BASIC - SALESMANSHIP



BASIC SALESMANSHIP - LESSON ONE

This is a lesson on Basic Salesmanship or, more specifically, on understanding the process of selling and buying. Most of our customers come from an installation background. They never had to make a living strictly from selling, and have probably never had any extensive sales training. Therefore, I will start with some of the most basic concepts to help you fully understand how this series of lessons all fit together logically.
Are you a salesperson?

First, who is a salesperson? The correct answer is EVERYONE! We are always presenting (selling) ourselves, our ideas or our opinions in every conversation that we have. If we are presenting our feelings, it is usually done in such a way as to solicit a desired response (e.g., happiness, empathy, sadness, compassion, etc.). We have been doing this all of our lives, and it is a natural part of our daily routine. Once this is understood, the thought of having to sell something to someone should be a little less frightening. You will notice that the word "selling" will be used very little in these lessons, compared to the word "presentation". Are they the same? The answer is "No"! The actual term is a sales presentation. The presentation starts with your first introduction to the customer, and continues until the contract has been signed. The end of a successful sales presentation is the sale.
The next step is to understand how someone buys a product or service.

How Does Someone Buy Something?

When someone buys something they are usually happy and excited about it. When you get into the basics of selling, it is very important for you to understand exactly how someone buys something. This is a lot easier than it sounds. To understand how, you simply have to ask yourself a question: How do you buy the things that you buy? I'm not talking about the necessities or impulse items, I'm talking about anything that you have ever purchased which cost you over $1,000.

Think about it.......

If you had to go to a store to buy the item, was it a professional looking building with a number of choices all on display for you to choose from, or was it a "back room" operation which had only a few items on display and needed a good cleaning?
Did the salesperson present a good appearance, and not in need a shave, a bath and some clean clothes?
Did the salesperson that you bought from know what they were talking about and answer all of your questions, or did you know more about the item than they did?
Did you buy the item because you could see (or understand) that you were getting a good quality (value) for your money, or was it simply the cheapest thing available?
Was the item under a manufacturer's warranty that would be honored, or were you "on-your-own" the minute that you received the item?
Since we are talking about an item over $1,000, I can assume that you purchased it from a professional looking facility which gave you a number of choices, and from a knowledgeable person with a professional appearance who knew what they were talking about. I will also make the assumption that because of the amount of money you were going to spend, you made sure that you would get the highest quality for your money, with a good factory warranty in case of any problems. Surprise! This is exactly the same process that your customers go through when they buy your security system.
In the above example, you probably think that I neglected to mention price as one of the factors of why you purchased the item. You are wrong, the price was covered with the question: Did you buy the item because you could see (or understand) that you were getting a good quality (value) for your money, or was it simply the cheapest thing available? Price is never based solely upon the amount of money that you think you want to spend, it is based upon the perceived value that you will get for your investment.

Let me give you an example:

You and I have a meeting in my office because you want to talk about your accounts. You only have $20.00 with you, and you have no plans of spending a penny during our meeting. During the meeting I tell you that I have an immediate need for $500, and I show you a Rolex watch that my father left to me. It has diamonds on it, and I have the original receipt which shows the purchase price was $2,500. How fast could you get $500 to purchase the watch? I would assume that you would get the money very quickly, and once you had it in your possession you probably would think that you made the deal of the century.
But, wait a minute! You did not come to buy anything, and yet you ended up buying, and to do it you had to get $480 more than you had with you. And, you are happy about it! Why? Well, in this example, it would probably be because you would get a considerable return on your investment by reselling the watch ( perceived value for your investment).
Important points:

Everyone is a salesperson

The end of a successful sales presentation is the sale.

The things that are important to you (and your potential customer) when you purchase an expensive item are:

-The environment where you purchase the item.
-The overall appearance of the salesperson.
-The knowledgeable presentation that the salesperson made.
-The quality (value) that you would get for your money, and
-The warranty if there are any problems.

Price is never based solely upon the amount of money that you think you want to spend, it is based upon the perceived value that you will get for your

BASIC SALESMANSHIP - LESSON TWO

In the last lesson, I gave an example of how the store where you purchased your last $1,000 item gave you confidence that it was the right place to buy the product. This was because of the way that it looked on the outside, and the layout of the interior.
You do not have a retail store for the customer to come to; however, you do have a truck which is going to be parked in front of their house for their neighbors to see. What statement is the vehicle going to make? Does it look clean and professional, with a good advertisement for your company so that the neighbors will be impressed enough to also call you for an alarm system? Does it make your customer feel like they have made the right choice because of the professional appearance? Or, does it look as if you have been using it in the demolition derby on the weekends, and your potential customer is embarrassed to have it in front of their house?
Is this really important? You bet it is! Always remember, you can never take back your first impression. You do not have to have a new vehicle that looks as if you just drove it out of the showroom, but the customer will look at it with a certain judgment. Before I expand on that, let's put in the next piece of the puzzle, which is you. (The word "you" in these lessons will refer to everyone that the potential customer will see who is representing your company.)
When your potential customer meets you for the first time, what do they see? Do you present a professional image, or do you look as if you just crawled out of an attic and forgot to clean up? This is just as important as the impression your vehicle will make, and is vital to the first thing that your customer MUST have, if the presentation is going to continue with any success: a feeling of confidence. This is the same feeling that you had when you entered the store to buy your $1,000 item. You don't know exactly what you expected to see; however, everything that you did see made you comfortable and gave you a feeling of confidence. The opposite of this is seeing something that looks out-of-place, and immediately you get these "danger signals" which make you feel as if you should immediately start looking for a way out. If your customer gets this feeling, forget the sale. Anything beyond this point is futile.

