Sales techniques

From CEOpedia | Management online

Sales techniques are methods of negotiation during which the customer and the seller are trying to compromise in a rational way defending their interests.They can not be rigidly defined because they result directly from the relationship between two people whose results are difficult to predict. The techniques used in the negotiations are the result mainly of the negotiating and selling skills of the participants.

You can distinguish techniques such as:

  • persuasion,
  • commercial argument,
  • auction,
  • use of time,
  • manipulation.

Persuasion is used to change your mind about a topic of another person.It is assumed that despite the desire to defend their reasons and conditions, people are willing to change their position. It depends mainly on the credibility of the interlocutor, the context of the conversation or the style of communication. In the model process of persuasion, the following phases can be distinguished: learning, acceptance, and change of position.

Commercial argument in the negotiations differs due to the subject of the appeal.Emotional argumentation can be distinguished, including the world of ideology and values, and argumentation focused on usability, for which the consequences of specific decisions speak. An important element of the argumentation are the so-called aces in the sleeve, i.e. irrefutable facts, benefits for the client, e.g. this computer program will speed up the decision-making process by 2 days.

The auction refers to the designation of the so-called the opening rate, i.e. the price offered for the good at the very beginning of the negotiations, which should not be lower than the market average on the one hand, and on the other hand should not overwhelm the current market conditions.

The use of time to establish the duration of negotiations. Limiting time has a significant impact on both sides, allows them to focus on the problem, allows you to take a more flexible position in order to reach a compromise.

Manipulations can be divided into:

  • time manipulation uses such methods as postponing the commencement of negotiations, suspending them, postponing important matters for those less important,
  • manipulation of decision - making competences - hiding the lack of competence regarding making decisions during conversations, for example in order to collect data or market knowledge,
  • manipulation of facts - skipping important facts in negotiations, conscious distortion of information or presenting before facts made.

Impact rules

During the sales process, rules are often used that define certain repetitive patterns of human behavior that are the consequence of the appearance of specific stimuli. They are the resultant of social, cultural and human psyche standards and enable the seller to achieve the desired impact on the customer. You can distinguish among others:

  • The rule of a simplified opportunity evaluation, which says that there are some behavioral patterns due to the appearance of one particular characteristic.The appearance of this trigger causes a lack of analysis of all arguments and so-called shortcuts e.g. high price is associated with high quality.
  • The rule of reciprocity based on the vulnerability of people to return favors.This rule is widely used in commerce and especially in marketing, for example, by distributing free samples, which obliges the recipient to take advantage of the offer of a given company.
  • A rule of commitment and consistency based on the need to justify decisions taken earlier, so as a consequence of the actions taken in accordance with the adopted position.According to this rule, the following are distinguished:
  • foot at the door - it assumes that the person who initially fulfilled a small petition is more willing to meet a greater request, that is why it is important to trade in a good treatment of every customer, even the less-buying one, because he can buy more or recommend a company to others,
  • low ball technique - in order to persuade customers to purchase, the method of offering a favorable offer to the customer is applied, followed by its cancellation by, for example, invoking incorrect calculations.
  • The principle of social proof based on trust in public opinion.The more people like the recipient behave in a given way, or chooses the products, the more justified this decision seems.
  • The rule of liking, which uses such advantages as physical attractiveness, the use of compliments or similarity between people.People with such traits seem to be more trustworthy and honest.
  • The principle of authority is that the assessment of people who are respected in a given group, the so-called authorities have a significant impact on the decisions made by this group.
  • The rule of inaccessibility stems from the fact that the more the thing inaccessible, the more valuable and unique it seems.In addition, the unavailability of a given option means no freedom of choice, which affects the willingness to have more.

Sales strategy

Techniques used in the sales process can not be accidental and should be subordinated to the sales strategy. The strategy is a long-term action plan that includes ways to achieve these activities and techniques, that is tactical activities enabling achievement of the assumed goal or objectives.When creating a sales strategy, it is important to include such problems as: the goals the company aims for,

  • resources, or material and time deposits,
  • actions that will step-by-step describe the path to reach the goal.

The company's sales strategy must be synonymous with the mission, that is, the area of ​​operation and the strategy, which is an official document created by the owners or management. In addition, it must include economic data, information on the competition, and most importantly, the knowledge of the target group of customers.

Profile of a good seller

In the sales process, the essential factors are the skills, predispositions and personality that the seller has. The concept of personality can be discussed in two ways:

  • character traits - internal dimension;
  • behavior - an external approach, perceptible by other people.

