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An older presentation on a great subject; finding the pain the customer has and filling it.
Citation preview
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A Selling Method for Large Project Selling
The Evans Group LLCAugust, 2006
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8 PER YEAR
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AGENDAThe Evolution of Selling – Where we have been / Where we are Going
What Not To Do
Old Model
New Model
SPIN Model
Selling Sequence
Ten Business Needs
Real Life In The Trenches
I OBJECT !!
The Ease His Pain Selling Method
Is It Safe? Pain Probing Method
Ease His Pain - Trial Closing Methods
Thou Shalt Know Thy Competition
If…
Next Steps
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The Evolution of Selling
Where we have been Where we are going
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What Not To Do
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Old Model Of Selling
10% Intro/ Relate20% Qualify
30% Presentation40% Close
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New Model
40% Trust
30% Needs
20% Present
10% Close
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Building trust by asking the right questions at the right
time
SPIN Model
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Neil Rackham, a research behavioralist, was funded by major corporations to research the sales process as no one had done before. It spanned 12 years, covered 35,000 sales calls and required an investment of over $1,000,000. He documented every single behavior in the sales process
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“SPIN” An Acronym for the different kinds of questions that can be asked during the sales process
• “S”ITUATION• “P”ROBLEM• “I”MPLICATION• “N”EED – PAYOFF
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Basic Findings
• In successful sales calls, it’s the BUYER who does most of the talking
• How do you get the buyer to talk? By asking SMART QUESTIONS in a particular sequence
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Situation Questions
• Asks for information that is current (collects facts, information and background info on existing situations)
– “Who are your present suppliers?”– “What kind of delivery are you receiving?”
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– The more Situation Questions in a sales call, the less likely it was to succeed
– Most people asked a lot more Situation Questions than they realized
– Successful salespeople ask these questions economically. They do their homework. They find basic factual information from other sources, NOT THE BUYER
Research Found:
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Situation Questions Summary• DEFINITIION: Finding out facts about the
buyer’s existing situation• EXAMPLES: “How many people do you
employ at this location?” “Could you tell me how the system is configured?”
• IMPACT: Least powerful of the SPIN® questions. Negative relationship to success. Most people ask too many
• ADVICE: Eliminate unnecessary Situation Questions by doing your homework in advance
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Problem
Problem
Problem
BUYERSELLER
Inexperienced people don’t link problems and solutions… Solution
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Problem
Problem
Problem
BUYERSELLER
Experienced people see the link between problems and solutions – all too clearly
Solution
Solution
Solution
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Problem Questions
• Most experiencedsales people spend theirqualifying time asking these -(probes for problems, difficulties or dissatisfaction)– “Are backorders a problem for you?”– “Have you been experiencing any
quality problems with your product?”
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Research found:• Problem Questions are more strongly linked
to sales success than Situation Questions
• In smaller sales, the link was strong; the more Problem Questions asked, the greater the success of the call
• In larger sales, or where there was an ongoing relationship between buyer and seller, Problem Questions were not strongly linked to sales success
• The ratio of Situation to Problem Questions asked by sales people is a function of their experience. Experienced Sales people ask a higher proportion of Problem Questions
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Problem Questions Summary
• DEFINITIION: Asking about problems; difficulties or dissatisfactions that the buyer is experiencing with the existing situation
• EXAMPLES: “What makes this operation difficult?” “Which parts of the system create errors?”
• IMPACT: More powerful than Situation Questions. People ask more Problem Questions as they become more experienced at selling
• ADVICE: Think of your products or services in terms of the problems they solve for buyers – not in terms of the details or characteristics that your products possess
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Implication Questions
• Once a problem (Implied Need) has been stated by the customer, the SPIN sales person begins asking Implication Questions – linking one problem already stated to another problem that might also be occurring because of the first problem)
• Take a problem the buyer perceives to be small and develop and demonstrate to the buyer, through questions, that the problem is large enough to justify his action
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• Research found:• No other type of question had so much
influence on the customer’s decision to buy• Extremely difficult to ask• 95% of all sales training dollars are spent on
product knowledge and technical selling skills
• Many sales people think they are already asking these questions and may, but the key is linking problems and solutions
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Implication Questions Summary• DEFINITIION: Asking about the consequences
or effects of a buyer’s problems, difficulties or dissatisfactions
• EXAMPLES: “What effect does that problem have on output?” “Could that lead to added costs?”
