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I Relationship Selling The future standard in sales approach and how to successfully apply it A Thesis Presented to the Faculty of European University In partial Fulfillment of the Requirements for The Degree: Bachelor of Business Administration By: Matthias Murges January 2012

Matthias Murges Thesis Relationship Selling

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Relationship Selling – The future standard in sales approach and how to successfully apply it A Thesis Presented to the Faculty of European University In partial Fulfillment of the Requirements for The Degree: Bachelor of Business Administration By: Matthias Murges, January 2012

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  • I

    Relationship Selling

    The future standard in sales approach and how

    to successfully apply it

    A Thesis

    Presented to the Faculty of European University

    In partial Fulfillment of the Requirements for

    The Degree:

    Bachelor of Business Administration

    By:

    Matthias Murges

    January 2012

  • II

    Executive Summary

    This Thesis is about how the selling approach is changing in our actual environment

    and how it will develop in the future. The need of great service for successful

    business in the future will increase and I have researched on how this goal can be

    accomplished.

    Over time, the Sales industry has gone through a lot of changes and will keep on

    doing so. Differentiation through products and prices will decrease over time, as

    products are easy to copy and prices easy to adjust. This will lead to a non-

    monopolistic market place where the business with the lowest cost will make the

    greatest profit margin in the end. But is this the way you want to operate your

    business? With fear, of making too much loss, when investing in research and

    development departments? A stagnation of the innovation process throughout every

    market? This will not take anybody a step further.

    Hence, we need to think of alternatives about how to adjust or improve our way of

    promoting, marketing and selling our products.

    This is where the concept of relationship selling comes into place. This sort of sales

    approach makes a huge difference in the perception of the products, the business

    and the employees of that company. I could experience that through my internship at

    a US company.

    Therefore, this Thesis has been written to describe the tools which you can use to

    easily apply relationship selling to your day to day business actions, so that you are

    always a step ahead of your opponents. This enables companies to prevent exactly

    what I mentioned above stagnation of research and development. Hence, decline

    in economic growth and human advancement.

  • III

    Table of Contents

    1. Introduction.1

    2. Selling and Relationship Selling.1-5

    2.1 Characteristics of the traditional Sales Industry.2

    2.1.1 Simple Exchange..2

    2.1.2 Marketing Products..3

    2.1.3 Service.3-4

    2.2 Relationship Selling.4-5

    3. Different tools used for successful Relationship Selling..6-43

    3.1 Neuromarketing..6-16

    3.1.1 What is Neuromarketing? ...........................................................6

    3.1.2 Why do clients buy? ..........7

    3.1.3 How does brain research help to

    understand your clients better?.................................................7

    3.1.4 Emotions and Motives8

    3.1.5 The unconscious logic of products and markets9

    3.1.6 How purchasing decisions are really being made10

    3.1.7 Brain types.11-17

    3.1.7.1 Traditionalist...13

    3.1.7.2 Harmonizer..14

    3.1.7.3 Enjoyer.14

    3.1.7.4 Hedonist .15

    3.1.7.5 Adventurer..15

    3.1.7.6 Performer.......16

    3.1.7.7 Disciplinarian.16

    3.1.8 Connection to Relationship Selling.17

    3.2 EVA 18-30

    3.2.1 Explanation18

    3.2.2 Hermann Dominance Instrument19-24

    3.2.2.1 Different Types19-21

    3.2.2.2 How to identify them? .............................................22-23

  • IV

    3.2.2.3 Medium to approach the target23-24

    3.2.3 Emotional Selling Approach (EVA)25-30

    3.2.3.1 The 9 stages.25-30

    3.2.3.1.1 Atmosphere has to be right! .............................25-26

    3.2.3.1.2 Increase your emotional Energy! ..........................26

    3.2.3.1.3 Call people by their names! ...................................27

    3.2.3.1.4 Offer your personality to them! .............................27

    3.2.3.1.5 Start to entrap people! ...........................................28

    3.2.3.1.6 Make compliments! ................................................28

    3.2.3.1.7 Offer support! .........................................................29

    3.2.3.1.8 Become indiscreet! ...........................................29-30

    3.2.3.1.9 Get Feedback! ........................................................30

    3.2.4 Connection to Relationship Selling...30

    3.3 Storytelling..31

    3.4 Structogram..32-38

    3.4.1 Explanation32-33

    3.4.2 Different Behaviors..33-35

    3.4.3 Buying Motives.35-36

    3.4.4 Buying Resistance.36

    3.4.5 Buying Influence37

    3.4.6 Connection to Relationship Selling.37-38

    3.5 CRM CMR..38-44

    3.5.1 Definition..38

    3.5.2 Explanation of CRM and its failure.38-39

    3.5.3 CMR System..39-40

    3.5.4 CRM vs. CMR.41-42

    3.5.5 Reasons for Failure of CRM..42-44

    4. Internship.45-46

    5. Conclusion...47-48

    6. Bibliography.49-50

  • V

    List of Tables

    Table 3.1 Different Behaviors, Structogram... p. 34

    Table 3.2 CRM vs. CMRp. 41

    Figure 2.1 Stages of Relationship Selling. p. 4

    Figure 3.1 Brain Systems.. p. 10

    Figure 3.2 Brain Types Distribution Germany p. 12

    Figure 3.3 HDI Types.. p.19

  • 1

    1. Introduction

    Making the difference, trying to outplay competition, competitive pricing, increasing

    productivity these are all goals companies try to accomplish in order to make the

    difference.

    But does the difference really lie on the products and their prices offered nowadays?

    Or is there something else that really matters and influences buyers to purchase?

    My research is based on the convincement that it is all about the service you offer

    and the relationship you maintain with your buyers.

    Under this assumption my thesis is about:

    Relationship Selling The future standard in sales approach and how to

    successfully apply it

    2. Selling and Relationship Selling

    The selling process has been around for thousands of years. Egyptians, Romans,

    Greeks all the ancient big nations/countries and people we know about practiced the

    art of selling. If it was just a cow against two pigs or a ring for bread and milk, selling

    has been an essential process of everybodys life since all time.

    But sales has been developing up until now and will probably keep on developing for

    quite a while, as human needs and perception changes with time. Therefore, the

    characteristics of the sales industry have been changing as well over time.

    Sales an industry, which has been going through several different stages of

    development, currently reaches its peak in terms of skills needed and natural

    talent/being required. The job of a salesman is not anymore just turning up at

    somebodies house, office or company and telling that person about how good your

    product/service is and leaving again. It is much more about making the difference

    between you and your competitors, as nowadays there is hardly any differentiation

    between the individual products from different companies, because it is easy to copy

  • 2

    or almost identically reproduce the product of another company without breaking the

    law.

    Hence, the key in nowadays sales world lies in you relation with the buyer/s and how

    you improve and maintain this relation, so that is it not just a pure sales transaction,

    but more like a continuously developing friend- and business oriented relationship.

    Relationship Selling is establishing a long-term customer relationship in an effort to

    generate repeat business. Relationship selling may be directed at especially

    important customers and may include a liberal return policy and access to high-level

    executives.1

    2.1 Characteristics of the Sales Industry

    If you look at the traditional marketing approach you can see a lot of differences to

    the relationship selling approach. Not just because the traditional one is transaction

    based, or focused on single sales, but also because the aim is to keep seeking for

    new customers and persuade them about your product and your company in general.

