consultative selling e
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Robere & Associates (Thailand) Ltd. 1
Consultative SellingConsultative Selling
““How to Build Partnerships in How to Build Partnerships in
Business Relationships”Business Relationships”
by: Robere & Associates (Thailand) Ltd.by: Robere & Associates (Thailand) Ltd.
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Morning AgendaMorning Agenda
Opening ActivitiesOpening Activities Getting Acquainted Getting Acquainted To Consult or Not to Consult?To Consult or Not to Consult? Everybody WinsEverybody Wins
Researching Target ClientsResearching Target Clients Assumptions, AssumptionsAssumptions, Assumptions Three Things to Learn About Potential ClientsThree Things to Learn About Potential Clients Research StrategiesResearch Strategies
Preparing Specific Questions to Ask ClientsPreparing Specific Questions to Ask Clients Testing Your Market Research Testing Your Market Research The SPIN SequenceThe SPIN Sequence The Difference Between Implication and Need-Payoff QuestionsThe Difference Between Implication and Need-Payoff Questions Developing SPIN QuestionsDeveloping SPIN Questions Practicing SPIN QuestionsPracticing SPIN Questions
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Afternoon AgendaAfternoon Agenda
Suggesting SolutionsSuggesting Solutions An Investment, Not a Cost An Investment, Not a Cost The PAR MethodThe PAR Method Composing PAR PresentationsComposing PAR Presentations
Closing ActivitiesClosing Activities Index Card MatchIndex Card Match Your Next StepsYour Next Steps SummarizationSummarization
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Objectives..Objectives..
To be aware of the value of To be aware of the value of consulting customersconsulting customers
To identify three areas to research To identify three areas to research about potential clientsabout potential clients
To develop skills in asking To develop skills in asking questions to diagnose client questions to diagnose client needs,objectives, and expectationsneeds,objectives, and expectations
To create ways to present business To create ways to present business solutionssolutions
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I. Opening Activities..I. Opening Activities..
Getting Acquainted Getting Acquainted To Consult or Not to Consult?To Consult or Not to Consult? Everybody WinsEverybody Wins
– Form AForm A
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To Consult or Not to Consult?To Consult or Not to Consult?(Role play :10 Minutes)(Role play :10 Minutes)
Discuss one product or service that most members are Discuss one product or service that most members are unfamiliar with or have not as yet “purchased”.unfamiliar with or have not as yet “purchased”.
A one-minute “sales presentation”. A one-minute “sales presentation”. Talk about features and benefits of the chosen Talk about features and benefits of the chosen
product/service.product/service. No Question.No Question. How can this product or service solve any problems How can this product or service solve any problems
they face or might meet nay personal needs they have.they face or might meet nay personal needs they have. Discuss.Discuss.
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Everybody Wins Everybody Wins (Self-Assessment: Form A)(Self-Assessment: Form A)
Consultative selling is based on the Consultative selling is based on the idea that everybody wins in an idea that everybody wins in an enduring business relationship.enduring business relationship.
Some organizations have not made Some organizations have not made the shift as completely as others.the shift as completely as others.– Form AForm A
Complete the questionnaire and Complete the questionnaire and share responses with members of share responses with members of your team.your team.
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II. Researching Target ClientsII. Researching Target Clients
Assumptions, Assumptions, AssumptionsAssumptions
Three Things to Learn Three Things to Learn About Potential ClientsAbout Potential Clients
Research StrategiesResearch Strategies
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Researching Target Clients Researching Target Clients (Assumptions, Assumptions: Subgroup Discussion)(Assumptions, Assumptions: Subgroup Discussion)
Discuss the “unwarranted Discuss the “unwarranted assumptions” made in each sales assumptions” made in each sales presentation.presentation.
The first step in moving to a The first step in moving to a “consultative orientation” is to “consultative orientation” is to research potential clients’ needs, research potential clients’ needs, objectives, and expectations.objectives, and expectations.
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Three Things to Learn Three Things to Learn About Potential Clients About Potential Clients
NeedsNeedsObjectivesObjectivesExpectationsExpectations
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Needs….Needs….
