You have an awesome product with you.
You did your marketing well and understood the needs and demand of the market and created an epic product that will fulfill customer wishes.
So, now what? You need to sell that and bring money to your pocket to pay your expenses and salary to your employees.
But did you just noticed that I wrote- You did your marketing well…
To understand why I wrote this, you have to read my in-depth written article on What is Marketing?.
Just to give you a brief on marketing, so that we can we can quickly move ahead with our topic of interest here which is sales,
“Marketing is to identify and fulfill the needs of a customer profitably.”
So here we are, we first need to identify what a customer wants, and then we have to develop a product that’ll gonna be satisfied his or her needs.
This might have also surprised you because until now, you’d have thought that marketing starts only after a product is created, which is untrue. Marketing starts even before a product is created and goes even after the sale of the product has occurred.
So, Sales is one of the subsets of marketing.
But what’s more there in the complete sales process? we are going to look in this article.
The table of content below is the outline of whatever we are going to know about sales.
Table of Contents
What is Sales?
Sales is a process that leads to the selling or transaction of goods and services. A product or a service is provided to an individual and the individual or the buyer provides the value equivalent to that product handed over to him.
A long back, there used to be barter system, where goods were exchanged in return for goods provided. But now we have something called money that is exchanged as a value for goods. to make the whole process feasible.
In businesses, there are sales organizations that are responsible for selling their products.
Types of Sales
There can be various types of sales based on the target audience, the way sales can be performed, the type of offerings and many.
On the basis of the target audience
In Business to Business or B2B sales, the selling happens between two business organizations and not directly to the end customer.
In Business to Customer or B2C sales, the selling happens directly from a business organization or the product maker to the customer.
On the basis of how sales is performed
- Inside Sales
In inside sales, the salesperson tries to sell his product from inside his office or without meeting the prospect.
- Outside Sales
In outside sales, the salesperson visits his leads to explain the offering in order to close the deal.
- Online Sales
The sales is desired here to happen without or with much less human intervention, like from e-commerce stores.
On the basis of type of offering
- Product Sales
It’s simply the sales of a tangible product.
- Service Sales
This will be with business offering services like consultancy, software and website development, delivery, etc.
- Affiliate Sales
Affiliate sales is where a company doesn’t hire a sales rep as an employee, but assigns the sales tasks to salespeople and provides a percentage of profit to them for every sales closure.
- Account-Based Sales
Why sales department is important for any business?
Sales is the backbone of any business. This is because it is the only department responsible for bringing cash to the company. So, it helps in the growth of any business, and it does that by following means,
Sales process will bring cash, of-course, when a deal is closed by the salesperson i.e. by conversions.
- Customer Acquisition
A sales can also help in bringing new customers to your product i.e in customer acquisition.
Let’s say your product is so awesome that your buyer told about it (2-3) more people, and they also bought your product. Then these (2-3) buyers spread the message across (2-3) people in their circle and then more people are also at your doorstep to grab your offering. And then so on which may become a cycle bringing you more and more cash.
We call this word-of-mouth marketing which works so effectively that it can quickly turn your small business into a well-known brand. The reason why this works is that people trust people.
Don’t you check the customer reviews on Amazon or Flipkart before going to buy any product?
- Customer Retention
An efficient sales process or department is like the bloodline for your business because it also helps in customer retention i.e. repurchase of a product or service.
If you are running a business that provides service, like a restaurant or a car service center, then a smooth sales process will build a deep relationship and trust with your customer and he may never go anywhere else to buy that service.
Some common sales terminologies
Let’ now quickly understand some of the common terms related to sales which are used in the Sales Marketing World.
Salesperson, and not salesman or saleswoman, so that no one can blame you for sexism!. Jokes apart.
He or she is an individual who performs the act of selling products or services for a business. They are also called a sales rep(representative), seller, sales agent, or a sales associate.
A prospect is a person inside a company that may buy your product or service. So, as a salesperson, you have to find your prospect inside a company using different prospecting techniques like warm calls, email outreaches, LinkedIn outreaches, and social media marketing.
Perhaps the most common word you’d have heard. If you are able to persuade your prospect to buy your stuff, then he will turn into your customer.
Here’s the Deal!.
It’s your product or service with a price tag that you present to your prospect. We have CRM’s nowadays with which we can create deals that need to be sent in the form of quotation to your leads.
It’s an official document that you provide to your leads that mentions the items/products/services with their prices. It mentions the details of taxes and terms and conditions that both the parties have to oblige while and after the sales.
All your prospects will be called as leads if some or many of them show interest in your product or service that you offered to them via your outreach.
A sales pipeline is a document created to describe and record all the processes and stages happening in the sales process. With the help of a CRM tool, you can easily create a visual representation of your sales process that’ll you to keep track of your process and performance.
It’s said, One who fails to plan, plans to fail.
This goes with any task you want to do and so with the sales process. The sales plan defines the goals and objectives of an organization, customer details, market scenarios, team member details, pricing strategies, and other details.
An effective sales plan acts like a GPS that guides you to reach your destination locked from your side in the most effective way possible.
How to sell a product(or a service)?
Now, let’s quickly move on to the most practical part of the sales i.e. how to sell a product or service?.
We learn’t from the definition of sales that it is about exchanging values. You provide something and you get something in return.
But what is that value that you need to provide to your customer for which he’ll take out money from his pocket and present it to you? For that, you need to understand your customer.
The fact about sales, or we can also say the most accurate way of defining is-
Sales is to hear and understand the pain points and hidden desires of your customer on a personal level and then propose a solution as advice to make his or her life better than before. It’s actually building a relationship or winning his trust.
The best analogy to showcase this process is a conversation happening between a doctor with his patient.
Remember the last like when you were sick and you visited a doctor for your treatment. Now recall what happened there.
You entered the doctor’s cabin, perhaps a bit nervous for a moment. Then your doctor has realized this by looking at you, and then in a polite manner, he had told you to sit and relax. And then with a calm face, he would have asked you to tell your illness. He would have listened to each and everything that you feel and that you wanted to tell him. Finally, after understanding and thinking a bit, he would have prescribed you the medicine. And then you’d have left him with confidence and hope.
And this is how you, if you are a salesperson, have to imagine the complete sales process to go.