Module 8 • Planning the sales presentation (Pre-approach)


The salesperson must find out what the real motives and needs of the prospect are: Why does he buy a pair of sport shoes (for running, walking, playing soccer)?


The prospective buyer is sometimes not aware that a need for a product exists, for example the need for a colour printer. So the salesperson must present the use of his product in such a way that a need and use for the product is created with the prospect.


2.2 Ability to buy


The ability to buy means that the prospect has cash available, can pay by cheque or credit card, has credit facilities available or qualifies for credit arrangements.


The qualification of prospects therefore includes an investigation into the prospect’s financial position and creditworthiness. The salesperson must examine the prospect’s credit record with the help of credit agencies (for example Information Trust Corporation or Credit Inform), request a bank report or follow up a trade reference.


When price is mentioned in the sales transaction, the salesperson can also set out the terms for payment: deposit, time period (24/36/48 months), monthly installment, interest rate), explain the qualifications (monthly income: to qualify for a credit limit of R5 000 at Edgars you must earn at least R8 000 per month) for credit facilities and ask how the prospect wishes to finance the transaction. If the prospect wishes to make use of credit facilities, the necessary credit application forms must be filled in, credit references check and approval obtained from the accounts department, who must approve the credit arrangements.


2.3 Size and importance of the sales transaction


The salesperson’s income is directly related to the volume of his sales, if he receives a straight commission. It would be more profitable for a salesperson to concentrate on a prospect who would place a larger order than a lot of smaller prospects. In terms of time, costs and problems, it would pay the salesperson first to attend to a prospect who would place a larger order than one who places a smaller order.


However, the potential of the smaller prospect must not be lost from view because today’s small order may develop into tomorrow’s large order.


2.4 Frequency of need


How often a customer buys also plays a role in determining a salesperson’s time and effort. Does one spend one’s time on the buyer who buys often, or on the one who buys now and then?


The answer depends on the industry, the distance from the suppliers, the size and financial strength of the customer and his potential.


The salesperson prefers to get larger and more frequent orders because the customer will then buy less from his competitors.


2.5 Urgency of need


Much of a salesperson’s valuable time may be lost in sales transactions if he has not established the urgency of the prospect’s need. Salespeople should use their discretion in not devoting too much of their time to prospects who only wish to buy in the future, for example a couple


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