To accomplish this task successfully, sellers must be skilled at listening and understanding responses. The salesperson will use their research skills to learn about such issues as: b. This is the stage during which the prospective customers are converted into actual customers. Selling Process is a complete cycle which starts from identifying the customers to closing the … This can be done by cold calling or by going out into the market and talking to people. 1. Cannot be Contacted – Some prospects may fit the criteria for being a prospect but gaining time to meet with them may be very difficult (e.g., high-level executives). Certain products cannot be sold without demonstration. Gaining Background Information – The salesperson will use questioning skills to learn about the prospect and the prospect’s company and industry. The salesman must visit the customer often to learn what problems or questions have arisen regarding the product. The success of this stage establishes goodwill for the manufacturer. The main advantages of making appointments is that it gives the salesperson additional time to prepare for the meeting and also, in the course of discussing an appointment, the salesperson may have the opportunity to gain more information from the prospect. In this stage, you find potential customers and determine whether they have a need for your product or service—and whether they can afford … Immediately after closing the sale, the salesperson should take some follow up measures. It is a method of compromise because both salesman and prospects “bend” a little. With this step in the process, sales representatives look for new customers that they can potentially sell their products to. Because it is an indication the prospect is paying attention to the presentation and may even have an interest in the product if the resistance can be effectively addressed. The sales person assures about delivery at right time, proper installation, after sales service. Your sales process is the set of steps your sales team follows when moving a customer along the sales funnel. A potential customer or “prospect” is first identified as sales lead, which simply means the salesperson has obtained information to suggest that someone exhibits key characteristics that lend them to being a prospect. By resistance we are referring to a concern a prospect has regarding the product (or company) and how it will work for their situation. At this time, the sales representative prepares for the first contact with the potential customer. It begins before you make contact with a prospect and often continues long after the sale is finalized. In most cases, the resistance is expressed verbally (e.g., “I don’t see how this can help us.”) but other times the resistance presents itself in a non-verbal fashion (e.g., prospect facial expression shows puzzlement). On the basis of this evaluation, names of some prospects may be deleted, while others are deemed to be acceptable and may be ranked in relation to their desirability or potential. There are several stages involved in the process and a salesman has to understand all the stages in the process to make the process more effective. ii. Promotions – The method uses free gifts to encourage prospect to provide contact information or attend a sales meeting. Prospecting and Qualifying: The process of prospecting is very crucial in selling any kind of products as this involves the process … For example, if the salesperson learns which competitor currently supplies the prospect then the salesperson can tailor promotional material in a way that compares the seller’s products against products being purchased by the prospect. May Not Be Key Decision Maker – Prospects may lack the authority to approve the purchase. The first step in the process involves prospecting. The activities apply to all forms of selling and can be adapted to most selling situations (including non-product selling such as – selling an idea). ii. Prospecting; It is quite a common observation in our daily life that you can’t benefit a person from a product if he doesn’t need it. However, for a large percentage of salespeople lead generation consumes a significant portion of their everyday work. This is the first step of the personal selling process and involves developing a database of potential customers; names are sought from company sales records, trade shows, commercial databases, … iii. There are several stages involved in the process and a salesman has to understand all the stages in the process to make the process more effective. Canvassing – Here leads are gathered by cold-calling (i.e., contacting someone without pre-notification) including in-person, by telephone or by email. Hence identifying the right prospect … Yet the most successful salespeople will say that closing the sale is actually fairly easy if the salesperson has worked hard in developing a relationship with the customer. D. have the salesperson … There are several stages involved in the process and a salesman has to understand all the stages in the process to make the process more effective:-. This is the stage during which the salesmen have to close the process by clinching the deals. Benefit Close – Here the salesperson restates the benefits of the product in order to elicit a positive response from the prospect. Sales leads can come from