Why Does A Person Buy Something?

When you are trying to persuade a person to buy something (especially when it involves a great deal of money), is it important to understand the reason that person would buy anything? This might sound like an easy question, but remember we are exploring the very basics of salesmanship, and this is the part that most people understand the least.
Let's go back to you, and the last $1,000 item that you purchased. I want to ask you a question about it: Right after you bought it, what did you think about it? That might be hard to answer, so let me ask the question another way: Right after you bought it, how did you feel? That should be a very easy question to answer. You probably felt happy, joyful, proud, excited and very eager to use the product. Why does the second question make more sense? Because buying is an emotional experience.
A basic rule of salesmanship is that people buy with their emotions, and justify their purchase with logic. Do you remember the feeling that you had when you decided to purchase your $1,000 product? It was probably a feeling of confidence in your decision. This is the same feeling that your potential customer must have before they will agree to purchase your security system. That feeling of confidence, which leads us to another basic fundamental which has to be understood.

How Do People Get Their Feelings?

If you are going to instill a positive feeling in your potential customers, a very basic understanding of what causes feelings is necessary. First, all feelings are initiated in your brain (computer), which receives its input (data) from your senses. These are sight, sound, touch, smell and taste. These senses are at work at all times, and are sending the data which informs you of everything that is going on around you. It is an automatic process, and there is nothing that you can do to stop it.
The initial sense that occurs in any new situation is the detection of danger. If potential physical danger is detected, a number of physiological changes occur. First, your skin actual begins to tighten, which gives you a feeling that your hair is standing on end. This also strengthens the skin so that it is more resistant to cuts or abrasions. At the same time adrenaline is secreted into your system, which increases your heart rate, gives you energy, heightens your senses and acts as a coagulating agent for your blood if you are wounded. This automatic function has prepared your body for "fight and/or flight", depending on how you analyze the physical danger.
We are not putting our potential client in any physical danger when we give a sales presentation; however, this is a new situation, and all of their senses are going to be operating as normal. Since we do not involve taste, smell or touch in our presentations, everything is going to be determined on what they see and hear. The conscience mind will be listening and watching, and the subconscious mind will be analyzing the information. Most of the time the results will manifest themselves as feelings.
As a practical example of how this works, let's go back to your purchase of that $1,000 item. How did you feel:
When you drove into the parking lot and looked at the outside of the store?
When you walked into the store and looked around for the first time?
When you met the salesperson?
When you were watching the demonstration of products?
When you made your final selection, and decided to buy?
The normal feeling in a professional sales presentation is that of being in a comfortable situation. You feel at ease so that you can relax your defenses and enjoy the experience. The environment gives you confidence, and the presentation is non-threatening.
If the situation was different, you would not feel at ease because the environment is not what it should be, and you have an ignorant salesperson who is trying to high pressure you into buying what they want to sell you.
In that case your senses would give you an uncomfortable feeling, and would prepare you for fight or flight. The fight would be you telling the salesperson that you are not interested in their product, and the flight would be you getting away from this person and out of the door as soon as possible.
It is only when you get far away from this situation that you begin to get back your peaceful feelings. This has happened to all of us more times than we would like, and it will happen to our prospective customers during our presentations if we are not aware of their automatic responses and are able to maintain a comfortable feeling throughout the presentation.
Important points:
Always remember, you can never take back your first impression.
A basic rule of salesmanship is that people buy with their emotions, and justify their purchase with logic.
Your potential customer is going to have to feel that they are safe (no sense of danger) throughout the sales presentation. This sense of well being will be caused by everything that they see and hear

