Effectiveness of Personal Selling in b2b
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Transcript of Effectiveness of Personal Selling in b2b
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EFFECTIVENESS OF PERSONAL SELLING IN B2B
SABRO CHILLAR PLANT
Introduction
Personal selling is defined as……. One important advantage of personal selling is that the
selling pitch can be adjusted and individualized to the prospect. Once you determine the
prospect’s needs, you tailor the sales pitch. In Business-to-Business (B2B) marketing companies
are selling complex products such as printing presses, buses, jets, computer systems, power
plants, and other expensive "installations" usually salespeople sell these products. Customers put
salespeople’s subject matter and solution expertise at the top of their list while taking decision to
buy the product. Personal selling is divided into three tasks:
a. Order Getting
Order getters attempt to increase their firm’s sales by selling to new customers or
by convincing current customers to buy more of a company’s products. They develop
new business by convincing the customer to purchase an expensive item. They need to
have persuasive abilities, takes talent to convert prospects into customers and companies
are willing to pay people who have this ability. Order getters understand the importance
of focusing on benefits and not simply describing features of products.
b. Order Taking
Order takers are involved in the routine completion of a sales. They complete the
sales transaction and mainly deal with the same or similar customers.
c. Support Personnel
Do not make any sales but help facilitate the selling function. There are two major
types of support personnel: missionary salespeople and technical specialists. A
missionary salesperson for a drug company (i.e., a detailer) will visit doctors and try to
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convince them to use various drugs manufactured by her company. They do not sell
anything and often leave many free samples with the doctors. Technical specialists are
necessary when very technical products are sold (e.g., advanced computers). They have
the ability to explain how to use the product and its limitations. Some support personnel
are sent to retailers to help them with displays and provide advice about promoting the
product.
Personal Selling Process
Step 1: Prospecting and Qualifying
(1) Prospecting
The first step in the personal selling process, focuses on developing a list of
potential customers (prospects). Both internal (a company’s own records) and external
sources can be used to prospect. Many salespeople use the telephone to prospect. Some
firms get names of prospects from list brokers. One good way of getting leads is by
running a direct response ad in a magazine. For instance, Xerox might run an ad in a
trade publication describing a new copying machine that can make one million color
copies a month at a price of a few cents per copy. The ad will provide a toll-free number
and offer a free brochure describing this machine. Anyone who calls will be asked a few
critical questions (e.g., when do you expect to make a purchasing decision) and their
name and the company name will be entered into a database.
(2) Qualifying
Deals with determining which prospects are most likely to purchase the product.
In some firms, prospects are rated A, B, C, D, and F depending on the chance that they
will purchase and the amount they might spend. In many firms, prospects who plan on
buying the product within 3 months are classified as "hot leads."
Step 2: Pre-approach
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A good salesperson attempts to know his/her prospect well. You want to know
something about the buyer’s company, the buyer’s specific product needs, and what
brands are currently being used. The more you know about your prospects, the easier it is
to sell to them. Knowing about a prospect’s needs also makes the salesperson more
credible in the eyes of the buyer.
Step 3: Approaching the Customer
Cold calls are not the most effective way of approaching customers. Some
salespeople spend a great deal of time canvassing an area trying to find prospects willing
to listen to their spiel without a prior appointment. This wastes a great deal of time since
it may take hours to find an individual with the authority to make the purchase willing to
listen to the sales pitch. Referrals (referred leads) are usually more effective than cold
calls.
Step 4: Presentation Step - Making the Sales Presentation
During the presentation step, the salesperson has a vital job. The sales person has
to convert prospects into customers by creating a need and desire for the product or
service. S/he has to tell the prospect the "product story" and highlight the benefits of the
product. You are familiar with the term USP (unique selling proposition) that is used in
advertising. A good salesperson has to convince prospects that the product is special and
will provide important benefits. Did you get a call from the college when you were a
high school senior? If you did, what were you told that made you choose this college?