many sources including: i. Sometimes prospects say one thing that appears to be an objection to the product but, in fact, they have another issue that is preventing them from agreeing to a purchase. In fact, for salespeople whose chief role is that of order getter, there is virtually no chance of being successful unless they can consistently generate sales leads. vi. It’s the salesperson who reaches out to customers in order to sell the product. The question method, under which the salesman asks questions regarding objections, so that further analysis be made. The pre-approach is the second step in the personal selling process. The salesperson narrates the features of the product, explains the benefit and the worth of the product in terms of money. The salesperson’s attitude, appearance, way of speaking matters most at this stage. For every … With this knowledge the salesperson will almost always be presented with more selling opportunities. iv. Paid methods may include payment to others who direct leads that eventually turn into customers including using internet affiliate programs (i.e., paid for website referrals). TERM Summer '16; TAGS Marketing, Monopoly, Sales… Show transcribed image … He should properly greet the buyer and give a good start to the conversation. At this stage the salesperson provides detailed information about the product and benefits of the product. Salespeople are rarely able to make the sale unless resistance is overcome. The steps are what a salesperson has to go through to sell a particular product or service. Closing the sale is the point when the seller asks the prospect to agree to make the purchase. For example, offering free software for signing up for a demonstration of another product. It is also the point at which many customers are unwilling to make a commitment and, consequently, respond to the seller’s request by saying no. If the customer is happy, the sales rep can also try to obtain additional referrals from the customer. A comprehensive sales process encompasses all major customer interactions from prospecting to selling … Hence identifying the right prospect is essential as it determines the future selling process. Personal and Professional Contacts – A very common method for locating sales leads is using referrals. The selling process is a set of activities undertaken to successfully obtain an order and begin building long-term customer relations. iii. The selling activities undertaken by professional salespeople includes the following steps: Selling begins by locating potential customers. Which of the following is the first step in the process of personal selling? The first step in the process involves prospecting. In selling situations where repeat purchasing is a goal (compared to a one-time sale), following up with a customer is critical to establishing a long-term relationship. Luke Arthur has been writing professionally since 2004 on a number of different subjects. Question: Question 2 (2 Points) The First Step In Personal Selling Process Is Prospecting Approach Preapproach Presentation. If the sales representative can answer the questions and overcome any objections successfully, the barriers for a successful sale will be removed. Additionally, having more information about a prospect allows the salesperson to be more confident in his/her presentation and, consequently, come across as more knowledgeable when meeting with the prospect. In some cases, a sales lead can be qualified by the seller prior to making first contact. 1.Discuss your personal selling experience in the job-search context, with a focus on two steps that … Prospecting - the first step in the personal selling process The process of looking for and checking leads is called prospecting or determining which firms or individuals could become customers. “He who wins the last battle wins the war” is truly applicable to a salesman foreclosing in the test, of every salesman. Personal Selling Process: Steps and Stages, Personal Selling Process – Identifying the Prospective Buyer, Pre-Approach, Approach, Presentation, Demonstration, Overcoming Objection, Closing and a Few Others, Personal Selling Process – Prospecting, Evaluating, Approaching the Consumer, Preparing for the Sale, Making the Presentation, Overcoming the Objection and a Few Others. A sales process is a set of repeatable steps that your sales team takes to convert prospects into customers. Customer may raise objection with regard to price, delivery schedule; product or company characteristics, etc. The salesperson gives a summary of the major points of the presentation and directly asks for the order. iv. This phase usually involves some small talk to warm up the prospect and help them open up. They admit to each other that they both are right, but there is the other side of the problem to consider also. This approach can be difficult since the prospect may be irritated by having unannounced salespeople interrupt them and take time out of their busy work schedule to sit for a sales meeting. Many customers have questions and concerns at this point of the sales process. For anyone involved in sales such rejection can be very difficult to overcome, especially if it occurs on a consistent basis. After identifying the prospect the sales person qualifies the prospects on the basis of their financial ability, needs, taste