RETAIL SELLING PRACTICESFRSR 1863
DR WAN NORMEZA WAN ZAKARIA
The aim of this report is to identify and to explain the suitable sales practises for every sales process occurs in retail business.
For this report, I choose Peace Collections Boutique (Ipoh Outlet), at TESCO Station 18, Ipoh, PerakThis report covers such topics as:
Are the customers greeted with a smile and offered assistance?
Are the salesperson informing the customers of new items or innovative solution s to their needs?
Do the salesperson know when to offer additional items to complement a purchase?
Are the customers pleased with the way they were treated?
Do the customers feel loyal to the business?
Several basic steps occur during the retail selling process. The length of time that a salesperson spends in each one of these steps depends on the product type, the customer and the selling situation.
The retail selling process involved:
The Needs Assessment
Follow up / Build long term relationship
Peace Collections (http://www.peace.my) brings trendy styles from all over Asia to its warehouse, and maintain a world class facility to streamline online purchases and an efficient supply chain caters for prompt delivery to all over Malaysia.
The goal – To become a preferred trendy platform for online shoppers – continuously made available the newest, sophisticated, trendy, daring and popular styles that define Asian fashion.
The biggest Muslimah wear fashion chain store in Malaysia, in Malaysia have over 100 outlets, doing wholesales & retail, the largest sizes Muslimah wear fashion, kurung, jubah, blouse, Shirt, slack, skirt.
INTRODUCTION, CONCEPT, MISSION & CUSTOMER PROFILE
Peace Collections Group Bhd was founded in the early year 2000. Under the brand name of PEACE, this organization manufactures baju kurung modern, jubah modern, kebaya modern, trendy blouses, slack pants, gown & dresses, casual-wear, office-wear, sport-wear, maternity-wear, scarf & lingerie with the main focus being Malaysian women & teenager.
This boutique company is inspired by the constantly changing fashions and trends of the present generations and stay in step with these changes by constantly altering and adapting to varying demand.
Within the span of 11 years, Peace Collections Group Bhd has moved from the strength by winning consumers.
The expansion rates of their outlets are exceptional, with over 100 stores across Malaysia presently and keep increasing.
The concept of Peace Collection Group Bhd based on Malaysian traditional wear with latest modern fashion design but at inexpensive prices. This is reflected in the designs that are displayed at our stores, the interiors of the outlets are well lit and colors used are bright and cheerful, exactly the kind that a Malaysian would feel comfortable. The clothing sizes have a huge range from XS to XXXXXXL for the benefit of users.
The boutiques have met the evaluation criteria to be recognized as the “Fair Price Shop” in the category of Textiles and Apparel. The “Fair Price Shop” award was approved by the Minister of Domestic Trade, Cooperatives and Consumer Affairs. The boutiques are proudly awarded with “Fair Price Shop” for consecutive years from the year 2006 to 2016 for our outstanding services, superb value and premium product’s quality.
PEACE COLLECTIONS HQ WAREHOUSE
No.15, Jalan Bunga Pekan Kawasan Perusahaan Banting 42700 Banting, Selangor
Monday: 9:00AM – 6:00PM
Tuesday: 9:00AM – 6:00PM
Wednesday: 9:00AM – 6:00PM
Thursday: 9:00AM – 6:00PM
Friday: 9:00AM – 6:00PM
PEACE COLLECTIONS (IPOH OUTLET)
Lot G6, Tesco Ipoh, No.2, Jalan Jambu, Taman The Teik Seng, 31400 Ipoh, Perak
Tel: 05 – 548 5808
WHAT IS RETAIL SELLING?
You’ve decided it is time for a new computer. What do you do? If you have questions about all the options available to you, you will likely get in the car and drive to an electronics store. This is where you will experience retail selling.
Retail means to sell goods to the public, typically in small quantities, for consumption.
Selling is the exchange of goods or services for money.
Although there are numerous sales completed online, there is still a need for physical locations. This opens the opportunity for jobs in sales.
In many retail settings, the employees are called salesperson or order takers. Retail employees who are most appropriately labelled salesperson should be order getters rather than order takers. Order getters are involved in conversations with prospective purchasers for the purpose of making a sale.
Retail Salesperson and the service they provide are a major factor in consumer purchase decisions.
For example: If the retail salesperson is rude or unhelpful, customers often walk out of the store empty-handed. The salesperson is a major determinant of a retailer’s image. When the salesperson is available, friendly, appropriately dressed, and helpful, customers are often influenced to enter into a transaction with the retailer.