• IMPACT: The most powerful of all questions. Top salespeople ask lots of Implication Questions
• ADVICE: These questions are the hardest to ask. Plan them carefully before key calls
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Need – Payoff Questions
• These questions investigate and develop the customer’s needs, wants or desires for a solution to the problems you have exposed. Increases a customer’s desire for a solution to a problem:– “Is it important for you to solve this
problem?”– “Why would you find this solution so
useful?”– “Is there any other way this could help
you?”
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Need-Payoff Questions Summary• DEFINITIION: Asking about the value or
usefulness of a proposed solution• EXAMPLES: “How would a quieter
printer help?” “If we did that, how much could you save?”
• IMPACT: Versatile questions used a great deal by top salespeople. Positive impact on customers who rate calls high in Need-Payoff Questions as helpful and constructive
• ADVICE: Use these questions to get buyers to tell you the benefits that your solution can offer
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THE SALES PRESENTATION
• Sooner or later you have to demonstrate that you have a solution to help solve the buyer’s problems
• In large sales, introducing your solution later is clearly more effective than sooner
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MOST SALES PEOPLE “TELL” THROUGHOUT SALES PROCESS,
THEN “ASK” FOR ORDER
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SPIN SALES PEOPLE “ASK” THROUGHOUT THE SALES
PROCESS AND THEN “TELL” THE PROSPECT WHAT TO DO
NEXT
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CALL OUTCOME• Obtaining the RIGHT Commitment
– In simple sales there are two possible call outcomes
1. An Order 2. No Sale
– In large sales, it may result in an action that moves you closer to the sale
– An Advance – a successful outcome
– The key is getting buyer agreement on an action that moves you towards the sale, if it doesn’t
– A Continuation – an unsuccessful outcome
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Obtaining Commitment
• Top sellers close more calls, more effectively, by:– Turning Continuations into Advances– Understanding what kind of Advance
can make the call successful– Setting realistic closing objectives
that move the sale forward
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The Ease His Pain Selling Method
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Putting it all Together for Large Project Sales
A Selling Sequence at work here, too
Ten Business Needs of All Businesses
Spin Selling Questions
Useful Listening and Closing Tips
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MAXIMIZING YOUR POTENTIAL
… MASTERING THE SELLING SEQUENCE• Pre-Call Planning• Greeting Along the Path• Rapport Building
• Want Lists, Order Guides or Inventory
• Review Ordering History• Walking the
Catalog(s)/Sell Systems• Flyers and Hot Sheets• Samples & New Ideas
• Future Needs• Problem Solving• Exiting• Make Another
Call?
• Post-Call Planning
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TEN BUSINESS NEEDS
1. Increase Sales2. Increase Profits3. Attract New Customers4. Retain Customers5. Lower Costs6. Attract & Retain Quality Personnel7. Stay Out of Regulatory Trouble8. Reliable Source of Goods and Services9. Improve Cash Flow10.Create A Competitive Advantage
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BUT FIRST, I OBJECT!!!
• Anticipate the Dealership objections
• Handle them proactively• What are they?
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I OBJECT!!!
• You’re too small• You’re too big• You don’t know our business• You’re too far away• We do it ourselves
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Don’t forget these useful expansion for
learning tips:
• Mirroring• Extending• Summarizing
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To Mirror is to utilize a key word in the
customer’s answer back to them as a question for
more detail.• “Effective?”• “Broken?”• “Difficult?”• “Impossible?”
Learn more about their pain from their detailed response.
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It’s easy to get them to extend upon details –
just ask!
• “Tell me more”• “Then what happened?”• “What happened next?”
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And now, the most important 5 words in
listening…
“So what you are saying is …”
The mark of a good listener.
Gives you an opportunity to
confirm details or the pain.
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I OBJECT!!!!!!
