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Personal Selling, Database Marketing, and Customer Relationship Management
Chapter 12 with Duane Weaver
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Personal Selling - Retail The retail sales connection to the IMC
plan is vitally important to marketing success…the salesperson “is” the company…the last 3 feet of the marketing effort
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4 Categories of Retail1. Shops and stores
Single transaction (one to one assistance/negotiation) to order taker
2. Personal selling and services1. Sales rep sells service and may lead to repeat
selling relationship2. Sell and then also provide the service
3. Telemarketing Inbound Outbound
4. Other retail sales activities Add-on sales/service initiatives to enhance
sales profit or customer value
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Business to Business SellingField SalesOrder GettersContinuum of Buyer Seller Relationship
Strategic Partnership
EDI relationship
Trust Relationships
Contractual Agreements
Repeat Transactions
Occasional Transactions
Single Transactions
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Managing Business to Business Sales Identify (fill the pipeline) Qualify (filter/ripen the pipeline) Knowledge Acquisition (Needs Analysis –
understanding the buyer) Intrinsic (commodity price focused – place order)
$ Extrinsic (product as solution -consultation) $$$ Strategic (vendors willing to be partners to
satisfy customer needs) $$$$$$$$$ FOLLOW UP: intrinsic to building long term
relationships and maintaining brand loyalty
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Sales ApproachesStimulus-response (canned)Need-satisfaction (skilled open-ended
questioning)Problem-solution (similar to above, yet
identifies & communicates pains related to solutions)
Mission-sharing (borderline joint venture sale – e.g.: business development)
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Sales Cycle
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Presented by D. Weaver, 2Birds1Stone Media
The Basic Sales Cycle
1. Needs Analysis
2. Recommendation
3. Preparing the Close
4. Closing
5. Repeat/Referral Business
Recommend
Prepare the Close
Repeat/ReferralBusiness
Close
NeedsAnalysis
Copyright 2006
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Presented by D. Weaver, 2Birds1Stone Media
Learning and Practicing Skills – Identifying NeedsClosed-Ended Questions (example?)
Advantage / Disadvantage?Open-Ended Questions (example?)
Advantage / Disadvantage?Exercise – in 2 minutes write down two open-
ended questions you could use when you first speak to a customer. Turn to your neighbor and ask him the question. Note his response.
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Database MarketingDetermine ObjectivesCollect DataBuild Data WarehouseData MiningDevelop Marketing ProgramsEvaluate Programs/Evaluate Data
Warehouse
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Direct MarketingMailCataloguesMass MediaAlternative Media InternetE-mail
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Permission based Marketing
1. Obtain customer permission2. Offer curriculum to consumer over
time3. Reinforce the incentive to continue
relationship (provide value)4. Increase level of permission (gain
trust and maintain integrity)5. Leverage permission to the benefit of
both parties
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Frequency Programs Incentive program designed to create
repeat purchases
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CRM(Customer Relationship Management)Designed to build long-term loyalty
and bonds with customers through the use of personal touch facilitated by technology (ACT…etc)
METRICS OF CRM:Lifetime Value of CustomerShare of the Customer (% of potential
customer lifetime value accessed)
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Discussion QuestionsQuestion 3 on page 392Question 4 on page 392Question 8 on page 393
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ThanksBe prepared for a quiz at anytime