SALES PLAN 1 Sales Plan Customer Profile and Planning Sheet 1. Name: Future Shop Address: 1 - 767 Memorial Avenue 2. Type of Business: Electronic retailer Name of Buyer: Jen Smith 3. People who influence buying decision or aid in using or selling product: Jen Smith makes the final decision but she likes to discuss it with colleagues before coming to a final answer. 4. Buying hours and best time to see buyer: Jen works 9 – 5 and likes to schedule her buying appointments between 1 and 4. 5. Receptionists name: Anne Jones 6. Buyers profile: Jen Smith is the decision maker. She has worked at Future Shop in her department for five years, and before Future Shop she was the buyer for retail stores. Jen is looking to buy things that will bring traffic into the store, as well as make a good profit. However, she wants the customers to be satisfied with the array of products as well. The competitors for Future Shop are other electronic stores, such as The Source, Best Buy, and Wal-mart. As for her purchasing policies, she is mostly just concerned with the product getting to her on time. 7. Buyers personality style: Thinker 8. Sales call objective: SALES PLAN 2 Specific: To hopefully get the buyer to make a purchase by the end of the sales call. If they don’t make a purchase, the objective is to at least get them to think it over. Measurable: I’m hoping to get them to purchase 400 iPads on this sales call. Achievable: This objective is very achievable. Relevant: It’s important for me to end this with a sale as Future Shop is very popular and will help bring in lots of customers for the iPad. Time bounded: Hopefully this will all happen at this sales call. 9. Customer’s important buying needs: Customer wants a reliable and innovative product, as well as excellent customer service. 10. Sales presentation: Sales Approach: Begin with the introductory approach, then move into the benefit approach. FABs: (these are written further into the Sales Plan). Method of demonstrating FAB: Through the buyer’s questions, and through me presenting them. How to relate benefits to customer’s needs: People these days live hectic, on the go lives, and the iPad is a very convenient and easy electronic that will help customer’s lives a little easier. Trial close to use: Well Ms. Smith, how do you feel about bringing the Apple iPad into Future Shop stores around Canada? Anticipated objections: Your price is a little too expensive for me. SALES PLAN 3 Trial close to use: The iPads come on a consignment agreement, so there is no way you’ll lose money, only make it. What do you say? How to close this customer: with the Technology Close. Hard or soft close: Soft close. 11. Sales made-product use/promotional plan agreed on: Product will be on a display for use before customers purchase it, as well as cardboard displays and possibly window displays in Future Shop. 12. Post-sales call comments: (She is going to buy the product, we are going to have a follow up meeting within a week to decide on the amount bought). Sales Call Objectives My objective is to keep my buyer interested the entire time and to make them want to know more and more about my product. My second objective is to make a sale by the end of my sales call, preferably selling 400 iPads. Customer Benefit Plan Advertising & Display: This product is advertised on a national level. Advertising for this product is currently on television and on the internet. Advertising on the internet is prevalent on social networking websites, as well as ads on the side of certain websites. There are tall cardboard displays in all stores that carry the iPad. Hopefully we can also arrange to have posters on the door or store windows to grab customers’ attention. The iPad will be positioned at eye level on the shelves, and Apple is willing to pay extra to ensure this happens. Sales Promotion: There will be an iPad that is out in the open so that customers can play with it and see how it works. Currently there are no coupons or contests, but if the SALES PLAN buyer is insistent on coupons or contests, then that is something that can be worked out. Delivery: Apple will ship this product out to all Future Shop stores, and Apple will also take care of the shipping and handling fees. Warranty: There will be a free two year warranty on this product. If a customer has a problem with the iPad, they have two options: 1. They can ship it straight to Apple for a free repair or possibly a completely new product, depending on what the damage is, or 2. They can bring it to Future Shop and have Future Shop ship it to us. In both circumstances, Apple would handle the shipping fees. Installation/maintenance: There is no installation needed for this product, as the customer just buys it and can immediately use it. There really isn’t any maintenance either. Sometimes Apple software will change, but this product will automatically be updated using iCloud, so Future Shop doesn’t have to do a thing. FAB’s for Customer: FEATURES: Thin (8.8 mm thin) Lightweight (601g) 2 HD cameras One A5 chip Different colours 9.7 inch screen LED backlight display 4 SALES PLAN Touch technology ADVANTAGES: Technology to let you do twice the work at once 10 hour battery life Has iCloud Has internet, games, apps, Wi-Fi, 3G 9 times the graphic performance as the first iPad Turns on in 1 instant click of a button Portrait and landscape view BENEFITS Convenient You can do your personal or business related work wherever, whenever You can multitask on it Fast, efficient, and reliable flash storage lets you access data very quickly FAB’S for Reseller: FEATURES: Thin (8.8 mm thin) Lightweight (601g) 2 HD cameras One A5 chip Different colours 9.7 inch screen LED backlight display 5 SALES PLAN 6 Touch technology ADVANTAGES: Technology to let you do twice the work at once 10 hour battery life Has iCloud Has internet, games, apps, Wi-Fi, 3G 9 times the graphic performance as the first iPad Turns on in 1 instant click of a button Portrait and landscape view BENEFITS Innovative and sure to outsell other tablets Will increase your profit Will bring more traffic to your store You may make new loyal customers that you didn’t have before Business Proposition: Pricing: Listed here is the list price and how much it would cost the consumer for the iPad. GB Cost Future Shop Pays Cost Consumer Pays 16 GB $159 $519 32 GB $259 $619 64 GB $359 $719 SALES PLAN 7 Mark up Percentage: Mark Up / Selling Price = 69% Discounts: Currently there are no discounts available with this product. Profit: It’s estimated that Future Shop will sell 400 iPads in the first month of carrying them. Since different GB’s of iPads come at a different price, it’s impossible to tell the exact total profit to be made. However, if 400 16GB iPads were sold, the total profit to Future Shop would be $144,000. ($207,600 – $63,600 = 144,000). Since many people will purchase the 32GB and the 64GB, this number will surely be higher. Shipping costs: Apple will cover the shipping; therefore there are no shipping costs to Future Shop. Financing & Payment Plans: Apple and Future Shop will be on a consignment agreement for the first three months that Future Shop carries the iPad. After these three months, Apple is confident that Future Shop will be so impressed with sales that they won’t need to rely on a consignment agreement. Suggested Order: The suggested first order is 400 iPads (200 16GB, 100 32GB, and 100 64GB) but of course they can order more or less if they wish. The total cost to the buyer for this amount would be $93,600. As for shipping details, Apple will ship the product to Future Shop for free. The product will take approximately 10 days to get to its location. SPIN Questions Situation: 1. Have you ever tried selling tablets in your stores before? 2. Hmm I see, and how have customers responded to them? SALES PLAN 8 Problem: 2. How do you feel about the poor response to tablets? 1. Do you think there was a poor response because the customers were too confused by the product to buy it? Or maybe because they didn’t know you carried tablets? Implication: 1. How have the poor sales of tablets affected Future Shops business? 2. How has your customers’ dissatisfaction with the tablets here affected your business? Needs Payoff: 1. Would you agree that a new and innovative tablet would bring increased sales to your stores? 2. This product just might increase your profitability, wouldn’t you agree? Objections: What am I supposed to do if the iPads don’t sell well? Is there any way I would get my money back? I heard the first iPad that came out had a lot of bugs, what if customers won’t buy this product? You’re price is a little too expensive for me What if your product makes some of the other tablet brands we carry go out of business?