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					NCEA BUSINESS STUDIES RESOURCES                                              UNITEC 2010


SALES SKILLS RESOURCES FOR NCEA BUSINESS STUDIES

PREAMBLE
Selling is the sharp end of any business activity, whether it be the entrepreneur selling
the idea to backers, the staff selling goods and services, or the CEO selling the company
mission to the staff.

Each of these situations share some aspects, and have their own particular features as
well. For example a sales representative operating in a business to business (B2B)
environment has a different skill set to a retail assistant in a business to consumer (B2C)
role, although their goal is the same.

The three sections below outline some ideas which illustrate the three scenarios.

ENTREPRENEUR –SELLING IDEA
 An entrepreneur is selling their credibility so the sales meeting rules apply/ be on time /
appearance/ speak clearly and confidently / introduce yourself / state name clearly/ firm
handshake / eye contact / first impressions are important.
Enthusiasm and drive must be clear / Key points about the idea must be clear and at
start of presentation / prototype if possible / product and market knowledge must be
good / what is competitive advantage? / finances should be conservative, realistic,
supported by trial accounts / market research data to include in presentation / growth
potential should be outlined / personal competencies stated / (Are you the person who
can do this?)/ What weaknesses have you identified? / What expertise needs to come
into business?

SALES PROCESS - B2B – FIVE STEPS

1.Pre-Approach
Research the clients / existing and new prospects / How to find new clients – database,
tradeshows, telemarketing, business directory ( phonebook etc) /
Qualifying prospects – do they have a need for product, ability to buy it , long term
relationship possible, fit with business culture.
Know your customer / name & pronunciation / attitude to sales people & your business /
who else in decision making process? / their present situation / state of industry /

2. The Approach
Preparation for meeting – Product range & knowledge / appearance/ role play –
rehearse / anticipate questions – how will you handle them? / Set (SMART) objective for
yourself from meeting – what is your goal from that meeting? / Have several methods to
present/ check all resources to be used /

2.1 Making Appointment
Contacting client – Names and contact details of people to speak to / intro email /
follow up phone call / script and role play preparation / ABC / getting the appointment /
get the right name.( Cold calling/ getting past the ‘no’/ keeping emotionally OK /
numbers game / strike rates.)

FUNDED BY UNITEC-FALKENSTEIN TRUST                                                          2010
NCEA BUSINESS STUDIES RESOURCES                                              UNITEC 2010


2.2 Getting Attention
The sales meeting / be on time / appearance/ speak clearly and confidently / introduce
yourself / state name clearly/ firm handshake / eye contact / first impressions are
important.
Thank you for appointment / I’d like to show you . . . /Get attention of client with most
relevant or compelling benefit of product / Ask questions – probing - Is this the sort of
thing you want? How would this work for you? What are your needs in this area?/ use
feedback to highlight aspects of product in presentation.

2.3 Presenting Product
Present product / show features, but talk about the benefits / state advantages of your
product in comparison to “other products” ( Don’t run down opposition) what is the
basis for your competitive advantage – price, service, quality (?) / ask for questions /
engage in discussion /involve the client in presentation ( make it a ‘we’ situation ) / Have
samples/ illustration/ customer statements/ keep it simple and short (K.I.S.S.)/ Focus on
one or two key features to create identity for product.

2.4 Handling Objections
Listen and repeat objection back to client (active listening for understanding)/ reframe
the objection as a question / answer the question – this may remove the objection /
use evidence to support answer if you have it (eg other customer experience) / Close
sale

2.5 Close the Sale
Read the meeting and work out which close technique to try /straight – options –
alternate-concession or bundling – quotation (to be delivered later)/ commitment from
client to try and recommend your product to their clients/ boss etc. Some next step must
be reached or the call is a waste of time - yours and theirs.
Are you speaking to the right person ?
Negotiating the deal /make some money, leave some money in the deal / how to order
and pay for product / sales or return (monthly) / trade credit (week or month) / COD /
MIF / / special deals .

2.6 Follow Up
Confirm success of sale / reaffirm relationship with new customer / provide after sales
service/ problem troubleshooting with sales process or product / arrange another call in
future.

3.RETAIL SALES B2C
3.1 Acknowledging new or returning customer / early friendly greeting / allow time to
look / conversational opening (NOT can I help you?)/ Discuss benefits / provide more
information/ invite questions & feedback / find out how far along customer decision
making process they are / shopping around ?/ window shopping- intending to purchase
in future- purchase now – day dreaming /tyrekickers. / look for add-on sales /explore
payment options (HP, lay buy, interest free credit), close deal /get payment / invite
membership of loyalty card etc . / farewell.


