Selling Skill Training

INDEX

PROPER CONDUCT OF A SALESPERSON............................................................................2 NON-VERBAL COMMUNICATION.........................................................................................2 FACIAL EXPRESSION................................................................................................................4 POSTURE.......................................................................................................................................5 GREETING CUSTOMERS..........................................................................................................6 SOLUTION SALES.....................................................................................................................11 UNDERSTANDING CUSTOMERS..........................................................................................11 THE SELLING PROCESS.........................................................................................................13 OPENING THE SALES................................................................................................................14 PROBING CUSTOMER NEEDS.................................................................................................15 SUPPORTING CUSTOMER NEEDS..........................................................................................17 RESOLVING CUSTOMER CONCERNS:...................................................................................22 RESOLVING CUSTOMERS CONCERNS:.................................................................................22 CLOSING THE SALE..................................................................................................................25 MANAGING ANGRY CUSTOMERS AND CUSTOMER COMPLAINTS.........................26 HANDLING ANGRY CUSTOMERS .......................................................................................................................................................27 SOLVING CUSTOMER COMPLAINTS.................................................................................27 VISUAL MERCHANDISING DISPLAY..................................................................................29 BASIC FACTORS OF AN ATTRACTIVE STORE:................................................................30 POP...............................................................................................................................................30 Session Objective At the end of this session, you will: •

Understand and appreciate the importance of non verbal communication

•

Know about the proper appearance of a salesperson

•

Be able to use proper clothing , facial expression, grooming, posture, gestures and eye contact for projecting an effective image

•

Be able to understand and use proper greetings for a customer

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Introduction As we have entered the new era of retail sales, the changing retail environment has generated forever demanding customers. The customers have graduated from the purchase based on price, capacity, colour to a lot more. Today he/she demands the best product his rupee can buy. He wants to get Value for Money. The customer is not interested in what you have to offer but how your offering can meet his requirements. Everything matters to him today – from the way you present yourself, to your approach in identifying his needs to the way you present the product and build a relationship with him. To keep ourselves updated and approach the customer appropriately we have designed this Selling Skills module to equip you with skills that are essential in today’s retail environment. We need to move from suggested sales to consultative selling or solutions selling. Let us take this journey together and change the way we interact with customers and move from mere transactions based selling to relationships based selling.

PROPER CONDUCT OF A SALESPERSON NON-VERBAL COMMUNICATION Everything you do carries non-verbal messages. For example, a well-typed letter on good quality paper with an attractive letterhead will carry a non-verbal message that this organisation is efficient and worthy of respect. On the other hand, a few words scribbled on cheap and tattered paper with dirty fingerprints on it will carry quite a different message. Another form of non-verbal communication is body language which covers: • Appearance • Facial expressions • Eye contact • Gestures • Posture . The importance of non-verbal communication has only been recognised in the recent past. It is generally understood that only: • • •

7 per cent of any message is conveyed by words 38 per cent of any message is conveyed by vocal non-verbal communication (eg tone, volume, speed) 55 per cent of messages are interpreted by face and body non-verbal communication.

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The actions of a person will either reinforce verbal messages or, if there appears to be a conflict, may give you an indication of the real frame of mind of the person you are dealing with. Body language, both your own and that of others, requires careful observation. Practise the skill of observing and analysing basic signals of behaviour to better understand what the body language of your customer is really saying. APPEARANCE FIRST IMPRESSIONS

Most of us have heard the expression, "A picture is worth a thousand words." Remember this when preparing to meet with a prospective customer. The picture you create will greatly influence your chances of making a sale. Most customers form a first impression during the first seven seconds of a meeting. Not much is said in this short time; early judgment is based strictly on appearance. The appearance of the salesperson will decide his customers disposition towards him: his approachability, asking questions, customer friendliness, impression of the dealer/company’s profile etc. CLOTHING

There are no absolute rules regarding dress. The goal is to look the part, to have your appearance be consistent with your occupation. Neat, clean work clothes would be suitable for assembly, production or warehouse positions. Sales and office positions require business clothes. Common sense and good taste are the best guides in selecting clothing. Avoid faddish styles and loud colors. You want the customer to focus on your skills, not your clothes. The clothes you wear affect all your attitude and confidence levels. When people take the time to dress for success, they tend to feel good about themselves. Image alone will not win you the sale , but it will go a long way in building respect. GROOMING

Personal grooming is just as important as what you wear. You may select the right clothes, but neglecting personal hygiene can ruin the image you wish to present. Review the following grooming checklist before meeting with an customer. ITEM

GROOMING

Hair

Clean, trimmed and neatly combed or arranged.

Facial Hair (men only)

Freshly shaved; mustache or beard neatly trimmed.

Fingernails

Neat, clean and trimmed.

Teeth

Brushed and fresh breath.