Underlie every sales Underlie every sales opportunityopportunity
Your clients want Your clients want something that will something that will make them happier and make them happier and more effectivemore effective
Your job: to discover Your job: to discover these needs that form these needs that form their buying motivestheir buying motives
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ObjectivesObjectives
Clients stated wishesClients stated wishes You help define the You help define the
service or product service or product features features that your that your customers wantcustomers want
Should be specific and Should be specific and measurablemeasurable
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ExpectationsExpectations
Convey the results or Convey the results or benefits benefits your customers your customers are seeking from your are seeking from your service or productservice or product
Represents information Represents information to be obtained from to be obtained from your clients to make your clients to make sure that their sure that their objectives will be objectives will be satisfied after the salesatisfied after the sale
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World Dryer Corporation:World Dryer Corporation:
““To serve you better, we have installed To serve you better, we have installed pollution-free warm air hand dryers to protect pollution-free warm air hand dryers to protect you from the hazards of disease which may be you from the hazards of disease which may be transmitted by towel litter.transmitted by towel litter.
This quick sanitary method dries more This quick sanitary method dries more thoroughly, prevents chapping, and keeps thoroughly, prevents chapping, and keeps washrooms free of tower waste.”washrooms free of tower waste.”
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Research Strategies Research Strategies (Brainstorming)(Brainstorming)
Imagine that you have to provide Imagine that you have to provide storage space to SME’s (Small storage space to SME’s (Small Medium Enterprises).Medium Enterprises).
What are your strategies?What are your strategies? Use good brainstorming techniques Use good brainstorming techniques
to discover the needs, objectives and to discover the needs, objectives and expectations of your potential clientsexpectations of your potential clients
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Research Strategies Research Strategies (Continue)(Continue)
Select a business-related product or service you Select a business-related product or service you want to sellwant to sell
Brainstorm ways to research your target clients’ Brainstorm ways to research your target clients’ needs, objectives, and expectations.needs, objectives, and expectations.
What do you think are the needs , objectives, and What do you think are the needs , objectives, and expectations of your clients, as a group?expectations of your clients, as a group?
How do some of your clients differ in terms of How do some of your clients differ in terms of their needs, objectives, and expectations?their needs, objectives, and expectations?
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III. Preparing Specific III. Preparing Specific Questions to Ask ClientsQuestions to Ask Clients
Testing Your Market ResearchTesting Your Market Research The SPIN SequenceThe SPIN Sequence
– Forms B and CForms B and C
The Difference Between Implication and The Difference Between Implication and Need-Payoff QuestionsNeed-Payoff Questions
Developing SPIN QuestionsDeveloping SPIN Questions Practicing SPIN QuestionsPracticing SPIN Questions
– Form DForm D
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Preparing Specific Questions to Ask ClientsPreparing Specific Questions to Ask Clients (Testing Your Market Research)(Testing Your Market Research)
When a consultative salesperson is about to When a consultative salesperson is about to make contact with a prospective or repeat make contact with a prospective or repeat customer, he or she has only hypotheses customer, he or she has only hypotheses about the client’s needs, objectives, and about the client’s needs, objectives, and expectations.expectations.
SpinSpin– SituationSituation– ProblemProblem– ImplicationImplication– Need-payoffNeed-payoff
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The Spin Sequence The Spin Sequence (Exercise Form B, C : 20 minutes)(Exercise Form B, C : 20 minutes)
Review the following points:Review the following points:– Not to ask too many questions Not to ask too many questions
– Try to understand the clients’ underlying needs.Try to understand the clients’ underlying needs.
– In small sales : In small sales :
• Suggest solutions to the client at this timeSuggest solutions to the client at this time
– In large sales :In large sales :
• Implication questions help both the seller and the client Implication questions help both the seller and the client assess how serious the problems are.assess how serious the problems are.
– Need-payoff questions to determine the value or usefulness of Need-payoff questions to determine the value or usefulness of solving the problems.solving the problems.
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The Difference Between Implication The Difference Between Implication and Need-Payoff Questions and Need-Payoff Questions
Need-payoff questions are hard to distinguish Need-payoff questions are hard to distinguish from implication questions.from implication questions.
What difference you see in the two questionsWhat difference you see in the two questions– A. Seller : A. Seller : Has the slowness of your system lost you customer?Has the slowness of your system lost you customer?
Client : It sure has! Client : It sure has!
– B. Seller : The JYC System is 5 times faster than the one B. Seller : The JYC System is 5 times faster than the one you’re currently using. How many customers will you you’re currently using. How many customers will you retain if you adopted it?retain if you adopted it?
Client: Maybe a dozen.Client: Maybe a dozen.
