Personal Selling Topic outline and notes. TJ Olney

Printer Friendly Version


General Outline for a Sales Call
(details for your presentations)
The communication model applied to sales
Salesperson 
The General Communications
Model

Buying Signals -- or not...
Buyer  
 
  • sender -- sales person
  • medium -- voice & body
  • message -- the pitch -- your words and non-verbal signals including any interaction with the product itself.
  • noise -- any distractions
  • feedback -- verbal and non-verbal
  • differences from the general model as applied to mass communication

    • feedback immediate -- verbal and non-verbal -- no research needed
    • iteration quickly -- try again
    • more control because of the ability to adjust the encoding of the message right now.
 

The communication steps
-- Hierarchy of effects -- A I D C A

Attention =
f(novelty, uniqueness, complexity, arousal, and pleasure)


Pre-approach
  • Prospecting for leads
  • setting up appointments
  • create your sales call plan
  • Goals for a sales call -- three levels
    • Minimum - don't leave without it
    • Realistic - what your boss would expect of an average salesperson
    • Visionary - what would make your day and set up your year

    A sales call plan
    See this link for what your class presentation plan should include.
    Who to contact -- The buying center
  • Initiator
  • Purchaser
  • User
  • Influencer
  • Gatekeeper
  • Decider

  • Who to contact -- general
  • In general, contact a person who is at least one organizational level higher in the company than the person that you expect to be able to make the decision.
        -Gets you a referral from someone important
        -You will be taken more seriously by the actual decider


  • The Approach


    An Approach taxonomy

  • Direct Approach Introduce self.
  • Product Approach (let customer hold it)
  • Compliment Approach
  • Showmanship Approach
  • Premium Approach
  • Referral Approach
  • Questioning Approaches
  • Question Approaches

  • Customer Benefit question
  • If I could .... would you?
  • Shock questions
  • Opinion Questions
  • Survey questions oops! used on the phone a lot
  • Curiosity
  • The SPIN multiple question approach
  • Product not mentioned
  • Situation question --- Ask about prospects situation
  • Problem question --- Ask if problem that the prospect has exists
  • Implication --- Ask if the ramifications are what you think they are.
  • Needs payoff question --- Ask an If I could ... would you regarding the problem above

  • The Approach f(level of relationship)

  • Light talk (e.g. the weather)
  • Report about someone else (Mr x said to say Hi )
  • Sharing ideas related to the purpose of the Call
  • Sharing feelings about the purpose of the Call
  • Mutual understanding -- just lay it on the table

    The idea of Relationship Marketing

  • Companies should seek to enter into long term relationships with their suppliers and customers that will benefit both.
  • Relationship marketing is not new.
  • All companies with good salesforces have practiced it for years.
  • Current thinking emphasizes the strategic elements of creating and maintaining relationships.
  • When relationships get too cozy, the government steps in and calls it restraint of trade
  • Company relationships tend to be more like dating relationships than like marriage. The level of committment is actually fairly low.

    Types of presentations
  • Memorized
  • Formula
  • Needs Assement
  • Problem Solution

    Standardized or Memorized Presentation

  • (script or sight seller often used for telephone sales)
  • Con
  • Pro

    Formula Presentation (structured, but without script)

  • first salesperson talks, then customer

    Needs Development Presentation

    Problem Solution Presentation

  • usually minimum of two sales calls
  • use for complex products or services
  • often involves the use of support staff to develop solution
  • common with team selling

    The Presentation -- The Elements


    Communication Issues
    The communication model applied to sales
  • Listening techniques
  • Body Language
  • Tone of Voice
  • Questioning techniques
  • Suggestion
  • Source Characteristics (the salesperson)
  • Signs (Semiotics)
  • Metaphors
  • Structure of messages
  • Learning about the customer
  • Listening Techniques
  • active listening (c.f. Roger's 3 conditions in Newton)

  • Doubt -- Trust -- Observe -- Chuck Lewis

    Non-verbal 65 -75% of social communication
  • Body language --Gestures --Posture
    Mirroring -- NLP
  • Voice qualities convey
    Gestures
    Posture