Research indicates that students selecting a college are concerned with reputation and
variety of programs to choose from. A good salesperson knows which attributes/benefits
to stress in trying to convert the prospect into a customer. The attributes or benefits that
should be stressed should be important to prospects.
Step 5: Closing the Sale
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Here is where you are trying to get the order. The salesperson asks the prospect to
buy the product. One common approach is to assume that the prospect does want to buy
the product and to ask "when you do want delivery?" or "how many do you want?"
Step 6: Follow-up
A good salesperson follows up and ensures that everything went well. Was the
product delivered on time? Is the customer satisfied? Any problems? By demonstrating
that you care about your customers, you will increase the chances that customers will
continue to buy from you and recommend you to others. Marketing is all about customer
satisfaction and following up is necessary to determine whether or not your customers
are satisfied.
Company profile
Sabro Technologies (Pvt) Ltd is a subsidiary of SABRO Group of Companies. The S.a.
Brothers (Pvt) Ltd, popularly known by its brand name “SABRO” is an ISO-9001 certified Air
Conditioning manufacturing company, located at I-9, Industrial area Islamabad, Pakistan. The
company was established back in 1968.It was the mix of superior management skill,
experience, technical know-how and decision for offering the right products at the right time,
which made SABRO a successful name in the history of air conditioning. The technical
knowledge of its founding officials and hardship of their loyal co-workers remarkably helped to
win the customer’s willingness by making the air conditioners in accordance to their
specialized requirements. Today in Pakistan, SABRO is considered to be a pioneer in Air-
conditioning field and known as the largest manufacturer of residential and commercial units of
all kinds. Since its establishment, all the manufacturing facilities were located at I-9 plant
which was time to time expanded in terms of covered area. However keeping in view, the
increased manufacturing requirements due to enhanced market demand, subsequently the
management decided to establish a new plant for the manufacturing of commercial and
industrial products! The result is the establishment of SABRO Technologies (Pvt) Ltd., which
is located at Industrial triangle Islamabad, Pakistan. Sabro on trot is Celebrating its thirty eighth
year of ever inclining efficiency in the field of domestic as well commercial Air-Conditioning.
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SABRO’S brand name is reliable, efficient and well known in commercial air-
conditioning. The secret of SABRO’S success is rather general to a management student but
the two slogans under sabro’s flag made SABRO an organization of its kind in Pakistan, i.e.
total quality management and the network of after sales services. SABRO is very conscious in
having long term commitments with its customer. Sabro Technologies (Pvt) Ltd is a subsidiary
of SABRO Group of Companies. The S.a. Brothers (Pvt SABRO’S brand name is reliable,
efficient and well known in commercial air-conditioning. The secret of SABRO’S success is
rather general to a management student but the two slogans under sabro’s flag) Ltd, popularly
known by its brand name “SABRO” is an ISO-9001 certified Air Conditioning manufacturing
company, located at I-9, Industrial area Islamabad, Pakistan.
Company synopsis
Sabro Technologies (Pvt) Ltd is considered to be the biggest manufacturing company in
all kinds of commercial & Industrial air conditioners in Pakistan. Sabro Technologies (Pvt) Ltd,
an innovative company with best available resources, continues to create impressions to
provide the best possible products to its all customers.
Corporate Profile
Sabro Corporation was established in 1968 as the pioneer in Air conditioning market,
with specialization in advanced technology, excellent services and good reputation in the
market. Sabro is dedicated to the design and production of high quality products with emphasis
on energy efficiency, keeping in view the climatic conditions prevailing at the area, where the
equipment is to be installed and it is done by highly qualified, capable and most experienced
engineers. At Sabro, every business segment is refashioned with intend to dominate the generic
market of the future. The company would like to retain its image even as it ventures the other
markets. Presently, Sabro is manufacturing different types of air conditioners (split/package),
chillers; air handling units, air curtains, humidifier, dehumidifier, hot water generators etc. Now
Sabro has entered into new millennium, with new product range of DVDs-microwaves-
televisions and Instant water geysers (electric/gas), as a dynamic and growing company with
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the resolve to define levels of excellence. The company has attained multi- dimensional growth
in terms of :
Development and production capacity
Since its establishment, all the manufacturing facilities were located at I-9 plant which
was time to time expanded in terms of covered area. However keeping in view, the increased
manufacturing requirements due to enhanced market demand, subsequently the management
decided to establish a new plant for the manufacturing of commercial and industrial products!
