Elements That Make up Sales Situation


I was recently invited to a party plan meeting at the home of a good friend. I had not seen my friend for a while so I decided to go along.

When anyone goes to these parties, we all know that there is an expectation that we will buy something. But yet, so often people walk away empty-handed. This is bad for everyone! The consumer misses out on great products that can give them real benefits. The distributor misses out on a decent return for the effort they put into the night. And the hostess misses out on valuable reward points they could use to get even more products.

Why does this happen?

There are a number of reasons for this. One of the main reasons lies at the feet of the distributor. What is the objective that you as a distributor have to a party? Do you go in with the attitude of selling a certain amount of product, or do you go in hoping that people will buy? At the party I was at, the distributor (lets call her Natalie) told me that she was not there to make sales, but to inform people about her products, and to get us thinking about our health. She then pulled out a portable EFTPOS machine to process my sale! Clearly she wanted to make sales. But maybe she also had a belief that it did not matter if she took the entire product range home again?

Although the MLM industry is a unique industry, it does share a common feature with all other industries. IF NOTHING IS SOLD, NO-ONE MAKES ANY MONEY. And if you are not making money, you are not in business.

Therefore, your party plan presentation is a sales situation. To make it successful, it is important that you have a strong understanding of what makes people buy.

There are many reasons why people buy. Sometimes, people buy because of emotions and feelings aroused by the product. They see a product and associate it with good times or know how it will make them feel. Other times, people buy for logical or factual reasons. That is, the product will fill a specific need the customer has. Then there are the times when people buy just because they liked the person selling the product. I call this last point credibility.

More often than not it is a mix of all three. The key is to use these ingredients to achieve your sales objectives.

The order in which you introduce these elements will vary from sale to sale. Sometimes you may need to use more of one element than another. Sometimes you will need all three in equal amounts. However, all three are important for very different reasons. They serve different purposes at different times during and after the sale.

At the party I was at, Natalie started her presentations by establishing credibility. She mentioned a little about the company and why she liked it. She then explained how she came across the products and what they had done for her. She told us of the benefits that her and her husband had gained from using the products. On top of this, she told us she had tertiary qualifications relating to the products.

By establishing credibility in such a manner, we learned that we could trust her. This made us more open to accepting what she said. This is essential in any sales situation.

Natalie then proceeded to introduce the products that she had on display. As she introduced them, she appealed to our feelings and emotions. She told us what the products had done for her, and what they could do for us. Through appealing to our feelings and emotions she was able to engage with us on a level that opens us up for a sale.

While she continued with the products, we tasted some and rubbed others on our skin. All the while, we were becoming more comfortable with the products. We could see how the benefits could be realised.

Then Natalie started introducing the technical facts about the product. This was the logic/factual part of the presentation. This was designed to tell us what was so good about the product. However, the way that the information was presented did not make us want to buy.

Natalie gave us all the technical names of the ingredients and told us exactly what they would do for precise parts of our body. At this point, I started to switch off. All the big long words were too much for me. I did not need to know what d-alpha-Tocopheryl Acid Succinate would do for the upper parts of my lower intestine! I just wanted to know how I would feel better taking the stuff. At this point, the presentation had unintentionally turned into how much Natalie knew about the products, and not what the products could do for us. Unfortunately, I think that this cost Natalie some sales.

Using facts as part of your presentation is important in all sales situations. However, it is also important to ensure that you are giving the facts appropriate to the customer. If the audience is not asking for the big words, don’t mention them.

Consider how these points relate to when you are selling your business plan.

You need to establish credibility of both yourself and your company. After all, no one wants to go into business with a shady character from a fly-by-night operation. Credibility is established by using the company-produced brochures and your honesty with prospects. After this you then need to tap into the dreams and aspirations of your prospect. This is a great way to show what the business can do for them. It is often the emotions that prompt a prospect to join on the spot. However, it is the logic that keeps them there the next day.

How often have you had a call from someone you signed up the night before? Last night they were all excited and had already planned to contact five people. But today, they want their money back as it is not for them.

This happens when there is not enough logic to support why they joined. When the emotions have subsided the following day, if there is no logic to reinforce the decision to join, there is only logic to get out. This is particularly true if your new member has been talking to negative people. The negative people have been building up the emotions (and logic) to get out!

So keep in mind the mix of credibility, emotions and facts. Used in the right mix you are bound to increase your income.

By using the elements in the right manner you will find that your sales become stronger, and the incidences of refunds are greatly reduced.


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