BASIC SALESMANSHIP - LESSON THREE

I would like to start by reviewing some of the main points which have been covered in the previous lessons. These are:
Everyone is a salesperson: you are always selling yourself, your ideas or opinions.
The things that are important to you when you purchase an expensive item are the same things that are important to your potential customer.
Always remember, you can never take back your first impression.
A basic rule of salesmanship is that people buy with their emotions, and justify their purchase with logic.
Price is never based solely upon the amount of money that you think you want to spend, it is based upon the perceived value that you will get for your investment.
Your potential customers have to feel they are safe (no sense of danger) throughout the sales presentation.
This sense of well being will be caused by everything that they see and hear.
We can now turn our attention to the sales presentation. This presentation starts with the first contact with someone representing your company, and continues until the system has been installed and the last person is walking out the door. You might ask: "Why so long, I thought the presentation was over when the contract was signed?" You are partially correct. The sales transaction is over; however, there are a lot of other factors to consider.
First, there is always the three day "right of rescission" (or buyer's remorse) law, which gives the customer a chance to re-think their decision and to change their mind.
Second, you want your customer just as excited about their new security system when you finish the installation, as they were when they signed the contract. What would stop this from happening? A number of things, such as:
Your customer has a perceived standard of quality which was derived from everything they have seen and heard up until now. Unfortunately, when your installers arrive, they looked and acted like the three stooges!; or,
Your installers look acceptable, but they hooked up three infrared detectors and are unable to get any of them to work properly; or
The system works properly, but the installers left the house a mess, etc.
The best sales representative that you will ever have is a brand new customer. They are happy and proud of their new purchase, and they want to tell people about it. (Remember how you felt when you purchased your last item over $1,000?) Unfortunately, if anything negative happens from the time the contract is signed until the installation is completed, the customers enthusiasm to spread the word may be lost.

The Sales Presentation

Please remember, this is an article on the basic concepts of selling. Your presentation will be based upon your customer's actual needs and budget; however, all presentations are basically alike because of the factors involved. These start with who you are, which includes:
The initial introduction of yourself (and/or salesperson), and
The introduction of your company, which would include showing your license from the Bureau of Security and Investigations, (for California only), and explaining the license, including the background criminal investigation. This educates the customer and establishes you as a licensed professional which starts to build confidence in you, and
A statement of what you have to offer them (why you are there, or more correctly, what's in it for them).
Is this opening sequence really important? Yes!, it is. There is a general principal that states: "Even a brand new salesperson will be able to close 1 out of 10 sales presentations." That sounds encouraging; however, the new salesperson may have to talk to 100 people before someone will let them make a presentation. Whether or not you get to make the presentation may (and often time does) depend upon the potential customer's initial evaluation of you and/or your salesperson, and this may occur during the first few seconds.
When I was in submarine school in New London, Connecticut, I joined a company that sold very expensive waterless cookware. It was a "high ticket" item, especially for military families, and the presentation took a minimum of one hour to cover all of the points (which included the close). Every part of the presentation was critical to building value.
After I got out of the navy, I spent a few years in cable television marketing, and then became the Director of Operations for the first pay movie channel in California. The years I spent in this field gave me a wealth of experience, both from training of door-to-door salesman (including taking them all in the field to show them how it is done), and the many seminars that my company sent me to. Door-to-door selling would seem like a fate worse than death to some people, but it is a fantastic experience once you master the techniques.
The first thing we had to know was how to control the impact of the first appearance. When a person came to the door, there were a number of negative factors which immediately had to be overcome:
The person who came to the door was doing something when you rang the door bell, and you disturbed them, and
Usually when you are disturbed, you try to get rid of the disturbance as quickly as possible, and
The person definitely did not get up and go to the door to buy anything.
Based upon these factors, many psychological studies have been done in order to develop successful techniques for door-to-door salespeople. These studies were very interesting and determined two very important factors (laws). If you were to get inside the residence to give your presentation:
1)You have approximately 20 seconds to introduce yourself and your company, explain why you are there (why you disturbed them), what you want to do for them and how long it will take. This basically is one statement, and it must be given in a way that is totally non-threatening; and,
2)Usually what the potential customer sees and hears in the first 10 seconds will determine if they will open the door and let you in to give your presentation.
You are not under this type of immediate scrutinization, however the same factors apply, and by understanding more of how your potential customer perceives you, the more you will be able to control that perception in a way that will be beneficial to you.


BASIC SALESMANSHIP - LESSON FOUR

What is a sales presentation?

