subject: How Sales Techniques Have Changed Through Psychology [print this page] How Sales Techniques Have Changed Through Psychology
Salespeople have been applying psychology to sales techniques throughout history. From creating attractive window displays and special offers, to developing sophisticated customer relationship management systems to track consumer behaviour, sales people have constantly refined their techniques to match the changing consumer market.
Changing demographics
And how it has changed! Rising disposable incomes, the end of the traditional nuclear family, changing gender roles, increased leisure time, the application of technology and increasing affluence and expectations have led to the UK having a time-poor, cash (or credit) rich society with a strong emphasis on consumption. Admittedly with current economic climate, things have started to change once again to a more eco conscious form of spending, but essentially consumers are far more informed and choosy as to what they purchase than ever before.
The internet
The internet has been one of the most powerful drivers in this changing consumer landscape. Customers are better educated than ever before, and have endless sources of buying information at their fingertips. For example, price comparison websites have led to a drive for price-conscious purchasing and an erosion of brand loyalty. Consumers also have less need to interact directly with sales people, with the ability to buy quickly and simply online without needing to engage or speak to anyone directly.
More educated consumers
A more 'fickle' consumer body today is less swayed by advertising and established brand loyalties. They are likely to influenced by social pressures, environmental and corporate social responsibility of producers, greater perceptions of value and a hugely saturated market place.
Old fashioned sales techniques simply don't work anymore. Approaching a customer, or calling them will likely lead to a cold response, and an array of consumer protection legislation is also now in place to ensure that customers aren't sold to when they wish to retain privacy.
Building relationships
The mantra is now around building relationships and high value. Sales people have to be fully prepared - knowing their customers' needs, wants and desires well in advance. They must anticipate all manner of questions and know the answers. They must be adept in reading body language and nuances in behaviour, and adapt their approaches accordingly. Increasingly, sales people must also be prepared to work on building a relationship with regular customers and understanding how to help them with their purchasing requirements for high value, high decision sales. At the other end of the scale, low value price conscious purchases will heavily rely on marketing in creating the right value proposition to help the sales force - the right price, location, product and PR.
Examples as to how relationship building to build sales are now the vogue are very much seen in the current sales and marketing strategies of the UK banks - recently decimated in the credit crunch and economic problems, the emphasis is now on encouraging customers to build relationships with their bank managers and visit the branch to talk about their financial goals. The focus is on the sales person helping the customer to achieve their goals using a softly softly and information-rich approach. Rather than forcing a close on a single sale, the relationship will be built over time so that the customer becomes tied in and loyal to the brand.
