Exam 1 Flashcards
personal selling
a person to person business activity in which a salesperson uncovers & satisfies the needs of the buyer to the mutual long term benefit of both parties
sales force intensive
organizations that rely heavily on salespeople
multichannel strategy
using several strategies at the same time
distribution channel
set of people and organizations responsible for the flow of products and services from the producer to the ultimate user
CLV
Customer Lifetime Value
Customer Lifetime Value
combined total of all future sales
behavioral loyalty
purchase of the same product from the same vendor over time
attitudinal loyalty
emotional attachment to a brand, company, or salesperson
solo exchange
both buyer and seller pursue their own self interests, no future business
function relationship
long term market exchanges characterized by behavioral loyalty, customer satisfaction
relational partnership
buyer and seller have close personal relationship, marked by open and honest communication, not strategic but provides flexbility
strategic partnerships
partners make significant investments
phases of relationship development
awareness -> exploration -> expansion -> commitment -> dissolution ->
deception
deliberately presenting inaccurate info
bribes
payments to influence decisions
kickbacks
payments made to buyers based on the amount of orders places
backdoor selling
salespeople ignore the purchasing agents policy and contact people directly involved in purchasing decision
reciprocity
special relationship where 2 companies agree to buy products from each other (illegal)
tying agreement
buyer is required to purchase one product to get another product (illegal)
types of customers
producers, resellers,
OEM
Original Equipment Manufacturer
profit margin
how much they make on each sale
turnover
how quickly product will sell
new tasks
purchasing a product or service for first time
modified rebuys
obtaining new info of a product or similar product that was bought in the past
straight rebuys
buying the same product from the source it was bought before
adaptive selling
salespeople should alter the content and form when making sales presentations so customers will be able to absorb the info easily and find it relevant to their situation
knowledge required for adaptive selling:
1) product and company knowledge
2) competitive landscape
3) sales situations and customers
social style matrix
training program to help salespeople adapt communication styles
