Directions: Use the MA 2.01 PPT to help you complete the chart below.

Sales Functions and Cycles

1. Define the term sales cycle: sales cycle is the time from when a salesperson first makes contact
with a prospect to the moment when a sale is made or finalized.

2. List and briefly describe the sales function and what happens at each stage
a. 1. Prospect for leads- Identifying people that might someday be customers for
someone's business.
b. 2. Set an appointment- Is a crucial task wherein a company offers a first impression to a
prospect through any means of communication in line with the goal of getting these
prospects interested in meeting a salesperson.
c. 3. Qualify the prospect- The idea is to confirm that your prospect is both able and
potentially willing to buy your product.
d. 4. Make your presentation- Formal information about the business products or
practices.
e. 5. Address the prospect's objections- Is an opportunity to learn more about the
prospect's needs, and find better ways to communicate the value of a solution has to
offer to them.
f. 6. Close the Sale- The moment when a prospect or customer decides to make the
purchase.
g. 7. Ask for Referrals- A current client sending another person in your direction.
3. What are the factors that affect the length of the sales cycle: The factors include the type of
product or service that someone sells, short-term vs. long-term thinking, time zones, sales
knowledge, and the length of someone's sales cycle.
4. Identify the advantages and disadvantages of a short sales cycle and a long sales cycle and the
actions salespeople can take to shorten or lengthen the cycle

Short Sales Cycle Long Sales Cycle

Advantages In a short sales cycle, you can get -Longer time to make
a lot of quick hits. A person decisions
makes a decision right away and
there are no barriers or issues to -Helps the sales process reach
hold them back. By shortening perfection
the sales cycles, the sales people
are therefore able to focus their
time on serious prospects. A
shorter sales cycle can generate
revenues quickly, thereby
ensuring that the startup does
not go bankrupt.
Disadvantages Short Sales Cycle is more -both Businesses are losing
compressed and fast-paced productivity
travel, but has frequent
presentations, and must be -both businesses are losing
carefully orchestrated. Short money the longer they take
Sales have quicker delivery time to make a decision
systems, but more complex
contacts you have to keep -Longer sales usually happen
organized, more paperwork and because representatives make an
correspondence. error in advancing to the next
sales step
(miscommunication).

Actions Start the sales process with a 1. Buyer/Seller Relationship

decision maker and not a
committee or recommender. 2. Sales Call Planning
Once you have the support of
3. Sales Questioning Skills
a decision maker, all other
entities fall into line and the  4. Sales Presentation Skills
process moves faster.
Understand the decision 5. Gaining Commitment
making process. Know how
the decision will be made,
who will be involved and what
criteria will be evaluated. This
information will help you
streamline your sales
strategies instead of jumping
through meaningless hoops.
Your focus on the things that
matter to your prospect will
lead to shorter sales cycle.