• Anticipate the Business Objections
• Practice Handling Them• Utilize Testimonials. . .• “We’re too far along in the
opening•
– That’s the same wayCustomer B felt. . .
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Ease his PainPre-call Planning
Trial Closing during the Interview
# 4 AND # 7
KNOWA CURED PATIENT
AN EFFECTIVE TESTIMONIAL
Tu Setinways was in the same situation, trapped in the new store opening tornado. It’s a real storm cloud of activity isn’t it?
Tu found that we were able to quote his job from his plans while he managed the job site with the General Contractor.
We gave Tu a competitive price in a few days without any site interruption. With our great attention to detail and our stocked items, Tu found our Dealership was able to consolidate his order and alleviate the chaos of drop ship equipment cluttering the job site before it was needed.
Jason was glad he met us and let us into his evaluation process even at the last minute. Today, we are doing Tu’s 10th store!
PREPARE
TESTIMONIALS AND
PRACTICE THEM
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To know one's objection… … is to know his Pain
Pre-call Planning Pre-call Planning# 1 # 2
DIAGNOSE ANTICIPATETHE PAIN THE OBJECTION
too far along in the process
UNDERSTAND THAT WHY UNDERSTAND THAT ANYA CUSTOMER BUYS DEALER SALES OPPORTUNITY
IS HASTO SOLVE A BUSINESS NEED THE SAME OBJECTION POTENTIAL
TEN BUSINESS NEEDS DEALERSHIP OBJECTIONS
1)INCREASE SALES
2)INCREASE PROFITS
ATTRACT NEW CUSTOMERS
3)RETAIN CUSTOMERS
LOWER COSTS
4)ATTRACT & RETAIN QUALITY PERSONNEL
STAY OUT OF REGULATORY TROUBLE 5)RELIABLE SOURCE OF GOODS AND SERVICES
IMPROVE CASH FLOW6)
CREATE A COMPETITIVE ADVANTAGE 7)
too much to do to open a new store
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Is it Safe?
Pain Probing Method
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Is it Safe?Pre-call Planning
Probing during the Interview
# 3
FIND THE PAIN
ASK SITUATIONAL QUESTIONS
1)
2)
3)
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THE BRIGHT LAMP QUESTIONStoo many are interrogating
They provide facts or background - set the stage for problem questionsTypes: Are you. . . ?
Do you know if . . .?Have you. . .?How many. . .?
What kind of. . .?How old. . .?Did you. . .?
How do you. . .?Who's in charge of. . .?
What's the. . .?How much. . .?
Am I right in thinking that. . .?When did you first notice that. . ?
Has the . . .remained. . .?Have the number of. . .increased. ?
Does the . . .?Is there. . .?What is . . .?
These questions get at facts! Buyers get bored with too many!
Remember the one word mirror!!!study?
finalize?create?
problem?issue?
broken?not helpful?
tough?difficult? then be quiet
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Is it Safe?Pre-call Planning
Probing during the Interview
# 4
EXPOSE THE PAIN
ASK PROBLEM QUESTIONS
1)
2)
3)
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THE COUCH QUESTIONShelp identify the problem/pain
Isolate and confirm problem/need No problem? - Nothing to solve
Types: Are concerned that . . .?Are you worried that . . .?How are you handling . . .?
Is it hard to . . . ?Do you have any problem with . . .?Have you had any difficulty with. .?
Does that concern. . .?How long does it take. . .?
How often. . .?Where is the breakdown. . .?How satisfied are you . . .?Are there parts that. . .?Could you explain. . .?
Are you worried about . . .?Who usually has to deal with. . .?
Where. . .?When . . .?
What happens. . .?
These surface buyers feelings! Going to fast is risky-know first!
Remember tell me more!!!what else can you tell me?
really?you're kidding?
tell me more about that?can you believe it?
does that happen a lot?could that be the cause?
could you expand on that?could there be other factors?
then be quiet
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Is it Safe?Pre-call Planning
Probing during the Interview
# 5
CONFIRM THE PAIN
ASK IMPLICATION and NEED QUESTIONS
1)
2)
3)
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THE EXAM ROOM QUESTIONSget at the seriousness of the problem
They link problems and identify How big the problem(pain) is
Types: Has that affected . . . ?Has that led you to . . . ?
