Kotler Pom Cw Ppt Exp Ch17

7/27/2019 Kotler Pom Cw Ppt Exp Ch17

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Personal Selling and Direct Marketing

Chapter 17PowerPoint slidesExpress version

I nstructor name Course name School name

Date

Pri nciples of M arketing, Sixth Canadian Edition
http://www.pearsoned.ca/kotler/


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17.2

Learning Objectives

After studying this chapter, you should be able to: Discuss the role of a companys salespeople in creating value

for customers and building customer relationships Identify and explain the six major sales force management steps Discuss the personal selling

process, distinguishing betweentransaction-oriented marketingand relationship marketing

Define direct marketing anddiscuss its benefits to customers

and companies Identify and discuss the major forms of direct marketing


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17.3

Personal Selling

Salesperson: an individual acting for a company by performing oneor more of these activities: Prospecting for new business Communicating with prospective/existing customers Servicing existing customers

Information gathering Nature of sales

positions will vary: Order taking

Order getting Creative selling Relationship management

Role of the sales force: Represent the company to

customers Represent the customer to

the company Produce customer

satisfaction and company profit


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17.4

Sales Force Management

Sales force management: the analysis, planning, implementation, and control of salesforce activities.

Sales force structure: Territorial sales force structure

Product sales force structure Customer sales force structure Complex sales force structure

Other issues: Outside sales force

Inside sales force Team selling

Figure 17.1


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17.5

Sales Force Management (continued)

Recruiting: finding a pool of qualified applicants from which tomake a selection decision Sources: internal, competitors, suppliers, educational

institutions, employment agencies, classified ads, and websites

Selection: choosing the candidate with the highest probability of

success in the position Methods: intelligence/personality testing, interviews, role play

exercises, references, and background checks

Figure 17.1


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17.6

Sales Force Management (continued)

Training: investing in the human capital of the company, helpingsales people to become more productive employees Objectives of training can be to learn:

Company history and culture Products and their application

Selling skills such as prospecting, questioning, closing, andtime and territory management

Figure 17.1


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17.7

Sales Force Compensation

Compensation is used to direct activities and motivate salespeople Will consist of fixed amount (salary), variable amount (bonus or

incentives), expenses, and fringe benefits

Table 17.1

Strategic GoalGain market Solidify market Maximizeshare rapidly leadership profitability

Ideal An independent self-starter A competitive problem solver A team player salesperson: A relationship manager

Sales focus: Deal making Consultative selling Account penetrationSustained high effort

Compensation To capture accounts To reward new and existing To manage the product mixrole: To reward high performance account sales To encourage team selling

To reward account management


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17.8

Supervising Salespeople

Supervision is used to direct and motivate salespeople Companies will vary in how closely they supervise their

salespeople Tools used:

Call reports and plans

Time-and-duty analysis Sales force automationsystems

Motivating salespeople: Organizational climate Sales quotas Sales meetings Reward systems

Figure 17.2


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17.9

Evaluating Salespeople

Measuring performance and providing feedback Information collected and used for evaluation purposes:

Sales reports Expense reports Call reports

Territory reviews may be conducted todiscuss performance

Standards of performance need to beclearly articulated to salespeople

Focus on behaviour


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17.10

The Personal Selling Process

The goal of the personal selling process is to find new customers andsell them something

Most salespeople spend their time maintaining existing accounts and building long-term customer relationships

Not all steps required in every sale

Figure 17.3


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17.11

Customer Relationship Management

Most personal selling is transaction-oriented Companies want to encourage repeat purchasing because it is

more efficient Mutually profitable relationships are built on creating value,

offering packaged solutions to problems, and improving productsand processes

Figure 17.3


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17.12

Direct Marketing

Direct marketing: direct communications with carefullytargeted individual consumers to obtain an immediate response Can be a primary approach or as a supplement to other

approaches

Benefits to consumers: Convenient, easy to use,

and private Ready access to wealth of

products

Immediate and interactive

Benefits to sellers: Powerful tool to build

customer relationships One-to-one marketing Low-cost, efficient

alternative for reachingtarget markets


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17.13

Direct Marketing (continued)

Customer database: organized collection of comprehensive data about individual customers or prospects,including geographic, demographic, psychographic, and

behavioral data Used to identify prospects and generate sales leads Profile customers based on

previous purchasing or responseto offers

Build customer loyalty bytailoring new offers to their specific interests


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17.14

Forms of Direct Marketing (continued)

Telephone marketing Direct mail marketing Catalogue marketing Direct-response

television marketing Kiosk marketing

Integrated direct marketing:

Direct marketing campaigns that usemultiple vehicles and multiple stages toimprove response rates and profits Continuing

communication

Paid ad with aresponse channel

Directmail

Outboundtelemarketing

Face-to-facesales call

Figure 17.5


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17.15

Public Policy and Ethical Issues

Irritation, unfairness,deception, and fraud

Invasion of privacy

Personal Information Protection andElectronic Documents Act (2001): Consumer consent

Limitations Accuracy Right to access


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17.16In Conclusion

The learning objectives for this chapter were: Discuss the role of a companys salespeople in creating value for

customers and building customer relationships Identify and explain the six major sales force management steps Discuss the personal selling

process, distinguishing betweentransaction-oriented marketingand relationship marketing

Define direct marketing anddiscuss its benefits to customersand companies

Identify and discuss the major forms of direct marketing