Marketing – 8/27/2008
Can you believe its the last week of August? Can you believe its the last week of class lecture? Wow.
For our last foray into marketing, we are going to be talkinga about and emmersing ourselves into personal sales. I realize that most if not all of you will be going into sales, but studying sales is still important — we will all be selling ourslves in some form or fashion. We may be selling ourselves to a hiring manager in convincing them to hire us, or selling ourselves to our spouses trying to convince them of something (like that iPod touch that I really really need).
So on that note, we talked about a couple of sales-related topics. First of all, we talked about ways that companies organize their salespeople. There are four basic structures we have for sales forces:
- Territorial – Each sales person is responsible for a given geographical area.
- Product – Each salesperson is an expert with a particular product/product class and handles it exclusively.
- Customer – Each sales person is responsible for a given customer or customers.
- Complex – A hybrid of top 3.
Obviously, not many companies use a pure form of territorial, product or customer, and therefore have some mix of the three.
Despite how the salespeople are organized, there is a process that sales people go through in order to get a sale. In fact, there are seven steps:
- Prospecting/Qualifying – Is this person I’m going to contact even a possible customer?
- Preapproach – Now that I know this person could potential buy from me, what are the best ways of approaching and talking to this person?
- Approach – Actually making initial contact
- Presentation/Demonstration – This can be the meat of the sales call. This is where a salesperson shows their chops and lets the potential customers see the ins and outs of the product (or service) in an attempt to convince them to buy. Depending on the product, and depending on the customer, this can take either very little time or lots of time.
- Handling Objections – Most customers will say no. Good salespeople know how to handle a “no” and eventually turn them around to a “yes”. One good trick to this is to turn the “no” into a “why”, and then to answer that “why”. For example, if I try to sell Johnny a car, and he says that it’s $10,000 too expensive — I would turn that “no, I don’t want that car it’s to expensive” into a “Why would I want to pay $10,000 more than I planned to spend just to get this car.”
- Closing the Sale – Once I convince Johnny that he belongs in this car, I ask for the sale. This is very hard for salespeople to do — it can feel pushy and for people-centric individuals such as myself, it feels like we might be breaking the rapport we’ve worked so hard in establishing over the last few steps.
- Followup – Once the sale has been completed, I make a contact with the customer a few days later to see how the product/service is working, and if they have any questions. I’m careful during this step to remind the customer that they made a good choice and, if appropriate, ask for referrals and start the whole process again!
Homework
- Chapter 16 – Company Case


