Prospecting and Pre-approach. Prospecting The process of identifying, qualifying, and prioritizing organizations and individuals that have the need for

Prospecting and Pre-approachProspecting and Pre-approach

ProspectingProspecting

The process of identifying, qualifying, and The process of identifying, qualifying, and prioritizing organizations and individuals that prioritizing organizations and individuals that have the need for and potential to purchase have the need for and potential to purchase the salesperson’s market offering of products the salesperson’s market offering of products and services.and services.

Qualified Qualified ProspectsProspectsQualified Qualified ProspectsProspects

SalesSalesLeadsLeadsSalesSalesLeadsLeads

Screening Screening Procedures Procedures

for Qualifying for Qualifying LeadsLeads

Prospecting Plans are the Foundation Prospecting Plans are the Foundation for Effective Prospectingfor Effective Prospecting

Set GoalsSet Goals

Establish daily, Establish daily, weekly and weekly and

monthly quotas for monthly quotas for acquiring new acquiring new

prospectsprospects


Set GoalsSet Goals

Establish a regular Establish a regular daily schedule for daily schedule for

conducting conducting prospecting prospecting activities.activities.

Allocate TimeAllocate Time


Set GoalsSet Goals

Track your results Track your results from using the from using the

different prospecting different prospecting methods.methods.

Keep RecordsKeep Records



Set GoalsSet Goals

EvaluateEvaluate

What is working for What is working for you? Compare you? Compare

results and use the results and use the methods that work methods that work

best for you.best for you.




Set GoalsSet Goals

EvaluateEvaluate

Develop confidence Develop confidence by knowing your by knowing your

products and products and believing that you believing that you

offer the best offer the best solutions.solutions.



Stay PositiveStay Positive

Popular Prospecting Sources & MethodsPopular Prospecting Sources & Methods

External SourcesExternal Sources– ReferralsReferrals– IntroductionsIntroductions– Community Contacts Community Contacts

(Centers of Influence)(Centers of Influence)– OrganizationsOrganizations– Non-competing Non-competing

SalespeopleSalespeople


Internal SourcesInternal Sources– Company RecordsCompany Records– Lists and DirectoriesLists and Directories– Advertising InquiriesAdvertising Inquiries– Telephone InquiriesTelephone Inquiries– Mail InquiriesMail Inquiries– Internet or World Internet or World

Wide WebWide Web


Personal ContactPersonal Contact– ObservationObservation– Cold CanvassingCold Canvassing– Trade ShowsTrade Shows– Bird Dogs (Spotters)Bird Dogs (Spotters)

Qualified Prospects . . .Qualified Prospects . . .

Can benefit from the sales offeringCan benefit from the sales offering

Have the financial ability to make the purchaseHave the financial ability to make the purchase

Play an important role in the purchase decision processPlay an important role in the purchase decision process

Are eligible to buy based on a fit within the selling Are eligible to buy based on a fit within the selling strategystrategy

Are reasonably accessible and willing to consider the Are reasonably accessible and willing to consider the sales offeringsales offering

Can be added to the customer base at an acceptable Can be added to the customer base at an acceptable level of profitabilitylevel of profitability

Importance of Effective ProspectingImportance of Effective Prospecting

OneOneCustomerCustomer

100 100 LeadsLeads

Many LeadsMany Leads

Few QualifiedFew Qualified ProspectsProspects

Many Qualified Many Qualified ProspectsProspects

Few CustomersFew Customers

Suppose it takes 10 Suppose it takes 10 leads to generate leads to generate

one qualified one qualified prospectprospect

And suppose it And suppose it takes 10 qualified takes 10 qualified

prospects to prospects to generate one generate one

customercustomer

It will takeIt will take100 leads100 leads

to generateto generateone customerone customer

Importance of Effective ProspectingImportance of Effective Prospecting

OneOneCustomerCustomer

50 50 LeadsLeads

The better the lead generation method, the The better the lead generation method, the higher the proportion of qualified leads.higher the proportion of qualified leads.

The more accurate the qualifying process, the The more accurate the qualifying process, the higher the proportion of customers per higher the proportion of customers per qualified lead.qualified lead.

