12 Personal Selling and Sales Management

12
Personal selling
and sales
promotion
Kotler | Armstrong
marketing 17e
Learning Objectives
 Forms of personal selling

 Personal selling process
 Sales management process
 Sales Promotion
18-2
© 2012 South-Western, a part of Cengage Learning
Personal Selling
Personal selling is the personal presentation

by the firm’s sales force for the purpose of
making sales and building customer
relationships.
13 - 3
12-3
Copyright © 2017 Pearson Education Ltd.
The Nature of Personal Selling
Personal selling is the interpersonal part of the
promotion mix and can include:
• Face-to-face communication
• Telephone communication
• Video or Web conferencing
Some firms have no salespeople at all.
13 - 4
12-4
Copyright © 2017 Pearson Education, Inc. Publishing as Prentice Hall
The Nature of Personal Selling
Salespeople are an effective link between the company and
its customers to produce customer value and company
profit by
(1) Represent (2) Represent

the company to customers to
customers the company
(3) Working closely with marketing

13 - 5
12-5
Social Selling: Online, Mobile,
and Social Media Tools
• Provide salespeople with powerful
tools for
– Identifying and learning about prospects
– Engaging customers
– Creating customer value
– Closing sales
– Nurturing customer relationships
• Help sales forces to be more efficient,
cost-effective, and productive
Copyright 2017 Pearson Education, Ltd (Armstrong & Kotler) 12-6
The Personal Selling Process
5. 4.
7. 6.
Handling Presentation &
Follow-up Closing
objections demonstration
13 - 7
12-7
Steps in the Selling Process
(1) Prospecting and qualifying
– Prospecting: Identifying qualified
potential customers.
– The best source of prospects is referrals.
– Prospecting can also be done through drop in
unannounced on various offices (known as cold
calling).
– Prospects can be qualified by looking at their
financial ability, volume of business, special needs,
location and possibilities of growth.
13- 8
12-8
(2) Preapproach:
 Sales person learns as much as possible about a
prospective customer before making a sales
call. (What it needs, who is involved in the
buying, their characteristics and buying styles.)
Objectives Approaches
• Qualify the prospect • Personal visit
• Gather information • Phone call
• Make an immediate • Letter/e-mail
sale 13- 9
12-9
(3) Approach:
- is the process where the
salesperson meets and
greets the buyer and gets
the relationship off to a
good start and involves the
salesperson’s appearance
and opening lines.
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12-10
(4) Presentation and demonstration:
– Presentation: Telling the “value story” to the
buyer, showing how the company’s offer
solves the customer’s problems.
– The qualities that buyers value most include
good listening,
empathy, honesty,
dependability and
thoroughness.
13- 11
12-11
(5) Handling objections:
 Handling objections is the process where
salespeople resolve problems that are logical,
psychological, or unspoken.
 In handling objections, the salesperson should:
- use a positive approach
- seek out hidden objections
- take objections as opportunities to provide
more information.
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12-12
(6) Closing
• Closing is the process where salespeople should
recognize signals from the buyer—including physical
actions, comments, and questions—to ask for a order
and finalize the sale.
• Closing is difficult for some
salespeople because they
lack confidence, feel guilty
about asking for an order, or
may not recognize the right
time to ask for an order. 13 - 13
12-13
(7) Follow-Up
• Follow-up is necessary if the salesperson wants
to ensure customer satisfaction and repeat
business.
13 - 14
12-14
Sales Promotion
Sales promotion consists of short-term

incentives to
encourage
purchase or
sales of a
product or
service.
13 - 15
12-15
Rapid Growth of Sales Promotions
Product managers Outside competition
pressure to increase and less differentiation
sales
Reasons for
Growth
Advertising less Consumers are deal
effective oriented
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12-16
Sales Promotion Objectives
• Setting sales promotion objectives includes using:
(1) (2)
Consumer Trade
promotions promotions
(3) (4)
Business Sales force
promotions promotions
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12-17
(1) Consumer Promotion
Consumer promotions – Urge short-term
customer buying or to enhance customer brand
involvement.
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12-18
Types of Consumer Promotions
Tools Description
a) Samples • Offers of a trial amount of a product
• Most effective but expensive
b) Coupons • Certificates that save buyers money when
they purchase specified products
• Promote trial of new brand
c) Rebates (cash • Price reduction occurs after the sale
refunds) • Customer sends proof of purchase to the
manufacturer, which then refunds part of the
purchase price by mail
d) Price packs • Offer consumers savings off the regular price
(cents-off deals) of a product
13- 19
12-19
Types of Consumer Promotions (cont.)
Tools Description
e) Premiums • Goods offered either free or at
low cost as an incentive to buy a
product. It can be inside or
outside the package.
f) Advertising • Useful articles imprinted with an
specialties advertiser’s name, logo, or
message that are given as gifts
to consumers.
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12-20
Types of Consumer Promotions (cont.)
h) Contests,
g) Point-of- i) Event
sweepstakes,
purchase (POP) marketing
games
Chance to win Also called event
Displays and Contests require an sponsorships. Form its
demonstrations entry by a consumer own brand marketing
Sweepstakes require events
consumers to submit
their names for a
drawing. Fast growing
Games present
Retailers receive many consumers with
and only have room for something that may or
some may not help them win Can be less costly
a prize.
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12-21
(2) Trade Promotions
Trade promotions are sales promotion tools used

to persuade resellers to carry a brand, give it shelf
space, promote it in advertising, and push it to the
consumer.
Manufacturers use several trade promotion
tools:
• Discounts/Off-invoice
• Allowances
• Free goods
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12-22
(3) Business Promotions
Business Promotions are sales promotion tool

used to generate business leads, stimulate
purchases, reward customers, and motivate
salespeople.
Conventions and
trade shows are
effective to reach
many customers not
reached with the
regular sales force. 12-23
13 - 23

(4) Sales Force Promotions
• Also called sales contests
• Contests for salespeople or dealers to
motivate them to increase their sales
performance over a given period.
• Work when they’re tied to achievable sales
objectives.
• How? Finding new accounts, reviving old
accounts, or increasing account profitability.
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12-24
Developing the Sales Promotion Program
Selecting types of promotions
Size of incentive
Conditions for participation

Promotion distribution of the
promotional program
Length of promotion evaluations

13 - 25
12-25
The End! 
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12-26

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12

 Forms of personal selling

Personal selling is the personal presentation

Some firms have no salespeople at all.

(1) Represent (2) Represent

(3) Working closely with marketing

Sales promotion consists of short-term

Trade promotions are sales promotion tools used

Business Promotions are sales promotion tool

Copyright © 2017 Pearson Education Ltd.

Selecting types of promotions

Conditions for participation

Length of promotion evaluations

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