The result is the establishment of SABRO Technologies (Pvt) Ltd., which is located at
Industrial triangle Islamabad, Pakistan. Sabro is considered the largest selling brand in HVAC
domestic as well commercial appliances.
At present its on trot production capability is as under
Domestic units (1 hp to 3 hp) 10,000 Units/month (produced at S.a brothers
Islamabad).
Commercial units (1 hp to 240 hp) 5000 HP per month (produced at sabro technologies
sihala , Islamabad)
Company Philosophy
Our management philosophy is based on our mission :
“To serve the society with fervor along with acting as a model for its uplift and to
contribute in the development and promotion of hi-tech in the country”
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Sabro has been the market leader in areas of its activity, its primary role has been to
design, manufacture, supply, install and maintain the air conditioning systems. In offering
solutions to our clients, we keep the required international standards in focus. In today’s fast
moving world, international standards, environmental regulations and cross border agreements
need to be coupled with local market needs, climatic conditions and customer requirements.
Our management philosophy represents our strong determination to contribute in the
development of society and prosperity of its people, whose talent and creativity are dedicated
in doing their best at all times.
Company name :
Sabro technologies private limited.
Established Year :
2005 (As a subsidiary of “Sabro group of companies”)
Head office :
Plot # 270, Industrial triangle, Kahuta road, Islamabad. PAKISTAN.
Export Market
Afghanistan
Bahrain
Bangladesh
Kuwait
Qatar
Saudi Arabia
UAE
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Vision Statement:
“To be standard as a company that provides its product & service quality, integrity and
commitment to all of its clientele and a mainstay in the business community”.
Personal Selling Techniques
Relationship marketing refers to a philosophy that a company that wishes to succeed
should maintain a strong, continuous, long-term relationship with its customers, suppliers, and
distributors. Companies that follow this philosophy understand the importance of communicating
with their customers, suppliers, and distributors on a regular basis. In order to have this kind of
relationship customers and intermediaries have to feel good about doing business with the
company. Also, customers and intermediaries should find it easy to contact the company and feel
welcome when communicating with it. They should feel that they are part of a big family and
that the company is upset if the product or service fails to perform properly. Obviously, it is
much easier to make customers and intermediaries feel this way if you strive to understand their
needs.
Testimonial
One of the strongest ways to persuade prospects to buy your service is the use of
testimonials in your marketing materials. A testimonial -- an endorsement from an individual that
is similar to the kind of prospects you want to attract as clients -- can have a tremendous impact
on the effectiveness of all your marketing materials, including:
brochures
website
emails
sales letters
telephone sales calls
sales presentations
advertisements
trade show booths
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annual reports
service upgrade & renewal notices
invoices
Good Testimonials Do Two Things:
1. They directly appeal to a prospect's "trigger points" (their specific pains or problems they
need solved) and demonstrate specifically how your service has benefited (solved the
pain or problem) for real people that are just like your prospect.
2. Reduces the fears, anxieties and perceived risks the prospect may have before making a
purchase decision. The testimonial illustrates that your company helps people just like
your prospect to successfully solve a pain or problem the prospect has.
Two baseline requirements before you start a testimonial program
So having a lot of good testimonials sounds great, doesn't it?
