Proposition in the sales business *

Knowing your product

An experienced sales manager recently asserted that the most important slogan for the salesman is, "Know your stuff." That statement is true. A salesman, if he would be successful, must possess a detailed knowledge of the product or service which he is to sell. He comes in contact with all forms of price competition which he must overcome by selling quality. That cannot be done without a thorough knowledge of all the details which go to make up quality.

He meets with all kinds of objections relating to raw materials and processes of manufacture which he must overcome by showing minutely why such objections are mistaken ones. He comes in contact with well-posted buyers who pride themselves upon their knowledge of his particular offering. The salesman must possess a more complete knowledge of his product than such a buyer does. Furthermore he must fortify himself with a clear, pointed and convincing sales talk. Obviously, he cannot do that unless he knows in detail what he is to talk about.

The gaining of such knowledge is a continuing process. He must constantly investigate and experiment in the course of his sales activities. He can, however, acquire a good working knowledge of his offering before he begins to sell.

Now, obviously, a different line of investigation must be pursued with different types of products. The avenues of approach to a knowledge of office appliances or an intangible service on the one hand. and a jobbing line on the other, will have few points of similarity in method though some in principle.

Knowledge of manufacturing processes

In some lines it is very necessary to know the nature of raw materials used in the product, their source of supply, the comparative qualities and differences in price of raw materials that may be used, and the particular advantages of those used in the salesman's product.

The salesman will find it helpful to know also the processes of manufacture including workmanship, the degree of skill required in workmen, and the tests and inspections to which the product is subjected at various points in its manufacture. If there are involved in the manufacture important exclusive patents rights, this knowledge will be of value. The salesman need not in all cases possess a highly technical knowledge along these lines, but he should have that working knowledge which will enable him to discuss it intelligently.

Technical knowledge

When the salesman offers a highly technical product, process or service, which requires scientific knowledge for proper presentation, he must be prepared to satisfy some exacting requirements. The prospective customer may be a trained engineer. The salesman must be able to discuss technical points, details and principles with intelligence. He should possess positive information and be able to substantiate his statements with facts and figures. Nothing should be left to guess work. He must meet the technical mind on a foundation of scientific training, because here he must qualify as a sales engineer.

Knowledge of operation

In the case of a wide variety of devices a knowledge of operation and facility in operating is necessary to the salesman. This is very obvious in the case of the automobile. It is true of adding machines, visible filing devices, dictating machines, cash registers, check writers, washing machines and farm implements, to mention only a very few. A large and important part of the salesman's presentation to the prospect in these cases will consist of demonstration and guidance of the prospect in trying to operate the device for himself. Inexpertness and clumsiness on the part of the salesman will kill the sale.

Hence, in the case of products requiring demonstration, part of the salesman's preparation and study of his proposition will consist of continued practice until he becomes adept at every phase of operation and demonstration.

Somewhat allied to this is the necessity for the salesman's knowing the adjustment, care and methods of upkeep of mechanical devices.

Special sizes, shapes, finishes and style

The appearance of an article often makes a strong appeal and many times is one of its strongest selling points. The size, shape, or quality of finish of an article will often affect its sale. To realize that this is so, one has but to observe the amount of trouble taken, the thought expended and the money spent in making up articles in distinctive or striking design or colour. Toilet waters and mouth washes are put up in distinctively shaped and particularly attractive bottles. Automatic lighters are sold in a variety of shapes and finishes.

Furniture is made in distinctive modernistic or antique designs, radios are put into period cabinets, automobiles are produced in a number of colour combinations, and typewriters in different finishes to harmonize with office or home furniture have made their appearance. All of these things add to the cost of manufacture and the salesman may be certain that there is a distinct "reason why" back of every size, shape or finish. If that be so, it constitutes a selling point with which to become familiar.

The element of style, originally confined almost exclusively to wearing apparel, is having its influence today on such a wide variety of goods as to revolutionize merchandising and change retailers' buying habits. Style changes come so rapidly as constantly to make purchasing in large quantity more hazardous. It is difficult for the retailer upon whom the salesman calls to determine whether a new style in women's ready-to-wear is a fad or one that will prevail for a considerable time.

Changes in style and dominant colours in all kinds of women's wear come rapidly and these changes have a far-reaching effect on associated goods. A change in the predominating colours of such items as women's frocks, shoes, hosiery, millinery, lingerie and even in women's handbags, will affect the saleability of piece goods. Even merchandise into which no style element has previously entered are continually being brought under the influence of new and striking designs. Blankets and bed covering used to be merely blankets and bed covering.