The management of the retail sales force plays a crucial role in the success or failure of retail operations.
To be successful in this career, you need to understand retail selling techniques.
RETAIL SELLING TECHNIQUES
Here are some techniques that can be used in retail sales:
1. Compliment Their Choices
Don’t be a pesky salesperson. Sometimes it just takes a quick, ‘Great choice!’ to help them make a decision. For a customer that is rebellious against your help, this may be the right technique. Rather than hovering over this customer, continue on with your work. Let them know you are available if they need you. Then, simply compliment their decision. It could lead to more questions or simply the incentive to make the purchase.
2. Follow Features with Benefits
Instead of just rattling off statistics, tell the customer how it will meet their needs, too. For example, ‘This television has a built-in DVD player. That means you don’t have to deal with additional machines and wires.’ This translates the confusing data into understandable information.
3. Get the Customer to Talk to You
Ask open-ended questions. Be conversational. For example, ‘I see you’re looking at the jogging strollers. What would you like one to do for you?’ Customers want to be helped by someone that cares about their wants and needs, not someone that just wants to make a sale.
4. Establish Your Credibility
Show the customer how you are the expert. Give your credentials and years in the business when introducing yourself. For example, ‘Thank you for coming today. I’m Tom. I’ve been in the business for ten years. Are you looking for pool supplies or to build a pool?’
Clearly, however, regardless of the line of retail trade and retailer’s strategic thrust, all retail enterprises must carefully evaluate the role of the salesperson in helping to generate demand.
Selecting retail salesperson should involve more than casually accepting anyone who answers an ad or walks into the retailer seeking a job.
In fact, the casualness with which many retailers have selected people to fill sales positions is one cause of poor productivity.
To select salesperson retailers must determine and identify the person by:
Good results are dependent not only on the salesperson’s characteristics but also on how satisfied the salesperson is with the job and how the sales job was designed.
Once retailers determine the hiring criteria, they must then identify the potential predictors to meet the chosen citeria. The most commonly used predictors in selecting retail salesperson are:
Knowledge and Intelligence
Prior work experience.
SELLING PROCESS IN THE RETAIL ENVIRONMENT
THE 7 STEPS OF THE SALES PROCESS
There are 7 steps of the sales process can be practise by the salesperson
1. Product Knowledge
This step is fairly straight forward, but it is also the great undoing of many a technical expert turned sales person.
When one is extremely well versed in a particular product especially a technical one, it is easy to get caught up in a monologue of all the great features it provides.
The technical expert turned sales person is so eager to explain how the product works or why it’s unique that the benefits to the customer are left out of the discussion. Never assume that a prospect will easily link a feature to a benefit. That relationship must be stated clearly.
The acquiring of product knowledge for a “technician” therefore, is less about the features of the product itself, and more about how the customer will benefit from those features.
When discussing product, the technicians mantra should be; “So what?” Consider those two words to be what the prospect thinks every time a feature is mentioned, and re-learn your product from that perspective.
Prospecting, just as the word implies, is about searching for new customers. Like product knowledge, this step may seem fairly straight forward but upon closer examination it becomes more complex.
The key to prospecting effectively is knowing where to dig and what to look for. It’s also important to distinguish between a lead, a prospect, and a qualified prospect. The most important element in this step is to create a profile of existing customers.
For each market segment do you really know what the ideal customer looks like? These questions should be answered fully in the “Tactics” portion of a marketing plan.
In the broadest sense, prospecting is an ongoing process that everyone in the company (particularly the sales force) should be involved in.
This simply means everyone should have their “prospecting radar” up when they are out and about in the world.
3. The Approach
This is the step where you begin to build a relationship and the intelligence gathering continues (it started with prospecting).
The salesperson may meet hundreds of customers a day, but the customer is only going to meet the salesperson once that day.
Therefore, especially given the economics slowdown, it is extremely important to remember that the first 15 seconds sets the mood for the sale. The salesperson must use this time to begin enhancing the shopping experience of everyone who walks through the front door.
Therefore, the sales presentation should never begin with “May I help you?” or any other question to which the customer may respond negatively. A simple “Good morning” (afternoon, evening) or any other greeting acknowledging the customer’s presence should do.
A good approach is crucial to sales success because it will either identify the salesperson as a bothersome salesperson and cause a prospect’s guard to go up, or it will identify the salesperson as an obliging salesperson with something of value to offer. (There is probably a middle road too, but you get the idea.).