Breath

Beware of foods which may leave breath odour. Beware of tobacco, alcohol and coffee odour. Use a breath mint if needed.

Body

Freshly bathed/showered. Use deodorant.

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Make-up (women only)

Use sparingly and be natural looking.

Perfumes/Colognes/AfterShave

Use sparingly or none at all. Your scent should not linger after you leave.

GOALS OF APPROPRIATE DRESS AND GROOMING

The primary goal is to feel good about the way you look and project a positive image. When you feel good about yourself, you naturally convey confidence and a positive attitude. These nonverbal messages are as important in the selling situation as the verbal skills you use in selling. FACIAL EXPRESSION There are different variations on it, but the age-old maxim is true: "Your face speaks a thousand words" or "The look on your face speaks volumes." The expression on a person's face is a good indicator of emotions -happiness, surprise, sadness, fear, anger, disgust, interest and many more. Be aware of your facial expressions. If possible, look at a mirror each time you are on the phone – do this for one week. Watch your face when you are talking on the phone. Be aware of any artificial, unfriendly or dead expressions you may be making. Do you squint, frown, and make strange faces? Once you are aware of any negative expressions you may make, it will be easier to eliminate them. Practice smiling and looking pleasant. That’s how you want to look when meeting clients or prospects. Some facial expression "don’ts" include: • arching eyebrows – this makes you seem surprised or questioning • Frowning – your moodiness will be the only thing the other person remembers • Grimacing – your prospect will wonder whether you have hurt yourself. Salespeople can learn to practice their gestures, posture, eye contact and facial expressions. Doing so can only help improve your sales performance. The bottom line is that it doesn’t matter how exciting or innovative your sales pitch is, because your body language speaks louder than words Some examples of expressions which are a strict no-no in any area of business: while handling customers, clients etc are given below:

No Expression SAMSUNG MARKETING ACADEMY

Glancing Sideways

Angry

Rolling Eyes 4

Annoyed

Forced Smiling

Tired

Irritate d

Surprise d

Arrogant

Nervous

Gruff

POSTURE Salespeople are always giving presentations – whether they know it or not. Even if it’s a one-onone meeting with a customer, you are always presenting your ideas, products or services. Your posture is an important part of the presentation. Your objective is to be comfortable and controlled. You want your audience -- the customer(s) -- to see you relaxed and comfortable. This puts them at ease as well. Keep your posture open with arms relaxed and hanging down at your sides. If your hands are clasped firmly in front of you, your feet are crossed and your body is tight – you are not exactly exuding confidence. Other "don’ts" include: • Hands on hips – you look too dominating • Crossed arms – you are not conveying a look that says, "Let’s talk." • Hands crossed in front of you – this makes you look weak and timid. • Hands joined behind your back – this stance makes you seem like you have no energy • Leaning back in a chair, if seated – you look like you’re ready to pass judgement • Putting your hands in your pockets – this makes you seem nervous and can result in jingling any change or keys that might be there The effective salesperson keeps his or her hands open. Hold your chin raised, giving you the aura of being in control. GESTURES

Gestures are an important part of your visual picture. They are reinforcements of the words and ideas you are trying to convey. Gestures include hand, arm and head movements. Two gestures to avoid are: • Using a pointed finger – this makes you look accusatory, even if that wasn’t your intent

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•

Fist raising – this is hostile or threatening

When giving a presentation, make sure you vary your gestures. Don’t use the same motion over and over again. Audience members will focus on the repeated gesture and not your content. Use your palms and open them out to your audience when gesturing. Move your arm and hand as a single unit, gesturing up and down. When gesturing, always keep your hands and gestures above your waist. EYE CONTACT

One of the most important things that someone selling can do is to make eye contact with his or her customer. Even if it’s one-on-one, don’t be afraid to make eye contact. When you make eye contact, you are relating to your audience, which will help get your message across and possibly close the sale. If you make eye contact with someone who quickly looks away, try not to directly look into that person’s eyes again If you are giving a presentation to a group of people, the eye contact should

be done in an irregular and unpredictable "Z" formation – looking at one person for three to five seconds and then moving on to next face. The possible problem area with eye contact is if you over do it, you start to stare. In conjunction with making eye contact, you can nod your head occasionally. This also helps connect with your listener. GREETING CUSTOMERS Quick, what’s the typical greeting used most often by 60 percent of all stores? You’re right — it’s “Can I help you?” Of course you can help them! Customers come into a store because they have a need. They’re never “just looking.” “Can I help you” is one of the Five Worst Greetings. The other four are: 2. A stare. (Are the employees watching to see if you’re going to steal something?) 3. The daze. (Are counter people pretending they’re so busy they can’t see you?) 4. “Next!” (Are you simply being processed, not cared for?) 1. A canned phony-sounding speech. (Also just processing: your individuality and your project are meaningless.) The way you greet customers shows up on your bottom line. Do it right and keep them coming back. Here are some good options: 1. Show that you recognize them. In dealing with customers, the two most important words are not “please” or “thank you” — they are your customer’s first and last names. If you don’t remember the customer’s name, or it is a first time customer at least show you recognize the person and are happy to see him or her. “Well, hello! It’s nice to see you.” Customers return to secure, friendly environments. 2. Ask if they’ve been in before.

