©2009 Profit Point LLC

Sales Mastery

Closing More Sales at a Profitable Price

©2009 Profit Point LLC

Profit Point

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©2009 Profit Point LLC

Sales and Profit Point

• Increase number of sales relative to the number of opportunities (Closing Rate)

• Increase the selling price of each sale (Average Sales Price)

©2009 Profit Point LLC

Workshop Objectives

Understand the sales process

Learn how to increase perceived value

Learn how to identify customer needs

Learn how to effectively present solutions

Learn how to gain commitment for a favorable exchange

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Things You NEED to Know that are not Covered in this Workshop

Your Profit Point

How to set the right sales price

Your target market

Your customers' psychographics (Why they buy)

How to generate opportunities

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What is Selling?

Selling is a process that links problems to solutions

It is the favorable exchange of goods, services and ideas

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What you need to know about Selling

• Why people buy

• Your product's benefit

• You and your company

• How your product meets a customer's needs

• How to logically and effectively present ideas

• How to encourage a customer to make a decision

©2009 Profit Point LLC

Getting a customer to buy

• Purchase decision is made when price is less than or equal to perceived value

• Value is established by the customer

– Based on how customer believes product will meet or exceed customer needs

– Is influenced by seller's belief in the product

• Move customer to buying decision by

– Lowering price

– Increasing perceived value

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Defining Needs

Implicit Needs

Assumed

Generally accepted

Based on our perspective

Explicit Needs

Stated

Definable

Based on customer perspective

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Know Your Product

Features

Advantages

Benefits

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Features

Facts or characteristics of a product, service or company

It is made of stainless steel

We have been in business for 20 years

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Advantages

How the feature can be used to benefit a buyer and meet implicit needs

It will last for many years

We will be around if you have any needs

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Benefits

How the feature meets an EXPLICIT need expressed by the buyer

You said you wanted it to last a long time. Stainless steel will provide you the best longevity

You indicated that you wanted a company that would be around to help with future needs

Know YOUR Product

Features Advantages Benefits

Select a core product or service you provide and list

Homework

Identify all the products and services you can competently provide

List all the features

List all the advantages

Talk to Teach

Select a topic that you know a lot about

Tell your partner

How and where it was learned?

Who taught it?

How long it took to learn?

What is liked best about it?

What is liked least about it.?

How has knowing this subject been beneficial?

Listen to Learn

Find a hobby or profession that your partner knows substantially more about than do you

Record the answers to the following questions:

How and where it was learned?

Who taught it?

How long it took to learn?

What is liked best about it?

What is liked least about it.?

How has knowing this subject been beneficial?

What did you learn?

Write down everything you remember about the other persons subject

Compare the learning from both

Which is more effective?

Persuasion SellingYou are the expert and do most of the talkingYou have a product to sellYour presentation focuses on features, functions and benefits or the productYour job is to “convince” customers that they need and want the benefits of your product

Benefit SellingThe customer is the expert and does most of the talkingThe customer has a need (although it may not be known yet to the customer)Your presentation focuses on asking pertinent questions to gain understanding of the specific and explicit needsYour job is to listen to the customer so that you can provide a personalized solution to the customer’s explicit need

©2009 Profit Point LLC

The Selling Process

Setting an appointment

Running the Sales Call

Performing the work

Follow up contact

Referrals

Objectives of the Sales Call

Obtain an order to perform work

Advance the relationship towards an order

Four Stages of a Sales Call

OpeningInvestigatingDemonstrating CapabilityObtaining Commitment

Opening

Gain trust

Find common ground

Set and build expectations

Investigating

Identify explicit wants and needs

Determine constraints

Identify areas where your product or service is compatible with needs

Create sufficient emotion around solutions

Demonstrate Capability

Sell yourself

Establish credibility

Differentiate

Reinforce and build trust

Create additional expectations

Obtain Commitment

Demonstrate how your solution matches customer's explicit needs

Overcome objections

Gain approval to proceed

Effective Investigation is the Key

You can't have a solution without a problem

You can't know the problem unless you ask

You won't get to the explicit need unless you know HOW to ask

SPIN SellingSituation QuestionsProblem QuestionsImplication QuestionsNeed-Payoff Questions

Situation Questions

Early in the selling cycleBuild rapportGather Information (background and facts)Increase understandingIdentify potential problemsUse sparingly to avoid “interrogation”Avoid potentially sensitive areasListen for customer problem cues

Sample Situation Questions

How long do you plan to live here?

Why are you looking at building?

Where do you plan to build?

Have you used a builder before?