Giving a sales presentation can be compared to moving a building that is made out of stone. A foundation would have to be laid at the new location to put the building upon, and then the building would be disassembled, the stones numbered, then moved to the new location and then reassembled upon the new foundation in reverse order so that the building is the same as you started with.
You have a certain end result in your mind when you meet a perspective customer. This is usually a picture of a happy customer that feels good about their new system and is excited enough to show it to their neighbors and family. And, someone who feels very good about the investment that they have made in providing safety and peace of mind to their family. The presentation would be taking this result, and moving it from your mind to theirs.
There is an example used for sale training to demonstrate how to close a sale by asking only four questions. This example makes the assumption that an alarm salesman has been called to give an estimate. The questions are:
1) Why did you call me? - This has the potential customer tell you why they think you can do the job (establishes your credibility).
2) What do you want me to do for you? - The customer will tell you the type of security system they want (establishes their emotional need).
3) How much would you be willing pay for a system that can do what you want? - The cost the customer wants to pay will be based upon two things: First, how much credibility they place in you to do the job; and second, how much emotional satisfaction that system would bring them. The higher your credibility and their emotional need, the higher the price (value) they will put on the system.
4) When can I install your system for you? If the customer has decided you are the person for the job, the system is what they want, and the price that they are willing to pay will give you a fair profit, then the only thing left to decide is how they will pay you, and when you will do the installation.
This is a very simple example; however, these four questions establish all of the elements of a successful presentation. The only problem is that you can not ask these questions, because in most cases the potential customer does not know the answers. It is your presentation that will educate the potential customer, which will expand your credibility, and establish the emotional desire and build the value of the system. (Note: a successful presentation will build the value of the product (system) so high that when the customer is told the price, they feel it is less than they expected and is a real bargain.)
Here are the steps of a successful presentation.
1) The Introduction (laying the foundation) - This would include a history of your company, your experience, some of the accounts that you have and what you want to present to them. This has to be done in a way that puts the potential customer at ease while building credibility.
2) Establishing the need. Here you could give some statistics about crime in their city (or their neighborhood) which is available at the police department, and ask them if they personally know anyone who was burglarized or robbed. This starts building confidence in you as a representative who knows what they are talking about.
NOTE: Once this dialog is established, this is a perfect time to qualify this person to see if they are a potential customer (if this had not been done over the telephone). This can easily be done with a few questions; such as:
Do you rent or own this residence?
Would you be the one to make the decision to acquire a security system, or is there another individual that should hear the presentation, etc.
These qualification questions should be a part of this initial introduction stage. In my first year of selling, I made my best presentations to people who were not in any position to make the decision to buy anything. This was done because I forgot to qualify the person, and it resulted in a tremendous waste of time.
3) Showing the potential customer the features and benefits of your system, and making sure that they understand these points. This is where you start building value for your product (system). (NOTE: THE PRICE OF A SYSTEM IS NEVER DISCUSSED UNTIL YOU HAVE THE FINISHED PROPOSAL AND ARE READY TO CLOSE THE SALE.)
4) Survey the area that will be protected (take notes, and free-hand sketch the building), and establish the customer's main concerns (hot buttons). In each of these areas, give three or four general ideas on how the area can be protected. Also, use examples from other systems where the same type of protection was installed. This continues to build confidence (peace-of-mind).
5) Unless the potential customer has called you to come and put in a system right now, make an appointment to return at least one or two days later with your proposals. Why? Because you are a professional, and you want to take some time to consider all of the possibilities to properly protect the premises.
6) Present your proposals. Have three plans to present to your potential customer, each with a drawing showing the location and coverage of each device. The most expensive proposal should be given first, as it has the most protection (including the long range radio options). Make sure that each proposal is completely understood before going on to the next one. Note: If each device is thoroughly understood (both purpose and coverage), the potential customer will be more reluctant to delete items as the proposals get simpler and less expensive.
7) Close the sale. Once the potential customer has decided when the system that they want installed, establish the cost, manner of payment and get the contract signed.
8) Install the system.
9) Turn you new customer into a sales representative. Personally make sure that the customer is thoroughly trained on their system and is delighted with it. Offer a tangible incentive (some free monitoring, cash, gift certificates, etc.), for each of their friends or family that get a system from you.
Establishing the need (hot buttons)
It is very important at the beginning of the presentation to establish the concerns (needs) of your potential customer. These concerns are referred to as "hot buttons". These are the reasons that this person wants a security system, and will have to be addressed both in your presentation and in the close of the sale.
One of the BIGGEST mistakes that a salesman can make is to assume they know the motivation (emotional need) of their potential customers. This need is established through the most powerful tool of a salesperson: ASKING QUESTIONS!

BASIC SALESMANSHIP - LESSON FIVE

Why does your potential customer want a security system?