Today they are sold in sets to match, and to harmonize with the furnishings of the rooms in which they are used. Bathrooms of coloured tile having made their appearance in newly built houses, towels, bath mats and soap dishes are produced to harmonize with the predominating colour scheme. The salesman into whose offering the element of style enters will want to know something about style tendencies in general and about the style of his goods in particular and the reason for it. He should be able to forecast style trends in order to present his product to the best advantage.

Packages and containers

Closely allied with the foregoing is the question of packages. Why are the goods packed as they are and what determines the size of the unit? What is the reason for putting money into an expensive and finely lithographed package or container? Does it add display or "shelf value" which makes the commodity move more rapidly, a point which should be pointed out to the prospect by the salesman? The sizes in which bottled goods are put up, coupled with the prices at which the several sizes are sold, many times has a distinct influence upon the buying habits of people and the volume of goods sold.

Gillette razor blades are put up in packages of five and ten instead of the more usual quantities of one half dozen and one dozen. The fact that golf balls, formerly put up in packages of one dozen, are now offered in attractive boxes of three or four has increased the business of professionals at golf clubs. Tennis balls are also sold, three to a sealed tin. A handful of raisins could never be sold for five cents were it not for the fact that they are put up in an attractive box.

The making up of special .sizes of nationally advertised tube goods—dentifrices, shaving creams, and the like—for 5-and-10-cent store distribution was an inspiration which largely increased sales. There are a great many of these changes in packages from customs to convenience. Naturally, if there are these reasons and advantages behind the packaging of the salesman's goods, he will want to know what they are and use them in his selling work. A change in packaging sometimes has a marked influence on volume of sales. It gives the salesman a new talking point, particularly if there is an element of convenience which the old package did not offer.

Knowledge of competing lines

Though the salesman may never mention to his prospect articles in competition with his if it can be avoided—and he wants to do so just as little as possible—he does want to have a knowledge of these offerings, their similarities, their differences, the points at which his article is superior, the claims made for the competing article and, if possible, the competing company's advertising and methods of meeting competition with his line.

As a matter of fact, this knowledge will help him materially in keeping away from mentioning competition; for, with it, he can in his selling talk bring out exclusive points or advantages in his product not possessed by the competing article and thus anticipate and nullify the competitor's method.

Knowledge of related subjects

Very often, in order that the salesman may make clear just where and how the offering fits into the prospect's problems, it is necessary that related subjects be studied. An adding or bookkeeping machine must fit into an accounting system. Hence, a working knowledge of accounting and office systems is advantageous.

The motor truck salesman will want to know something about local and long distance hauling and trucking problems, and of department store and wholesale delivery systems. Visible filing systems and addressing machines must be tied into the activities of customer follow-up, direct by mail advertising and collection systems. The cash register salesman must fit his machine into the store system. A man selling dictating machines will want to know something about the organization of a correspondence department, average stenographic output and letter costs.

The firearms salesman will want to know a great deal about hunting and the habits, needs and requirements of hunters. Sporting goods salesmen are frequently recruited from the ranks of college athletes because of their knowledge of and interest in sports. In brief, the salesman, by a knowledge of the related subjects, gets a conception of the setting of his particular product in the general scheme of things.

The study of the security salesman

It has already been mentioned that the security man needs a general background of a knowledge of investments and that the personnel and standing of the house sponsoring an issue is an important point with the investor. In addition, in his study of a particular security, he will want to have an intimate knowledge of the board of directors and management of the business and of the line of business, its possibilities, and the outlook for this particular company.

He will want to study the company's capital structure and know just where the particular security he is selling ranks in it. He will want to be thoroughly familiar with the company's balance sheet and be able to interpret it to his prospects. He will want to study the earnings of the company in relation to interest and dividend requirements and earnings per share available for this particular security. He will want to know how well seasoned and steady the earnings are. He will feature the earnings, the safety of the investment, and the marketability of the security should the prospective investor desire to sell.

The salesman must make such a study and analysis of each security he offers to his clientele. Different classes of securities have points of attraction more or less peculiar to themselves.