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One of the best greetings is, “Hi, have you been here before?” If the answer is yes, you can add, “Welcome back! We appreciate your coming to see us again.” You can ask how the customer’s last purchase turned out, how your equipment helped, etc. If the answer is no, you have an opening to show the customer around, identify needs, point out specials and talk about your company. 4. Use a conversation piece. An interesting new product or display, — anything — placed in the store or near the entrance can draw comment and get the customer talking, questioning and interested, and help build a relationship. More important than what you say is the fact that the visitor is acknowledged — not necessarily served — the moment he or she enters. One study revealed that 68 percent of customers who leave do so because they feel like no one cares that they’re there. Picture entering an establishment waiting to be served. Then use your watch to count off 30 seconds. You realize that even half a minute is too long to wait. So: greet your customers as soon as they enter your store.

Summary of Learning By the end of this I learnt

My Implementation objectives

2 Things that I would START doing

• •

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2 Things that I would STOP doing

• •

2 things that I would CONTINUE doing

•

•

Session Objective At the end of this session, you will: •

Understand and appreciate what, why, how and where the customer buys

•

Understand the various stages in the entire sales process comprising of opening, probing, supporting and resolving concerns

•

Be able to use probing techniques to understand the needs of the customer

•

Effectively support the customer by using the FAB process to match the product to the requirements of the customers

Be able to understand and effectively address the customer concerns Exercise 1 •

Identify one situation of when you had a good experience as a customer and one situation where you had a bad experience as a customer.

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List out reasons why you call it a good experience and why would you call it bad?

Exercise 1 Look at the situation you have described as a bad experience. Which of the needs did the person who gave you the bad service not meet?

Will you go back to the service provider again?

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Exercise 1 Look at the incident you have described as a good experience. What is that the service provider did that made you classify it as good service?

How did you feel after the good service?

Will you go back to the service provider again?

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SOLUTION SALES UNDERSTANDING CUSTOMERS The better team members understand their customers, the more effectively they will be able to match products and/or services to the customer's specific requirements, and the more likely they are to achieve a sale. This stage is about using questions in a systematic and persuasive way to find out what's important to the customer and gaining a full appreciation of their specific requirements. HOW TO UNDERSTAND YOUR CUSTOMERS Understanding one's customers is so important that large corporations spend lots of money annually on market research. Understanding of your customers can be built by a systematic effort. A comprehensive system for understanding is given below: What are they buying? A seller characterizes what customers are buying as goods and services e.g. toothpaste, cars . . . But understanding of buyers starts with the realization that they purchase benefits as well as products. Consumers don't select toothpaste. Instead. • some will pay for a decay preventive. • Some seek pleasant taste. • Others want bright teeth. • Or perhaps any toothpaste at a bargain price will do. You must find out, from their point of view, what customers are buying. Understanding your customers enables you to profit by providing what the customer wants. Products change, but basic benefits like personal hygiene, attractiveness, safety, entertainment, and privacy endure. Successful sellers produce benefits for which customers are willing to pay. Successful salespersons, in other words, understand the reason for their customers' buying decisions. Why are they buying? The reason that customers buy is logical from their point of view. Don't argue with taste. Everybody is unique. Each person has individual pressures and criteria. Moreover, perceptions differ. The smart businessperson realises and accepts the buying logic of customers and serves them accordingly. SAMSUNG MARKETING ACADEMY

