SALES

(chapter 4&5)
I. Psychology of Selling Why People Buy

People Buy- The Black Box Approach

Salespeople know that some customers buy their product after the presentation, yet they
wonder what thought process resulted in the decision to buy or not to buy. Prospective buyers
are usually exposed to various sales presentation.
This process of internalization is referred to as a black box because we cannot see into the
buyer’s mind, this means that salesperson can apply the stimuli, and observe the behavior of
the prospect but cannot witness the prospect actual decision-making process.

Sales Buyers Hidden Sale/No

Presentation Mental Process Sale

Stimulus Black Box Response

 Psychological Influences on Buying

Since personal selling requires understanding human behavior, each salesperson must be
concerned with a prospective customer’s motivation, perception, learning, attitudes, and
personality. The salesperson should know each type of behavior might influence a customer’s
purchase decision.

Motivation to bus Must be There

Human beings are motivated by needs and wants. These needs and wants build up internally,
which cause people to desire to buy a product.
People needs result from lack of something desirable. Wants are needs learned by the person

Economic Needs: The Best Value for the Money

Economic needs are the buyers need to purchase the satisfying product for the money.
Economic needs include price, quality performance, dependability, durability, convenience of
buying and service.
Many salespeople mistakenly assume that people base their buying decision solely on price. A
higher product price relative to competing goods often can be offset by such factors as service,
quality, better performance, friendliness of the salesperson, or convenience of purchase.

Awareness of Needs Some Buyers Are Unsure

Conscious need level, buyers are fully aware of their needs. These are the easiest people to
sell to because they know what products they want and are willing to talk about their needs.

Preconscious need level, buyers may not be fully aware of their needs. Needs may not be fully
developed in the conscious mind. They know what general type of product they want but may
not wish to discuss it.

Conscious need level, people do not know why they buy a product, only that they do buy. In
this case, salesperson needs to determine the needs that are influential.

The Product’s Benefits

People are interested in what the product will do for theirs. Emphasizing benefits appeals to
the customer’s personal motives.
 Important Emphasized Important

Seller Benefit Needs Buyer

s s

Unimportan Deemphasiz Unimportan

t e t

Important Buying Needs- A Key to Success

Important needs and concentrate on emphasizing product benefits that will satisfy those needs.
Benefits that would satisfy buyers unimportant needs should be deemphasized in the sales
presentation.

The Trial Close- A Great Way to Uncover Needs and Sell

One of the best-selling techniques to use in your sales presentation. It checks the pulse or
attitude of your prospect toward the sales presentation.
The trial close should be used at these four important presentations;

1. After making a strong selling point in the presentation.

2. After the presentation.

3. After answering an objection.

4. Immediately before you move to close the sale.

The trial close allows you to determine;

1. Whether the prospect likes your products feature, advantage, or benefit

2. Whether you have successfully answered the objection

3. Whether any objection remain

4. Whether the prospect is ready for you to close the sale

Buyer’s Perception

Perception is the process by which a person select, organizes, and interprets information. The
buyer receives the salesperson’s product information through the senses. These senses act as
filtering devices that information must pass through before it can used.
These three perception components (selection, organization, and interpretation) plays a part
in determining buyer’s response to you and to your sales presentation.
A sales presentation that appeals to the buyer’s five senses helps to penetrate perceptual
barriers. It also enhances understanding and reception of the information as you present it.

Selective exposure – ignore or quickly forget other information, and only a portion of
the information an individual is exposed is selected to be organized, interpreted, and allowed
awareness.

Selective distortion – receives information that is inconsistent with existing beliefs

and attitudes

Selective retention – buyers may remember only the information that supports their
attitudes and beliefs, and forget what does not. These perception help explain why a buyer
may or may not buy.

Buyer’s Personality should be Considered

Personality can be viewed as the individual’s distinguishing character traits, attitudes, or

habits. Although it is difficult to know exactly how personality affects behavior, it is generally
believed that personality has some influence on a person’s perceptions, attitudes, and beliefs.

Self- Concept

The view of one’s self, internal or personal self-evaluation may influence a buyer’s attitude
toward the products desired or not desired.

1. Real Self - people as they actually are

2. Self- Image – how people see themselves

3. Idea Self – what people would like to be

4. Looking Glass Self – how people think others regard them

Adaptive Selling Based on Buyer’s Style

Uncover any additional aspects of the prospect’s personality that might influence a decision to
buy so that you can further adjust your sales approach.

Adaptive Your Presentation to the Buyer’s Style

The major challenge is to adapt your personal style to best relate to the people you deal with.
The objective is to increase your skill at recognizing the style of the people you deal with.