FUNDED BY UNITEC-FALKENSTEIN TRUST                                                          2010
NCEA BUSINESS STUDIES RESOURCES                                              UNITEC 2010


SELLING AND NCEA BUSINESS STUDIES
Selling is a theme through several parts of the course as suggested below.

AS90837 Internal features of a Business.
    The roles and skills of an entrepreneur and business managers are focussed on
      improving the selling effort and results of the business.
    The entrepreneur has to ‘sell’ their own credibility and the potential of the
      business proposal to backers to begin an enterprise. (Think of the Dragons Den
      where the question “Are you the right person to do it?” is often put to
      applicants.)
    Sales staff have to sell the business offering in the competitive marketplace by
      finding the ‘right’ client, and promoting the ‘right’ benefits to gain client
      commitment.
    Business ( both profit/non-profit) success is dependant on some form of selling,
      either of the message of the organisation and its services, or of products to earn
      revenue.
    Selling is one of the most applied aspects of communication skills, requiring both
      the ability to hear the other party’s message and put forth the most relevant
      version of your own message in that context.

AS90838 External factors affecting a Business.
    Stakeholders of a business are often involved in the buyer-seller interaction in
      the marketplace.
    Outside of that the stakeholders may be receiving PR material which is selling the
      business corporate role, social actions etc.
    In both of the above scenarios, negotiated outcomes are likely. Negotiation is the
      second most important sales skill (after closing the sale).
    The legal obligations of buyer and seller under NZ law are designed to remove
      asymmetry of information and power in the sales encounter.
    Competition from the local business environment is an acute pressure on sales
      practice and responses to competition are largely mediated through sales
      strategies.

AS90839 Business knowledge application to operational problem.
    Many of the operational problems will be around the sales process, especially as
      it links to cash flow.
    Conversely as long as cash flow from sales revenue is continuing, almost all other
      problems can be solved, so an understanding of how to sell is the ultimate
      backstop.

AS90840 Apply the marketing mix.
    Marketing can be seen as long range sales planning and the marketing mix is the
      sales persons tool.

AS90842 Carry out and review a product based business activity.
    The ‘carrying out’ of any business activity will certainly involve selling of some
      sort, even if the business only progresses to prototype stage.
FUNDED BY UNITEC-FALKENSTEIN TRUST                                                        2010
NCEA BUSINESS STUDIES RESOURCES                                              UNITEC 2010


NCEA RESOURCES

The resources are written to be used by the teacher to run an interactive class session.
Experiential learning is at the heart of NCEA Business Studies and all of these activities
are planned to make the student active in their own learning.

There are five activities in this resource.

   1. Presentation skills.
      Students take a very simple proposition and present to a group, then in
      co-opetition, the group combines to develop the best presentation which goes to
      the whole class. The idea is to encourage ‘outrageous and convincing expression’
      and have fun with putting ideas across.

   2. Database construction.
      Information is an important resource for business activity and sales people have
      to organise their calls for many efficiencies such as covering all possible clients
      regularly, scheduling follow-ups, monitoring sales to specific clients, etc.
      This simple activity is a database development of information that would help a
      sales team make and monitor customer contacts.

   3. Contact activity.
      This activity is a skill and confidence development activity in which students make
      an appointment and attend a meeting with an outside contact. This can be a time
      consuming to carry out but is very valuable to students.

   4. Sales meeting role plays.
      The sales encounter is more than “do you want to buy it?” This activity walks the
      students through a role play with both sides having to interact in a realistic
      manner to negotiate an outcome suitable to both sides. The role plays could be
      done in a step by step manner for the first time so that students get a clear idea
      of the stages of the process, and then allow them to run right through putting all
      stages together.

    5. Finance options for purchasing.
       This activity explores payment options and hidden costs. It relates well to
       personal financial literacy and also to the options a business faces in the buy or
       lease? / make or buy? situation.

       It is a workbook completion exercise based on a business finding new premises.
       which may be done as a teacher led exercise or student centred after teaching of
       the relevant material.




FUNDED BY UNITEC-FALKENSTEIN TRUST                                                           2010
NCEA BUSINESS STUDIES RESOURCES                                                UNITEC 2010


1.Presentation Skills - Introduction.

A sales person has to take information about a product (good or service) and bring the
meaning of it ‘alive’ to prospective customers. The sales person may not have a strong
connection to the product, but is still expected to represent it to the best of their ability.