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To learn why customers buy can be quite difficult. Some buyers hide their true motivations. A car buyer may want the roominess of a large vehicle and the fuel economy of a small car. The resolution of such mutually exclusive desires is usually vague. If customers feel indifferent toward a product or store, the selection is without any logic. Perhaps several rival offerings meet all the conditions that a purchaser deems important. Consequently, minor factors govern. This explains the rationale of the consumer who chose a Rs 10,00,000 car because its upholstery was most attractive. The point: Pay attention to details. They may be crucial to customers. Often the best clues are the customers' actions. Smart businesspeople respect what people say, but pay special attention to what people do. How do they buy? Knowledge of how customers buy pays off in several ways. (1) Sellers can design their offerings to meet the exact needs of their buyers. (2) Sellers can influence decision makers at crucial steps of the buying process. (3) Sellers can lay the groundwork for repeat business. Buying methods are best visualized as processes. Household purchases usually start when a consumer has a desire or a problem that an purchase might satisfy or solve. People are different. Every consumer pursues a buying process of its own. Smart sellers probe into the requirements of buyers. Perhaps a change in life style or a demonstration at a friend's house has caused this consumer to recognize the need for a Microwave Oven. But lack of knowledge and the fear of a wrong decision may counteract this desire. The process continues, however, if advertisements and expected benefits persuade the consumer to act. Despite budgetary constraints and uncertainty about future needs, the consumer proceeds to compare stores and brands. At this search and evaluation stage, advice from present satisfied customers is especially influential. Here existing customers who are satisfied and favorably recommend your merchandise or service are important. To the contrary, poor shopping facilities or uncaring shop personnel can sway the potential customer against making the purchase. Sooner or later, further search does not seem worthwhile. If the positives still outweigh the negatives, the consumer picks a store and brand. The transaction itself is completed quickly, assuming the wanted item is available. The satisfied customer makes recommendations to others and gives you his or her repeated, regular business. Businesspeople can create sales by predisposing potential buyers to their product or store. Manufacturers can offer exclusive benefits in their goods, such as friendly relations, efficient operations, and easy manuals. Attractive advertisements help persuade prospects to visit a retail outlet and ask about a particular brand. Creative salespeople overcome the customer's objections and doubts and close the sale. Post-transaction service keeps the customer satisfied. Referrals from satisfied customers usually follow. Exercise 2 Have any one of you purchased anything worth Rs 1000/- or more during the last 6 months? Please take a few minutes to recall how you went about making this purchase.

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Can you identify any stages in your buying experience?

Where do they buy from? From a multitude of studies emerge different criteria for deciding where to shop. Most research on the subject agrees that store location is a major consideration, Stores usually draw most of their loyalty from their surrounding neighbourhood. Savvy store managers make a special effort to understand the shopping-related motivations and preferences of local residents. Incidentally, complaints are an excellent guide for making store policies more agreeable to customers. Sales Personnel should be instructed to thank customers for their comments. Prompt consideration, followed by a personal letter from the store manager, usually helps create a desirable effect. Customers Are Dynamic The best source for you to learn about customers is your personal interaction with them. At work, and social activities, and chance encounters, people talk and reveal their attitudes and motivation. Listen to your customers. You can also keep update of purchasing patterns by observing competitors' practices and by asking other sales personnel who is buying what, where. THE SELLING PROCESS In the previous paragraphs, we identified what motivates a cutomer to buy goods/services. Understanding the buying process helps us to be more effective as a seller in which case we also need to understand the selling cycle.

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SUPPORT & RESOLVE

PROBE NEEDS

CLOSE UNDER STAND NEEDS OPEN

What happens during each of these stages? 1. Opening: You exchange information about what will be shared during the call 2. Probing: You gather information about a customer’s needs 3. Closing: You exchange information about next steps for working together 4. Supporting: You provide information about how to satisfy a customers needs Let us discuss all the steps one by one. Opening the sales call is the first stage in any sales process. OPENING THE SALES

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• • •

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, ask how much time your prospect has and agree a time to finish ask if it's okay to start by asking a few questions or whether your customer would prefer an overview of the products available in the category the customer is looking for.

PROBING CUSTOMER NEEDS For you and the customer to make an informed, mutually beneficial decision, the two of you must share an understanding of the customers needs. Probing is the means to gather information to achieve that understanding and develop sales opportunities. • Needs: A desire or want the customer wants fulfilled • Opportunity: To match a product to the customers requirements resulting into a sale When you use probing skills effectively, you listen to gain complete understanding of the need and the priority of the need for the customer. You are also able to respond effectively by showing the customer how your products and services can address the needs you have uncovered. TYPES OF PROBES: OPEN PROBES:

Invite the customer to respond freely. For e.g. “ What type of products are you interested in?” “ Any particular reason for making the choice?” CLOSED PROBES:

Limit a customer’s response to “yes” or “no” , a choice among alternatives or very specific information for e.g.: “ Is this your first Camcorder? In this case you can use this model…..” “ Do you need this TV for your living room or your bedroom? ” In talking to customers, it is important to use a blend of open and closed probes. If you use only open probes, the discussion may lack focus. If you use only closed probes, the customer may feel that he is being interrogated and become unwilling to share information. PROBING TO EXPLORE A NEED:

When a customer expresses a need, it's important to be sure you have a clear, complete understanding of the need before you address it with your products or services. When you feel you want more information to achieve this understanding, you probe. When you want a clear, complete picture of a need expressed by the customer, use open and closed probes to understand: •

What the customer wants

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• Why is it important Once you've asked an open probe to clarify the need, ask a closed probe to confirm your understanding of what the customer has said.

