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Personal Selling and
Sales Promotion
Copyright Atomic Dog Publishing, 2002
Chapter Objectives
To examine the scope, importance, and characteristics of
personal selling
To study the elements in a personal selling plan
To examine the scope, importance, and characteristics of
sales promotion
To study the elements in a sales promotion plan
Copyright Atomic Dog Publishing, 2002
Types of Promotion
Advertising Public Relations
Sales Promotion Personal Selling
Promotion
Mix
Copyright Atomic Dog Publishing, 2002
Salesperson Consumer
The Buyer-Seller Dyad
Good communication is a key to successful marketing, and
it is particularly important for positive personal selling
results. The buyer-seller dyad is flexible and efficient,
closes sales, and provides feedback.
1. Salesperson determines consumer needs.
2. Salesperson presents information
and answers consumer questions.
3. Salesperson and consumer
conclude transactions.
Copyright Atomic Dog Publishing, 2002
Developing a Personal Selling Plan
1.
Setting
Objectives
2.
Assigning
Responsibility
3.
Establishing
a Budget 4.
Determining
Types of Sales
Positions
5.
Selecting
a Sales
Technique
6.
Outlining Sales
Tasks
Feedback
7.
Applying the
Plan
Copyright Atomic Dog Publishing, 2002
Personal Selling Plan:
Setting Objectives
1.
Setting
Objectives
Selling goals can be demand- and/or
image-oriented.
 When image-oriented, they involve
public relations.
 Although many firms have some
interest in information, reminder,
and image goals, the major goal
usually is persuasion: converting
consumer interest into a sale.
Copyright Atomic Dog Publishing, 2002
Personal Selling Plan:
Assigning Responsibility
1.
Setting
Objectives
2.
Assigning
Responsibility
Sales Manager Responsibilities
 Understand goals and strategies of firm
 To determine sales philosophy
 To prepare sales forecasts
 To allocate resources
 To supervise sales personnel
 To synchronize selling tasks
 To assess all aspects of sales performance
 To monitor competition’s actions
 To maintain ethical standards
 To convey the image sought by firm
Copyright Atomic Dog Publishing, 2002
Personal Selling Plan:
Budgeting
1.
Setting
Objectives
2.
Assigning
Responsibility
3.
Establishing
a Budget
The sales-expense budget allots selling costs
among salespeople, products, customers, and
geographic areas for a given period. It is usually
tied to a sales forecast.
Budget items include sales forecast, overhead,
sales force compensation, travel expenses, sales
meetings, selling aids, and sales management
costs.
Copyright Atomic Dog Publishing, 2002
Personal Selling Plan:
Sales Positions
1.
Setting
Objectives
2.
Assigning
Responsibility
3.
Establishing
a Budget 4.
Determining
Types of Sales
Positions
Salespeople are often classified as
order takers, order getters, or
support personnel.
Copyright Atomic Dog Publishing, 2002
CONTRASTING
Order Takers and Order Getters
Basic
Differ-
ences
Process routine orders and reorders
Provide clerical functions
Handle pre-sold items and maintain sales.
Arrange displays, restock items, answer
simple questions, & complete
transactions
Require little training and compensation
Have limited expertise and enthusiasm
Generate customer leads and
persuade consumers
Are creative
Handle high-priced/complex items
and increase sales
Are less involved with routine tasks
Require a lot of training and compensation
Are highly expert and enthusiastic
Copyright Atomic Dog Publishing, 2002
Personal Selling
Plan: Sales
Technique
1.
Setting
Objectives
2.
Assigning
Responsibility
3.
Establishing
a Budget 4.
Determining
Types of Sales
Positions
5.
Selecting
a Sales
Technique
Two basic techniques for selling are the
canned sales presentation (memorized
and repetitive), and the need satisfaction
approach (that is customized to individual
consumer attributes).
Copyright Atomic Dog Publishing, 2002
Personal Selling Plan:
Sales Tasks
1.
Setting
Objectives
2.
Assigning
Responsibility
3.
Establishing
a Budget 4.
Determining
Types of Sales
Positions
5.
Selecting
a Sales
Technique
6.
Outlining Sales
Tasks
The selling process outlines the
sequential tasks sales personnel
should perform.