    Voice characteristics
    Speech Disturbances -- more indicate emotional arousal -- may be positive or negative
    Questioning Techniques
    • Probes
      • Silence -- wait for customer to talk
      • Encouraging sounds, phrases or gestures
      • Direct questions for information
      • Intrepretive, Clarifying, and Verifying questions
      Perceptual check -- a special form of probe
      Rephrase or seek feedback on your understanding of what the customer has said - Ask for elaboration
    • Assumptive -- state question with known YES answer
    • Redirective questions -- change topics -- should be followed by a neutral probe
    • Leading questions --
      • Assumptive form -- you know the answer
      • Interpretive form -- the customer has already told you the answer before and you are merely rephrasing as a question
    • Loaded questions
      • to verify a prejudice or a customer benefit
      • You want people to think you were a cheapskate would you?
      • Be careful. Loading can trigger strong emotions.
      • Unlike research, there is room in selling for loaded questions.
    • Non-directive question -- open ended (How, what, why) to elicit the customer's goals and objectives
    • Indirect or projective -- use third party as a safe topic for discussion
    Suggestion
    • People tend to accept any idea as true unless blocked by a contradictory idea
    • People tend to act in accord with a suggestion unless stopped by a physical obstacle or contrary idea
    • If people are indifferent, they tend to go along with suggestions
    • The acceptance of a suggestion depends on the source of the suggestion
    • The acceptance of a suggestion depends partly on how strongly the suggestion is made
    • People are more apt to accept a recent suggestion than one made earlier
    • A suggestion is more likely to be accepted if it is repeated
    • People will believe a suggestion if they want to believe it, regardless of whether it is a good idea or not
    • A suggestion that appears to be natural and spontaneous is more likely to be accepted than one which seems planned or contrived.

    Suggestion techniques -- use advertising as a source of examples -- good and bad

    • Suggestive Proposition --
      Create a picture or scenario with positive benefits from acting now.
      The customer projects themselves into the picture without your encouragement
      • Auto suggestion (imagine yourself) you directly encourage the projection into the scene
      • Pestige Suggestions
        • Suggests increase in prestige or status that will accompany the desired action
        • Taps into desire for gain and status
        • Does it by making an imitative association with someone who has prestige
      • Direct suggestion ( I suggest that you ...)
    • Indirect suggestion
      • Should you buy this one or that one?
      • If I were you...
      • Have you talked with anyone who has used this?
    • Counter suggestion
      • Use a bit of reverse psychology
      • Phrase it so that the customer will contradict you and self suggest the action that you really want
      • Be sure they are already desiring -- Does this count? page 2
    Source Characteristics
    That affect credibility and persuasiveness

    Semiotics The "science" of signs
  • Summarized from The Signs of Our Times: The Secret Meanings of Everyday Life by Jack Solomon
  • Semiotics is the study of the codes of symbols, activities, and signs that convey meaning by pointing to hidden systems of cultural belief.
  • Analysis of hidden sign systems is also known as deconstruction

    Semiotics: Understanding the code:

    link the signs with their meanings
    we do this "naturally" or automatically - unconciously
    we can do it conciously
    understand that signs can be ideologically motivated
    e.g. democrats --- republicans
    most of ours belong to a system -- consumer capitalism
    signs may be simple conventions (stop light colors)
    the choice of signs is closely related to the choice of Metaphors

    The Six Principles of Semiotics

    1. Always question the "commonsense" view of things because "common sense" is really "communal sense": the habitual opinions and perspectives of the tribe.
    2. The "commonsense" viewpoint is usually motivated by a cultural interest that manipulates our conciousness for ideological reasons.
    3. Cultures tend to conceal their ideology behind the veil of "nature," defining what they do as natural and condemning contrary cultural practices as "unnatural."
    4. In evaluating any system of cultural practices, one must take into account the interests behind it.
    5. We do NOT percieve our world directly but view it through a filter of a semiotic code or mythic frame.
    6. A sign is a sort of cultural barometer, marking the dynamic movement of social history.

