1. Introduction to Marketing
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2. Chapter 14 Objectives
Identify and understand the factors that make personal selling such a critical component of promotion.
Describe the selling contexts and types of salespeople.
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3. Chapter 14 Objectives Understand and explain the sales process.
Comprehend the diverse tasks and functions of the sales manager.
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4. Chapter 14—Personal Selling and Sales Management
Selling is a critical company function that is directly responsible for top line revenues.
The sales forces of the best companies practice professional, consultative selling.
Companies invest huge sums into their sales forces through compensation, technology, and other perquisites.
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5. Sales and Marketing in the 21st Century
Personal Selling
Direct person-to-person communication designed to explain how an individual’s or firm’s goods, services, or ideas fit the needs of one or more prospective customers.
Objective 1
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6. Sales and Marketing in the 21st Century
Consultative Selling
The process of helping customers reach their strategic goals by using the products and expertise of the sales organization.
Objective 1
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7. Sales and Marketing in the 21st Century
The Strategic Importance of Personal Selling
Allows a firm to immediately respond to the needs of the prospect.
Allows for immediate customer feedback.
Results in an actual sale.
Objective 1
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8. Sales and Marketing in the 21st Century
Personal selling is usually a necessity for complex products, high-involvement buying situations, and transactions involving trade-ins.
Objective 1
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9. Sales and Marketing in the 21st Century
The Evolution of Personal Selling and the Changing Face of Sales
The Hard Sell- trying every means to get the prospect to buy, regardless of whether it is in the prospect’s best interest.
Relationship Selling- salesperson focuses on developing a trusting partnership in which the salesperson seeks to provide long-term customer satisfaction by listening, gathering information, educating, and adding value for the customer.
Objective 1
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10. Sales and Marketing in the 21st Century
Customer relationship management (CRM)
Assists firms in identifying the best customers on which to focus their sales efforts.
relies on systemized processes to profile key segments so that marketing and retention strategies can be customized for these prospective buyers.
Objective 1
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11. Sales and Marketing in the 21st Century
The Sales Professions: Rewards and Drawbacks
The portrayal of salespeople as fast-talking, glad-handing, slick characters with highly questionable ethics has tainted the sales profession.
In reality, salespeople are truly vital to the business world.
Objective 1
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12. Sales and Marketing in the 21st Century
Advantages of Sales Professions
Great flexibility in sales activities
Intrinsic rewards are gained in helping customers.
Extrinsic rewards such as high potential compensation.
Frequent travel opportunities.
High visibility.
Objective 1
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13. Sales and Marketing in the 21st Century
Drawbacks of Sales Professions
Long hours
Role Conflict- anxiety caused by conflicting job demands.
Role ambiguity- anxiety caused by inadequate information about job responsibilities and performance-related goals.
Job anxiety- tension caused by the pressure of the job.
Objective 1
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14. Sales and Marketing in the 21st Century
Desirable Salesperson Traits
Learning Oriented- open to and excited about acquiring new knowledge or skills.
Customer Oriented- seek to elicit customer needs/problems and then take the necessary steps to meet those needs or solve the problem in a manner that is in the best interest of the customer.
Objective 1
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15. Selling Contexts and Types of Sales People
Three contexts in which personal selling may occur
Telemarketing
Over-the-counter selling
Field selling
Objective 2
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16. Selling Contexts and Types of Sales People
Telemarketing
Utilizes the phone for prospecting, selling, and/or following up with customers.
Outbound telemarketers
Inbound telemarketers
Objective 2
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17. Selling Contexts and Types of Sales People
Over-the-Counter Selling
Usually conducted in retail outlets.
Retail salesperson may be an order taker or an order getter.
Suggestion selling- pointing out available complementary items in line with the selected item, in order to encourage an additional purchase.
Objective 2
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18. Selling Contexts and Types of Sales People
Field Selling
Involves calling on prospective customers in either their business or home locations.
Categorized as:
Professional salespeople
National account managers
Missionary salespeople
Support salespeople
Objective 2
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19. Selling Contexts and Types of Sales People
Sales Certification
As selling evolves into the development of strategic partnerships with customers, salespeople are heralding a new level of professionalism through sales certification.
