sales and selling - training and techniques

a free guide to selling methods, sales techniques, selling models, sales processes, sales training programs and sales training providers (and sales training specification template)

introduction - sales training and selling methods, techniques, skills

examples of how to improve your selling skills, processes and sales training

See the tips for selecting sales training providers, sales training methods, courses and programs. Thes examples indicate the variety of concepts and methods available. 1. Download and read the free ebook The Game of Business by Paul Gorman - a wonderful practical guide to business success from a leading business thinker. Paul's book encompasses modern selling and extends to a complete package of entrepreneurial methods and ideas. With grateful acknowledgements to Paul Gorman. 2. Ari Galper's 'Unlock The Game®' programme contains a lot of excellent modern ideas - especially related to cold calling, which is always one of the greatest challenges for sales people and sales organizations. Have a look and see what you think. I reckon he's a good guy.

Find all sorts of training and development providers on Businessballs Space.

3. Sharon Drew Morgen's Buying Facilitation® methodology - leading edge ideas in sales and selling. Buy Sharon Drew Morgen's remarkable book 'Buying Facilitation' - it's available from Sharon Drew Morgen's website and other good online booksellers. It will transform the way you sell and dramatically increase the results you achieve.

4. If you have a sales team or sales organisation, see the Sales Activator® system for sales training and development - for developing sales teams, sales management, sales training and great selling organisations. The Sales Activator® is an innovative and effective sales training and sales coaching system, underpinned by solid sales theory, ethical principles, and a unique learning concept.

5. Download and read the free ebook - Unleash the Power of Consultative Selling - excellent free 200 page ebook (560KB pdf) by Rich Grehalva on modern selling methods - this superb ebook has been kindly offered free to businessballs visitors by sales and selling expert Rich Grehalva.

6. Additionally see the many interesting and different sales training providers who are featured on the free Businessballs Space.

There are many more good modern ethical sales training and development systems out there. If you've had experience of a good modern sales training programme or product, or a particularly effective selling concept please let me know.

glossary of sales and selling terms

This list is not exhaustive, and is not meant to be an endorsement of any of these techniques or terms. See the notice at the foot of the page.

accompaniment visit/accompaniment report - when a manager or supervisor or trainer accompanies a sales person while working on the sales territory, usually while meeting prospects or customers. Typically the manager would complete an accompaniment visit report on the performance of the sales person, which would be discussed, and suitable follow-up actions or training agreed.

account - a customer, usually a business-to-business organization; a major account is a large organization; a national account is a customer with branches or sites that constitute a nationwide coverage, which typically requires special pricing and senior sales attention.

active listening - term used to describe high level of listening capability and method, in which the sales person actively seeks to understand how the speaker feels, and what their issues are, in which the type of listening extends far beyond common inattentive listening. Related to empathy and Stephen Covey's principles of seeking to understand before attempting to be understood.

added value - the element(s) of service or product that a sales person or selling organization provides, that a customer is prepared to pay for because of the benefit(s) obtained. Added values are real and perceived; tangible and intangible. A good, reliable, honest, expert, informed sales person becomes a very significant part of the selling organization's added value, as perceived by the customer, if not by the selling organization.

advantage - the aspect of a product or service that makes it better than another, especially the one in-situ or that of a competitor.

advertising/advertising and promotion/A&P - the methods used by a company to publicise and position its products and services to its chosen market sectors, including product launches, image and brand building, press and public relations activities, merchandising (supporting and promoting the product in retail and wholesale outlets), special offers, generating leads and enquiries, and incentivising distributors, and agents, and arguably sales people. A&P methods are sometimes described as above-the-line (media advertising such as radio, TV, cinema, newspapers, magazines) or below-the-line (non-'media' methods or materials such as brochures, direct-mail, exhibitions, telemarketing, and PR); advertising agencies generally receive a commission (discount 'kick-back') from above-the-line media services, but not from below the line services, in which case if asked to arrange any will seek to add a mark-up.

appointment - a personal sales visit to a prospect, usually arranged by phone. See the appointment-making process.

benefit - the gain (usually a tangible cost, but can be intangible) that accrues to the customer from the product or service.

buyer - most commonly means a professional purchasing person in a business; can also mean a private consumer. Buyers are not usually major decision-makers, that is to say, what they buy, when and how they buy it, and how much they pay are prescribed for them by the business they work for. If you are selling a routine repeating predictable product, especially a consumable, then you may well be able to restrict your dealings to buyers; if you are selling a new product or service of any significance, buyers will tend to act as influencers at most. See decision-makers.

buying facilitation® - also known as facilitative buying, generally attributed (and registered) to sales guru Sharon Drew Morgen. Extremely advanced form of personal selling, in which the central ethos is one of 'helping organizations and buyers to buy', not selling to them. See collaboration and partnership selling at the end of the section. And see the super Buying Facilitation® resources available via Ms Morgen's Businessballs Space profile.

buying signal - a buying signal is a comment from a prospect which indicates that he is visualising to whatever extent buying your product or service. The most common buying signal is the question: "How much is it?" Others are questions or comments like: "What colours does it come in?", "What's the lead-time?", "Who else do you supply?", "Is delivery free?" "Do you use it yourself?", and surprisingly, "It's too expensive."

buying warmth - behavioural, non-verbal and other signs that a prospect likes what he sees; very positive from the sales person's perspective, but not an invitation to jump straight to the close.

call/calling - a personal face-to-face visit or telephone call by a sales person to a prospect or customer. Also referred to a sales call (for any sales visit or phone contact), or cold call (in the case of a first contact without introduction or notice in writing).

call centre - also called a contact centre (US = center) - a department for outgoing and/or incoming (outbound/inbound) telephone calls to/from customers, commonly now extending to email communications also if useful for customer service, but not extending to email marketing. Call centres can be primarily reactive (inbound) or proactive (outbound - covering telemarketing, telesales, and research), or both. Call centres can be in-house, part of the employed organization, or external, effectively a contractor or an agency. Most modern in-house or long-term out-sourced call centres are effectively customer service centres or departments, containing staff dedicated to telesales and customer services activities. Other types of call centre activities and operations can be concerned more with short-term telesales, telemarketing or market research campaigns. Run well a call/contact centre is a wonderful function. Run poorly call centres are a nightmare for staff and customers alike. Since the 1990s when the call centre function became de-humanised and obsessively cost-driven by many large corporations the nightmare scenario largely applies. Some call/contact centres are now such vast business units that they warrant being 'off-shored' (outsourced to countries with lower costs), which generally equates to corporate own-foot-shooting on a truly huge scale. A call centre which is inherently liable to upset customers due to inadequate levels of customer empathy and service is quite obviously utterly self-defeating. Staff turnover is unsurprisingly a major challenge in call centres.

canvass/canvassing - cold-calling personally at the prospect's office or more commonly now by telephone, in an attempt to arrange an appointment or present a product, or to gather information.

close/closing - the penultimate step of the 'Seven Steps of the Sale' selling process, when essentially the sales-person encourages the prospect to say yes and sign the order. In days gone by a Sales person's expertise was measured almost exclusively by how many closes he knew. Thank God for evolution. See the many examples of closes and closing techniques in the Seven Steps section, but don't expect to kid any buyer worth his salt today, and using one might even get you thrown out of his office. Use with great care.

closed question - a question which generally prompts a yes or no answer, or a different short answer of just two possible options, compared to open questions, which typically begin with who, what, where, when, etc., and which tend to invite much longer answers.

cold calling - typically refers to the first telephone call made to a prospective customer. More unusually these days, cold calling can also refer to calling face-to-face for the first time without an appointment at commercial promises or households. Cold calling is also known as canvassing, telephone canvassing, prospecting, telephone prospecting, and more traditionally in the case of consumer door-to-door selling as 'door-knocking'. See the cold calling page.

collaboration selling - also known as collaborative selling and facilitation selling - very modern and sophisticated, in which seller truly collaborates with buyer and buying organization to help the buyer buy. A logical extension to 'strategic' or 'open plan' selling. See collaboration and partnership selling at the end of the section.