Real estate mortgage bonds, for example, assure safety of principal, based upon stable real estate values and a yield slightly larger than is usual to other types or grades of bonds. Sometimes they embody special plans of amortization or are guaranteed by the issuing company. Increasing demands for service, lack of competition, certainty of collections and lack of possibility of inventory losses are some of the special points which are inherent in the business and make public utility securities attractive.

In the same way, the insurance salesman, in addition to the knowledge of the principles and practice of insurance already suggested, will want to know the kinds of policies issued, the elements of protection and investment which enter into each, under what circumstances each policy is best for the prospect and something of the various uses—such as the protection of family, education of children, securing of mortgages or bank loans and protection of business property—to which insurance may be put.

Study of the diversified lines

A salesman representing a manufacturer putting out a broad line of products, operating factories in different parts of the country and putting out self-branded and unbranded goods, cannot immediately make a detailed study of each prod uct so as to be thoroughly familiar with it.

The same is true of the jobbing house salesman whose line may consist of hundreds of products. A fair knowledge of a number of the more important articles in the line can be gained before the salesman begins his selling, but for the most part a thorough knowledge of the line can come only after months of investigation and study as he proceeds with his selling work.

The chances are that he will be expected to put his main selling emphasis upon his company's branded specialties. He will make his first detailed study on them, going into a study of branded goods in general and the company's brand in particular, its reputation, its advantages to dealers, the care taken in the selection of raw materials and processes of manufacturing, the advertising, dealer helps and size and attractiveness of containers. He will prepare himself to talk up these branded specialties as if he were a specialty salesman. In fact, so far as his company's brand of goods is concerned, he is a specialty salesman.

Use and benefits of the proposition

It now remains to consider briefly a most important point in this matter of knowing your proposition. All the details which we have discussed above are important, but in a salesman's study of his proposition and in his presentation of it, the main point is not what this proposition is, but what it will do for the prospect. In other words the main thing is that it must serve and benefit the prospect. This matter of use and benefit must be studied from every angle. It applies to every kind of offering.

The modern trend in good salesmanship is to stress service rather than goods. Buyers are more interested in what the proposition will do for them than in the details of the offering itself. Therefore in making his study of the product one should concentrate upon service to the prospect. For example, a large manufacturer of a strictly technical product for walls, restaurant counters, partitions, and refrigerator linings, makes a practice of training his salesmen in a thorough knowledge of the technique and manufacture of materials and takes up such subjects as durability of construction, strength, weight and wearing qualities.

Both in their training and in their sales activities, however, special emphasis is laid upon such points of service as employees' efficiency, sanitary surroundings, reduction of accidents and many other conditions that go toward the development of cooperation and greater production. The same principle holds true in the case of any offering. The thing that matters most is use not goods. The important point is what this will do for the prospect, not what a fine thing this is.

To be sure, the salesman needs a technical knowledge of his line. He never can tell when an occasion may arise where he will need to use it, but he will exercise care not to place his main emphasis there. Such details are for the purpose of backing up his discussion of uses, advantages, and benefits. He will emphasize turnover, profit, comfort, health and pleasure, but technical knowledge can be held in reserve. At some point or other in a sale, the necessity for this reserve talk is bound to arise.

The salesman will want to know how to make a quick demonstration of technical points of quality back of the service but his main emphasis will be placed upon service. In his study and investigation of his offering he will continually raise, and find an answer to, the question, "How will this serve the prospect ?"

Sources of information

There are various sources of information which are available and which the ambitious salesman will utilize to the fullest possible extent. Most concerns furnish the salesman with a sales manual or guide. These differ greatly in their nature and extent. Their general purpose is to give the salesman detailed information regarding the company, its products, the market and the duties of the salesman. Some of them go into the details of the sales process in selling the particular line and also discuss such subjects as advertising, assisting the customer, credits, collections, claims and reports.

Some manuals include a standard sales talk. In most of them, however, the major part consists of detailed information concerning the line of goods or the service which is offered. As a rule these manuals are prepared by sales executives. They often represent years of experience and study, and are very practical in their form. A good sales manual is probably the very best source of information for the salesman and he should make constant use of it for both study and reference.

Sales training courses

The practice of conducting sales training courses is growing very rapidly. The primary purpose of these courses is to prepare the new salesman for his work, although in some companies the experienced salesmen are also included. One important subject handled is that of the offering itself. These groups are usually led by the sales manager or by some other especially qualified man in the sales department.