One of the BIGGEST mistakes that a salesman can make is to assume they know the motivation (emotional need) of their potential customers. This need is established through the most powerful tool of a salesperson: ASKING QUESTIONS! If their concern is for safety for themselves, their family and/or their property, then I would proceed to the next part of the presentation. If their need is not emotional (e.g. because it is required by their insurance carrier, to lower their insurance rates, because other people in the neighborhood have one, etc.), then I would spend some time here to establish an emotional desire (remember that your customer buys with their emotions, and justifies their purchase with logic). This emotional desire could be established by any combination of the following:
For residential systems:
Adding a smoke detector for 24 hour protection for family and property, giving facts about residential fires, and/or
Adding a "Medical Emergency" zone to the system, if there are elderly or physically impaired people at the residence, and/or
Adding a "High Temperature" zone to the system, if they have a wine cellar, and/or
Adding a strobe light on the roof to clearly show the police where the alarm has been activated, etc.
For commercial systems:
Add a "Medical Emergency" zone to the system for immediate dispatch of paramedics if an employee is injured, and/or
Finding out if there is equipment vital to the continuing of their business which can also be protected (e.g. high/low temperature alarms, a/c failure alarm, high/low pressure alarm, etc.), and/or
Adding a strobe light on the roof to clearly show the police where the alarm has been activated, etc.
An emotional desire can be induced by showing the potential customer that they can get more than they thought because YOUR system will protect lives (medical alert, fire detection, etc.), special assets (wine, jewelry, guns, etc.), their business (pressure, temperature, humidity, etc.). and, get faster law enforcement response due to a strobe light guiding law enforcement officers to your location. Whatever you tell them that created (or intensified) their desire will be more "hot buttons" that will be referred to during the presentation and in the close of the presentation.
Features and Benefits
At this point of your presentation you should have been able to establish good credibility for your company and yourself. You should also know their emotional needs (hot buttons) which you will relate to throughout the presentations. The next part is to establish a high perceived value for your system, while increasing your potential customer's emotional desire for the system. This is done through the presentation of the features and benefits of having YOUR system installed and monitored. It is very important to understand the differences between features and benefits, as they serve different purposes for your potential customer.
A feature of your system is something that will build confidence and value in your system.
The benefit of that feature will build emotional desire for your system, and answer the question, "What's in it for me?"
There should be a benefit for each feature that you show, and you should make sure the potential customer COMPLETELY understands the value of the feature and why it is a benefit to them.
You can have all of the features in the world, but if the benefits to the potential customer are not understood, it will mean nothing. For example, if you were trying to sell a new Cadillac to someone, and you told them that one of the features of this model was that it had a "Northstar System", it would mean nothing until you explained the benefit of that feature, which was that the engine did not need to be tuned up until the car had been driven 100,000 miles.
What are the features and benefits of your system?
That should be an easy question for you to answer. The features of the equipment that you use are the reasons that you buy that equipment. Because of your knowledge and experience, there are reasons that you buy the brand and model of the contacts that you use for windows and doors (or you may have different types for different purposes). These reasons may be: ease of installation, more reliable (will not break due to the vibration of the door closing), sensitivity, etc. Each of these reasons is a feature of that contact, and should have a benefit for you. A simple way of looking at this is to make a "Features & Benefits" chart.
DEVICE: Door Contact
FEATURES:
Easy to InstallMore ReliableSensitivity
BENEFITS TO YOU:
Less LaborNo Service CallsMore Flexibility in the Location
BENEFITS TO THE CUSTOMER:
Faster InstallationDependabilityLess likely to flase trip if the door moves slightly due to the wind blowing
The customer is not interested in the benefit to you; only the benefit to them. And, they will only find out about the features and benefits of your system by what you show and tell them. Most people would make the assumption that the potential customer knows what a door contact is, and that is one of those fatal mistakes that cost companies a lot of business. Do you remember the first time that you saw a door contact, and someone demonstrated how it worked? You were probably fascinated how small and complex it was. Your potential customer will have the same reaction when you hand them one and show them how it works. To add more impact, also hand them one of the "old style", or one that is not reliable, and explain the differences.
They may have had some other companies bid an alarm system with door contacts, but you would probably be the only one that had enough consideration to educate the customer by letting them see and touch the contact and explain the features and benefits. This gives you more credibility as a professional, and that particular contact gives the customer confidence in you and your system (builds value). There is an old rule in selling that states: Show and tell; when you stop showing and start telling, you stop selling!
There is a reason for your buying everything that you put into your systems. Try to make up a "Features and Benefits" chart for each item, and use the "show and tell" method in your presentation.
When it comes to items that cannot be demonstrated (e.g. a keypad, communicator, motion detector, etc.), a picture is like 1000 words. One of your best sales tools is a Polaroid Camera. This allows you to SHOW the customer the actual device installed at a number of locations, and to TELL why it was installed at that location and what purpose it serves. A picture will also show the potential customer the results of your installation, which will give them confidence in your ability to install the system to their satisfaction.
(NOTE: The more features that you show the customer, the more confidence they will have in you as a professional. The more benefits that you tell them about, the more emotional desire they will have to buy your system and the perceived value of the system will increase.)
Each feature presented does not have to be a long drawn out process. The presentation of the door contact could be a simple statement like this:
"Mr. Jones, this is the contact for the door that I use in my system (hand it to the customer). You will notice how small is it is, which means that it can easily be concealed, while at the same time it is designed to withstand the constant vibration that it receives from the door opening and closing. In all of my experience, I have found this to be the most dependable contact. The last thing that you need are service calls to replace equipment that will not stand up to daily wear and tear. Right?"
The following things happened in this presentation:
The customer was involved (full attention) because the contact was handed to him.
The statement "it can easily be concealed" will start to build confidence in your installation. (Note: the customer has probably never mentioned the quality of your installation, and how well the system is concealed; however, the question will come up at some point, and if it is addressed throughout the presentation, the customer will have full confidence in your ability to install their system without having to verbalize it.)
The statement "it is designed to withstand the constant vibration that it receives from the door opening and closing" paints a picture of the kids running in and out of the house slamming the door. The customer now "sees" the system installed, and understands that there is a quality in the design needed to withstand frequent vibration.
These are good points, but does the customer really understand them? (Remember, the customer is always subconsciously asking the question: "What's in it for me?) By asking the question: "The last thing that you need are service calls to replace equipment that will not stand up to daily wear and tear. Right?", informs the customer that the quality of this product is designed to keep them from having problems (disappointments) with your system, and prevents service calls. By them answering you question, you know that this point has been made, and it is time to move on to the next one. If their answer is, "What do you mean?", then some more time should be spent on this feature. (NOTE: Never move on to the next feature until you make sure that the potential customer fully understands this feature, and the benefit to them).
When you have shown the potential customer the features and benefits of having your system installed, the next part should be the presentation of the features and benefits of CSSS, INC., as your monitoring facility. Our web site has a page for "Our Facilities" and "Our Central Station Team". These pages (or any other pages on our web site) can be printed out and included in your presentation. (NOTE: Do not just hand these pages to the potential customer and assume that it will be read and understood. You SHOW the customer the various pictures (features), TELL the customer how these are a benefit to them and ASK QUESTIONS to assure that each benefit is fully understood. This should help continue to build credibility for you, your company and your system)