commodities/commoditised (products and services) - typically a term applied to describe products which are mature in development, produced and sold in vast scale, involving little or no uniqueness between variations of different suppliers; high volume, low price, low profit margin, de-skilled ('ease of use' in consumption, application, installation, etc). Traditionally the 'commodities' term applies to the 'commodities markets' which trade and set prices for fundamental commodities such as coffee, grain, oil, etc., however in a more generic sales and selling sense the term 'commoditised' refers to a product (and arguably a service) which has become mass-produced, widely available, easy to make, de-mystified, and simplified; all of which is almost invariably associated with a reduction in costs, prices and profit margins, and which also has massive implications for the sales distribution model and methods for taking the product or service to market. Commoditised products are amenable to mass-market and large-scale sales distribution methods and models, as opposed to specialised or high-complexity products, which tend to require closer customer support and greater expertise and advice at the point of selling and installation, and commissioning and application, if appropriate. An electric battery torch is a commoditised product that is freely available, at competitively low price, 'off-the-shelf' at any supermarket (or via the internet); whereas a holographic projector is only available via a specialised supplier, at relatively high cost and profit margin, potentially without a similar competing product, and requires a significant degree of technical advice and support, and possibly user-training. Similarly, a microwave oven is a commoditised product, widely available, inexpensively, off-the-self from a retail store (or via the internet); whereas an integrated commercial kitchen is a specialised system, requiring a high level of sales and selling expertise, support and installation. Commoditised products sell by the millions; specialised products might only sell in hundreds or less. All consumer products and services become commoditised over time. Virtually all B2B products and services become commoditised over time. Colour TV's are cheaper than they were thirty years ago because they've become commoditised. Same can be said for mobile phones, home security systems, computers; even motor cars are becoming genuinely commoditised. In our lifetimes perhaps so too will houses and buildings.

concession - used in the context of negotiating, when it refers to an aspect of the sale which has a real or perceived value, that is given away or conceded by seller (more usually) or the buyer. One of the fundamental principles of sales negotiating is never giving away a concession without getting something in return - even a small increase in commitment is better than nothing. See the negotiation section.

consultative selling (consultation selling) - developed by various sales gurus through the 1980s by David Sandler among others, and practiced widely today, consultative selling was a move towards more collaboration with, and involvement from, the buyer in the selling process. Strongly based on questioning aimed at gaining useful information.

consumer - in the context of selling a consumer typically refers to a private or personal customer or user, as distinct from a business or organizational, or trade customer. Notably we see this term in the acronym B2C, which means 'business-to-consumer', which describes the type of business in which the transaction and relationship is between a business and a private 'domestic' customer. A household insurer, or an estate agent, are examples of B2C sales organizations. Retail is by its nature consumer business. A holiday company is a B2C business. B2B describes 'business-to-business' - which is trade and selling between businesses.

customer - usually meaning the purchaser, organization, or consumer after the sale. Prior to the sale is usually referred to as a prospect.

customer relationship management (CRM) - CRM is now a commonly used term to describe the process of managing the entire selling process within a department or organisation. Computerised CRM systems enable management of prospect and customer details, contacts, sales history and account development. Well known examples of CRM computerised systems are Sage's ACT!, which claims (as at 2006) to be the world's most popular CRM system, and Front Range's Goldmine. Chief elements of a CRM system (or strategy, since the term is used to describe the process and methodology as well as the system) are:

• compilation and organisation of data (prospects, customers, product, sales, history, etc)
• planning, scheduling and integrating customer development activities and communications
• analysis and reporting of all sales related activities and data

Good CRM strategy and systems are generally considered necessary for modern organisations of any scale to enable effective planning and implementation of sales (and to an extent marketing) activities.

cycle - see sales cycle.

deal - common business parlance for the sale or purchase (agreement or arrangement). It is rather a colloquial term so avoid using it in serious company as it can sound flippant and unprofessional.

decision-maker - a person in the prospect organization who has the power and budgetary authority to agree to a sales proposal. On of the most common mistakes by sales people is to attempt to sell to someone other than a genuine decision-maker. For anything other than a routine repeating order, the only two people in any organization of any size that are real decision-makers for significant sales values are the CEO/Managing Director/President, and the Finance Director. Everyone else in the organization is generally working within stipulated budgets and supply contracts, and will almost always need to refer major purchasing decisions to one or both of the above people. In very large organizations, functional directors may well be decision-makers for significant sales that relate only to their own function's activities. See influencer.

deliverable(s) - an aspect of a proposal that the provider commits to do or supply, usually and preferably clearly measurable.

demonstration/'demo'/'dem' - the physical presentation by the sales person to the prospect of how a product works. Generally free of charge to the prospect, and normally conducted at the prospect's premises, but can be at another suitable venue, eg., an exhibition, or at the supplier's premises.

demographics - the study of, or information about, people's lifestyles, habits, population movements, spending, age, social grade, employment, etc., in terms of the consuming and buying public; anyone selling to the consumer sector will do better through understanding relevant demographic information.

discipline - within the context of an organization this is similar to function, i.e., job role, although a discipline can refer more generally to a capability or responsibility, for example 'financial disciplines', or 'customer service disciplines', or 'technical support disciplines'. Discipline can of course mean separately 'control', others or oneself, which is certainly relevant to sales and selling, but not the reason for its inclusion in this glossary. In business-to-business selling of a complex strategic nature looking at disciplines (capabilities and responsibilities) can help to explore the different ways that people are affected by a change or proposition, which generally accompanies the sale of a product or service.

distribution/sales distribution - the methods or routes by which products and services are taken to market. Sales distribution models are many and various, and are constantly changing and new ones developing. Understanding and establishing best sales distribution methods - routes to market - are crucial aspects of running any sales organisation, and any business organisation too. Sales distribution should be appropriate to the product and service, and the end-user market, and the model will normally be defined by these factors, influenced also by technology and social trends. For example, commoditised mass-market consumer products (FMCG - fast-moving consumer goods, household electricals, etc) are generally distributed via mass-market consumer distribution methods, notably supermarkets, but also increasingly the internet. A lesson in changing sales distribution models, and the need for manufacturers and sellers to anticipate changes is found in the switching of book sales and CD sales from retail store distribution to websites, with the resulting demise of many retailers in those sectors. Future changes in sales distribution will see for example music transferring increasingly via online downloads, thus threatening those involved with or dependent upon physical shipping of products. B2B (business-to-business) sales distribution models have their own shape, again dependent on products and services, customer markets, technology, plus other influences such as economical trends, environmental and legislative effects, etc. Examples of B2B sales distribution models are franchising, direct sales forces (employed), direct sales forces (sales agents), telephone sales (call-centres, out-bound and in-bound), the internet (online website businesses), distributors (independent sellers who carry products and services of other manufactuerers and 'principals'), and channel partners and partnering arrangements (prevalent in telecomms and IT sectors).

ethics/ethical selling/ethical business - this would not have appeared in a selling glossary a few years ago, because the line between right and wrong was a mile wide. To certain leaders and companies it still is, although gradually, slowly business and selling is becoming more civilised. Honesty, morality and social responsibility are now crucial elements in any effective selling method, and for any sustainable business. In Spring 2008 someone left a message on my answerphone. The person said he was from 'central government', working on a 'policy piece' about e-learning, and could I give him a call back. I duly called back. After several sidesteps, the 'seller' eventually clarified that the purpose of the contact was to sell me some advertising in a directory, supposedly endorsed or approved by a 'government department'. This is a fine example of unethical selling, and unethical business too, since the seller was clearly following a company script and set of tactics designed to deceive. Unethical business and selling have always been wrong, but nowadays they carry far greater risks for those who behave badly. Consumers are wiser and better informed. Authories and the courts are less tolerant and more senstitive to transgressions. In all respects today poor ethics guarantee personal and business failure.