    The central semiotic belief:

  • " It is better to analyze what is going on around you than to take everything at face value."

    Meanings of signs
    An Advertising Example: Kahlua Campaigns over time

    • Meaning of a sign is not in the object, but in a concept.
    • Semiotic systems are self-enclosed codes where reality is divided up into culturally defined categories of objects. You never leave the system...

    • Mythic frames
    • Systems of signs intervene as interpretive frames or myths that informs the entire structure of the belief system. (Almost like a foundation, or the sections of a foundation.)

    Common Mythic frames

    The Gender myth(s)

    The American Dream

    Myths as used by Advertisers

  • Language considerations -- Meanings of words
    Denotative -- dictionary definitions
    -Abstract vs concrete
    -Euphemisms
    -Techno-babble
    -Leagalese
    Connotative --- the cultural baggage of words
    -semantic differental measures
    -Evaluative, Activity, and Potency
    -Pleasure, Arousal, and Dominance

    Intensity of language -- vocabulary

  • How loaded is it? (good <==> bad dimension)
  • Positive: superior, great, best, brilliant, wonderful, stupendous, awsome, energetic, creative, fantastic, fabulous, super
  • Negative: bad, blunder, murder, perverse, lethal, fatal, devastating, condemn,despise, gross

    Intensity of language -- implications

  • Confident speakers use intense language
  • Intense language helps self-confidence

    Gender and language intensity

  • Caution on gender problems...
  • Men don't believe women as much as they believe men.
  • Women believe "powerless" men more, in written messages, but not in live situations.
  • Since selling is "live", use powerful words regardless.
    See Also Tannen

  • Use of power words helps persuasion through enhanced credibility
    Metaphors
    Be sure to see the syllabus readings on Metaphor
  • Metaphors are the ways that we encode concepts both linguistically and in images
  • Metaphors are necessary for meaning transfer
  • Metaphors rely on relating a concept to an experience
  • Metaphors form coherent systems

    General types of conceptual metaphor

  • Orienting -- up / down
    -up is good
    -down is bad
    -more is a bigger pile is up is good
    -less is a smaller pile is down is bad

  • Ontological thing as substance or object -- abstract concepts are referred to as if they were substances or objects
    -inflation was rampant
    -sales took a nosedive
    -the competition will eat you alive (competitors are ravenous wolves)
    -The market is growing, but their piece of the pie is shrinking (a market is a pie)
  • Container (special ontological)
    -"in" a relationship
    -"in" school
  • Journey ... Where are we going with this?
    It will be smooth sailing from here on.
    Once we get this installed, we'll be over the hump and it will be all downhill.
    We have a tough road ahead of us.

    Metaphors useful for organizing sales presentations -- usually some kind of relationship

    Thinking About Emotions and their metaphorical expression


     
    A new Metaphor: Memetics

    What is Memetics? aka Thought Contagion

    • Selfish Gene --> Selfish Meme      Both are examples of selection theory requiring
      1. A replicator
      2. Variation -- (imperfect duplication)
      3. Selection among variants
       
    • Replicating Information Pattern (in brains or understandable by brains)
       
      • Causes behavior changes in Host
         
      • Can be passed along to other hosts directly or indirectly
        » eg. Mass media (include books), copyable inventions, products for sale
         
      • Success of a meme is defined in terms of replication
         
        • Implies that Memes need not be "good" for the host
           
        • Memes with long term success usually have survival value
          For a meme to have long term success replicating in many hosts, it cannot have severe negative consequences to the host. For example, the memes that defined Shakerism have essentially died out as central to the set of memes was celbicay and no children. Consequently, over time, the rate of adoption of the meme was slower than the deaths of the hosts.
           

    The meme metaphor

    Here is the new metaphor that we are using to structure thinking about these "units of thought" using Lakoff's capitalization conventions.