4. The Needs Assessment
The key to a successful approach is discerning the customer’s needs as soon as possible by asking the right questions and listening. What the salesperson hears about the customer’s problem or need is more important than anything the salesperson can possibly contribute at this point.
Asking good questions will not only help you determine what will best suit the prospects needs, but it builds confidence, trust, and will very often help the prospect consider issues they may never have thought of.
This last point is powerful because it provides an opportunity to showcase features, which the prospects answers led you to. What questions would you ask to illustrate how your product is different/better than a competitors.
One well-known retail sales trainer was famous for telling her trainee that you can close more sales with your ears than with your mouth.
Listening to the voice of the customer is ‘key’
5. The Presentation
Remember the discussion in step one, focus on benefits rather than features? If you consider your product/service in terms of how it benefits the customer, your presentation will be a focused and relevant dialogue rather than a self- aggrandizing monologue. Nothing is worse than a sales presentation which proceeds from the seller’s perspective.
This is why the needs assessment is so important and why it will ideally flow in and out of this step. A good needs assessment allows you to tailor your presentation to your audience, and keep it interactive.
The salesperson should handle any objection that the customer might have, replace the unneeded items, and continue to stress the features and benefit of the product the customer seems so interested.
6. The Close
Eighty per-cents of sales are lost because a salesperson fails to close. Closing is about advancing the sales process to ultimately get an order. What you are trying to sell at each stage may be different.
The salesperson was either afraid of rejection or worse, was unaware that the customer was ready to make the purchase. Remember, the salesperson is there to help the customer solve a problem and so should not be afraid to ask for sale.
There are lots of ways to close, indeed closing a sale has become a science unto itself. Books have been written on this topic alone. But there is one elemental truth – if you don’t ask you don’t get.
There are 4 effective way to close a sale:
1) make the decision for the customer
2) assume that the decision has been made and ask if the sale will be cash or charge
3) ask the customer to select the product or service
4) turn an objection around by stressing a positive aspect of the product
The question “How much does it cost?” Is a great buying signal yet it is a question you want to avoid early in the sales process. What could you say to defer that question politely? When you do mention price, don’t be afraid that they are too high, say it with pride. Don’t forget to ask for the referral.
Good follow up will double your closing ratio. When a sales person makes contact with a prospect a relationship has been built, and follow up is how it is nurtured.
Staying at the forefront of a prospect’s mind requires persistence and should not be confused with being bothersome.
Follow up therefore should never end. The pace may slow but it will never end. When a sale is made, then a new type of follow up begins.
Follow up conversations are best handled by the salesperson who started the relationship. Who else can better gauge a prospect’s “willingness to buy”, or pick up where “we last left off”.
This means that detailed notes must be kept on each prospect with particular emphasis on their “state of mind”. It is unwise and ineffective to keep track of this information anywhere other than a centralized database.
It’s important to hold some follow up ammunition in reserve. Overwhelming your prospects with every piece of information you possess on their first request hampers your ability to stay in touch. Having a stable of collateral materials gives you reason to follow up.
Over the years, good salespeople, selling expensive products, have found three easy steps to be effective on dealing this situation:
Always congratulate the customer for making a wise decision. As soon as customers agree to a purchase, assure them that others have been happy with their decision to purchase the same item, and you know they will be equally satisfied.
Always send a thank-you note. Nordstrom’s has shown everyone the value of these by the positive customer response and referrals
Get the customer in possession of the product as quickly as possible. If the products can’t be delivered, then send the updates on the progress of those order, even if it is only a phone call or e-mail.
An effective salesperson continuous to sell even after the sale has been completed. An additional sale is always possible. The salesperson should find out if the customer has any other needs or if the customer knows anybody else with needs that can be solved with the salesperson’s product line.
Many retailers refer to suggestion selling as “filling the basket”. A couple of examples would be selling a Birthday’s gift to a college students for his girlfriend and then asking if he needs with a gift for his mother.
Many customers appreciate suggestion selling because it often eliminates a second shopping trip…
However, it may also decrease a consumer’s satisfaction with the retailer as some customer view suggestion selling is annoyance…….
3) Introduction To Retailing 7th Edition, South-Western Cengage Learning, Lusch/ Dunne/ Carver
5) Stewart, Thomas A., After All You’ve Done for Your Customers, Why. Are They Still Not Happy? Fortune, Dec. 11, 178-182 (1995)