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Developing SPIN Questions Developing SPIN Questions
Identify either products or services you want to sell.Identify either products or services you want to sell. Assume that you have just two visits with your new Assume that you have just two visits with your new
clients to build the foundations of your long-term clients to build the foundations of your long-term relationships.relationships.
Write down some questions you want to ask to clarify Write down some questions you want to ask to clarify your clients’ situations.your clients’ situations.
Divide into pairs. Divide into pairs. – One will be the seller who will ask questions to the client.One will be the seller who will ask questions to the client.
– The other will be the client who will make up answers.The other will be the client who will make up answers.
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Developing SPIN Questions Developing SPIN Questions (continue)(continue)
Develop an inventory of questions for each of the Develop an inventory of questions for each of the remaining levels .remaining levels .
Create 1-3 potential problems the client faces. Create 1-3 potential problems the client faces. Write down some problem questions that each Write down some problem questions that each
would ask to uncover each of the problems that would ask to uncover each of the problems that have been anticipated.have been anticipated.
Write down some possible implication and need-Write down some possible implication and need-payoff questions that might flow from his or her payoff questions that might flow from his or her line of questioning.line of questioning.
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Practicing SPIN Questions Practicing SPIN Questions (Skill Practice : Form D)(Skill Practice : Form D)
Interview one another by using the inventory of SPIN Interview one another by using the inventory of SPIN questions as a guide.questions as a guide.– An effective interview has a good flow to it.An effective interview has a good flow to it.– It is important to build on the client’s previous responses rather It is important to build on the client’s previous responses rather
than to adhere rigidly to a script of questions.than to adhere rigidly to a script of questions.
After interviewAfter interview– Fill out form D to give feedback to partnerFill out form D to give feedback to partner
Debrief each interviewDebrief each interview– How did it feel to use the SPIN sequence?How did it feel to use the SPIN sequence?– Which questions were the most difficult?Which questions were the most difficult?– How did it feel to be the client?How did it feel to be the client?
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IV. Suggesting SolutionsIV. Suggesting Solutions
An Investment, Not a Cost An Investment, Not a Cost The PAR MethodThe PAR Method Composing PAR PresentationsComposing PAR Presentations
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An Investment, Not a costAn Investment, Not a cost
““When a client does business with When a client does business with you, the business solutions you you, the business solutions you
offer should be viewed as an offer should be viewed as an investment investment not a not a cost.cost.
What does this sentence mean to you?What does this sentence mean to you?
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The PAR….The PAR….
Once the “needs, Once the “needs, objectives and objectives and expectations” are found, expectations” are found, you can now present you can now present solutionssolutions
The goal is to show your The goal is to show your client that he/she is client that he/she is making an “making an “investment”investment”
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Par Example..Par Example..
““ABC company also had a problem contain the ABC company also had a problem contain the costs of health care for their employees. So, costs of health care for their employees. So, we proposed to them a strategy for establish we proposed to them a strategy for establish an ‘umbrella benefits’ feature for their an ‘umbrella benefits’ feature for their employees. As a result, health care costs employees. As a result, health care costs were reduced by 10%. were reduced by 10%. I’d like to explain I’d like to explain this solution to their problem further to you this solution to their problem further to you and you tell me if it represents the solution and you tell me if it represents the solution you are seeking as well.”you are seeking as well.”
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Your Presentation Should have:Your Presentation Should have:
A A BeginningBeginning (Problem defined) (Problem defined)A A MiddleMiddle (an Action to be taken) (an Action to be taken)An An EndEnd (the Result) (the Result)
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Team Exercise: - Form ETeam Exercise: - Form E
Create a “PAR” story Create a “PAR” story lineline
Share with your team Share with your team mates.mates.
The “PAR” is a good The “PAR” is a good “habit” to follow..“habit” to follow..
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V. Closing Activities: V. Closing Activities: Your Next Steps:Your Next Steps:
When serving a client in the future, one When serving a client in the future, one thing I am going to thing I am going to stop stop is: is: __________________________________________
When serving a client in the future, one When serving a client in the future, one thing I am going to start is: thing I am going to start is: ________________________________________________________________
(Fill in your answer in the space below)
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Any Any QuestionsQuestions??
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[email protected]@robere.comwww.robere.comwww.robere.comJoin the: “QMRC”Join the: “QMRC”
QQuality uality MManagement anagement RResource esource CCenterenter
Still have Still have questions?questions?