The higher order thinking skills employed here are:

       Interpreting general statements to get a specific application.
       Finding and highlighting the positives in a situation.
       Capturing the audience attention.
       Communication effectively, with conviction.
       Creative reasoning.

Activity.

This activity takes place in two rounds. The first round is in groups of approximately five
students, and the second round is where the best member of each group presents to the
class.

This structure reflects the competitive and cooperative nature of much business activity
(co-opetition = competition + cooperation), in which rivals may join forces to take on
larger projects etc.

Each group is given a very short description of a situation in which a person is trying to
convince others (sell) of an opinion / situation etc. The situation does not need to be
business related.

Within the group each student takes a turn at ‘play-acting’ the person and trying to
convince others of their purpose. Each turn should take only two minutes max.

As they go around the technique and message may evolve as each student learns from
the one before. This is good and should be encouraged.

Students are able to try and highlight parts of the message/find the critical aspect to
improve their ‘performance’.

Once round one is completed, the group then begins to work together and develop the
best ‘pitch’ of their message which one of them will perform to the class once complete.
Again it should be two minute max.

Resources
Youtube
    clips of acting to lighten the mood and give exemplars. Eg Basil Fawlty
    Glengarry Glenross on Youtube - ABC Always be closing.
    Motivational speaker clips.


FUNDED BY UNITEC-FALKENSTEIN TRUST                                                           2010
NCEA BUSINESS STUDIES RESOURCES                                            UNITEC 2010


Famous speeches – Lincoln’s second inaugural address / Lincoln’s Gettysburg Address/
Martin Luther King ‘I have a dream’/ David Lange Oxford Union debate./ Ronald Reagan
“Tear Down this Wall”./ etc

Suggested scenarios.

A mother or father trying to convince their child not to join the army.

Someone trying to borrow money for a ‘sure thing’ bet.

A player begging the coach to put him/her on in the final minutes to win the game.

‘Romeo and Juliet’ type romantic argument of some sort.

“Can I borrow the car ?”

The idea is to encourage an ‘over the top’ performance so that students have fun and
explore their own range of expressions, and learn something about being convincing.

Debrief.

Follow up with a discussion about sales events they might have been in :

      shop assistants who looked bored / slow to serve / disengaged.
      the helpful salesperson who really ‘sold’ the product

What communication issues might there be for a sales rep /customer interaction ?
How could these be overcome ?

Go onto the need to create a good first impression and how is this done?

( handshake / eye contact /clear voice / etc)

Lead into role playing / developing of this skill.




FUNDED BY UNITEC-FALKENSTEIN TRUST                                                     2010
NCEA BUSINESS STUDIES RESOURCES                                               UNITEC 2010


2.Target Market Database – Introduction.

This activity is based on the idea that a sales person will focus their effort on those most
likely to buy. This will be determined from a number of factors, and we will model this
process in this activity.

All businesses (especially SME) are criticised for not collecting enough information about
their ongoing activities to make fully informed decisions about how and where they are
most/ least effective. This activity encourages organised data collection and recording.

The higher order thinking skills here are:

       organising/ classifying information.
       analysing information to make decisions.
       making reasoned decisions.
       constructing arguments to support decision.

Activity.

Each student is given a product description and then asked to go and find out five
business who would either

               buy the product
               sell the product
               make the product
               advertise the product
               re-brand the product.
               Other similar criteria

The results of their research need to be specified and recorded in a table that they
create (with assistance from teacher) and complete all relevant info.

The results should include the name of the five businesses, contact details, other
relevant info to support why that business would relate to this product (eg both in
marine sector or similar).

They could include columns for activities such as contacted / no reply / meeting
arranged / etc to show that they see the relevance of the database as a tool for
organising the sales visits activity.

This is probably a good home activity, or a computer lab activity involving internet
research.

Debrief

Why keep records of this information ? What information might be useful in future?
If the goal is to track and improve sales effort – what info is needed?

FUNDED BY UNITEC-FALKENSTEIN TRUST                                                         2010
NCEA BUSINESS STUDIES RESOURCES                                               UNITEC 2010


3. Contact Activity –Introduction.

Contacting strangers can be an anxiety generating activity, but it is one of the necessary
skills in business where following up on leads, referrals, making enquiries of
new/potential customers/ suppliers etc is all part of the days work. Most students find
this daunting, and the personal growth they gain from completing such a task is huge.