BASIC SALESMANSHIP - LESSON -SIX

Let's start by reviewing a few of the points covered in the last lesson.
A feature of your system is something that will build confidence and value in your system.
The benefit of that feature will build emotional desire for your system, and answer the question, "What's in it for me?"
There is an old rule in selling that states: Show and tell, when you stop showing and start telling, you stop selling!
The more features that you show the customer, the more confidence they will have in you as a professional. The more benefits that you tell them about, the more emotional desire they will have to buy your system and the perceived value of the system will increase.
Never move on to the next feature until you make sure that the potential customer fully understands this feature, and the benefit to them.
The next part of the presentation would be to custom design their system. This is done by examining all areas that will need to be protected (take notes, and free-hand sketch the building). This is a perfect time to listen to the potential customer to establish their main concerns (hot buttons). Look at every area of the residence or business. In each of these areas, give as many general ideas as possible on how the area can be protected. Also, use examples (or pictures) from other systems where the same type of protection was installed. Sketch the areas, and make notes. This continues to build confidence (peace-of-mind).
After you have surveyed the inside of the building, then go check the outside perimeter. Your potential customer is depending on you to be their "security specialist", and as such, there are many other things that you may be able to bring to their attention, such as:
Point out every window or door which is hidden from view from the street or the neighbors, because of plants, trees or a fence. These would be perfect points-of-entry. (NOTE: Up to now these areas may not have been a concern; however, this would give justification to have interior protection added to these areas because of their vulnerability.)
A ladder left in the back yard or beside the house (or business), which would give a burglar access to a window, the second floor or the roof.
A large tree with the limbs so close to the structure that it could be climbed and would give a burglar access to the second floor or roof.
Bricks, milk crates or other objects lying around readily available to use to break out a window or door, etc.
This service also shows that you care about their safety, and you know what you are doing. This helps to build that important "peace of mind" feeling, and will increase their confidence in you and your system.
(Nothing more will be written about the design of your alarm system. Why? Because you are the expert in this matter. I have never designed or installed one! CSSS does not compete against our customers: You install it, and we will monitor it.)
If the customer has given indications that they are ready to immediately sign a contract, then I would sit down with the customer and get the contract signed. This indication might be:
Asking you how quickly the system can be installed, or
Telling you that there is a deadline for the installation (e.g. vacation, business trip, etc.), or
Asking you if you take a credit card or check for payment.
This can happen, and if it does, the presentation should be stopped at that time. Always close the sale when the customer is ready to buy. A mistake that is often made is trying to continue to presentation past that point, and in some cases, at the end of the presentation the customer has lost their enthusiasm and wants to think about it. That is called "selling it to the customer and buying it back". The purpose of the presentation is to convince the customer to buy. When the customer is convinced, CLOSE THE SALE!
In most cases, this will not happen at this point. You may be one of many companies that were called to make a presentation. If so, I would make an appointment to return in a day or two.
It is also good to get a verbal commitment (promise) from the potential customer that they will not make any decision until you have had a chance to present your proposal. This is protection against a "high pressure" or "low-baller" salesperson from getting the sale.
PRESENTING YOUR PROPOSALS
I would recommend that you have three plans to present to your potential customer. Your proposal should be in a binder with your company logo on the front. The proposal should be done on a word processing program, and printed out on a laser printer. Each proposal should have a one-line diagram of the premises, with all detectors indicated (with their coverage). If you do not have this capability, then find a business center that has these services available. The potential customer is still judging you by what they see, and how they feel after they have seen it. You may have presented yourself as a professional who can do a quality job, but if you hand them a hand written proposal, with a freehand drawing, their confidence may diminish. Why? Because, professionalism is expected in every phase of the presentation and through to the completion of the installation. Also, if you have to leave the proposal and it is compared to others, the non-professional ones will probably be immediately eliminated because they appear to be at a lower standard than the others. The most expensive proposal should be given first, as it has the most protection (including the long range radio options). Make sure that each proposal is completely understood before going on to the next one. If each device is thoroughly understood (both purpose and coverage), the potential customer will be more reluctant to delete items as the proposals get simpler and less expensive. Make sure to relate each area covered to the customer's concerns (hot buttons)! Everything that you have done both in your presentation and system design should clearly answer the question, "What's in it for me?"


