Test Flashcards
Define the concept of personal selling.
Face-to-face opportunity to build relationships with customers.
Differentiate between the selling and marketing concepts.
Selling transforms goods into money, but marketing is the method of serving and satisfying customer needs.
Difference between relationship selling and traditional selling.
Traditional selling is a transactional approach that focuses on making a sale and closing the deal. On the other hand, relationship selling is a more customer-centric approach that focuses on building long-term relationships with customers.
State the significance of personal selling.
- Complexity
- Buyer Significance
- Communication Effectiveness
- Channel Network Factors
State the advantages and disadvantages of personal selling.
Pros
- Better Image
- Rewards
- Customer Confidence
- Flexibility
Cons
- High Turnover
- Training Cost
- High Cost Per Action
- Negative Image of Sales Person
Describe the types of personal selling.
Retail Sales
Business-to-Business Selling
Describe the standard steps in the selling process.
prospecting, preparation, approach, presentation, handling objections, closing and follow-up.
Explain how leads are generated.
State the four types of sales presentations.
- Intermediaries
- Industrial
- Professional
- Consumer
State the types of closing methods that are available to salespeople.
Describe the functions of sales management.
Defining sales goals and the sales process
Determining the sales force structure and size
Recruiting and training the sales force
Compensating and motivating the sales force
Evaluating the sales force
Describe the three basic compensation methods for salespersons.
Straight salary
Straight Commission
A combination system
Determining the sales-force structure and size
Sales departments are mostly organized in the following ways:
Geographic regions
Product lines
Marketing functions performed ( accounts development or account maintenance)
Market or industry
Individual clients or account
Describe the functions of sales management.
Sales planning: This involves setting sales targets, developing sales strategies, identifying target markets, and creating a sales plan to achieve the revenue objectives of the organization.
Sales organization: This involves structuring the sales team, defining roles and responsibilities, setting performance standards, and establishing a sales compensation plan to motivate and reward the sales team.
Sales staffing: This involves recruiting, selecting, and training salespeople who have the necessary skills and knowledge to sell the company’s products or services effectively.
Sales performance management: This involves monitoring and evaluating the sales team’s performance, setting performance metrics, providing feedback, coaching, and training to improve sales performance.
Sales forecasting: This involves predicting future sales and revenue based on past trends, market analysis, and other factors, to plan for future sales and allocate resources effectively.
Sales operations management: This involves managing the day-to-day activities of the sales team, including order processing, inventory management, customer service, and support, to ensure smooth and efficient sales operations.
Sales communication: This involves establishing effective communication channels between the sales team, customers, and other departments within the organization, to ensure that sales goals are aligned with the overall business strategy.
Describe the various consumer and trade promotion tools.
Trade allowances: These are incentives offered to retailers or wholesalers to stock and sell a product, including discounts, rebates, and promotions.
Co-op advertising: Co-op advertising is a partnership between a manufacturer and a retailer in which the manufacturer pays for part of the retailer’s advertising costs.
Trade shows: Trade shows are events where manufacturers can showcase their products to potential buyers, including distributors and retailers.
