* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
Download Personal Selling and The Marketing Concept
Youth marketing wikipedia , lookup
Digital marketing wikipedia , lookup
Online shopping wikipedia , lookup
Guerrilla marketing wikipedia , lookup
Target audience wikipedia , lookup
Marketing communications wikipedia , lookup
Street marketing wikipedia , lookup
Product lifecycle wikipedia , lookup
Direct marketing wikipedia , lookup
Multicultural marketing wikipedia , lookup
Green marketing wikipedia , lookup
Marketing plan wikipedia , lookup
Pricing strategies wikipedia , lookup
Marketing mix modeling wikipedia , lookup
Integrated marketing communications wikipedia , lookup
Advertising campaign wikipedia , lookup
Global marketing wikipedia , lookup
Sensory branding wikipedia , lookup
Marketing channel wikipedia , lookup
Multi-level marketing wikipedia , lookup
Customer experience wikipedia , lookup
Product planning wikipedia , lookup
Customer relationship management wikipedia , lookup
Sales process engineering wikipedia , lookup
Customer satisfaction wikipedia , lookup
Customer engagement wikipedia , lookup
Personal Selling and The Marketing Concept Chapter 1 Selling- What does it take to succeed? Success Service to Others sUccess Use the Golden Rule suCcess Communication Ability sucCess Characteristics for the Job succEss Excel at strategic thinking succeSs Sales Knowledge succesS Stamina for the challenge Relationship selling leads to success Relationship selling- professionally providing information for customers allowing them to make intelligent purchases to achieve their long and shortterm objectives. ABC’S of relationship selling A Analyze the customer’s needs B present product Benefits C gain Commitment for the purchase S provide excellent Service to maintain and grow the relationship Personal Selling Person-to-person communication with a prospect Viewed as a process that adds value Personal Selling It is a process of: Developing relationships Discovering needs Matching the appropriate products with these needs Communicating benefits through informing, reminding or persuading Product Encompasses information, services, ideas and issues. Personal Selling Philosophy 1. Adopt a marketing concept 2. Value personal selling 3. Become a problem solver and partner. Personal Selling in the Age of Information Industrial Economy 1860- 1960 Major advances occur in manufacturing and transportation Strategic resources are capital and natural resources Business is defined by its products and factories Sales success depends on meeting sales quotas Personal Selling in the Age of Information Information Economy 1960- 2020 Major advances occur in information technology Strategic resource is information Business is defined by customer relationships Sales success depends on adding value Personal Selling in the Age of Information There have been four major developments that have shaped the information economy 1. 2. 3. 4. Major advances in information technology Strategic resource is information Business is defined by customer relationships Sales success depends on adding value Major Advances in Information Technology There has been an increased use of personal computers, e-mail, instant messaging, mobile phones and other forms of technology to obtain and process information Major Advances in Information Technology Computer use has changed for data crunching to connecting people The connections include: People to people Machine to machine Product to service Organization to organization All of these in combination Strategic Resource is Information Advances in information technology have increased the speed at which we acquire, process and disseminate information Strategic Resource is Information As a salesperson, you are are expected to the consumer with assistance in deciding which information has value and which information should be ignored. People have less time to adjust to new products and circumstances value this assistance. Business is Defined by Customer Relationships Customers today are better informed and this has caused a power shift Customers have taken more control of their purchase decisions As a salesperson you are the “human element” Business is Defined by Customer Relationships You have the ability to think, feel and generate ideas Relationship selling and marketing emphasizes long-term, mutually satisfying buyer-seller relationships and it has gain much support from the beginning of the Information Age. Business is Defined by Customer Relationships Personal selling provides a counterbalancing human response to the impersonal nature of technology. Sales Success Depends on Adding Value Value-added selling: A series of creative improvements within the sales process that enhance the customer experience. Sales Success Depends on Adding Value How can a salesperson add value? Developing quality relationships Carefully identifying the customer’s needs Configuring and presenting the best possible product solution Marketing Concept The belief that a company should dedicate all of its policies, planning and operations to the satisfaction of the customer. Determine what the customer wants and then develop the appropriate product or service Marketing Concept Yields Marketing Mix Once the marketing concept becomes a part of a firm’s philosophy, its management seeks to develop a network of marketing activities that maximize customer satisfaction and ensure profitability. This combination of elements make up the marketing mix. The Marketing Mix Marketing Mix: A set of controllable, tactical marketing tools that consists of everything the firm can do to influence the demand for its product The Marketing Mix The marketing mix can be organized into a group of four variables: 1. 2. 3. 