Copyright Atomic Dog Publishing, 2002
The Selling Process
Prospecting
for Leads
Approaching
Customers
Determining
Customer
Wants
Giving a
Sales
Presentation
Answering
Questions
Closing
the Sale
Following
Up
Copyright Atomic Dog Publishing, 2002
Personal Selling Plan:
Applying the Plan
1.
Setting
Objectives
2.
Assigning
Responsibility
3.
Establishing
a Budget 4.
Determining
Types of Sales
Positions
5.
Selecting
a Sales
Technique
6.
Outlining Sales
Tasks
Feedback
7.
Applying the
Plan
Sales Management involves planning,
implementing, & controlling the
personal sales function.
Copyright Atomic Dog Publishing, 2002
Sales Promotion
Sales promotion
activities are important to
build traffic, attract attention,
generate increased sales,
create excitement, and create
a competitive advantage.
Sales promotion activities
worldwide are at their
highest levels.
Copyright Atomic Dog Publishing, 2002
Developing a Sales Promotion Plan
1.
Setting
Objectives
2.
Assigning
Responsibility
3.
Outlining the
Overall Plan
4.
Selecting
Types of
Sales
Promotion
5.
Coordinating
the Plan
Feedback
6.
Evaluating
Success or
Failure
Copyright Atomic Dog Publishing, 2002
Sales Promotion Plan:
Setting Objectives
1.
Setting
Objectives
Sales promotion goals are usually
demand-oriented, and may be related to
channel members and final consumers
with the following objectives.
Channel Members
 Gain distribution
 Receive shelf space
 Increase dealer enthusiasm
 Raise sales
 Get promotion co-op money
Final Consumers
 Increase brand awareness
 Do more product trials
 Increase purchases
 Undertake repurchases
 Engage in impulse sales
 Supplement other offers
Copyright Atomic Dog Publishing, 2002
Sales Promotion Plan:
Assigning Responsibility
1.
Setting
Objectives
2.
Assigning
Responsibility
Responsibilities are often
shared by advertising and
sales departments.
Firms work jointly with, and
often hire, outside experts for
special events, shows,
coupons, contests, print
materials, demonstrations,
and cooperative sales
promotion events.
Copyright Atomic Dog Publishing, 2002
Sales Promotion Plan:
Overall Plan
1.
Setting
Objectives
2.
Assigning
Responsibility
3.
Outlining the
Overall Plan
The sales promotion plan outline includes
 Budget decisions
 The orientation: channel members or final consumers
 Conditions: eligibility requirements for participants
 Media: types of vehicles to be used
 Duration and timing of events
 Co-op support: costs and benefits
Copyright Atomic Dog Publishing, 2002
Sales Promotion Plan:
Types of Promotion (1)
1.
Setting
Objectives
2.
Assigning
Responsibility
3.
Outlining the
Overall Plan
4.
Selecting
Types of
Sales
Promotion
Channel Member Promotions
 Trade shows/meetings
 Training
 Trade allowances
 Special offers
 Point-of-purchase displays
 Push money
 Sales contests
 Free merchandise
 Etc.
Copyright Atomic Dog Publishing, 2002
Sales Promotion Plan:
Types of Promotion (2)
1.
Setting
Objectives
2.
Assigning
Responsibility
3.
Outlining the
Overall Plan
4.
Selecting
Types of
Sales
Promotion
Final Consumer Promotions
 Coupons
 Refunds or rebates
 Samples
 Contests/Sweepstakes
 Bonus Packs or multipacks
 Shows or exhibits
 Point-of-purchase displays
 Etc.
Copyright Atomic Dog Publishing, 2002
Sales Promotion Plan:
Coordination
1.
Setting
Objectives
2.
Assigning
Responsibility
3.
Outlining the
Overall Plan
4.
Selecting
Types of
Sales
Promotion
5.
Coordinating
the Plan
Advertising and sales promotion plans
must be integrated; the sales force
should be informed and trained;
publicity must be generated; and sales
promotion should be consistent with
channel member activities.
Copyright Atomic Dog Publishing, 2002
Sales Promotion Plan:
Evaluation
1.
Setting
Objectives
2.
Assigning
Responsibility
3.
Outlining the
Overall Plan
4.
Selecting
Types of
Sales
Promotion
5.
Coordinating
the Plan
Feedback
6.
Evaluating
Success or
Failure
Success or failure is
straightforward to measure since
promotions may be closely linked
to performance or sales.
