ENT4122 Go to Market Strategies Chapter 8

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Questions and Answers

What is the primary purpose of assessment questioning in the LAARC process?

To agree with the buyer's concerns

To confirm the sale immediately

To gain a deeper understanding of the buyer's objections (correct)

To offer discounts or promotions

Which technique involves addressing objections with a reassurance from another client’s experience?

Direct Denial

Third-party Reinforcement (correct)

Indirect Denial

Translation Technique

In the context of overcoming sales resistance, what does the feel-felt-found method aim to achieve?

To immediately close the sale by pushing for a decision

To acknowledge the buyer's feelings and relate by sharing a similar experience (correct)

To deny any price changes and push the sale forward

To provide discounts to customers

Which of the following best describes the Translation Technique?

Softening the correction of a buyer's misunderstanding with relatable examples Signup and view all the answers

What is an important first step in the LAARC process when faced with buyer resistance?

Listening to the buyer Signup and view all the answers

What is the objective of indirect denial?

To acknowledge the buyer's concern while softly correcting it Signup and view all the answers

When would a salesperson use the technique of forestalling?

When anticipating a common objection before it's raised Signup and view all the answers

Which strategy is primarily focused on establishing understanding and rapport with the buyer?

Assess Signup and view all the answers

What indicates a prospect is showing favorable buying signals?

Begins to study and handle the product Signup and view all the answers

Which method involves summarizing all confirmed benefits before requesting a commitment?

Summary commitment Signup and view all the answers

What could be considered a commitment caution signal?

The prospect expresses uncertainty about the product Signup and view all the answers

Which closing technique assumes that the buyer is in agreement and immediately presents the order form?

Assumptive close Signup and view all the answers

What is the primary focus of the fear or emotional close method?

To instill fear of negative consequences Signup and view all the answers

Which technique uses a story of someone who successfully solved a problem with the product?

Success story commitment Signup and view all the answers

What is the purpose of using minor-points close in negotiations?

To secure minor agreements leading to the larger sale Signup and view all the answers

Which of the following is NOT considered a favorable buying signal?

Expresses doubts about product benefits Signup and view all the answers

What is the primary purpose of using assessment questions during sales resistance?

To gain a deeper understanding of the buyer's concerns Signup and view all the answers

How does the third-party reinforcement technique benefit sales presentations?

It provides social proof and addresses buyer objections indirectly Signup and view all the answers

In the feel-felt-found method, what is the 'found' part intended to convey?

How previous clients concluded their initial concerns were unfounded Signup and view all the answers

What is a commitment signal during a sales presentation?

A favorable statement from the buyer suggesting readiness to proceed Signup and view all the answers

Which technique involves addressing the buyer's objections later in the sales presentation?

Coming-to-that Signup and view all the answers

What is the goal of the compensation technique in answering sales resistance?

To contrast a negative aspect with a corresponding benefit Signup and view all the answers

Why is it important for a salesperson to provide the buyer with enough mental space?

To allow the buyer to think critically about the decision Signup and view all the answers

What is a possible outcome of effectively using the feel-felt-found technique?

Enhanced confidence in product value through shared experiences Signup and view all the answers

Study Notes

Go to Market Strategies

ENT4122 course, chapter 8 focuses on addressing concerns and earning commitment during sales presentations.
Sales resistance is viewed as opportunities to sell, a normal part of sales conversations.
Salespeople need to determine customer interest and understand the buyer's perspective on the problem.
Effectively handling resistance leads to customer acceptance.

Discussion Activity

Sales resistance refers to buyer objections during a sales presentation.
These objections are viewed as opportunities to sell.
Salespeople need to consider objections as normal parts of a conversation.
Essential for salespeople: determining customer interest and gauging buyer's understanding of the problem.
Addressing concerns effectively can result in customer acceptance.

Anticipate and Negotiate Concerns and Resistance

Students are encouraged to reflect on past experiences with sales resistance.
Key aspects to consider: reasons for resistance, salesperson actions, and successful strategies employed.

Strategies for Dealing with Objections

Buyers often avoid initial sales interviews. Setting appointments can help integrate the sales process into the buyer's routine.
Insufficient prospecting or qualification can lead to buyer resistance. Salespeople need to properly qualify leads.
Salespeople should ask questions to ascertain genuine interest.
Multiple sales calls are often necessary. Consistent follow-up shows seriousness and builds trust.

