Consultative selling e

Robere & Associates (Thailand)
Ltd.
1
Consultative SellingConsultative Selling
““How to Build Partnerships inHow to Build Partnerships in
Business Relationships”Business Relationships”
by: Robere & Associates (Thailand) Ltd.by: Robere & Associates (Thailand) Ltd.

Ltd.
2
Morning AgendaMorning Agenda
 Opening ActivitiesOpening Activities
 Getting AcquaintedGetting Acquainted
 To Consult or Not to Consult?To Consult or Not to Consult?
 Everybody WinsEverybody Wins
 Researching Target ClientsResearching Target Clients
 Assumptions, AssumptionsAssumptions, Assumptions
 Three Things to Learn About Potential ClientsThree Things to Learn About Potential Clients
 Research StrategiesResearch Strategies
 Preparing Specific Questions to Ask ClientsPreparing Specific Questions to Ask Clients
 Testing Your Market ResearchTesting Your Market Research
 The SPIN SequenceThe SPIN Sequence
 The Difference Between Implication and Need-Payoff QuestionsThe Difference Between Implication and Need-Payoff Questions
 Developing SPIN QuestionsDeveloping SPIN Questions
 Practicing SPIN QuestionsPracticing SPIN Questions

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Afternoon AgendaAfternoon Agenda
 Suggesting SolutionsSuggesting Solutions
 An Investment, Not a CostAn Investment, Not a Cost
 The PAR MethodThe PAR Method
 Composing PAR PresentationsComposing PAR Presentations
 Closing ActivitiesClosing Activities
 Index Card MatchIndex Card Match
 Your Next StepsYour Next Steps
 SummarizationSummarization

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Objectives..Objectives..
 To be aware of the value ofTo be aware of the value of
consulting customersconsulting customers
 To identify three areas to researchTo identify three areas to research
about potential clientsabout potential clients
 To develop skills in askingTo develop skills in asking
questions to diagnose clientquestions to diagnose client
needs,objectives, and expectationsneeds,objectives, and expectations
 To create ways to present businessTo create ways to present business
solutionssolutions

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I. Opening Activities..I. Opening Activities..
 Getting AcquaintedGetting Acquainted
 To Consult or Not to Consult?To Consult or Not to Consult?
 Everybody WinsEverybody Wins
– Form AForm A

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To Consult or Not to Consult?To Consult or Not to Consult?
(Role play :10 Minutes)(Role play :10 Minutes)
 Discuss one product or service that most members areDiscuss one product or service that most members are
unfamiliar with or have not as yet “purchased”.unfamiliar with or have not as yet “purchased”.
 A one-minute “sales presentation”.A one-minute “sales presentation”.
 Talk about features and benefits of the chosenTalk about features and benefits of the chosen
product/service.product/service.
 No Question.No Question.
 How can this product or service solve any problemsHow can this product or service solve any problems
they face or might meet nay personal needs they have.they face or might meet nay personal needs they have.
 Discuss.Discuss.

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Everybody WinsEverybody Wins
(Self-Assessment: Form A)(Self-Assessment: Form A)
 Consultative selling is based on theConsultative selling is based on the
idea that everybody wins in anidea that everybody wins in an
enduring business relationship.enduring business relationship.
 Some organizations have not madeSome organizations have not made
the shift as completely as others.the shift as completely as others.
– Form AForm A
 Complete the questionnaire andComplete the questionnaire and
share responses with members ofshare responses with members of
your team.your team.

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II. Researching Target ClientsII. Researching Target Clients
 Assumptions,Assumptions,
AssumptionsAssumptions
 Three Things to LearnThree Things to Learn
About Potential ClientsAbout Potential Clients
 Research StrategiesResearch Strategies

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Researching Target ClientsResearching Target Clients
(Assumptions, Assumptions: Subgroup Discussion)(Assumptions, Assumptions: Subgroup Discussion)
 Discuss the “unwarrantedDiscuss the “unwarranted
assumptions” made in each salesassumptions” made in each sales
presentation.presentation.
 The first step in moving to aThe first step in moving to a
“consultative orientation” is to“consultative orientation” is to
research potential clients’ needs,research potential clients’ needs,
objectives, and expectations.objectives, and expectations.