FAB's - features advantages benefits - the links between a product description, its advantage over others, and the gain derived by the customer from using it. One of the central, if now rather predictable, techniques used in the presentation stage of the selling process.

feature - an aspect of a product or service, eg., colour, speed, size, weight, type of technology, buttons and knobs, gizmos and gadgets, bells and whistles, technical support, delivery, etc.

field - means anywhere out of the sales office. Field sales people or managers are those who travel around meeting people personally in the course of managing a sales territory. To be field-based is to work on the sales territory, as opposed to being office-based.

forecast/sales forecast - a prediction of what sales will be achieved over a given period, anything from a week to a year. Sales managers require sales people to forecast, in order to provide data to production, purchasing, and other functions whose activities need to be planned to meet sales demand. Sales forecasts are also an essential performance quantifier which feeds into the overall business plan for any organization. Due to the traditionally unreliable and optimistic nature of sales-department forecasts it is entirely normal for the sum of all individual sales persons' sales annual forecast to grossly exceed what the business genuinely plans to sell. See targets.

function - in the context of an organization, this means the job role or discipline, eg., sales, marketing, production, accounting, customer service, delivery, installation, technical service, general management, etc. Understanding the functions of people within organizations, and critically their interests and needs, is very important if you are selling to businesses or other non-consumer organizations.

gestation period - sale gestation period typically refers to the the time from enquiry to sale, the Sales Cycle in other words, (see Sales Cycle). Awareness and monitoring of Sale Gestation Period/Sales Cycle times are crucial in sales planning, forecasting and management, for individuals sales teams and sales organizations.

influencer - a person in the prospect organization who has the power to influence and persuade a decision-maker. Influencers will be generally be decision-makers for relatively low value sales. There is usually more than one influencer in any prospect organization relevant to a particular sale, and large organizations will have definitely have several influencers. It is usually important to sell to influencers as well as decision-makers in the same organization. Selling to large organizations almost certainly demands that the sales person does this. The role and power of influencers in any organization largely depends on the culture and politics of the organization, and particularly the management style of the two main decision-makers. See decision-makers.

intangible - in a selling context this describes, or is, an aspect of the product or service offering that has a value but is difficult to see or quantify (for instance, peace-of-mind, reliability, consistency). See tangible.

introduction - first stage of the actual sales call (see opening).

LAMP® - Large Account Management Process - sales acronym and methodology for major accounts management developed by Robert Miller, Stephen Heiman and Tad Tuleja in their 1991 book Successful Large Account Management (see the books at the foot of this page). Note that LAMP® and Strategic Selling® methods and materials are subject to copyright and intellectual property control of Miller Heiman, Inc. Also note that LAMP® and Strategic Selling® methods and materials are not to be used in the provision of training and development products and services without a licence. See LAMP® and Strategic Selling® copyright details below.

lead-time - time between order and delivery, installation or commencement of a product or service.

listening - a key selling skill, in that without good listening skills the process of questioning is rendered totally pointless.

major account - a large and complex prospect or customer, often having several branches or sites, and generally requiring contacts and relationships between various functions in the supplier and customer organization. Often major accounts are the responsibility of designated experienced and senior sales people, which might be formed into a major accounts team. Major accounts often enjoy better discounts and terms than other customers because of purchasing power leveraged by bigger volumes, and lower selling costs from economies of scale.

marketing - perceived by lots of business people to mean simply promotion and advertising, the term marketing actually covers everything from company culture and positioning, through market research, new business/product development, advertising and promotion, PR (public/press relations), and arguably all of the sales functions as well. It's the process by which a company decides what it will sell, to whom, when and how, and then does it. See the marketing section.

margin/profit margin - the difference between cost (including or excluding operating overheads) and selling price of a product or service. Percentage margin is generally deemed to be the difference between cost and selling price, divided by the selling price ex tax (eg something that costs £1 and is sold for £2 plus tax produces a 50% margin - gross margin that is - net margin is after overheads are deducted).

mark-up - this is the money that a selling company adds to the cost of a product or service in order to produce a required level of profit. Strictly speaking, percentage mark-up refers to the difference between cost and selling price as a factor of the cost, not of the selling price. So a product costing £1 and selling for £2 has been given a mark-up of 100%; (at the same time it produces a margin of 50%).

needs-creation selling - a selling style popularised in the 1970s and 80s which asserted that sales people could create needs in a prospect for their products or services even if no needs were apparent, obvious or even existed. The method was for the sales person to question the prospect to identify, discover (and suggest) organizational problems or potential problems that would then create a need for the product. I'm bound to point out that this is no substitute for good research and proper targeting of prospects who have use of the products and services being sold.

negotiation/negotiating - the trading of concessions including price reductions, between supplier and customer, in an attempt to shape a supply contract (sale in other words) so that it is acceptable to both supplier and customer. Negotiations can last a few minutes or even a few years, although generally it's down to one or two meetings and one or two exchanges of correspondence. Ideally, from the seller's point of view, negotiation must only commence when the sale has been agreed in principle, and conditionally upon satisfactory negotiation. However most sales people fall into the trap set by most buyers - intentionally or otherwise - of starting to negotiate before the selling process have even commenced. See the section on negotiation for negotiating theory, rules and techniques.

objection - a point of resistance raised by a prospect, usually price ("it's too expensive"), but can be anything at any stage of the selling process; overcoming objections is a revered and much-trained skill in the traditional selling process.

open/opening - the first stage of the actual sales call (typically after preparation in the Seven Steps of the Sale). Also called the introduction.

opening benefit statement/OBS - traditionally an initial impact statement for sales people to use at first contact with prospect, in writing, on the phone or face-to-face - the OBS generally encapsulates the likely strongest organizational benefit typically (or supposedly) derived by customers in the prospect's sector, eg., "Our customers in the clothing retail sector generally achieve 30-50% pilferage reduction when they install one of our Crooknabber security systems..." - N.B. The OBS is a relatively blunt instrument for modern selling - use it with extreme care for fear of looking like a total twerp.

open plan selling - a modern form of selling, heavily dependent on the sales person understanding and interpreting the prospect's organizational and personal needs, issues, processes, constraints and strategic aims, which generally extends the selling discussion far beyond the obvious product application; (in a way, it's rather like combining selling with genuinely beneficial, free, expert consultancy). In 'open plan selling' the seller identifies strategic business aims of the sales prospect or customer organization, and develops a proposition that enables the aims to be realised. The proposition is therefore strongly linked to the achievement of strategic business aims - typically improvements in costs, revenues, margins, overheads, profit, quality, efficiency, time-saving and competitive strengths areas. There is a strong reliance on seller having excellent strategic understanding of prospect organization and aims, market sector situation and trends, and access to strategic decision-makers and influencers. Open Plan Selling is also underpinned by strong ethical principles, notably honesty and the premise that persuasion and influence are unhelpful, and in this respect the methodology relates somewhat to modern ideas of facilitating and helping, as primarily featured in Buying Facilitation. The term Open Plan Selling was coined (to the best of my knowledge) by British consultant and trainer Stanley Guffogg. See Open Plan Selling.

open question - a question that gains information, usually beginning with who, what, why, where, when, how, or more subtly 'tell me about..' - as distinct from a closed question, for example beginning with 'Is it...?' or 'Do you...?' etc., which tend to glean only a yes or no answer.

package - in a selling context this is another term for the product offer; it's the whole product and service offering at a given price, upon given terms.

partnership selling - very modern approach to organizational selling for business-to-business sales - see collaboration and partnership selling.

perceived - how something is seen or regarded by someone, usually by the prospect or customer, irrespective of what is believed or presented by the seller, ie what it really means to the customer.

pipeline - see sales pipeline.

positioning - more a marketing than sales term, although relevant to experienced and sophisticated sellers, and related to targeting - positioning refers to how a product/service/proposition is presented or described or marketed in relation to the market place - with reference to customers, competition, image, pricing, quality, etc. Positioning basically refers to whether a proposition is being sold appropriately - in the right way, to the right people, at the right time, in the right place, and at the right price. A potentially brilliant business can fail because its products are not positioned properly, which typically manifests as sales people being unable to sell successfully. There might be little or nothing wrong with the sales people and their skills, and the product/service, but the venture fails because the positioning is wrong. Conversely, good positioning can rescue a less than brilliant product/service. Effective selling is not only about quality and skills - its about suitability of targeting.

preparation - in the context of the selling process this is the work done by the sales person to research and plan the sales approach and/or sales call to a particular prospect or customer. Almost entirely without exception in the global history of selling, no call is adequately prepared for, and sales that fail to happen are due to this failing.

presentation/sales presentation - the process by which a sales person explains the product or service to the prospect (to a single contact or a group), ideally including the product's features, advantages and benefits, especially those which are relevant to the prospect. Presentations can be verbal only, but more usually involve the use of visuals, commonly bullet-point text slides and images on a computer display or projected onto a screen. Can incorporate a video and/or physical demonstration of the product(s). See the presentation training section.

product - generally a physical item being supplied, but can also mean or include services and intangibles, in which case product is used to mean the whole package being supplied.

product offer - how the product and/or service is positioned and presented to the prospect or market, which would normally include features and/or advantages and also imply at least one benefit for the prospect (hence a single product can be represented by a number of different product offers, each for different market niches (segments or customer groupings). One of the great marketing challenges is always to define a product offer concisely and meaningfully.

