Промышленный лизинг Промышленный лизинг  Методички 

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fragmented market in which over 500 printers buy paper from a few giant paper manufacturers, can now take advantage of online web exchanges, such as PaperExchange.com. An exchange is an impartial site that collects quotes from sellers and submits them to buyers, and vice versa. For example, in what is called a reverse auction, a buyer can post a particular material it needs and cite the price it is willing to pay and the product specifications it needs (delivery, size, time, amount, etc.). Suppliers can then give a quote online.8 PlasticsNet.com, owned by Chicago-based Commerx, Inc., is another example of an exchange; it offers buyers in the plastics market access to raw and manufactured materials through online auctions.9

The Internet increases efficiency, giving buyers the chance to purchase material that is in excess supply. In the paper industry, to recover high fixed costs, huge paper mills must run continuously. If paper demand ebbs, inventory soars. In the past, the manufacturers had to employ large and costly sales forces to move the excess inventory. But field sales forces could profitably call on only bigger accounts. Today, theres a virtual marketplace of buyers that the mills sales reps might never have been able to contact.

OLD WINE IN A NEW BOTTLE

Although these changes are changes in ways of buying and selling, its important to remember that in the larger scheme of things, theyre still plain-vanilla transactional sales. And transac-tional sales have been around for a long time. Its hard to imagine consultative sales taking place on the Internet.10 (For a discussion of whether the Internet will replace consultative salespeople, see Sales Trap 24.)

Selling and buying on the Internet is just another form of direct marketing. As Michael Dell himself has said, initially, in 1994, he viewed the Internet as just another way to sell direct, a tool that would strengthen Dell in its primary mission to be a one-on-one,



direct-to-the-consumer computer company. Direct from Dell pioneered computers as a direct sale with no intermediaries. Dell pioneered the strategy that instead of a catalog and a telephone customer service number, customers used the Dell.com web site. Its self-service, Michael Dell says. The customer is now going [to the web site], and theyre not calling us on the phone. 11

Others agree. Direct marketers are the only true beneficiaries of the Internet, states Lester Wunderman, one of the pioneers of direct marketing.12 Internet selling and buying relies on the same sales processes, principles, and techniques as other forms of direct transactional sales. (The techniques in transactional sales are discussed in Sales Trap 20, If You Generate Sales Activity, Youll Close

More Sales. )

With respect to selling, the Internet is old wine in a new bottle. Although its a new technology, Internet sales are transactional direct sales, and direct sales are as old as money. However, the impact of the technology has changed both selling and buying patterns. It doesnt change why companies buy and sell, but it changes what, when, where, and how companies buy and sell.

ACTION POINTS

4 Use the Internet to buy and sell direct. The Internet is a transactional selling tool that is used to buy and sell direct. Period. Using the Internet to sell increases your profitability on low-margin product lines by taking the direct sales expense for salespeople out of the P&L statement.

4 Survey the market. What are your competitors doing online?

4 Survey your customers. What information and services will your customers want from your site twelve months from now? How do they want to use the Internet to stay in touch with you?



4 Use the Internet as a channel of distribution for low-value products. Allow your customers to use the Internet to buy certain lines of products for which sales reps will provide little or no value to customers.

4 Use the Internet to offer your customers more choices and more information. The Internet offers sellers a cheaper way to reach and inform customers than communication methods in the past.

SALES TRUTH 23: The internet is just another venue for transactional sales.



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