    It is the complete opposite of Relationship selling, where you are trying to establish a

    long term relationship with the client, which is based on trust and regular

    communication great Service.

    But this change of the selling process has been developed over centuries, where

    people started of exchanging goods for other products that they need. No sign of

    service at all. But it developed as shown below.

    2.1.1 Simple Exchange:

    Like mentioned above, people used to sell products by offering them things in

    return which they needed. If it was gold, animals, herbs, food, drinks, etc.

    The buyer mentioned his interest and a couple of sellers came by and made

    their offers in terms of what they wanted in return and the buyer made a

    decision in order to which one he was going to choose.

    1 Relationship Selling: http://business.yourdictionary.com/relationship-selling

  • 3

    2.1.2 Marketing Products:

    Later on people realized that it would be much easier if any seller would just

    market its products and potential buyers would come by and purchase those

    things. Like on markets or just in their stores. Hence, shops have been opened

    and people tried to build their own identity.

    This kind of selling evolved up until now and has been broadened and used in

    all sorts of medial/merchandise tools. Whereas in earlier stages,

    promotion/marketing ran more through newspapers, billboards and word of

    mouth, today we are more into Television, Radio and especially Internet

    advertisements, as those reach a far wider range and are most commonly

    used in nowadays society. With television, radio and internet you can reach

    almost every age group, with the ability to differentiate perfectly due to

    different people with different needs, interest and age are visiting/watching

    altered websites and TV-channels. But the point I was going to make here was

    that you are simply promoting the product you are trying to sell. There is no

    sign of any service noticeable.

    2.1.3 Service:

    Intangible products such as accounting, banking, cleaning,

    consultancy, education, insurance, expertise, medical treatment,

    or transportation.

    Sometimes services are difficult to identify because they are

    closely associated with a good; such as the combination of a diagnosis with

    the administration of a medicine. No transfer of possession or ownership takes

    place when services are sold, and they (1) cannot be stored or transported, (2)

    are instantly perishable, and (3) come into existence at the time they

    are bought and consumed.2

    2 Service: http://www.businessdictionary.com/definition/services.html

  • 4

    This way of treating customers has been around for a long time, but was never

    really appreciated by the society until the last couple of decades. This is when

    service really started to matter and companies/shops initiated the focus on it.

    But still, from my point of view, there are massive differences between service

    and service. You can either offer service by satisfying all the customers needs

    as good as possible, or you can satisfy the customers need and improve or

    maintain the relation. This is where the difference is going to be really visible to

    the consumers and will be appreciated very much in the long term.

    And thats where relationship selling starts.

    2.2 Relationship Selling

    Figure 2.1 Stages of Relationship Selling

    3

    This Diagram indicates the different levels of understanding you will have to meet

    before you can successfully apply the concept of relationship selling. As shown

    above, the foundation of any selling process not just in relationship selling is to

    have a good service or product that you want to sell.

    3 Relationship Selling, http://www.wabccoaches.com/bcw/2008_v4_i1/images/trailer-figure3.gif

  • 5

    Then there is the ability to show that you actually know everything about the

    application and functionality of the product you are trying to sell. These competences

    should make you already a preferred supplier.

    To take this whole concept to another level you will also need to understand the

    customers business though, as well as his/her/its industry. If you do so, you should

    be able to see and understand the organizational issues which will lead you straight

    away to a solution based selling basis on which you can easily built your relationship

    with the client. Understanding those things makes you an asset to your customer and

    not an annoying sales person that just wants to hit his/her number. It makes an

    impression as if you are operating as a partner to the business so it turns out to be a

    win-win situation.

  • 6

    3. Different tools used for successful Relationship Selling

    I will describe on the following pages some of the new tools that companies are using

    to change their selling methods, transforming them into relationship selling.

    3.1 Neuromarketing

    3.1.1 What is Neuromarketing?

    Neuromarketing deals with the purchase- and choice decision of the human brain,

    and especially to what extent and how you can influence them.

    To answer this focused marketing question there are two main definitions one

    which is narrower and the second one from a wider perspective.

    The narrow definition is closely linked to the Brain Scanner or scientifically correct

    speaking Functional Magnetic Resonance Imaging (FMRI). It is being directly

    related to the practices of brain research for market research purposes.

    A more commonly used name for Neuromarketing is Neuroeconomics or

    Consumer Neuroscience.

    In the broader definition Neuromarketing receives a more global view, as it relates

    the usage of Neuromarketing to a wider variety of awareness in the brain analysis. It

    also includes the above mentioned theory/definition, but it tries to include and

    integrate all marketing theories and practices known nowadays.

    The brain research has come up with many very interesting and important mysteries

    that could help enormously when trying to apply good marketing.

    So the connection you see here to relationship selling is, that you will have to

    understand the psychology of the human brain and identify the different mechanisms

    used by different clients/decision makers in the company so you can apply the best

    marketing and selling strategy possible.

  • 7

    3.1.2 Why do clients buy?

    So the first question you should ask yourself is why do client buy?

    Well by just reading this sentence it looks pretty easy to find an answer to this, but

    there is more behind it than just a need, that this client has at that time.

    Until a couple of years ago, people used to analyze buying habits and purchasing

    reasons by census and monitoring. This way, analysts found out connections

    between the two and could therefore include people into different categories that

    identify the different characters of managing their purchases.

    Since recent years, the above mentioned way of purchasing habits identification has

    been used more frequently and has come to significant outcomes.

    3.1.3 How does brain research help to understand your clients better? (Coca-

    Cola vs Pepsi)

    A study in the year 2003 has been done by Coca-Cola, where they made people try

    both Coca-Cola and Pepsi without them knowing which one they are currently

    drinking. While those people drank the drinks they were connected to a brain scanner

    which measured the brain activity and the different areas that are being activated or

    not. In the blind test both had the same outcome, as the front brain showed a lot of

    activity. This indicates that the brain is being satisfied, as the body is receiving

    something sweet tasting, which is considered a treat for the body/brain.

    Afterwards, they did the same test again, but the volunteers knowing which one of

    the two they are currently drinking. Very interesting was that when they were drinking

    Coca-Cola, the middle- and great brain showed activity as well. With Pepsi it was the

    same as before.

    This indicates, that the brand image of Coca-Cola is better received than the one of

    Pepsi and that those little things, like brand name and brand recognition make a

    huge difference.

  • 8

    3.1.4 Emotions and Motives

    Up until now, emotions and motives had been very closely linked and considered

    almost the same, as brain analysts rather speak about emotions and psychologists

    prefer to use the word motives in respect to the same thing.

    Brain analysts say that behind each emotion there is a goal that is meant to be

    achieved. Psychologists say that motives are closely related to feelings, which leads

    to a change in body and mimic one of the greatest indications of people feelings

    about something.

    Hence, in the Coca Cola example people had more reaction in their brain as soon as

    they knew that they were drinking Coke as they relate this brand to happiness and

    satisfaction. This image has been created by Coca Cola over many years, by

    adapting their slogan always in relation to happiness and satisfaction in any way.

    - Life begins here

    - Twist the Cap to Refreshment

    - Open Happiness

    - Make it real

    - Life tastes good

    -

    This example shows how brand image and perception make a huge difference in the

    mind of the customer. A huge difference because of what the customers brain

    relates to the product.

    So as soon and as long you understand the customer and how he/she is thinking you

    should find only little difficulties when dealing with them.

