May 04 Overlap 1

1.- Commercial Argumentation

May 04 Overlap 2

Commercial Argumentation

• What is an argumentation?– It is the capacity to transform the features of the product

into specific benefits and advantages for each client.

• Objective:

– To prove to the client that the features of my product meet his/her needs

May 04 Overlap 3

Commercial Argumentation

• How:

- By knowing the needs of the client.– By knowing the features and usefulness of the product. – By believing in the product of sale and expressing that

conviction in your words to the client.– By acting enthusiastically and committed to the client

and not to the product.– By using short and clear arguments.– By not critizing the competition.– By focusing exclusively on what the client is interested in

hearing.

May 04 Overlap 4

Commercial Argumentation

CLIENT’S NEED

VEHICLE ELEMENT AND ITS FEATURES

BENEFIT

ADVANTAGE FOR THE CLIENT

May 04 Overlap 5

Commercial Argumentation

Client’s Need

ElementTechnical Features

BenefitAdvantage for

the Client

DesignHeadlights

Location of the position

light, fog lights in

independent light module. Halogen lights

with two different lights

for dipped headlights

and highway.

The separation of the light modules has

made it possible to have a night design

that identifies the new Porsche 911 at first

sight

A combination of innovative design and tradition, the new nature of the

Porsche 911 is recognized even

at night

Safety

Elevated luminous intensity.

Homogeneous illumination of the road. Wider side

illumination. Longer reach. Pedestrians do not get blinded by the

lights.

More safety due to better visibility and by allowing

the other drivers a better view of our

car.

May 04 Overlap 6

Commercial Argumentation

A. How to detect what the client wants

1. Detection of Needs:• Objective:

– Identify the needs of the client.– Know what the client values or appreciates to be able to offer a

quality service.– Determine the expectations, purchase motivations and identify

the objections.

• How:– By obtaining information from the client through a series of

guided questions.– By listening actively.– By summarizing the data gathered.

May 04 Overlap 7

Commercial Argumentation

A. How to detect what the client wants

2. Listen Actively:• Objective :

– Convey kindness, confidence, security and responsiveness about everything the client is telling us.

• How:– By paying attention, taking notes and reconfirming the information (for

example, with questions like: “…then, did you want to have Xenón lights available?”).

3. Remark:• Objective:

– Detect his/her reactions» Doubt» Security» Affable» Conviction» Indifferent

May 04 Overlap 8

Commercial Argumentation

B. Purchases reasons of the client– It is extremely important for the seller to know the

client’s different reasons of purchase, since if we manage detect those purchase reasons, we will manage to build a solid argumentation about our product.

– The general purchase reasons of each client are related to the main groups of car features. These groups are:• Design.• Technology.• Safety.• Comfort.

May 04 Overlap 9

Commercial Argumentation

C. Purchase reasons of the Porsche 911 client

– What are the main purchase reasons of a Porsche 911 client?

– Work in groups for 10 minutes.– Present results to group– Discussion

May 04 Overlap 10

Commercial Argumentation

C. Purchase reasons of a Porsche 911 client– The main purchase reasons of a Porsche 911 client are:

• Sportiness• Tradition and image• Individuality• Design• Quality• Innovation• Emotion• Technological domain

– Once the main client’s purchase reasons have been detected, we can focus on those Porsche 911 characteristics that will mean an advantage for our client.

– These purchase reasons should be classified according to the importance they have for the client so that we can focus on what it is really interesting for him.

– Exercise: Client Profiles

May 04 Overlap 11

Commercial Argumentation D. Comparative analysis Porsche 911 Carrera MY´05 Vs MY´04

– To make this analysis, let’s do an exercise. The instructions are the following:

– The exercise is initiated by forming 5 groups. Each group will be given some booklets with the templates for the implementation of the analysis. These templates consist several tables.