Objective 2
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20. The Sales Process Eight basic steps of the Sales Process: Prospecting
The preapproach
The approach
Need identification
Presentation
Handling objections
Gaining commitment
Follow up
Objective 3
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21. The Sales Process
Traditional Selling Method- little time is spent in the early stages of the process, making gaining commitment from the buyer difficult and time-consuming.
Professional Selling Method- a great deal of time is spent in the early stages so that commitment is gained as a very natural next step.
Objective 3
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22. The Sales Process Prospecting
Qualified Sales leads- potential customers who have a need for the salesperson’s product, the financial means to purchase the product, and the authority to make the buying decision.
Referrals- obtained by the salesperson asking current customers if they know someone else who might need the product.
Objective 3
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23. The Sales Process Preapproach and Planning
The preapproach is the collection of information about the potential customer and the customer’s company prior to the initial visit.
Objective 3
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24. The Sales Process Approaching the Client
The approach is the development of rapport with the customer
Four basic social style categories
The driver
The analytical
The expressive
The amiable
Objective 3
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25. The Sales Process Identifying Client Needs Through Probing Questions
Success at the need-identification stage of the sales process requires asking probing questions of the prospective customer to determine needs.
Organizational needs
Personal needs
Objective 3
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26. The Sales Process Presenting the Product
The presentation should be adapted to address the specific customer needs.
Features versus Benefits
Types of Presentations
Flexible (need-satisfaction) Presentation
Memorized (canned) Presentation
Objective 3
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27. The Sales Process Handling Objections
When faced with objections, the salesperson should approach the objection as a sign of interest on the part of the prospect, and provide information that will ensure the prospect’s confidence in making the purchase.
Objective 3
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28. The Sales Process Gaining Commitment
Commitment is gained when the prospect agrees to take the action sought by the salesperson.
The salesperson must ask for the order.
Objective 3
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29. The Sales Process Following Up and Keeping Promises
Follow-up requires that the salesperson complete any agreed upon actions.
Salespeople should stay in touch after a sale to ensure that the customers are still happy with their purchase decisions.
Objective 3
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30. Building and Managing the Sales Force
Sales management is the process of planning, directing, controlling, and implementing the personal selling function of the organization.
Objective 4
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31. Building and Managing the Sales Force
Sales managers must be good leaders who can:
Recruit, train, motivate, and evaluate their sales representatives
Manage territories
Develop sales plans and sales forecasts
Accomplish the goals of the organization
Objective 4
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32. Building and Managing the Sales Force
Recruiting
The individuals a sales manager hires should possess empathy, competitiveness, goal orientation, customer orientation, enthusiasm, learning orientation, organization, and self-motivation.
These individuals should have values and goals that match those of the firm.
Objective 4
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33. Building and Managing the Sales Force
Sales Force Training
Learning the corporate culture
Building product knowledge and sales skills
Using technology to fulfill job responsibilities
Objective 4
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34. Building and Managing the Sales Force
Motivating the Sales Force
Sales force quotas- used throughout the sales industry to motivate salespeople and to encourage them to focus on company priorities.
Sales coaching- facilitating the development of sales skills through mentoring, modeling behavior, and one-on-one interaction
Objective 4
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35. Building and Managing the Sales Force
Compensating the Sales Force
Straight Salary- pay is based on units of time
Straight commission- pay is based on units of results
Salary plus commission- a combination of the two
Objective 4
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36. Building and Managing the Sales Force
Evaluating Sales Performance
Qualitative Factors:
Communication skills
Product knowledge
Attitude
Selling skills
Initiative/assertiveness
Appearance/manner
Knowledge of the competition
Objective 4
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37. Building and Managing the Sales Force
Quantitative Factors:
Sales volume in dollars
Sales volume compared to previous year’s sales
Number of new accounts
Net dollar profits
Sales volume by dollar quota
RevPASH- revenue per available salesperson hour
Objective 4
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38. Building and Managing the Sales Force
Organizing and Managing Sales Territories
Geographical and Product Line Organization
Organization around customers
Objective 4
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39. Building and Managing the Sales Force
Territory Allocation
All salespersons should feel that their territory offers as much potential as their colleagues’ territory.
All should feel that the territory division does not require that they work harder than any other salesperson.
Objective 4
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40. Building and Managing the Sales Force
Team Selling
Selling Teams consist of a salesperson, who is responsible for managing the sales cycle, and a technical expert, who provides subject matter credibility for the customer.
Objective 4
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