Gathering Precall Information:Gathering Precall Information:The ProspectThe Prospect

The prospect’s name and titleThe prospect’s name and title

Correct spelling and pronunciation Correct spelling and pronunciation can be gathered by asking the can be gathered by asking the receptionist or secretary or receptionist or secretary or gatekeeper to verify information.gatekeeper to verify information.


Is this prospect willing to take Is this prospect willing to take risks? Are they confident with their risks? Are they confident with their decision making?decision making?

May have to ask the prospectMay have to ask the prospect


Observe club or organizational Observe club or organizational honors displayed in the office.honors displayed in the office.

Is the buyer involved in their Is the buyer involved in their community? Do they belong to community? Do they belong to clubs or professional organizations?clubs or professional organizations?


Does the prospect have hobbies Does the prospect have hobbies or interests they are proud of?or interests they are proud of?

Observation of office.Observation of office.


What is the prospect’s personality What is the prospect’s personality type? Easy going? All business?type? Easy going? All business?

Observation and experience with buyer.Observation and experience with buyer.


Where did this prospect grow up? Where did this prospect grow up? Where were they educated?Where were they educated?

Look for diplomas. Ask.Look for diplomas. Ask.

Gathering Precall Information:Gathering Precall Information:The Prospect’s OrganizationThe Prospect’s Organization

What type of business are we What type of business are we dealing with?dealing with?

Can be gathered from a directory Can be gathered from a directory and company web site.and company web site.


To what market does the company sell?To what market does the company sell?Who are its primary competitors?Who are its primary competitors?What does the company make and sell?What does the company make and sell?

Annual reports and company web site.Annual reports and company web site.


Salesperson may have to ask for this Salesperson may have to ask for this information.information.

Who and how many vendors does the prospect presently buy from?How much and how long have they been purchasing from their supplier(s)?What challenges is the organization facing?

Addressing ConcernsAddressing Concernsand Earning Commitmentand Earning Commitment

Objection (Sales Resistance)Objection (Sales Resistance)

Anything the buyer says or does Anything the buyer says or does that slows down or stops the buying that slows down or stops the buying

process.process.

Reasons WhyReasons WhyProspects Raise ObjectionsProspects Raise Objections

• The prospect wants to avoid The prospect wants to avoid the sales interview.the sales interview.

• The salesperson has failed to The salesperson has failed to prospect and qualify properly.prospect and qualify properly.

• The prospect resists change.The prospect resists change.• The prospect fails to recognize The prospect fails to recognize

a need.a need.• Prospect lacks information.Prospect lacks information.

ExamplesExamples

Major Categories of ObjectionsMajor Categories of Objections

• NeedNeed I have all I can use.I have all I can use.

I don’t need any.I don’t need any.

The equipment I have is still good.The equipment I have is still good.

I’m satisfied with the company we I’m satisfied with the company we use now.use now.

We have no room for your line.We have no room for your line.

ExamplesExamples


• NeedNeed• Product or Product or

Service FeaturesService Features

I don’t like the design, color, or I don’t like the design, color, or style.style.

Maintenance agreement should be Maintenance agreement should be included.included.

Performance of product is Performance of product is unsatisfactory.unsatisfactory.

Packaging is too bulky.Packaging is too bulky.

Specifications don’t match what Specifications don’t match what we have now.we have now.

The product is poor quality.The product is poor quality.

ExamplesExamples



Service FeaturesService Features• Company or Company or

SourceSource

Your company is too small to meet Your company is too small to meet my needs.my needs.

I’ve never heard of your company.I’ve never heard of your company.

Your company is too big; I’ll get Your company is too big; I’ll get lost in the shuffle.lost in the shuffle.

How do I know you’ll be around How do I know you’ll be around to take care of me in the future?to take care of me in the future?

Your company was recently in the Your company was recently in the newspaper. Are you having newspaper. Are you having

problems?problems?

ExamplesExamples




SourceSource• PricePrice

We can’t afford it.We can’t afford it.

