UNIT -3 SELLING

Introduction
 Selling is a transaction where a good or service is being exchanged for
money. It also refers to the process of persuading a person or
organization to buy something. If you're selling a product or service,
you need to focus your selling efforts on communicating the benefits
to the buyer.
 Selling comprises all those personal and impersonal activities
involved in finding, securing and developing a demand for a given
product or service
Definition
 In the words of William J. Stanton Selling is informing and persuading a market about a product or
service. It is a function of promotion.

 ” In the words of Still, Cundiff and Govoni, “Selling in its broad sense, is not only the making of sales,
that is, effecting ownership transfers; but also is identifying prospective consumers, stimulating
demands and providing information and service to buyers.”

 Theodore Levit writes, “Selling is as basic to our society as metabolism is to life.” It is a fact that sales
function is similar to life blood in an economy.

 Ferdinand F. Mauser – Selling is the process of inducting and assisting a prospective customer to buy
goods or services or act favorably on an idea that has commercial significance for the seller.

 Frank H. Beach, Frederick H. Russell, and Richard H. Buskirk – Selling is the act of persuading another
person to do something when you do not have, or can not exert, direct power to force the person to do
it”.
The meaning of this definition by Beach, Russell, and Buskirk is “persuading” means
“insisting/encouraging”, “another person” means “prospective buyer”, “to do something” means “to buy
something”, and “exert” means “bring into use”. This definition also tells selling is persuading prospective
customers to buy something but the seller can not use his power to make the prospective customer buy
his product.
 Objectives of Selling
 To sell goods to consumers.
 To provide “service” to existing accounts, that is maintain
contracts with the existing consumer.
 To search for new customers.
sell-icon-button-on-the-key-of-a-computer-keyboard-mst.webp
 To secure consumers’ cooperation in stocking and
promoting the product line.
 To keep customers informed about the changes in the
existing product line and firm’s marketing strategy.
 To provide technical advice and assistance to customers
regarding use of complicated and technical product.
Characteristics of Selling
 Core of marketing – It is the central point of marketing. The main object of
marketing is the creation of customers and satisfying the wants of people,
which would be possible through selling only.
 Basis of exchange – Selling is the source for establishing relations between a
seller and a buyer and it is the exchange of goods for a value.
 Centres around salesmanship – There are many selling techniques.
Salesmanship is one of them. The salesmanship is the process under which
the desires and wants of customers are identified, created and efforts are
made to satisfy the wants for mutual interests.
 Means of promotion – In the words of Stanton, salesmanship is one of the
forms of sales promotion. Personal selling sales promotion, advertising and
publicity are specific parts of salesmanship
 Creative function – Selling generates new needs and desires, new demands,
newer products and markets. It is the selling which enable to explore new markets.
 Social character – Selling is a form of social behaviour and action. It is a
combination of various practices, activities and motives. In the words of Edmond
Spencer, “Selling is the means of social cultivation and growth.”
 Ingredient of marketing programme – The scope of marketing is too wider, which
includes pricing, development of product, distribution channels and promotional
activities. Sales promotion is the basis for formulating marketing politics and
programme.
 Perpetual function – Selling is a continuous and regular function of a business. It is
basis of all other functions of business. The success of selling is therefore, the basis
for all other functions of an enterprise.
 Productive function – It is through selling the source of income and profits are
made available. It is a wealth producing activity. The operational and other expenses
of an enterprise are met out from the income generated by selling.
Process of Selling
Serial No. Steps in Selling Explanation Example

1 Prospecting The first step in the sales process is prospecting. In this stage, you find potential customers and determine whether they
have a need for your product or service—and whether they can afford what you offer. Evaluating whether the customers
need your product or service and can afford it is known as qualifying.

2 Preparation The next step is preparing for initial contact with a potential customer, researching the market and collecting all relevant
information regarding your product or service. Develop your sales presentation and tailor it to your potential client’s
particular needs. Preparation is key to setting you up for success. The better you understand your prospect and their
needs, the better you can address their objections and set yourself apart from the competition.

3 Approach
Next, make first contact with your client. This is called the approach. Sometimes this is a face-to-face
meeting, sometimes it’s over the phone. There are three common approach methods.

a. Premium: Presenting your potential client with a gift at the beginning of your interaction

b. Question : Asking a question to get the prospect interested or use SPIN Model ( S : situational question,
P : Problem Question , I : Implication Question , N: Need – Payoff Question)

c. Product : Giving the prospect a sample or a free trial to review and evaluate your service

4 Presentation
In the presentation phase, you actively demonstrate how your product or service meets the needs of your potential
customer. The word presentation implies using PowerPoint and giving a salesy spiel( a salesperson who pitches their
product or service aggressively and superficially to the point of making the prospect uncomfortable,
unresponsive, or annoyed), but it doesn’t always have to be that way—you should actively listen to your customer’s
needs and then act and respond accordingly.
S. Steps in Explanation Example
No Selling