4. Product Price Place Promotion – Advertising, public relations, sales promotion and personal selling Important Role of Personal Selling Personal selling is often the major promotional method used–whether measured by people employed, by total expenditures or by expenses as a percentage of sales. Important Role of Personal Selling Large investments are being placed in personal selling in response to several major trends: Products and services are becoming increasingly sophisticated and complex Competition has greatly increased in most product areas Demand for quality, value and service by customers has risen Important Role of Personal Selling Personal selling has evolved through three distinct developmental periods: Consultative selling era Strategic selling era Partnering era Consultative Selling Era Late 1960s to early 1970s This approach emphasizes need identification, which is achieved through effective communication between the sales person and the customer Buyers needs are identified through twoway communication Information giving and negotiation tactics replace manipulation Consultative Selling Era It is important to understand the role of transactional selling Transactional selling is a sales process that most effectively matches the needs of the value-conscious buyer who is primarily interested in price and convenience. Many transactional buyers are well aware of their needs and may already know a great deal about the products or services they intend to purchase. Their primary focus is low price. Low-cost transaction selling strategies include telesales, direct mail and the Internet. This approach to selling is usually used by marketers who do not see the need to spend vary much time on customer need assessment, problem solving, relationship, or sales follow-up Consultative Selling Era Major features of the Consultative Selling Era include: 1. The customer is seen as a person to be served, not a prospect to be sold 2. The consultative salesperson, unlike the peddler of and earlier era, does not try to overpower the customer with a high-pressure sales presentation Consultative Selling Era Consultative selling emphasizes information giving, problem solving and negotiation instead of manipulation Consultative selling emphasizes service after the sale Strategic Selling Era Early1980s Strategy is given as much attention as selling tactics Product positioning is given more attention During this period, the selling environment became more complex Strategic Selling Era These trends, which include increased global competition, broader and more divers product lines, more decision makers involved in major purchases, and greater demand for specific, custom-made solutions, continue to influence personal selling and sales training in the age of information. Strategic Selling Era Strategic planning: The managerial process that matches the firm’s resources to its market opportunities. It takes into consideration the various functional areas of the business that must be coordinated such as financial assets, workforce, production capabilities, and marketing. Almost every aspect of strategic planning directly or indirectly influences sales and marketing. Strategic Selling Era What is the difference between tactics and strategies? Tactic: Techniques, practices, or methods you use when you are face-to-face with a customer Strategy: A carefully conceived plan that is needed to accomplish a sales objective. It is a prerequisite to tactical success. Strategic Selling Era Strategic planning sets the stage for a value-added form of consultative selling that is more structured, more focused, and more efficient. The result is better time allocation, more precise problem solving, and a greater chance that there will be a good match between your product and the customer’s needs. Strategic/Consultative Selling Model The strategic/consultative selling model includes five steps: 1. 2. 3. 4. 5. Develop Develop Develop Develop Develop a a a a a personal selling philosophy relationship strategy product strategy customer strategy presentation strategy Develop a Relationship Strategy Relationship strategy: A well-thought-out plan for establishing, building and maintaining quality relationships. Adopt Win-Win Philosophy: When the customer wins, I win Project professional image Maintain high ethical standards Develop a Product Strategy Product strategy: A plan that helps salespeople make correct decisions concerning the selection and positioning of products to meet identified customer needs. Three prescriptions for the product strategy are become a product expert, sell benefits, and configure value-added solutions. Develop a Customer Strategy Customer strategy is a carefully conceived plan that results in maximum responsiveness to the customer’s needs. The salesperson should develop an understanding of the customer’s buying process, understand buyer behavior, and develop a prospect base. Develop a Presentation Strategy Presentation strategy: A well-developed plan that includes preparing the sales presentation objectives, preparing a presentation plan that is needed to meet these objectives, and renewing one’s commitment to provide outstanding customer service. As a salesperson, you want to prepare objectives, develop presentation plan, and provide outstanding service. Electronic Commerce Electronic commerce: Specific form of e-business that refers to buying and selling activities conducted on the Internet Electronic business (e-business): Involves the use of intranets, extranets, and the Internet to conduct a company’s business. Customer Relationship Management Customer Relationship Management (CRM): Building and maintaining strong customer relationships by using a variety of technologies (software) to enhance customer responsiveness. Complex Sale A complex sale will almost always require the use of several forms of information technology to gather and distribute information to customers. Partnering Era 1990 to present Partnering is the result of several economic forces When products of one company are nearly identical to the competition, the product strategy becomes less important than the relationship, customer, and presentation strategies. The need for customized products or services Partnering Era Today’s customer wants a quality product and a quality relationship A strong partnership serves as a barrier to competing salespeople who want to sell to your accounts Salespeople who are able to build partnerships enjoy more repeat business and referrals It cost four or five times more to get a new customer than to keep an existing one. Partnering Era Partnering: A strategically developed, longterm relationship that solves the customer’s problems. A successful long-term partnership is achieved when the salesperson is able to skillfully apply four major strategies Strategic Alliances– The Highest Form of Partnering Strategic alliance: An alliances often formed by companies that have similar business interests and, thus, gain a mutual competitive advantage. It is not uncommon for a company to form several alliances. Example: Nike and iPod creating the Nike+ shoes Strategic Alliances– The Highest Form of Partnering Building an alliance 1. Learn as much as possible about the proposed partner Alliances that are formed between companies that vary greatly in such areas as customer focus, financial stability, or ethical values will likely fail. 2. Meet with the proposed partner and explore mutual benefits of the alliance Partnering– High Ethical Standards Poor ethical decisions can weaken or destroy partnerships The best way to ensure repeat business is to deal honestly and fairly with every customer