38878032 Sales Presentations

8/10/2019 38878032 Sales Presentations

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Chapter Objectives

Personal Selling and

Sales Promotion

CHAPT

ER

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Describe the role of todays

salesperson.

Describe the four sales

channels.

Describe the major trends

in personal selling.

Identify and briefly

describe the three basic

sales tasks.

Outline the seven steps inthe sales process.

Identify the seven basic

functions of a sales

manager.

Identify the role of ethical

behavior in personal

selling.

Describe the role of salespromotion in the

promotional mix, and

identify the different

types of sales promotions.

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CHAPTER 17Personal Selling and Sales Promotion

Personal sellingInterpersonal influence process involving a sellers

promotional presentation conducted on a person-to-person basis with the

buyer. Sixteen million people in the U.S. are employed in sales.

Personal selling is the single largest marketing expense in many firms.


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THE EVOLUTION OF PERSONAL SELLING

Salespeople are problem solvers who focus on meeting customers needsbefore, during, and after the sale.

Must be able to do the following:

Focus on customers needs and problems, and offer solutions.

Follow through with phone calls and other communications. Develop expertise about their industry and product.

Go the extra mile to fulfill customers needs beyond their

expectations.

Bureau of Labor Statistics predicts that jobs in sales will grow by 10percent over the next decade.


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THE FOUR SALES CHANNELS

Channels all include both business-to-business anddirect-to-customer selling.

Over-the-counter sellingPersonal selling conducted

in retail and some wholesale locations in which customers

come to the sellers place of business.

Field sellingSales presentations made at prospective

customers locations on a face-to-face basis.

TelemarketingPromotional presentation involving the use of the

telephone on an outbound basis by salespeople or on an inbound basis by

customers who initiate calls to obtain information and place orders. Inside sellingSelling by phone, mail, and electronic commerce.

Firms generally blend sales channels in their sales organization.


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TRENDS IN PERSONAL SELLING

Companies rely on three major personal selling approachesto meet customer needs.

Relationship sellingRegular contacts between sales

representatives and customers over an extended period to

establish a sustained buyer-seller relationship.

Consultative sellingMeeting customer needs by listening

to them, understanding their problems, paying attention to

details, and following through after the sale.

Team sellingSelling situation in which several sales associates or other

members of the organization are recruited to help the lead salesrepresentative reach all those who influence the purchase decision.


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SALES TASKS

Ensuring that buyers purchases are in his or her best interest aids thedevelopment of long-term relationships.

Selling involves three basic tasks:

Order processingSelling, mostly at the wholesale and retail levels, that

involves identifying customer needs, pointing them out to customers, andcompleting orders.

Creative sellingPersonal selling that involves situations in which a

considerable degree of analytical decision making on the buyers part results

in the need for skillful proposals of solutions for the customers needs.

Missionary sellingIndirect type of selling in which specialized

salespeople promote the firms goodwill among indirect customers, often by

helping customers use products.


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CREATIVE SELLING

Creative sellingPersonal selling that involves situations in

which a considerable degree of analytical decision making on

the buyers part results in the need for skillful proposals of

solutions for the customers needs.

Generally used to develop new business with either new

customers of new products for existing customers.

MISSIONARY SELLING

Missionary sellingIndirect type of selling in which

specialized salespeople promote the firms goodwill among

indirect customers, often by helping customers use products.Example: Pharmaceutical companies that use free samples,

educational seminars to court doctors.

May involve both field selling and telemarketing.


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THE SALES PROCESS

Steps follow the AIDA concept.

Attention

Interest

Desire

Action


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PROSPECTING AND QUALIFYING

Prospectingidentifying potential customers.

Qualifyingdetermining that the prospect really is a potential customer.

APPROACH

Initial contact with prospective customer.

Use precall planning research to identify how your products might

best meet customers needs.

PRESENTATION

Conveying marketing message to the customer.

Features-benefits framework focuses on the good or service in terms that

are meaningful to the buyer.


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DEMONSTRATION

Buyer has a chance to try a product or see how it works.

HANDLING OBJECTIONS

Expressions of resistance, such as stalling or indecision, by the prospect are

an opportunity to reassure the buyer or offer suitable alternatives.

CLOSING

Point at which salesperson asks the prospect for an order.

Let buyer know you are ready to be of service in the future.

FOLLOW-UPSuccessful sales people turn todays customers into tomorrows by

reinforcing the purchase decision.

Ensure that customer service needs are met.


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MANAGING THE SALES EFFORT

Sales managers mix sales and management skills to manage the overalldirection and control of the personal selling effort.

RECRUITMENT AND SELECTION

Important because of company investment in the hiring process and the

potential damage to customer relationships and overall performance.

TRAINING

Primary methods are on-the-job training, individual instruction, how-to

classes, and external seminars; often ongoing for experienced salespeople.

ORGANIZATION

National accounts organizationassigning senior sales personnel or sales

teams to major accounts in each market.


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C S S


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EVALUATION AND CONTROL

Managers must set standards and choose the best methods for measuring

sales performance.

Sales quotasspecified sales or profit targets that the firm expects

salespeople to achieve.

Other measures include customer satisfaction, profit contribution, share of

product-category sales, and customer retention.

Evaluations should motivate improved performance.

CHAPTER 17 P l S lli d S l P ti


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ETHICAL ISSUES IN SALES

Long-term success requires strong code of ethics.

Honesty and ethical behavior is encouraged when:

Employees understand what is expected of them.

Open communication is encouraged.

Managers lead by example.


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Refunds or rebateshelp packaged-goods companies increase purchase

rates, promote multiple purchases, and reward product users.

Samples, bonus packs, and premiumsa try it, youll like it approach.

Contestsrequire entrants to complete a task such as solving a puzzle or

answering questions in a trivia quiz.

Sweepstakeschoose winners by chance; no product purchase is

necessary.

Specialty Advertisingsales promotion technique that places the

advertisers name, address, and advertising message on useful articles that

are then distributed to target consumers.



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TRADE-ORIENTED PROMOTIONS

Sales promotion that appeals to marketing intermediaries rather than to

final consumers.

Accounts for half of typical firms promotion budget.

Trade allowancesspecial financial incentives offered to wholesalers and

retailers that purchase or promote specific products.

Point-of-purchase advertisingdisplay or other promotion located near the

site of the actual buying decision.

Trade showsvendors who serve the industries display and demonstrate

their products for members.

Dealer incentives, contests, and training programs.

Documents

38878032 Sales Presentations