Marketing management 3.03

1. Marketing management 3.03 Use communication skills to influence others.

2. The importance of being able to persuade others • Persuasion is an important part of communication • Want others to understand your message and agree with you • Try to influence people to change their attitudes or behavior • Trying to communicate in a persuasive way so they will say “yes” rather than “no”

3. Business occasions for persuading others • To purchase/buy a product • To be patient • To have confidence in product • To choose project to finance

4. Factors that determine a person’s credibility with others • Tell the truth • If you always tell it, others will get into the habit of believing you because they can trust you • Know what you’re talking about • Make sure your information is correct • If you don’t know, say so! • Don’t exaggerate • You don’t want to make something look better than it is • Ex: Say something is offering a discount to attract customers vs. it is the cheapest in town (especially if YOU DON’T KNOW THAT AS A FACT!)

5. Techniques for persuading others • Understand your audience • Different audiences have different needs/concerns • Be reasonable • Almost impossible to do something unrealistic • Get your audience’s attention • Does it affect them? If they can’t make that connection, may not listen • State your case • Explain your ideas • Promote benefits • Create a desire for others to agree with your ideas.

6. Procedures for persuading others • Use appropriate body language • Face people and look them in the eye when you speak to them • Smiles encourage people to listen to you • Use persuasive words • Use words that appeal to your audience • “you”, “save”, “easy”, “fun”, “new”, and “money” are very persuasive • People respond well when message is directed to them • Use your voice • Speak in a normal tone • Vary the volume of your voice • Put energy into your voice • Speak with confidence • Use stories • Reinforce your message with examples

7. Negotiation • The process of reaching agreement with another party or persuading someone to take a certain course of action

8. Business situations where negotiation skills are needed • When you approach your manager to request a specific assignment • You are in charge of hiring a graphic-design firm to create your company’s product catalog • When you approach your supervisor about vacation time • When you approach your manager about a different sales territory assignment

9. Negotiation styles • Combative • You’re ready to fight for what you want at any cost! • Example: When you are shopping for a high-ticket item, such as a car, you are interested only in getting the best price, not necessarily in establishing a relationship with the salesperson. • Competitive • Embraces the “I must win, so you must lose” mentality. • Often creates suspicion and distrust in future dealings, if there are any. • Avoidant • When you avoid a situation, you do what you can to steer clear of an uncomfortable or unpleasant experience. • This strategy is often used when: • The relationships and outcomes are not important. • The negotiator has an alternative plan to get what s/he wants.

10. Negotiation styles • Accommodating • People who accommodate others might find themselves doing or agreeing to something they don’t really like. • One person might “give in,” hoping to gain something else during another negotiation. • Collaborative • When people collaborate, they work together. • They are more likely to create an outcome that benefits both parties. • Collaboration builds lasting relationships by embracing an “everybody wins” attitude.

11. Negotiation strategies • Bargaining • Each person proposes solutions and uses “give-and-take” tactics to reach an agreement. • You may have to give up something, but you get something in return. • Know exactly what you are willing to give before you begin negotiating. • Don’t make concessions until you know all the other person’s demands. • The number of concessions you make should decrease as the negotiation process continues • Good cop/Bad cop • If you are part of a group that is negotiating, set up one person as reasonable and agreeable and the other person as unreasonable. • This allows you to present two positions, making the “reasonable” one that much more attractive to the other side. • If you’re faced with this strategy, you can combat it by directing your attention toward the good cop.

12. Negotiation strategies • Limited authority • This works the same way as good cop/bad cop, although the bad cop is not present. • The good cop claims that s/he does not have the authority to meet your requests. • You can avoid this by arranging to talk to both people at the same time (the good cop and the decision maker), still focusing your attention toward the good cop. • Deadline driven • Giving others specific deadlines to meet your requests is a good way to make sure they are met. • It’s a way of making the negotiation real and specific. • An advantage to this strategy is that it introduces a deadline as a negotiable point. • If you set a deadline earlier than is necessary, you can build in negotiating room.

13. Negotiation strategies • A focus on needs/wants • Depending on the relationship you have with the other person, it might be helpful to present exactly what you want and why. • This works well when the relationship is important to you and to the other person. • On the other hand, there are times when you don’t want to divulge all your information. • Example: If you are negotiating a price for something, you don’t want to reveal how much you are actually willing to pay for it up front. • Silence • Silence is a good tactic to use when: • The discussion becomes emotionally heated. • The other person does not like what you say. • Nod your head to signal you are listening, but don’t talk. • People are often uncomfortable with silence. • The other person might try to revise his/her statement to sound more reasonable. • In this moment, the power shifts to you.

14. Negotiation skills in business situations • Research and prepare • anticipate the other person’s negotiation style • gather information ahead of time • Set up a time and place to meet with the other person • timing is crucial • consider the meeting place • Negotiate for a win-win outcome • meet with the other person • be aware of body language • use appropriate language • Actively listen • Resolve issues, reach an agreement, and establish terms • You’ve stated your needs, expressed your interests, communicated benefits, discussed options, and reached a compromise or an agreement. • The next step is to make sure that each person understands the other’s expectations and responsibilitiesand to set deadlines or set up another meeting if needed.