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2.01 section C

2.01 section C. Sales policies. Performance Indicator : Explain company selling policies (SE:932). Define the following terms: Selling policies : guidelines for selling. How will products be sold?

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2.01 section C

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  1. 2.01 section C Sales policies

  2. Performance Indicator: Explain company selling policies (SE:932) Define the following terms: • Selling policies: guidelines for selling. How will products be sold? • Selling-activity policies: guidelines for sales people. What is required of the sales employees? What laws apply? • Terms-of-sale policies: What conditions apply to each type of sale? (Think airline tickets, e-Bay, close-outs) • Service policies: guidelines for servicing customers.

  3. Identify types of selling-activity policies • How are sales tracked? Receipt, online, customer information? • What is the customer given at the completion of the transaction? • Are there any government rules or regulations that must be followed?

  4. Identify types of terms-of-sale policies • Age, condition of customer (think “bar”), single or double occupancy. • Conditions for returns (What will be allowed?) What if the dress has been worn? • Deadlines for returning products (used or new car purchases, haircuts) • Method of refund (including money vs. store credit)

  5. Identify types of service policies • What is included in the sale of the product? • Warranties (implied or explicit). • Delivery. • Training.

  6. Explain the importance of selling policies • Selling policies standardize sales. • Ensures that the company and the customers understand how products are sold. • Protects the company, legally.

  7. Describe the characteristics of selling policies • Where can products be purchased? • Clearly defines what constitutes a sale.

  8. Explain why selling policies are needed • Proves that all customers are treated the same way • Increases efficiency of the sales people.

  9. Describe external factors that affect selling policies • City, county, state and/or Federal regulations. • Competitors’ actions. • Changes in customer expectations. • Changes in costs of producing the products.

  10. Describe internal factors that affect selling policies • Sales quotas. • New management. • Changes in goals.

  11. Describe regulatory factors that affect selling policies • The distribution channel might require specific policies in exchange for using that channel (e-Bay for example). • Implicit warranties.

  12. Explain problems encountered with the use of selling policies • Policies cover specific circumstances, so some situations will not fit the current policies. • Misinterpretation by a salesperson. • Some customers will ask for exceptions to policies in exchange for increased business or because of a history with your company.

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