Personal SellingPersonal Selling

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How cost effective is each alternative?How cost effective is each alternative?

How effective is each alternative in carrying out the needed exchange?

How effective is each alternative in carrying out the needed exchange?

What are the alternative ways to carry out these communications objectives?

What are the alternative ways to carry out these communications objectives?

What information must be exchanged between firm and potential customer?What information must be exchanged between firm and potential customer?

How effective is each alternative in carrying out the needed exchange?

How effective is each alternative in carrying out the needed exchange?

What are the alternative ways to carry out these communications objectives?

What are the alternative ways to carry out these communications objectives?

What information must be exchanged between firm and potential customer?What information must be exchanged between firm and potential customer?

1. Determining the Role of Personal Selling

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PricePrice

• Final price negotiable

• Price provides adequate margin

• Final price negotiable

• Price provides adequate margin

Product or Service

Product or Service

• Complex goods or services

• Major purchase decisions

• Personal demonstration required

• Complex goods or services

• Major purchase decisions

• Personal demonstration required

ChannelsChannels

• Channel short and direct

• Training needed by intermediaries

• Selling needed to push product through

• Intermediaries can provide personal selling

• Channel short and direct

• Training needed by intermediaries

• Selling needed to push product through

• Intermediaries can provide personal selling

AdvertisingAdvertising

• Media do not provide an effective link

• Information can not be provided by media

• Sparse market reduce advertising economies

• Media do not provide an effective link

• Information can not be provided by media

• Sparse market reduce advertising economies

PricePriceProduct or Service

Product or Service ChannelsChannels

2. When the Sales Force is a Major Part of MC?

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Selling activity limited to order-taking

Selling activity limited to order-takingProvider StageProvider Stage

Attempting to persuade customer to buy

Attempting to persuade customer to buyPersuader StagePersuader Stage

Seeking out buyers perceived to have a need

Seeking out buyers perceived to have a needProspector StageProspector Stage

Buyers identify problems to be met by goods

Buyers identify problems to be met by goods

Problem-solver Stage

Problem-solver Stage

Seller determines buyer needs and fulfills them

Seller determines buyer needs and fulfills themProcreator StageProcreator Stage

Buyers identify problems to be met by goods

Buyers identify problems to be met by goods

Problem-solver Stage

Problem-solver Stage

Seeking out buyers perceived to have a need

Seeking out buyers perceived to have a needProspector StageProspector Stage

Attempting to persuade customer to buy

Attempting to persuade customer to buyPersuader StagePersuader Stage

Selling activity limited to order-taking

Selling activity limited to order-takingProvider StageProvider Stage

3. Stages of Personal Selling Evolution

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SurveyingSurveying MapmakingMapmaking

GuidingGuidingFire StartingFire Starting GuidingGuiding

MapmakingMapmakingSurveyingSurveying

4. New Roles for Salespeople

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Following up and servicing the accountFollowing up and servicing the account

Closing the saleClosing the sale

Demonstrating capabilities of the productDemonstrating capabilities of the product

Recommending a way to satisfy themRecommending a way to satisfy them

Determining customers’ needs and wantsDetermining customers’ needs and wants

Locating prospective customersLocating prospective customers

Closing the saleClosing the sale

Demonstrating capabilities of the productDemonstrating capabilities of the product

Recommending a way to satisfy themRecommending a way to satisfy them

Determining customers’ needs and wantsDetermining customers’ needs and wants

Locating prospective customersLocating prospective customers

5. Personal Selling Responsibilities

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This is essentially a support roleThis is essentially a support roleThis is essentially a support roleThis is essentially a support role

Requires the most skill and preparationRequires the most skill and preparationRequires the most skill and preparationRequires the most skill and preparation

Must assess situation, determine needsMust assess situation, determine needs

This role is much more casualThis role is much more casual

Often involves straight rebuyingOften involves straight rebuyingOften involves straight rebuyingOften involves straight rebuying

Must assess situation, determine needsMust assess situation, determine needs

This role is much more casualThis role is much more casual

6. Types of Sales Jobs

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Creative Selling

Creative Selling

Order TakingOrder Taking

Missionary Sales Rep

Missionary Sales Rep

7. 10 Traits of Effective Salespeople

© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

1. Ego strength: a healthy self-esteem that allows one to bounce back from rejection.

2. Sense of urgency: wanting to get it done now.

3. Ego drive: a combination of competitiveness and self esteem.

4. Assertiveness: the ability to be firm, lead the sales process, and get one’s point across confidently.

5. Risk-taking: willing to innovate and take a chance.

10 Traits of Effective Salespeople

© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

6. Sociable: outgoing, friendly, talkative, and interested in others.

7. Abstract reasoning: ability to understand concepts and ideas.

8. Skepticism: a slight lack of trust and suspicion of others.

9. Creativity: the ability to think differently.

10. Empathy: the ability to place oneself in someone else’s shoes.

Reach may be very limited

Reach may be very limited

Reach may be very limited

Reach may be very limited

Message can be tailored to recipientMessage can be

tailored to recipientMessage can be

tailored to recipientMessage can be

tailored to recipient

Two-way interaction with prospect

Two-way interaction with prospect

Two-way interaction with prospect

Two-way interaction with prospect

Prospect isn't likely to be distracted

Prospect isn't likely to be distracted

Prospect isn't likely to be distracted

Prospect isn't likely to be distracted

Cost is often extremely highCost is often

extremely highCost is often

extremely highCost is often

extremely high

8. Personal Selling Advantages and Disadvantages

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Possible management-sales force conflict

Possible management-sales force conflict

Messages may be inconsistent

Messages may be inconsistent

Seller involved in purchase decision

Seller involved in purchase decision

Source of research information

Source of research information Potential ethical problemsPotential ethical problems

AdvantagesAdvantages DisadvantagesDisadvantages

Possible management-sales force conflict

Possible management-sales force conflict

Messages may be inconsistent

Messages may be inconsistent

Seller involved in purchase decision

Seller involved in purchase decision

Source of research information

Source of research information

AdvertisingAdvertising

Public RelationsPublic Relations

Direct MarketingDirect Marketing

Sales PromotionSales Promotion

The InternetThe Internet

Sales PromotionSales Promotion

Direct MarketingDirect Marketing

Public RelationsPublic Relations

AdvertisingAdvertising

9. Personal Selling Combines With Other Tools

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Personal Selling

Personal Selling

10. Quantitative Measures of Sales Results

© 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

OrdersOrders

Sales VolumeSales Volume

MarginsMargins

Customer AccountsCustomer Accounts

Sales CallsSales Calls

Selling ExpensesSelling ExpensesSelling ExpensesSelling Expenses

Sales CallsSales Calls

Customer AccountsCustomer Accounts

MarginsMargins

Sales VolumeSales Volume

OrdersOrders

Customer ServiceCustomer Service

Quantitative Measures

Quantitative Measures

Selling SkillsSelling SkillsSelling SkillsSelling Skills

11. Qualitative Measures of Sales Results

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Sales Related Activities

Sales Related Activities