BASIC SALESMANSHIP - LESSON SEVEN

CLOSING THE SALE

This is the part that most salespeople dread....asking for the money. What is the best way to do this? Sunrise!, you have already accomplished the hard part: the presentation. From your initial introduction to the prospect, to your presentation of the proposals and drawings, everything that you have done was to build desire for your system and to instill confidence in you and your company to be the one to install it. One basic rule to remember is:
IF PEOPLE WANT SOMETHING BAD ENOUGH,THEY WILL FIND A WAY TO GET IT!
Do you remember the example I used in the first Basic Salesmanship lesson? I had an immediate need for $500 and you only had $20.00 with you. I showed you a Rolex watch that my father had left to me. It had diamonds on it, and I had the original receipt which shows the purchase price was $2,500. How fast would it have taken you get $480 more to purchase the watch?
The purpose of the presentation is to educate, and to build value while doing so. At the end of your presentation, your potential customer should know that:
You are a professional, and
Your company is fully capable of installing a quality system which will meet all of their needs, and
The system is guaranteed, and will have routine scheduled maintenance, and
The system will protect their lives and property, and someone will be monitoring their system 24 hours a day, seven days a week.
If they know this, they will want the system, and the only thing left is to tell them how quickly the system can be installed and how the payment will be made. The rule here is to have as many types of payment available as possible (which includes credit cards).
If there is an objection, the first thing to do is to understand exactly what the objection is. By asking questions you can determine exactly what the objection is, and then overcome it by going back to the part of the presentation which addressed that subject. If there is an objection about something that was not covered in your presentation, then you have to address it as best as you can.
The best way to do this is to address the features and benefits that your system offers. And, later on, you can change your presentation so that it will address that situation the next time that you give it. Objections are great indicators to show the things that were left out of your presentation, or the things that were not covered properly so the customer did not understand the features or the benefits. A good salesperson will always reflect on their last sale and determine things that can be changed or added for their next presentation. In about one year of doing this, your presentation should be perfected to the point that it covers every feature and benefit of your installation and service, and includes sections that have been designed to overcome the majority of objections that you have encountered. The success for you presentation will be determined by your closing rate.
I found out the hard way how important the presentation is through experience. When I was selling waterless cookware at 19 (while in submarine school) we had a sales meeting twice a week. The motivation was terrific! However, there was one rule at the sales meetings that kept everyone sharp: the last five people that arrived had to give one of the five parts of the presentation to the rest of the salespeople (talk about a hard audience!). While you were doing your best to look and act professional, your audience would be continuously forming opinions about what the saw and heard (e.g., "you do not sound very sincere, you do not look enthusiastic, your not very sure of yourself", etc.). It was a very frightening experience at first, but it sure motivated you to learn the presentation (not only learn it, but to know it well enough to be able to deliver it with confidence and sincerity, even to your peers). By the time that I was able to do this, my closing rate had tripled!
About ten years later, I began selling motivational courses. My sales increased to a certain point, and then leveled off. I had an opportunity to meet a sales trainer who had been the best vacuum cleaner salesman in the nation. When I was alone with him, I asked him if he could give me some tips on increasing my sales. Instead of giving me the "magic phrases", he sat down and told me to give him my complete sales presentation. I was not prepared to do this, since I basically made it up as I went along. When I told him that I did not have a prepared presentation, and he told me to prepare one and learn it well enough to give it confidently and professionally at a moment's notice. After I had done this, he would listen to my presentation and give me some advice. Then he added: If you are prepared to give a complete presentation at a moment's notice, you will not have time to come to me for advice because you will be to busy making sales. When I developed a complete presentation, based upon my prior training, I was so busy selling that I never got a chance to go back to him.
When do you give up?

These are:
45% of all leads turn into a sale for someone.
Within one year 45% of all leads that you receive will turn into a sale for you or your competitor. 22%-25% will convert within the first six months.
Great salespeople follow up every sales lead until the prospect buys or dies.
Great salespeople don't give up. They call and call until the prospect answers. They visit, write and follow up until the person says that they bought another product, or they are no longer in the market (they have literally or figuratively died).
The older the lead, the less the competition.
When the lead is six months old, there is a 50% chance that the decision is still pending. At nine months you still have a 25% chance of making the sale.
Some of Jim's other facts are:
76% of the people who inquire intend to buy.
40% of the time your prospect does not call your competitor.
More than 50% of sales leads are not followed up. Some research indicates that number could be as high as 87.5%.
The odds are always with the salesperson who continues to work the prospect when others give up.


BASIC SALESMANSHIP - LESSON EIGHT

WHAT HAPPENS AFTER THE INSTALLATION?