CLARIFYING THE “WHAT” OF A NEED

“ I am looking for another model because it has got more PMPO power” “ I am interested in a music system. I would also like to know more a about the variable attenuation control system that your systems offers” However the customer begins, ask questions until you have a clear picture of the need of the customer has expressed. For e.g.: “What type of models are you considering? What type of model do you have?” “What are you looking for in a music system? Power, multifunctional ability like MP3, Tape, VCD, DVD etc or ability to interface with your game console etc” CLARIFYING THE "WHY" OF A NEED

When a customer has a need, there's a reason - a 'why.' Indeed, there may be several layers of needs behind the one a customer expresses. To truly understand the need, you may have to understand more than one layer. Probing to understand why a customer has a need keeps you focused on the customer. It provides useful information about the customer's situation or about the more fundamental need behind the one that's been expressed. All of this information allows you to determine how you can best help the customer. To probe to clarify the "why" of a need, ask: l. "Why is that important?' 2."What problem will that solve?" 3."Why do you want that?" It's particularly important to clarify the "why' of a need when a customer. There may be times when the 'why' of a need seems obvious, or, when you call an established customer, you may assume you already know the "why.' By not asking questions in these cases, you may miss opportunities to do more business. Example 1: Customer.. "I need a new printer." Salesperson. "Why is that?" Customer. "The new computer I bought isn't compatible with my current system." Example 2: Customer. "I need a new computer.'

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Salesperson. "Why is that?' Customer. 'I can't get the technical support I need on my current system.' Salesperson. 'Why is your current support inadequate?" Customer. 'I am an architect, my business is expanding and 1 need help to design and build a more complex system to provide my customers enhanced solutions.' By probing to explore the 'why' in the above examples, the salesperson was able to stay focused on the customer, not on the product or service being sold. Exploring the 'why' can help you avoid making assumptions and get a clear, complete picture of the'customer's need. CONFIRMING THE "WHAT" AND THE "WHY" OF A NEED

Despite your best efforts to listen, there is always the possibility that you will miss or misunderstand something the customer says. One way to be sure that you and the customer share the same understanding of the need is to periodically confirm your understanding of what the customer has said. You confirm your understanding by summarizing what you have heard and using a closed probe to elicit a "yes' or 'no" response from the customer. To confirm the "what" of a need, a salesperson might ask:  'If 1 understand you correctly, you feel that the refrigerator capacity that you are currently using is not big enough for your needs. Is that it?"  'So what matters most to you is the storing space. Right?' To confirm the "why' of a need, a salesperson might ask: 

'You're considering purchasing because of the need for additional storage capacity since you're family has expanded? Is that correct?'



'You feel you don't have adequate storing space because you are married now and have two children. yes?'

Probing to clarify a need, and confirming your understanding of what the customer has said and why he or she has said it, can prevent you from making incorrect assumptions or from moving ahead with incomplete information. Probing to explore both the 'what' and the 'why' of a need shows respect for the customer and demonstrates your interest in what he or she feels is important. It also prepares you to link your products and services to the needs of the customer in a way that will help you close more sales and build mutually rewarding business relationships. SUPPORTING CUSTOMER NEEDS To help the customer make an informed buying decision, you must also provide information about ways in which you can address those needs. Supporting is the skills you use to provide information about your products and organisation – at a time in a way that’s most meaningful

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and compelling to the customer. Your goal in supporting is to help a customer understand the specific ways in which your product and organisation can satisfy a need that he or she has expressed. WHEN TO SUPPORT:

It’s appropriate to use the skill of supporting when: •

The customers has expressed a need and

•

You both clearly understand the need

•

You know how your product /organisation can address the need

If you support before these conditions are met: •

The customer may feel that you’re interested only in pushing your product and may doubt your commitment to understanding and satisfy his/her needs.

•

The information may not be as specific or helpful as it could be

The product you talk about may not be the best one that meets the customer needs To support any need that a customer has expressed you need to: •

Acknowledge the need

•

Describe relevant features, benefits and advantages (FAB)

ACKNOWLEDGING THE NEED:

One way to promote an open exchange between you and customer is to acknowledge the customers needs – that is to show that you understand and respect his /her needs. WAYS TO ACKNOWLEDGE NEEDS

There are many ways to acknowledge needs: For e.g. you can: 1. Agree that the need is worth addressing: • “That makes sense” • “I think you’re right to make that a priority” 2. Mention the importance of the need to others • •

“I talk to a lot of customers who share that concern.” “You’re not alone in that viewpoint”

3. Show that you recognise the consequence of not satisfying the need

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• •

“Right. If you don’t do something, its bound to continue.” “Sure, as it stands now, it will be hard to meet your objective.”

