Personal Selling and Sales Management

Personal Selling and Sales Management

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Description: Understand the role and importance of personal selling in the marketing communications mix. See how the key steps in personal selling depend on a relationship perspective. Identify the similarities and differences in the job responsibilities of salespeople and sales managers.

After studying this chapter you should be able to: Describe the key activities in sales management, Appreciate important ethical issues face by salespeople and sales managers.

 
Author: McGraw-Hill Companies, Inc.   | Visits: 476 | Page Views: 615
Domain:  Business Category: Management 
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Contents:
1-1

Chapter 19

Personal Selling and Sales Management
1-2
McGraw-Hill/Irwin

Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

After studying this chapter
you should be able to:
• Understand the role and importance of
personal selling in the marketing
communications mix.
• See how the key steps in personal selling
depend on a relationship perspective.
• Identify the similarities and differences in the
job responsibilities of salespeople and sales
managers.
1-3

After studying this chapter
you should be able to:
• Describe the key activities in sales
management.
• Appreciate important ethical issues face
by salespeople and sales managers.

1-4

Personal Selling and Sales
Management
• Personal Selling:
– The face-to-face
interaction
between a seller
and a buyer for the
purpose of
satisfying buyer
needs to the
benefit of both

1-5

• Sales
Management:
– Provides leadership
and supervision of
an organization’s
personal selling
function.

The Multiple Roles of
Salespeople
– Contributions of Personal
Selling to Marketing:
• Producing Sales Revenue
• Meeting Buyer Expectations
• Providing Marketplace
Information

1-6

Job Roles of Salespeople
Business-to-Business
Sales Support:
New Business:
Existing Business:

Promote product or provide technical
support.
Sales growth by selling new products
or gaining new customers.
Maintain and build relationships with
established customer base.

Direct-to-Consumer
Represent seller in transactions with
ultimate consumers. Includes sales
people in retail, direct selling, real
estate and financial services.
1-7

The Sales Process: A Relationship
Approach
Salesperson
Attributes:
• Customer-oriented
• Honest
• Dependable
• Competent
• Likeable
Initiating Customer
Relationships:
• Prospecting
• Precall Planning
• Approaching the
customer

Selling Strategy:
• Sales Territory
• Each Customer
• Each Sales Call
1-8

Developing
Customer
Relationships:
• Sales Presentation
Delivery
• Gaining Customer
Commitment

Enhancing
Customer
Relationships

Sales Management Activities
Develop a
Sales Strategy
Design the
Sales
Organization
Develop the
Salesforce
Direct the
Salesforce

Determine
Effectiveness &
Performance
1-9

Developing a Sales Strategy

Developing a
Relationship
Strategy
Developing a
Sales Channel
Strategy

1-10

Designing the Sales Organization
• Should salesforce be
generalists or specialists?
• If specialists, should they be
product, market, customer,
or functional specialists?
• Should centralized or
decentralized control be
used?
1-11

Designing the Sales
Organization
• How large should the salesforce
be?
• How should customers and
geographic areas be assigned to
form sales territories?

• How should salesforce turnover
be factored into sales
organization design decisions?

1-12

Developing the Salesforce
• Recruiting and Selecting
• Training: Initial and
Continual

• Directing the Salesforce
– Motivation
– Supervision
– Leadership
1-13

Evaluating Performance and
Effectiveness
Setting
Standards

Evaluating
Performance
Analyzing
Effectiveness

1-14

Ethical and Legal Issues in Personal
Selling
• Strict codes of ethics for sales people.
• Sales managers must take responsibility for the
proper behavior of their salespeople, and they
must lead by example.
• Salespeople should be honest in their dealings
with customers and be informed of relevant
laws governing their business situation.
1-15

Unethical Sales Behaviors Include:












1-16

Exaggerating features and benefits
Lies about availability
Lies about competition
Sells something people don’t need
Giving false answers to questions
Falsifying product testimonials
Passing blame for their own mistakes
Pose as market researcher when doing phone sales
Misrepresent warranties & guarantees
Make nonbinding oral promises
Bending company rules
Selling dangerous or hazardous products

Salesperson Competencies Involve
the Ability to:
1. Go beyond product needs to assess business
potential and add value to the relationship.

2. Understand the financial impact of the
decisions made by your company and the
client’s organization.
3. Organize company resources to build
customer-focused relationships.

1-17

Salesperson Competencies Involve
the Ability to:
4. Organize company resources to build
customer-focused relationships.
5.

Develop consultative problem solving and a
willingness to change.

6. Establish a vision of a committed
customer/supplier relationship.
7. Utilize self-appraisal and continuous learning
by requesting feedback from customers,
colleagues, and managers.
1-18

Sales Manager Competencies
Involve the Ability to:
1. Provide strategic vision
2. Organize company
resources by leveraging
relationships
3. Influence company
strategy
4. Coach effectively
1-19

Sales Manager Competencies
Involve the Ability to:
5. Diagnose performance

6. Select high-potential
salespeople
7. Leverage technology
8. Demonstrate personal
selling effectiveness
1-20