You have a signed agreement, the new security system has been installed, the customer has been taught how to properly use their new security system, you have been paid in full and now it's "Miller time". You want to go back to the office, kick back and enjoy the fact that you have a new customer and more monthly revenue coming in . . . . WRONG!
You have just successfully converted a potential client into a customer, and at this point you have more credibility with this person that you will ever have again, so you use this opportunity to make a new sales representative. A personal recommendation from this person to a trusting friend is a more powerful persuasion than anything that you could ever do on a cold call.
When I was selling waterless cookware in the Navy, I would give the new customer a book on waterless cooking recipes that was valued at $35.00, if they would give me ten names of their friends I could contact. It worked great, because these referrals were from people who had bought the product and were excited about it. Most of the time, the customer had called their friends and relatives to tell them about the product before I had a chance to call, and in the majority of the time, the prospect was waiting for my call and was anxious for a demonstration. Some of the people did not want a demonstration and were only "bothered" by a polite telephone call; however, the majority did want to see it and I was closing 6 out of 10 demonstrations. That wasn't too bad for a $35.00 investment.
WHAT DO YOU DO FOR YOUR NEW CUSTOMER?
How much is an account worth to you? If you had to pay a commission to a salesperson, you might have to pay $100.00 to $300.00+ depending on the number of openings, type of equipment, number of keypads, etc. If you gave 1 or 2 months of free monitoring to your new customer for every referral which resulted in a sale, how much would that cost you? Obviously a lot less than a commission, and the leads would have the power of being personal referrals. If you don't want to give away monitoring, how about:
Gift certificates to a store that is sure to be useful (e.g.Home Depot, Walmart, Sears, Petco, Toys-R-Us, etc.), or
A gift certificate to a very good local restaurant, or
A gift certificates to a local theater or playhouse, or
A beautiful bouquet of flowers, or a box of candy, etc.
Whatever you give, it should be something that is useful, has a good value (not token) and will state clearly that you appreciate their referral. The gift (or free monitoring) would only be given for each new system installed. THE IMPORTANCE OF THIS CAN NOT BE OVEREMPHASIZED! This sales program will produce the following results:
The leads generated will give you the best likelihood of closing a sale.
The gift will be only on systems sold and installed, and is less than a sales commission.
Your customer is going to feel appreciated, which will build up a loyalty to you and your company. This is very important with all of the competition that is trying to get your customer's business.
Does this really work? Ask yourself! How would you feel about a company that was giving you a tangible reward for your referrals?
CONTINUING THE RELATIONSHIP
When does the relationship end? Hopefully never! Companies that loan money on your accounts, have found that the average length of time that a security system is active is approximately 7 years. If your customer moves within your area during that time, you have the potential of installing their new security system, and maintaining the old one with a new customer. HOWEVER, THAT IS DEPENDANT ON THEIR RELATIONSHIP WITH YOU, AND HOW THEY FEEL ABOUT YOU AND YOUR COMPANY.
It is essential that every contract has a provision to physically inspect the system at least every two years. This is necessary for the backup battery replacement, and gives you a chance to re-establish the relationship with a face-to-face meeting. At this time you could also present the customer with a gift, such as:
A simple bouquet of flowers (purchased from a local grocery store), with a card from your company that says, "Thank you for your business", or
A self defense device, such as a small canister of pepper spray for each member of the family, etc.
This will show that you are not only fulfilling the obligations of your contract, but that you also appreciate their business. Remember, there is nothing different between the way that your customer does business and the way you do. You do business with people who have proven their ability to do the job (trust), and people who have shown that they appreciate you and your business, and are ready to be of service to you anytime they are needed (confidence). That is why your customer will continue to do business with you.
I hope that this series has given you a new understanding of the sales process, and how to present features and benefits. According to one of our alarm companies, "The problem is that I know what to do, I just need someone to get me off my butt to do it". I cannot do that, but as a motivation I can provide the following basic sales program:
IF YOU NEED TO MAKE 4 SALES A MONTH, AND YOU CLOSE 2 OUT OF 10 PEOPLE THAT YOU PRESENT TO, AND YOU NEED TO TALK TO 5 PEOPLE TO FIND ONE THAT YOU CAN PRESENT TO, IT WORKS LIKE THIS:
100 PEOPLE TALKED TO = 20 PRESENTATIONS = 4 SALES
DO THE MATH!, AND JUST GO OUT AND DO IT!
If you follow this program for two months, you will be amazed at what happens! You will find that you have to talk to less people to be able to make a presentation, and your closing rate will increase. Why? Experience! After you have given 40 presentations, your delivery will be more professional in your introduction and delivery, and by making more new sales, you will be more confident.
But, this only applies if you have a complete presentation, and you are able to properly point out the features (value) and benefits (desire) of your system.
One last suggestion: join a service club (e.g. Kiwanis International, Lions Club, Rotary Club, etc.). These clubs service the community, and consist of the best businesses in the city and community and often include local political leaders. Besides the good that these organizations do, it would establish you and your company with a new level of credibility and recognition, and open up a new market for referrals.




 

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