4. Demonstrate your awareness of the feelings that surround the need • • •

“That must be very frustrating” “Sounds like a very challenging job” “Its difficult when you have to involve so many people in the decision”

I It’s important that you acknowledge in as many ways as possible so that the only response from your side is not “ I understand”. ROLE PLAY A young couple in their mid thirties walks into your showroom and shows interest in your product range. How would you attend to them?

According to you , what did you do well and what do you think you could have done better?

WHAT ARE FEATURES, ADVANTAGES & BENEFITS (FAB)? The product offer, or sales proposition, is how the product or service is described and promoted to the customer. The product offer is what the sales person uses to attract attention and interest in verbal and written introductions to customers - so it has to be concise and quick - remember that attention needs to be grabbed in less than five seconds. Traditionally the selling company's marketing department would formulate the product offer, but nowadays the sales person greatly

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improves his selling effectiveness if he able to refine and adapt the product offers for individual prospects. 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 when it's packaged, branded and promoted as the latest 'WebTV XL520 with the new Net master GT500 Supa-consul'.... Moreover the few customers who recognise the product benefit by its features and advantages will also recognise all the competitors' products too, which will cause all the sales people selling features and advantages to converge on the most astute purchasing group, leaving the most lucrative uninformed prospects largely untouched. The aim is to formulate a product offer which elegantly comprises enough of what the product does and how, with the most important or unique benefits for a given target market or prospect type.

F A B

Feature

Basic function of the product (Screen size, design, image quality)

Advantag The reason why you need this e function Benefit

The benefits to the customer when he/she uses the product or service

FAB OF A COFFEE CUP (EXAMPLE)

Feature

Advantage

밫his coffee cup has a handle.�

밫his handle allows you to hold the cup without burning your fingers.� 20 밫his handle allows you to talk freely without burning your fingers.�

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Benefit

Exercise Take any one product from the Samsung range and do a FAB on it.

FEATURES

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ADVANTAGES

BENEFITS

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RESOLVING CUSTOMER CONCERNS: There are three types of concerns normally expressed by customers: 1. SKEPTICISM 2. MISUNDERSTANIDNG 3. DRAWBACK SKEPTICISM:

When you describe your product, the customer sometimes doubts whether it really has the features /advantages or will provide the benefits as mentioned. The customer might say: • “That’s hard to believe” • “I’ve heard that before” • “I can’t imagine saving that kind of money” This is called scepticism. MISUNDERSTANDING:

Some concerns arise when the customer has incomplete or incorrect information about your product. For e.g. a customer may not know that your company has the widest range of products in the flat category, and he might say “I’m sorry I am not considering your company as I would like to see a range of flat products before I make a decision.” DRAWBACK

When the customer is dissatisfied with the presence or absence of a feature, or benefit it is a drawback. RESOLVING CUSTOMERS CONCERNS: 1. PROBING THE CONCERN 2. ACKNOWLEDGE THE CONCENR 3. ADDRESS THE CONCERN PROBING:

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When a customer first expresses a concern, find out more about it. With scepticism, find out why the customer is sceptical. Is it because of a previous experience with another dealer / your company’s products? With misunderstanding, make sure you understand and confirm the need behind the misunderstanding. Find out what need the customer thinks you can’t satisfy. With a drawback, why the need you can’t satisfy can help you address the drawback more effectively. ACKNOWLEDGING:

Once you know which type of concern you are dealing with, acknowledge it. With scepticism you might say: “I know it sounds too good to be true” “I can understand this because of your previous experiences” With a misunderstanding, show the customer that you appreciate the need behind the concern: “Yes I understand why you need a system that is compatible with what you have.” With a drawback, let your customer know that you appreciate his/her dilemma: “I can understand why price is an important factor in your buying decision considering your budget.” ADDRESSING SKEPTICISM:

A customer who is sceptical needs reassurance that what is claimed by you about the product is actually true. For this: Offer proof for e.g. “If you like you can see some of our products in the following organisation where they are very happy with it.” “Would you like to speak to specific customers who have had received this service and who are extremely satisfied?” ADDRESSING MISUNDERSTANDING

For misunderstanding, first: 1. Confirm the need 2. Support the need Customer: “Well your display seems interesting, but I don’t think I am going to make a purchase.” Salesperson: “Why is that? (Probing)” Customer: “Well, I would like to see a range of products before I take a decision. But I see that you do not have an adequate range.” SAMSUNG MARKETING ACADEMY

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Salesperson: “So you would like to see the entire range of products in the flat category before making a decision? (Confirm)” Customer: “Exactly”

Sales person: “Well, we cannot stock the entire range due to space constraints but here is the product catalogue which demonstrates the entire range. I will be able to help you with the product specs and in case you buy we can procure the product for you and deliver it within two working days.” ADDRESSING A DRAWBACK:

For addressing a drawback, refocus on the already existing benefits that the product already gives a and put it into context against the already existing feature/benefit. EXERCISE I

Customer: “ Korean Products do not have the same quality as Japanese Products”

II

Customer: “This product is too expensive”

III

Customer “Your products do not have the Golden Eye feature as in LG products”

IV Customer “The audio levels differ between the ads and regular TV programmes. Are your TVs equipped to handle this viewer irritant?”

