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Please review the attached case and provide answers to the following questions. 

1/ What di


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Please review the attached case and provide answers to the following questions. 

1/ What did the first company?s sales rep do correctly?

2/ What did the first company?s sales rep not do correctly during the actual sales call?

3/ What could the rep from the first company learn that would enhance his chances of receiving subsequent  orders?

4/ What did the gentleman from the 2nd company not do well and what are the potential implications of this? Consider Features, Advantages and Benefits when answering this question.

5/ What did the gentleman from the 2nd company do well to win me over as well as to create an Advantage for his company?

6/ The son who I talked prices with did exhibit selling skills as we went through the pricing. Explain in detail what he did as part of a selling process to help secure the order.

7/He also helped reassure me about my decision.  What was he likely preventing  in my thinking as I considered the deal we had made. Why would he have done this ?

8/ Explain in detail why I was prepared to work with the second company to be  sure they got the order despite their price being higher than his competition.

9/ What negotiating style did I use?  Explain why I used this style.

10/ Where was value created  by each company and detail what the value created?


A few years ago our roof started to leak on our home. We called in two wellknown roofing companies to help us understand what the situation was.

 

The rep from the first company looked at the leak in our living room and

 

said we needed a new roof. He said it was a 25 year old roof and that it was

 

typical of what was happening in our subdivision.

 

The sales rep estimated our roof size as we stood in the front yard and then

 

quoted me a price. He said he had done a lot of work in our neighbourhood

 

and then asked if I wished to have the job done offering no more

 

information.

 

Once he learned from me that I was waiting for another company to look at

 

the leak, he said he would follow up in a few days to see if I wanted to have

 

his company do the work.

 

The second company arrived later that day. An older gentlemen in a work

 

truck arrived. I explained the problem we were having and that we had a

 

leak in our living room. He smiled, grabbed a ladder asking if he could

 

survey the tiles on the roof. With permission given, he quickly climbed onto

 

the roof. He walked around on the roof surveying its two levels. When he

 

came down he explained that the roofing shingles had reached the end of

 

their life expectancy and that the roof would need to be replaced very soon

 

as leaks were going to start to be a regular occurrence. He explained that

 

the shingles had lost their granular integrity and coating which happens

 

over many years which results in it starting to leak. He also said that there

 

was a bare spot above the front area of the house. He asked where the

 

living room was. I replied that it was at the front of the house. The location

 

of the leak and lack of tiles he had seen matched, resulting in the leak.

 

He offered to give us a temporary patch and with permission, he proceeded

 

to grab tools out of his truck along with a couple of shingles over his

 

shoulder, climbed his ladder onto the roof and started to hammer.

 

He came down a few minutes later smiling and said that the repair he did

 

would give us a few weeks on that spot but that further leaks were not going to be long in coming. He advised that based on his experience it

 

would no more than a month before other leaks would develop.

 

I thanked him and offered to pay for his service being relieved that the leak

 

was looked after. He politely declined saying that he was just happy to help

 

me.

 

Being impressed by him as well as feeling a sense of obligation to him, I

 

asked what his company could offer over other competitor?s that had

 

started doing working in our area. The following conversation then took

 

place: ?Our employees are long term with our company ?he announced proudly.

 

?So, what does that mean to me?? I asked

 

He said ?Well, we know the quality of the work our guys do ?

 

I said? That doesn?t? necessarily mean it is good quality, just that they have

 

worked for you for many years?

 

He then said? Oh but we only keep the best, most reliable workers year

 

after year?.

 

?So that means ?.?? was my response.

 

He went on to say ?The employees that do a particular roof are responsible

 

for any shingles that come off the houses they work on for at least five

 

years?.

 

?So?? I asked.

 

His response was ?They must come and repair the roofs they have done if

 

there are any problems.?

 

? I see? I said. ?Why does that matter to me?? starting to see a pattern in

 

his sales process. ?They do good work, in part, because they don?t want to be returning to

 

homes on their time?

 

He assured me that quality work is their main objective.

 

I then asked him how long his company had been in business.

 

He said ? We have been in business since I started the company 40 years

 

ago and I am proud of this with the roofing business being full of companies

 

that come and go?

 

?But that is the nature of your business which makes me think of you as a

 

more stable company but provides no value for me really? I said.

 

?Well, I can see that point of view, but you know we will always be there if

 

you need us?.

 

?So I can count on you to be there if I need you??

 

?You got it? he said. Adding ?that the quality of their work in an industry

 

where there is a lot of turnover is why we keep the same high quality

 

workers year after year. We see them as a real asset?.

 

I asked him for a price being sold on him and his company.

 

He smiled and headed for his truck after giving me his son?s business card

 

saying

 

?Give my son a call. He?ll be happy to talk about the quote with you. I am

 

out of touch on pricing but we are really busy and the feedback he gives me

 

tells me that we are competitive. I just assess the job and do small repairs.

 

He?ll have the roof dimensions later today so you can call him tomorrow for

 

a quote?

 

?But you didn?t measure for the estimate? I said

 

He chuckled and replied? I have been doing this work all my life so I can eye

 

ball dimensions just by being on the roof. I?m never wrong after all these

 

years. Besides we always bring an extra couple of bundles, just in case. ? I called his son later that day and sure enough, he did have the dimensions

 

as his father had said he would. I was quoted $3200.00 which was $400.00

 

more than the competitor?s price. I indicated his price was high to the

 

competition. He then asked who the competition was. I told him, at which

 

point he indicated that his company was usually high to this competitor I

 

had named but there was good reason for this. He went on to tell me that

 

his company?s business warranty was two years longer than this competitor.

 

He added that is a recent survey conducted by their trade magazine, his

 

company had been rated number one for customer satisfaction in the

 

Greater Toronto Area.

 

?Our quality of service as provided by our crews with them being long time

 

employees costs us a little more but is worth it based on our customer?s

 

satisfaction I hear about with letters from many of them, even years later.

 

They tell us over and over again that the quality of our work as well as the

 

professional attitude of our teams and the cleanliness of the site after we

 

are done, inspire them to write to us.

 

?I also sleep better at night knowing our customers are pleased.?

 

Hearing all of this, I was ready to so sign up. I then suggested that we

 

should find a way to make this work.

 

?I would like to have you do the work but $400 is close to 15% higher.?

 

I did add that the service his father had provided was an incentive for me.

 

He agreed and offered a price reduction of $200.00 and an extended the

 

full warranty another year on the installation saying that the business is

 

appreciated and he has no concerns about the quality of the work his

 

people will do.

 

?We stand behind our work, so I am able to offer another year? was his

 

closing statement.

 

I accepted his offer after a clarification of the details of the warranty. He

 

then set a date for the work to be done based on my availability and him having his team?s schedule in front of him. He thanked me for the business

 

assuring me that my satisfaction was his company?s greatest concern. He

 

promised that his father would follow up with me a week after the work

 

was completed to be sure that I was satisfied.

 

The crew that did the work was professional, thorough and cleaned up after

 

they had finished their work just as I had been promised.

 

In fact his father did drop by a few days after the work was completed just

 

to be sure that I was satisfied with all aspects of the job.

 

The sales rep from the competitor did follow up with me 10 days after the

 

business had been booked at which time I did tell him that he had lost the

 

order to a competitor. I could tell from his words and tone that he was not

 

pleased about not getting the order.

 


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Please review the attached case and provide answers to the following questions. 

1/ What di.zip

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