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Module Two

Overview of Personal Selling

Learning Objectives
1. Describe the evolution of personal selling from ancient times to the modern era. 2. Explain the contributions of personal selling to society, business firms, and customers. 3. Distinguish between transaction-focused traditional selling and trust-based relationship selling.

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Learning Objectives

4. Discuss five alternative approaches to selling. 5. Describe the three primary roles fulfilled by consultative salespeople 6. Understand the sales process as a series of interrelated steps.

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Setting the Stage


UPS Builds Trust and Long-Term Customer Relationships
1. What does Carl Strenger, a UPS Vice President, mean by a consultative discussion with the customer? 2. When teaming up with UPS Capital sales personnel, what is the focus of the overall sales strategy?

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Personal Selling Defined


Personal selling refers to personal communication with a an audience through paid personnel of an organization or its agents in such a way that the audience perceives the communicators organization as being the source of the message.

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Evolution of Personal Selling


Peddlers selling door to door . . . served as intermediaries Selling function became more structured

1800s 1900s 2000s st As we begin Post-Industrial the 21 century, selling continues to develop, Industrial War and Modern becomingRevolution more professional and more relational Revolution Depression Era

Business organizations employed salespeople

Selling function became more professional


Ingram LaForge Avila Williams

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Schwepker Jr.

Contributions of Personal Selling: Salespeople and Society


Salespeople help stimulate the economy

Salespeople help with the diffusion of innovation

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Contributions of Personal Selling: Salespeople and the Employing Firm


Salespeople generate revenue Salespeople provide market research and customer feedback Salespeople become future leaders in the organization

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Contributions of Personal Selling: Salespeople and the Customer


Salespeople provide solutions to problems Salespeople provide expertise and serve as information resources Salespeople serve as advocates for the customer when dealing with the selling organization

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Transaction-Focused vs. Relationship Focused


Transaction-Focused
Short term thinking Making the sale has priority over most other considerations Interaction between buyer and seller is competitive Salesperson is selfinterest oriented

Relationship-Focused
Long term thinking Developing the relationship takes priority over getting the sale Interaction between buyer and seller is collaborative. Salesperson is customer-oriented

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Classification of Personal Selling Approaches

Stimulus Response Selling Mental States Selling Need Satisfaction Selling Problem Solving Selling

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Stimulus Response Selling

Salesperson Provides Stimuli

Buyer Responses Sought

Continue Process until Purchase Decision

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Mental States Selling

Attention

Interest

Conviction

Desire

Action

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Need Satisfaction Selling

Uncover and Confirm Buyer Needs

Present Offering to Satisfy Buyer Needs

Continue Selling until Purchase Decision

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Problem Solving Selling

Define Problem

Generate Alternative Solutions

Evaluate Alternative Solutions

Continue Selling until Purchase Decision

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

Consultative Selling
Business Consultant

The process of helping customers reach their strategic goals by using the products, service, and expertise of the selling organization.

Strategic Orchestrator

Long-term Ally

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

The Sales Process: An Overview

Selling Foundations

Initiating Customer Relationships


Selling Strategy

Developing Customer Relationships

Enhancing Customer Relationships

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

The Sales Process: Selling Foundations


In order to be successful in todays global business environment, salespeople must have a solid relationship building foundation. They must: Be Trustworthy

Behave Ethically
Understand Buyer Behavior Possess Excellent Communication Skills

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

The Sales Process: Selling Strategy


In order to be successful in todays global business environment, salespeople must also think and act strategically. The must develop strategies for:

Each Sales Call


Each Customer Their Sales Territories
Each strategy is related to the other

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.

The Sales Process

Initiating Customer Relationships

Developing Customer Relationships

Enhancing Customer Relationships

Sales Prospecting Presentation Delivery Earning Preapproach Commitment Adding Customer Value through Follow-up, Presentation Planning Self-leadership, and Teamwork Approaching the Customer

Sales Management: Analysis and Decision Making

Module 2: Overview of Personal Selling

Ingram

LaForge Avila Williams

Schwepker Jr.