1. Thinker Style – this person places high value on logic, ideas, and
systematic inquiry.

2. Feeler Style – this person places high value on being people oriented and
sensitive to people’s needs.

3. Senser Style – this person places high value on action

4. Looking Glass Self – how people think others regard them

Classify Buying Situation

People have more difficulty in selecting, organizing, and interpreting information when
purchasing an automobile.
People have the type of personality and resources that allows them to quickly purchase an
expensive product.

Low High
Investment Investment

Routine Limited Extensive

Decision Decision Decision
Making Making Making
Some Decisions Are Routine

People are in the habit of buying a particular product. People’s attitudes and beliefs toward
the product are already formed and are usually positive.

Some Decisions Are Limited

A moderate level of actual buyer involvement in the decision. Buyers know the general
qualities of goods in the product class, but they are not familiar with each brands features,
advantages, and benefits.

Some Decisions Are Extensive

Requires more of an investment in time and money than the limited decision.

Buyer’s as Decision Makers

Buyers, whether individuals or industrial purchasing agents, are constantly exposed to

information about various products.

1. Need Arousal – buyers may experience a need, or the need can be triggered by
the salesperson

2. Collection of Information – buyers collect information about the product they

wanted to purchase through salesperson.

3. Information Evaluation – buyers process all the information about the products
and matches this information with needs, attitudes, and beliefs, as discussed
earlier, in deciding.

4. Purchase Decision – buyers may be confused about the product will he/she
wanted to purchase, the tension of anxiety may be experienced.
II. Communication for Relationship Building

Communication

The act of transmitting verbal and nonverbal information and understanding between the
seller and the buyer. Communication channels during sales presentation take many forms.
Ideas and attitudes can be effectively communicated by media and other languages.

Eight Major Communication Elements

The act of transmitting verbal and nonverbal information and understanding between the
seller and the buyer. Communication channels during sales presentation take many forms.
Ideas and attitudes can be effectively communicated by media and other languages.

1. Source

2. Encoding Process

3. Message

4. Medium

5. Decoding Process

6. Receiver

7. Feedback

8. Noise

Concept of Space

Territorial Space – refers to the area around the self that a person will not allow
another person to enter without consent.

Intimate Space – up to 2feet, or about arm’s length, is the most sensitive zone.

Personal Space – the closest zone a stranger or business acquaintance is normally

allowed to enter.

Social Space – the area normally used for a sales presentation.

Public Space – salesperson making a presentation to a group of people.

Space Threats

The act of defending the particular person’s space of territory.

Space Invasion

The prospect who allows you to enter or invade personal and intimate space.

Communication through Appearance and Handshake

Common method of nonverbal communication is signal conveyed by a person’s physical

appearance and handshake.

Style Hair Carefully

Dress as a Professional

Shake Hands Firmly

Look People in the Eye

Body Language

The salesperson can learn much from prospect’s raised eyebrow, a smile, a touch, a scowl, or
reluctance to make eye contact during sales presentation

Three Types of Messages

1. Acceptance Signals – indicate that your buyer is favorably inclined toward you
and your presentation

2. Caution Signals – indicate that your buyer is either neutral or skeptical toward
what you say

3. Disagreement Signals – indicate that your buyer is immediately tell you to stop the
presentation and quickly adjust to the situation.
Barriers To Communication

1. Difference of Perception

2. Buyers Does Not Recognize a Need for Product

3. Selling Pressure

4. Information Overload

5. Disorganized Sales Presentation

6. Distraction

7. Poor Listening

8. How and What You Say

9. Not Adapting to Buyer’s Style

Persuasive Communication to Maintain Control

The salesperson wants to be good communicators to persuade people to purchase their

products. Persuasion means the ability to change a person’s belief, position or course of
action. The more effective you are at communicating the greater your chances of being
successful at persuasion.

The Three Levels of Listening

These levels require various degrees of concentration by the listener;

1. Marginal Listening – Involves the least concentration, and typically listeners are
easily distracted by their thoughts. A listener exhibits blank stares, nervous
mannerism, and gestures that annoy the prospect and cause communication
barriers.

2. Evaluative Listening – Requires more concentration and attention to the speaker’s

word. Listener actively tries to hear what the prospects says, but isn’t trying to
understand the intent. Instead of accepting and trying to understand a prospect’s
message.

3. Active Listening – Most effective level of listening, that listener refrains from
evaluating the message and tries to see the other person’s point of view. Listener
puts herself into someone’s else shoes.