first step in personal selling by lisa thomsen

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Slide 1:

Chapter 18: First Step in the Personal Selling Process by Lisa Thomsen BA 260 Marketing Summer 2011

Step 1: Generating Leads (aka Successful Prospecting):

Step 1: Generating Leads (aka Successful Prospecting)

What Is Prospecting? :

What Is Prospecting? Prospecting is the process of identifying potential firms and people most likely to buy the seller’s offerings.

A good prospect has..:

A good prospect has.. A need for the product or service

Slide 5:

The ability to pay for the product or service

Slide 6:

The authority to buy it

Successful Prospecting:

“You must prospect consistently to be successful .” Successful Prospecting

Slide 8:

Successful Prospecting is “a process , not an event .”

Where are the Customers?:

Where are the Customers? Networking (aka Centers of Influence) The four areas of influence are business, social, political, and religious. Selling through relationships is a ten times more productive in generating sales than cold-calling.

Who is in Your Center of Influence?:

Who is in Your Center of Influence? Schools and colleges attended Hobbies and sports activities Participating in public service organizations and charities Your neighborhood Your church or other religious organization Organizations of which you are a member Friends and Acquaintances

Prospecting Methods:

Prospecting Methods The Endless Chain After each interview, ask your client for the names of other people who might be interested in your product or service Noncompeting Sales Personnel Example: A computer salesperson can agree to exchange intelligence with a copy machine representative.

Other Lead Generators:

Other Lead Generators Cold-calling No prior knowledge of prospect’s needs Least effective Time consuming Observation For Sale by Owner—r eal estate agent Bird dog fees

Other Lead Generators:

Other Lead Generators Direct Mail Use prospect’s name Handwritten and personally sign Include a “P.S.” Contact management software Advertising Generates many leads Takes a lot of time to qualify leads Can be expensive

Other Lead Generators:

Other Lead Generators Telemarketing Inbound and outbound Cost effective compared to face-to-face High-tech Prospecting Demo CD’s Email Addresses from sign-up form and “opt-in” Rented address list Web Sites

Prospecting Methods:

Prospecting Methods Trade Shows & Seminars Prospects want to be there Equipment or product can be demonstrated Less intimidating

Prospecting Methods:

Prospecting Methods Inactive Accounts Reasons for inactivity may not be bad Previous salesperson in the territory stopped calling New purchasing agent New product line created different requirements New production techniques required changes from suppliers

Wrap it up!:

Wrap it up! Be careful in choosing your prospects! Smart salespeople will search for those prospects with whom he or she can establish a long-term relationship Remember the cost of finding a new customer is much higher than keeping an existing one! Start prospecting!

Bibliography:

Bibliography Lamb, Hair & McDaniel. MKTG4 . Ohio, South-Western, 2011. Marks, Ron. Personal Selling: A Relationship Approach .7 th ed. , Ohio: Atomic Dog Publishing, 2006.