I can’t afford to spend that much I can’t afford to spend that much right now.right now.

That’s 30% higher than your That’s 30% higher than your competitor’s comparable model.competitor’s comparable model.

We have a better offer from your We have a better offer from your competitor.competitor.

I need something a lot cheaper.I need something a lot cheaper.

Your price is not different enough Your price is not different enough to change suppliers.to change suppliers.

ExamplesExamples




SourceSource• PricePrice• TimeTime

I need time to think it over.I need time to think it over.

Ask me again next month when Ask me again next month when you stop by.you stop by.

I’m not ready to buy yet.I’m not ready to buy yet.

I haven’t made up my mind.I haven’t made up my mind.

I don’t want to commit myself I don’t want to commit myself until I’ve had a chance to talk to until I’ve had a chance to talk to

engineering.engineering.

LAARC Method for LAARC Method for Handling Buyer ResistanceHandling Buyer Resistance

istenisten

cknowledgecknowledge

ssessssess

espondespond

onfirmonfirm

Other Methods for Other Methods for Handling Buyer ResistanceHandling Buyer Resistance

• ForestallForestall

Introduce the source of the objection before the Introduce the source of the objection before the prospect brings it up.prospect brings it up.


• ForestallForestall• Direct DenialDirect Denial

Respond to the objection by telling the prospect Respond to the objection by telling the prospect s/he is wrong.s/he is wrong.


• ForestallForestall• Direct DenialDirect Denial• Indirect DenialIndirect Denial

Respond to the objection by providing evidence Respond to the objection by providing evidence that helps the prospect realize s/he is mistaken.that helps the prospect realize s/he is mistaken.


• CompensationCompensation

Counterbalance the objection with an offsetting Counterbalance the objection with an offsetting benefit.benefit.


• CompensationCompensation• QuestionQuestion

Ask the buyer assessment questions to gain a better Ask the buyer assessment questions to gain a better understanding of the source of the objection.understanding of the source of the objection.


• CompensationCompensation• QuestionQuestion• Third Party ReinforcementThird Party Reinforcement

Use the opinion or data from a third party source to Use the opinion or data from a third party source to help overcome the objection and reinforce the help overcome the objection and reinforce the

salesperson’s points.salesperson’s points.

Guidelines for Earning CommitmentGuidelines for Earning Commitment

• Resolve “Red Light” Statements Resolve “Red Light” Statements Made by the ProspectMade by the Prospect– I’m not sure that will work.I’m not sure that will work.– The price is higher than I thought it The price is higher than I thought it

would be.”would be.”

Guidelines for Earning CommitmentGuidelines for Earning Commitment

• Look for Commitment SignalsLook for Commitment Signals– ““I like that size.”I like that size.”– ““I didn’t realize you deliver everyday.”I didn’t realize you deliver everyday.”

• Ask Trial Commitment QuestionsAsk Trial Commitment Questions– ““What do you think about the what we’ve What do you think about the what we’ve

discussed?”discussed?”– ““Do you see how this will help your organization?”Do you see how this will help your organization?”

Techniques to Earn CommitmentTechniques to Earn Commitment

• Ask for the Order/Direct CommitmentAsk for the Order/Direct Commitment• Legitimate Choice/Alternative ChoiceLegitimate Choice/Alternative Choice• Summary CommitmentSummary Commitment• Success Story CommitmentSuccess Story Commitment

Objection Handling & Closing Objection Handling & Closing TechniquesTechniques

Question Right for Sales Success

When working with a new prospect, don’t you agree you should

try for several minor yes’s before you go in for a big ‘Yes’.

That’s what ‘Tie-downs’ are.

There are four types of Tie downs.

Let’s look at these individually.

Standard Tie Downs

This Tie down is used at the end of the sentence, as “Fuel economy is very important today. Isn’t it?”

If what you say represents truth, won’t that person respond by agreeing?

And when they agree that some quality of your products or services meet their needs, they have moved closer to buying it, haven’t they?

Examples: Aren’t they? Don’t we? Isn’t it? Don’t you agree? Can’t you?

