1. Business English Upper Intermediate U1S09 John Silberstein johnsilb@aol.com

2. Agenda Sales

3. Marketing Why is sales an important marketing Activity? Sales

4. We have spoken about the Marketing process and Consumer and Buying behavior. The ultimate goal of all marketing activities is to instigate the sale of a companies product and to have the person who purchases that product to purchase that product again.

5. Sales What are the two basic types of Sales? B2B B2C

6. Sales What are the basic types of Sales Channels in use by Businesses? Retail – Store fronts Personal selling Telesales/Telemarketing Internet sales Catalog sales Each type of sales has advantages and disadvantage.

7. Sales Advantages: Customer can: ‘touch’ the product. Easily compare products – there may be a variety of choices to compare in one place. Opportunity for personal service. Retailer has the opportunity to “Upsell” customer. Retailer can increase chances of completing the sale through the use of persuasion. Retail Sales

8. Sales Disadvantages: High cost of maintaining a physical space (store). Cost of maintaining retail staff – sales/admin/cleaning/stocking/warehousing, etc. Additional inventory costs. Retailers with multiple locations have duplicate inventories and must maintain warehouses. Logistical cost – shipping from the warehouse to store locations increase cost of goods sold, warehousing etc. Retail Sales

9. Sales Advantages: Personal relationships developed between sales rep and customer helps to ensure repeat sales. “Eyes” in the field allow the sales rep to make intelligent product suggestions. Sales Rep can become “trusted” advisor. Centralized distribution. Personal Selling

10. Sales Disadvantages: The chemistry between the sales rep and customer may not work. Ongoing costs of training. Costs of maintaining the sales rep in the field: Vehicle costs Phone Materials Missed opportunities – the sales rep can not be in every location possible. Increased costs of managing sales force. Greater difficulty in maintaining customer data. Personal Selling

11. Sales Advantages: Ease of ongoing training – sales staff is all in one place. Lower cost of managing sales staff. No vehicle to maintain in the field. Ability to contact many customers in a short period of time. No need to be in the right place at the right time. Can respond to customer’s needs quickly. Ease of maintaining customer data. Centralized and more flexible order fulfillment (distribution). Centralized distribution of products. Telesales/Telemarketing

12. Sales Disadvantages: No Eyes in the field to evaluate customer needs. Completely reliant on customer’s understanding of their operations. Can be difficult to develop “Trusted Advisor” status. Telesales/Telemarketing

13. Sales Advantages: Low transaction cost Ability to have a wide range of products. Easy to compare product specifications. Ability to suggest companion products. Internet Sales

14. Sales Advantages: Need to maintain Customer Service staff Wide range of products can be confusing to the customer and cause frustration. Easy for customer to price shop. Limited ability to “Upsell” companion products. Internet Sales

15. Sales Advantages: Customer can browse catalog at their leisure. Centralized distribution of products. Catalog Sales

16. Sales Disadvantages: Customer can throw catalog in the trash without looking at it. Limited ability to show full product range to do costs of distributing catalog. One dimensional sales format. Catalog Sales

17. Sales Disadvantages: Customer can throw catalog in the trash without looking at it. Limited ability to show full product range to do costs of distributing catalog. One dimensional sales format. Catalog Sales

18. Sales Article: How not to do a sales call Movie Scene: Boiler Room – Chapter6 - Chapter 13 Selling

19. Sales Selling