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Personal Selling

Personal Selling

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Personal Selling

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  1. Personal Selling © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

  2. What are the alternative ways to carry out these communications objectives? What are the alternative ways to carry out these communications objectives? How effective is each alternative in carrying out the needed exchange? How effective is each alternative in carrying out the needed exchange? How cost effective is each alternative? 1. Determining the Role of Personal Selling What information must be exchanged between firm and potential customer? What information must be exchanged between firm and potential customer? © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

  3. Product or Service Price Channels Advertising • Complex goods or services • Major purchase decisions • Personal demonstration required • Final price negotiable • Price provides adequate margin • Channel short and direct • Training needed by intermediaries • Selling needed to push product through • Intermediaries can provide personal selling • Media do not provide an effective link • Information can not be provided by media • Sparse market reduce advertising economies 2. When the Sales Force is a Major Part of MC? Product or Service Price Channels © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

  4. Provider Stage Provider Stage Selling activity limited to order-taking Selling activity limited to order-taking Persuader Stage Persuader Stage Attempting to persuade customer to buy Attempting to persuade customer to buy Prospector Stage Prospector Stage Seeking out buyers perceived to have a need Seeking out buyers perceived to have a need Problem-solver Stage Problem-solver Stage Buyers identify problems to be met by goods Buyers identify problems to be met by goods Procreator Stage Seller determines buyer needs and fulfills them 3. Stages of Personal Selling Evolution © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

  5. Surveying Mapmaking Fire Starting Guiding 4. New Roles for Salespeople Surveying Mapmaking Guiding © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

  6. Determining customers’ needs and wants Determining customers’ needs and wants Recommending a way to satisfy them Recommending a way to satisfy them Demonstrating capabilities of the product Closing the sale Demonstrating capabilities of the product Following up and servicing the account Closing the sale 5. Personal Selling Responsibilities Locating prospective customers Locating prospective customers © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

  7. Requires the most skill and preparation Must assess situation, determine needs This role is much more casual Often involves straight rebuying This is essentially a support role May not actually take the order 6. Types of Sales Jobs Creative Selling Requires the most skill and preparation Must assess situation, determine needs Order Taking This role is much more casual Often involves straight rebuying This is essentially a support role Missionary Sales Rep © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

  8. 7. 10 Traits of Effective Salespeople 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. © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

  9. 10 Traits of Effective Salespeople 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. © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

  10. 8. Personal Selling Advantages and Disadvantages Advantages Disadvantages Two-way interaction with prospect Messages may be inconsistent Two-way interaction with prospect Messages may be inconsistent Message can be tailored to recipient Possible management-sales force conflict Possible management-sales force conflict Message can be tailored to recipient Prospect isn't likely to be distracted Cost is often extremely high Cost is often extremely high Prospect isn't likely to be distracted Reach may be very limited Seller involved in purchase decision Reach may be very limited Seller involved in purchase decision Potential ethical problems Source of research information Source of research information © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

  11. Advertising Public Relations Direct Marketing Sales Promotion The Internet 9. Personal Selling Combines With Other Tools Advertising Public Relations Personal Selling Direct Marketing Sales Promotion © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

  12. Orders Sales Volume Margins Customer Accounts Sales Calls Selling Expenses Customer Service 10. Quantitative Measures of Sales Results Orders Sales Volume Margins Quantitative Measures Customer Accounts Sales Calls Selling Expenses © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

  13. Selling Skills Sales Related Activities 11. Qualitative Measures of Sales Results Selling Skills © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin