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Chapter 12 Chapter 12 Obtaining Obtaining Commitment Commitment Nicole Howatt Nicole Howatt

Salesmanship report obtaining commitment

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Page 1: Salesmanship report obtaining commitment

Chapter 12Chapter 12

Obtaining Obtaining CommitmentCommitment

Nicole HowattNicole Howatt

Page 2: Salesmanship report obtaining commitment

Chapter 12 TopicsChapter 12 TopicsChapter 12 TopicsChapter 12 Topics

How much emphasis should be placed on closing How much emphasis should be placed on closing the sale?the sale?

Why is obtaining commitment important?Why is obtaining commitment important? When is the best time to obtain commitment?When is the best time to obtain commitment? What methods of securing commitment are What methods of securing commitment are

appropriate for developing partnerships?appropriate for developing partnerships? How should pricing be presented?How should pricing be presented? What should a salesperson do when theWhat should a salesperson do when the

prospect says yes? When the prospectprospect says yes? When the prospectsays no?says no?

What causes difficulties in obtaining What causes difficulties in obtaining commitment, and how can they be commitment, and how can they be overcome?overcome?

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Page 3: Salesmanship report obtaining commitment

Examples of Commitments Examples of Commitments Salespeople May Attempt to ObtainSalespeople May Attempt to ObtainExamples of Commitments Examples of Commitments Salespeople May Attempt to ObtainSalespeople May Attempt to Obtain

To have the prospect To have the prospect agreeagree to come to the local to come to the local branch sometime during the next two weeks for branch sometime during the next two weeks for a hands-on demonstration of the copier.a hands-on demonstration of the copier.

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From Exhibit 12.1From Exhibit 12.1

To have the buyer To have the buyer agree to pass my information agree to pass my information alongalong to the buying committee with her/his to the buying committee with her/his endorsement of my proposal.endorsement of my proposal.

Page 4: Salesmanship report obtaining commitment

When is the right time When is the right time to seek commitment?to seek commitment?When is the right time When is the right time to seek commitment?to seek commitment?

There is no There is no one right timeone right time, but, butWatch for verbal indicatorsWatch for verbal indicators

Prospect agrees to value of benefitProspect agrees to value of benefitProlonged silenceProlonged silencePositive verbal indication Positive verbal indication

Watch for nonverbal indicatorsWatch for nonverbal indicatorsReexamining productReexamining productStarting to figure with pencil or calculatorStarting to figure with pencil or calculatorNodding the head, leaning forward, etc.Nodding the head, leaning forward, etc.

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Page 5: Salesmanship report obtaining commitment

When Obtain Commitment?When Obtain Commitment?When Obtain Commitment?When Obtain Commitment?

No perfect timeNo perfect timeBuyer commentsBuyer comments

Buyer questionsBuyer questions--RequirementsRequirements--Benefit statementBenefit statement-.-.Response to trial closesResponse to trial closes- -

Page 6: Salesmanship report obtaining commitment

This Will Help to Reach CommitmentThis Will Help to Reach CommitmentThis Will Help to Reach CommitmentThis Will Help to Reach Commitment

Be positive :)Be positive :)Let them set the paceLet them set the paceSell them the right item in right Sell them the right item in right

amountsamountsBe assertive, not aggressive or Be assertive, not aggressive or

submissivesubmissive

Page 7: Salesmanship report obtaining commitment

How Selling Style Relates to ClosingHow Selling Style Relates to ClosingHow Selling Style Relates to ClosingHow Selling Style Relates to Closing

Aggressive selling styleAggressive selling style Overwhelms the customerOverwhelms the customer Responds to objections without Responds to objections without

attempting to understand them.attempting to understand them.

Adapted from Exhibit 12.2

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Submissive selling styleSubmissive selling style Assume customers will buy when ready.Assume customers will buy when ready.

Assertive selling styleAssertive selling style Respond to objections, leading to a Respond to objections, leading to a

somewhat automatic close.somewhat automatic close.

Page 8: Salesmanship report obtaining commitment

Financial Terms and ConditionsFinancial Terms and ConditionsFinancial Terms and ConditionsFinancial Terms and Conditions

DiscountsDiscountsQuantity discounts(10% for order of 10 copiers)Quantity discounts(10% for order of 10 copiers)Cumulative discount-10% all purchases the whole yearCumulative discount-10% all purchases the whole year

Credit TermsCredit TermsCash discounts 2/10, n/30Cash discounts 2/10, n/30

(2% discount if paid in 10 days, otherwise must be paid in (2% discount if paid in 10 days, otherwise must be paid in 30 days)30 days)

Shipping CostsShipping CostsFOB destination-buyer responsible when reach their FOB destination-buyer responsible when reach their

locationlocation PricePrice--present with confidence, never apologize, at end, and present with confidence, never apologize, at end, and

the focus of presentation.the focus of presentation.

Page 9: Salesmanship report obtaining commitment

Effective ClosingEffective ClosingEffective ClosingEffective Closing

What would you say to a friend to get What would you say to a friend to get them to agree to go on a Spring Break them to agree to go on a Spring Break trip using each method:trip using each method:Direct requestDirect request

““Can I sign you up?”Can I sign you up?”

Benefit summaryBenefit summary““You wanted …. We’ve seen that…”You wanted …. We’ve seen that…”

Balance sheetBalance sheet““Let’s see if we can summarize the reasons for Let’s see if we can summarize the reasons for

and against doing this…”and against doing this…”

ProbingProbing““May I ask what is holding you back?”May I ask what is holding you back?”

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Page 10: Salesmanship report obtaining commitment

Direct RequestDirect RequestDirect RequestDirect Request

Very bluntVery bluntMost effective with driversMost effective with drivers

““Can I sign you up for 100 pairs of Levi Can I sign you up for 100 pairs of Levi jeans?”jeans?”

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Benefit SummaryBenefit SummaryBenefit SummaryBenefit Summary

Remind them of agreed benefits (take notes)Remind them of agreed benefits (take notes)

Needs-Features and Needs-Features and BenefitsBenefits

““You mentioned that you needed a more reliable You mentioned that you needed a more reliable system….we’ve seen that this system……”system….we’ve seen that this system……”

Page 12: Salesmanship report obtaining commitment

Balance Sheet ApproachBalance Sheet ApproachBalance Sheet ApproachBalance Sheet Approach

For those buyers who just can’t make a decisionFor those buyers who just can’t make a decision Can be insulting Can be insulting Use benefitsUse benefits Effective with analyticalEffective with analytical

Benefits of adopting metal in manufacturingBenefits of adopting metal in manufacturing Benefit’s of staying with plastics in manufacturingBenefit’s of staying with plastics in manufacturing

Page 13: Salesmanship report obtaining commitment

Probing MethodProbing MethodProbing MethodProbing Method

First-have used another method (maybe direct)First-have used another method (maybe direct) If unsuccessful-use a series of probing questions If unsuccessful-use a series of probing questions

to discover needsto discover needs

““Do I mind if I ask why you feel this way?”Do I mind if I ask why you feel this way?” ““Is there any particular reason why you do not Is there any particular reason why you do not

want to move forward?”want to move forward?” ““Have we resolved your concerns?”Have we resolved your concerns?”

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Effective ClosingEffective ClosingEffective ClosingEffective Closing

Did any of those methods appear Did any of those methods appear devious or manipulative?devious or manipulative?

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How would you suggest obtaining How would you suggest obtaining commitment? What method(s) do commitment? What method(s) do you prefer salespeople use with you?you prefer salespeople use with you?

Page 15: Salesmanship report obtaining commitment

Traditional Closing Methods:Traditional Closing Methods:Minor Point CloseMinor Point CloseTraditional Closing Methods:Traditional Closing Methods:Minor Point CloseMinor Point Close

The seller assumes that it is easier to get The seller assumes that it is easier to get the prospect to decide on a very trivial the prospect to decide on a very trivial point than on the whole proposition: point than on the whole proposition: “What color do you like, blue or red?”“What color do you like, blue or red?” If If the prospect makes the minor decision, the prospect makes the minor decision, the seller assumes the sale is made and the seller assumes the sale is made and begins writing up the order.begins writing up the order.

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From Exhibit 12.3From Exhibit 12.3

Page 16: Salesmanship report obtaining commitment

Traditional Closing Methods:Traditional Closing Methods:Continuous Yes CloseContinuous Yes CloseTraditional Closing Methods:Traditional Closing Methods:Continuous Yes CloseContinuous Yes Close

The seller, throughout the presentation, The seller, throughout the presentation, constantly asks questions for which the constantly asks questions for which the prospect most logically would answer yes. By prospect most logically would answer yes. By the end of the discussion, the buyer is so the end of the discussion, the buyer is so accustomed to saying yes that when the order accustomed to saying yes that when the order is requested, the natural response is yes.is requested, the natural response is yes.

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From Exhibit 12.3From Exhibit 12.3

Page 17: Salesmanship report obtaining commitment

Traditional Closing Methods:Traditional Closing Methods:Assumptive CloseAssumptive CloseTraditional Closing Methods:Traditional Closing Methods:Assumptive CloseAssumptive Close

The seller, without asking for the order, The seller, without asking for the order, simply begins to write it up. A variation simply begins to write it up. A variation is to fill out the order form as the is to fill out the order form as the prospect answers questions.prospect answers questions.

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From Exhibit 12.3From Exhibit 12.3

This does not even give the buyer the This does not even give the buyer the courtesy of agreeing. It can be courtesy of agreeing. It can be perceived as being very pushy and perceived as being very pushy and manipulative.manipulative.

Page 18: Salesmanship report obtaining commitment

Traditional Closing Methods:Traditional Closing Methods:Standing Room Only CloseStanding Room Only CloseTraditional Closing Methods:Traditional Closing Methods:Standing Room Only CloseStanding Room Only Close

The seller attempts to obtain The seller attempts to obtain commitment by describing the negative commitment by describing the negative consequences of waiting. For example, consequences of waiting. For example, the seller may state, the seller may state, “If you can’t decide “If you can’t decide now, I’ll have to offer it to another now, I’ll have to offer it to another customer.”customer.”

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From Exhibit 12.3From Exhibit 12.3

Page 19: Salesmanship report obtaining commitment

Traditional Closing Methods:Traditional Closing Methods:Benefit-in-Reserve CloseBenefit-in-Reserve CloseTraditional Closing Methods:Traditional Closing Methods:Benefit-in-Reserve CloseBenefit-in-Reserve Close

First the seller attempts to obtain commitment First the seller attempts to obtain commitment by another method. If unsuccessful, the seller by another method. If unsuccessful, the seller says, says, “Oh, I forgot to tell you that if you order “Oh, I forgot to tell you that if you order today I can offer you an additional 5 percent for today I can offer you an additional 5 percent for your trade-in.”your trade-in.”

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From Exhibit 12.3From Exhibit 12.3

Page 20: Salesmanship report obtaining commitment

Traditional Closing Methods:Traditional Closing Methods:Emotional CloseEmotional CloseTraditional Closing Methods:Traditional Closing Methods:Emotional CloseEmotional Close

In this technique, the seller appeals to the In this technique, the seller appeals to the buyer’s emotions to close the sale. For buyer’s emotions to close the sale. For example, the seller may say, example, the seller may say, “This really is a “This really is a good deal. To be honest with you, I good deal. To be honest with you, I desperately need to secure an order today. As desperately need to secure an order today. As you know, I work on a straight commission you know, I work on a straight commission basis. My wife is going to have surgery next basis. My wife is going to have surgery next week, and our insurance just won’t cover…”week, and our insurance just won’t cover…”

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From Exhibit 12.3From Exhibit 12.3

Many obvious problems arise with this Many obvious problems arise with this method. It is an attempt to move away from method. It is an attempt to move away from focusing on the prospect’s needs to focusing focusing on the prospect’s needs to focusing entirely on your own personal needs. entirely on your own personal needs. It does not develop trust or respect.It does not develop trust or respect.

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Effective ClosingEffective ClosingEffective ClosingEffective Closing

What do you do if the buyer What do you do if the buyer says says yesyes??

Go over information the customer will Go over information the customer will need to fully enjoy the benefits of the need to fully enjoy the benefits of the product.product.

Get the endorsement on the Get the endorsement on the agreement.agreement.

Show appreciation. If it was the first Show appreciation. If it was the first order, or a large one, send a thank order, or a large one, send a thank you letter.you letter.

Follow up. Make sure the order was Follow up. Make sure the order was delivered, and that the customer delivered, and that the customer understands how to use the product.understands how to use the product.

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