Types of Selling

Team Selling

Team selling is a group of people representing the sales department and other areas in a firm, all sharing a common goal of increased sales.

Learning Objectives

Name the advantages of a team selling approach

Key Takeaways

Key Points

  • Size of the team, reward disbursements and strategic objectives are among the factors to consider when deciding to use the team-selling concept.
  • Team selling should be used when there is a chance for high sales and profit.
  • Using a team of sellers can help build credibility for small firms.

Key Terms

  • Team Selling: Team selling is a group of people representing the sales department and other areas in a firm, all sharing a common goal of increased sales.

Team Selling

Team selling is a group of people representing the sales department and other functional areas in the firm. The idea behind the concept is that teamwork and sharing knowledge can benefit the bottom line of a firm. When a company decides to use a team-selling approach, there are several factors to consider:

  1. The size and diversity of the team.
  2. Rewards for each individual vs. rewards for the team as a whole.
  3. Strategic objectives involved with the decision-making process.

Team selling should be used when there is a chance for high sales and profit. Firms must weigh the concept’s pros and cons and base their decision on whether the approach matches the needs of the buyer.

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Real Estate Agency: Some real estate firms use team selling to improve sales and increase customer loyalty.

Advantages of Team Selling

  1. A team approach allows for “continuous learning,” as team members can work together to identify flaws during the presentation process. They may also identify features that can be added to the sales pitch.
  2. When a small company uses multiple salespeople to contact a client it helps the company appear larger than it is. Customers may like this approach, as it gives them multiple people to contact if there’s a problem.
  3. Team selling shows clients that a company has more than one person with strong selling capabilities, giving the client a higher comfort level about the company.
  4. Effective team selling will lower the cost of sales calls, while the number of people assigned to each sales call will double. This will increase their “batting average,” resulting in an overall increase in productivity.

Relationship Selling

Relationship selling is based on the concept that building long-lasting relationships with people will lead to future sales.

Learning Objectives

Discuss the techniques used to establish effective relationship selling

Key Takeaways

Key Points

  • Relationship selling is based on authenticity, genuine concern, and honesty. It’s not a sales technique that can be simulated without possessing those basic qualities. Having these qualities builds customer loyalty.
  • The goal of relationship selling is to know a large enough pool of people so that all the sales you need come to you, instead of you having to go out and find them.
  • Relationship selling isn’t appropriate for all services or products. If you don’t believe in your product 100% and don’t genuinely care about people and their problems, then you may need to find a different target market, or a different product to sell.

Key Terms

  • Relationship selling: Emphasis is placed on the whole relationship between suppliers and customers. The aim is to provide the best possible customer service and build customer loyalty.

Relationship Selling

Relationship selling is a sales tactic in which the seller works on building relationships with people instead of using traditional sales tactics. When enough people in your marketplace know, like, and trust you, sales are the natural result. Relationship selling is based on authenticity, genuine concern, and honesty. It’s not a sales technique that can be simulated without possessing those basic qualities. Building relationships is something we humans do naturally. We talk on the phone, have coffee or lunch, and work or play together. When you need to make a purchase, you call someone you know or go to a trusted store that sells the product you want. If you don’t know anyone who offers that product or service, you ask the people you do know. That’s how most business actually happens. The goal of relationship selling is to know a large enough pool of people so that all the sales you need come to you, instead of you having to go out and find them. Not only is this a more efficient, repeat customers are essential to the longevity of a firm in today’s competing markets.

Relationship selling is effective when the following requirements are met:

  1. You have to like the people you want to sell your service or product to. You need to truly enjoy their company–this isn’t something you can fake.
  2. You must care about their problems. When you tell them how your product will solve those problems, you are helping them, not selling to them.
  3. You have to believe in your product or service 100%. You want your customers to trust you, so that means you have to be honest with them.
  4. You must be patient. Relationships take time to grow, and can’t be rushed. You will make sales by building relationships, but you won’t get it tomorrow.
  5. You need to have a plan. Building the right relationships won’t happen by accident. If the idea of relationship selling appeals to you, but you don’t meet the first three requirements, there’s only one way to solve the problem. You need to find a different target market, or a different product to sell.
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Relationship selling and Restaurants: Restaurants use relationship selling to keep their repeat customers.