Overview of Personal Selling Module Two Overview of Personal Selling

Customizing the Sales Approach An Expert’s Viewpoint: Lisa Gregg, Director of Sales Development for American Express had this to say about customizing the sales approach: “Depending on the application, the card may have hundreds of different benefits. A supermarket manager has different needs than a client in the furniture business. We wanted to create a message to fit the specific needs of our customers.” Sales representatives now input specific customer information, then the database produces sales materials ranging from industry data sheets to Power Point slides that can be used in the sales presentation. Action

Customizing the Sales Approach An Expert’s Viewpoint: Result Customers now receive sales presentations based on their unique needs, and American Express has greatly improved the efficiency of its sales organization.

Evolution of Personal Selling Peddlers selling door to door . . . served as intermediaries Selling function became more structured As we begin the 21st century, selling continues to develop, becoming more professional and more relational Industrial Revolution Post-Industrial Revolution War and Depression Modern Era 1800s 1900s 2000s Business organizations employed salespeople Selling function became more professional

Continued Evolution of Personal Selling Change Salesforce Response Intensified competition More emphasis on developing and maintaining trust-based, long-term customer relationships More emphasis on improving sales productivity Increased use of technology Increased use of lower-cost-per-contact methods More emphasis on profitability objectives

Continued Evolution of Personal Selling Change Salesforce Response Demand for in-depth, specialized knowledge as an input to purchase decisions Team selling More emphasis on customer-oriented sales training

Contributions of Personal Selling: Salespeople and Society Salespeople help stimulate the economy Salespeople help with the diffusion of innovation

Contributions of Personal Selling: Salespeople and the Employing Firm Salespeople generate revenue Salespeople provide market research and customer feedback Salespeople become future leaders in the organization

Contributions of Personal Selling: Salespeople and the Customer Salespeople provide solutions to problems Salespeople provide expertise and serve as information resources Salespeople serve as advocates for the customer when dealing with the selling organization

Contributions of Personal Selling: Buyer Preferences Industrial buyers prefer to deal with salespeople who: Are honest Understand general business and economic trends, as well as the buyer's business Provide guidance throughout the sales process Help the buyer to solve problems Have a pleasant personality and a good professional appearance Coordinate all aspects of the product and service to provide a total package 8

Adaptive Selling Although it is the highest cost per contact, personal selling is the only element of the marketing mix where the message can be tailored to the individual buyer.

Classification of Personal Selling Approaches Stimulus Response Mental States Need Satisfaction Problem Solving Consultative Selling 14

Classification of Personal Selling Approaches Stimulus Response The key idea is that various stimuli can elicit predictable responses. An example of the stimulus response view of selling would be continued affirmation. 14

Stimulus Response Selling Salesperson Provides Stimuli Buyer Responses Sought Continue Process until Purchase Decision

Classification of Personal Selling Approaches Mental States Assumes the buying process is essentially identical for most buyers Buyers are led through certain mental states AIDA (attention, interest, desire, and action) 14

Mental States Selling Attention Interest Conviction Desire Action

Classification of Personal Selling Approaches Need Satisfaction Based on the notion that the customer is buying to satisfy a need Salesperson uses questioning, probing tactic to uncover important buyer needs 14

Need Satisfaction Selling Uncover and Confirm Buyer Needs Present Offering to Satisfy Buyer Needs Continue Selling until Purchase Decision

Classification of Personal Selling Approaches Problem Solving An extension of need satisfaction selling Sometimes competitors’ offerings are included as alternatives 14

Problem Solving Selling Define Problem Generate Alternative Solutions Evaluate Alternative Solutions Continue Selling until Purchase Decision

Consultative Selling Business Consultant The process of helping customers reach their strategic goals by using the products, service, and expertise of the selling organization. Strategic Orchestrator Long-term Ally

The Sales Process: An Overview Salesperson Attributes Selling Foundations Selling Strategy Initiating Customer Relationships Developing Customer Relationships Enhancing Customer Relationships

The Sales Process: Selling Foundations Salesperson Attributes In order to be successful in today’s global business environment, salespeople must have a solid relationship building foundation. They must: Be Trustworthy and Behave Ethically Possess Excellent Communication Skills Understand Buyer Behavior

The Sales Process: Selling Strategy In order to be successful in today’s global business environment, salespeople must also think and act strategically. They must develop strategies for: Their Sales Territory Each Customer Each Sales Call

Enhancing Customer Relationships The Sales Process Salesperson Attributes Initiating Customer Relationships Developing Customer Relationships Enhancing Customer Relationships Prospecting Preapproach Presentation Planning Approaching the Customer

Enhancing Customer Relationships The Sales Process Salesperson Attributes Initiating Customer Relationships Developing Customer Relationships Enhancing Customer Relationships Sales Presentation Delivery Earning Customer Commitment

Enhancing Customer Relationships The Sales Process Salesperson Attributes Initiating Customer Relationships Developing Customer Relationships Enhancing Customer Relationships Adding Value through Follow-up, Self-leadership, and Teamwork

Why People Chose a Sales Career Job Security Advancement Immediate feedback Prestige Job Variety Independence Compensation A

Selling Jobs A Sales Support New Business Existing Business Inside Sales Direct to Consumer (Retail) Missionary (Detail) Sales A

Skills for Success in Sales Empathy Ego Drive Ego Strength Communications skills (oral and written) Enthusiasm A