personal selling and sales management

2

PERSONAL SELLING AND

SALES MANAGEMENT

CHAPTER

6

SCOPE AND SIGNIFICANCE OF PERSONAL SELLING AND

SALES MANAGEMENT

• Nature of Personal Selling and Sales Management

• Selling Happens Almost Everywhere

Personal Selling

Sales Management

8

SCOPE AND SIGNIFICANCE OF PERSONAL SELLING AND

SALES MANAGEMENT

• Creating Customer Value Through Salespeople: Relationship and Partnership Selling

• Personal Selling in Marketing

Relationship Selling

Partnership Selling (or Enterprise Selling)

9

How salespeople create value for customers

13

THE MANY FORMS OFPERSONAL SELLING

• Order Taking Outside Order Takers

Inside Order Takers, Order Clerks, or Salesclerks

Inbound Telemarketing

• Order Getting Outbound Telemarketing

14

Comparing order takers with order getters

16

How outside order-getting salespeople spend their time each week

17

THE MANY FORMS OFPERSONAL SELLING

• Customer Sales Support Personnel Missionary Salespeople

Team Selling

Conference Selling

Sales Engineer

Seminar Selling

21

THE PERSONAL SELLING PROCESS: BUILDING RELATIONSHIPS

• Personal Selling Process• Prospecting

Lead

Qualified Prospect

Cold Canvassing

Prospect

22

Stages and objectives of the personal selling process

23

Stages in the personal selling process

25


• Preapproach

• Approach

27


• Presentation Stimulus-Response Format

Formula Selling Format

• Stimulus-Response Presentation

• Suggestive Selling

• Formula Selling Presentation

• Canned Selling Presentation

28


• Presentation Need-Satisfaction Format

• Need-Satisfaction Presentation

• Adaptive Selling

• Consultative Selling

30


• Presentation Handling Objections

• Acknowledge and Convert the Objection

• Postpone

• Agree and Neutralize

• Accept the Objection

• Denial

• Ignore the Objection

31

Techniques for handling objections

32


• Close Trial Close

Assumptive Close

Urgency Close

• Follow-Up

Final Close

37

THE SALES MANAGEMENT PROCESS

Sales Plan

Setting Objectives

• Sales Plan Formulation: Setting Direction

38

The sales management process

40


• Sales Plan Formulation: Setting Direction Organizing the Salesforce

• Own Salesforce vs. Independent Agents

42


• Sales Plan Formulation: Setting Direction Organizing the Salesforce—Structure

• Geography

• Customer

• Product

Major (Key) Account Management

47


• Sales Plan Formulation: Setting Direction Organizing the Salesforce—Size

• Workload Method

• Developing Account Management Policies

48

Account management policy grid grouping customers according to the level of opportunity and a firm’s competitive sales position

49


• Sales Plan Implementation: Putting the Plan into Action Salesforce Recruitment and Selection

• Job Analysis

• Job Description

• Emotional Intelligence

Salesforce Training

51

U.S. sales force composition and change

52


53


54


55


• Sales Plan Implementation: Putting the Plan into Action Salesforce Motivation and Compensation

• Straight Salary Compensation Plan

• Straight Commission Compensation Plan

• Combination Compensation Plan

Salesforce Training

57


• Salesforce Evaluation and Control: Measuring Results Quantitative Assessments

• Sales Quota

Behavioral Evaluation

58


• Salesforce Automation and Customer Relationship Management Salesforce Automation (SFA)

Salesforce Computerization

Salesforce Communication

82

Personal Selling

Personal selling involves the two-way flow of communication between a buyer and seller, designed to influence a person’s or group’s purchase decision, usually in face-to-face communication between the sender and receiver.

83

Sales Management

Sales management involves planningthe selling program and implementing and controlling the personal selling effort of the firm.

84

Relationship Selling

Relationship selling is the practice of building ties to customers based on a salesperson’s attention and commitment to customer needs over time.

85

Partnership Selling

Partnership selling is the practice whereby buyers and sellers combine their expertise and resources to create customized solutions, commit to joint planning, and share customer, competitive, and company information for their mutual benefit, and ultimately the customer. Also called enterprise selling.

86

Order Taker

An order taker processes routine orders or reorders for products that were already sold by the company.

87

Order Getter

An order getter sells in a conventional sense and identifies prospective customers, provides customers with information, persuades customers to buy, closes sales, and follows up on customers’ use of a product or service.

88

Missionary Salespeople

Missionary salespeople are sales support personnel who do not directly solicit orders but rather concentrate on performing promotional activities and introducing new products.

89

Sales Engineer

A sales engineer is a salesperson who specializes in identifying, analyzing, and solving customer problems and brings know-how and technical expertise to the selling situation but often does not actually sell products and services.

90

Team Selling

Team selling is the practice of using an entire team of professionals in selling to and servicing major customers.

91

Personal Selling Process

The personal selling process consists of sales activities occurring before and after the sale itself, consisting of six stages:(1) prospecting, (2) preapproach,(3) approach, (4) presentation, (5) close, and (6) follow-up.

92

Stimulus-Response Presentation

Stimulus-response presentation is a presentation format which assumes that given the appropriate stimulus by a salesperson, the prospect will buy.

93

Formula Selling Presentation

Formula selling presentation is a presentation format that consists of information that must be provided inan accurate, thorough, and step-by-step manner to inform the prospect.

94

Need-Satisfaction Presentation

Need-satisfaction presentation is a presentation format that emphasizes probing and listening by the salesperson to identify needs and interests of prospective buyers.

95

Adaptive Selling

Adaptive selling is a need-satisfaction presentation format that involves adjusting the presentation to fit the selling situation, such as knowing when to offer solutions and when to ask for more information.

96

Consultative Selling

Consultative selling is a need-satisfaction presentation format that focuses on problem identification, where the salesperson serves as an expert on problem recognition and resolution.

97

Sales Plan

A sales plan is a statement describing what is to be achieved and where andhow the selling effort of salespeople isto be deployed.

98

Major Account Management

Major account management is the practice of using team selling to focuson important customers so as to build mutually beneficial, long-term, cooperative relationships. Also calledkey account management.

99

Workload Method

The workload method is a formula-based method for determining the size of a salesforce that integrates the number of customers served, call frequency, call length, and available selling time to arrive at a figure for the salesforce size.

100

Account Management Polices

Account management policies specify whom salespeople should contact, what kinds of selling and customer service activities should be engaged in, and how these activities should be carried out.

101

Emotional Intelligence

Emotional intelligence is the ability to understand one’s own emotions and the emotions of people with whom one interacts on a daily basis.

102

Sales Quota

A sales quota contains specific goals assigned to a salesperson, sales team, branch sales office, or sales district fora stated time period.

103

Salesforce Automation

Salesforce automation (SFA) is theuse of computer, information, communication, and Internet technologies to make the sales function more effective and efficient.

personal selling and sales management

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