Lecture 1: Introduction to Sales and Marketing Flashcards
What is “selling”? (two definitions
- ‘Give or hand over (something)
in exchange for money - ‘Persuade someone of the merits of.’
- -> can be non-tangible things as well
- ->as, or more, important than the exchange part
why was Aristotle an early sales researcher?
- ethos (appeal to character)
- pathos (appeal to emotions)
- logos (logical reasoning)
–> all of these are essential in persuasion
describe the bias towards sales people
• Often dubious image -->if sales people are successful, often dom't attribute sales to them • Frontline of organisation (in eye of many customers: sales people = the organisation) • Good products do NOT sell themselves
What are the 6 main aspects/characteristics of selling
- Customer development, retention and deletion
- Information management ( ex. know stock)
- customer relationship management
- marketing the product
- Problem solving and system selling
- Satisfying needs and adding value
describe Customer development, retention and deletion
as a sales person, want to be able to identify high value and low value customers
–> who should you invest time into?`
describe marketing the product
have to recognize segments,
have most direct customer touchpoint –> sales people have to be able to explain value of offer to customers
What are the 3 overarching types of selling/salespeople?
- order-takers
- order-creators
- order-getters
describe order-takers
Responding to already committed customers
Inside order-takers
• Purely transactional task
• Receiving payment and passing over goods
Outside order-takers • Visit customers • Respond to customer request instead of persuading • Increasingly being replaced by telemarketers
describe order-creators
- Do not directly get orders
- Talking to those who specify
Missionary salespeople
• Don’t try to persuade customer • Seek to specify seller’s products • Educate and build goodwill
describe order getters
Attempt to persuade customers to place an order
• Front-line salespeople • Major objective: persuade consumer to make direct purchase • Most challenging type of selling • Technical support salespeople • Support front-line salespeople • Provide detailed technical information • Merchandisers • Mainly retail and wholesale • Help with display, promotions, stock level…
What are the five sales and marketing orientations?
- Selling orientation
- Production orientation
- Product orientation
- Marketing orientation
- Service orientation
selling orientation
• Has likely been created in 1920’s and 30’s
- Usually adopted if:
- Overproduction or excess supply
- Consumers need to be persuaded to buy the product
- Supply exceeds demand
• Assumption is that consumers are slow to buy
production orientation
- Arguably developed in 1920’s before sales orientation
- Cutting production costs by increasing efficiency -> economies of scale
- Assumption is that consumer will buy if:
- Reasonable quality
- Reasonable price
- Reasonable availability
- Not suitable if supply exceeds demand
- Surplus from this orientation might have least o sales orientation
product orientation
• Focus on quality and performance
• By continuously improving
• Assumption is that customers choose products
for their quality rather than their price
• Pitfalls:
• Pricing yourself out of the market
• Improvements might not be desired by consumers
marketing orientation
• Shift from ‘sell what we can make’ to ‘find out what consumers want and then we’ll make it’
• Likely evolved somewhere 1950-70’s as a result
of dissatisfaction with earlier orientations
• Marketing orientation integrates parts of earlier orientations: • Quality and performance • Promotions • Reduction of costs
- ‘Out-side in’ perspective
- Customer at the core of the business
