Marketing Kerin Chapter 20 – Flashcards

Personal selling involves the two-way flow of communication between a buyer and seller, often in a face-to-face encounter, designed to influence a person's or group's purchase decision. Sales management involves planning the selling program and implementing and controlling the personal selling effort of the firm. The scope of selling and sales management is apparent in three ways. First, virtually every occupation that involves customer contact has an element of personal selling. Second, selling plays a significant role in a company's overall marketing effort. Salespeople occupy a boundary position between buyers and sellers; they are the company to many buyers and account for a major cost of marketing in a variety of industries; and they can create value for customers. Finally, through relationship and partnership selling, salespeople play a central role in tailoring solutions to customer problems as a means to customer value creation.

Three types of personal selling exist: (a) order taking, (b) order getting, and (c) customer sales support activities. Each type differs from the others in terms of actual selling done and the amount of creativity required to perform the sales task. Order takers process routine orders or reorders for products that were already sold by the company. They generally do little selling in a conventional sense and engage in only modest problem solving with customers. Order getters sell in a conventional sense and identify prospective customers, provide customers with information, persuade customers to buy, close sales, and follow up on customers' use of a product or service. Order getting involves a high degree of creativity and customer empathy and is typically required for selling complex or technical products with many options. Customer sales support personnel augment the sales effort of order getters by performing a variety of services. Sales support personnel are prominent in cross-functional team selling, the practice of using an entire team of professionals in selling to and servicing major customers.

The personal selling process consists of six stages: (a) prospecting, (b) preapproach, (c) approach, (d) presentation, (e) close, and (f) follow-up. Prospecting involves the search for and qualification of potential customers. The preapproach stage involves obtaining further information on the prospect and deciding on the best method of approach. The approach stage involves the initial meeting between the salesperson and prospect. The presentation stage involves converting a prospect into a customer by creating a desire for the product or service. The close involves obtaining a purchase commitment from the prospect. The follow-up stage involves making certain that the customer's purchase has been properly delivered and installed and difficulties experienced with the use of the item are addressed.

Sales management consists of three interrelated functions: (a) sales plan formulation, (b) sales plan implementation, and (c) evaluation of the salesforce. Sales plan formulation involves setting objectives, organizing the salesforce, and developing account management policies. Sales plan implementation involves salesforce recruitment, selection, training, motivation, and compensation. Finally, salesforce evaluation focuses on quantitative assessments of sales performance and behavioral measures such as customer satisfaction that are linked to selling objectives and account management policies.

A) "Do what's right for the customer."

(1) setting objectives; (2) organizing the salesforce; (3) recruiting, selecting, training, and compensating salespeople; and (4) evaluating the performance of individual salespeople.

Salespeople can identify creative solutions to customer problems.. As the critical link between the firm and its customers, salespeople can create customer value in many ways. For instance, by being close to the customer, salespeople can identify creative solutions to customer problems. Salespeople can create value by easing the customer buying process and by following through after the sale.

order getter

Order getters need a high degree of customer empathy.

sales engineer

urgency close

(1) setting objectives; (2) organizing the salesforce; and (3) developing account management policies.

customer. When different types of buyers have different needs, a customer sales organizational structure is used. The rationale for this approach is that more effective, specialized customer support and knowledge are provided to buyers.

(1) a clear job description; (2) effective sales management practices; (3) a personal need for achievement; and (4) proper compensation, incentives, or rewards

involves the two-way flow of communication between a buyer and seller, often in a face-toface encounter, designed to influence a person's or group's purchase decision.

sales management involves planning the selling program and implementing and evaluating the personal selling effort of the firm.

an order taker processes routine orders or reorders for products that were already sold by the company. an order getter sells in a conventional sense and identifies prospective customers, provides customers with information, persuades customers to buy, closes sales, and follows up on costumers; use of a product or service.

team selling is the practice of using an entire team of professionals in selling to and servicing major customers.

1. prospecting 2. preapproach 3. approach 4.presentation 5. close 6. followup

a lead is the name of a person who may be a possible customer whereas a qualified prospect is an individual who wants the product, can afford to buy it, and is the decision maker.

the need-satisfaction presentation format emphasizes probing and listening by the salesperson to identify needs and interests of prospective buyers and then tailors the presentation to the prospect and highlights product benefits, which is consistent with the marketing concept and its focus on relationship building.

1. output-related (dollars or unit sales, new customers, profit) 2. input-related (sales calls, selling expenses) 3. behavioral-related (product knowledge, customer service, selling and communication skills)

geography, customer, product/service

emotional intelligence is the ability to understand one's own emotions and the emotions of people with whom one interacts on a daily basis. these qualities are important for adaptive selling.

specifies whom salespeople should contact, what kinds of selling and customer service activities should be engaged in, and how these activities should be carried out.

a need-satisfaction presentation format that involves adjusting the presentation to fit the selling situation, such as knowing when to offer solutions and when to ask for more information.

a need-satisfaction presentation format that focuses on problem identification, where the salesperson serves as an expert on problem recognition and resolution.

the ability to understand one's own emotions and the emotions of people with whom one interacts on a daily basis.

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