5 Handling
Question
The most underrated step of the sales process is handling
objections. This is where you listen to your prospect’s concerns
and address them. It’s also where many unsuccessful salespeople
drop out of the process—44% of salespeople abandoning pursuit
after one rejection, 22% after two rejections, 14% after three, and
12% after four, even though 80% of sales require at least five
follow-ups to convert. Successfully handling objections and
alleviating concerns separates good salespeople from bad and
great from good.
S. No Steps in Explanation Example
Selling

6 Closing In the closing stage, you get the decision from the client to move forward. Depending on your business, you
Techniques might try one of these three closing techniques.

a. Alternative choice close: Assuming the sale and offering the prospect a choice, where both options close the
sale—for example, “Will you be paying the whole fee up front or in installments?” or “Will that be cash or
charge?”

b. Extra inducement close: Offering something extra to get the prospect to close, such as a free month of
service or a discount

c. Standing room only close: Creating urgency by expressing that time is of the essence—for example, “The
price will be going up after this month” or “We only have six spots left”

7 Follow-up Once you have closed the sale, your job is not done. The follow-up stage keeps you in contact with customers you have
closed, not only for potential repeat business but for referrals as well. And since retaining current customers is six to seven
times less costly than acquiring new ones, maintaining relationships is key.
Closing Techniques used in selling process
S. Closing Explanation Example
No Techniques

1 Alternative Alternative choice close: also called the positive choice close, in which the salesperson Model, version or color
choice close presents the prospect with two choices, both of which end in a sale. "Would you prefer
that in red or blue?“

2 Minor Points The minor point close involves the salesperson agreeing with the customer over a minor An example of a minor point
Close point to do with the deal and using that to close the deal. close would be something like:

This could even be agreeing to disagree on something. As long as you’re getting on the “It’s not perfect, I agree. Still,
same page as the customer and building trust, you can close the deal. it’s the best you’re going to
get, so I think it makes sense
to make a deal here.”
3 Summary The Summary Close is a tried and true sales closing technique that involves reiterating all Using FAB benefits (Feature ,
Close the features and benefits of your offer before you ask for the order. This method helps advantages and benefits of
move prospects to yes when they are distracted, choosing between several products or your product over your close
managing several different purchases for the company. competitor)

4. Assumptive The assumptive close is a popular closing technique in which the seller assumes the close is a done Asking the detail of the
Close deal. It is inspired by the assumption principle: When one person acts confidently as if something is customer address, Quantity
true, it is hard for others to deny it. desired or spelling of
customer middle name etc
Closing Techniques used in selling process
S. Closing Explanation Example
No Techniques

5. T- account or It is a closing technique where you list the pros and cons of your product or service. You
Balance can apply this technique when you get a problematic objection from your prospect or
sheet close when they are hesitant.
or Ben
Franklin
close
6. Special Offer A sales person has done his best to close the sales , but the prospects is resisting , then Special discount, free services
close the special offer or special deal may help to close the deal. etc

7. Probability The probability close is helpful when the buyer says “maybe,” or “I want to think it over.”
close If this happens, the salesperson asks the buyer to state a probability that they will buy
the product.

8. Negotiation The negotiation close is effective in industries where terms and conditions are often points of Good examples of industries
Close negotiation. where a negotiation close is
common are in home sales,
commercial property, and
vehicle sales.
 Reason for unsuccessful closing
All steps of the selling process ultimately lead to the closing of the sale since it provides the tangible result for the
salesman in the form of purchases made by the prospects. Therefore, every salesman aims at closing the sale
successfully.
However, not all selling propositions meet their logical consequences. In the realm of sales, closing deals is the
ultimate goal, yet achieving consistent success can be elusive. Sales professionals often encounter numerous
challenges that impede their ability to seal the deal effectively.
Some of them are unsuccessful due to some reason or the other.
 Lack of confidence  Lack of confidence
 Ignoring Market Trends
 Inadequate Product Knowledge 
Inadequate Product Knowledge
 Underestimating Competition:
 Poor Communication Skills
 Failure to Build Value
 Poor Communication Skills 
Failure to Understand Client Needs
 Failure to Understand Client Needs  Lack of Resilience
 Insufficient Follow-Up
 Not Seeking Feedback
 Insufficient Follow-Up 
Lack of Adaptability
 Lack of Adaptability  Overemphasis on Closing
 Neglecting Relationship Building
 Ignoring Emotional Intelligence
 Neglecting Relationship Building 
Inability to Handle Objections
 Inability to Handle Objections  Failure to Adapt Sales Approach
 Lack of Goal Setting
 Poor Time Management
 Lack of Goal Setting 
Poor Time Management
Theories of Selling
Please refer from the notes (PDF)