  • 9

    3.1.5 The unconscious logic of products and markets

    The product- or service value is being determined by the positive or negative

    perception the client has towards it. Perception is created by motive- and emotion

    fields inside the brain. The markets and products have an unconscious logic which

    consists out of several motive- and emotion fields and need to be understood in order

    to reach out to a customer.

    The question you have to ask yourself is: Why do people purchase products?

    Well, obviously because they receive some sort of benefit from it like a car, for

    instance. You purchase a car to get from A to B. Or you buy a drill machine to get a

    hole in the wall. This all describes the functional use of them. This is very important,

    but the real value of a product/service is determined by looking at it from the point of

    view of his motive- and emotion field.

    Products almost always activate certain motive and motion fields, without the client

    even knowing about it. And only if a product/service suites the customers motive and

    motion systems receives the product some sort of value to the customer.

    So if we stick with the drill machine, it is obvious that it is used to drill a hole in the

    wall.is the functional use of it. But the drill machine has another, maybe even more

    important, function it saves strength and energy and on the other hand it gives the

    user more power. This feeling of power and supremacy is the real value of the drill

    machine (concrete is easy to break). The more power and the stronger the machine

    the more value it is to the user. Hence, the dominance part of the brain in therefore

    connected with the purchase of a drill machine.

  • 10

    3.1.6 How purchasing decisions are really being made

    - 70-80% of all out decisions are unconscious and even the remaining 20-30%

    are far more unconscious than we think

    - Just 0.00004% of all information from our surrounding reaches our

    consciousness. Many amenities and signals are being transferred to attitude

    by the brain, without the client even realizing.

    - All fundamental decisions made by a client are emotionally. Decisions without

    emotional components are insignificant

    Figure 3.1 Brain Systems

    Limbic Types

  • 11

    3.1.7 Brain Types

    Customers have different needs, preferences and wishes. They can be classified into

    different prototypes in order to give you (seller) a better overview about the situation.

    If you then, concentrate your product, brand and argumentation onto that prototype

    you will gain the customers loyalty without a doubt.

    Another question we should answer here before proceeding though is why and if

    customers have different buying habits.

    Yes, they do. This is also very visible by just looking at the code of practice. This

    clearly indicates the differences.

    This leads us to the question: Do target groups, who show a stable consume scheme

    even exists? Or does the purchase of a customer just depend on the current mood,

    situation and circumstance?

    Several Experts are saying: target group marketing is out due to the multi-optional

    and hybrid client. The consume schemes are almost identical with each client. They

    only differentiate in respect to their current mood and need.

    However, this cannot be 100% correct, as there is for instance a difference between

    tea drinker and red-bull target groups. There are many older people who like tea, but

    not so many young ones. The same is the case with red-bull. Many young people

    drink it to get a coffin-kick out of it. But not many older grandmas do the same.

    Hence, obviously there are consuming schemes.

    In respect to the mood mentioned above there is the example of people who smoke.

    Smokers go from 14-over 100 year old people throughout every country and every

    gender. Many of them light up a cigarette after stress situations. So the reason for the

    consumption was the mood.

    These examples refer to the already known justifications for this trait and state.

  • 12

    To distinguish better between customers and how to approach them you can divide

    them into groups with different emotion key points. (The percentages are from

    Germany)

    - Traditionalist (24%)

    - Harmonizer (32%)

    - Enjoyer (13%)

    - Hedonist (11%)

    - Adventurer (3%)

    - Performer (6%)

    - Disciplinarian (10%)

    Figure 3.2 Brain Type Distribution Germany

    Breakdown Brain Types

  • 13

    This breakdown could vary a little bit from country to country, but this is more or less

    a guideline and I dont really want to go into detail about the percentages but more

    about the different categories.

    3.1.7.1 Traditionalist:

    The right part of the brain (pessimistic) is a little bit more active. Noradrenaline and

    stress hormones are a little bit higher than average, GABA lower. GABA (Gamma

    Amino Butric Acid) takes fear away. In case of too little GABA depressions are very

    common.

    Traditionalists check everything in great detail and spend a lot of time with details.

    This is particularly due to the noradrenalin in there brain. It leads to a high focus in

    the great brain and deletes background information.

    Due to the supremacy of the balance system, traditionalists are frightened,

    precautious and reluctant towards new things. His consume and purchasing habits

    are also pretty stable. He is the prototype of a loyal customer, who sticks with a

    company or shop for a long time. He orientates himself mainly in respect to what

    other people do and common sense. Brands give him a secure and trust feeling. His

    relation to prices is more reluctant towards bigger spending though, as he relates it to

    potential risk. Due to his frequent lack of confidence, he needs outstanding service

    and advisement. Local goods will be found most commonly in his trolley and visits of

    doctors are very prevalent.

  • 14

    3.1.7.2 Harmonizer:

    This is a very important type when trying to better understand the female client as

    well. The relation to the Traditionalist can be found in the fact, that the Balance

    System is the main player in his brain. The difference between the two is though, the

    social modules bonding and care, which are very pronounced. Especially the

    Social-, Cuddle Hormone (Oxytocin) will be found in higher concentration with his

    type. The Harmonizer is also very cautious, but more open for others and other

    things. Very Important: the feeling of security and harmony within the family.

    Especially things for garden, home, kitchen and animals gain great interest for

    him/her.

    3.1.7.3 Enjoyer:

    Opposite to the Traditionalist and Harmonizer, whose front right part of the brain is

    really active the Enjoyer uses both sides equally. Dopamine is the nerve transmission

    substance for the Stimulation-System and is mainly found in the left part of the brain,

    whereas the Balance-System and its substances more commonly appear on the right

    side.

    Other than with the Traditionalist, who shows a skeptical and more pessimistic

    attitude, the Enjoyers main qualities lie in his open minded and positive life style. He

    loves products which guarantee a high amount of pleasure and enjoyment. Quality

    and natural production are still of a high priority to him (due to Balance-Part), but the

    enjoyment needs to be included. Cosset and being cosseted is his device. Brands

    that promise adventures are his target and he is very contact friendly. But also his

    family cannot come too short.

    The Price is not his main criteria, but he still aims for getting as much enjoyment out

    of as little money as possible. He has a very positive attitude towards his health and

    enjoys wellness and services that offer comfort.

  • 15

    3.1.7.4 Hedonist:

    This name comes from the Greek word Hdon = fun, happiness, enjoyment, delight.

    In this type of person reigns the Stimulation-System and therefore like already

    mentioned above, the Dopamine. This leads to the fact, that the left side of the brain

    is more active. He rather combines and connects things he already learnt than

    thinking too much about new ways. He is always looking out for new stuff and how he

    can pleasure himself. Hedonists are very commonly found in addiction treatment

    stations in hospitals. The loud, outstanding and extraordinary are important to him.

    Where the product or service comes from does not really matter as long as it is new

    and different. He is the classified example of an early adopter, who always wants to

    have the latest things and trends. Hence, his attraction towards fashion is over

    proportional. But also when looking at new exotic fruits or other food coming out he

    will be one of the first to try it out. Another important to know characteristic of his

    purchasing style is that he is very impulsive and buys a lot and often unnecessary

    things he does not even like. His loyalty could be better and he is not very open to

    advice. This is due to his very optimistic character, which kind of eliminates the risk in

    many things.

