Persuasion Principles and
Personal Selling

Sales Agents - Perception vs. Reality

Images of salesman (less often saleswomen) in mass media (movies, books, TV). .................Video Clip.......................

What are some of the realities?

• One out of every 12 American families has a member working in sales.

• Many entry level positions are in sales (direct to consumer and business-to-business).

• Successful sales people can make a lot of money.

Characteristics of successful salespeople:

Study #1

• Some seem stereotypical:
  • Good dresser
  • Enjoys crowds and social events
• Others seem counter to stereotypes:
  • Deliberate, plans moves
  • More of a listener than a talker
  • High ethical standards
  • Individualistic
  • Interested in others more than in self

Study #2

Peak sales performance is predicted by:

• Risk taking and innovation

• Striving to surpass previous performance

• Focus on problem solving rather than placing blame

• Always upgrading skills

• A sense of mission

• See themselves as partners with customers rather than adversaries

• Take rejection as an opportunity to learn

• Use mental rehearsal

Persuasion Tactics

Commitment and Consistency

Underlying mechanisms:

• Drive to appear consistent (rational)
• Manage cognitive dissonance
• Alters self-image

Methods of triggering:

• "as if" imagining
• get a behavioral response (FID)
• generating a "response set"
• power of public commitments
  • self-help programs (e.g., weight control, stop smoking)
  • "Testimonial contests"

Discrepancy

The difference between a target's current position and the position being advocated by the agent.

Underlying mechanisms:

• Contrast effects
• Reciprocity
• e.g., DIF

Moderating effects of agent credibility

Scarcity

Underlying mechanisms:

• Reactance theory
• Scarcity - Value heuristic

Examples:

• Antiques, collectibles, art, "deals"

• Cookie Jar Study

• Advertising cues
  • Limited time only
  • Limited supply
  • Only a few left
  • 24 hour sale
  • Going out of Business Sale
  • One-of-a-kind

High Pressure Sales Tactics - The Sales Culture of the Car Dealership

1. Controlling the customer exit

2. Low-balling

3. The turnover system

4. Selling the payments

5. Working the trade-in

6. Strategic delay

7. Sales hype