Sometimes they are conducted by an expert from outside the organization. As a rule the salesmen are given detailed instruction regarding the line. Addresses are made by experts, demonstrations are held and courses of reading and study are suggested. Experiments and comparisons with competing products are conducted. A well organized training course affords the salesman an excellent opportunity to become well grounded in the knowledge of what he is to sell.

Factory visits

When the salesman's offering consists of complicated mechanisms or a product for which a knowledge of factory operations is important, it is quite customary to include factory visits as a part of the salesman's training. In some cases, though not as a rule, the salesman is required to spend considerable time working in the factory.

Factory visits are useful to the salesman and whenever practicable he will do well to avail himself of them. A salesman for a large food products concern which operates factories in different sections of the country made it a practice, whenever he came within striking distance of a factory, to wire the sales manager for permission to spend a day there. He studied the various operations from raw materials to the finished products and became the best posted man on the sales force.

His knowledge was plainly reflected in his sales. Such preparation is largely a matter of personal ambition and initiative. It pays, however. Buyers usually prefer to deal with such a man.

Sales conferences

Most companies hold periodical conferences of the salesmen and in cases where local groups can be assembled easily, it is quite customary to hold weekly or monthly conferences. In cases where the territories are extensive or widely scattered this is not practicable. However, group conferences at branches are quite common, and at such conferences the matters most usually considered are problems of selling, involving discussions of the offering and of competing products. Much useful information concerning the line can be gathered at such meetings, as they afford a good opportunity for inquiring salesmen to get information from experienced men.

Booklets, pamphlets, catalogue and advertisements

It is a common practice to issue special booklets and pamphlets which discuss the products in detail. In cases where the line consists of hundreds or thousands of different products an extensive catalogue is furnished. In the latter case it is not possible for the salesman to acquire a technical knowledge of each product, but he can gain from the catalogue and other sources a working knowledge which will enable him to present the products intelligently. It is necessary to thoroughly familiarize himself with the catalogue so that the salient points of each product may be explained briefly. Such catalogue are often illustrated and contain outlined descriptions which are most valuable.

In cases where the company is an extensive advertiser the advertisements frequently contain a résumé of important points which help the salesman. A study of these is essential to keep the skilful salesman abreast of his company's advertising. Where house organs are furnished, these often contain considerable information which is extremely valuable concerning the offering.

Government and trade association reports

A noticeable feature of modern business is the formation of trade associations for the purpose of promoting and developing the industry, thereby increasing its efficiency in manufacture, distribution and sales. Nearly every leading industry has its cooperative association. These trade organizations conduct extensive researches and publish reports concerning their respective products. For example, the American Gas Association makes surveys and publishes reports on the analyses of fuels and their combustion, industrial heating and industrial furnaces and other like subjects.

Government reports are becoming more numerous and more valuable as sources of information as time goes on. A progressive salesman will secure these and use them to advantage.

Experienced dealers and consumers

The practical experience of successful dealers and consumers is valuable and a skilful salesman will not, neglect to take advantage of this source of information. Men who are actually handling the offering will discover certain phases of it which escape the notice of those who produce it. What does the man who makes the ultimate sale or the man who actually consumes it think of it? The paint salesman who sells to dealers not only carefully sounds out the judgment of the successful dealer, but also interviews the painters. Similarly in other lines the salesman "keeps his ear close to the ground" and learns all he can from those who use the goods.

Trade journals

In nearly every leading industry today there are one or more good journals published. These periodicals usually contain much detailed information concerning not only the products themselves, but also the movements and activities of the particular line of business. A salesman who desires to keep abreast of his line will subscribe for a trade journal and read it regularly.

Value of preparedness

The material covered on this page will be found helpful in enabling a salesman to prepare a pointed and convincing selling talk. It is obvious that in order to talk a thing well one must know it well. He must be able to distinguish clearly the main selling points and be prepared to present the related talking points in a logical and persuasive fashion. In order to do this he must master the proposition in detail, so as to be able to handle objections promptly.

A large proportion of the objections that arise in a sale have reference to price or some point of quality. The skilful salesman will be prepared to reply promptly with a logical and convincing explanation on points of quality and to justify his prices on the basis of quality.

It is necessary in order to get his case fully before the prospect that the salesman dominate or guide the interview. He usually will be able to do this if he knows more about the matter than the prospect does. We are quite inclined to give the right of way to the man who understands the matter best. One of the other intangible forces of good salesmanship is confidence and enthusiasm. A necessary basis for this state of mind is that one possess a complete mastery of his proposition.