orders and replies chapter 19 ppt

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Chapter 19 Orders and Replies

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Product specifications include all the specification of products such as size, color, catalog number among others Similarly, order letters are for three types: trial order, routine order and repeat order. For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/ZEcPAc

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Page 1: Orders and Replies Chapter 19 ppt

Chapter 19

Orders and

Replies

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Chapter 19

Letters related to ordering of goods are central to a Company’s business. Order letters are routine letters and their effectiveness depends on the

accuracy of the details.

Most of the contents of an order can be tabulated

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Product specifications and quantity: include all specifications of products

such as size, color, catalogue number, model number, unit price. Mention the

correct quantity required

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The types of packing should be specified in the order. Packing

goods suitably for transport is the responsibility of the supplier;

buyer’s instructions are needed only if the goods are to be

specially packed.

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Give the full address of the place where the goods are to be delivered, the time by which the goods should be delivered; mention the mode of transport only if the delivery is to be

made carriage forward

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Mention the agreed prices and terms and refer to:

(a) discount or concession given(b) mode of payment of the bill

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3 groups of orders are:

i) First or trial order ii) Repeat orderiii)Routine order.

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•Reference to previous communication•Details of required goods and other

instructions•Goodwill message

Points to be included in order are:

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Printed forms are used for placing orders. Sellers prepare the forms with columns required. A set of forms is sent with a

quotation to encourage a potential customer to place an order.

A covering letter is sent with it

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A trial order is placed to check the efficiency of the service, packing, delivery of goods in time,

prompt receipts etc.

The opening and the ending for each of these are different

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The following situations lead to the first and trial order:

1. Seller’s samples and/or quotations are approved

Open with a reference to the received quotation; Endwith the expectation that the trial order will be satisfactory and lead to regular business.

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2.A bargain has been concluded

When the seller has agreed to a bargain, open the order letter with a reference to it. End with expectation of high standard of goods/services

The following situations lead to the first and trial order:

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The following situations lead to the first and trial order:

3. Buyer willing to try an offered substitute

If you decide to try an offered substitute you may order a small lot. End by suggesting that more will be ordered only if the trial order proves satisfactory.

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The following situations lead to the first and trial order:

4. Buyer intends to try a product in a new area

A buyer may place a an order on his own initiative on seeing an advertisement if he feels that a certain product has a potential demand. The opening refers to this. End with the hope that a regular demand will be established

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A customer may reserve the right to reject the goods if: i) they are

not delivered within the specified time ii) they do not tally with the

sample

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Satisfied with goods bought on a trial may result in a repeat order. The

letter opens with a reference to the first order and the continuing

demand

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The most important thing to convey in a routine order is the details of requirements. Prices and terms are fixed by custom.

The letter opens with a courteous request for goods to

be sent.

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A buyer’s order is an offer to buy; when the seller confirms his acceptance of the order, it becomes binding on both parties. Always

acknowledge an order as soon as it is received

Acknowledgement is used to build and maintain good relationships with the customers

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For routine orders a printed acknowledgment will suffice. Include the following points:

i) Name and quantity of articles dispatchedii) Date of shipment and expected date of receipt iii) Mode of transport, and place of delivery iv) Mode of payment and reference to enclosed

bill.

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If the goods cannot be delivered at the expected time, contact the customer

to negotiate a new date

The purpose of the letter is to get the customer to agree to a later date of delivery

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Points to be included are:

i) Appreciation of the order and explanation of circumstances

ii) Steps being taken to handle the situations and approximate date by which normal conditions willbe restored

iii) Apology for the inconvenience and request for confirmation or the order for delivery at a laterdate

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i) Appreciation for success of the trial order ii) Statement of terms etc. iii) Expectation that regular business will follow

Make a more definite attempt to win his confidence.

Points to be included are:

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This is largely goodwill letter, and not just a routine

acknowledgement; address the letter by name.

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Show appreciation of a customer who has come back, and also assure

him that he will be happy with his decision to return.

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i) Expression of gratitude for the long-missed order

ii) Statement of routine acknowledgment iii) Assurance of highly satisfactory

service

Points to be included are:

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It may be a correction on finding a mistake or a request for a change in the date or the place of delivery. Or you might

have cancel an order

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Points to be included are:

i) Reference to orderii) Statement of change required, and the

explanation of the reasoniii) Offer to cooperate/adjustiv) Apology for the inconvenience caused

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If the change requested can be made without much

inconvenience or loss, inform him that it will be made. If it involves

disturbances, request the customer to cooperate

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The point to be included are:

i) Agreement to make the change asrequested

ii) Explanation of problem, if any and howthe customer can help

iii) Statement of terms for purpose ofacknowledgment.

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The seller may ask for extension of time, or request the customer to accept the early

delivery. Adjustments are a matter of goodwill and understanding between the

seller and the buyer.

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The customer has to make adjustments and may have to give

instruction about delivery of goods in case of delay or early delivery etc

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It is business courtesy and good business practice to contact a customer some time after he has bought a consumer durable product. An after sales letter

after three or four weeks reinforces the contact and goodwill

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It performs 3 functions:

i) It checks that the customer is satisfied, if not, the seller has a chance to set matters right.

ii) it reminds the customer about the after-sales service

iii) it makes way for further business throughthe customer. Address the letter by name