    3.1.7.5 Adventurer:

    The same as with the Hedonist and a little bit of the Enjoyer, the Adventurer has a lot

    of Dopamine in his brain. This is being combined with another very common hormone

    in his brain testosterone. Testosterone is the male hormone for sexuality and

    dominance. Hence, a very active left brain side. But other than with the Hedonist,

    whose aim is enjoyment, has the Adventurer a fiercer attitude. To assert oneself, and

    demonstrate supremacy is his world. Faster, better and stronger: The product quality

    does not matter too much. His priorities are the visible advantages and fun. Loyalty is

    equal to zero, as well as his need of advice. Everything he wants and needs to know

    has already been researched in the internet. Due to his careless attitude towards

    health he enjoys things where he puts his body to the limit. Sports with thrill like

    mountain biking or climbing are his interests. Products he is interested in are those

    which increase his performance or give him a feeling of freedom. Drinks like red bull,

    but also alcoholic drinks are his favorite and he always chases low pricing.

  • 16

    3.1.7.6 Performer:

    The sexual and dominance hormone testosterone is leading the brain combined with

    a strong presence of his left brain. However, other than with the Adventurer, the

    happy dopamine component is missing. Testosterone has the characteristics of

    activating somebodies ambition and pushing him forward. Whereas dopamine

    creates some sort of distraction, testosterone does the exact opposite. A target will

    be pushed towards until it has been reached. Products which include cleverness or

    promise high status are very welcome by him, as he always wants to show that he is

    the best. A great wine does not matter to him because of its taste, but more to

    demonstrate connoisseurship in front of friends and colleagues at the dinner table.

    He is always after products that demonstrate money, strength and power, but only in

    public. For his private use at home he likes to go to discounters and get the cheapest

    products possible. Everything that is visible to the outside though, like clothes for

    instance will be from the highest quality and best brand.

    3.1.7.7 Disciplinarian:

    This is another example of a type whose right brain side is more active. But also the

    left side is a bit involved as his testosterone component is pretty high.

    Due to his pessimistic and distrustful character enjoyment and alteration only play a

    small part in his life. He only buys what he really needs. Quality and guaranty are

    very important to him do to his nature. He compares prices and takes very long to

    come to a decision before he purchases something. Everything that makes the world

    more foreseeable is very welcome to him. For instance product test with objective

    opinions about them are of great importance to him. Latest fashion is of no interest to

    him. All that counts is the pure functionality.

  • 17

    3.1.8 Connection to relationship selling

    Classifying sellers into those characteristics has great influence on your capability of

    doing successful relationship selling.

    However, due to the fact, that you cannot just scan the mind of your client in order to

    find out what type of characteristics he has you need to be patient and work on a

    long-term relationship (definition of relationship selling). Because the longer you

    know your client the better you know him and therefore it takes you each day closer

    to finding out what type of person he/she is. And as soon as you are pretty certain

    about the type of person he/she is you will have a great advantage in comparison to

    your competitors who do not value this kind of marketing so much as you will know

    how your client reacts and why he/she reacts like that. This gives you the opportunity

    to prevent any misunderstanding or uncomfortable situations in the first place and

    adds onto your relation with him/her.

  • 18

    3.2 EVA (Emotionaler Verkaufsansatz/ Emotional Selling Approach)

    3.2.1 Explanation

    To break down the concept of Brain Types a little bit more, Alexander Verweyen, a

    German Business Consultant, came up with the concept of EVA (Emotionaler

    Verkaufsansatz), which could be translated to English like this: Emotional Selling

    Approach.

    In this philosophy, the brain types play a major role, as they need to be identified and

    taken care of. Like I already explained above, the Hedonist wants the product/

    service to be creative, the Adventurer is looking for action, the Performer values if it

    looks like something great, the Disciplinarian is looking for the comfort of the product

    and if it fulfills its use, the enjoyer has to see the enjoyment in it and the traditionalist

    looks for known things.

    If you take for instance a note book and you would like to sell it to all of those types of

    people/ brains, you would need to point out different unique selling points or

    advantages of it. For the Hedonist you would talk about the cover and that is

    available in many different colors, which could be changed all the time. For the

    adventurer you would point out that it tells you automatically everything about

    weather and if there is enough snow on the mountains to go skiing. The Enjoyer

    would be attracted by talking about the fact that it can also play CDs with relaxing

    music on it. To convince the traditionalist it would be a little bit more difficult, but

    maybe you could say that the typewriter has been sold out. The Performer would

    probably be attracted by pointing out that the same model is being used by the

    president. And the disciplinarian would be convinced by its advantage of being

    portable and useable everywhere with a battery life of more than a day.

    Hence, you see that it helps a lot to differentiate clients into those classes, as each

    one of them is looking for something else.

  • 19

    3.2.2 HDI (Hermann Dominaz Instrument/ Hermann Dominance Instrument)

    3.2.2.1 Different types

    However, the brain is not just dividable into types of people but also into different

    occurrences of four parts. Those parts are being distinguished as shown in the

    graphic below. This System is called: Hermann Dominance Instrument.

    Figure 3.3 HDI Types

    4

    Those Parts of the brain with different occurrences give you indications for different

    types of clients.

    Type A: The Rational Type

    He is very interested in facts and figures. To convince him you should be well

    prepared so you can illustrate him facts, figures and arguments that are logical and

    technically possible. Additionally you should use an advanced vocabulary to shown

    competence. His decision making model is very abstract.

    4 Hermann Dominance Instrument

  • 20

    His main question before he comes to a decision is: Do I have/ know all the facts?

    He shows positive reaction towards:

    - Data oriented contents

    - Detailed explanation and illustration of financial and technical aspects

    - Reading and working through of instruction manuals

    - The rational illustration of the functionality, for instance right at the product or

    through graphical annotation

    Type B: The Controlled Type

    Formal Aspects are what he is interested in. So in case you want to point out

    numbers to him, make sure that they are 100% correct until the last digit behind the

    point. Spelling mistakes are being spotted right away. Furthermore, he does not like a

    lot of risk.

    His main question before reaching a decision is: Do I stay in charge/ control?

    He shows positive reaction towards:

    - Good planning

    - Step to step as well as consequent advancement

    - Exact and correct calculations

    - Organized course of action with reference partner

  • 21

    Type C: The Emotional Type

    Feelings are his main guidance. The social and interpersonal aspects are of major

    importance to him. You should point out the communicative, assisting and

    relationship supporting side of your offer. Try to convince him with your own passion,

    as his decision model is emotional and intuitive.

    His main question is: how will be my relationship to others? How can I include a third

    or even fourth party?

    He shows positive reactions towards:

    - Experimental opportunities

    - Music

    - Linguistic freedom

    - Explanations about the effect of the product/ service on for instance

    colleagues

    Type D: The Visionary Type

    He is looking for holistic coherences. He is interest in future, creative opportunities

    your product/ service is offering. Maybe draw a picture of the potential hidden in your

    offer. His decision making model is dominated by fantasy and risk orientation.

    His main question before coming to a decision is: Which opportunities will this offer

    bring me?

    He shows positive reactions towards:

    - Great illustrations of future potential

    - Spontaneity

    - Experiments

    - Pictures, Graphics and Models

    - The free flow of ideas and inputs

  • 22

    3.2.2.2 How to identify them?

    But the question that has to be answered like in all the other tools that I explain is:

    How do I differentiate of classify people into those groups. Below you will find some

    hints about how to do this by simply looking a little bit closer at your client and his/

    her behavior.

    The Rational Type:

    1. Does he demand facts? Does he want data? Does he like to debate and

    argue?

    2. In a conversation is he influenced by subjective-emotional contents? Does

    he block?