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Three Things to LearnThree Things to Learn
About Potential ClientsAbout Potential Clients
NeedsNeeds
ObjectivesObjectives
ExpectationsExpectations

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Needs….Needs….
 Underlie every salesUnderlie every sales
opportunityopportunity
 Your clients wantYour clients want
something that willsomething that will
make them happier andmake them happier and
more effectivemore effective
 Your job: to discoverYour job: to discover
these needs that formthese needs that form
their buying motivestheir buying motives

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ObjectivesObjectives
 Clients stated wishesClients stated wishes
 You help define theYou help define the
service or productservice or product
featuresfeatures that yourthat your
customers wantcustomers want
 Should be specific andShould be specific and
measurablemeasurable

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ExpectationsExpectations
 Convey the results orConvey the results or
benefitsbenefits your customersyour customers
are seeking from yourare seeking from your
service or productservice or product
 Represents informationRepresents information
to be obtained fromto be obtained from
your clients to makeyour clients to make
sure that theirsure that their
objectives will beobjectives will be
satisfied after the salesatisfied after the sale

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World Dryer Corporation:World Dryer Corporation:
““To serve you better, we have installed pollution-To serve you better, we have installed pollution-
free warm air hand dryers to protect you fromfree warm air hand dryers to protect you from
the hazards of disease which may bethe hazards of disease which may be
transmitted by towel litter.transmitted by towel litter.
This quick sanitary method dries moreThis quick sanitary method dries more
thoroughly, prevents chapping, and keepsthoroughly, prevents chapping, and keeps
washrooms free of tower waste.”washrooms free of tower waste.”

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Research StrategiesResearch Strategies
(Brainstorming)(Brainstorming)
 Imagine that you have to provideImagine that you have to provide
storage space to SME’s (Smallstorage space to SME’s (Small
Medium Enterprises).Medium Enterprises).
 What are your strategies?What are your strategies?
 Use good brainstormingUse good brainstorming
techniques to discover the needs,techniques to discover the needs,
objectives and expectations ofobjectives and expectations of
your potential clientsyour potential clients

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Research StrategiesResearch Strategies
(Continue)(Continue)
 Select a business-related product or service youSelect a business-related product or service you
want to sellwant to sell
 Brainstorm ways to research your target clients’Brainstorm ways to research your target clients’
needs, objectives, and expectations.needs, objectives, and expectations.
 What do you think are the needs , objectives, andWhat do you think are the needs , objectives, and
expectations of your clients, as a group?expectations of your clients, as a group?
 How do some of your clients differ in terms ofHow do some of your clients differ in terms of
their needs, objectives, and expectations?their needs, objectives, and expectations?

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III. Preparing SpecificIII. Preparing Specific
Questions to Ask ClientsQuestions to Ask Clients
 Testing Your Market ResearchTesting Your Market Research
 The SPIN SequenceThe SPIN Sequence
– Forms B and CForms B and C
 The Difference Between Implication andThe Difference Between Implication and
Need-Payoff QuestionsNeed-Payoff Questions
 Developing SPIN QuestionsDeveloping SPIN Questions
 Practicing SPIN QuestionsPracticing SPIN Questions
– Form DForm D

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Preparing Specific Questions to Ask ClientsPreparing Specific Questions to Ask Clients
(Testing Your Market Research)(Testing Your Market Research)
 When a consultative salesperson is about toWhen a consultative salesperson is about to
make contact with a prospective or repeatmake contact with a prospective or repeat
customer, he or she has only hypothesescustomer, he or she has only hypotheses
about the client’s needs, objectives, andabout the client’s needs, objectives, and
expectations.expectations.
 SpinSpin
– SituationSituation
– ProblemProblem
– ImplicationImplication
– Need-payoffNeed-payoff

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The Spin SequenceThe Spin Sequence
(Exercise Form B, C : 20 minutes)(Exercise Form B, C : 20 minutes)
 Review the following points:Review the following points:
– Not to ask too many questionsNot to ask too many questions
– Try to understand the clients’ underlying needs.Try to understand the clients’ underlying needs.
– In small sales :In small sales :
• Suggest solutions to the client at this timeSuggest solutions to the client at this time
– In large sales :In large sales :
• Implication questions help both the seller and the clientImplication questions help both the seller and the client
assess how serious the problems are.assess how serious the problems are.
– Need-payoff questions to determine the value or usefulness ofNeed-payoff questions to determine the value or usefulness of
solving the problems.solving the problems.

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The Difference Between ImplicationThe Difference Between Implication
and Need-Payoff Questionsand Need-Payoff Questions
 Need-payoff questions are hard to distinguishNeed-payoff questions are hard to distinguish
from implication questions.from implication questions.
 What difference you see in the two questionsWhat difference you see in the two questions
– A. Seller :A. Seller : Has the slowness of your system lost you customer?Has the slowness of your system lost you customer?
Client : It sure has!Client : It sure has!
– B. Seller : The JYC System is 5 times faster than the oneB. Seller : The JYC System is 5 times faster than the one
you’re currently using. How many customers will youyou’re currently using. How many customers will you
retain if you adopted it?retain if you adopted it?
Client: Maybe a dozen.Client: Maybe a dozen.

