Key Terminology:

• Sales Process: This refers to a series of steps that a business undergoes, beginning from identifying potential customers to closing the sale.
• Lead Generation: This is the process of attracting and converting potential customers who have shown interest in the company's products or services.
• Prospecting: This involves research to find potential customers.
• Qualification: This step determines if the prospective customer has a need for the product, the capacity to buy, and the authority to make purchasing decisions.
• Proposal: This is a detailed plan or suggestion presented for consideration or action.
• Closing: This is the final step in the sales process where the salesperson seeks to finalise the decision and complete the sale.

The Sales Process

• The sales process generally involves the following steps: Lead Generation, Prospecting, Contact, Qualification, Proposal, and Closing.
• Lead Generation can occur through various methods including advertising, cold-calling, or marketing campaigns.
• Prospecting is crucial as it identifies potential customers who might be interested in the product or service offered.
• The next step is Contact, which involves reaching out to the potential customer, either through a phone call, email, or face-to-face meeting.
• Qualification then determines whether the prospect has the need, ability, and authorisation to purchase the product or service.
• Once the purchaser is qualified, a Proposal is made. This includes product demonstration and an explanation of how the product will meet the buyer's needs or solve their problems.
• The final step is Closing, where the salesperson summarises the benefits of the proposal, answers any objections, and asks for the order.

Improving the Sales Process

• Steps to improve the sales process include:
  • Monitoring and analysis of sales data to understand where improvements can be made.
  • Training sales staff to enhance their skills, such as communication, persuasion, and customer service.
  • Utilising sales technology tools like Customer Relationship Management (CRM) systems to track interactions with potential and existing customers.
  • Developing clear sales strategies and targets to provide direction and motivation for the sales team.

Customer Relationship Management (CRM)

• CRM is a strategy for managing a company's interactions with current and potential customers.
• It uses data analysis about a customer’s history with the company to improve business relationships, specifically focusing on customer retention and ultimately driving sales growth.

Remember to review these points regularly to help consolidate your understanding of the 'Sales Process' aspect of Business Operations.