Copyright Atomic Dog Publishing, 2002
Chapter Summary
 This chapter examines the scope, importance, and
characteristics of personal selling.
 It studies the elements in a personal selling plan.
 It looks at the scope, importance, and characteristics of
sales promotion.
 It presents the elements in a sales promotion plan.

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A buyer seller dyads

  • 2. Copyright Atomic Dog Publishing, 2002 Chapter Objectives To examine the scope, importance, and characteristics of personal selling To study the elements in a personal selling plan To examine the scope, importance, and characteristics of sales promotion To study the elements in a sales promotion plan
  • 3. Copyright Atomic Dog Publishing, 2002 Types of Promotion Advertising Public Relations Sales Promotion Personal Selling Promotion Mix
  • 4. Copyright Atomic Dog Publishing, 2002 Salesperson Consumer The Buyer-Seller Dyad Good communication is a key to successful marketing, and it is particularly important for positive personal selling results. The buyer-seller dyad is flexible and efficient, closes sales, and provides feedback. 1. Salesperson determines consumer needs. 2. Salesperson presents information and answers consumer questions. 3. Salesperson and consumer conclude transactions.
  • 5. Copyright Atomic Dog Publishing, 2002 Developing a Personal Selling Plan 1. Setting Objectives 2. Assigning Responsibility 3. Establishing a Budget 4. Determining Types of Sales Positions 5. Selecting a Sales Technique 6. Outlining Sales Tasks Feedback 7. Applying the Plan
  • 6. Copyright Atomic Dog Publishing, 2002 Personal Selling Plan: Setting Objectives 1. Setting Objectives Selling goals can be demand- and/or image-oriented.  When image-oriented, they involve public relations.  Although many firms have some interest in information, reminder, and image goals, the major goal usually is persuasion: converting consumer interest into a sale.
  • 7. Copyright Atomic Dog Publishing, 2002 Personal Selling Plan: Assigning Responsibility 1. Setting Objectives 2. Assigning Responsibility Sales Manager Responsibilities  Understand goals and strategies of firm  To determine sales philosophy  To prepare sales forecasts  To allocate resources  To supervise sales personnel  To synchronize selling tasks  To assess all aspects of sales performance  To monitor competition’s actions  To maintain ethical standards  To convey the image sought by firm
  • 8. Copyright Atomic Dog Publishing, 2002 Personal Selling Plan: Budgeting 1. Setting Objectives 2. Assigning Responsibility 3. Establishing a Budget The sales-expense budget allots selling costs among salespeople, products, customers, and geographic areas for a given period. It is usually tied to a sales forecast. Budget items include sales forecast, overhead, sales force compensation, travel expenses, sales meetings, selling aids, and sales management costs.
  • 9. Copyright Atomic Dog Publishing, 2002 Personal Selling Plan: Sales Positions 1. Setting Objectives 2. Assigning Responsibility 3. Establishing a Budget 4. Determining Types of Sales Positions Salespeople are often classified as order takers, order getters, or support personnel.
  • 10. Copyright Atomic Dog Publishing, 2002 CONTRASTING Order Takers and Order Getters Basic Differ- ences Process routine orders and reorders Provide clerical functions Handle pre-sold items and maintain sales. Arrange displays, restock items, answer simple questions, & complete transactions Require little training and compensation Have limited expertise and enthusiasm Generate customer leads and persuade consumers Are creative Handle high-priced/complex items and increase sales Are less involved with routine tasks Require a lot of training and compensation Are highly expert and enthusiastic
  • 11. Copyright Atomic Dog Publishing, 2002 Personal Selling Plan: Sales Technique 1. Setting Objectives 2. Assigning Responsibility 3. Establishing a Budget 4. Determining Types of Sales Positions 5. Selecting a Sales Technique Two basic techniques for selling are the canned sales presentation (memorized and repetitive), and the need satisfaction approach (that is customized to individual consumer attributes).
  • 12. Copyright Atomic Dog Publishing, 2002 Personal Selling Plan: Sales Tasks 1. Setting Objectives 2. Assigning Responsibility 3. Establishing a Budget 4. Determining Types of Sales Positions 5. Selecting a Sales Technique 6. Outlining Sales Tasks The selling process outlines the sequential tasks sales personnel should perform.