How has that impacted . . .?Could that be causing . . .?
How much do you estimate that. . .?Have these problems. . .?Could an increase in . . .?How might that affect. . .?How often does that. . .?
What does that result in. . .?Does that ever lead to. . .?
What are the implications of . . .?How will the team. . .?
Do you feel there is a risk. . .?What are the downsides of . . .?Are you going to keep up. . .?Are you going to be able. . .?
Can you talk about. . .?
These intensify the pain!!! Create self-awareness of the pain!!!
Remember to summarize first-
So what your're saying is. . . So what your're saying is. . . So what your're saying is. . . So what your're saying is. . . So what your're saying is. . . So what your're saying is. . . So what your're saying is. . . So what your're saying is. . . So what your're saying is. . .
Summarize often-creates a listener!
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Ease His Pain Trial Closing Method
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Ease his Pain
Pre-call Planning
Trial closing during the Interview# 6
PRESCRIBETHE REMEDY FOR THE PAIN
1)
2)
3)
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TAKE THE JUMP QUESTIONSallow you to test a solution
They need you to summarize first Then take a try at closing
Then what you're saying is. . .If you had a . . That would solve.. .
Having that. . Is important. . .By getting. . .you be able. . . .
Knowing that. . .By working with a reliable . . .
So what you're saying is. . .If we could shorten. . .
So what you're saying is. . .It would be a help if. . .
So what you're saying is. . .You could save if . . . . .
Establishing a . . .Knowing that . . .
Create a pain summary. Test your remedy.
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Testimonials help whenyou get shut down on the trial close
you don't understand yetthe buyer needs more time
the buyer needs to sell himselfYou need more time
Have more than one Testimonial ready
what related examples could work?
1)
2)3)
3)
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Ease his PainPre-call Planning
Presenting during the Interview
# 3 AND # 8
PRESENTthe features and benefits of
of your Dealership
1) TOOL
PROBLEM IT SOLVES
2) F
B
3) F
B
Your Dealership
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MAKE SURE YOUR
SITUATIONAL QUESTIONSPROBLEM QUESTIONS
IMPLICATION QUESTIONSSUMMARIZING TECHNIQUESMIRRORING TECHNIQUESPROBING TECHNIQUES
TRIAL CLOSING TECHNIQUESTESTIMONIAL STORIES
if you build the bridge they will come!
Understand that
Anything you say during a sales call that is not followed by a ?
Is either a Presentation or a Close
If you have not properly exposed the Pain, you will be asking for the Objection to raise it’s ugly head
Have all combined to isolate and intensify the pain that is relative to the objection you anticipate
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Ease his PainPre-call Planning
CLOSEing THE DEAL during the Interview
# 9
PRESCRIBE AGAINTHE REMEDY FOR THE PAIN
1)
2)
3)
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TYPES OF CLOSINGAFTOAFTOAFTO
Written Close
Oral Close
Ben Franklin Close
The Sharp Angle Close
My Dear Old Mother Close
I'll Think it Over Close
Reduce to Ridiculous Close
Negative Close
Puppy Dog Close
BridgeTie-down
CONFIRM NEXT STEPS
have a reason to return. . . Gain agreement
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Oral Close
• Nothing more than a question you ask
• The simplest, easiest and best close to master
“What’s your PO number?”
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Written Close
• “Let Me Make A Note Of That” Close
• Answer a question with a question– Q - Does it come in walnut?
• A – Is that the color you want?
– Q – Yes, I think so• A – Let me make a note of that
As you write it down, you’ll probably be asked why, and might even say they’re not giving you an order
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• The basic written close is this, “Mr. Customer, I’m just writing it down for reference, to organize my thoughts, and to be sure I have all the right information. I just don’t want to forget anything that would affect you.”
– Ask as many questions as you can that the customer won’t hesitate to answer and while asking, write down things
• Ask questions like:– Names, correct spelling?– Shipping Address?– Billing Address?– What else will you consider?– Where will you be using the product?
