1. PERSONAL SELLING AND SALES MANAGEMENT C HAPTER

2. Definition of Personal Selling  Personal selling – Personal selling – 1) two-way flow of communication 2) between a buyer and seller 3) a face-to-face or real time encounter Why are “ face to face” and “two-way” important?

3. Provides a detailed explanation or demonstration of product Message can be varied to fit the needs of each prospective customer Can be directed to specific qualified prospects Instant feedback Personal persuasion can be used “A good salesman can get you to buy ice in winter” Advantages of Personal Selling

4. When to Use Personal Selling Customers are concentrated There are few customers Product is technically complex Product is custom made Product has a high value Selling image, not product

5. Creating Value Through Salespeople Relationship Selling building ties to the customer, based on a salesperson’s attention and commitment to customer needs over time.

6. 1) Prospecting 2) Pre-approach 3) Approach 4) Presentation 5) Close 6) Follow-Up Six stages of Personal Selling

7. Personal Selling: Prospecting  Prospect- possible customer  Qualified Prospect-customer who has desire, means and power to decide  Cold Canvassing- seller initiated contact of,potential customers without advance warning.

8. 3) Approach-First meeting (Physical impressions highly important- appearance, timeliness, confidence) 2) Pre-approach-Gathering information (when to call, income level, risk tolerance) Personal Selling: Pre- Approach & Approach

9. Personal Selling:Presentation A) Stimulus-Response Format – ( suggestive selling) keep suggesting items until the buyer responds, like the McDonalds order taker B) Formula Selling Format – more formal and planned, like a telemarketer Canned Selling Presentation Memorized, standardized message conveyed to every prospect. Works when seller is a novice or does not know the buyer well

10. Personal Selling: Presentation  Need-Satisfaction Format- Let the customer do the talking- Salesman probes, listens then suggests, like a financial planner Adaptive Selling- pro-active but selective Adaptive Selling- pro-active but selective presentation of offerings, based on pre-approach data Consultative Selling – re-active presentation Consultative Selling – re-active presentation for problem solution

11. Personal Selling: Presentation  Handling Objections Acknowledge and Convert the Objection- use the objection as a reason to buy (expensive) Postpone hold off answer because next info will convince buyer (complicated) Agree and Neutralize show the objection’s insignificance (side effects) Denial refute objection with clear facts

12. Personal Selling: Close Trial Close-”Can I put you down for blue or green?” Assumptive Close-ask about delivery or warranty choices. Urgency Close-”Offer valid for today only.” Final Close-Buyer initiated acceptance of the sale.

13. Address concerns with delivery and installation, so today’s customer becomes tomorrow’s qualified prospect or referral source Personal Selling: Follow-Up

14. Sales Force Motivation Compensation Straight Salary Compensation Plan Straight Commission Compensation Plan Combination Compensation Plan

15. Sales Force Evaluation  Quantitative Assessments – sales quotas easy but ignores selling environment attitude attention product knowledge selling skills appearance and professionalism  Qualitative Assessments – behavioral evaluations

16. Personal selling involves the two-way flow of communication between a buyer and seller, often in a face-to-face encounter, designed to influence a person’s or group’s purchase decision. Personal Selling

17. The personal selling process consists of six stages: (1) prospecting, (2) preapproach, (3) approach, (4) presentation, (5) close, and (6) follow-up. Personal Selling Process

18. Adaptive selling involves adjusting the presentation to fit the selling situation, such as knowing when to offer solutions and when to ask for more information. Adaptive Selling

19. Consultative selling focuses on problem identification, where the salesperson serves as an expert on problem recognition and resolution. Consultative Selling