1. Chapter 12 selling overview Section 12.1 The Sales Function
Sales Careers

2. The Sales Function
Section 12.1
REFLECT
Team up with one other person and “sell them” on the product you have picked up from me!

3. Textbook material – formative activities Quizzes over material
Unit Overview
Textbook material – formative activities
Quizzes over material
Guest speakers
Team project
Formative check-ins
Presentation

4. The Sales Function
Section 12.1
Explain the purpose and goal of the selling function.
Discuss how selling is related to the marketing concept.
Describe Customer Relationship Management.
Analyze sales trends and techniques.
Summarize sales management responsibilities.
Explain legal and ethical sales issues.

5. The Sales Function
Section 12.1
The marketing concept comes alive in the sales function with the help of emerging trends and technology. Customer Relationship Management (CRM) and sales management efforts help to achieve the purpose and goal of selling.

6. The Marketing Concept
Section 12.1
The idea that a business should strive to satisfy customers’ needs and wants while generating a profit for the business.

7. The Sales Function customer relationship management (CRM) call report
Section 12.1
customer relationship management (CRM)
call report
sales quota

8. Selling and the Marketing Concept
The Sales Function
Section 12.1
Selling and the Marketing Concept
Purpose of Selling
Goal of Selling
To help customers make satisfying buying decisions.
To create ongoing, profitable relationships with customers.
The marketing concept has created a customer-centered focus.

9. Selling and the Marketing Concept
The Sales Function
Section 12.1
Selling and the Marketing Concept
Customer relationship management (CRM) has flourished due to new computer technology.
customer relationship management (CRM)
A system that involves finding customers and keeping them satisfied.

10. Details on Selling and the Marketing Concept and Sales Management
The Sales Function
Section 12.1
Details on Selling and the Marketing Concept and Sales Management

11. Details on Selling and the Marketing Concept and Sales Management
The Sales Function
Section 12.1
Details on Selling and the Marketing Concept and Sales Management

12. Web sites – online purchases, games, information, salespeople
Technology Trends
Section 12.1
Web sites – online purchases, games, information, salespeople
Social Media – receiving & sending communications
- thank customers, address customer service issues, track orders, targeted s (new promotions)

13. Customer Loyalty Programs – rewards programs, special bonuses
Technology Trends
Section 12.1
Customer Loyalty Programs – rewards programs, special bonuses
Computer software – sales automation, sales territory management, sales forecasting
Mobile devices – phones & laptops – check on customers past purchases, product availability
Partnerships – Companies are partners. Example – Oracle & IBM – effort to design an Oracle CRM system for Konica Minolta Business Solutions.

14. Four main areas of focus: Company policies Training
Sales Management
Four main areas of focus:
Company policies
Training
Compensation & Sales Quota
Legal & Ethical Issues

15. Company Policies
Establishes the guidelines & policies for the sale team
Required Reports
Teamwork & Integrity

16. The Sales Function Sales Management
Section 12.1
Sales Management
Sales personnel may be required to complete call reports each time they visit a customer.
call report
A written report that documents a sales representative’s visit with a customer, including the purpose and outcome of the visit.

17. Training
Four step process:
Explanation
Demonstration
Trial
Critique

18. Application Get with a partner
Determine roles – Sales Manager and Sales Rep.
Use the 4-step process to sell a GPS device
Explanation
Demonstration
Trial
Critique
Be ready to share out with others!

19. Compensation Straight commission Straight salary Salary + commission
Expense accounts
Incentives
Straight Commission – usually higher percentage – only get paid if you sell something!
Examples: Automobiles 20-25%; Advertising – 50%; Retail – Appliances & Electronics – 8-10%; Furniture – 2-6%;
Insurance – 30-70% for the first year, smaller amount if they renew
Straight Salary – higher salary – but probably lower than commission. Steady income
Salary + Commission – Base salary + Commission %. This % will be lower than straight commission.
Expense accounts – food, travel, car, dry cleaning,
Incentives – recognition, gift and/or monetary bonus

20. The Sales Function Sales Management
Section 12.1
Sales Management
Regardless of the method of compensation, sales managers often establish sales quotas.
sales quota
A dollar or unit sales goal set for the sales staff to achieve in a specified period of time.

21. Compensation Conclusions
Which of the three compensation methods do you think is the most risky?
Which do you think can potentially lead to the greatest income? Why?
How might having a sales quota affect the behavior of a salesperson?

22. Legal and Ethical Issues
The Sales Function
Section 12.1
Sales Management
Sales Management Considerations
Legal and Ethical Issues
Sales Pressure
Sales Contracts
Sales Regulations

23. Examples of Legal and Ethical Behavior
The Sales Function
Section 12.1
Sales Management
Examples of Legal and Ethical Behavior

24. Examples of Legal and Ethical Behavior
The Sales Function
Section 12.1
Sales Management
Examples of Legal and Ethical Behavior

25. Sales or Purchase Order
Legal Document:
An Offer
An Acceptance
Consideration (price & terms)
Competent parties (buyer & seller)
Legal form
Legal Subject matter

26. Examples: Sales Regulations
Time period to cancel the agreement (24-48 hr)
Full disclosure – real estate
Pricing info - accurate
Ethical selling practices

27. The Sales Function 1. Explain the purpose and goal of selling.
Section 12.1
Section 12.1 1.
Explain the purpose and goal of selling.
The purpose of selling is to help customers make satisfying buying decisions with the goal of creating ongoing, profitable relationships with them.

28. The Sales Function
Section 12.1
Section 12.1 2.
Discuss which trends and technologies help businesses with customer management.
Company Web sites, targeted customer s, customer loyalty programs, computer sales software, mobile devices, and partnerships between businesses help with CRM.

29. The Sales Function
Section 12.1
Section 12.1 3.
Explain the role that sales management plays in the sales process.
Sales management establishes the guidelines and policies under which sales people function. Sales managers plan, organize, and control the sales function.

30. Code of Sales Ethics
Why do you think salespeople are sometimes depicted in movies as dishonest? With a partner, research sales ethics in business magazines, on the Web, or through interviews with salespeople. Make a list of the characteristics of ethical salespeople. Use that list to prepare a simple “Code of Sales Ethics.” Make sure to cite your research sources. Turn in the written document to the class folder.