    IDEAS ARE LIVING AUTONOMOUS AGENTS THAT INHABIT MINDS
    THE MINDS OF PEOPLE ARE HOSTS TO IDEAS
    IDEAS PROPOGATE BY SPREADING FROM MIND TO MIND
    IDEAS COMPETE WITH ONE ANOTHER FOR MINDS
    SUCCESSFUL IDEAS ARE THOSE THAT PERSIST IN MORE MINDS

      The point of view is that memes have people, not the other way around.

    Some entailments of the main metaphors and some variations that we can use:

    MINDS ARE TERRITORIES TO COLONIZE OR INVADE
    IDEAS ARE VIRUSES THAT REQUIRE A HOST TO SURVIVE AND REPLICATE
    THE FITNESS OF AN IDEA IS MEASURED BY HOW MANY MINDS IT COLONIZES, AND OVER WHAT PERIOD OF TIME
    COLONIZING NEW MINDS IS INFECTING THEM
    IDEAS THAT ALREADY INHABIT A MIND RESIST THE INVASION OF NEW IDEAS UNLESS THEY SUPPORT THE PRE-EXISTING IDEAS
    IDEAS FORM COMPLEX ORGANIZATIONS THAT ARE MUTUALLY SUPPORTIVE
    A MIND CAN SIMULTANEOUSLY BE HOST TO IDEAS THAT IF PRESENTED SIMULTANEOUSLY WOULD BE INCOMPATIBLE
    WHEN IDEAS ARE COPIED FROM MIND TO MIND THERE IS A POTENTIAL FOR COPYING ERRORS


  • Variation: Mutations of the patterns
    Like genes, memes do not always replicate with perfectly. Hence, any meme is subject to change as it passes from one individual to another. The joke that changes subtly from telling to retelling exemplifies this phenomenon.
     
    • Accidental mutation
      Memes become accidentally mutated when the quality of the transmission or storage of the original meme fails to be adequate.
       
    • Intentional mutation
      Memes that are conciously designed by self interested parties are often subtle mutations of original memes that had other social agendas in mind. For example, the cooption by the fashion industry of counter-cultural symbols usually involves some mutation of the original fashion to make them acceptable to a wider audience. The grunge phenonenom provides an ideal example, as the only thing required of the fashion industry was to make the clothes new, and put high prices on them. The pricing alone served to sanitize the dumpster diver look into high fashion.
       
  • Selection: -- which ideas win more hosts?
    • Memes that help their hosts individual level genes
    • Memes that help group level genes
    • Memes that help individual pre-existing memes
    • Memes that propogate quickly
    • Memes that easily displace other common memes

  • Categories of Memes
     
    • Distinction Memes
      These are the memes that we use to divide up reality into the orgainzation that we know. This part of memetic theory is a straightforward outgrowth of years of categorization literature, particularly illuminated by differences in categorization across cultures.
       
    • Associational Memes
      These are the linking ideas that we hold to say that for instance, "Life is good for people with money." or "War is peace." or "Ignorance is bliss."
      Most metaphors can also be understood as associational memes.

       
    • Strategy Memes
      Strategy memes tell us how to behave in a given context to achieve some result. For instance, the strategy meme that says "Go with the flow of traffic, and you won't get stopped for speeding." might inform our driving behavior. Or, "never go to bed with someone on a first date" might inform our sexual behavior.
       
  • Susceptiblity of host
    The acceptance of new memes by any one individual depends to a large degree on their susceptability to the new meme. This depends not only on the nature of the meme, but also on the state of the individual in terms of currently held memes. (Note the similarity to the power of suggestion above.)
     
    • Prexisting Meme set
      The degree of compatibility with an existing set of memes strongly effects whether or not we adopt them. This phenomenon has much empirical support from the persuasion literature.
       
    • Resistance memes
      There are two memes that most of us acquire at some time, that by their nature, act as a sort of memetic immune system for the rest of the memes that we hold against any potentially disruptive memes that we encounter.
       
