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Demonstration School

Show 'em how, Show 'em why!

Think back some twenty years ago when this new product first came onto the market. Maybe you remember having received a letter, and a sample in the mail from the manufacturer. You touched the sample, picked it up and put it back on the introductory letter several times over. You probably even took it around and showed it to others within your office or business; what a unique and useful product! Everyone agreed with you as they repeated the same actions as you did. The item? It was the 3M Post-It note.

If you had only received the letter you would not have been able to understand what the product was, or the uniqueness of what it could do. The same would be true for the first consumers to have seen the Post-It in a store front office supply; if the product were to remain in the plastic wrap it would be hard to understand what it could do. These retailers had to open packages, allow customers to write on a sheet, pull the sheet from the pad, and stick it on the counter several times. Each of these scenarios illustrate a successful demonstration of a product.

Are there other products you and your sales representatives, both inside and outside, have today that are unique, or invites a demonstration to your potential customer? Absolutely, perhaps so much that our question should be are there any products that a demonstration would not assist in gaining the sale. Whether you are selling a new gel pen or the latest in copy and office networking equipment, the idea is the same; increased sales through demonstrating. The point of our discussion is the advantages, and the "how to" of demonstrating products for your customers.

There are several reasons for demonstrating. The first is what we have already discussed; the need to explain the usages of a product so the customer can determine their usage of the item. With new technology constantly emerging, a manufacturer's packaging with explanations will not suffice to show the customer why they should want the new product to replace their current one.

Another reason for a demonstration would be the increase in sales of a product by way of increasing the customer's participation. Show a product to a customer, explain the benefits and features, and you have a good chance of closing the sale. When the customer is invited to hold or touch a product, or to use the product, the chances of closing the sale increase by 17%. When you think about all the advertising you could do and then hoping for a sales increase, the demonstration looks like a better and less expensive way of increasing sales.

The third reason is the excitement a demonstration or sampling adds to the shopping experience. Imagine shopping an office supply store knowing each time you enter, someone will gladly show you a new pen, paper shredder, or filing accessory which the sales person knows, "you can't live without" in your office.

Three solid reasons for demonstrating a product to your customers, but with these three reasons what and how can you demonstrate?

Bill Wallace, president of Action Business Systems fully believes in the power of a demonstration as shown by the usage of their unique "downtown office". Action, which is located in the Baltimore suburb of White Marsh, Md., leases one of the skyboxes at PSINet Stadium which is the home of the Baltimore Ravens football team. While the skybox is already utilized for the 10 home football games each year, Bill uses the space as a demonstration office for the Toshiba line of copiers and fax machines on other days.

In addition to the skybox being a location more convenient to Baltimore customers than Action's offices in White Marsh, Wallace also notices the skybox demonstration office attracts the folks who make decisions, the upper level of management of his clients. While the total cost of a skybox, in excess of $150,000 per year may seem high, Wallace expects the skybox to pay for itself within two years.

Bill Wallace's idea of a demonstration tool is quite unique. If not to this level, then surely a dealer wants to find ways of getting the product in the customer's hands, explaining what the product can do, and doing so in a manner this is interesting and invites the customer to again do business with your dealership.

Let's review our three reasons for demonstrations and examples of how to and how not to do each. In a store front location we look at desk lamps on display. The manufacturer's packaging describes the advantages of halogen lighting. While the feature has been available for several years, there are few dealers who go to the time and trouble of setting up a desk with an old style incandescent bulb desk light and placing next to it a halogen desk light.

Place a book and several pieces of paper, both color and black and white, on the desk. Add a sign which invites the customer to try both lamps and you have a customer who now understands the difference.

The same holds true for something as simple as an inexpensive pen. This writer found a dealer with a large display of pens and what first appeared to be someone's notepad left on the counter.

Further examination showed the notepad was actually glued to the counter as a part of the display but it was without an explanation or an invitation to the customer to try a pen. Of course, few customers are going to be willing to take the bold step of opening the various clam packs to try the various pens without a written or verbal invitation to do so.

Our second reason for the demonstration was in getting the customer to handle the product and thereby increasing the chances of a sale. While the example of the pens will validate this point, think about the opportunity of selling more folios and briefcases when the customer is invited to try a new one for a week with a "no questions asked" return policy. Once the product is in their hand, and the customer has had the opportunity of using the product, the chances of a return are greatly diminished.

Our third reason for demonstration was the excitement the demonstration created. In addition to a technique such as Wallace's, imagine a fax machine demonstration in the customer's office in which you create a promotion with a local pizza delivery shop.

Send a "sample fax" to the local pizza shop to demonstrate the machine, including the fax number and address of your customer. Then surprise the customer as the sample machine receives a high resolution fax in a minute announcing a pizza to be delivered in the next few minutes. The idea not only shows all the features of the fax machine but can easily maintain the customer's attention for the rest of the presentation as you await the pizza which you give to the customer and their staff.

If we are considering the demonstrations for an in store location, one only has to examine the competition to see a sales floor that looks and sounds the same every day to see a strong reason for having demonstrations.

While these suggestions do require extra effort, time and manpower, the alternative is to adopt the "stack it high, watch it fly" low price strategy that is all too often all the customer sees of our industry today. As with any industry or product category, there is room and the need for an alternative. The customer needs a reason to seek the alternative, and they will when you show them how and show them why.

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