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The Assumptive Close
If you’ve done everything properly and know the products/services are right for this customer, but you sense hesitation – act and speak as if the customer is going ahead with the purchase
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The Benjamin Franklin Balance Sheet Close
Validate it with old Ben – Remember him?
“Mr. Customer, all of us in America have long thought Benjamin Franklin one of our wisest, greatest men. You do, don’t you? Well, whenever Ben found himself in a situation like you’re in, he’d always think if it was the right or wrong thing to do. He always made up a yes and no list, he’d take a sheet of paper and list the pros and cons. Let’s do that.”
Pros Cons
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The Sharp Angle Close
• In order to use this close, you first have to maneuver the customer into making a demand or expressing a desire that you can meet
• Almost any benefit that people want can be sharp-angled:– Getting an order before a price increase– Guaranteed delivery by a certain date– Credit terms– Installation assistance– On-Site training– Color choices
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The Secondary Question Close• Pose the major decision with a question,
and without pausing, add another question that is an alternative advance involvement question
– AKA…”The Colombo Close” • Example – “As I see it, John, you’re ready for
a 30-quart mixer. You see it will reduce labor, make a better product, and you’re clear it’s the right brand. By the way, will you use it for dough, or a lot of different applications?”
Losers Wing It – Winners Prepare
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The Higher Authority Close• A person known and
respected by the customer• Select the higher authority
figure in advance (competitionthey have is great stuff to startwith)
• Recruit your higher authority figure and ask them to be a reference
• Set your higher authority figure up for the specific sales situation
• Set your customer up for the higher authority figure close
• Close after the call
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The Similar Situation Close
• When you find yourself with a prospect who has an objection or problem similar to one you’ve already overcome, tell your prospect about the similar situation
• The average sales person does this• To be a pro, you have lots of notes,
when you need to prove a point, you get out the notes and show the customer how you’ve already solved the problem for someone else
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The My-Dear-Old Mother CloseWhenever you ask a closing question, shut
up! The first person who speaks, loses!
• Here’s a clever way to break the silence…when you’re talking and they are silent, what do you do?– Don’t push, Don’t cajole– Don’t be discouraged– Don’t be aggressive
• Smile ear to ear. Stand relaxed “My dear old mother used tosay, Silence means consent.Was she right?”
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The “I’ll Think It Over” Close
• “Let me sleep on it”• “Leave it with me and
I’ll get back to you”• “I’ll let you know next week”
– With any statement like this, they expect that you will leave and they will be free
– If you are average – you will agree with them, and make notes to bring it up again next time.
Your odds are now reduced by 80%
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• What to do?– Agree with them. Confirm the fact that
they are really going to think it over– Make them squeak – ask “John, you’re not
just saying that to get rid of me, are you?”– Clarify and twist harder – ask “Have I don’t
something wrong, are you questioning my integrity or how I’ll perform?”
– Ask benefit questions – “Isn’t it the right product?” “Aren’t the terms right”, “So the problem really is money, right?”
– Imply guilt – “Did I do something in my presentation that made you think I couldn’t delivery the goods right, or mislead you?”
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– Confirm that it’s the money • If you are able to do this, all the
other objections wash away and with the implication of guilt you can ask the right question:
– “Will I get this order when you confirm the money? I thought you had decided it was an investment you had to make and from what you’ve said, I’m the guy. Want to get the order in now and get it over with? Come on, want to see a picture of my kids or my worn out shoe soles?”
•Smile, be relaxed. Be fluid. Don’t be flashy. Don’t hesitate
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The Reduction to the Ridiculous Close
• “It’s higher than we want to go.”
• “Too much money!”• The first step is to
find out how much is too much? Reduce it to the simplistic, also knownas the “Lowest Common Denominator Close”
• Specialize this to your company
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– Your goal, if you haven’t already figured it out – is to reduce the objection to the ridiculous
– Once they see their concern is larger than reality, the door is open
– Close
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The Negative Close
• Simple, effective close, but needs practice to be done effectively
• If you express doubt in your prospect’s ability to do something, he’ll tend to do it just to prove you are wrong
76
The Puppy Dog Close
• How do you sella puppy dog?