      • Faith
        Faith represents any meme that you believe without question. Because you accept it as reality, it is very resistant to attack or modification by existing memes.
      • Skepticism
        Skepticism forms a shield against new memes that can be just as potent as faith. With skepticism built into our meme set, we take nothing at face value, but seek further verification of new memes and their potential value. Cleverly composed memes, however, can and do slide right past our skeptical barriers.
      • Taboo
        Taboos create a protective barrier to keep memes from being challenged. Taboos often have two layers, proscription of an activity, and proscription of talking about the activity or the taboo.
      • Adversarial/Intimidation
        The adversative meme, sets up an automatic adversarial position in its own host against competing memes. In doing this the host of competing memes becomes intimidated by the holder of the adversative meme, and in extreme cases, suppressing any communication of the competing meme to any other potential hosts.
    • Hot Buttons (Brodie 1996) Untested assertions of memetics
      We have certain hard-wired and early-wired kinds of memes that have at their roots survival of the species and of individuals within a social group.
       
      • Primary Hot buttons -- the four F's
        Any meme will command at least a modicum of attention if it somehow deals with one of bioloy's four f's, food, fighting, fleeing, and ... finding a mate. As a species we have learned, perhaps have it genetically/chemically encoded that these are important things to attend to things that set relate to hunger, anger, fear, and lust.. Because of this, memes that use one or more of the four f's as integral parts of themselves will have a greater chance of being recieved by a new host.
         
      • Secondary Hot Buttons
        In addition to the four f's, memes that tap into the realms of belonging, identity, approval by others -- including those in authority, and caring tend to transmit easliy and replicate faster.
         
    • Physical and emotional state
      The classic case of suceptibility to new memes comes in cult and military brainwashing, where by means of deprivation, and sometimes pleasure/pain techniques, individuals are "programmed" with the desired new meme. To a lesser degree, anyone can be caught with their guard down, and find themselves agreeing to memes and even replicating them without having so intended.
       
  • Transmission methods
     
    • Word of Mouth (friend, acquaintance, salesperson)
       
    • Mass media (include books)
       
    • Observation and imitation
      When we see a new thing, or behavior, for example a new fashion, the meme that entails that fashion has been communicated to us. If we adopt the new fashion, or tell others about it, then the meme has been replicated successfully.
       
  • Mind Viruses as Meme complexes
    Just as genes can be bundled into packages that infect biological hosts together, memes can bundle into packages known as mind viruses. Outstanding and easy to appreciate mind viruses are the sets of beliefs adopted by cults. Harder to acknowledge and apprehend are the mind viruses that represent such cultural institutions as consumer capitalism, or any organized religion. Similarly, the clothing, paraphanelia, and related consumption habits of people who participate in a particular sport can be seen as a meme complex.

     
  • Spread of memes and mind viruses
     
    • Rate of Spread
        The rate of spread generally depends on the same things that affect the spread of new products. However, the packaging of the message, the kind of person who communicates the message, as well as the social context in which it was received can significantly affect the rate of spread. (see Gladwell, The Tipping Point)

    • Evangelism (selling itself)
      A meme can be considered to be evangelic if it includes as part of itself, the idea that it is important to tell other people. Hence, when the meme of an impending hurricane reaches a certain place, all residents will be likely to evangelically spread the word to any who might have been out of the normal information loop.
       
      • Crisis
        Depending on the severity of the crisis, people who accept the crisis's meme are likely to feel more or less inclined actively and effortfully spread the meme. Contrast the impending hurricane to the crisis of ecological disaster following years after the harvesting of a rainforest.
         
      • Religious
        These are the memes we generally think of as evangelic, hence the term. The admonition to go out and save others with this meme or mind virus is part and parcel to the message.
         
      • Commercial
        To the extent that a commercial establishment can sucessfully generate either positive word of mouth about its offering, or negative word of mouth (about the competion or failure to adopt the offering), that commercial interest has designed an evalngelic meme.
         
