Lecture Advertising and promotion (2/e) – Chaper 17: Personal selling

The goals of this chapter are: To examine the role of personal selling in the integrated marketing communication program, to describe the advantages and disadvantages of personal selling as part of an IMC program, to propose how personal selling might be combined with other elements in an IMC program,...

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Chapter 17

Personal selling

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PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell

Learning objectives

1 To examine the role of personal selling in the

integrated marketing communication program.

2 To describe the advantages and

disadvantages of personal selling as part of

an IMC program.

3 To propose how personal selling might be

combined with other elements in an IMC

program.

4 To explain how to determine the effectiveness

of the personal selling effort.

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Evaluation

Limitations Advantages

Public relations

Part of IMC

promotion Direct

marketing Internet

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Personal selling involves selling through a person-to-person communication process.

The communication process is known as dyadic

communications.

The communication process is known as dyadic

communications.

Direct Personal Real time

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Determining the role of

personal selling

How cost effective is each alternative?

How effective is each alternative in carrying out the

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When the sales force is a major

part of IMC

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Evolution of the seven steps of

selling

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Evolved sales process

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New roles for sales people

Nurturing &

maintaining relationships

Value creators,

value adders

Value creators,

value adders

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Desired qualities for sales people

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Relationship marketing

Relationship marketing defined:

The organisation’s effort to develop a

long-term, cost-effective link with

individual customers for mutual benefit.

Relationship marketing defined:

The organisation’s effort to develop a

long-term, cost-effective link with

individual customers for mutual benefit.

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Factors important in customer

retention

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Types of sales jobs

This is essentially a support role

Requires the most skill and preparation Must assess situation, determine needs

This role is much more casual Often involves straight rebuying

May not actually take the order

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Company 360—a great way to

identify prospects

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Six steps of selling

1 Prospecting and qualifying leads

1. Prospecting and qualifying leads

2 Determining customer’s needs and wants.

2. Determining customer’s needs and wants.

3 Recommending a way to satisfy customer needs

3. Recommending a way to satisfy customer needs

4 Demonstrating the capabilities of the company

and its products

4. Demonstrating the capabilities of the company

and its products

5 Closing the sale

5. Closing the sale

6 Following up the service account

6. Following up the service account

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10 traits of effective salespeople

1 Ego strength: a healthy self-esteem that allows

one to bounce back from rejection.

2 Sense of urgency: wanting to get it done now.

3 Ego drive: a combination of competitiveness and

self-esteem.

4 Assertiveness: the ability to be firm, lead the

sales process, and get one’s point across confidently.

5 Risk-taking: willing to innovate and take a

chance.

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10 traits of effective salespeople

(cont.)

6 Sociable: outgoing, friendly, talkative and

interested in others.

7 Abstract reasoning: ability to understand

concepts and ideas.

8 Scepticism: a slight lack of trust and suspicion

of others.

9 Creativity: the ability to think differently.

10 Empathy: the ability to place oneself in

someone else’s shoes.

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Traits buyers consider helpful

and unhelpful

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Personal selling advantages

Prospect is not likely

to be distracted High cost High cost

Potential for management/

sales force conflict

Potential for management/

sales force conflict Inconsistent messages

Seller involved in purchase

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Role

Evaluation

Part of IMC

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Personal selling combines with other IMC tools

Advertising Public relations Direct marketing Sales promotion The internet

Personal

selling

Personal

selling

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Personal selling and advertising work together

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Combining personal selling and advertising

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Combining personal selling and public relations

Sales staff directly perform PR

functions

Sales staff directly perform PR

functions

Encourage sales staff to undertake

‘pro bono’ work

Encourage sales staff to undertake

‘pro bono’ work

Encourage sales staff to support NFP and philanthropic organisations

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The Body Shop

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Personal selling and direct

marketing

Screen leads and qualify prospects

Supporting sales staff

PR dimension Customer service & follow-up

Can be combined with direct mail, email and other DM methods

Telemarketing

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Growth of telemarketing

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Incentives targeted at the sales force

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Combining personal selling and the internet

Provide product information

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Personal selling and the internet

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Evaluating the personal selling effort

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Role

Evaluation

Part of IMC

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Evaluating the sales force

Sales results

Sales efforts

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Quantitative measures of sales force

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Characteristics affecting sales

force performance

The courage to change Consistent training that leads to consistent execution

Rigorous management processes that drive performance

A clear link between company culture and value to sales

strategies

A clear link between company culture and value to sales

strategies The strength of the field manager

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Criteria for evaluating personal selling's contribution

Are communications objectives attained?

Are IMC programs being implemented?

Are follow-up activities conducted well?

Provide good marketing intelligence?

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Summary and conclusions

 The role of personal selling is evolving into a customer

relationship model.

 Within companies, the role of personal selling varies,

depending on the nature of the industry, competition and

market conditions.

 In large industrial environments personal selling may be the dominant form of communications whereas in consumer

non-durables, it may play a minor role.

 Although personal selling can be expensive, the real-time nature of communications has many advantages.

 One of personal selling’s limitations is the non-standardised nature of the message.

 Evaluation of personal selling is the responsibility of the

sales department.

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