proposal/sales proposal - usually a written offer with specification, prices, outline terms and conditions, and warranty arrangements, from a sales person or selling organization to a prospect. Generally an immensely challenging part of the process to get right, in that it must be concise yet complete, persuasive yet objective, well specified yet orientated to the customer's applications. An outline proposal is often a useful interim step, to avoid wasting a lot of time including in a full proposal lots of material that the customer really doesn't need.

proposition - usually means product offer, can mean sales proposal. The initial proposition means the basis of the first approach.

professional selling skills - see PSS

PSS - 'Professional Selling Skills' - highly structured selling process pioneered by the US Xerox (and UK Rank Xerox) photocopier sales organization during the 1960s, and adopted by countless business-to-business sales organizations, normally as the 'Seven Steps of the Sale', ever since. PSS places a huge reliance on presentation, overcoming objections and umpteen different closes. Largely now superseded by more modern 'Open Plan' two-way processes, but PSS is still in use and being trained, particularly in old-fashioned paternalistic company cultures. The regimented one-way manipulative style of PSS nowadays leaves most modern buyers completely cold, but strip it away to the bare process and it's better than no process at all.

prospect - a customer (person, organization, buyer) before the sale is made, ie a prospective customer.

puppy dog sale/puppy dog close - a method of selling or closing a deal whereby you let the customer try the product or service for free without commitment, for a limited period, in the confidence that once they live with it they won't want to give it up - just like giving someone have a puppy for a day. These days the puppy dog approach would ideally extend to giving the prospective customer some education and support about looking after the puppy so that they understand and are prepared for the changes that come with a new puppy. See Level 5: education/information-led selling in the development of selling overview.

questioning - the second stage of the sales call, typically after the opening or introduction in the Seven Steps of the Sale. A crucial selling skill, and rarely well demonstrated. The correct timing and use of the important different types of questions are central to the processes of gathering information, matching needs, and building rapport and empathy. Questioning also requires that the sales person has good listening, interpretation and empathic capabilities. See the questioning section.

rem - common slang for remainder or remnant in any business which deals with end-of-line, left-over, or otherwise non-standard-stock items which typically are handled and disposed at attractive terms to minimise waste and write-offs.

research/research call - the act of gathering information about a market or customer, that will help progress or enable a sales approach. Often seen as a job for telemarketing personnel, but actually more usefully carried out by sales people, especially where large prospects are concerned (which should really be the only type of prospects targeted by modern sales people, given the need to recover very high costs of sales people).

retention/customer retention - means simply keeping customers and not losing them to competitors. Modern companies realise that it's far more expensive to find new customers than keep existing ones, and so put sufficient investment into looking after and growing existing accounts. Less sensible companies find themselves spending a fortune winning new customers, while they lose more business than they gain because of poor retention activity. (The hole in the bucket syndrome, where it leaks out faster than it can be poured in.)

sales cycle - the Sales Cycle term generally describes the time and/or process between first contact with the customer to when the sale is made. Sales Cycle times and processes vary enormously depending on the company, type of business (product/service), the effectiveness of the sales process, the market and the particular situation applying to the customer at the time of the enquiry. The Sales Cycle time is also referred to as the Sale Gestation Period (ie from conception to birth - enquiry to sale). The Sales Cycle in a sweet shop is less than a minute; in the international aviation sector or civil construction market the Sales Cycle can be many months or even a few years. The funnel diagram and sales development process on the free resources section show the sales cycle from a different perspective, (and actually prior to enquiry stage). A typical Sales Cycle for a moderately complex product might be:

1. receive enquiry
2. qualify details
3. arrange appointment
4. customer appointment
5. arrange survey
6. conduct survey
7. presentation of proposal and close sale

sales forecasts - also called sales projections, these are the predictions that sales people and sales managers are required to make about future business levels, necessary for their own organisation to plan and budget everything from stock levels, production, staffing levels, to advertising and promotion, financial performance and market strategies.

sales funnel - describes the pattern, plan or actual achievement of conversion of prospects into sales, pre-enquiry and then through the sales cycle. So-called because it includes the conversion ratio at each stage of the sales cycle, which has a funneling effect. Prospects are said to be fed into the top of the funnel, and converted sales drop out at the bottom. The extent of conversion success (ie the tightness of each ratio) reflects the quality of prospects fed into the top, and the sales skill at each conversion stage. The Sales Funnel is a very powerful sales planning and sales management tool. A diagram of a typical basic Sales Funnel appears on the free resources section. Also referred to as the Sales Pipeline.

sales report - a business report of sales results, activities, trends, etc., traditionally completed by a sales manager, but increasingly now the responsibility of sales people too. See the sample monthly sales report template (MSExcel format), or as a PDF version of the same report template. A sales report can be required weekly, monthly, quarterly and annually, and often includes the need to provide sales forecasts.

sales pipeline - a linear equivalent of the Sales Funnel principle. Prospects need to be fed into the pipeline in order to drop out of the other end as sales. The length of the pipeline is the sales cycle time, which depends on business type, market situation, and the effectiveness of the sales process.

sector/market sector - a part of the market that can be described, categorised and then targeted according to its own criteria and characteristics; sectors are often described as 'vertical', meaning an industry type, or 'horizontal', meaning some other grouping that spans a number of vertical sectors, eg., a geographical grouping, or a grouping defined by age, or size, etc.

segment/market segment - a sub-sector or market niche; basically a grouping that's more narrowly defined and smaller than a sector; a segment can be a horizontal sub-sector across one or more vertical sectors.

service contract - a formal document usually drawn up by the supplier by which the trading arrangement is agreed with the customer. Also known as trading agreements, supply agreements, and other variations. See the section on service contracts and trading agreements.

solutions selling - a common but loosely-used description for a more customer-orientated selling method than the Seven Steps; dependent on identifying needs to which appropriate benefits are matched in a package or 'solution'. The term is based on the premise that customers don't buy products or features or benefits - they buy solutions (to organizational problems). It's a similar approach to 'needs-creation' selling, which first became popular in the 1970s-80s. Solutions selling remains relevant and its methods can usefully be included in the open plan selling style described later here, although modern collaborative and facilitative methodologies are becoming vital pre-requisites.

SPIN® and SPIN® Selling - A popular selling method developed by Neil Rackham in the 1970-80s: SPIN® is an acronym derived from the basic selling process designed and defined by Rackham: Situation, Problem, Implication, Need, or Need Payoff. More detail about SPIN® and SPIN® Selling appears in the Consultative Selling and Needs Creation Selling methods section. Note that SPIN® and SPIN SELLING® methods and materials are subject to copyright and intellectual property control of the Huthwaite organisations of the US and UK. SPIN® and SPIN SELLING® methods and materials are not to be used in the provision of training and development products and services without a licence. See SPIN® copyright details.

steps of the sale - describes the structure of the selling process, particularly the sales call, and what immediately precedes and follows it. Usually represented as the Seven Steps of the Sale, but can be five, six, eight or more, depending whose training manual you're reading.

Strategic Selling® - when used in upper case and/or in the context of Miller Heiman's Strategic Selling® methodology (which features in their books of the same name, first published in 1985) the Strategic Selling® term is a registered and protected product name belonging to the American Miller Heiman training organisation - so be warned. LAMP® and Strategic Selling® methods and materials are subject to copyright and intellectual property control of Miller Heiman, Inc., and again be warned that LAMP® and Strategic Selling® methods and materials are not to be used in the provision of training and development products and services without a licence. See LAMP® and Strategic Selling® copyright details below.

strategic selling - you will also hear people (me included) referring to 'strategic selling' in a generic sense, and not specifically referring to the Miller Heiman methods and materials. In a generic 'lower case' sense, 'strategic selling' describes a broad methodology which began to be practised in the 1980s, literally 'strategic' by its nature (the principles involve taking a strategic view of the prospective customer's organisation, its markets, customers and strategic priorities, etc), which is described below and referred to as 'open plan selling'. When using the 'strategic selling' terminology in a training context you must be careful therefore to avoid confusion or misrepresentation of the Miller Heiman intellectual property. If in any doubt don't use the 'strategic selling' term in relation to providing sales training services - call it something else to avoid any possible confusion with the Miller Heiman products, (see the Miller Heiman Strategic Selling® copyright details below.

tangible - in a selling context this describes, or is, an aspect of the product or service offering that can readily be seen and measured in terms of cost and value (eg., any physical feature of the product; spare parts; delivery or installation; a regular service visit; a warranty agreement). See intangible.