– The objective of this analysis is to detect the strong points of the new model versus the previous one, and those of the previous one versus the new one, versus the three areas of interest of each vehicle: “Technical Data”, “Safety” and “Equipment”.

– Each group will complete the corresponding boxes of the models “Porsche 911 Carrera MY´05” and “Porsche 911 Carrera MY´04”.

May 04 Overlap 12

D. Comparative analysis Porsche 911 Carrera MY´05 Vs MY´04 (continued)

– Analyze this data and extract the strong points of each vehicle versus the other, completing the table corresponding to “Strong points”.

– Upon completion, each group will select a speaker who will state the conclusions which will be debated in plenary session.

– In the equipment column, you should enter ‘S’ if the element is standard, ‘O’ if the element is optional and ‘NA’ if the element is not available as an option.

– For this group analysis, each group will receive Porsche brochures.

Commercial Argumentation

May 04 Overlap 13

E. Comparative analysis Porsche 911 Carrera MY´05 Vs competition.1. Analysis of competitors:– Objectives of this analysis:

1. Detect the strong points of the new model versus the most direct competitors, regarding the three main areas of interest of each vehicle: “Technical Data”, “Safety” and “Equipment”.

2. Know the main competitors of Porsche 911. 1. It is indispensable to know the competition to be able to

conduct convincing argumentations. 2. Our clients will be able to ask questions and make

objections by basing themselves on vehicles from the competition.

3. There are more and more similarities in the incorporation of the technical elements of different brands.

4. It is important to base the argumentation on the exclusivity of the incorporated elements (only Porsche 911 has them) and in the resulting assembly.

Commercial Argumentation

May 04 Overlap 14

E. Comparative analysis Porsche 911 Carrera MY´05 Vs Competition (continued).– Each group will complete the corresponding boxes of

the models “Porsche 911 Carrera MY´05” and a competitor assigned by the instructor.

– You will analyze this data and will extract the strong points of each vehicle versus the other, by completing the table corresponding to “Strong points”.

– Upon completion, each group will choose a speaker who will state the conclusions and they will be debated in plenary session.

– In the equipment column, you should enter ‘S’ if the element is standard, ‘O’ if the element is optional and ‘NA’ if the element is not available as an option.

– For this analysis, each group will have Porsche and competitor’s brochures available.

Commercial Argumentation

May 04 Overlap 15

E. Comparative analysis Porsche 911 Carrera MY´05 Vs Competition.2. Competitor’s strong points and create counter-

arguments.– Each group, with the strong points that they have

obtained from the competitor versus Porsche 911, should refute these strong points based on real data and without diminishing the competitor.

– A speaker from each group will state the results and it will be debated in plenary sessions.

– Presentation and conclusions:– A speaker will state in plenary session the deduction of

strong points based on the analysis of technical elements and equipment made in the booklets (or plans).

Commercial Argumentation

May 04 Overlap 16

2.- Mystery Shopping

May 04 Overlap 17

• What is Mystery Shopping?

– It is about a technique based on fictitious clients who evaluate characteristics of service received, by defining positive and negative aspects, according to standards preset by Porsche.

– The general objective of this type of study is to review the sale process, in all the elements comprised, through the technique of Mystery Shopping, to discover which are the SUSCEPTIBLE ASPECTS which may be improved, with the intention of globally satisfying the CLIENT in the best possible way.

Mystery Shopping

May 04 Overlap 18

• Why is Mystery Shopping done?

– Mystery Shopping is an evaluation method of: • The general image of the dealership.• The knowledge and customer service of the salesperson.• Static and dynamic tests.• The commercial presentation to the client.

– Objective:• Improve the sales process by transmitting professionalism.• Meet standards and brand image. • Exceed the expectations of our clients.• Increase the knowledge of our commercial network.• Offer order and commitment to our clients.

