Ch. 4 The Psychology of Selling: Why People Buy Chapter 4 Copyright © 2006 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin.

Ch. 4 The Psychology of Selling: Ch. 4 The Psychology of Selling: Why People BuyWhy People Buy

Ch. 4 The Psychology of Selling: Ch. 4 The Psychology of Selling: Why People BuyWhy People Buy

Chapter

Chapter

4

Copyright © 2006 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin

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Exhibit 4-1: Why People Buy–The Black Box Approach

Internalization process is referred to as a black box we can’t see into the buyer’s mind

Stimulus-response model

Exhibit 4-1: Stimulus-response model of buyer behavior

Stimulus Black box Response

Sales PresentationBuyer’s Hidden Mental Process Sale/No Sale

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What’s Known About Mental Process

People buy for practical and emotional reasons

Some thoughts can be determined

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Psychological Influences on Buying

Motivation to buy must be there Needs - lack of something desirable Wants - needs learned by the person

Economic needs: The best value for the money Price, quality, convenience, and service

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Psychological Influences on Buying, cont…

Awareness of needs: Some buyers are unsure conscious need preconscious unconscious

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A FABulous Approach to BuyerNeed Satisfaction

Stressing benefits is a very powerful selling technique

FAB selling technique helps emphasize benefit

Feature

Advantage

Benefit

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The Product’s Features: So What?

Feature – a physical characteristic Many salespeople emphasize features Examples:

size color

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The Product’s Advantages: Prove It!

Advantage - a performance characteristic The chances of making a sale are increased

by describing the product’s advantagesHow a product can be usedHow a product will help the buyerExamples:

rapid copy on both sides

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The Product’s Benefits: What’s in it for Me?

Benefit – People are interested in what the product will

do for them Emphasizing benefits increases sales

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People Buy Benefit(s)

Notice national television commercials stress benefits

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People Buy Benefit(s)

High performing salespeople

They know this increases their chances

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What’s In It For Me?

Stressing benefits in the sales presentation answers the prospect’s question

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Can Not Leave Out Features and Advantages

In the sales presentation it is also important to mention features and advantages

Here is an example of how to stress a benefit while including a feature and an advantage:

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Example: Sporting Goods Salesperson to Customer:

“With this ball, you’ll get an extra 10 to 20 yards on your drives (advantage) helping to reduce your score (benefit) because of its new solid core (feature).”

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FABs Can Be Awkward at First

New salespeople are frequently not accustomed to using feature, advantage, and benefit phrases

It may seem awkward at first

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Use the FAB Sequence

The standardized FAB Sequence can be used as follows: The…(feature)…means you…(advantage)…with

the real benefit to you being…(benefit)….

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How to Determine Important Buying Needs–A Key to Success

L-O-C-A-T-E

L

O

C

A

T

E

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The Trial Close–a Great Way to Uncover Needs and Sell

The trial close asks for an opinion, not a decision to buy

It gives feedback. The trial close is one of the best

communication techniques in the sales presentation

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The Trial Close Helps You to Determine:

Whether the prospect likes the product’s FAB

Whether you successfully answered objection

Whether any objections remain Whether the prospect is ready for you to

close

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In These Examples of Trial Closes, Notice They Do NOT Ask Someone to Buy Directly “How does that sound to you?” “Is this important to you?” “Can you see how this can benefit you?” “I notice your smile. What do you think

about…?”

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Trial Closes

For example: You just answered a question.Trial close: Does thatYou just finished talking about a proposal.Trial close: Am I

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To Help You Properly Use

The FAB selling technique and the trial close, incorporate the SELL Sequence into your presentation

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SELL Sequence SELL Sequence

- Show Feature

- Explain advantage

- Lead into benefit-Let customer talk-

-Use throughout presentation

SELL

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Personality typingReal self I amSelf image I think I am Ideal image I would like to beLooking glass self: how people think I am

Adaptive Selling Based on Buyer’s Style

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Watch for Clues to Someone’s Personality Type

How would you describe this person? What is their time orientation – past, present,

future? What does their desk look like? What does their room look like? How do they dress?

Types of personality

The Thinker: logic, systematic inquiry

The Intuitor : knowledgeable/ futurist

The Feeler: people oriented/sensitive

The Senser: Action/ to the point!

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Determining Style Can Be Difficult

What is the person’s primary style? What is the person’s secondary style? Does the person’s style comprise all four

types?

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First Know Your Style

This helps you to adapt to the style of your client

Which leads to more sales

Knowing your style helps you identify a person’s style, especially if your styles are the same (It takes one to know one)

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Exhibit 4-10: The Three Classes of Buying Situations

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View Buyers as Decision Makers

Five basic steps in the buying decision1. Need arousal

2. collection of info.

3. info. evaluation

4. purchase decision

5. PostpurchaseSatisfactionDissonance (buyer’s remorse)

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Exhibit 4-12: Personal, Psychological, and Social Forces that Influence Consumers’ Buying Behavior

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Remember—satisfied customers are easier to sell to!