    3. Does he switch to objective matters? Does he want to receive illustration

    about financial and technical aspects?

    4. Is he trying to stay distant? Does he want to keep the contact frequency low?

    5. Is he looking for detailed and straight forward explanations and facts?

    The Controlled Type:

    1. Is he interested in formal aspects? Does he point out mistakes in letters or

    emails when meeting in person?

    2. Does he repress details? Spelling mistakes and exact digits after the point are

    of importance?

    3. Does he demand a huge amount of information and then backs up to plan the

    next step?

    4. Does he want to be informed about everything in great detail? Is he in a

    negative mood as soon as he feels like he has been left out of just a little part

    of the whole process?

  • 23

    The Emotional Type:

    1. Does he constantly divagate? Does he talk about things that are off the actual

    topic?

    2. Is he interested in your personal point of view? Is he interested in you as a

    person?

    3. Do you feel like he is influence by you good mood? Does he realize that you

    are not in the best mood, although you are trying to be a professional, who

    does not show any kind of symptoms?

    4. Does he show positive respondence towards details, finesse, optical as well

    as esthetic qualities?

    The Visionary Type:

    1. Is his pretention oriented towards new, extraordinary shapes, colors and

    technical finesse?

    2. Is he active throughout the dialogue? Does he move his arms and other parts

    a lot when talking? Can you identify his willingness and interest by his

    gesture?

    3. Does he also demand activity from your side? Is he looking for a surpassing

    service, which is individual and open for surprises?

    4. Is the overall coherence more important to him than the individual details?

    3.2.2.3 Medium to approach the target

    When concluding the information mentioned above it might also be of great

    importance to know through which medium you try to get the message across to the

    client.

    In the case of having a rational client you should chose mediums like:

    - brochures,

    - information material,

    - letter or

    - telephone conference

  • 24

    When trying to convince a Controlled Type you might prefer:

    - tables,

    - diagrams,

    - visualizations or

    - dialogue

    For the Emotional Type:

    - emotional conversation

    - optionally with a little bit of music in the background

    For the Visionary Type:

    - tables,

    - diagrams,

    - active conversation, but not too much

  • 25

    3.2.3 EVA

    3.2.3.1 The 9 Stages

    After knowing all this about your client the EVA can be applied. This process has

    been split into nine different stages:

    1. The Atmosphere has to be right!

    2. Increase your emotional Energy!

    3. Call people by their names!

    4. Offer your personality to them!

    5. Start to entrap people!

    6. Make compliments!

    7. Offer support!

    8. Become indiscreet!

    9. Get Feedback!

    3.2.3.1.1 The Atmosphere has to be right!

    Idea: Actively change the atmosphere

    Goal: Get your own mood up!

    Course of Action:

    Become aware of your (bad) mood

    Ask yourself: Do I want to carry this mood around all day?

    Look for a quiet place/ area

    Try to totally relax

    Breathe through deep and slowly

    Imagine a situation that has been very nice/ successful for you

    Go through the whole situation again in your head

    Concentrate entirely on this situation

    OR: simply think about a great event that is coming up in the future (holiday,

    Birthday, etc.)

  • 26

    Annotation: If you are not in a good mood, you cannot transmit a positive attitude to

    other people. Clients/ conversation partners want to be talked to in a positive and

    friendly manner. That is why you need to express a positive attitude.

    3.2.3.1.2 Increase your emotional Energy!

    Idea: Appearance, Voice, Eye and Ear

    Goal: to capture and transmit emotions better also through the phone

    Course of Action:

    Emotional Eye: Can you see emotions? (Body language, facial expression and

    gesture)

    Emotional Ear: Can you hear emotions? (Voice, accent, volume, speed of talking)

    Test yourself:

    How well can I identify other peoples emotions? How sensible is my

    perception through Eye and Ear?

    How well can I transmit my own feeling and emotions to other people?

    Emotional behavior: Is your body language open, friendly and allocated towards

    your partner/ client

    Emotional Voice: Is your voice emotional? Do you pronounce differently? Is it an

    enjoyment to listen to you?

    Annotation: through observations you can learn a lot. Take close notice of how other

    people show/ dont show their emotions and try to find out why.

  • 27

    3.2.3.1.3 Call people by their names!

    Idea: Remember the name of your conversational partner!

    Goal: The conversational partner feels like home.

    Course of Action:

    What differentiates us human all from each other? Exactly the name. If you do not

    understand the name, ask again. If the name is hard to remember, write it down.

    Everybody like to be called by his/ her name very emotional!

    Annotation: The names of companion/ partner is as important as the name of the

    conversational partner

    3.2.3.1.4 Offer your personality to them!

    Idea: Instead of US (company) just I

    Goal: Bring yourself and not the company into the game

    Course of Action:

    We will need to call you back. How does that sound to you - not very emotional?

    Right!

    What do you think about this formulation?

    Surely will I take care of your business or I will cope with this now and Better?

    Get yourself into the game and not the anonymous company. Build a relationship

    between you and the client. This way you can start to generate trust, which he can

    rely and build on.

    Annotation: Obviously you cannot disappoint your client. Make sure this does not

    happen.

  • 28

    3.2.3.1.5 Start to entrap people!

    Idea: Approach the Emotions of your conversational partner/ client.

    Goal: Win your client with charm

    Course of Action:

    Persuading or entrapping somebody has the highest rate of success if there is

    sympathy between both parties. Sympathy results out of the first impression, same

    taste, same opinion, similar use of language, etc.

    Try to compensate and apply this when talking to your opponent/ client. This way,

    you will get far more success out of each conversation. Where do you see starting

    points in the conversation to get a good basis for similar interests?

    Annotation: Still remain classy though!

    3.2.3.1.6 Make Compliments!

    Idea: Try to think of a compliment

    Goal: Gain sympathy of your conversational partner/ client

    Course of Action:

    To give a positive feeling to your client, make him a compliment. Try to point out

    individual characteristics

    Annotation: A very good way would be to ask, if you may make a compliment.

  • 29

    3.2.3.1.7 Offer Support!

    Idea: Can you do anything for your conversational partner/ client?

    Goal: This way you pledge somebody for yourself

    Course of Action:

    Fast notice of need of aid/ support is ideal to get close to your opponent. But what

    kind of help could you offer?

    Some Examples:

    - Take care of things that do not really relate to the core of the conversation

    matter

    - Problem recognition, before you partner realizes it; straight offer of solution!

    Annotation: Offer your help/ support actively (right away) and do not wait until that

    person asks you to help out.

    3.2.3.1.8 Become indiscreet!

    Idea: Read between the lines

    Goal: Get an even closer relation/ connection/ bonding to people

    Course of Action:

    Ask things that are not directly related to the conversation or business. Questions

    about family, children, hobbies, vacation, personal interest, etc.

    In the business world, there is not enough focus on these subjects. Often, similarities

    or other interesting aspects will appear through these sorts of questions. This will

    lead to even more positive emotions in the conversation.

    But you always have to see if there is an advantage to your conversation by asking

    those questions.

  • 30

    Annotation: Do not be afraid of too indiscreet questions. The more you know, the

    better you can react to what your client wants. This way he will feel more understood

    and valued, which leads to more trust and therefore a better business foundation.

    3.2.3.1.9 Get Feedback!

    Idea: Acknowledgment after a phone conversation

    Goal: Conversational partner thinks about the conversation

    Course of Action:

    Successful conversationalists build in a sentence at the end, where they are asking

    for some sort of feedback about the whole conversation.