and preferences. Most people involved in selling acknowledge that this part of the selling process is the most difficult. This is most critical step because the prospect’s first impression of the salesman may be a lasting impression that has long- run consequences. Question 38 of 40 2.5/ 2.5 Points The first step in the personal selling process is: Previous Next. Lack Financial Capacity – Just because someone has a need for a product does not mean they can afford it. Wavebreakmedia Ltd/Wavebreak Media/Getty Images. This stage involves a virtual preparation of a database. A salesman should go by the AIDA approach-The demonstration should get the customers Attention, hold their Interest, build-up the Desire for the product and end in purchase Action. The 5-step sales process and Lucidchart. ii. Effective prospecting requires a … Gaining this information can help prepare the salesperson for the sales presentation. Content Guidelines 2. iii. Following Up. ‘Repeat contact’ is another common approach, when making the contact; the salesman mentions a prior meeting. At this stage of the process, you may need to negotiate the final sales price and any payment terms. The first stage of personal selling process involves identifying potential customers. It is a rare instance when a salesperson does not receive resistance from a prospect. Lack of financial capacity is major reason why sales leads do not become prospects. Want to read all 13 pages? Likewise, you can use this step to ask for referrals. Customers give importance to well-established brands, show apathy, impatience, reluctance to participate in the talk etc. Personal Selling Process – Generating Sales Leads, Qualifying Sales Lead, Preparation for the Sales Call, Sales Meeting, Handling Buyer Resistance and a Few Others, Personal Selling Process – 7 Important Stages: Prospecting, Pre-Approach, Approach, Demonstration, Handling Objection,Closing and Feedback. APPROACH greeting the customer face to face, Why? This process involves identifying the prospective buyer, establishing a contact and relationship with the buyer, presentation of the product to the buyer and demonstrating its uses and benefits, convincing the customers about the product by efficiently handling objections from the customers, negotiating the price and terms of payment and finally getting the orders. The salesmen would like to visit these prospective customers for the purpose of sales. Compensation method, which merely acknowledges the validity of an objection, but points out some advantage that is supposed to compensate for the objection, such as lower price, or special care of the product. Disclaimer Copyright, Share Your Knowledge The steps of personal selling are also knows as the sales process or cycle. This stage also enables the salesmen to secure information about the customer satisfaction levels and helps them to approach the customers again. There are many sources from which potential customers can be found: observation, social contacts, trade shows, commercially-available databases, commercially-available mail list and cold calling. Indirect-identical method (also known as “yes but method or ‘sidestepping the question method), is most widely used method. After the objections have been removed, the only thing left to do is close the sale. Share Your PDF File This ensures customer satisfaction and repeat purchase. The salesmen during this stage have to demonstrate and also explain the various product features to the customers. Need Already Satisfied – Prospects may have already purchased a similar product offered by a competitor and, thus, may not have the need for additional products. For this purpose, the salesmen should overcome all the objections. Marketers search for prospects in directories, websites and contact through mail and telephone. Any customer will have certain doubts and objections regarding the product. Find the prospects or the potential customers 2. In case of newly introduced product and product that requires demonstration and presentation, personal selling is effective. This website includes study notes, research papers, essays, articles and other allied information submitted by visitors like YOU. The salesman should ensure that the delivery instructions given by the customer are properly followed. A) prospecting and qualifying B) sales preapproach C) sales presentation D) unearthing objections E) demonstrating advantages. Everything you need to know about process of personal selling. It is effective only when the salesman is skilled in applying this technique. v. Data Mining – This technique uses sophisticated software to evaluate information (e.g., in a corporate database) previously gathered by a company in hope of locating prospects. The first step in the sales process is to discover the names of prospects from several sources such as the company’s sales records, consumer’s information requests from advertisements, other customers newspaper announcements, public records, telephone and trade directories, who’s who, yearbooks, and trade association list. This stage is very important as the decision to buy or not is made by the prospective customers is greatly influenced by this stage. Closing the Sale 7. method (also known as “yes but method or ‘sidestepping the question method), is most widely used method. Personal selling is a form