target/sales target - in a sales context this is the issued (or ideally agreed) level of sales performance for a sales person or team or department over a given period. Bonus payments, sales commissions, pay reviews, job gradings, life and death, etc., can all be dependent on sales staff meeting sales targets, so all in all sales targets are quite sensitive things. Targets are established at the beginning of the trading year, and then reinforced with a system of regular forecasting and reviews (sometimes referred to as 'a good bollocking') throughout the year. See forecasting.

targeting - this has a different meaning to the usual noun sense of target (above). Targeting is a marketing term - very relevant and important for sales people and sales managers too - which refers to the customers at which the selling effort is aimed, hence targeting. In this respect the term relates to 'target markets', or 'target sectors'. This is the customer aspect within 'positioning' of a product or service or proposition. Targeting is represented by the question: Who will buy the product/service? Deciding targeting on a company scale is normally the responsibility of a marketing department or agency, but each sales person and sales team as huge potential to develop and refine their own local targeting - so as to aim their efforts at the sectors or customers which will produce the greatest results. For example - and many sales people, especially self-employed providers and traders - completely ignore the fact that sales generally come more easily from existing or previous customers than prospective new customers to whom the supplier is completely unknown. Similarly size of prospective customer is another largely overlooked aspect of targeting. Any business will naturally have more amenable sectors of potential customers than other parts of the market. Targeting is the process by which the selling organization maximises its chances of engaging with the most responsive and profitable customers.

telemarketing - any pre-sales activity conducted by telephone, usually by specially trained telemarketing personnel - for instance, research, appointment-making, product promotion.

telesales - selling by telephone contact alone, normally a sales function in its own right, ie., utilising specially trained telesales personnel; used typically where low order values prevent the use of expensive field-based sales people, and a recognisable product or service allows the process to succeed.

tender - a very structured formal proposal in response to the issue of an invitation to tender for the supply of a product or service to a large organization or government department. Tenders require certain qualifying criteria to be met first by the tendering organization, which in itself can constitute several weeks or months work by lots of different staff. Tenders must adhere to strict submission deadlines, contract terms, specifications and even the presentation of the tender itself, and usually only suppliers experienced in winning and fulfilling this type of highly controlled supply ever win the business. It is not unknown for very successful tendering companies to actually help the customer formulate the tender specification, which explains why it's so difficult to prise the business away from them.

territory - the geographical area of responsibility of a sales person or a team or a sales organization.

territory planning - the process of planning optimum and most cost-effective coverage (particularly for making appointments or personal calling) of a sales territory by the available sales resources, given prospect numbers, density, buying patterns, etc., even if one territory by one sales person; for one person this used to be called journey planning, and was often based on a four or six day cycle, so as to avoid always missing prospects who might never be available on one particular day of the week.

trial close - the technique by which a sales person tests the prospect's readiness to buy, traditionally employed in response to a buying signal, eg: prospect says: "Do you have them in stock?", to which the sales person would traditionally reply: "Would you want one if they are?" Use with extreme care, for fear of looking like a clumsy desperate fool. If you see a buying signal there's no need to jump on it - just answer it politely, and before ask why the question is important, which will be far more constructive.

unique/uniqueness - a feature that is peculiar to a product or service or supplier - no competitor can offer it.

UPB - unique perceived benefit - now one of the central strongest mechanisms in the modern selling process, an extension and refinement of the product offer, based on detailed understanding of the prospect's personal and organizational needs. A UPB is your USP from the customer's perspective, in other words, what your USP means to your customer, which is a very different way of approaching selling than from the traditional angle of seller-oriented USPs. It's essential to discuss your offering in these terms with your customer. The UPB acronym and concept was developed by The Marketing Guild, who specialise in practical, innovative, and effective sales and marketing.

USP - unique selling point or proposition - this is what makes the product offer competitively strong and without direct comparison; generally the most valuable unique advantage of a product or service, for the market or prospect in question; now superseded by UPB.

variable - an aspect of the sale or deal that can be changed in order to better meet the needs of the seller and/or the buyer. Typical variables are price, quantity, lead-time, payment terms, technical factors, styling factors, spare parts, back-up and breakdown service, routine maintenance, installation, delivery, warranty. Variables may be real or perceived, and often the perceived ones are the most significant in any negotiation. See the section on negotiation.

the changing face of selling - sales methods continually change

This simple chart illustrates the fundamental shift in selling theory which occurred particularly during the 1980s, reflecting the development of an increasingly competive market-place and a better-informed buying and purchasing audience.

The advent of the internet and globalization during the 1990s meant that old styles of selling, based on one-way persuasion and control theories were finally obsolete for all mainstream business activities.

The development of selling ideas and methods is progressive. Selling inevitably reflects the changing world of business and communications.

Please note that where reference is made to the customer 'organization' this reflects a business-to-business scenario, however, the principles in all other respects apply for business-to-consumer, or for person-to-person sales scenarios.

Nowadays, more is demanded from the selling process by consumers, professional buyers and organizations choosing their suppliers. The analysis below refers both to the development in recent decades of what customers require from the selling function, and also to the progression of a relationship between supplier and customer.

This is different historical perspective of the way that selling methods and theory have changed. The grid tracks the sales function from its beginnings to what sales means and entails in the modern age.

early selling and sales training ideas

Much of the early development of selling skills and conventional sales training theories is attributed to American writer, speaker and businessman Dale Carnegie (1888-1955). Carnegie, from humble beginnings and several early career failures, started his training business in the early 1900s, initially focusing on personal development. Later, Carnegie's 1937 self-help book 'How to Win Friends and Influence People' became an international best-seller, and probably the major source of the ideas and theory which underpinned traditional selling through the 20th century. Carnegie's book remains a highly regarded and widely read work on human motivation, relationships and 'influencing' others.

Carnegie's ideas contain a huge amount of useful learning relating to understanding other people and their motives. As such the theories are well worth reading. In this respect, Carnegie's concepts, and other similar methods based on them, are helpful in understanding that people are all different and therefore all have different perspectives (and different to those of the seller, or influencer). This is a vital concept within selling - to appreciate that people have their own views, feelings, values, and aims. The more we can understand the other person's situation, aims and feelings, the more likely we will be able to develop rapport and trust with them, and then hopefully to arrive at suitable solutions and agreements with them. As far as this goes all is well.

However, as with all early and 'traditional' sales persuasion techniques and methodologies, the purpose of 'influence' is in the hands of the 'influencer' (or seller), and this purpose (product or service) may or may not be in the best interests of the customer. In other words, early thinking (and much current thinking still unfortunately) primarily focuses on influencing the other person (customer) to adopt an opinion or to take action in the direction which favours the influencer, irrespective of whether this is in the genuine best interest of the other person. Indeed, some modern criticism suggests that Carnegie's and other similar traditional selling methodologies and sales training systems lack honesty and integrity, which in my view many do.

Traditional methods - most of which continue to draw on the ideas and concepts contained in Dale Carnegie's 1937 book, tend to encourage sales people, or others seeking to persuade and influence, to use knowledge about the other person's (or customer's) perspective as a means of gaining their trust and flexibility, so that the customer can be led in a certain direction. Used unethically this amounts to manipulation and is therefore wrong and not sustainable.

Carnegie and others who have interpreted and developed his early ideas, commonly provide a good framework for understanding other people's needs and motives, but arguably the matters of ethics, honesty, integrity, sustainability, are omitted.

The purpose of using the techniques, and what to do with the understanding was, and remains, open to use or mis-use by the seller.

The question is - as sales-people - is our purpose (and responsibility) to exploit people - or to help people?

Therein lies the major difference between early (and still-practised) traditional selling, and modern collaborative, facilitative ideas, which in my opinion are the most effective, sustainable and ethically sound concepts for today's business world.

Look at the old ideas like Carnegie's, learn the Seven Steps of the Sale, understand consultative and needs-creation selling - they all contain useful learning and processes - but most importantly, ensure you work within a strong and ethical value-system. These days selling should more than ever focus on helping people, which of course has additional implications for your choice of organization, and the products and services that you choose to represent.

AIDA

AIDA is the original sales training acronym, from the late 1950s, when selling was first treated as a professional discipline, and sales training began. AIDA is even more relevant today. If you remember just one sales or selling model, remember AIDA. Often called the 'Hierarchy of Effects', AIDA describes the basic process by which people become motivated to act on external stimulus, including the way that successful selling happens and sales are made.

