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Marketing 16

Marketing 16

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Marketing 16

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  1. Marketing 16 Sales Promotion & Personal Selling

  2. Sales Promotions and Personal selling -- 16 • Sales Promotion Objectives • Types • Personal Selling • Sales Management 16.1

  3. What is the goal? Behavior Action Reinforce loyalty Increase consumption Product trial or switch Increase purchase frequency See Ex. 16.1, p. 545 Sales promotion

  4. Consumer Sales Promotion Tools • Coupons • $/¢ off, 2 for 1, in-store, grocery, mail • Rebates • Delay; Mail; Data; Ltd submission (2%) • Some manufacturers ignore or make it difficult to receive rebate • Premiums (lagniappe) • Prize inside • Loyalty Marketing Programs • Frequent flyer, buyer, sleeper, eater 16.3

  5. Consumer Sales Promotion Tools • Contests and Sweepstakes • Sampling • P-O-P • On-line sales promotions • Collect data, encourage e-commerce 16.4

  6. Sales Promotion Objectives(Consumer) • Encourage product trial • Encourage continued buying and usage • Encourage purchase and usage of related products • Support IMC strategy • Build a marketing database 16.2

  7. Trade Sales Promotion Tools • Trade Allowances • In exchange for performing some function • Promotion, Storage • Push Money • Training • Free merchandise • Store demonstrations • Trade shows, conferences 16.6

  8. Sales Promotion Objectives(Trade) • Add channel partners • Induce partners to carry more stock • Enhance channel support • Strengthen channel relationships 16.5

  9. Personal Selling • What is it? • Direct communication between a sales rep and prospective buyer to influence purchase. • When is it used? • Complex & Expensive products • Few customers • Advantages/disadvantages • Detailed and customized message • Limited, but accurate reach • Handle objections • Closing 16.7

  10. Number and Dispersion of Customers Large Small Buyers’ Information Needs Low High Size and Importance of Purchase Small Large Postpurchase Service Required Little Much Product Complexity Low High Distribution Strategy Pull Push Pricing Policy Pre-set Negotiated Resources Available for Promotion Many Few Advertising Relatively Important Personal Selling Relatively Important

  11. What makes a good salesperson? Empathy: Understand/read customer Ego Drive: Inner need to persuade others Ego Strength: Self-assured (to deal with rejection) and Self-efficacy (control own success) Interpersonal Communication Skills (listening, asking questions, explain clearly) Enthusiasm (for yourself and customers) 16.8

  12. Relatively Less Important Characteristics Type of Sales Job Relatively Important Characteristics Trade selling (Existing Customers) Age, maturity, empathy, knowledge of customer and business methods Aggressiveness, technical ability, product knowledge, persuasiveness Missionary selling (Promotional) Youth, high energy and stamina, verbal skill, persuasiveness Empathy, knowledge of customers, maturity, previous sales experience Technical selling (Highly technical products) Education, product and customer knowledge--usually gained through training, intelligence Empathy, persuasiveness, aggressiveness, age New business selling (New Business, Rainmaker) Experience, age, maturity, aggressiveness, persuasiveness, persistence Customer knowledge, product knowledge, education, empathy

  13. What to look for in hiring:(Not in Particular Order) • Enthusiasm • Organization Skills • Ambition • Goal Oriented • Leadership • Work Ethic • Problem Solving Skills • Persuasive • Verbal Skills • Sales Experience • Not product specific

  14. Process of personal selling • Generate leads • Qualify prospects • Approach --direct contact, establish rapport • Customer needs analysis: Learn to ask questions & LISTEN!!!! • Presentation – develop and propose solutions • Handling objections • Closing the sale • Follow-up 16.9

  15. Personal selling and relationship marketing • Shift from transaction point of view, focus on: • Relationship or consultive selling 16.10

  16. 16.11