Obtaining Commitment

1

• Chapter 12
• Obtaining Commitment
• Nicole Howatt

2
Chapter 12 Topics

• How much emphasis should be placed on closing the
  sale?
• Why is obtaining commitment important?
• When is the best time to obtain commitment?
• What methods of securing commitment are
  appropriate for developing partnerships?
• How should pricing be presented?
• What should a salesperson do when theprospect
  says yes? When the prospectsays no?
• What causes difficulties in obtaining
  commitment, and how can they be overcome?

12-1
3
Examples of Commitments Salespeople May Attempt
to Obtain
From Exhibit 12.1

• To have the prospect agree to come to the local
  branch sometime during the next two weeks for a
  hands-on demonstration of the copier.

• To have the buyer agree to pass my information
  along to the buying committee with her/his
  endorsement of my proposal.

12-2
4
When is the right time to seek commitment?

• There is no one right time, but
• Watch for verbal indicators
• Prospect agrees to value of benefit
• Prolonged silence
• Positive verbal indication
• Watch for nonverbal indicators
• Reexamining product
• Starting to figure with pencil or calculator
• Nodding the head, leaning forward, etc.

12-3
5
When Obtain Commitment?

• No perfect time
• Buyer comments
• Buyer questions-
• Requirements-
• Benefit statement-.
• Response to trial closes-

6
This Will Help to Reach Commitment

• Be positive )
• Let them set the pace
• Sell them the right item in right amounts
• Be assertive, not aggressive or submissive

7
How Selling Style Relates to Closing
Adapted from Exhibit 12.2

• Aggressive selling style
• Overwhelms the customer
• Responds to objections without attempting to
  understand them.

• Submissive selling style
• Assume customers will buy when ready.
• Assertive selling style
• Respond to objections, leading to a somewhat
  automatic close.

12-6
8
Financial Terms and Conditions

• Discounts
• Quantity discounts(10 for order of 10 copiers)
• Cumulative discount-10 all purchases the whole
  year
• Credit Terms
• Cash discounts 2/10, n/30
• (2 discount if paid in 10 days, otherwise must
  be paid in 30 days)
• Shipping Costs
• FOB destination-buyer responsible when reach
  their location
• Price-present with confidence, never apologize,
  at end, and the focus of presentation.

9
Effective Closing

• What would you say to a friend to get them to
  agree to go on a Spring Break trip using each
  method
• Direct request
• Can I sign you up?
• Benefit summary
• You wanted . Weve seen that
• Balance sheet
• Lets see if we can summarize the reasons for
  and against doing this
• Probing
• May I ask what is holding you back?

12-8
10
Direct Request

• Very blunt
• Most effective with drivers
• Can I sign you up for 100 pairs of Levi jeans?

11
Benefit Summary

• Remind them of agreed benefits (take notes)
• Needs-Features and Benefits
• You mentioned that you needed a more reliable
  system.weve seen that this system

12
Balance Sheet Approach

• For those buyers who just cant make a decision
• Can be insulting
• Use benefits
• Effective with analytical
• Benefits of adopting metal in manufacturing Benef
  its of staying with plastics in manufacturing

13
Probing Method

• First-have used another method (maybe direct)
• If unsuccessful-use a series of probing questions
  to discover needs
• Do I mind if I ask why you feel this way?
• Is there any particular reason why you do not
  want to move forward?
• Have we resolved your concerns?

14
Effective Closing
Did any of those methods appear devious or
manipulative?
How would you suggest obtaining commitment? What
method(s) do you prefer salespeople use with you?
12-13
15
Traditional Closing MethodsMinor Point Close
From Exhibit 12.3

• The seller assumes that it is easier to get the
  prospect to decide on a very trivial point than
  on the whole proposition What color do you
  like, blue or red? If the prospect makes the
  minor decision, the seller assumes the sale is
  made and begins writing up the order.

12-14
16
Traditional Closing MethodsContinuous Yes Close
From Exhibit 12.3

• The seller, throughout the presentation,
  constantly asks questions for which the prospect
  most logically would answer yes. By the end of
  the discussion, the buyer is so accustomed to
  saying yes that when the order is requested, the
  natural response is yes.

12-15
17
Traditional Closing MethodsAssumptive Close
From Exhibit 12.3

• The seller, without asking for the order, simply
  begins to write it up. A variation is to fill out
  the order form as the prospect answers questions.

• This does not even give the buyer the courtesy of
  agreeing. It can be perceived as being very pushy
  and manipulative.

12-16
18
Traditional Closing MethodsStanding Room Only
Close
From Exhibit 12.3

• The seller attempts to obtain commitment by
  describing the negative consequences of waiting.
  For example, the seller may state, If you cant
  decide now, Ill have to offer it to another
  customer.

12-17
19
Traditional Closing MethodsBenefit-in-Reserve
Close
From Exhibit 12.3

• First the seller attempts to obtain commitment by
  another method. If unsuccessful, the seller says,
  Oh, I forgot to tell you that if you order today
  I can offer you an additional 5 percent for your
  trade-in.

12-18
20
Traditional Closing MethodsEmotional Close
From Exhibit 12.3

• In this technique, the seller appeals to the
  buyers emotions to close the sale. For example,
  the seller may say, This really is a good deal.
  To be honest with you, I desperately need to
  secure an order today. As you know, I work on a
  straight commission basis. My wife is going to
  have surgery next week, and our insurance just
  wont cover

• Many obvious problems arise with this method. It
  is an attempt to move away from focusing on the
  prospects needs to focusing entirely on your own
  personal needs. It does not develop trust or
  respect.

12-19
21
Effective Closing
What do you do if the buyer says yes?

• Go over information the customer will need to
  fully enjoy the benefits of the product.
• Get the endorsement on the agreement.
• Show appreciation. If it was the first order, or
  a large one, send a thank you letter.
• Follow up. Make sure the order was delivered, and
  that the customer understands how to use the
  product.

12-20