Chapter 20

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C H A P T E R

Personal Selling and Sales Management

20

Copyright © 2014 by the McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin


L E A R N I N G O B J E C T I V E S

Describe the value added of personal selling.

Define the steps in the personal selling process.

Describe the key functions involved in managing a sales force.

Describe the ethical and legal issues in personal selling.

Personal Selling and Sales Management

LO1

LO2

LO3

LO4


Personal Selling

AP Photo/Paul Sakuma.


The Scope and Nature of Personal Selling

Internet Telephone

Face-to-face Teleconference


Professional Selling as a Career

People love the lifestyle

There is a lot of flexibility

There is a lot of variety in the job

Can be very lucrative

Very visible to management and good for promotions

Sales Jobs Website

©Royalty-Free/Corbis

http://www.salesjobs.com/


The Value Added by Personal Selling

Salespeople Provide Information and Advice

Salespeople Save Time and Simplify Buying

Salespeople Build Relationships



The Personal Selling Process

Generate and qualify leads Preapproach

Sales presentation and

overcoming reservations

Closing the sale Follow-up


Step 1: Generate and Qualify Leads

Sources of Leads

Current

Customers

Networking

Events

The

Internet

Trade

Shows


Generate Leads

Cold calls

Telemarketing



Step 2: Preapproach

Extends the qualification procedure

Set goals for what is to be accomplished



Step 3: Sales Presentation and Overcoming Reservations

The Presentation

Handling Reservations

Klaus Tiedge/Blend Images/Getty Images


Aligning the Personal Selling Process with the B2B Buying Process


Step 4: Closing the Sale

Getting the order

Often most stressful part of sales process

A “no” one day may be the foundation for a “yes” another

Dig

ital V

isio

n/G

ett

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es


Step 5: Follow-Up

Five Service Quality Dimensions

Reliability

Responsiveness

Assurance

Empathy

Tangibles


1. Why is personal selling important to an IMC strategy?

2. What are the steps in the personal selling process?

CHECK YOURSELF


Managing the Sales Force

Managing the Sales

Force

Sales force structure

Recruiting and selecting salespeople

Sales training

Motivating and

compensating salespeople

Evaluating salespeople


Sales Force Structure

Company sales force

Employees

Established product lines

Manufacturers representatives

(independent agents)

Not employees

Smaller firms

New markets


Salesperson Duties

Order getter

Order taker

Sales support personnelComstock Images /Jupiter images.


Recruiting and Selecting Salespeople

Personality

Optimism

ResilienceSelf-motivation

Empathy


Recruiting for Success

How does a firm that focuses on a fun product recruit salespeople who exhibit fun?

©Stockbyte/PunchStock


Sales Training

Selling and negotiation techniques

Products and service knowledge

Technologies used in the selling process

Time and territory management

Company policies and procedures


Motivating and Compensating Salespeople

Financial rewards Nonfinancial rewards

GRANTLAND® Copyright Grantland Enterprises; www.grantland.net

http://www.grantlandnet/


Evaluating Salespeople

Tied to the reward structure

Evaluation measures can be either objective or subjective

BananaStock/PictureQuest


1. What do sales managers need to do to successfully manage their sales force?

2. What is the difference between monetary and nonmonetary incentives?

CHECK YOURSELF


Ethical and Legal Issues in Personal Selling

The Sales Manager and

the Sales Force

The Sales Force and Corporate

Policy

The Salesperson

and the Customer


Issues for the Sales Force and Corporate Policy

The firm may have a policy to sell goods or services to people who cannot afford them or to people who

should not have them.A

P P

hoto

/Ch

arl

ie R

ied

el


Issues for the Sales Person and the Customer

Have you ever felt that you were treated unethically by

a salesperson? What happened?

Roy

alty

-Fre

e/C

OR

BIS


1. What are three areas of personal selling in which ethical and legal issues are more likely to arise?

CHECK YOURSELF


Return to slide

Cold calls are a method of prospecting in which sales people telephone or go to see potential clients without appointments.

Glossary


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A company sales force comprises people who are employees of the selling company.

Glossary


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Manufacturer’s representatives are sales people who sell a manufacturer’s products on an extended contract basis but are not employees of the manufacturer.

Glossary


Return to slide

An order getter is a salesperson whose primary responsibilities are identifying potential customers and engaging those customers in discussions to attempt to make a sale.

Glossary


Return to slide

An order taker is a salesperson whose primary responsibility is to process routine orders or reorders or rebuys for products.

Glossary


Return to slide

The preapproach occurs prior to meeting the customer for the first time and extends the qualification of leads procedure.

Glossary


Return to slide

Relationship selling is a sales philosophy and process that emphasizes a commitment to maintaining the relationship over the long term and investing in opportunities that are mutually beneficial to all parties.

Glossary


Return to slide

Telemarketing is a method of prospecting in which sales people telephone potential customers without appointments.

Glossary


Return to slide

Trade shows are attended by buyers who choose to be exposed to products and services offered by potential suppliers in an industry.

Glossary

Marketing

Chapter 20