Personal Selling and Sales Management

Motivating and Compensating Salespeople

Financial rewards Non-financial rewards

Issues for the Sales Manager and the Sales Force

A sales manager must treat people fairly and equally in everything he or she does. Hiring Promotion Supervision Training Assigning Duties Quotas Compensation Firing

Generate Leads

Chesnee works in the office of a building materials company. One of her jobs is to identify new building projects and to determine who will make the building materials purchase decisions. Chesnee is involved in the _______________ step of the selling process. Trade Shows Cold calls Telemarketing

Managing the Sales Force

sales force structure recruiting and selecting salespeople sales training motivating and compensating salespeople evaluating salespeople

Manufacturer's representatives

salespeople who sell a manufacturer's products on an extended contract basis but are not employees of the manufacturer.

The Personal Selling Process

1. Generate and qualify leads 2. Preapproach 3. Sales presentation and overcoming reservations 4. Closing the sale 5. Follow-up

Sales Force Structure

Company sales force ~employees ~established product lines Manufacturers representatives (independent agents) ~not employees ~smaller firms ~new markets

Step 2: Preapproach and the Use of CRM Systems

Conduct additional research and develop plans for meeting with the customer. Establish goals for meeting with the customer.

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

Nonfinancial rewards

Recognition from peers and management Plaques, pens, rings Free trips or days off Given at sales meeting and publicized in the company newsletter

order getter

a salesperson whose primary responsibilities are identifying potential customers and engaging those customers in discussions to attempt to make a sale

Sales Training

Selling and negotiation techniques Products and service knowledge Technologies used in the selling process Time and territory management Company policies and procedures

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. Should insurance salespeople disclose inadequate hurricane coverage and risk not making the sale?

Step 1: Generate and Qualify Leads

The first step in the selling process is to generate a list of potential customers (leads) and assess their potential (qualify). Sources of Leads: Current Customers Networking Events Social Media The Internet

Step 3: Sales Presentation and Overcoming Reservations

The presentation Handling reservations

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.

Evaluating Salespeople by Using Marketing Metrics

Tied to the reward structure Evaluation measures can be either objective or subjective

Telemarketing

a method of direct marketing in which a salesperson solicits prospective customers to buy products or services, either over the phone or through a subsequent face to face or Web conferencing appointment scheduled during the call.

Cold calls

a method of prospecting in which salespeople telephone or go to see potential customers without appointments

Selling teams

combinations of sales specialists whose primary duties are order getting, order taking, or sales support but who work together to service important accounts

Recruiting and Selecting Salespeople

personality, optimism, resilience, self-motivation, empathy

company sales force

comprised of people who are employees of the selling company and are engaged in the selling process

Sales support personnel

employees who enhance and help with a firm's overall selling effort, such as by responding to the customer's technical questions or facilitating repairs

Step 5: Follow-Up

five service quality dimensions -reliability -responsiveness -assurance -empathy -tangibles

The Scope and Nature of Personal Selling

internet, telephone, face to face, teleconference

preapproach

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

Salesperson Duties

order getter, order taker, sales support personnel, selling teams

order taker

processes routine orders or reorders for products that were already sold by the company

The Value Added by Personal Selling

provide information and advice save time and simplify buying Salespeople build relationships

Financial rewards

salary, commission, bonus, sales contest

Relationship selling

the practice of building ties to customers based on a salesperson's attention and commitment to customer needs over time maintaining the relationship over the long term and investing in opportunities that are mutually beneficial to all parties.