Prospecting and Pre-approach

1. Prospecting and Pre-approach

2. SalesLeads Screening Procedures for Qualifying Leads Qualified Prospects Prospecting The process of identifying, qualifying, and prioritizing organizations and individuals that have the need for and potential to purchase the salesperson’s market offering of products and services.

3. Prospecting Plans are the Foundation for Effective Prospecting Set Goals Establish daily, weekly and monthly quotas for acquiring new prospects

4. Prospecting Plans are the Foundation for Effective Prospecting Set Goals Allocate Time Establish a regular daily schedule for conducting prospecting activities.

5. Prospecting Plans are the Foundation for Effective Prospecting Set Goals Allocate Time Track your results from using the different prospecting methods. Keep Records

6. Prospecting Plans are the Foundation for Effective Prospecting Set Goals Allocate Time What is working for you? Compare results and use the methods that work best for you. Keep Records Evaluate

7. Prospecting Plans are the Foundation for Effective Prospecting Set Goals Allocate Time Develop confidence by knowing your products and believing that you offer the best solutions. Keep Records Evaluate Stay Positive

8. Popular Prospecting Sources & Methods • External Sources • Referrals • Introductions • Community Contacts (Centers of Influence) • Organizations • Non-competing Salespeople

9. Popular Prospecting Sources & Methods • Internal Sources • Company Records • Lists and Directories • Advertising Inquiries • Telephone Inquiries • Mail Inquiries • Internet or World Wide Web

10. Popular Prospecting Sources & Methods • Personal Contact • Observation • Cold Canvassing • Trade Shows • Bird Dogs (Spotters)

11. Qualified Prospects . . . • Can benefit from the sales offering • Have the financial ability to make the purchase • Play an important role in the purchase decision process • Are eligible to buy based on a fit within the selling strategy • Are reasonably accessible and willing to consider the sales offering • Can be added to the customer base at an acceptable level of profitability

12. Many Leads 100 Leads Few QualifiedProspects Many Qualified Prospects OneCustomer Few Customers Importance of Effective Prospecting Suppose it takes 10 leads to generate one qualified prospect It will take100 leadsto generateone customer And suppose it takes 10 qualified prospects to generate one customer

13. 50 Leads OneCustomer Importance of Effective Prospecting The better the lead generation method, the higher the proportion of qualified leads. The more accurate the qualifying process, the higher the proportion of customers per qualified lead.

14. Gathering Precall Information:The Prospect The prospect’s name and title Info Needed Correct spelling and pronunciation can be gathered by asking the receptionist or secretary or gatekeeper to verify information. Source

15. Gathering Precall Information:The Prospect Is this prospect willing to take risks? Are they confident with their decision making? Info Needed May have to ask the prospect Source

16. Gathering Precall Information:The Prospect Is the buyer involved in their community? Do they belong to clubs or professional organizations? Info Needed Observe club or organizational honors displayed in the office. Source

17. Gathering Precall Information:The Prospect Does the prospect have hobbies or interests they are proud of? Info Needed Source Observation of office.

18. Gathering Precall Information:The Prospect What is the prospect’s personality type? Easy going? All business? Info Needed Observation and experience with buyer. Source

19. Gathering Precall Information:The Prospect Where did this prospect grow up? Where were they educated? Info Needed Source Look for diplomas. Ask.

20. Gathering Precall Information:The Prospect’s Organization What type of business are we dealing with? Info Needed Can be gathered from a directory and company web site. Source

21. Gathering Precall Information:The Prospect’s Organization To what market does the company sell? Who are its primary competitors? What does the company make and sell? Info Needed Annual reports and company web site. Source

22. Gathering Precall Information:The Prospect’s Organization Who and how many vendors does the prospect presently buy from? How much and how long have they been purchasing from their supplier(s)? What challenges is the organization facing? Info Needed Source Salesperson may have to ask for this information.

23. Addressing Concernsand Earning Commitment

24. Objection (Sales Resistance) Anything the buyer says or does that slows down or stops the buying process.

25. Reasons WhyProspects Raise Objections • The prospect wants to avoid the sales interview. • The salesperson has failed to prospect and qualify properly. • The prospect resists change. • The prospect fails to recognize a need. • Prospect lacks information.

26. Examples Major Categories of Objections • Need I have all I can use. I don’t need any. The equipment I have is still good. I’m satisfied with the company we use now. We have no room for your line.

27. Examples Major Categories of Objections • Need • Product or Service Features I don’t like the design, color, or style. Maintenance agreement should be included. Performance of product is unsatisfactory. Packaging is too bulky. Specifications don’t match what we have now. The product is poor quality.

28. Examples Major Categories of Objections • Need • Product or Service Features • Company or Source Your company is too small to meet my needs. I’ve never heard of your company. Your company is too big; I’ll get lost in the shuffle. How do I know you’ll be around to take care of me in the future? Your company was recently in the newspaper. Are you having problems?

29. Examples Major Categories of Objections • Need • Product or Service Features • Company or Source • Price We can’t afford it. I can’t afford to spend that much right now. That’s 30% higher than your competitor’s comparable model. We have a better offer from your competitor. I need something a lot cheaper. Your price is not different enough to change suppliers.