What is your budget?

Are you interested in financing options?

Problem QuestionsProbe for problems, difficulties or dissatisfaction with current situationReveal needsClarify intensityGain shared understandingDon’t ask problem questions for which you have no solution!

Sample Problem Questions

What challenges have you faced in choosing the right builder?Why is your present situation unfavorable?What do you view as your biggest obstacles in this project?

Implication QuestionsIdentify consequences, effects or implications of situationFocus on consequencesPersonalize and emotionalize the consequencesCreate reasonable anxiety surrounding the problem

Sample Implication Questions

What do you see as a potential problem if your contractor does not pull a building permit?

What could be some challenges of working with an inexperienced contractor?

How could choosing a contractor based solely on price lead to long-term and permanent problems?

Need-Payoff QuestionsAsks about the value, importance or usefulness of a situationClarify explicit needsAre emotion-drivenElicit desire for a solutionOffer to remove anxietyWithhold specific solution until making a formal proposal

Sample Need-Payoff Questions

If we could get you into your new building before Spring, how would that help your summer sales?

How would you feel knowing your contractor had 20 years of experience?

Would you be interested in a solution that provided the extra space you need for expansion using your existing building lot?

Use SPIN to Match Your Partner to a New Work Vehicle

Use SPIN to Identify Explicit Needs in Your Partner's Business

Technical Investigation

Blueprints

Walk through

Measurements

Customer involvement

Identify desired function and expectations

Demonstrate Capability

Use a formal presentation process

Be consistent

Be professional

Focus on “hot buttons”

Don't cut corners

Trust the process

©2009 Profit Point LLC

Choosing the Right Contractor is a Long-term Commitment

Little concerns can become large over time

Quality issues

Visible

Hidden

Safety issues

Support issues

©2009 Profit Point LLC

What Should You Look For?

Contractors

Appearance

Character

Licensed

Insured

Bonded

Permits

Experience

Workmanship

Reputation

Products used

Technique used

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Company Overview

____ years' experience

Training

Licensed

Insured

Permits

Availability

Appearance

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We Pay Attention to Details

©2009 Profit Point LLC

Quality Matters

Processes Materials

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Quality Assurance Checklist

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We Stand Behind our Work

Our Work is Guaranteed

©2009 Profit Point LLC

The Value Solution

Our Company

Our Products

Our Workmanship

Me

Obtaining Commitment

Review the investigation questions and responsesPresent your solution in an item by item approach (Because you said...)Explain the benefits they will getAsk:

Is this what you are looking for?

Can you see how this gives you all the benefits you said you wanted?

Presenting the Price

We can have your project completed to your specifications for $_____________ or $ ____ per month.

Will (___date___) be a good time for us to start?

©2009 Profit Point LLC

Overcoming Objections

Price too high

Need another bid

Can't afford it

We need to think about it

We are just getting a budget

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The Three D's

Deflate

Show compassion and understanding

Define

Clarify the concern

Delete

Use the tools to address the specific concerns

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Deflate

I understand how you feel

I can see why that might be a concern

I can appreciate that

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Define

Can you share your concerns with me?

©2009 Profit Point LLC

Delete

Price Too HighThe Value SolutionCustomer Need Evaluation

Need Another BidThe Value SolutionCustomer Needs Evaluation

Can't Afford ItCustomer Needs EvaluationFinancing Options

Need to Think About itBreathing roomCustomer Needs Evaluation

Sale Call ReviewUse presumptive sale languageOnly propose products/services that are solutions to explicit needsPropose product/services as a solution to a specific need expressed by the customerPropose benefits, advantages and features in this order (remember that purchases are made on emotion and justified by facts)

©2009 Profit Point LLC

The Contractor's Sales Call

1)Introduction and Warm Up

2)Customer Needs Evaluation

3)Technical Analysis

4)Presentation

5)Needs-based Solution

6)Gain Commitment

©2009 Profit Point LLC

Choosing the Right Contractor is a Long-term Commitment

©2009 Profit Point LLC

What Should You Look For?

Contractors Workmanship

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Company Overview

____ years' experience

Training

Licensed

Insured

Permits

Availability

Appearance

©2009 Profit Point LLC

We Pay Attention to Details

©2009 Profit Point LLC

Quality Matters

Processes Materials

©2009 Profit Point LLC

Quality Assurance Checklist

©2009 Profit Point LLC

We Stand Behind our Work

Our Work is Guaranteed

©2009 Profit Point LLC

The Value Solution

Our Company

Our Products

Our Workmanship

Me