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CUSTOMER RELATIONSHIPS & KEY-ACCOUNT MANAGEMENT

CUSTOMER RELATIONSHIPS & KEY-ACCOUNT MANAGEMENT. CHAPTER 14. 1. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013. Key Issues in Buyer-Seller Relationship. Fig. 14.1 Issues in relationships.

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CUSTOMER RELATIONSHIPS & KEY-ACCOUNT MANAGEMENT

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  1. CUSTOMER RELATIONSHIPS & KEY-ACCOUNT MANAGEMENT CHAPTER 14 1 Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013

  2. Key Issues in Buyer-Seller Relationship Fig. 14.1 Issues in relationships Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 2

  3. Episodes in Customer Relationships • Simple episode with no previous relationship. • Simple episode in a well-developed relationship. • Complex episode with no previous relationship. • Complex episode in a well-developed relationship. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 3

  4. Trade-Offs: Conflict & Collaboration Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 4

  5. The Role of Personal Selling • Identify suitable possible customers. • Identify problems those customers might have. • Establish a dialogue with the potential customer. • Refine the view of the problem to take account of the dialogue. • Identify solutions which are within the supplying firm’s capabilities. • Explain the solution. • Represent the customer’s views to the supplying company. • Ensure supply. • Solve after-sale problems. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 5

  6. The Function of Selling Fig. 14.2 The function of selling Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 6

  7. Day-to-Day Activities of Salespeople • Customer retention and deletion. • Database and knowledge management. • Nurturing the relationship. • Marketing the products. • Problem-solving. • Adding value and satisfying needs. • Customer relationship maintenance. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 7

  8. Marketer’s View of Personal Selling Fig. 14.3 Marketer’s view of the role of personal selling Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 8

  9. Replacements for Salesforce Functions Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 9

  10. Activity: Marketer vs. Salesperson Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 10

  11. Relationship Between Marketing and Selling Fig. 14.4 Salesperson’s model of the relationship between marketing and selling Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 11

  12. Types of Salespeople • Consumer direct. • Industrial direct. • Government/institutional direct. • Consumer indirect. • Industrial indirect. • Missionary. • Key-account. • Agents. • Merchandisers. • Telesales. • System selling. • Franchise selling. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 12

  13. The Selling Cycle Fig. 14.5 The selling cycle Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 13

  14. Key-Account Characteristics • Accounts for a significant proportion of the firm’s overall sales. • Cooperation between distribution channel members rather than conflict. • Supplier-customer relationship for lower costs and higher efficiency. • Lengthy negotiations and frequent contact between firms. • Supply involves servicing aspects: technical support and delivery of physical products. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 14

  15. Key-Account Selling: Features • There will be many decision-makers involved. • The salesperson may not be present when the final decision is made. • The problems which the salesperson must address are often complex and insoluble in a permanent sense. • The consequences of the problem are often much more serious than the immediate situation would suggest. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 15

  16. SPIN Questions • Situation questions. • Problem questions. • Implication questions. • Need-payoff questions. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 16

  17. Principles for Managers to Follow • Only become involved when your presence makes a unique difference. • No sales calls on a customer, unless your salesperson is with you. • Agree on specific and clear selling roles before any joint calls. • Be an active internal seller for your salespeople. • Always have a withdrawal strategy. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 17

  18. PPF Model Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 18

  19. KAM/PPF Strategies Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 19

  20. Managing the Salesforce • Recruitment. • Training. • Payment. • Motivation. • Territory management. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 20

  21. Trade-Offs in Salespersons’ Pay Packages Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 21

  22. CRM Factors • CRM perceived usefulness. • Setting of accurate expectations regarding system usage. • Salesperson innovativeness toward new technological tools. • CRM perceived ease of use. • Supervisor encouragement and support. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 22

  23. Summary • Relationships between firms operate at many levels. • Conflict leads to creative solutions. • Trust and person-to-person relationships are essential. • Selling is about solving problems for customers. • Selling may not belong in the communication mix at all. • Salespeople often identify with customers. • After-sales activities are essential. • Techniques used in small-account selling are counterproductive in key-account selling. • Commission is a way of ensuring fairness: it is probably not a strong motivator. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 23

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