________
product demonstration
All communication tools require ______ and _________ to be used effectively
skill; practice
3 Things that show proper attitude:
1. Answering sincerely
2. Refraining from arguing or contradicting
3. Welcoming objections
Salespeople must assume the attitude of ______, __________, and _______ and act accordingly
helper, counselor, advisor
_________ present sales opportunities
objections
Don’t _____; listen and understand
argue
4 Times where buyers raise objections:
1. Setting up an initial appointment
2. Presentation
3. Attempting to obtain commitment
4. After the sale
5 Types of Common Objections:
1. Related to Needs
2. Related to the Product
3. Related to the Source
4. Related to the Price
5. Related to Time
5 Behaviors of Successful Salespeople:
1. Anticipate objections
2. Forestall known concerns
3. Relax and listen
4. Evaluate objections
5. Always tell the truth
prevent by doing something ahead of time
forestall
No ________ ______ exists for answering all objectives completely
perfect method
In some instances, spending a lot of _____ trying to convince the prospect may not be wise
time
Can be verbal or nonverbal
probing method
3 Places where blunders occur with a salesperson:
1. Does not understand the question
2. Answers the wrong question
3. Fails to fully answer the objection
7 Effective Response Methods:
1. Direct denial
2. Indirect denial
3. Compensation method
4. Referral method
5. Revisit method
6. Acknowledge method
7. Postpone method
The salesperson makes a relatively strong statement to indicate the error the prospect has made

Appropriate only when the objection is blatantly inaccurate

Should never be used if the prospect is merely stating an opinion
direct denial
The salesperson denies the objection but attempts to soften the response

The salesperson must recognize the position of the customer who makes the objection and then continue by introducing substantial evidence
indirect denial
Buyers may object because the salesperson’s product is less than perfect

Acknowledge objections and then
show any compensating advantages

Also referred to as superior benefit method

Also use when the prospect tries to put off closing the sale
compensation method
Feel-felt-found method
referral method
Salesperson turns the objection into a reason for buying (boomerang method)

Works with most personality types
revisit method
Buyer voices opinions or concerns to vent frustration

Salesperson listens, acknowledges, pauses, then moves on

Should not be used if the objection is factually false
acknowledge method
Buyer raises objections the salesperson would prefer to answer later in the presentation

The salesperson should ask permission to answer the question at a later time

Most useful when a price objection occurs early in the presentation
postpone method
Most frequently mentioned obstacle
the price objection
3 Things to do when faced with a price objection:
1. Use up-to-date information
2. Establish the value
3. Use communication tools effectively
Sellers need to maintain a positive attitude, even with rude, hard-to-get-along with prospects

It may be appropriate to point out the prospect’s rudeness

The buyer’s culture often dictates their response to a seller
Dealing with Tough Customers
Responding to ___________ is a vital part of a salesperson’s responsibility
objections
______ object for many reasons
buyers
Effective methods of responding to __________ are available, and their success has been proved
objections
Buyers want to ___, not be sold
buy
Reliance on closing techniques may ______ the chance of making a sale
reduce
No __________, no ____
commitment; sale
Tells the salesperson what to do next

Defines the status of the client

Time to make a sale

Customer realization of benefits

Company good will and profit

Financial rewards for the salesperson
Importance of Securing Commitment
Usually discussed at the end

Present with confidence

Not the focus of the presentation
Presenting Price
Price is set after studying what 3 things:
1. Competitor's offerings
2. Value delivered by the product or service
3. Cost of providing the product or service
Buyer questions

Requirements

Benefit statements

Responses to trial closes
buyer comments
Facial expressions

Actions
nonverbal cues
are conditions that have to be met before a purchase can take place
requirements
4 Steps to Obtain Successful Commitment:
1. Maintain a positive attitude
2. Let the customer set the pace
3. Be assertive, not aggressive
4. Sell the right item in the right amounts
The salesperson’s purpose is to sell the right _______ in the right _______
product; amounts
The seller should ____ in a fashion consistent with the way the buyer prefers to ___
sell; buy
Buyers need a ______
choice
5 Effective Methods for Closing the Deal:
1. Direct request
2. Benefit summary
3. Balance sheet method
4. Probing method
5. Alternative choice
Simply ask for it
direct request
Reminds the buyer of the agreed-on benefits of the proposal
benefit summary
List pros and cons
balance sheet method
Initially uses another method

Uses a series of probing questions

Consider cultural differences
probing method
Closing method that limits choices
alternative choice
The buyer must trust the ___________, the _______, and the _______
salesperson; company; product
6 Traditional Closing Methods:
1. Minor-point close
2. Continuous yes close
3. Assumptive close
4. Standing-room only close
5. Benefit-in-reverse close
6. Emotional close
6 Things to do if commitment is obtained:
1. No surprises
2. Confirm the customer's choice
3. Get the signature
4. Show appreciation
5. Cultivate for future calls
6. Review the actions to be taken
3 Reasons for Lost Opportunities:
1. Wrong attitudes
2. Poor presentation
3. Poor habits and skills
Critical so that salespeople can proceed intelligently to eliminate the barriers
discovering the cause
3 Suggestions for dealing with rejection:
1. Maintain the proper prospective
2. Recommend other sources
3. Maintain good manners
Most sales take several _____ to complete
calls
3 Things to do when leaving a clear plan for all parties:
1. Review what you will do next
2. What the customer will do next
3. When you will meet again
2 Things to do when bringing the interview to a close:
1. Leave with a clear plan for all parties
2. Follow up promptly with a thank you and reminder note
__________ cannot be obtained by some magical or miraculous technique if the salesperson has failed to prepare the prospect to make this decision throughout the presentation
commitment
Commitments should result in a ___-____ situation for all parties
win-win
_______ is an important element of any sale and is usually presented at the time of closing
pricing
There is no one “right” time to obtain __________
commitment
To successfully obtain commitment, the salesperson needs to do what 4 things:
1. Maintain a positive attitude
2. Allow the customer to set the pace
3. Be assertive rather than aggressive
4. Sell the right item in the right amounts
No one method of obtaining _________ works best for all buyers
commitment
If _________ was obtained, the salesperson should immediately assure the buyer that the choice was judicious
commitment
If commitment was not obtained, the salesperson should _____________________.
analyze the reasons