    This way, the conversational partner can tell you his opinion. Maybe this is even an

    opportunity to receive a compliment from the other party as everybody needs

    motivation!

    What could be a good phrase to ask for feedback in the end? Think about that before

    you hang up the phone or dismiss your conversational partner from the meeting.

    Annotation: Also with this Emotional Selling Approach do not be afraid of using it.

    Just give it a try!

    3.2.4 Connection to Relationship Selling

    If you now relate this back to what I said about relationship selling in the beginning

    and what the aim of it is, you can see that this tool brings a lot of key factors with it to

    perform successful relationship selling. Like for instance the point about trust and

    closeness to you client. This will increase loyalty, which leads to long-term

    relationship and business between the two parties the main aim of relationship

    selling.

  • 31

    3.3 Storytelling

    Another tool to achieve successful relationship selling is the storytelling. This tool

    relies on the assumption that our brain does not safe images of objects and actions,

    but structures of elements that keep occurring continuously. The magical word here

    is pattern. Humans are success model of evolution because we can remember,

    access, safe and hierarchically align patterns very well.

    The metaphor storytelling helps us to recognize and realize continuous patterns and

    its most common use better and to come up with short stories, romans, or episodes

    which entrap people to acquire our ideas service and products. It does not matter if

    you are an actor, writer, artist or sales man whoever sets higher standards than the

    average person sees structures of structures and patterns of patterns better than

    others.

    However, even a master in story telling does not exactly know which sort of script the

    story will make appear in the consumers mind, but because he knows the basics,

    which rely on the neuronal data processing, he can increase the chance of being

    able to tell a story that manipulates the consumers brain in a way that he shows the

    desirable behavior pattern. Additionally, it is known that the start and the end play a

    major role of importance in the thought process.

  • 32

    3.4 Structogram

    5

    3.4.1 Explanation

    Another very useful and commonly used tool to analyze people in order to identify

    their habits, ways of thinking, reactions to something and connections in the buying

    process is the Structogram. This tool has been designed to identify peoples

    characters by arranging them into groups according to their occurrence of the

    different brain parts influencing their decision process. Those parts are the brain stem

    (indicated by the green color), the interbrain (marked by the red color) and the

    cerebrum (shown in blue color). According to their arrangement and occurrence in

    the thought process of people, they form different characters. Where the green-

    oriented person is rather looking for close contact with people and often refers to the

    past and makes a lot of decisions by simply using intuition, as his connection and use

    of the unconscious knowledge are of great value and importance. The red-oriented

    character is more authoritarian, competitive, dynamic, referring to the presence, a

    practical thinker and somebody who likes high amounts of risk.

    5 Structogram, http://www.structogram.de/Structogram_RGB.jpg

  • 33

    6

    Usually, in order to be as accurate as possible, there are certain questions you can

    answer to identify your own Structogram. Those questions give indications about how

    to move and rotate the Structogram-disk, which leads to clarifying and illustrating

    your type of personality.

    3.4.2 Different Behaviors

    However, you can also apply this tool by using your trained instincts to analyze your

    opponent. The differentiation between the three colors can be made by looking at

    simply patterns of behavior that people show all the time. These behaviors have been

    illustrated in the reconstructed matrix below:

    6 Structogram, http://www.powerline-vertriebscoaching.de/powerline/images/structogram.jpg

  • 34

    Table 3.1 Different Behaviors, Structogram

    Green

    Brain Stem

    Sensation

    Red

    Interbrain

    Emotion

    Blue

    Cerebrum

    Rationality

    Relationship

    to People

    Contact

    Looking for

    human

    closeness

    Intuition for

    Human

    General

    popularity

    Dominance

    Looking for

    supremacy

    Natural

    Authority

    Aptitude to

    competition

    Distance

    Looking for safe

    distance

    Abstinence

    Tendency to

    caginess

    Orientation

    according to

    time

    Past

    Building on

    known

    Action

    through

    experience

    Avoidance of

    radical

    change

    Presence

    Capturing

    moments

    Impulsive

    action

    Activity and

    Dynamic

    Future

    Compunction of

    consequences

    Planned action

    Pursuit of

    advancement

    Thought- and

    Working

    Process

    Sense

    Intuitive

    thinking, sure

    instinct

    Authentic first

    impression

    Fantasy

    Understand

    Concrete,

    practical

    thinking

    Fast noticing

    of feasibility

    Aptitude to

    improvise

    Arrange

    Systematic,

    analytical

    thinking

    High ability to

    abstract

    Aptitude to

    perfection

    Success

    through

    Sympathy Electrify Persuasion

  • 35

    So as soon as you are getting a vague idea about which color might be dominant in

    this persons mind you can connect this to another list of how to approach those

    clients.

    All three show different purchasing motives, which are clearly differentiated. Hence,

    after you identified the dominant color, you will know how to approach them.

    3.4.3 Buying Motives:

    For Red-dominant clients:

    - High benefit

    - Status Symbol and Exclusivity

    - Not complicated

    - Emotional

    For Green-dominant clients:

    - many people do it like this

    - Security

    - Friendly basis

    - Personal interest

    - Relation to past experience

    - Colors

    - Stories

    For Blue-dominant clients:

    - Understanding due to numbers/facts

    - Individual

    - Future oriented

  • 36

    These are some indications of what those types of clients preferred and how you

    should approach them to get the maximum success out of it.

    But, as well as motives, there are also thing that prevent them from purchasing

    certain goods, which is closely related to how you present them as well.

    3.4.4 Buying Resistance:

    For Red-dominant clients:

    - Too detailed

    - Everybody has it already

    - Monotone

    For Green-dominant clients:

    - Pressure

    - Nervousness

    - Distrust

    - Unorganized

    For Blue-dominant clients:

    - Open/ unanswered Questions

    - Not in great detail

    To know what to do and what not to do helps you a lot in becoming a successful

    sales person, but it is not just about how the client itself would decide and react to

    things. A great part of the decision making process goes through things that influence

    this decision and a great deal that concerns this is how you approach and

    communicate with this client. The more you know about this the greater success you

    will earn later on.

  • 37

    3.4.5 Buying Influences:

    For Red-dominant clients:

    - Compliment, affirm him

    - Show acknowledgement/ recognition

    - Repeatedly call him by his name

    - Active/ agile language

    - Punctuality

    For Green-dominant clients:

    - Sympathy, Empathy

    - Gets what he wants

    - Friendly, kind

    - Little gifts

    - Service

    For Blue-dominant clients:

    - Good preparation

    - Punctuality

    - Calm

    - Choice of words/ language

    - Distance/ not too much private reference

    - Keep promises

    3.4.6 Connection to relationship selling

    So basically, to sum this up you can say that the red-dominant type likes the newest,

    best and greatest products, goods and services, whereas the green-oriented one

    puts a lot of value on comfort and service and the blue-dominant is looking for the

    special and individual.

  • 38

    It is an easy tool to use and apply, but with great impact on your performance. That is

    why this technique is spread all over the world and being used by almost all great

    companies as well in management positions as in the sales force and all other

    departments to create a better environment within the company itself, but also to

    make a better impression to the outside (sales).

