Managing Business Markets:

Delivering Value
 Gaining Customers

Gaining customers is the process of

prospecting for new business relationships
assessing mutual fit between customer
requirements and supplier offerings and priorities
&
fulfilling the initial order to the customers
complete satisfaction.
 Prospecting Funnel
Leads are names of possible clients that
managers generate from databases.

Inquiries are customer-initiated business

contacts with a supplier firm.

Prospects are leads and inquiries that the

supplier firm has qualified as having significant
sales and profit potential.
 Gaining Customers

1. Methods for prospecting for new customers

2. Understanding customers; determine match

3. Organising the selling effort

Tailor the value proposition
Negotiate an equitable transaction
 Gaining Customers

1. Methods for prospecting for new customers

Generating leads from business market databases
Prompting and gathering enquiries via IMC
Qualifying leads and enquiries
Getting sales force to follow with the prospects
 Gaining Customers

2. Understanding customers; determine match

Understanding value dimensions

Mapping the DMU
Building the value stack
 Gaining Customers

3. Organising the selling effort:

Transactional
Consultative
Enterprise selling
 Prospecting Funnel
Target Market Segments

Leads

Inquiries

Prospects

New
Customers

Established
Accounts

Loyal and Profitable Customer Base

 Prospecting Funnel
Intensive Growth Strategies

Current New
Offerings Offerings

Current Market Product

Markets Penetration Development

New
Markets Market
Diversification
Development
(Based on Ansoff 1957)
Transactional, Consultative, and Enterprise
Selling
Transactional Selling focuses on gaining the immediate
order as quickly as possible.
Consultative Selling entails gaining an in-depth
understanding of customer requirements and operations,
contributing analytical expertise to resolve pressing
problems, and becoming a long-term, value-adding
resource.
Enterprise Selling requires senior managers to
convincingly elaborate the benefits of combining and
sharing complementary competencies and capabilities
across firms to form a strategic alliance.

(Rackham and DeVincentis 1999)

 Transactional Selling

1) Call Preparation and Planning

2) Opening (Complement, mystify, intrigue
buyer; Opening Statement)
3) Selling Benefits (personalise)
4) Handling Objections
5) Managing the Presentation
6) Closing
Gain the order as quickly as possible
 Consultative Selling
The SPIN Selling Approach
1) Preliminaries
2) Investigating
3) Demonstrating Capabilities
4) Obtaining Commitment
SR a long term trusted value added resource

(Rackham 1988)
 Consultative Selling
Investigating

SPIN sequence of questions:

1) Situation Questions -- data gathering questions about facts
and background.
2) Problem Questions -- explore problems, difficulties, and
dissatisfaction areas which may be exploited.
3) Implication Questions -- examine the consequences of
customer problems.
4) Need-Payoff Questions -- get the customer to tell you the
benefits your product could offer.
The purpose of questions in the larger sale is to uncover Implied Needs and to develop them
into Explicit Needs.

(Rackham 1988)
 Consultative Selling
Obtaining Commitment

Types of Sales Commitments:

1) Orders -- Where the customer makes a firm commitment to buy
2) Advances -- Where an event takes place, either in the call or after it,
that moves the sale forward toward a decision
3) Continuations -- Where the sale will continue but where no specific
action has been agreed upon by the customer to move it forward
4) No-Sales -- Where the customer actively refuses a commitment

(Rackham 1988)
End of Session Review Slides-
Delivering Value