– Let them take it homeon a trial basis
– It works in business too– Offer a guarantee of
money back (let them try it).– Never close the sale while they are
trying the goods. Just ask if it’s working, if they like it and shut up
77
• To insure 100% satisfaction, be sincere and really mean what you are saying:
• Get the product there
• Call and make sure it arrived, ask if they need any help, further instructions, have any questions. Solve any problems. Express concern that they want the product
• Emphasize guilt as you call. Tell them you are sticking your neck out with your company, may have to pay a penalty to return it, but you want to do the right thing for them
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• Don’t close. Shut up
• Ask again later. This time tell them it’s like a puppy dog. Ask one simple question in a basic way, “I hope you are satisfied, did my gamble work?” “ I’m not going to get in trouble am I?” “Will you keep the product?”
– This only works when you’ve done your homework, sold the right product, made sure they are using it right
– When you know your customer you’ll give them the right product and imply guilt, if they even think of returning it!
79
The “Why Don’t You LoveMe?” Close
Use it with prospects, long termcustomers, with a man or woman, always sitting down and hands clasped on the table (with sincere puppy dog eyes)
“What am I doing wrong? Is it me? Have I not presented well? I understand you to say that you won’t buy from me. Give me some fatherly/motherly advise. Why don’t you love me?”
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• One of two things will happen: You’ll close the sale. Objections will come up honestly and you can close the sale
OR
• You’ll learn what you do wrong. The customer will be brutally honest and you’ll learn for the future
– It takes an incredible amount of practice. You must be smooth, soft and sincere. Not only will you learn a lot, but you’ll gain a real customer, filled with respect for you
81
To Close Effectively You Must BRIDGE
• Apologize– Tell the customer you
don’t want to push, you just want the sale
• “I’m sorry, I thought you were ready to go ahead with the purchase”
• Summarize, using tie-downs– “You wouldn’t talk to me if you didn’t
have an interest, would you?”– “Have I and my company been good to
you in the past?”– “So I’m just asking to be supplier to
you. Do you mind my asking that?”
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• Ask a Lead-In question:– “These are all the things we’ve
discussed so far, and we have agreed on all of them, correct?”
• Bridging is done between closes. It may be necessary to go from one close to another fluidly, and bridge techniques help the customer to know you are trying to understand their needs
83
Understanding Tie Downs
• Tie Downs are questions you put at the end of statements that call for agreement from the client, leading them to a close
• Most are leading questions, getting the client to elaborate on their thoughts about your statements. Examples:– Aren’t they– Don’t we?– Isn’t it?– Didn’t it”
84
– Aren’t you”– Shouldn’t it?– Wasn’t it?– Isn’t that right?– Can’t you?– Wouldn’t it?– Haven’t they?– Won’t They?– Couldn’t it?– Hasn’t he?– Hasn’t she?– Won’t you?– Doesn’t it?
85
Telephone Closing
• Amplify your voice• Speak clearly• Don’t rush (especially when leaving
voicemail messages)• Stand• Smile• Speak professionally• Vary your tone and inflection• Use picture-drawing words
86
Thou ShaltKnow Thy Competition!!!
• Who are they?• What do they do well?• What don’t they do well?
87
If You Build It, They Will Come
Closing Methods
88
89
If you build it they will come.
Pre-call Planningand Post-call Planning
# 1 and # 10
BE PREPARED
. . .before, during and after. . .
Know your selling Sequence
Anticipate all Dealership objections prior to any call
Always build Business Rapport
Write down your Goals for the Call
Thou Shalt Know Thy Competition!!!!
Know the PAIN EXPOSURE Plan
90
Don't close too early
ASK QUESTIONS
Brush up on your Testimonial
Brush up on your applicable Features and Benefits
SummarizeSummarizeSummarizeSummarizeSummarizeSummarizeSummarize
Summarize/Jump
Is it Safe?
AFTOAFTOAFTO
Take notes for the next callEase his Pain
If you build it, they will come
91
If you find their pain, and if you take your time,
they will close.
92
Next Steps