A - Attention

I - Interest

D - Desire

A - Action

The AIDA process also applies to any advertising or communication that aims to generate a response, and it provides a reliable template for the design of all sorts of marketing material.

Simply, when we buy something we buy according to the AIDA process. So when we sell something we must sell go through the AIDA stages. Something first gets our attention; if it's relevant to us we are interested to learn or hear more about it. If the product or service then appears to closely match our needs and/or aspirations, and resources, particularly if it is special, unique, or rare, we begin to desire it. If we are prompted or stimulated to overcome our natural caution we may then become motivated or susceptible to taking action to buy.

Some AIDA pointers:

Attention

• Getting the other person's attention sets the tone: first impressions count , so smile - even on the phone because people can hear it in your voice - be happy (but not annoyingly so) be natural, honest and professional.
• If you're not in the mood to smile do some paperwork instead. If you rarely smile then get out of selling.
• Getting attention is more difficult than it used to be, because people are less accessible, have less free time, and lots of competing distractions, so think about when it's best to call.
• Gimmicks, tricks and crafty techniques don't work, because your prospective customers - like the rest of us - are irritated by hundreds of them every day.
• If you are calling on the phone or meeting face-to-face you have about five seconds to attract attention, by which time the other person has formed their first impression of you.
• Despite the time pressure, relax and enjoy it - expect mostly to be told 'no thanks' - but remember that every 'no' takes you closer to the next 'okay'.

Interest

• You now have maybe 5-15 seconds in which to create some interest.
• Something begins to look interesting if it is relevant and potentially advantageous. This implies a lot:
• The person you are approaching should have a potential need for your product or service or proposition (which implies that you or somebody else has established a target customer profile).
• You must approach the other person at a suitable time (ie it's convenient, and that aspects of seasonality and other factors affecting timing have been taken into account)
• You must empathise with and understand the other person's situation and issues, and be able to express yourself in their terms (ie talk their language).

Desire

• The sales person needs to be able to identify and agree the prospect's situation, needs, priorities and constraints on personal and organizational levels, through empathic questioning and interpretation.
• You must build rapport and trust, and a preparedness in the prospect's mind to do business with you personally (thus dispelling the prospect's feelings of doubt or risk about your own integrity and ability).
• You must understand your competitors' capabilities and your prospect's other options.
• You must obviously understand your product (specification, options, features, advantages, and benefits), and particularly all relevance and implications for your prospect.
• You must be able to present, explain and convey solutions with credibility and enthusiasm.
• The key is being able to demonstrate how you, your own organization and your product will suitably, reliably and sustainably 'match' the prospect's needs identified and agreed, within all constraints.
• Creating desire is part skill and technique, and part behaviour and style. In modern selling and business, trust and relationship (the 'you' factor) are increasingly significant, as natural competitive development inexorably squeezes and reduces the opportunities for clear product advantage and uniqueness.

Action

• Simply the conversion of potential into actuality, to achieve or move closer to whatever is the aim.
• Natural inertia and caution often dictate that clear opportunities are not acted upon, particularly by purchasers of all sorts, so the sales person must suggest, or encourage agreement to move to complete the sale or move to the next stage.
• The better the preceding three stages have been conducted, then the less emphasis is required for the action stage; in fact on a few rare occasions in the history of the universe, a sale is so well conducted that the prospect decides to take action without any encouragement at all.

AIDCA

More recently (c.1980'-1990s) the AIDA acronym has been used in extended form as AIDCA, meaning the same as AIDA with the insertion of Commitment prior to the action stage. Arguably Commitment is implicit within the Action stage, but if it suits your sales training purposes then AIDCA is an acceptable interpretation. Commitment here means that a prospective customer is more likely to progress to the Action stage if their commitment to the proposition can first be established. As ever, adding detail make the thing less elegant and flexible, which in this case makes AIDCA non-applicable to selling methods that do not involve a two-way communication, for example, the structure of a sales letter or advert, for which AIDA remains more helpful. For two-way sales communications, discussions, presentations, etc., then AIDCA is fine.

• Attention
• Interest
• Desire
• Commitment
• Action

the seven steps of the sale

The Seven Steps of the Sale is the most common traditional structure used for explaining and training the selling process for the sales call or meeting, including what immediately precedes and follows it. This structure is usually represented as the Seven Steps of the Sale, but it can can be five, six, eight or more, depending whose training manual you're reading.

This structure assumes that the appointment has been made, or in the instance of a cold-call, that the prospect has agreed to discuss things there and then. The process for appointment-making is a different one, which is shown later in this section. Aside from the questioning stage, this structure also applies to a sales visit which been arranged for the purpose of presenting products/services or a specific proposal following an invitation, earlier discussions or meetings. For these pre-arranged presentations it is assumed that the sales person has already been through the questioning stage at prior meetings.

The Seven Steps of the Sale remains a helpful structure for sales and sales training, but do bear in mind that the concept is over forty years old, and these days the modern collaboration and facilitation methods are a lot more effective, typically when treated as a front-end to the Seven Steps or incorporated withing the first stage as an approach. The collaborative selling section includes an augmented 'seven steps of the sale' which includes integrated modern 'facilitative' sales skills, of which Sharon Drew Morgen's 'Buying Facilitation'® is a uniquely special and effective model.

the seven steps of the sale

The original commonly used Seven Steps terminology is in bold. In recent years more sophisticated interpretation and application of the Seven-Step selling process requires the model to be expanded and interpreted with more subtlety and flexibility, as shown here:

1. preparation/planning/research/approach (using facilitative methods)
2. introduction/opening/approach/establish initial credibility
3. questioning/identify needs/ask how and what, etc/establish rapport and trust
4. presentation/explanation/demonstration
5. overcoming objections/negotiating/fine-tuning
6. close/closing/agreement/commitment/confirmation
7. follow-up/after-sales/fulfil/deliver/admin

the seven steps of the sale in summary

1. planning and preparation (the seven steps of the sale - 1)

Generally, the larger the prospect organization, the more research you should do before any sales call at which you will be expected, or are likely, to present you company's products or services.

• ensure know your own product/service extremely well - especially features, advantages and benefits that will be relevant to the prospect you will be meeting
• ascertain as far as you can the main or unique perceived organizational benefit that your product or service would give to your prospect
• discover what current supply arrangements exist or are likely to exist for the product/service in question, and assess what the present supplier's reaction is likely to be if their business is at threat
• understand what other competitors are able and likely to offer, and which ones are being considered if any
• identify as many of the prospect organization's decision-makers and influencers as you can, and assess as much as far as you can what their needs, motives and relationships are
• try to get a feel for what the organizational politics are
• what are the prospect's organizational decision-making process and financial parameters (eg., budgets, year-end date)
• what are your prospect's strategic issues, aims, priorities and problems, or if you can't discover these pre-meeting, what are they generally for the market sector in which the prospect operates?
• prepare your opening statements and practice your sales presentation
• prepare your presentation in the format in which you are to give it (e.g., MS Powerpoint slides for laptop or projected presentation) plus all materials, samples, hand-outs, brochures, etc., and always have spares - allow for more than the planned numbers as extra people often appear at the last minute - see the presentation section for more detailed guidance on designing formal sales presentations
• prepare a checklist of questions or headings that will ensure you gather all the information you need from the meeting
• think carefully about what you want to get from the meeting and organise your planning to achieve it
• understand and make the most of cold calling: despite the tendency for some organizations to position cold calling as a lowly de-skilled canvassing or enquiry-generation activity, cold calling increasingly enables sales people to become more strategic and significant in the sales function

2. introduction/opening (the seven steps of the sale - 2)

• smile - be professional, and take confidence from the fact that you are well-prepared
• introduce yourself - first and last name, what your job is and the company you represent, and what the your company does (ensure this is orientated to appeal to the prospect's strategic issues)
• set the scene - explain the purpose of your visit, again orientate around your prospect not yourself, eg "I'd like to learn about your situation and priorities in this area, and then if appropriate, to explain how we (your own company) approach these issues. Then if there looks as though there might be some common ground, to agree how we could move to the next stage."
• ask how much time your prospect has and agree a time to finish
• ask if it's okay to take notes (it's polite to ask - also, all business information is potentially sensitive, and asking shows you realise this)
• ask if it's okay to start by asking a few questions or whether your prospect would prefer a quick overview of your own company first (this will depend on how strongly know and credible your own company is - if only a little you should plan to give a quick credibility-building overview in your introduction)