    • Note that just because an idea is a good representation of reality does not mean that it can't be thought about as a meme. The evolution of scientific theory provides a wonderful case in point. At some point, the faith in authority meme gave way to the faith in observation meme. The faith in observation meme has evolved into the faith in the scientific method meme. At any given time, we communally hold a set of "scientific" ideas that may in the long run turn out to be just as absurd to future generations as the flat earth is to us now. The faith in the scientific method meme provides some measure of assurance that each new set of collectively believed ideas will be better representations of reality than whatever they have displaced.
  • Implications of Semiotics, Metaphors, and Memetics for Selling?


    Structure of Messages

    Structure -- Visual Stimuli
    Linguistic Structure of Messages
  • Ordering possibilities

  • Toulmin elements -- "We change our beliefs because someone asks us to, and in the asking gives both evidence and reason for the change."
    Evidence -- Substantive, Logical, Motivational
    -Claim
    -Warrant links Facts to Claim
    -Support for Warrant
    -Reservation to claim
    -Qualifier to claim

    Structure of Messages -- Logic

  • Logic in general in a sales call exists to support the emotional benefits!
  • Logical deduction ordering - general to specific
  • Logical induction ordering - specific to general

  • Structure of Messages - general

  • Order effects
  • One-sided vs. Two-sided arguments.
  • Structure of Messages, Framing link



    Gender differences in communication styles


    Objections

  • most objections verbal
  • many are non-verbal
  • to the salesperson
  • to the company
  • to the promotion or marketing plan
  • to the implementation plan
  • to the product
  • to the price
  • Three valid objections -- uncover these early
  • -no need
    -no money
    -no authority to buy
  • Objections -- handling techniques
  • Is the objection real, or a stall?
  • Prevention
  • Anticipation
  • Clarification
  • Direct Denial
  • Yes, But.... emphasize some related benefit
  • Boomerangs -- turn the objection into a benefit Feel Felt Found formula You feel (we they you) felt (you we they) have found
  • Forestalling -- I'll come back to that in a minute
  • Ignoring -- use sparingly
  • Humor -- often good
  • Use support material
  • Use personal testimony
  • A generalized system for handling Objections
    1. Collect all objections that you face.
    2. Categorize them by type of customer.
    3. Develop your presentation to anticipate most of the objections and handle them without the buyer having to raise them.
    4. Develop several techniques to handle each of those that you cannot anticipate.
    5. Keep track of which techniques worked under which circumstances.


    Trial Closes -- any question that you hope will be answered in the affirmative.
  • Trial Closes should be interspersed throughout your sales call
  • Trial Closes should definitely be included after handling any objection
  • Trial Closes should be made after every strong benefits statement and or statement of features or advantages

    C - A  =  N' T

    Trying to Close your sale before you have had numerous Agreements with your buyer will result in No Transaction. This means many small or large agreements before the final, fully intentional close.


  • The Close

  • The close is where you ask the buyer to make a decision to buy that will be of benefit to themselves.
  • The most common reason for not closing a sale is simply not asking for the sale.
  • A minimum of three attempts should be made to close a sale.
  • Any failed attempt at a close becomes a trial close.
  • After a failed attempt, step back and review the sales points.
  • Closing techniques
  • Direct - Do you want to buy it?
  • Assumptive -- Take it to the cash register and start writing it up.
  • Summary Benefits - Give a list of all the benefits, then ask for the purchase.
  • Alternative Choice - Ask which would be preferred between two models or major options.
  • Minor points - Ask for a series of choices on parts of the sale.
  • T-account - actually write up a sheet with pros in one column and cons in the other. Then ask for the purchase.
  • Financial - re-frame the purchase terms in a way that is easier to deal with.
  • Emotion or compliment -- use strongly emotional statement to emphasize the benefits, then ask for the purchase.
  • Standing Room Only
  • Yes, yes, yes... affirmation close approaches hypnosis
  • Added incentive -- Make an offer of something thrown in if the deal is made now.
  • Combinations of any methods
  • TOC -- top of page