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.