3. questioning (the seven steps of the sale - 3)

• the main purpose of questioning is to confirm or discover the strongest or unique perceived organizational benefit that would accrue to the prospect from the product/service - it may be one (usually) or two (occasionally) or three (rarely) key things, which may be obvious to seller and buyer, or not obvious to either, in which case questioning expertise is critical
• questioning must also discover how best to develop the sale with the organization - how they decide, when, people and procedures involved, competitor pressures, etc.
• good empathic questioning also builds relationships, trust and rapport - nobody wants to buy anything from a sales person who's only interested in their own product or company - we all want to buy from somebody who gives the time and skill to interpreting and properly meeting our own personal needs
• you will have prepared a list of questions or headings - now use it
• use open questions to gather information - for example, questions beginning with Who, What, Why, Where, When, How
• when training or learning the skills of using open questions it helps to refer to the Rudyard Kipling rhyme: "I keep six honest serving men, They taught me all I knew; Their names are What and Why and When, And How and Where and Who.." - from Just So Stories, 1902, The Elephant's Child. (other useful training quotes)
• use "can you tell me about how..." if you are questioning a senior-level contact - generally the more senior the contact, the bigger the open questions you can ask, and the more the other person will be comfortable and able to give you the information you need in a big explanation
• 'what...? and 'how...?' are the best words to use in open questions because they provoke thinking and responses about facts and feelings in a non-threatening way
• use 'why?' to find out reasons and motives beneath the initial answers given, but be very careful and sparing in using 'why' because the word 'why?' is threatening to most people - it causes the other person to feel they have to defend or justify themselves, and as such will not bring out the true situation and feelings, especially in early discussions with people when trust and rapport is at a low level
• listen carefully and empathically, maintain good eye-contact, understand, and show that you understand - especially understand what is meant and felt, not just what is said, particularly when you probe motives and personal aspects
• interpret and reflect back and confirm you have understood what is being explained, and if relevant the feelings behind it
• use closed questions to qualify and confirm your interpretation - a closed question is one that can be answered with a yes or no, eg., "Do you mean that when this type of equipment goes down then all production ceases?", or "Are you saying that if a new contract is not put in place by end-March then the existing one automatically renews for another year?"
• when you've asked a question, SHUT UP - do not interrupt
• your prospect should be doing 80-99% of the talking during this stage of the sales call; if you are talking for a third or half of the time you are not asking the right sort of questions
• do not jump onto an opportunity and start explaining how you can solve the problem until you have asked all your questions and gathered all the information you need (in any event never be seen to 'jump' onto any issue)
• all the time try to find out the strategic issues affected or implicated by the product/service in question - these are where the ultimate decision-making and buying motives lie.
• if during the questioning you think of a new important question to ask note it down or you'll forget it
• when you have all the information you need, acknowledge the fact and say thanks, then take a few moments to think about, discuss and summarise the key issues/requirements/priorities from your prospect's organizational (and personal if applicable) perspective
• questioning is traditionally treated by conventional sales people and conventional sales training as a process to gather information to assist the sales person's process, and this is how it is typically positioned in the old-style 'Seven Steps of the Sale'; however, modern sales methodology treats questioning in a radically different way - as an essential part of a facilitative process whose purpose is to help the buyer decide (see the information about buying facilitation for explanation)

4. presentation (the seven steps of the sale - 4)

• the sales presentation should focus on a central proposition, which should be the unique perceived benefit that the prospect gains from the product/service
• during the questioning phase the sales person will have refined the understanding (and ideally gained agreement) as to what this is - the presentation must now focus on 'matching' the benefits of the product with the needs of the prospect so that the prospect is entirely satisfied that the proposition
• the sales person therefore needs an excellent understanding of the many different organizational benefits that accrue to customers, and why, from the product/service - these perceived benefits will vary according to the type of customer organization (size, structure, market sector, strategy, general economic health, culture, etc)
• the sales presentation must demonstrate that the product/service meets the prospect's needs, priorities, constraints and motives, or the prospect will not even consider buying or moving to the next stage; this is why establishing the prospect's situation and priorities during the questioning phase is so vital
• the above point is especially important to consider when the sales person has to present on more than one occasion to different people or groups, who will each have different personal and organizational needs, and will therefore respond to different benefits (even though the central proposition and main perceived benefit remains constant)
• all sales presentations, whether impromptu (off the cuff) or the result of significant preparation, must be well structured, clear and concise, professionally delivered, and have lots of integrity - the quality and integrity of the presentation is always regarded as a direct indication as to the quality and integrity of the product/service
• it follows then that the sales person must avoid simply talking about technical features from the seller's point of view, without linking the features clearly to organizational context and benefit for the prospect - also avoid using any jargon which the prospect may not understand
• sales presentations must always meet the expectations of the listener in terms of the level of information and relevance to the prospect's own situation, which is another reason for proper preparation - a vague or poorly prepared sales presentation sticks out like a sore thumb, and it will be disowned immediately
• when presenting to influencers, which is necessary on occasions, it is important to recognise that the sales person is effectively asking the influencers to personally endorse the proposition and the credibility of the selling organization and the sales person, so the influencers' needs in these areas are actually part of the organizational needs of the prospect company
• the presentation must include relevant evidence of success, references from similar sectors and applications, facts and figures - all backing up the central proposition
• business decision-makers buy when they become satisfied that the decision will either make them money, or save them money or time; they also need to be certain that the new product/service will be sustainable and reliable; therefore the presentation must be convincing in these areas
• private consumer buyers ultimately buy for similar reasons, but for more personal ones as well, eg., image, security, ego, etc., which may need to feature in these type of presentations if they form part of the main perceived benefit
• while the presentation must always focus on the main perceived benefit, it is important to show that all the other incidental requirements and constraints are met - but do not over-emphasise or attempt to 'pile high' loads of incidental benefits as this simply detracts from the central proposition
• presentations should use the language and style of the audience - eg., technical people need technical evidence; sales and marketing people like to see flair and competitive advantage accruing for their own sales organization; managing directors and finance directors want clear, concise benefits to costs, profits and operating efficiency; and generally the more senior the contact, the less time you will have to make your point - no-nonsense, no frills, but plenty of relevant hard facts and evidence. See the presentation section for more guidance on this.
• if the sales person is required to present to a large group and in great depth, then it's extremely advisable to enlist the help of one or two suitably experienced colleagues, from the appropriate functions, eg., technical, customer service, distribution, etc., in which case the sales person must ensure that these people are properly briefed and prepared, and the prospect notified of their attendance.
• keep control of the presentation, but do so in a relaxed way; if you don't know the answer to a question don't waffle - say you don't know and promise to get back with an answer later, and make sure you do.
• never knock the competition - it undermines your credibility and integrity - don't even imply anything derogatory about the competition
• if appropriate issue notes, or a copy of your presentation
• use props and samples and demonstrations if relevant and helpful, and make sure it all works properly
• during the presentation seek feedback, confirmation and agreement as to the relevance of what you are saying, but don't be put off if people stay quiet
• invite questions at the end, and if your are comfortable, at the outset invite questions at any time - it depends on how confident you feel in controlling things
• whether presenting one-to-one or to a stern group, relax and be friendly - let your personality and natural enthusiasm shine through - people buy from people who love and have faith in their products and companies

5. overcoming objections/negotiating (the seven steps of the sale - 5)

