Lecture 11-personal selling
- 1. Personal Selling Dr. George Belch San Diego State University ©
- 2. Promoting Products • Direct promotion • Through advertising and promotion • Direct-marketing efforts • Dyadic communication allows for immediate feedback and adjustment • Plays critical role in industrial settings • Indirect promotion • Through resellers • Through sales people
- 3. Determining the Role of Personal Selling What information must be exchanged between firm and potential customer? What are the alternative ways to carry out these communications objectives? How effective is each alternative in carrying out the needed exchange? How cost effective is each alternative?
- 4. Stages of Personal Selling Evolution Selling activity limited to Provider order-taking and delivery Attempting to persuade Persuader customer to buy Seeking out buyers perceived to Prospector have a need Buyers identify problems to be Problem-solver met by goods Seller determines buyer needs Procreator and fulfills them
- 5. New Roles for Salespeople Surveying Mapmaking Guiding Fire Starting
- 6. Customer Relationship Marketing • An organization’s effort to develop a link with individual customers that is • Long-term • Cost effective • Mutually beneficial
- 7. Factors in Keeping a Customer Perceived Price to Value Proposition Customer Product Service Quality Loyalty/ Product Depth of Reward Uniqueness Product Line Program
- 8. Salesperson Classifications Assess situation, determine needs Creative Selling Present ability to satisfy needs Get order Order More casual role Taking Often involves straight rebuying Essentially a support role Missionary Sales May not actually take orders
- 9. Personal Selling Responsibilities Locate prospective customers Determine customers’ needs and wants Recommend a way to satisfy them Demonstrate product capabilities Close the sale Follow up and service the account
- 10. Traits of Effective Salespeople Good Reliable Communicator Relationship- Customer- Responsive oriented focused Results- Problem oriented Solver Knowledgeable Professional Thorough
- 11. Traits Buyers Like and Dislike Desirable Objectionable 1. Knowledgeable 1. Unprepared 2. Empathizes 2. Uninformed 3. Well organized 3. Aggressive 4. Prompt 4. Undependable 5. Follows through 5. No follow through 6. Has solutions 6. Presumptive 7. Punctual 7. Walk-ins 8. Hard working 8. Gabbers 9. Energetic 9. Problem avoiders 10.Honest 10.Lack of respect
- 12. Pros and Cons of Personal Selling Advantages Disadvantages Two-way interaction Messages may be with prospect inconsistent Message can be Possible management- tailored to recipient sales force conflict Prospect isn't likely Cost is often to be distracted extremely high Seller involved in Reach may be purchase decision very limited Source of research Potential ethical information problems
- 13. Personal Selling + Other Tools Advertising Public Relations Personal Direct Marketing Selling Sales Promotion The Internet
- 14. Personal Selling + Advertising
- 15. Personal Selling + PR Rep is often best source of PR Representative of the organization Involved in community Creates goodwill
- 16. Personal Selling + Direct Marketing
- 17. Personal Selling + Sales Promotion Reseller Sales Promotion Consumer Targets Sales Force
- 18. Personal Selling + the Internet
- 19. Evaluating the Personal Selling Effort • Factors to be considered • Review of all target accounts • Review of all cross-functional selling • Review of specific territory objectives • Knowledge of products, customers, and customer organizations • Ability to apply this market knowledge • Development of a favorable attitude • Required course corrections
- 20. Characteristics Affecting Performance Strength of the field manager Clear link between company culture/values to sales strategies Management processes that drive performance Consistent training The courage to change
- 21. Evaluating Personal Selling Provision of Follow-up marketing activities intelligence Attainment of Program communications implementations objectives
- 22. Quantitative Measures of Sales Results Orders Sales Volume Margins Quantitative Measures Customer Accounts Sales Calls Selling Expenses Customer Service
- 23. Qualitative Measures of Sales Results Selling Skills Sales Related Activities
Editor's Notes
- #12: Relation to Text This slide relates to page 11 of the text and Figure 22-6. Summary Overview This slide lists traits that buyers prefer in sales people, and the ones that they find objectionable. Use of this slide This slide can be used when discussing what customers desire in a salesperson. The traits listed are the results of one company’s survey of buyers’ likes and dislikes regarding its sales force.
- #14: Relation to text This slide relates to pages 14-18 of the text. Summary Overview This slide shows that personal selling is regularly combined with the other IMC tools including advertising, public relations, direct marketing, sales promotion, and the Internet. Use of this slide This slide can be used to introduce the fact that personal selling is rarely used alone… it is often supported by other IMC program elements. A more detailed discussion on combining personal selling with other promotional tools follows.
- #15: Relation to text This slide relates to pages 14-15 of the text and Exhibit 22-4. Summary Overview This slide contains an ad by Dell that informs customers that they compete in the business-to-business market. Use of this slide This slide can be used when discussing how advertising that supports the sales effort is likely to: Improve reach Reduce costs Increase the probability of a sale Unfortunately, many salespeople do not understand the role that advertising plays and the contribution it can make to their sales efforts. A company with no brand awareness or image also has a disadvantage when trying to get sales people in the door.
- #16: Relation to text This slide relates to material on pages 15-16 of the text. Summary Overview This slide shows how personal selling can be combined with public relations. Use of this slide This slide can be used to demonstrate how the sales representative plays a public relations role in a company. The sales rep is often the best source of good PR for the company Sales people are representatives of the organization Sales people are involved in community Sales people create goodwill for the company Their personalities, servicing of the account, cooperation, and empathy not only influence sales potential, but reflect on the organizations they represent.
- #17: Relation to text This slide relates to pages 16-17 of the text and Exhibit 22-6. Summary Overview This slide shows an ad for Phone Works, a company that helps organizations with the sales process, including assisting in the development and implementation of direct marketing methods. Use of this slide This ad can be used to discuss how companies are integrating various forms of direct marketing into their sales programs to make selling efforts more effective. Various forms of direct marketing, including traditional mail, telemarketing and email ,are used by many companies to identify and quality prospects and provide them with information before they are contacted by a sales person.
- #18: Relation to text This slide relates to pages 17-18 of the text. Summary Overview This slide shows how elements of sales promotion and personal selling support each other. Use of this slide This slide can be used to illustrate how sales promotion can support the sales force. For example, many sales promotions targeted to resellers are presented by the sales force, which is ultimately be responsible for removing or replace them as well. Other promotional tools, designed to assist the sales staff, also serve as reminders or create goodwill. Flip charts Leave-behinds Specialty ads Likewise, many sales promotions are targeted at the sales force itself in order to stimulate sales efforts. Free trips Cash bonuses Gifts Contests and sweepstakes
- #22: Relation to text This slide relates to page 20 of the text. Summary Overview This slide shows the criteria for evaluating the contribution of the personal selling effort to the promotional program. Use of this slide This slide can be used to discuss the criteria for judging the personal selling effort’s contribution to the overall promotional program. Provision of marketing intelligence… how well the sales force fed back information regarding competitive programs, customer reactions, market trends, and other factors are important in the development of the promotional program. Follow-up activities… the use and dissemination of promotional brochures and correspondence with new and existing customers, providing feedback on the effectiveness of promotional programs. Program implementations… the number of promotional programs implemented; the number of shelf and/or counter displays used, and so forth; the implementation and assessment of cooperative advertising programs. Attainment of communications objectives… the number of accounts to whom presentations were made, the number of trial offers accepted, and the like.