    3.5 CRM to CMR (Customer Managed Relationships)

    3.5.1 Definition

    Customer relationship management (CRM) is a widely implemented strategy for

    managing a companys interactions with customers, clients and sales prospects. It

    involves using technology to organize, automate, and synchronize business

    processesprincipally sales activities, but also those for marketing, customer

    service, and technical support. The overall goals are to find, attract, and win new

    clients, nurture and retain those the company already has, entice former clients back

    into the fold, and reduce the costs of marketing and client service. Customer

    relationship management describes a company-wide business strategy including

    customer-interface departments as well as other departments. Measuring and valuing

    customer relationships is critical to implementing this strategy.7

    3.5.2 Explanation of CRM and its failure

    But many CRM projects have failed over the years. How come that customers offer

    so much information about themselves and we still cannot meet their needs and

    demands? Companies try to find out what their customers value and use this

    information to make them loyal or just a kind of frequent client. This technique has

    been moved more and more into the center of company strategies. A survey from

    Gartner Inc. says that 52% of their informants put CRM on first priority in their

    companies. However, in the year 2001 only every fifth company to use CRM wrote

    black digits.

    7 CRM, http://en.wikipedia.org/wiki/Customer_relationship_management

  • 39

    They all seemed to have misunderstood a vital point: Whoever wants to build a

    relationship needs to understand/see the need first.

    Many of those people talk about the share of wallet, but what they do not

    understand is that they need to find a way into the customers heart and head before

    they can find their way into their wallet.

    The question is though: Why has it not been as successful as is should have been?

    One of the main reasons for this is the aspect of control. People like to be in control

    of everything they do. So in case they are being given a call by a sales person, they

    might feel that they are being pushed into something they do not like. In this case

    they go totally against everything the person on the other end of the line says, or they

    avoid this sort of contact right from the beginning. This is the reason why catalogues

    and brochures are still very much welcome within our society. That way people have

    control about if they want to read this information or not. And maybe even more

    important they can decide when they want to gather this information. End users have

    made clear that they do not want to become a target of a hunt. They simply expect

    companies to be there in order to make their life easier and stress less.

    3.5.3 CMR System

    This is why the CMR system has a different aim. It is not being used to help the

    companies but more to favor the customers. The strategy behind it is pretty straight

    forward. It demands a change in management and no management of change. The

    CMR touches every business and cultural aspect of a company, every relationship

    with humans and every technology.

    Rather than trying to implement another project or advertising company, the CMR

    system is there to bring the relationship between customer and company onto a

    whole other level by the standards of the customer.

  • 40

    More power over the client does not mean that you can push or pressure a client

    towards something he/she does not like. It means more that clients tell you what they

    feel is important to them. 8

    This systems looks like a kind of change in power, as it gives the client the

    opportunity to tell the company exactly what he is interested in, what kind of

    information he needs, what kind of service standard he would like to receive (like I

    mentioned in the Brain Types part: every person thinks different about service) and

    through what kind of communication tools they would like to receive this information

    where, when and how often.

    This seems to have already found a great amount of friends in the society as the

    survey of NCR Teradata from 2001 shows that 80% of the US-Americans would tell

    companies more private and accurate information if they would be treated more

    individual. And 60% of the informants said that companies, who send specified and

    purchasing preferred offers would make their lives easier.

    8 At the Speed of Light: Capturing and Keeping Customers in Internet Real Time, Paul Greenburg

  • 41

    3.5.4 CRM vs. CMR

    Table 3.2 CRM vs. CMR

    CRM

    CMR

    The Company is in charge

    Customer is in charge

    It gives mainly advantages to

    the Company

    It gives mainly advantages to

    the user

    In the focus is the trace of

    transactions

    In the focus are the individual

    needs of the client

    Clients are being treated as

    segments

    Clients are being treated as

    individuals

    Clients are being pushed

    towards things, which the

    companies think the consumers

    want

    Clients tell companies what is

    important to them

    Customers feel like bait

    Customers can control the

    relationship

    Processes are being aligned

    around products and services

    Processes are being aligned

    around the client

    1998, Professor Susan Fournier, Professor Susan Dobscha and Professor David

    Glen Mick released an article called: Preventing the Premature Death of Customer

    Relationship Management.

  • 42

    The article said:

    Companies claim, that they keep using better and better methods of relationship

    marketing. By taking a closer look at it you can see that the relation has been

    worsened over time. When speaking to the end users all we hear are bad things

    about all the companies out there. They talk about blinding, frustration, insensibility

    and manipulation all in all, they feel like trapped victims. It could be that the

    companies are happy the more they learn about their customers and the more offers

    they send out which hit almost every taste and needs, but the clients do not seem to

    be too glad about it. They do not even have a reason to be.

    Since the release of this article there have no greater changes been made, as people

    share the opinion about the fact that technology will make everything go well without

    making any changes in the activity, processes or alignment of the companies. But if

    you want to accomplish long term success, the first step needs to be made in

    changing the processes and philosophy of the business.

    3.5.5 Reasons for failure of CRM

    This is a list of the nine most common reasons for failure of CRM concepts:

    - Organizational Change 29%

    - Pursuit of self-interest and lack of support 22%

    - Lack of knowledge about the CRM concept 20%

    - Bad strategy 12%

    - Lack of CRM-Skills 6%

    - Low budget 4%

    - Software Issues 2%

    - Bad consulting service 1%

    - Other reasons 4%

    None of those reasons give an indication of the problem coming from outside factors.

    Due to the fact, that 29 percent of the issues are being caused by organizational

  • 43

    changes the main subject that needs to be focused on has to be the company

    structure itself.

    Hence, important for the consumer orientated relationship management is the

    cooperation between processes, humans and technology. Notice, that I mentioned

    technology last, due to the reasons claimed above. And this is what CMR aims for.

    So when we talk about brands as an example to illustrate the importance of

    consumers and their power, it makes it pretty clear that your relationship towards

    your customers is the most important thing in business. Because what is actually a

    brand? Is it a name, logo, company motto or advertisement slogan? No. it is simply

    defined by the perception of a client. The perception the client has towards the brand

    and what he connects with it. This means, that brands are founded by the consumer

    and are also being erased by them depending on the experience the client gets and

    the relationship that is being kept between them. Own experience are definitely of

    greater value than advertisements to the client. That is why advertisements only work

    when they are being connected to the personal experience of the client. So there is a

    little connection to the storytelling, as you are trying to confront the consumer with

    patterns they already known and experienced. This makes them feel a lot more

    secure about the product or service and creates a relation as they feel more

    connected to what they are going to buy. And to be able to do this, you need to get

    information from your clients and use them to offer better service to them. Make them

    the center of attention. The consumer is the king is a sentence you hear from so

    many companies, but they are not acting like this at all although they believe so. And

    this is where CMR comes into the game. Letting the consumer tell you what they

    want and need, so that you can get as individual as possible and thus create a great

    relationship.

    David Wolfe and Richard Frazier from Wolfe Resource Group in Virginia:

    Most markets are being controlled by clients and not the companies. Clients switch

    channels when advertising comes up, cancel business relations with incompetent

    companies, leave stores that offer bad service, finish uninteresting phone calls and

    are totally in charge of the decision what they will by and whom they will by this from.

    We cannot do whatever we want with our brands. We are just administrating them for

    their real holders the clients. The brand value is determined by the preparedness of

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    the clients to pay for it, not by what we want to take out of it. Brands have a

    personality. Therefore clients only identify themselves with brands, whose image

    suites them. Hence, there is only one way to successfully position a brand: let the

    client find himself within the brand.9

    It has been made very visible and clear, by so many experts how important the

    relation between client and company is. Even in a system like CRM it was the

    weakness in the end so that it has to be adapted in order to be successful in the end.

