In: Economics
Question 1- The sales Funnel and the negotiation process
The sales funnel is an extremely useful tool in order to classify customers, specially for B2B purposes. We already know that we can use it to plan our negotiations. Now:
The sales funnel is also known as Revenue funnel or sales process It is the buying process on which companies lead customers through when they purchase products
Example:we can the the example of digital marketer. Com. Ryan Deiss and his team uses sakes funnel in digital marketing space to build 7 figure Web assets. Web assets are authority sites like digital marketer. Com, survivalist. Com to generate a lots of money
Stages of the sales funnel:
1.Awareness stage:in this stage, prospects are aware of the existence of the solution.
2.Interest stage:prospects show interest in the product by product research.
3.Evaluation stage;Here prospects evaluate competitors solution to move towards final buying decisions.
4.Decision stage:prospects reach final decision and negotiation starts.
5.purchase stage:Here finally godds or services are purchased.
6 Revaluation stage: It is generally seen in B2B case.It involved contracts that needs to be renewed. As customer becomes familiar with product and contract date comes closer then the product needs to be reevaluated.
7.Re purchase stage:Here goods or services are again purchased.
By sakes funnel one can quantify the number of prospects in each stage then finally can conclude how many can be the final customers There might be many prospects who have already used other products or services but are not satisfied. They can be negotiated and they might become ultimate customers.
It will thus helps to classify customers. It also helps to make improvements in each stage if number of prospects decrease. It may lead to increase in prospects and finally help in negotiation
Negotiation in sakes is one of the fundamental aspect of selling. Before negotiating one has to see the situation from the side of customers. It needs to develop strategies to meet the demand of both sides. It needs to follow sone rules :
1. See from buyers prospective:it is required to know the wishes of buyers and what their approach h is all about the product.
2.prioritize the interest :it is better to know the interest of buyers as it will help to give solution to the problem of both the parties.
3.manage emotions:first listen to the mind of buyers then try to explain your opinion that will easily help to negotiate
4.Be calm :If a buyer wants much discount then don't loose hope and try to handle the situation in order to convince the customer.
These are some of the strategies to be followed when negotiation process is going on.