The reality is that implementing a testimonial program is a challenge. But it can be done
successfully if you have these two requirements in place:
1. Like all good marketing, it requires you to purposefully focus your attention on your
clients, and not your business or yourself. Good testimonials are focused on satisfied
clients expressing benefits about your service, not generically praising how great your
company is. Recognizing this is key to be able to develop the most effective
testimonials.
2. Second, a testimonial requires a commitment to an ongoing effort and strategy. You
must be in contact with your satisfied clients -- always keeping in touch and "in the
know" on any specific and measurable results they've had by using your service. And in
that process, you must be willing to ask for testimonials from these clients -- and know
how to ask the right questions.
So let's get started on developing your testimonial program...
Two must-have elements of a strong testimonial
Generic accolades about you or your company are not effective. Things like:
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"We love your work. Keep it up!"
"I'm so glad I signed up for this. I recommend it to everyone."
The above testimonials will have very little impact on a prospect's decision to buy from you.
Instead, strong testimonials should have these two key elements:
1. The testimonial must reinforce specific and concrete benefits that the satisfied client
received as a result from your service. For a prospect to find the testimonial meaningful,
he or she must be able to relate to a specific pain or problem the endorser had, and get
understand specifically how the problem was solved by your service.
2. The testimonial must be attributed. Blind testimonials are rarely effective. For a
testimonial to have credibility to a prospect, they must be able to identify with the type of
person who is endorsing the product. A name is the most critical attribute, but here are
some other attributes that can have a very positive impact on your testimonials:
title
company
industry / type of business
awards or honors
length of experience in industry
published articles, books, research
leadership positions
memberships
what media outlets they have been interviewed (and sourced) by
How many testimonials should you have?
There's no magic number, but ideally you should ask for testimonials from as many clients as
possible.
Here are some guidelines:
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Have a least one testimonial that represents each market segment (or type of customer or
business) you target.
Have at least one testimonial for each feature (and its corresponding benefit) of your
service. Obviously the more you have, the better.
Be willing to ask for them. But what do you ask?
Often a satisfied client is willing to give a testimonial, but they might ask for assistance
on what to say. This is good. Don't be afraid to direct them.
In fact, being prepared to "lead" them a bit with certain types of questions will help you
capture a stronger testimonial. With some nudging, you will normally find that most clients like
to talk about how well things are going.
How do you find testimonials?
1) Contact satisfied clients directly -- by phone or in person.
Be direct and ask them the results they are getting from your service. Then ask
"may I quote you?" If they agree, write down their statement. Then send it to
them by mail or email with a note stating that you'd like their permission to use
the testimonial in your marketing materials.
2) Survey your clients.
A good way to solicit testimonials is to conduct a survey of your clients. While
every response may not be useful for a testimonial, you'll probably get some (and
any other comments can probably be used to help you improve your service).
How to identify the most qualified sales leads
Carefully using your limited resources both time and money for sales lead
generation and follow-up on prospective clients is key to building a profitable small business.
Developing a simple process -- a "sales lead qualification process" -- is essential.
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A qualification process helps you systematically evaluate every new client business
opportunity, and prioritize how you handle each one.
Specifically, this process helps us:
Identify the potential clients that are the best fit for your service
These are the businesses that have a pain or problem that you have the experience
and credentials to solve, and ones that match the criteria of your "ideal client profile" and
target market. There's nothing worse than investing lots of effort on proposing a solution
for a prospect, only to later realize that it isn't a good fit for you (or them).
Saves time and money in following-up with prospects
You can avoid allocating limited resources following-up with tire-kickers, people
that don't have the funds to pay you, or don't have the authority to make a buying
decision.
Understand what you know, don't know, and need to know
In order to adequately follow-up with the prospect, increasing your probability to
gain them as a new client.
Determine who are the key players
(influencers and decision makers) to make the deal happen.
Understand where the prospect is in the buying process
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Have they just started doing research? Have they identified other options (like
your competitors)? Are they ready to buy now, or do they need more nurturing before
they can commit?