    9 David Wolfe & Richard Frazier, Wolfe Resource Group in Virginia

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    4. Internship

    Throughout my internship I came across several different ways of how to do and

    apply relationship selling. From very simple and generally known techniques to more

    advances once.

    To see this sort of marketing/ sales approach being used in real life was the initiator

    for me writing about this subject. It fascinated me what huge difference it made when

    looking at the perception of the clients.

    The company MedWest Associates Inc. represented the medical instruments and

    implants of Arthrex Inc., the world leading company in Sports Medicine. And the

    recognition they receive within Chicago and the surrounded areas (where I did my

    internship) was great. This was probably first of all due to the great products Arthrex

    Inc. offers and produces, but like I said before, the product itself will not make the

    difference anymore. It is about the service you offer your clients. And that is what

    Arthrex Inc. as well as MedWest Associates Inc. realized and tried to accomplish.

    So what was first noticable was the friend-based relationship the sales reps built with

    their clients. The climate in the OR and throughout the entire hospital was great when

    the reps were around. People appreciated them being there and you could see that

    they did not just talk about business.

    The sales reps invited the doctors and some staff occasionally to dinner, concerts or

    sports events where they tried to make them enjoy the company of the sales rep, so

    a better relationship was built, which was also based on trust, as a lot of private

    matters were being discussed there sometimes.

    This showed the appreciation for the doctors being there long-term clients and

    hopefully builds up on an even longer collaboration between them.

    The long-term relation became very visible to me when I started to notice how many

    people in the hospitals related Arthrex to the name Paul Lopez (founder and

    president of MedWest Associates Inc.). I see, you are from Pauls company, arent

    you? is the quote I most frequently heard when entering a hospital. This showed

    how much great work he had done in the hospitals long time before he hired people

    to do this job for him. I remember a sentence he told me that was something like:

    Even the weakest part in the chain needs to like you, as they might have more

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    influence than you think. And it was clear that he followed this principle all

    throughout his career.

    Maybe this sort of relationship selling is not as applicable as the once I described

    above, but it is definitely as useful and successful. I would probably say that this

    shows the groundwork for successfully applying the tools mentioned above.

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    5. Conclusion

    A series of new techniques have appeared that will change the sales landscape in

    the future. From the information given above it is obvious that changes have to be

    made and a certain direction has to be aimed for in order to keep differentiating

    yourself from others. The differentiation in products and price will not play a major

    role anymore any time soon, as companies can copy products almost identically and

    prices can be adjusted up or down due to the major players being able to use huge

    economies of scale.

    A great example for this could be Apple Inc. They were the first ones to research,

    develop and produce a smart phone, also known as the iPhone nowadays. For the

    first 1-2 years everybody wanted to have an iPhone not just because only a few

    competitive machines were available, but also as the competition was not able to

    perform at the standards the iPhone put on the market. However, you can see that it

    did not take long for other companies to catch up with Apple Inc. and produce similar

    good products.

    This is a simple example on how service is the only way to make a difference. But it

    is all about the kind of service you are providing. Not only in the industrial marketing

    sector but also on the merchandise area there is a great need for the relationship

    selling strategy. Building a good relation with buyers gives you a great advantage

    over all the competitors trying to sell to this client. You need to give the client the

    feeling that you know everything about the industry and his company and also act as

    a partner to him not just a salesperson trying to sell a product in order to hit your

    numbers at the end of the month. You need to become an asset to the clients

    company and make him want to buy from you.

    The tools presented above will help you achieve this goal. My research has

    confirmed that these tools are being used more and more throughout the entire world

    and have already shown great results. Additionally, I believe, that they are simple to

    apply, as many people confirmed that they use them on a daily basis.

    Using these tools to your advantage and applying them throughout your whole

    working process will make you and much more successful and an ASSET to the

    client/ clients company, like already mentioned above. As soon as you understand

    your opponent, why he acts and reacts a certain way, which sort of products he is

  • 48

    looking for, what he values a lot and what he does not like at all, you will always be

    one, if not two or even three steps ahead of everybody else who is not doing it.

    And this will make all the difference soon.

    Just imagine yourself going into a restaurant. You go through the menu and find

    something you would really like to eat. To illustrate it better we take tuna and salmon

    as an example. You tell the waiter that you would like to have the tuna, but he replies

    and says that you should eat the salmon. Maybe you listen to some

    recommendations of waiters, but at that day you only fancy to eat tuna. You would

    tell him again, that you would like the tuna though and he says again, that you should

    eat the salmon. How would you feel? Probably not very comfortable and you would

    think about going to this restaurant again twice.

    This is a great example of showing how a seller cannot sell what he wants if the client

    is not interested. But this is what many sales people try to do. They try to talk their

    clients into something they might not even have the slightest interest in. Hence, you

    need to understand your client and offer him what he/ she is looking for. Only this

    makes you successful, and this is what the tools I mentioned are for

    (Neuromarketing, EVA and CMR in particular). Understand your client from the inside

    and the outside; combine those and becoming an ASSET to your client by offering

    what he/ she needs/wants.

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    6. Bibliography:

    Books:

    Husel Hans-Georg, Brain View Warum Kunden kaufen

    Husel Hans-Georg, Neuro Marketing Erkenntnisse der Hirnforschung fr

    Markenfhrung, Werbung und Verkauf

    Husel Hans-Georg, Emotional Boosting Die hohe Kunst der Kaufverfhrung

    Gerhard Bittner & Elke Schwarz, Emotion Selling Messbar mehr verkaufen durch

    neue Erkenntnisse der Neurokommunikation

    Hermann Sottong, Storytelling die Kraft des Erzhlens frs Unternehmen nutzen,

    Karolina Frenzel, Michael Mller

    Frederick Newell, Von CRM zu CMR (Customer Managed Relationships) Lassen

    Sie den Kunden die Beziehung bestimmen

    Sam Parker & Jim Gould, Sales Tough Step up. Work hard. Be valuable.

    Structogram International, Schlssel zur Selbsterkenntnis Structogram Trainings-

    System

    Atul Uchil, Relationship Selling: The fine Art of consultative Sales

    Jerry Acuff, The Relationship Edge The Key to strategic Influence and Selling

    Success

    Andrea Nierenberg, Nonstop Networking: Relationship Selling for personal Success

    Jim Cathcart, Relationship Selling The Key to getting and keeping Customers

    Bettina Hagen, Storytelling

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    Anna Stockinger, Neuromarketing - Ich wei, was du denkst?

    Kevin Roebuck, Neuromarketing: High Impact Strategies What you need to know:

    Definitions, Adoptions, Impact, Benefits, Maturity, Vendors

    Norman Albat, Neuromarketing als Teil der Marktforschung Die Auswirkung von

    Marken auf das Kaufverhalten

    Internet:

    Relationship Selling:

    http://business.yourdictionary.com/relationship-selling

    http://changingminds.org/disciplines/sales/methods/relationship_selling.htm

    http://www.relationshipselling.org/relationship-selling/relationship-selling-selling-in-

    todays-market

    http://www.salesmba.com/articles1/ssrl03.htm

    http://communication.howstuffworks.com/sales-technique2.htm

    Service: http://www.businessdictionary.com/definition/services.html

    Breakdown: http://www.wabccoaches.com/bcw/2008_v4_i1/images/trailer-figure3.gif