  • 13. Copyright Atomic Dog Publishing, 2002 The Selling Process Prospecting for Leads Approaching Customers Determining Customer Wants Giving a Sales Presentation Answering Questions Closing the Sale Following Up
  • 14. Copyright Atomic Dog Publishing, 2002 Personal Selling Plan: Applying the Plan 1. Setting Objectives 2. Assigning Responsibility 3. Establishing a Budget 4. Determining Types of Sales Positions 5. Selecting a Sales Technique 6. Outlining Sales Tasks Feedback 7. Applying the Plan Sales Management involves planning, implementing, & controlling the personal sales function.
  • 15. Copyright Atomic Dog Publishing, 2002 Sales Promotion Sales promotion activities are important to build traffic, attract attention, generate increased sales, create excitement, and create a competitive advantage. Sales promotion activities worldwide are at their highest levels.
  • 16. Copyright Atomic Dog Publishing, 2002 Developing a Sales Promotion Plan 1. Setting Objectives 2. Assigning Responsibility 3. Outlining the Overall Plan 4. Selecting Types of Sales Promotion 5. Coordinating the Plan Feedback 6. Evaluating Success or Failure
  • 17. Copyright Atomic Dog Publishing, 2002 Sales Promotion Plan: Setting Objectives 1. Setting Objectives Sales promotion goals are usually demand-oriented, and may be related to channel members and final consumers with the following objectives. Channel Members  Gain distribution  Receive shelf space  Increase dealer enthusiasm  Raise sales  Get promotion co-op money Final Consumers  Increase brand awareness  Do more product trials  Increase purchases  Undertake repurchases  Engage in impulse sales  Supplement other offers
  • 18. Copyright Atomic Dog Publishing, 2002 Sales Promotion Plan: Assigning Responsibility 1. Setting Objectives 2. Assigning Responsibility Responsibilities are often shared by advertising and sales departments. Firms work jointly with, and often hire, outside experts for special events, shows, coupons, contests, print materials, demonstrations, and cooperative sales promotion events.
  • 19. Copyright Atomic Dog Publishing, 2002 Sales Promotion Plan: Overall Plan 1. Setting Objectives 2. Assigning Responsibility 3. Outlining the Overall Plan The sales promotion plan outline includes  Budget decisions  The orientation: channel members or final consumers  Conditions: eligibility requirements for participants  Media: types of vehicles to be used  Duration and timing of events  Co-op support: costs and benefits
  • 20. Copyright Atomic Dog Publishing, 2002 Sales Promotion Plan: Types of Promotion (1) 1. Setting Objectives 2. Assigning Responsibility 3. Outlining the Overall Plan 4. Selecting Types of Sales Promotion Channel Member Promotions  Trade shows/meetings  Training  Trade allowances  Special offers  Point-of-purchase displays  Push money  Sales contests  Free merchandise  Etc.
  • 21. Copyright Atomic Dog Publishing, 2002 Sales Promotion Plan: Types of Promotion (2) 1. Setting Objectives 2. Assigning Responsibility 3. Outlining the Overall Plan 4. Selecting Types of Sales Promotion Final Consumer Promotions  Coupons  Refunds or rebates  Samples  Contests/Sweepstakes  Bonus Packs or multipacks  Shows or exhibits  Point-of-purchase displays  Etc.
  • 22. Copyright Atomic Dog Publishing, 2002 Sales Promotion Plan: Coordination 1. Setting Objectives 2. Assigning Responsibility 3. Outlining the Overall Plan 4. Selecting Types of Sales Promotion 5. Coordinating the Plan Advertising and sales promotion plans must be integrated; the sales force should be informed and trained; publicity must be generated; and sales promotion should be consistent with channel member activities.
  • 23. Copyright Atomic Dog Publishing, 2002 Sales Promotion Plan: Evaluation 1. Setting Objectives 2. Assigning Responsibility 3. Outlining the Overall Plan 4. Selecting Types of Sales Promotion 5. Coordinating the Plan Feedback 6. Evaluating Success or Failure Success or failure is straightforward to measure since promotions may be closely linked to performance or sales.
  • 24. Copyright Atomic Dog Publishing, 2002 Chapter Summary  This chapter examines the scope, importance, and characteristics of personal selling.  It studies the elements in a personal selling plan.  It looks at the scope, importance, and characteristics of sales promotion.  It presents the elements in a sales promotion plan.