Identify the objections in each case and suggest how you would handle them?

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CLOSING THE SALE You can go ahead and close the call if: 1. The customer indicates that he/she is ready to go ahead. For e.g. “Looks good, we could use something like that” “That sounds good…” 2. If the customer responds positively but you would like to check for any questions or additional needs. For e.g. “any questions,” etc HOW TO CLOSE:

To close a call or sale you: 1. Review previously accepted benefits 2. Propose next steps 3. Check for acceptance REVIEWING PREVIOUSLY ACCEPTED BENEFITS:

The first step in closing is to briefly review benefits that have been accepted by the customer. Reviewing previously accepted benefits remind the customer of the good things he or she can look forward to if a purchase decision is made and lets you convey your confidence in the wisdom of moving ahead. You can do this by using phrases like: o “ Let me recap some of the benefits…” o “As we’ve discussed ….” PROPOSING NEXT STEPS:

Once you’ve reviewed previously accepted benefits, you propose next steps for you and your customer. For example: “If you order today, we can deliver it within today.” Specifying what you would like the customer to do to ensures that he/she is clear about the commitment you’re asking him/her to make. By the end of this I learnt

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My Implementation objectives

2 Things that I would START doing

• •

2 Things that I would STOP doing

• •

2 things that I would CONTINUE doing

•

Session Objective: At the end of this session, you will: •

Be able to understand and utilise the process for handling customer complaints and angry customers

MANAGING ANGRY CUSTOMERS AND CUSTOMER COMPLAINTS

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HANDLING ANGRY CUSTOMERS Too many salespeople, when faced with clients who range from dissatisfied to down right angry, choose the loser's path by postponing handling the situation. This results in one of two things happening. Either the angry client decides the problem isn't worth the aggravation and cools down (what every salesperson wishes would happen, but like many wishes, just thinking it won't make it so). Or the client gets so angry that the next time you hear from him or her is through the higher-ups in your company who have absorbed some of the client's anger and are happy to give it to you. Following are the seven steps which can be used for facing and dispelling another person's anger. 1. Acknowledge the other person's anger quickly. Nothing adds more fuel to a fire than having his or her anger ignored or belittled. The faster you verbally recognize their anger, the better. Tell them you realize just how angry they are. Let them know that you are taking the situation seriously. Make notes of every possible detail they give you. 3. Don't hurry them. Be patient. Let them get it all out. Never try to interrupt or shut them up. In many cases, the best move is to simply listen. They'll wind themselves down eventually. In some cases, they'll realize they blew the situation out of proportion and feel foolish for it. They are then likely to accept nearly any solution you offer. 4. Keep calm. Most angry people say things they don't really mean. Learn to let those things pass and take them up after you've solved the present challenge - only if you feel it's necessary to do so. 5. Ask questions. Your aim is to discover the specific things that you can do to correct the problem. Try to get specific information about the difficulties the problem has caused, rather than a general venting of hot air. 7. Agree on a solution. After you know exactly what the problem is, you're in a position to look for some kind of action that will relieve the challenge. Propose something specific. Start with whatever will bring them the best and quickest relief. Don't get into a controversy over pennies at this time. 8. Agree on a schedule. Once you've agreed on a solution, set up a schedule for its accomplishment. Agree to a realistic time frame that you know you can handle. The biggest mistake you can make is to agree to something that cannot be done. If you do, you'd better be ready to face another bout of this person's anger when you don't come through. 9. Meet your schedule. Give this schedule top priority. You've talked yourself into a second chance with this client, so make sure you don't blow it. SOLVING CUSTOMER COMPLAINTS I) Listen One of the best ways to help make unhappy customers feel better about your business is to listen. This shows that you care about your customers, and are looking out for them. Employees receiving complaints should always be friendly, polite, and helpful; and try their best to resolve the problem if they can. Even if a problem cannot be totally solved, the fact that SAMSUNG MARKETING ACADEMY

