Chapter 13: Personal Selling and Sales Promotion Flashcards
Elaborate on the nature of personal selling.
Most salespeople are well-educated, well-trained professionals who work to build and maintain long-term customer relationships.
What’s the difference between an order taker and an order getter?
Order takers are, for example, department store clerks. Order getters are, for example, Starbucks employees. This role demands creative selling and relationship building.
What’s the role of the sales force?
Their role is to represent the company to customers and represent the customers to the company. Their goal is to balance customer satisfaction and company profit.
In what situations is personal selling more effective than advertising?
Complex selling situations.
Identify the six major steps in sales force management.
1) Designing sales force strategy and structure
2) Recruiting and selecting salespeople
3) Training salespeople
4) Compensating salespeople
5) Supervising and motivating salespeople
6) Evaluating salespeople
What are the four main types of sales force structure?
1) Territorial sales force structure - assigned to an exclusive geographic territory
2) Product sales force structure - specialize in selling only a portion of the company’s products or lines
3) Customer sales force structure - specialize in selling to certain customers or industries
4) Complex sales force structure - combination of the above
What will also increase if sales force size increase?
Increasing sales force size will increase both costs and sales.
What’s the difference between an outside sales force and an inside sales force.
Outside sales force travels to customers, but inside sales force conducts business from their offices, or customers visit them.
Discuss team selling.
Team selling is using teams of people from various departments and even upper management to service large, complex accounts.
Its advantages include finding problems, solutions, and opportunities. Its disadvantages include hard to evaluate individual contribution, confuse/overwhelm customers, and teamwork problem.
What’s the difference between supervising and motivating salespeople?
Supervising is encouraging salespeople to “work smart.”
Motivating is encouraging salespeople to “work hard.”
What is the main requirement when evaluating salespeople?
There must be clear standards for judging performance.
Identify and explain the major steps in the personal selling process.
1) Prospecting and qualifying - identifying qualified potential customers
2) Preapproach - learning as much as possible about a prospective customer before making a sales cal
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3) Approach - meeting the customer for the first time
4) Presentation* - telling the “value story” to the buyer, showing how the firm’s offer solves problems
5) Handling objections - seeking out, clarifying, and overcoming customer objections to buying
6) Closing* - asking the customer for an order
7) Follow-up - following up after the sale to ensure customer satisfaction and repeat business
Define sales promotion.
Sales promotion is using SHORT-TERM incentives to encourage the purchase or sale of a product or service.
Identify some factors that have led to the rapid growth of sales promotion.
- more pressure to increase their current sales
- less differentiated brands
- advertising efficiency declined
- customers have become more deal oriented
Who can sales promotion be targeted at and what are their respective objectives?
1) Final buyers (consumer promotions) - urge short-term sales
2) Retailers and wholesalers (trade promotions) - get retailers to carry new items and to promote the firm’s brands (push strategy)
3) Business customers (business promotions) - generate business leads
4) Members of the sales force (sales force promotions) - to get more sales force support for products, or to generate new accounts
