Transcript The Process of Selling and Buying

The Process of Selling and
Buying
Sales and Distribution
Management
Marketing 3345
Drivers of Change in Selling and
Sales Management


Building long-term relationships with customers.
Creating sales organizational structures that are more
nimble and adaptable to the needs of different customer
groups.

Gaining greater job ownership and commitment from
salespeople.

Shifting sales management style from commanding to
coaching.

Leveraging available technology for sales success.

Better integrating salesperson performance evaluation.
What Customers Expect

Responsiveness to needs, problems;
provides service.

Knowledge of products and customer
applications.

Customer advocacy; partnership
development.

Ability to keep customer up-to-date.

Quality product/service.
What Customers Expect

Offer of technical support.

Offer of local or easily accessible
representation.

Ability to provide a total solution.

Understanding of customer’s business.

Competitive price.
How Sellers are Responding

Establishing a customer-driven culture.

Market segmentation.

Market adaptability.

Information technology.

Customer feedback and measuring customer
satisfaction.

Sales, service, and technical support systems.

Recruiting and selecting salespeople.

Training and development.
Attractiveness of Sales Careers





Autonomy and opportunities for personal
initiatives
A variety of challenging activities
Financial rewards
Favorable working conditions
Excellent opportunities for development
and advancement
Source: Christine Galea, “2002 Salary Survey,” Sales & Marketing Management, May 2005, pp. 32–36.
© 2005 VNU Business Media. Used with permission.
Possible Career Tracks
Selling Success Factors

Listening skills

Follow-up skills

Ability to adapt sales style to situation

Tenacity

Well organized

Verbal communication skills

Able to interact with people at all levels of an
organization

Ability to overcome objections

Closing skills

Personal planning and time management skills
Selling Activities
Selling
Attending
conferences
and
meetings
Working
with others
Servicing
the product
Training and
recruiting
Entertaining
Managing
information
Traveling
Servicing
the account
Distribution
Matrix of New Selling Activities
Communication
Sales
Relationship
Team
Technology
Nontechnology
Email
Dictaphone
Internet
Laptop (CD)
Voicemail
Cell Phone
Pager
Web page
Newsletters
Audiovideo conference
Provide tech info
Overnight services
Maintain virtual office
Set up appts
Script sales pitch from
database
Use software for
customer background
Laptop for presentation
VCR for presentation
Provide tech ability to
customers
Web page
Conference calls
Practice language skills
Adaptive selling
Conduct research at
customers’ site
Avoid potential litigation
Plan for multiple calls to
close deal
Sell value-added
services
Respond to referrals
Write thank-yous
Target key accounts
Pick up sales supplies
Consultative sales
Listen
Ask questions
Read body language
Sell unique
competencies
Bring in
vendor/alliance
Develop relationship
Hand-hold customer
Write thank-yous
Purchase dealers
Call on CEOs
Build rapport w/
buying center
Network
Build trust
Train brokers
Mentor
Make sale and turn
over to someone
else
Coordinate with
sales support
Database
Collect new
information
Enter information on
laptop
Update customer
files
Time Management Issues
B2C versus B2B Selling


Most salespeople are involved in retail
selling – selling goods and services to
ultimate consumers (B2C)
A much larger volume of sales is
accounted for by industrial selling,
recently referred to as business-tobusiness selling (B2B):



Sales to resellers
Sales to business users
Sales to institutions
Types of B2B Jobs




Trade selling – increase business by
providing customers with merchandising
and promotional assistance
Missionary selling – persuade customers to
buy products from distributors or other
wholesale suppliers
Technical selling – increase business from
by offering current customers
technical/engineering assistance
New business selling – identify and obtain
business from new customers
Stages in the Selling Process
Prospectin
g for
Customers
Opening the
Relationshi
p
Qualifying
the
Prospect
Presenting
the Sales
Message
Closing
the Sale
Servicing
the
Account
Participants in the Buying
Process (Buying Center)







Initiators – perceive a problem or opportunity requiring
a new product of service
Users –must use or work with the product or service
Influencers –provide information for evaluating
alternative products or suppliers
Gatekeepers – control the flow of information to others
Buyers – actually contact the selling organization and
place the order
Deciders – final authority to purchase
Controllers – determine the budget
Organizational Buying Decision
Stages


Anticipate or recognize a problem or need
Determine and describe the traits and
quality needed

Search for and qualify potential suppliers

Acquire and analyze proposals/bids

Evaluate proposals and select suppliers

Select an order routine

Perform evaluation and give feedback
Organizational Buying Situations



New-task purchase – first-time purchase
of a complex and expensive product or
service
Modified rebuy – requires some
modification to existing purchase decision
and may open the door for new suppliers
Straight rebuy – reorder an item
purchased many times in the past