The challenge for the teacher is to find a way for the students to have to contact a
‘stranger’ and have a conversation of some sort. It is not good for all of the class to
contact the same business, so some way of spreading the students’ efforts needed.
Successful activities of this sort in the past have been done by surveying the school’s
parent community about an issue, contacting the local business association and carrying
out a survey of local shops for them, or similar. Surveys are useful as the students are
contacting strangers, but in a controlled and useful way, with a scripted purpose.

The emphasis on handshake / eye contact / appearance /confidence etc from activity
one is needed here again.

The higher order skills here are:
    overcoming anxiety while performing complex tasks.
    operating under stress.
    communicating in formal settings.

Activity.

The students (once tasked) will write a letter or email to their client and follow up with a
phone call to make an appointment. The phone call can be role played/rehearsed in class
and a collective writing effort made. If they are leaving school grounds (eg into local
shops) then pairs or small groups are recommended.

This activity can be set up in class and then run over several days/weeks to complete as
getting access to business people can be time consuming.

If done successfully this will be one of the activities that the students will benefit most
from and will not forget. The increase in their confidence and engagement will be
considerable.

Debrief.
Suggest a ‘stress test’ log of how they felt throughout the process and how they feel
once it is completed.
Set a further challenge for them to find another hurdle in their life and overcome it as
they have this one.
Discuss how the business people reacted to them and how effective their attempt to
engage ( appearance / manner / etc) in an appropriate fashion worked.
Does that sort of thing matter ? - go to cultural aspects of different societies / doing
business around the world etc.


FUNDED BY UNITEC-FALKENSTEIN TRUST                                                            2010
NCEA BUSINESS STUDIES RESOURCES                                              UNITEC 2010


4. Sales Role Plays –Introduction

The sales meeting is a ritualistic encounter and there is a structure to the discussion that
takes place.

The following activity sets out a four step process for the sales person to follow in the
role play discussion using the information in the case study material.

The emphasis is on participation, fun, and growing through experiencing activity.

The higher order thinking skills here are:

      processing information to create meaning.
      creative thinking within constraints.
      reacting to objections / taking time to think.
      thinking ‘on your feet’.

Role Play Method.

There are four steps in the role play.

    1. Attention.
Each group member acts as the sales person and tries to grab the attention of the
client(s) by choosing one feature of the product they are given to promote as the key
attraction of the product.

Other group members are acting as the potential clients, either as a one-on-one role play
(taking turns) or as a group.

The idea here is to put the presenter in the role of choosing one of the listed features
and creating some application / benefit arising from it which could be the main part of
the product identity in the market. It doesn’t matter which one they choose – the focus
of the activity is in taking the data and putting life into it.

       Key outcome = Have I got your attention?

    2. Features & benefits.
The sales person then goes on to talk about the other one/two aspects of the product in
the features and benefits style, in which the potential customer has the benefit of each
feature portrayed.

(Eg GOOD4U pies have a high fibre pastry (feature) which results in easier digestion and
better digestive tract health( benefit))- Customers buy a product for the benefits it will
give them)

       Key outcome = Are benefits of product understood?


FUNDED BY UNITEC-FALKENSTEIN TRUST                                                           2010
NCEA BUSINESS STUDIES RESOURCES                                              UNITEC 2010


       3. Overcoming Objections.

The next stage is where feedback from the customer is handled. The client needs to
state some objection ( which they have to think up on basis of what has already been
said to them) about the product and then the sales person does the following:

   a) Repeat the objection to ensure understanding.
   b) Reframe the objection as a question (most difficult part).
   c) Answer the objection/question that they have developed from the feedback.

(Eg.   “GOOD4U pies are too small” says John Doe, (client).

       “You think the pies are too small” says Joe Bloggs (the sales rep). (a)
       “ What if you could get two for the price of one as an introductory offer?” (b)
       “ We are running that special until customers realise how filling our GOOD4U pies
       are, due to the high quality of ingredients and wholemeal pastry” (c ) )

   3. Closing the Sale.

The final stage is where the sales person closes the discussion by trying to get an order,
or establish a plan for the next step on that process – maybe a follow up meeting with
the boss or similar.

There are several ways of trying to get an order from a client such as :

   a) Straight or direct close. – in which the sales person asks directly for the outcome
      they think is best in the situation.
             Eg.      Can we meet again on Tuesday ?
                      Will you trial the product next week?
                      How many will you order?

   b) Alternative close – two equal options are given to the client who will (probably)
      choose one of them.
             Eg      Should I see your Manager or the CEO next?
                     Which colour do you prefer - the red or the blue?
                     Will you take the economy or the large size?

   c) Benefit Summary close - The sales person runs through several of the key points
      from the discussion that show the product will meet the clients need and then
      asks for the order.
              Eg      So you need a washable jacket, able to be screen printed and
              in extra large sizes. As our item fits the bill exactly, how many
              would you like to order?
      (There are many other sales techniques which could be used. The above are a
      few examples to get started).