30. Examples Major Categories of Objections • Need • Product or Service Features • Company or Source • Price • Time I need time to think it over. Ask me again next month when you stop by. I’m not ready to buy yet. I haven’t made up my mind. I don’t want to commit myself until I’ve had a chance to talk to engineering.

31. L A A R C LAARC Method for Handling Buyer Resistance isten cknowledge ssess espond onfirm

32. What you do: Other Methods for Handling Buyer Resistance • Forestall Introduce the source of the objection before the prospect brings it up.

33. What you do: Other Methods for Handling Buyer Resistance • Forestall • Direct Denial Respond to the objection by telling the prospect s/he is wrong.

34. What you do: Other Methods for Handling Buyer Resistance • Forestall • Direct Denial • Indirect Denial Respond to the objection by providing evidence that helps the prospect realize s/he is mistaken.

35. Other Methods for Handling Buyer Resistance • Compensation What you do: Counterbalance the objection with an offsetting benefit.

36. Other Methods for Handling Buyer Resistance • Compensation • Question What you do: Ask the buyer assessment questions to gain a better understanding of the source of the objection.

37. Other Methods for Handling Buyer Resistance • Compensation • Question • Third Party Reinforcement What you do: Use the opinion or data from a third party source to help overcome the objection and reinforce the salesperson’s points.

38. Guidelines for Earning Commitment • Resolve “Red Light” Statements Made by the Prospect • I’m not sure that will work. • The price is higher than I thought it would be.”

39. Guidelines for Earning Commitment • Look for Commitment Signals • “I like that size.” • “I didn’t realize you deliver everyday.” • Ask Trial Commitment Questions • “What do you think about the what we’ve discussed?” • “Do you see how this will help your organization?”

40. Techniques to Earn Commitment • Ask for the Order/Direct Commitment • Legitimate Choice/Alternative Choice • Summary Commitment • Success Story Commitment

41. Objection Handling & Closing Techniques

42. Question Right for Sales Success • When working with a new prospect, don’t you agree you should try for several minor yes’s before you go in for a big ‘Yes’. • That’s what ‘Tie-downs’ are. • There are four types of Tie downs. • Let’s look at these individually.

43. Standard Tie Downs • This Tie down is used at the end of the sentence, as “Fuel economy is very important today. Isn’t it?” • If what you say represents truth, won’t that person respond by agreeing? • And when they agree that some quality of your products or services meet their needs, they have moved closer to buying it, haven’t they?  • Examples: • Aren’t they? • Don’t we? • Isn’t it? • Don’t you agree? • Can’t you?

44. The Inverted Tie Down • For variety and more warmth, put the tie down at the beginning of the sentence. • A champion uses different types of Tie Downs without lessening his concentration of the client. • This skill demands continuous rehearsal. • So, many progressive companies are using computers today, aren’t they? would change to: • Aren’t a lot of progressive companies using computers today? today?

45. Internal Tie Down & Tag On Tie Down • Once you get a feel of it, can’t you really control it well? Prospect: Reducing the waste is important. Seller: So putting this system in place wouldn’t reduce the waste by 10%? • One should have a good mix of different Tie Downs as a part of your sales vocabulary. • You can keep building on it based on the products or services that you are selling. • Practise your Tie Downs anytime and every time.

46. Another Technique – Alternate Advance • It is a question that suggests two answers. • Both of which confirm that your prospect is going ahead. • If you ask him a question that results in a ‘No’, ninety per cent of the time it will be ‘No’ • “Could I come by this afternoon?” • Answer, “No.” • “I’ll be in your area this afternoon. Which would be a more convenient time for you. Around 2 o’clock, or you would prefer if I waited until 3?”

47. The Porcupine Technique • It is a technique of answering a prospects question with a question of your own, that maintains your control of the interview, and allows you to lead into the next step of your selling sequence. Prospect: “Will this insurance policy have a cash value?” Seller: “Is having a cash value in the policy one of your concerns?” Prospect: “Definitely not. I don’t want to pay anything extra for the cash value.” • It’s definitely vital to find out things like this. If any sales man tried to sell cash value to this client, he would kill the sale. • Cash value isn’t something that this prospect will pay money for, because for him, it is not a benefit. • Sell him term, and other benefits.

48. Most sales people “tell”. They don’t listen. Only through questioning can you listen carefully. And only through listening, can you understand what matters to the client most, and pitch to him accordingly.

49. Questioning is the Key to Success • Most champions use two basic types of questions: • Discovery • Leading • Let’s look at an example in retail. • “May I help you?” • “No thanks. I’m just looking.” • Most sales people on the retail level ask that question, and get the same answer 50 times a day for 50 years. That’s why they keep selling pins and ribbons all their lives. • “Good morning. If you have any questions, just let me know. In the mean time, please feel free to look around all you would like.” • “Uh…I was wondering. Do you have…..?”

50. Questioning is the Key to Success “You’re interested in quality in the product you’re looking for, aren’t you?” “If you needed it, you would like everything on the warranty to happen, wouldn’t you?” “A reputation for professionalism is important, isn’t it?” • A champion doesn’t tell people things, he asks questions. • Ask questions to: • Reveal benefits • Understand needs • Understand concerns • Understand value • Affirm their belief