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your business did everything you could to help will make the customer feel much less negative about your business, hopefully enough to keep them with you (so you can ensure they are fully satisfied next time around!). Sometimes it can be difficult for an employee to feel like helping an angry customer, particularly if the problem is not their fault; however it is crucial that they remain polite and helpful at all times. Remember that body language is a large part of communication, so listening while looking away will just make the customer think you are ignoring them. II) Always Offer a Solution When a customer complains, you should always offer them a solution to the problem. If you cannot directly fix the problem, offer them something else to try and keep them satisfied. There are many different types of solution, but they could all turn a disappointed customer into a happy one: 1. Apologise – Sometimes one of the most effective forms of solution can be an apology, informally for minor problems, or written for major problems. An apology should be genuine, and may go alongside other forms of solution, particularly if the problem is significant, or the customer is an important one. An apology shows that you care about the customer, and that you are aiming to put right any problems they have encountered 2. Replacement – If you sell a product that has broken, offer a replacement. If an exact replacement is not available (or not wanted) you can try replacing with a similar make or model. A replacement solves any problem with the product, it may cost you the value of a new product, but losing the customer will probably cost much more in the long run. 3. Fixing – If there is a problem with a product, try fixing it! If a customer has a problem with your service, try taking steps to solve the problem and prevent it happening again. If the problem is an employee, speak with them, or if it continues, consider giving a verbal warning. If there is a common employee problem, you may be able to help solve it with training.

Role Play Observation Sheet S. No.

Parameters 1

1

Rating 2 3 4

5

Approaching the Customer Smile Eye contact Greeting Body Language Confidence

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2

Identifying the Customers Needs Probing – Open ended questions Probing – Close ended questions Identifying the Weak need Creating a Strong need for the product Summarizing the needs Getting an agreement for the identified needs

3

Presenting the Solution from the customer Matching the customers needs with the benefits Converting features into benefits the product the offers Suggesting the right benefits Handling Objections Closing the Sale Identifying the buying signals Asking for the order. Communication Skills Verbal Non Verbal Confidence Enthusiasm Willingness to help the customer

4 5

6

7 8 9

Session Objective: At the end of this session, you will: •

Be able to understand visual merchandising and its utility

VISUAL MERCHANDISING DISPLAY In today’s world, customers are faced with a lot of choices. The choices range from the core deliverables of the product like function, price, and capacity to the extras like brand, selling experience, quality, style, after sales service etc. Moreover the product itself competes with other products in the same category and which are trying to differentiate itself from others. Where such a situation exists, retailers compete for mind space of the customer and the ability to attract the first time walk through customer to enter the store and convert his interest into a sale assumes importance.

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Visual Merchandising (VMD) is a basic store sales expression strategy that connects merchandising and merchandising presentation. VMD presents a lifestyle that allows the customer to view, choose and purchase a product conveniently and objective is to strengthen sales by providing a fun and energetic shopping experience. Goals of Effective Store Management: The objective of any effective store management strategy is to organise the store for a convenient and fun shopping experience and use presentation and display methods to increase sales. “ In retailing , the presentation and display equals sales”. The store normally showcases the brand and a very attractive storefront along with exceptional display and service is successful in converting footfalls into sales. So an energetic store is able to attract more customers. BASIC FACTORS OF AN ATTRACTIVE STORE: 1. Attractive store fronts: How may of us have passed by an attractive store without a glance inside the store? An attractive storefront creates interest amongst the passers-by and generates more footfalls. Attractive storefronts are created by increasing exposure of the store through proper signboards, clean surroundings, show windows, POPs, well lit interiors etc. 2. Attract customers inside the store : Here the major products must be made visible from the window. Demonstrations of product can be done by way of an organised demo zone. 3. Central or the core product creates great interest in the shop floor, therefore each corner of the shop should have individual displays and POP presentations to attract customers. “THE MOST VISIBLE PRODUCT IS THE BEST—SELLING ONE” POP POP stands for Point of Purchase material. The Point-of-Purchase are displays, signs, structures and devices that are used to identify merchandise and/or advertise a product, service or outlet and serve as an aid to retail selling. We can further make the distinction that POP is usually indoor signage. In fact, when you look at POP displays, they are the most inexpensive and direct form of product advertising. While outdoor billboards, out-of-home advertising, TV and radio all vie for the consumers' collective attention out of store, POP displays get you right where you are most likely to actually buy the product: in-store. Once inside the store, the consumer is an easy target. One survey says 74 percent of all mass-merchandising purchase decisions take place in-store. As such, POP importance in the advertising becomes quite clear. ADVANTAGES •

Placement: Place-based advertising can be located almost anywhere — in stores, next to merchandise, on shopping bags, at the checkout counter, even suspended from the ceiling.

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• • •

Targeted: It is most effective when it is located so it reaches a clearly defined consumer target closest to the time of purchase. Effective: Place-based advertising directly affects incremental sales, brand switching, portfolio purchasing, and multi-unit sales. Influential: POP advertising gives retailers the opportunity to influence consumers in a competitive environment.

The use of POPs has to be supplemented with other forms of advertising like media , press, commercials, mailers, consumer promotions, road shows etc By the end of this I learnt

My Implementation objectives

2 Things that I would START doing

•

•

2 Things that I would STOP doing

•

•

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2 things that I would CONTINUE doing

•

•

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