Each group could be given a score sheet on which to rate each others performance.

FUNDED BY UNITEC-FALKENSTEIN TRUST                                                           2010
NCEA BUSINESS STUDIES RESOURCES                                              UNITEC 2010


ROLE PLAY CASE STUDIES
The following six case studies give the information for this activity for students to use in
their presentations.

1.Mobile Phone

The new mobile phone from SanWan comes with three cutting-edge features.

1.     Each unit has a GPS chip that is identified by the phone network and can be used
       to find the phone if it is lost / stolen. The owner simply sends in a password and
       the location of the phone is sent back by the phone company.
2.     The phone can access skype via the internet browser and make international calls
       for free. National calls have this function blocked.
3.     The phone case is an LCD screen and can have a constantly changing display of
       text / image / colour and shapes. It is protected by a clear silicone skin.

2. Icebreaker Clothes

IB has established a strong global presence based on the following three features.

1.     Icebreaker clothes bring together the best of natural merino wool fibres and the
       best of high fashion functionality and design values. The products are all top
       quality.
2.     The entire production chain from the way the sheep are managed on the farm to
       the manufacturing of clothes on factories is monitored by Icebreaker and strict
       controls are in place to make the process as economically and environmentally
       sustainable as possible.
3.     As a wool garment the clothes are still warm even wet soaking wet from rain or
       sea. As they are made of lightweight merino wool , the weight gain when wet is
       very small.

3. Healthy Pie

Pies are always popular, but have been seen as unhealthy until GOOD4U pies.

1.     GOOD4U pies is a new business venture making pies from high-fibre wholemeal
       pastry, and using lean beef and lamb mince as its main filling.
2.     The pies are the same price as other pies, but are slightly smaller, following the
       advice of the Ministry of Health on the best size for a single serving for a meal.
3.     Every pies sold by the GOOD4U factory in Otara results in a 50cent donation to
       SPCA to help homeless animals.




FUNDED BY UNITEC-FALKENSTEIN TRUST                                                          2010
NCEA BUSINESS STUDIES RESOURCES                                           UNITEC 2010



4. CoolBrain Headfones

Ear bud head phones have been linked to ear infections and hearing loss. Now a new
product takes the speaker outside of the ear.

1.     Cool brain headfones are made for the teen market and feature high quality
       speaker modules with a flexible ‘memory plastic’ setting which will hold any
       shape.
2.     The speaker modules hook over the top of the ear and the plastic setting can be
       heated and shaped to fit exactly and provide secure wearing, once it cools again.
3.     The lead from the headfones retracts into the left speaker module so that when
       not in use the lead is not able to be tangled or broken.

5. Connect@NZ network

1.     Connect@NZ is a social network site which sets up clusters of members within a
       10 kilometre radius, and provides a method of contact. The reason is to help
       rebuild communities within cities and towns where it has been lost.
2.     Connect@NZ has a link to Bartercard ( business where work and products can be
       exchanged without cash) and members can use this to do neighbourhood work
       such as ironing, lawn mowing etc.
3.     Every month Connect@NZ runs a town meeting in which anyone who is a
       member from one of the clusters can attend and discuss what is happening in
       other areas.

6. Heshebook

1.     The Hesh-book is an ebook reader that can be leased by students from a
       university, polytechnic, or school and loaded with their subject texts from most
       educational publishers.
2.     The Hesh-book is lightweight, robust, and contains several software applications
       for use by students such as word processor, spreadsheet, drawing program, etc.
3.     All work done on a hesh-book can be sent by bluetooth to the teacher for
       marking and no paper copy is ever needed.




FUNDED BY UNITEC-FALKENSTEIN TRUST                                                     2010
NCEA BUSINESS STUDIES RESOURCES                                                    UNITEC 2010


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Business Studies (referred to here as "the Resources") belongs to Unitec Institute of Technology
and is protected by New Zealand's copyright laws.

Unitec intends that the Resources can be used freely for teaching by users of this website.
However, the Resources may not be modified, sold or redistributed without Unitec's written
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the Resources and reserves the right to change any information set out in the Resources at any
time without notice.

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third parties. Permission to use that information must be obtained from the owners of those third
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FUNDED BY UNITEC-FALKENSTEIN TRUST                                                                  2010

				
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