Identify the strengths and weaknesses of your service
(which can help you be more competitive in your marketplace).
Track and measure
Overtime -- the best approaches for each type of sales lead you get. A key to
profitable growth is to duplicate a process that has worked in the past to convert
prospects into paying clients.
How do you qualify a sales lead?
The easiest way is to create a simple internal checklist, and rate or score the new client
opportunity based on several criteria, such as:
Needs analysis of the prospect (what pain or problem do they have that needs to be
solved?)
The best-fit solution for the prospect
The time frame and urgency the prospect has to solve the problem
The value or return on investment (ROI) the solution will provide the prospect (does the
solution save them time/money? increase sales? etc.)
The budget and other resources the prospect has available.
What relationships do you have with the key players that have authority to buy your
service?
A sample sales lead qualification scoring form is available for you to use as a model in
developing your own process of evaluating and prioritizing your new client opportunities.
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Sales Lead Qualification Scoring Form
Score
Qualification Criteria (1-5)
Needs Analysis and Current Situation
Has the problem or pain of the prospect been identified?
Has the prospect acknowledged the impact of this pain or problem?
Has the prospect indicated they want to change/improve the situation?
Solution and Future Vision
Have you discussed with the prospect how things could be improved and/or
what the impact of those improvements would have?
Has the prospect indicated other options they have taken or are considering
to change the situation?
Has the prospect described what happens if they don't do anything to solve
the pain or problem?
Time frame / urgency
Has the prospect expressed why this problem is a priority to solve?
Has the prospect indicated when the problem needs to be solved?
Value / Return on Investment (ROI)
Does the prospect understand the outcome/value to the organization of
solving the problem (i.e. saving time/money, increasing sales, etc.).
Do the key players (decision makers / influencers) know their own
personal/professional benefits/outcomes of solving the problem?
Budget & Resources
How strong is the financial position of the company?
Does the prospect have a budget for this?
Are there other projects, concerns or priorities that may compete with this
project?
Authority and Relationships
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Do you know who the key influencers and decision makers are?
Do you know who the ultimate approving authority is?
Do you know what their individual roles will be?
Do you have a rapport/connection with these key players?
Do you have an influential sponsor or champion inside the organization that
supports the solution?
Total
What Makes Business-to-Business Marketing Different?
B2B Marketers Experience Longer Sales Cycles.
The B2B purchase cycle is an extended process, often lasting several months or longer.
Marketing to B2B prospects requires different actions, depending on what stage of the
buying cycle your prospect is in.
B2B Products and Services are More Complex.
B2B products and services are typically complex and sophisticated, with many of the
benefits or detriments not readily apparent. B2B marketing needs to take the technical, the
subtle, the intricate, and make it clear, understandable, and persuasive.
B2B Selling Propositions are More Complex.
B2B selling propositions are complex propositions that must present value-based
differentiated solutions that support rational buying decisions. Fluff may get attention, but
it’s not going to sway the purchasing decision. Complex differences must be articulated
and delivered through intelligent and compelling communication strategies.
There are Fewer Identifiable Buyers.
B2C marketers know they can put their product in front of millions and that a sizeable
percentage of that market are potential purchasers of that product. There are far fewer
potential buyers of B2B products—and they’re harder to find. Sure, you may find a
company you think needs your product or service, but you may spend the better part of a
year trying to find the right people to influence within that company.
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B2B Pricing is Different.
The pricing of B2C products doesn’t change very much from store to store. Pricing of B2B
products, however, are often different for every buyer and every sale. Products in the B2B
world are less standardized, and pricing can be very dependent on just who the buyer is.
The price is determined on the basis of numerous factors and specifications, all of which
take significant time to calculate and add greatly to selling costs.
B2B Marketing Must Speak to a Different Set of Buying Emotions.