Strategies for Dealing with Objections (continued)

Buyers resist change in established business practices. Salespeople should demonstrate the benefits of a different approach.
Salespeople must validate the buyer's need and show how the proposed solution satisfies it.
Lack of information about the product or the company itself often leads to resistance. Salespeople need to provide relevant information that will help close.

8-2 Types of Objections

Need Objection: Buyers don't need the product/service or have recently met that need. (e.g., "I'm not interested at this time.")
Product or Service Objection: Buyers dislike the product/service's appearance or features or are concerned about reliability. (e.g., "I am not sure the quality of your product meets our needs.")

8-2 Types of Objections (continued)

Company or Source Objection: Buyers are unfamiliar with the product company or have loyalty to another supplier. ("I am happy with my current supplier.")
Price Objection: Buyer feels the price is too high given their budget constraints. ("We are buying from another supplier that meets our budget constraints.")
Time Objection: Buyer postpones the decision to purchase. ("Get back with me in a couple of weeks.")

Negotiating Buyer Resistance (LAARC)

Listen: Salespeople should actively listen to buyer concerns.
Acknowledge: Acknowledge the concerns and express appreciation for the message.
Assess: Ask questions to gain deeper understanding of the reasons behind the resistance.
Respond: Develop a solution based on the assessed understanding.
Confirm: Clarify if the buyer's concerns are completely addressed.

Techniques to Answer Sales Resistance (Forestalling)

Address objections before the buyer raises them to anticipate and address concerns.
Example: "I've heard concerns about our return policy... we have competitive return options."

Techniques to Answer Sales Resistance (Direct Denial)

Directly contradict the misconception.
Example: “You have heard incorrectly. We are not raising prices.”

Techniques to Answer Sales Resistance (Indirect Denial)

Soften the blow when correcting inaccuracies.
Example: "We've heard that rumor... Our senior management team guarantees our prices remain stable.”

Techniques to Answer Sales Resistance (Translation/Boomerang)

Shift the perspective of the objection to highlight its positive aspect (gaining attention).
Example: Buyers say "Your company is too small to meet our needs." Salespeople respond "That's exactly why you want to do business with us – we can offer personalized service.”

Techniques to Answer Sales Resistance (Compensation)

Offset the objection with a benefit.
Example: "Our price is higher but the quality you require is included plus a money-back guarantee.”

Techniques to Answer Sales Resistance (Question/Assess)

Ask the buyer clarifying questions to gain insight into their concerns.
Example: "Your concern is price. Can you tell me who you are comparing us with?”

Techniques to Answer Sales Resistance (Third-Party Reinforcement)

Use a positive testimonial from a similar customer to address a buyer objection.
Example: "I had a client with a similar concern... I can tell you why she's happy with our product.”

Techniques to Answer Sales Resistance (Feel-Felt-Found)

Show the salesperson that other customers initially had similar concerns, but positive outcomes resulted.
Use examples of successful sales to gain buyer confidence.

Techniques to Answer Sales Resistance (Coming-to-That)

Inform the buyer that you'll address their objection later in the presentation.
Example: "I'm glad you brought up delivery. Before discussing delivery, I want to explain the features that are important to you.”

Securing Commitment and Closing (8-6)

Allow the prospect to make a rational decision.
Identify favorable buying signals.
Ask for commitment via open-ended questions.
The presentation has to have red lights for commitment (reservations). Ensure they are resolved.

Commitment and Closing (Exhibit 8.12)

Direct Commitment: Directly requesting the order.
Alternative/Legitimate Choice: Giving buyer fewer options for easier decision-making.
Summary Commitment: Summarizing confirmed benefits.
T-Account/Balance Sheet Commitment: Using financial documents to finalize a deal.
Success Story Commitment: Providing examples of successful customers.

Traditional Commitment Methods (8-13)

Standing-Room-Only Close: Creating an urgency.
Assumptive Close: The salesperson assumes agreement and acts as if the purchase is finalizing.
Fear/Emotional Close: Presenting the consequences of not buying.
Continuous Close: Reassuring the buyer of success and confidence to buy.
Minor-Points Close: Getting agreement on small issues before proceeding with a large transaction.

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Description

This quiz covers Chapter 8 of the ENT4122 course, focusing on addressing sales resistance during presentations. Participants will explore how objections from buyers can be leveraged as opportunities for selling, while also understanding the importance of gauging customer interest. Effective handling of concerns is crucial for achieving customer acceptance.