When talking about a good seller, focus primarily on character traits that enable you to achieve your sales goals. These include, above all:

  • ambition,
  • strong will, perseverance, courage,
  • the spirit of competition,
  • authority,
  • intelligence,
  • sense,
  • control
  • charisma.

Examples of Sales techniques

  • Solution Selling: This technique is based on the idea that customers are more likely to be interested in how a product or service can solve their problem, rather than what the product does. By understanding the customer's needs and presenting the product or service as a solution, the salesperson can build trust and credibility with the customer.
  • Power Pitching: Power pitching is a technique that focuses on the salesperson's ability to communicate the value of their product or service in a concise, persuasive manner. The salesperson should be able to quickly explain the unique features and benefits of the product or service and how it solves the customer's problem.
  • Empathy Selling: Empathy selling is a technique that focuses on building relationships with customers by understanding their needs and feelings. This type of selling involves actively listening to the customer, asking questions, and expressing understanding and empathy.
  • Relationship Selling: Relationship selling is a technique that focuses on building strong, long-term relationships with customers. This technique involves getting to know the customer, understanding their needs, and building trust and loyalty.
  • Value-Based Selling: Value-based selling is a technique that focuses on demonstrating the value of the product or service to the customer. This technique involves highlighting the features and benefits of the product or service and how it can help the customer achieve their goals.

Advantages of Sales techniques

Sales techniques offer several advantages when it comes to negotiation and selling. These advantages include:

  • Increased confidence in sales negotiations: Sales techniques help to build confidence in the salesperson by providing them with specific strategies to use during negotiations. This helps to build trust with customers, which in turn can lead to more sales.
  • Improved communication: Sales techniques provide an effective way of communicating with customers and potential buyers. These techniques can help to ensure that both parties are clear on what is being said and agreed upon.
  • Increased efficiency: Sales techniques can help to streamline the sales process by helping the salesperson to focus on the most important points. This helps to ensure that the customer is getting the best possible deal.
  • Improved negotiation skills: Sales techniques can help to improve the negotiating skills of the salesperson. This can help to ensure that the customer gets the best possible deal.
  • Increased sales: Sales techniques can help to increase sales by ensuring that the customer is getting the best possible deal. This can help to increase customer loyalty and build long-term relationships with customers.

Limitations of Sales techniques

Sales techniques are powerful tools for achieving successful sales, but there are some limitations that must be taken into account. These include:

  • Time-consuming: Sales techniques require time and effort to be effective. There is a need to research the market, the customer’s needs, and the competition. Negotiations can be lengthy and require patience.
  • Unpredictable: No two sales situations are the same and each customer is different. While sales techniques can help initiate a successful sales transaction, the outcome is often difficult to predict.
  • Not applicable to all products: Some products are more difficult to sell than others. Sales techniques are not always applicable to all products, as some require special knowledge or expertise.
  • Costly: Sales techniques require resources such as marketing materials, travel expenses, and salary for the sales team. These costs must be taken into account when deciding whether to use sales techniques.
  • Limited success: Even when sales techniques are used correctly, there is no guarantee of success. Sometimes, the customer may not be convinced or may have other offers.

Other approaches related to Sales techniques

  • Negotiating: Negotiating is the process of reaching an agreement between two or more parties. It involves identifying common interests and developing strategies to reach a mutually beneficial outcome. It involves communication, persuasion, compromise, problem-solving, and often, the use of tactics to achieve an advantage.
  • Persuasion: Persuasion is a form of communication that seeks to influence the attitudes and beliefs of the target audience. It is used to convince someone to take a course of action or make a purchase. It involves using evidence, facts, and logical arguments to make a compelling case.
  • Relationship Building: Relationship building is an important part of sales. It involves developing strong, professional relationships with customers, vendors, suppliers, and other stakeholders. It involves establishing trust, being a good listener, and providing exceptional customer service.
  • Product Knowledge: Knowing your product inside and out is essential for effective selling. It involves understanding the features and benefits of the product, how it works, how to use it, and how it can solve the customer’s problem.
  • Closing: Closing is the process of getting the customer to take the desired action. It involves using techniques such as summarizing the customer’s needs, offering incentives, and asking for the sale.

In summary, sales techniques involve a range of approaches such as negotiating, persuasion, relationship building, product knowledge, and closing. These techniques are used to persuade the customer to buy the product, while building trust and developing a strong professional relationship.


Sales techniques — recommended articles
Relationship selling — Compromise — Consumer decision making process — Negotiation style — Consumer orientation — Concept selling — Post-purchase dissonance — Selling process — Communication with stakeholders

References

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