Chapter Seventeen Personal Selling and Sales Management.

Chapter SeventeenChapter Seventeen

Personal Selling and Sales Personal Selling and Sales ManagementManagement

ObjectivesObjectivesObjectivesObjectives

Describe roles of selling and relationship management

Identify when to use personal sellingUnderstand contributions of a salespersonOutline the steps involved in making a saleUnderstand ongoing nature of selling &

marketingDescribe major aspects of sales manager’s jobClassify various forms of sales compensation Identify ethical issues facing sales personnel

Describe roles of selling and relationship management

Identify when to use personal sellingUnderstand contributions of a salespersonOutline the steps involved in making a saleUnderstand ongoing nature of selling &

marketingDescribe major aspects of sales manager’s jobClassify various forms of sales compensation Identify ethical issues facing sales personnel

Methods of Personal Methods of Personal SellingSelling

Methods of Personal Methods of Personal SellingSelling

Telemarketing

Inside selling

Retail selling

Field selling

Personal SellingPersonal Selling

12 million people are engaged in personal selling in the United States

Represents 10% of the United States work force

Characteristics of Characteristics of Personal SellingPersonal Selling

FlexibilityIdentify best

prospectsAdapt to situationsEngage in dialog

Builds RelationshipsLong termAssure buyers

receive appropriate services

Solves customer’s problems

Personal Selling Personal Selling Limitations Limitations

Can not reach mass audience

Expensive per contact

Numerous calls needed to generate sale

Labor intensive

Personal Selling TasksPersonal Selling Tasks

Order taking Routine

writing up orderschecking invoicesassuring prompt order

processing

Suggestive selling

Personal Selling TasksPersonal Selling Tasks

Order gettingSeeking out

customersCreative sellingPioneeringAccount

management

Personal Selling TasksPersonal Selling Tasks

MissionaryDetailerGoodwill“Closers”

Cross-functionalAccount service rep

The Creative Selling The Creative Selling ProcessProcess

IDENTIFYING & QUALIFYING PROSPECTS

APPROACHING THE PROSPECT

FOLLOWING UP

CLOSING THE SALE

HANDLING OBJECTIONS

MAKING THE SALES PRESENTATION

Creative Selling ProcessCreative Selling ProcessCreative Selling ProcessCreative Selling Process

Identify and Qualifying Prospects

Prospecting: Identifying likely new customersLeads

Qualifying: Evaluating a prospect’s potential

Identify and Qualifying Prospects

Prospecting: Identifying likely new customersLeads

Qualifying: Evaluating a prospect’s potential

Creative Selling ProcessCreative Selling ProcessCreative Selling ProcessCreative Selling Process

Approaching the Prospect

ContactRapport“Only one chance to

make a first impression”

Approaching the Prospect

ContactRapport“Only one chance to

make a first impression”

Creative Selling ProcessCreative Selling ProcessCreative Selling ProcessCreative Selling Process

Sales PresentationPersuasive

communicationAttentionInterestDesire“Tell the product’s story”

Sales PresentationPersuasive

communicationAttentionInterestDesire“Tell the product’s story”

Handling ObjectionsQuestionsReservations

Understand ConcernCounterargumentsAcknowledge concernClues to process

Handling ObjectionsQuestionsReservations

Understand ConcernCounterargumentsAcknowledge concernClues to process

Creative Selling ProcessCreative Selling ProcessCreative Selling ProcessCreative Selling Process

Creative Selling ProcessCreative Selling ProcessCreative Selling ProcessCreative Selling Process

Closing the SaleClosing signalsTrial closeAsk for the

sale

Closing the SaleClosing signalsTrial closeAsk for the

sale

Creative Selling ProcessCreative Selling ProcessCreative Selling ProcessCreative Selling Process

Following UpCommitments met

ShipmentPerformance

Reinforce relationshipSatisfied customers

rebuy & recommend

Following UpCommitments met

ShipmentPerformance

Reinforce relationshipSatisfied customers

rebuy & recommend

Sales ManagementSales ManagementSales ManagementSales Management

PlanningPlanning OrganizingOrganizing

DirectingDirectingControllingControlling

Settingobjectives

Organizingactivities

Recruit, select, train, develop, manage, &motivate

Motivate,evaluate, & control

Organizing Sales Organizing Sales ActivitiesActivities

Organizing Sales Organizing Sales ActivitiesActivities

Sales Territory:Geographic divisionsCustomer typesProduct linesSelling task

Sales Territory:Geographic divisionsCustomer typesProduct linesSelling task

Geographic DivisionGeographic DivisionGeographic DivisionGeographic Division

Sales RepCalifornia

Sales RepPacific NW

Sales RepSoutheast

Sales RepNortheast

District SalesManager

District SalesManager

District SalesManager

District SalesManager

Regional SalesManager

Regional SalesManager

Vice-PresidentMarketing

Customer TypeCustomer TypeCustomer TypeCustomer Type

New Account#1

New Account#2

ExistingAccount #1

ExistingAccount #2

New AccountsManager

Existing AccountsManager

Vice-PresidentSales

Product LineProduct LineProduct LineProduct Line

Sales RepEastern Region

Sales RepWest’n Region

Sales repEastern Region

Sales RepWest’n Region

Snack FoodsSales Manager

BeveragesSales Manager

Vice-PresidentSales

Directing the Sales Directing the Sales ForceForce

Recruiting and selectingTraining & developCompensatingMotivating

Compensation MethodsCompensation MethodsCompensation MethodsCompensation Methods

Straight Straight salary orsalary or

wagewage

Straight Straight salary orsalary or

wagewage

Salary plusSalary pluscommissioncommission

Salary plusSalary pluscommissioncommission

StraightStraightcommissioncommission

StraightStraightcommissioncommission

CommissionCommissionwith drawwith draw

CommissionCommissionwith drawwith draw

Quota-bonusQuota-bonusplanplan

Quota-bonusQuota-bonusplanplan

Evaluation and ControlEvaluation and Control

Required reportsMeasurement

against plan or sales standards

Expense controlProductivityNew account

development

Ethical IssuesEthical Issues

Kickbacks, bribes and “gifts”

Price discriminationCheating on expense

accountsMisrepresentation

ReviewReviewReviewReview

Describe roles of selling and relationship management

Identify when to use personal sellingUnderstand contributions of a salespersonOutline the steps involved in making a saleUnderstand ongoing nature of selling &

marketingDescribe major aspects of sales manager’s jobClassify various forms of sales compensation Identify ethical issues facing sales personnel

Describe roles of selling and relationship management

Identify when to use personal sellingUnderstand contributions of a salespersonOutline the steps involved in making a saleUnderstand ongoing nature of selling &

marketingDescribe major aspects of sales manager’s jobClassify various forms of sales compensation Identify ethical issues facing sales personnel