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Marketing 2.01C - Explain company selling policies.

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Presentation on theme: "Marketing 2.01C - Explain company selling policies."— Presentation transcript:

1 Marketing 2.01C - Explain company selling policies.

2 Types of selling-activity policies Policy overview Item description Terms and conditions Product availability Postage and related charges Delivery and dispatch time Communication Returns

3 Important Terms Selling Policies: Guidelines for selling. How will products be sold? Selling-activity policies: Guidelines for sales people. What is required of the sales employees? What laws apply? Terms-of-sale policies: Determining conditions that apply to each type of sale? (Think airline tickets, e-Bay, close-outs) Service policies: Guidelines for servicing customers.

4 Types of terms-of-sale policies Forms of payment you accept Return Policy Restocking fee, if applicable P&P method, fees and other information Taxes and any applicable government imposed fees (eg electronic waste disposal fees) Tell buyers about the terms of the transaction in your listing Meet the expectations you’ve set in your listing

5 Types of service policies Service Requests - Record, track and quickly process customer requests for service and support (Warranties, Guarantees, etc.) Repairs - Optimize your service repair processes by tracking and managing the complete service cycle. Service Level Agreements (SLAs) - Create and manage service contracts. Accurately define the level of service that will be offered to your customers. Installed Base - Record and track detailed information on all product items owned by your customers. Service Planning - Set up your after sales service policy and processes in line with your individual business needs. Service Analysis - Monitor the quality and profitability of customer service at all times. Benefit from a structured system for processing and handling product defects, enhancement requests or software upgrades.

6 Customer Problems Efficiently handle and resolve all types of customer problems and requests, including helpdesk calls, complaints, repairs, hardware and software problems, and information requests

7 Importance of selling policies Selling policies standardize sales. Ensures that the company and the customers understand how products are sold. Protects the company, legally.

8 Characteristics of selling policies Where can products are purchased? Clearly defines what constitutes a sale. Why selling policies are necessary Proves that all customers are treated the same way and increases efficiency of the sales people. Example: “eBay's policies help to create a safer, fair and enjoyable trading experience for all eBay members. As a seller, you are responsible for reviewing and understanding eBay's selling policies, as well as all applicable laws and regulations outlined in the user agreement.”

9 External factors that affect selling policies City, county, state and/or Federal regulations Competitors’ actions Changes in customer expectations Changes in costs of producing the products Examples: Price fixing Sherman Antitrust Act

10 Internal factors that affect selling policies Sales quotas New management Changes in goals Set policies disclosed openly protect the company’s interests.

11 Regulatory factors that affect selling policies The distribution channel might require specific policies in exchange for using that channel (e-Bay for example). Implicit warranties. FTC Cooling off Period

12 ICC Code of Direct Selling The ICC Code of Direct Selling is designed primarily as an instrument for self- discipline, but may also be used by the courts as a reference document within the framework of applicable legislation. ICC expects business operators to respect and endorse the Code both in the spirit and to the letter. It is recommended as a daily reference source for everyone involved in direct selling.

13 ICC Code of Direct Selling (cont’d) The Code is intended to achieve the following objectives: To demonstrate responsibility and good practice in direct selling across the world; To enhance overall public confidence in direct selling; To respect privacy and consumer preferences and to provide effective consumer protection; To promote fair competition and free enterprise; To provide practical and flexible solutions; To minimize the need for detailed governmental and/or inter-governmental legislation or regulations.

14 Problems encountered with the use of selling policies Policies cover specific circumstances, so some situations will not fit the current policies. Miss-interpretation by a salesperson. Some customers will ask for exceptions to policies in exchange for increased business or because of a history with your company.


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