of selling that many companies rely on heavily to promote and move their products. The ‘cold courses’ is an approach in which the salesman calls or potential customers without their prior consent. Presenting the Product – The salesperson will stimulate a prospect’s interest by discussing a product’s features and benefits in a way that is tailored to the needs of the customer. Each step of the process has sales-related issues, … To attract such attention, the salesman should talk to the prospect briefly about the product either by asking a question that interests him or by display of some material, such as a sample, or by allowing the prospect touch, hold, or actually use the product. There are other objections which cannot be anticipated because they are usually related to the procedures of a particular business. All prospects identified may not turn out to be actual customers. The level and nature of after-sale follow-up will often depend on the product sold. The prospects reactions to such questions usually indicate how close the prospect indirectly respond that they will buy the product without having to state those sometimes difficult words “I’ll like it”. This is to … The follow up is the last stage in the personal sales process. Salesperson handles such objections skillfully by clarifying their objections and convinces the customer to make purchase. Salespeople can attempt to gather this information through several sources including- corporate research reports, information on the prospect’s website, conversations with non-competitive salespeople who have dealt with the prospect, website forums where industry information is discussed, and by asking questions when setting up sales meetings. vi. Such an understanding of the prospective customers before approaching them puts the salesmen in a much stronger position to deal with the prospective customers. Why? For these buyers, salespeople must rely on persuasive communication skills that help assist and even persuade a buyer to place an order. he might ask the potential customer questions about financial terms, desired colours, or sizes, delivery arrangements, or the quantity to be purchased. Products like toothpaste, soap or hair-oil can be offered to … Personal selling or salesmanship itself is a process. iv. Direct Close – It is a simple technique and is most appropriate if the buyer is showing strong positive buying motives. The first of the seven steps in the sales process is prospecting. If a prospect has been qualified or if qualifying cannot take place until additional information is obtained (e.g., when first talking to the prospect), a salesperson’s next task is to prepare for an eventual sales call. iv. The heart of the selling process is the meeting that takes place between the prospect and the salesperson. The first step in personal selling is to identify the potential buyer. In such method, the salesman should keep in mind these guidelines; (a) He should not be offensive, rather he should smile; (b) The retail sales clerk should not attempt this method because he is seldom in a position to keep the customers; (c) The type of customer must be kept in mind so that his feelings may not be hurt; (d) It should not be used if the objection has any ‘ego’ involvement in it. Personal Selling Process Steps. Share Your PPT File. Establishing Rapport with the Prospect – Successful salespeople know that jumping right into a discussion of their product is not the best way to build relationships. This activity in the selling process has two main objectives: While during the lead generation and qualifying portion of the selling process a seller may have gained a great deal of knowledge about a customer, invariably there is much more to be known that will be helpful once an actual sales call is made. Hence, it is important for the sale to materialize. Generally, the following process is utilised in selling a product: Prospecting consists in developing a list of potential customers. A better approach for most salespeople is to contact a prospect to set up an appointment in advance of the sales meeting. TOS4. The first step in the sales process is the fact that the sales person has to know every single details about the product he is trying to sale to consumer. During this stage of the process, the sales representative makes a presentation. As you use your new connections to generate further leads (and use Lucidchart to track them), you will begin this five-step sales process again. In some cases, the sales representative will have to overcome objections by the customer. This step is the climax of the selling process in which the salesman asks the prospect to buy the product or products. Making the Presentation 5. C. find qualified prospects. Access Prospect’s Needs – Taking what is learned from the prospect’s response to questions, the salesperson can determine the prospect’s needs. Profile Fitting – Uses market research tools, such as – company profiles, to locate leads based on customers that fit a particular profile likely to be a match for the company’s products. “After sales service” should be punctual, quick and satisfactory. The personal selling process is a 7 step approach: prospecting, pre-approach, approach, presentation, meeting objections, closing the sale, and follow-up. 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