The Inverted Tie Down

For variety and more warmth, put the tie down at the beginning of

the sentence.

A champion uses different types of Tie Downs without lessening

his concentration of the client.

This skill demands continuous rehearsal.

So, many progressive companies are using computers today,

aren’t they? would change to:

Aren’t a lot of progressive companies using computers today?

today?

Internal Tie Down & Tag On Tie Down

Once you get a feel of it, can’t you really control it well?

Prospect: Reducing the waste is important.

Seller: So putting this system in place wouldn’t reduce the waste

by 10%?

One should have a good mix of different Tie Downs as a part of

your sales vocabulary.

You can keep building on it based on the products or services that

you are selling.

Practise your Tie Downs anytime and every time.

Another Technique – Alternate Advance

It is a question that suggests two answers.

Both of which confirm that your prospect is going ahead.

If you ask him a question that results in a ‘No’, ninety per cent of

the time it will be ‘No’

“Could I come by this afternoon?”

Answer, “No.”

“I’ll be in your area this afternoon. Which would be a more

convenient time for you. Around 2 o’clock, or you would prefer if I

waited until 3?”

The Porcupine Technique

It is a technique of answering a prospects question with a question of your own, that maintains your control of the interview, and allows you to lead into the next step of your selling sequence.

Prospect: “Will this insurance policy have a cash value?”

Seller: “Is having a cash value in the policy one of your concerns?”

Prospect: “Definitely not. I don’t want to pay anything extra for the cash value.”

It’s definitely vital to find out things like this. If any sales man tried to sell cash value to this client, he would kill the sale.

Cash value isn’t something that this prospect will pay money for, because for him, it is not a benefit.

Sell him term, and other benefits.

Most sales people “tell”. They don’t listen. Only through

questioning can you listen carefully.

And only through listening, can you understand what matters to

the client most, and pitch to him accordingly.

Questioning is the Key to Success

Most champions use two basic types of questions:

a) Discovery

b) Leading Let’s look at an example in retail. “May I help you?” “No thanks. I’m just looking.” Most sales people on the retail level ask that question, and get

the same answer 50 times a day for 50 years. That’s why they keep selling pins and ribbons all their lives.

“Good morning. If you have any questions, just let me know. In the mean time, please feel free to look around all you would like.”

“Uh…I was wondering. Do you have…..?”

Questioning is the Key to Success

“You’re interested in quality in the product you’re looking for, aren’t you?”

“If you needed it, you would like everything on the warranty to happen, wouldn’t you?”

“A reputation for professionalism is important, isn’t it?” A champion doesn’t tell people things, he asks questions. Ask questions to:

a) Reveal benefits

b) Understand needs

c) Understand concerns

d) Understand value

e) Affirm their belief

Points to Ponder in Questions

1. You ask questions to gain control.

2. You ask questions to indicate broad areas of interests and

benefits.

3. You ask questions to get the minor ‘Yes’s’.

4. You ask questions to isolate objections.

5. You ask questions to acknowledge a fact.

6. You ask questions to listen to the client more and pitch

accordingly.

Creating the Selling Climate Positive emotions create sales, negative emotions destroy sales.

Let’s look at an example:

Picture yourself walking into a showroom with your spouse.

The sales person on duty meets you – “Hi. I’m Pat. Nice of

you to come in Sir, hello, nice of you to join him Ma’am. You’re

husband and wife? Good looking couple. How are you doing

today?”

If a stranger opened up to you like that, what would you feel:

Fear

Anger

Disgust

This crocodile is out to get us

Creating the Selling Climate Everything you say creates images in the minds of the buyer. One thoughtless comment can destroy your chances of selling. Look at Pat. He was trying to be nice, but see how he came

across. Always be professional when meeting new people. The champion knows he needs to create positive images more

than anything else.

REPLACE REJECTION WORDS WITH GO AHEAD TERMS A rejection word is any word that triggers fear, or reminds

prospects that you are trying to sell to them. If you use rejection words in sales, you don’t need enemies.

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Prospecting and Pre-approach. Prospecting The process of identifying, qualifying, and prioritizing organizations and individuals that have the need for