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Developing SPIN QuestionsDeveloping SPIN Questions
 Identify either products or services you want to sell.Identify either products or services you want to sell.
 Assume that you have just two visits with your newAssume that you have just two visits with your new
clients to build the foundations of your long-termclients to build the foundations of your long-term
relationships.relationships.
 Write down some questions you want to ask to clarifyWrite down some questions you want to ask to clarify
your clients’ situations.your clients’ situations.
 Divide into pairs.Divide into pairs.
– One will be the seller who will ask questions to the client.One will be the seller who will ask questions to the client.
– The other will be the client who will make up answers.The other will be the client who will make up answers.

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Developing SPIN QuestionsDeveloping SPIN Questions
(continue)(continue)
 Develop an inventory of questions for each of theDevelop an inventory of questions for each of the
remaining levels .remaining levels .
 Create 1-3 potential problems the client faces.Create 1-3 potential problems the client faces.
 Write down some problem questions that eachWrite down some problem questions that each
would ask to uncover each of the problems thatwould ask to uncover each of the problems that
have been anticipated.have been anticipated.
 Write down some possible implication and need-Write down some possible implication and need-
payoff questions that might flow from his or herpayoff questions that might flow from his or her
line of questioning.line of questioning.

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Practicing SPIN QuestionsPracticing SPIN Questions
(Skill Practice : Form D)(Skill Practice : Form D)
 Interview one another by using the inventory of SPINInterview one another by using the inventory of SPIN
questions as a guide.questions as a guide.
– An effective interview has a good flow to it.An effective interview has a good flow to it.
– It is important to build on the client’s previous responses ratherIt is important to build on the client’s previous responses rather
than to adhere rigidly to a script of questions.than to adhere rigidly to a script of questions.
 After interviewAfter interview
– Fill out form D to give feedback to partnerFill out form D to give feedback to partner
 Debrief each interviewDebrief each interview
– How did it feel to use the SPIN sequence?How did it feel to use the SPIN sequence?
– Which questions were the most difficult?Which questions were the most difficult?
– How did it feel to be the client?How did it feel to be the client?

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IV. Suggesting SolutionsIV. Suggesting Solutions
 An Investment, Not a CostAn Investment, Not a Cost
 The PAR MethodThe PAR Method
 Composing PAR PresentationsComposing PAR Presentations

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An Investment, Not a costAn Investment, Not a cost
““When a client does business withWhen a client does business with
you, the business solutions youyou, the business solutions you
offer should be viewed as anoffer should be viewed as an
investmentinvestment not anot a cost.cost.
What does this sentence mean to you?What does this sentence mean to you?

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The PAR….The PAR….
 Once the “needs,Once the “needs,
objectives andobjectives and
expectations” are found,expectations” are found,
you can now presentyou can now present
solutionssolutions
 The goal is to show yourThe goal is to show your
client that he/she isclient that he/she is
making an “making an “investment”investment”

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Par Example..Par Example..
““ABC company also had a problem contain theABC company also had a problem contain the
costs of health care for their employees. So,costs of health care for their employees. So,
we proposed to them a strategy for establishwe proposed to them a strategy for establish
an ‘umbrella benefits’ feature for theiran ‘umbrella benefits’ feature for their
employees. As a result, health care costsemployees. As a result, health care costs
were reduced by 10%.were reduced by 10%. I’d like to explainI’d like to explain
this solution to their problem further to youthis solution to their problem further to you
and you tell me if it represents the solutionand you tell me if it represents the solution
you are seeking as well.”you are seeking as well.”

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Your Presentation Should have:Your Presentation Should have:
AA BeginningBeginning (Problem defined)(Problem defined)
AA MiddleMiddle (an Action to be taken)(an Action to be taken)
AnAn EndEnd (the Result)(the Result)

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Team Exercise: - Form ETeam Exercise: - Form E
Create a “PAR” storyCreate a “PAR” story
lineline
Share with your teamShare with your team
mates.mates.
The “PAR” is a goodThe “PAR” is a good
“habit” to follow..“habit” to follow..

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V. Closing Activities:V. Closing Activities:
Your Next Steps:Your Next Steps:
 When serving a client in the future, oneWhen serving a client in the future, one
thing I am going tothing I am going to stopstop is:is:
__________________________________________
 When serving a client in the future, oneWhen serving a client in the future, one
thing I am going to start is:thing I am going to start is:
________________________________________________________________
(Fill in your answer in the space below)

31
AnyAny
QuestionsQuestions??

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paul@robere.compaul@robere.com
www.robere.comwww.robere.com
Join the: “QMRC”Join the: “QMRC”
QQualityuality MManagementanagement
RResourceesource CCenterenter
Still haveStill have
questions?questions?

Consultative selling e

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