B2B marketing is not “emotionless.” While B2B prospects are generally not moved by
common B2C motivators, like impulse or status, different individual emotional motivators
apply. For example, the fear of making the wrong decision, the level of confidence in the
forecasted ROI, the level of trust established in the seller’s people—all of these are very
real emotional motivators in the B2B world. Nike’s Just do it wouldn’t play too well in the
B2B world.
Corporate Brands are Usually More Important.
Corporate brands are usually more important to B2B buyers than product brands. While
practical purchase criteria drive product selection, (i.e. product performance, capabilities,
price), the value B2B buyers place on the corporate brand drives and completes the actual
purchase decision. “Can I believe in this company? Can I trust them? Will they deliver
what they promise?
B2B Prospects Conduct More Research.
The risks and implications of making or failing to make the appropriate purchase decision
are usually high for B2B buyers. Therefore, B2B prospects conduct more research, seek
more information, evaluate references, and research alternative products, manufacturers,
solutions, and providers. They do this not only for personal benefit, but because they also
need to “sell” the recommended purchase to others.
B2B Marketers Have Less Research Data.
If you’re Proctor & Gamble, you don’t put a product on the shelf until you’ve spent
millions to know that it will be successful. Few B2B companies have that luxury. Sure, a
lot of money may go into product research and development, but little gets spent on market
research. This makes success a lot more dependent on the experience and savvy of the B2B
marketer.
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More People are Involved in the B2B Purchase-Decision Process.
Most business purchases have multiple parties in the purchasing organization influencing
the decision-making process. Therefore, you must identify and reach multiple parties in
multiple tiers within the prospect’s organization with messaging that resonates to each
individual’s interests and concerns—for example, the "economic buyer" concerned with
ROI, the "technology buyer" concerned with performance, and the “end-user” concerned
with ease of operation.
B2B Requires Different Channel Strategies.
For many B2B organizations, the “seller-to-end-user” relationship is not exclusive or
direct. Complex networks of key publics require different channel strategies relevant and
appropriate to each channel member’s level of involvement. In addition to end-users, many
B2B companies must also market to distributors, dealers, independent representatives,
outside consultants, specifies, and supply-chain partners, to name just a few.
B2B Sales Rely Heavily on Personal Interactions.
Unlike sales to consumers, B2B marketing doesn’t happen through tightly controlled,
highly crafted communications vehicles like television commercials or other mass media.
One-to-one customer relationship building, through personal interaction, demands
sophisticated sales management and an educated, knowledgeable, trained staff whose
words and actions are aligned with corporate brand objectives.
B2B Marketing Starts on the Inside.
Most people working within a B2C company have little, if any, actual contact with the
customer. In B2B, countless people within the company, not just marketing folks, have
access to and interact with the customer. All of those people need to understand the brand,
live the brand, and deliver the brand every day. Therefore, the B2B marketer’s first job is to
market internally and align others in order to create brand ambassadors.
Multiple People from the Seller’s Organization are Typically Involved.
Sales of complex, technical, or sophisticated B2B products and services often include the
expertise and involvement of multiple people from the selling organization. Sales and
marketing may be joined by representatives from executive management, design,
engineering, manufacturing, customer service—all of whom have the ability to influence
the sale. All of these people need to be aligned with the brand to maximize selling success.
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Third Parties have Greater Influence in the Buying Process.
B2B purchasers often look to third party influencers for opinions, insight, consultation, or
referrals. B2B sellers must market to and through industry experts, trade organizations,
trade shows, trade publications, peer organizations, and other third party channels. B2B
purchasers use information from these sources to support and help sell their purchase
recommendations.
Sabro Chiller Plant :
Analysis of Project Report
Effectiveness of Personal Selling in b2b Selling
1. Which company you most prefer?
Most Prefer Company
SabroHierWavesPel
2. Which method of contact is used by between you and your company?
Direct - 40, Telephone - 60, Email - None, Fax – None
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Methods of contacts
Direct 40%Telephone 60%email 0%fax 0%
Conclusion:
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