SALES MANAGEMENT

SESSION-1 BLOCK-I SALES MANAGEMENT FUNCTIONS

UNIT-1 INTRODUCTION TO SALES MANAGEMENTUNIT-2 PERSONAL SELLING

UNIT-3 SALES PROCESS

UNIT-1 INTRODUCTION TO SALES MANAGEMENT

SALES MANAGEMENT:It has been defined as the management of a firm’s

personal selling function while distribution is the management of the indirect selling effort i.e.,selling through extra corporate organizations which form the distribution network of the firm. The sales management task thus includes analysis, planning, organizing, directing and controlling of the company’s sales effort.

BLOCK-1 SALES MANAGEMENT:BASIC FUNCTIONS

UNIT-2 PERSONAL SELLING & UNIT-3 SALES PROCESS

Examples of Personal Selling

Telemarketing

Inside selling

Retail selling

Field selling

Advertising

Personalselling

Post-transaction:Reminder and

reassurance

Post-transaction:Reminder and

reassurance

AdvertisingPersonalselling

Transaction: Persuasion

Transaction: Persuasion

Pre-transaction: Create recognition and

info understanding

Pre-transaction: Create recognition and

info understanding

Advertising

Personalselling

Relative Importance of Advertising and Personal Selling

Characteristics of Personal Selling

FlexibilityAdapt to situationsEngage in dialog

Builds RelationshipsLong termAssure buyers receive

appropriate servicesSolves customer’s

problems

Can not reach mass audience

Expensive per contactNumerous calls

needed to generate sale

Labor intensive

ConPro

Types of Salespersons

ORDERGETTERS

Currentcustomers

Newcustomers

ORDERTAKERS

Inside Order Takers(via mail, telephone,

internet)

Outside Field Sales

SUPPORTPERSONNEL

MissionarySalespersons

TradeSalespersons

TechnicalSalespersons

16-9

Personal Selling

– Agents– Sales consultants– Sales Representatives– Account

Executives– Sales Engineers– District Managers– Marketing representatives– Account Development

Representatives

• Salespeople have many names

Personal Selling Tasks

Order getting• Seeking out

customers• Creative selling• Pioneering• Account

management

Order taking Routine

writing up orders checking invoices assuring prompt order

processing

Suggestive selling

Personal Selling Tasks

• Missionary– Detailer– Goodwill– “Closers”

Cross-functionalAccount service rep

You are part of the total product

Diversity of Personal-selling SituationsGroup A (service Selling)

1. Inside Order Taker –”waits on” customers; for example,the sales clerk behind the neckwear counter in a men’s store.These jobs are known as technical support staff, sales assistants, telemarketers, and telesales professionals.2. Delivery Salesperson – mainly engages in delivering theproduct; for example, persons delivering milk, bread, orfuel oil.3. Route or Merchandising Salesperson – operates as an order taker but works in the field – the soap or spice salesperson calling on retailers is typical.4. Missionary – aims only to build goodwill or to educate the actual or potential user, and is not expected to take an order; for example, the distiller’s “missionary” and the pharmaceutical company’s “detail” person.

5. Technical Salesperson – emphasizes technical knowledge;for example the engineering salesperson, who is primarily aconsultant to “client” companies.

Group B (developmental Selling)

6. Creative Salesperson of Tangibles – for example, salespersons selling vacuum cleaners, automobiles, and encyclopedia.

7. Creative Salesperson of Intangibles – for example. Salespersons selling insurance, advertising services, and educational programs.

The Personal Selling ProcessPROSPECTING: IDENTIFYING POTENTIAL

CUSTOMERS

APPROACHING THE PROSPECT

FOLLOWING UP

CLOSING THE SALE

HANDLING OBJECTIONS

MAKING THE SALES PRESENTATION

Pre approach: QUALIFYING PROSPECTS

Prospecting: Identifying likely new customers◦Leads◦Developing lists of Potential

Customers

Prospecting: Identifying likely new customers◦Leads◦Developing lists of Potential

Customers

Pre-approach (Qualifying)Finding and analyzing

information about prospectsEvaluating a prospect’s

potential

Creative Selling Process

Approaching The Prospect

HOW DO WE MAKE THEINITIAL CONTACT & BUILD

RAPPORT

There is only one time to make a first impression

Making The Sales Presentation

• Using Persuasive communication• Hold Attention• Stimulate Interest• Desire• “Tell the product’s story”

Creative Selling Process

Handling Objections– Questions– Reservations

• Understand Concern• Counterarguments• Acknowledge concern• Clues to process

Creative Selling Process

Overcoming Objections

IF HE HADN’T TOLDME WHAT HIS OBJECTION

WAS, I NEVER WOULDHAVE BEEN

ABLE TO HELP!

Closing the Sale

• Closing signals• Trial close• Asking the

prospect to buy

Creative Selling Process

Following Up• Commitments met– Shipment– Performance

• Reinforce L-R relationship• Satisfied customers rebuy

& recommend

Creative Selling Process

7