Mystery Shopping

May 04 Overlap 19

• How is it done?:– A “client” will evaluate and analyze how his/her

supposed purchase of a vehicle has been carried out.– A document will be used to determine if most of the

items that shall be evaluated have been fulfilled.

mystery Shopping

May 04 Overlap 20

Mystery Shopping

May 04 Overlap 21

• What does the client value:– The client not only values the vehicle, but also the

services provided, the facilities, the documentation provided, etc. We must therefore offer a global service and not only focus on showing the vehicle.

– Thus, like our clients, we are also constantly clients and we demand quality in the services received.

– For example, when we are buying an appliance, a telephone, a book or, even, milk, eggs or bacon, we require attention by the seller, we require adequate facilities, an appropriate product presentation, detailed budgets, etc.

– If our service expectations are not met, clean stores, detailed invoices, etc., we will go somewhere else where we can find all thee services that meet our needs.

Mystery Shopping

May 04 Overlap 22

• What does the client value (practical case)– Imagine a everyday situation not related to the

automobile world, where we are the clients; extract 10 aspects and/or abilities that you value in a seller, listing from most important to least important.

– Do we represent those values at the time we do our work at the dealer?

– Debate in plenary session

Mystery Shopping

May 04 Overlap 23

• Problems detected:– According to the analysis of the results obtained in the

implementation of mystery shopping in Latin America, a series of improvement areas have been detected at the time of performing our work; specifically in the closing phase, at the time of presenting a correct commercial offer.

– In the following, we will focus on the importance of presenting an commercial offer to the client.

Mystery Shopping

May 04 Overlap 24

• COMMERCIAL OFFER• What is the economic offer?

• It is the detailed budget of the operation, where the following must be mandatorily included:• Value and detail of base vehicle.• Value and detail of options requested by the client.• Value and detail of the used vehicle presented by the client as

part of the payment (only in case of presentation of VO by the client).

• Value and detail of all the taxes to be paid by the client.• Total value of the operation.

• When is it made ?• It is made within the sales phase in the negotiation period.

Mystery Shopping

May 04 Overlap 25

• COMMERCIAL OFFER • How:– By using the Commercial Offer sheets standardized by

the brand that show:• Brand Logo.• Dealer’s information (address, contact telephone, etc.).

– Not using another type of documentation like blank or hand-written sheets etc.

– By detailing the standard and optional equipment requested by the client.

– Including, if the client desires, the appraisal of the used vehicle presented by the client as part of payment for his/her new Porsche

Mystery Shopping

May 04 Overlap 26

• ECONOMIC OFFER• Objective:

• Exceed the expectations and customer satisfaction.• Present the offer in a clear, concise, orderly, concrete and

detailed way.• Avoid problems and/or errors in figures in the closing sales

phase.• Perceive the professionalsm and committment with Porsche

clients.• Leverage the brand image.

Mystery Shopping

May 04 Overlap 27

• Inclusion of used vehicle as part of payment for the new Porsche:– Through the introduction of new models, Porsche not only

increases the number of purchases of new cars, but also the admission of previously-owned cars as payment.

– Thus, it is ever more customary for clients to trade in their current vehicle as part of the payment for their new Porsche.

– For this reason, we must study the operation and introduce the value of the used vehicle in the commercial offer.

Mystery Shopping

May 04 Overlap 28

• How to present and explain a Porsche Offer.– All the previously stated indications must be followed:

• Porsche documentation• Detail of standard and optional equipment• Detail of appraisal of used vehicle• Detail of taxes to be paid by the client• Total value of operation

– Each of the boxes of the offer must be explained to the client in a concise, clear and simple way.

– The options requested by the client and the appraisal of the used vehicle must be emphasized.

Mystery Shopping

May 04 Overlap 29

• ROLE PLAY.• Objective:

1. Detect deficiencies and errors in the presentation of the first commercial offer of a Porsche (in this case, a Porsche Carrera 4S Coupé).

2. Identify those aspects to be taken into account at the time of making the commercial offer.

Mystery Shopping