• decades ago it was assumed that at this stage lots of objections could appear, and this would tend to happen, because the selling process was more prescriptive, one-way, and less empathic; however, successful modern selling now demands more initial understanding from the sales person, even to get as far as presenting, so the need to overcome objections is not such a prevalent feature of the selling process
• nevertheless objections do arise, and they can often be handled constructively, which is the key
• if objections arise, firstly the sales person should qualify each one by reflecting back to the person who raised it, to establish the precise nature of the objection - "why do you say that?" is usually a good start
• it may be necessary to probe deeper to get to the real issue, by asking why to a series of answers - some objections result from misunderstandings, and some are used to veil other misgivings which the sales person needs to expose
• lots of objections are simply a request for more information, so definitely avoid responding by trying to re-sell the benefit - simply ask and probe instead; the best standard response is something like "I understand why that could be an issue, can I ask you to tell me more about why it is and what's important for you here?.."
• try to avoid altogether the use of the word 'but' - it's inherently confrontational
• an old-style technique was to reflect back the objection as a re-phrased question, but in a form that the sales person is confident of being able to answer positively, for example: the prospect says he thinks it's too expensive; the sales person reflects back: "I think what you're really saying is that you have no problem with giving us the contract, but you'd prefer the payments staged over three years rather than two? - well I think we could probably do something about that..."
• another old-style technique used to be to isolate the objection (confirm that other than that sticking point everything else was fine), then to overcome the objection by drawing up a list of pro's and con's, or analysing to death all the hidden costs of not going for the deal, or re-selling the benefits even harder, and then to close powerfully, but these days such a contrived approach to objection handling is likely to insult the prospect and blow the sales person's credibility
• it is important to flush out all of the objections, and in so doing, the sales person is effectively isolating them as the only reasons why the prospect should not proceed, but then the more modern approach is to work with the prospect in first understanding what lies beneath each objection, and then working with the prospect to shape the proposition so that it fits more acceptably with what is required. See the section on negotiating.
• avoid head-to-head arguments - even if you win them you'll destroy the relationship you'll go no further - instead the sales person must enable a constructive discussion so that he and the prospect are both working at the problem together; provided the basic proposition is sound most objections are usually overcome by both the seller and the buyer adjusting their positions slightly; for large prospects and contracts this process can go on for weeks, which is why this is often more in the negotiating arena than objection handling
• you've handled all the objections when you've covered everything that you've noted down - it's therefore important to keep notes and show that you're doing it
• by this stage you may have seen some signs that the prospect is clearly visualising or imagining the sale proceeding, or even talking in terms of your working together as supplier and customer; this is sometimes called buying warmth. Certain questions and comments from prospects are described as buying signals because they indicate that the prospect may be visualising buying or having the product/service. In the old days, sales people were taught to respond to early buying signals with a 'trial close', but this widely perceived as clumsy and insulting nowadays. Instead respond to early buying signals (ie those received before you've completed the presentation to the prospect's satisfaction, and answered all possible queries) by asking why the question is important, and then by answering as helpfully as possible

6. close/closing/agreement (the seven steps of the sale - 6)

• in modern selling, even using the traditional Seven Steps process, every sales person's aim should be to prepare and conduct the selling process so well that there are few if any objections, and no need for a close
• the best close these days is something like "Are you happy that we've covered everything and would you like to go ahead?", or simply "Would you like to go ahead?"
• in many cases, if the sales person conducts the sale properly, the prospect will close the deal himself, and this should be the another aim for the sales person - it's civilised, respectful, and actually implies and requires a high level of sales professionalism
• the manner in which a sale is concluded depends on the style of the decision-maker - watch out for the signs: no-nonsense high-achievers are likely to decide very quickly and may be a little irritated if you leave matters hanging after they've indicated they're happy; cautious technical people will want every detail covered and may need time to think, so don't push them, but do stay in touch and make sure they have all the information they need; very friendly types may actually say yes before they're ready, in which case you need to ensure that everything is suitably covered so nothing can rebound later
• for the record here are some closes from the bad old days - the traditional golden rule was always to shut up after asking a closing question, even if the silence became embarrassingly long - (a who-talks-first-loses kind of thing) - use them at your peril:
• the pen close: "Do you want to use your pen or mine?" (while producing the contract and pen)
• the alternative close: for example - "Would you like it delivered next Tuesday or next Friday?", or "We can do the T50 model in silver, and we have a T52 in white - which one would you prefer?"
• the challenge close: "I know most men wouldn't be able to buy something of this value without consulting their wives - do you need to get your wife's permission on this?.." or "Most business people in your position need to refer this kind of decision to their boss, do you need to refer it?"
• the ego close: "We generally find that only the people who appreciate and are prepared to pay for the best quality go for this service - I don't know how you feel about it?..."
• the negative close: "I'm sorry but due to the holidays we can't deliver in the three weeks after the 15th, so we can only do it next week, is that okay?"
• the guilt close: "Over three years it might seem a lot of money, but we find that most responsible people decide they simply have no choice but to go for it when it's less than a pound/dollar a day to protect your.../safeguard your..../improve your... (whatever)."
• the sympathy close: "I know you have some reservations that we can't overcome right now, but I've got to admit that I'm pretty desperate for this sale - my manager says he'll sack me if I don't get an order this week, and you're my last chance - I'd be ever so grateful if you'd go ahead - and I promise you we'd be able to sort out the extra features once I speak to our production people..." (How could anyone live with themselves using that one?....)
• the puppy dog close/puppy dog sale: "Let me leave it with you and you see how you get on with it..."
• the last ditch close: (sales person packs case and goes to leave, but stops at the door) "Just one last thing - would you tell me where I went wrong - you see I just know this is right for you, and I feel almost guilty that I've not sold it to you properly, as if I've let you down....."
• the pro's and con's list: "I can appreciate this is a tough decision - what normally works is to write down a list of all the pro's and con's - two separate columns - and then we can both see clearly if overall it's the right thing to do..."
• the elimination close: "I can see I've not explained this properly - can we take a moment to go through all the benefits and see which one is holding us back from proceeding?" (At which the sales person lists all the benefits - the positives, and runs through each one to confirm it's not that one which is causing the problem, crossing a line through each as he goes. When he crosses the last one out he can claim that there really seems to be no reason for not going ahead...)

7. follow-up/fulfilment/delivery/admin (the seven steps of the sale - 7)

• after-sales follow-up depends on the type of product and service, but generally for every sale the sales person must carry out a number of important processes:
• all relevant paperwork must be completed and copies provided to the customer - paperwork is will cover the processing of the order, the confirmation of the order and its details to the customer, possibly the completion of installation and delivery specification and instructions
• Sales reporting by the sales person is also necessary, generally on a pro-forma or computer screen, typically detailing the order value, product type and quantity, and details about the customer such as industrial sector - each sales organization stipulates the sales person's reporting requirements, and often these are linked to sales commissions and bonuses, etc.
• The sales person should also make follow-up contact with the customer - as often as necessary - to confirm that the customer is happy with the way the order is being progressed; this helps reduce possible confusion and misunderstood expectations, which are a big cause of customer dissatisfaction or order cancellation if left to fester unresolved
• Customer follow-up and problem resolution must always be the responsibility for the sales person, who should consider themselves the 'guardian' of that customer, even if a well-organised customer service exists for general after-sales care
• Customers rightly hold sales people responsible for what happens after the sale is made, and good conscientious follow-up will usually be rewarded with referrals to other customers
• Follow-up is an important indicator of integrity; when a sales person makes a sale he is personally endorsing the product and the company, so ensuring that value and satisfaction are fulfilled is an integral part of the modern sales function

the product offer

FAB's, USP's and UPB's (Features Advantages Benefits, Unique Selling Propositions/Points, and Unique Perceived Benefits)

The product offer, or sales proposition, is how the product or service is described and promoted to the customer. The product offer is generally presented in varying levels of detail and depth, depending on the situation.

As an opening or initial proposition the words are used by the sales person to attract attention and interest in verbal and written introductions to prospects - so it has to be concise and quick - remember that attention needs to be grabbed in less than five seconds.

The product offer is also used by the selling company in its various advertising and promotional material aimed at the target market.

Traditionally the selling company's marketing department would formulate the product offer, but nowadays the sales person greatly improves his selling effectiveness if he able to refine and adapt the product offer (not the specification) for targeted sectors and individual major prospects.

Developing and tailoring a product offer, or proposition, is a vital part of the selling process, and the approach to this has changed over the years.

FAB's

The technique of linking features, advantages, and benefits (FAB's) was developed in the 1960s and it remains an important basic concept for successful selling and sales training. FAB's were traditionally identified and by the company and handed by the training department to the sales people, who rarely thought much about developing them.

Here is the principle of using Features, Advantages, Benefits:

Customers don't buy features, they don't even buy the advantages - what they buy is what the product's features and advantages will do for them, which in selling parlance is called the benefit.

For example: A TV might have the feature of internet connectivity and a remote control qwerty keyboard; the advantage is that the customer can now access and interchange internet and TV services using a single system; and the benefit is that the customer saves money, space, and a lot of time through not having to change from one piece of equipment to another.

It's the saving in money, space and hassle that the customer buys. A sales person who formulates a sales proposition or product offer around those benefits will sell far more Internet TV's than a sales person who simply sells 'TV's with internet connectivity and remote qwerty keypads'. In fact lots of customers won't even have a clue as to what a 'TV with internet connectivity and remote qwerty keypad' is, particularly wh