* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
Download Principles of Marketing - Lecture 10
Online shopping wikipedia , lookup
Customer experience wikipedia , lookup
Marketplace Fairness Act wikipedia , lookup
Music industry wikipedia , lookup
Food marketing wikipedia , lookup
Social media marketing wikipedia , lookup
Neuromarketing wikipedia , lookup
Customer relationship management wikipedia , lookup
Product planning wikipedia , lookup
Target audience wikipedia , lookup
Affiliate marketing wikipedia , lookup
Customer engagement wikipedia , lookup
Marketing research wikipedia , lookup
Marketing communications wikipedia , lookup
Sports marketing wikipedia , lookup
Ambush marketing wikipedia , lookup
Youth marketing wikipedia , lookup
Target market wikipedia , lookup
Digital marketing wikipedia , lookup
Marketing channel wikipedia , lookup
Guerrilla marketing wikipedia , lookup
Marketing strategy wikipedia , lookup
Viral marketing wikipedia , lookup
Integrated marketing communications wikipedia , lookup
Multicultural marketing wikipedia , lookup
Advertising campaign wikipedia , lookup
Marketing plan wikipedia , lookup
Green marketing wikipedia , lookup
Sensory branding wikipedia , lookup
Global marketing wikipedia , lookup
Street marketing wikipedia , lookup
Direct marketing wikipedia , lookup
Marketing mix modeling wikipedia , lookup
Lecture 10 Principles of Marketing Theocharis Katranis Spring Semester 2013 Principles of Marketing 1 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Today’s Lecture 1. We will discuss the role of a company’s salespeople in creating value for customers and building customer relationships. 2. We will identify and explain the six major sales force management steps. 3. We will discuss the personal selling process, distinguishing between transaction-oriented marketing and relationship marketing. 4. We will explain how sales promotion campaigns are developed and implemented. 5. We will define direct marketing and discuss its benefits to customers and companies. 6. We will identify and discuss the major forms of direct marketing 7. We will discuss online Marketing. 8. We will overview the public policy and ethical issues presented by direct marketing. Principles of Marketing 2 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Personal Selling Definition: It is the personal presentation by the firm’s sales force for the purpose of making sales and building customer relationships. Principles of Marketing 3 Theocharis Katranis, MBA, Spring Semester 2013 Lecture 10 Personal Selling Salesperson - Definition It is An Individual representing a company to customers by performing one or more of the following activities: Prospecting, communicating, selling, servicing, information gathering, and relationship building. Principles of Marketing 4 Theocharis Katranis, MBA, Spring Semester 2013 Lecture 10 Personal Selling Salespeople Characteristics Nowadays, most salespeople are well-educated, well-trained professionals who add value for customers and maintain long-term customer relationships. They listen to their customers, assess customer needs, and organize the company’s efforts to solve customer problems. Principles of Marketing 5 Theocharis Katranis, MBA, Spring Semester 2013 Lecture 10 Personal Selling The Role of the Sales Force Salespeople represent the company to customers. Salespeople find and develop new customers. Salespeople sell products by approaching customers, presenting their products, answering objections, negotiating prices and terms, and closing sales. Principles of Marketing 6 Theocharis Katranis, MBA, Spring Semester 2013 Lecture 10 Personal Selling Managing the Sales Force It is the analysis, planning, implementation, and control of sales force activities. It includes designing sales force strategy and structure and recruiting, selecting, training, supervising, compensating, and evaluating the firm’s salespeople. Principles of Marketing 7 Theocharis Katranis, MBA, Spring Semester 2013 Lecture 10 Personal Selling Designing Sales Force Strategy and Structure 1. Territorial Sales Force Structure 2. Product Sales Force Structure 3. Customer Sales Force Structure Principles of Marketing 8 Theocharis Katranis, MBA, Spring Semester 2013 Lecture 10 Personal Selling Designing Sales Force Strategy and Structure 1. Territorial Sales Force Structure It is a Sales Force organization that assigns each salesperson to an exclusive geographic territory in which that salesperson sells the company’s full line. Principles of Marketing 9 Theocharis Katranis, MBA, Spring Semester 2013 Lecture 10 Personal Selling Designing Sales Force Strategy and Structure 2. Product Sales Force Structure It is a Sales Force organization under which salespeople specialize in selling only a portion of the company’s products or lines. Principles of Marketing 10 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Personal Selling Designing Sales Force Strategy and Structure 3. Customer Sales Force Structure It is a Sales Force organization under which salespeople specialize in selling only to certain customers or industries. Principles of Marketing 11 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Personal Selling Outside and Inside Sales Force People Outside Sales Force are salespeople who travel to call on customers in the field. Inside Sales Force are salespeople who conduct business from their offices via telephone, the internet, or visits from prospective buyers. Principles of Marketing 12 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Personal Selling Recruiting and Selecting Salespeople The four key salespeople talents: 1. Intrinsic Motivation 2. Disciplined Work Style 3. The ability to close a sale 4. The ability to build relationships with the customers Principles of Marketing 13 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Personal Selling Training Sales People Companies Train their sales people via seminars, sales meetings, and Web elearning. Principles of Marketing 14 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Personal Selling Compensating Salespeople Companies can compensate good salespeople with salary increase, commissions, or bonuses based on sales performance. Principles of Marketing 15 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Personal Selling Supervising and Motivating Salespeople Supervision is to help salespeople to do the right thing in the right way. Motivation is to encourage salespeople to work hard and energetically towards sales force goals. Principles of Marketing 16 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Personal Selling Evaluating Salespeople and Sales-Force Performance Companies Evaluate their Salespeople via: 1. Sales Reports – Weekly/ Monthly 2. Call Reports 3. Expenses Report 4. Comments from customers Principles of Marketing 17 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 The Personal Selling Process Principles of Marketing 18 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 The Personal Selling Process 1. Prospecting and Qualifying It is the step in the selling process in which the salesperson or company identifies qualified potential customers. Principles of Marketing 19 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 The Personal Selling Process 2. Preapproach It is the step in the selling process in which the salesperson learns as much as possible about a prospective customer before making a sales call. Principles of Marketing 20 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 The Personal Selling Process 3. Approach It is the selling process in which the salesperson meets the customer for the first time. Principles of Marketing 21 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 The Personal Selling Process 4. Presentation It is the step in the selling process in which the salesperson tells the “value story” to the buyer, showing how the company’s offer solves the customer’s problems. Principles of Marketing 22 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 The Personal Selling Process 5. Handling Objections It is the step in the selling process in which the salesperson seeks out, clarifies, and overcomes customer objections to buying. Principles of Marketing 23 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 The Personal Selling Process 6. Closing It is the step in the selling process in which the salesperson asks the customer for an order. Principles of Marketing 24 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 The Personal Selling Process 7. Follow-up It is the last step in the selling process in which the salesperson follows up after the sale to ensure customer satisfaction and repeat business. Principles of Marketing 25 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Sales Promotion Definition: Sales Promotion are short-term incentives to encourage the purchase or sale of a product or service. Principles of Marketing 26 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Sales Promotion Objectives: 1. To urge short-term customer buying 2. To reinforce the product’s position. 3. To build long-term customer relationships. Principles of Marketing 27 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Sales Promotion Major Sales Promotion Tools for Consumers 1. Samples 2. Coupons 3. Refunds 4. Premiums Sales Promotion tools are used to boost short-term customer buying and involvement or to enhance long-term customer relationships. Principles of Marketing 28 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Sales Promotion Major Sales Promotion Tools for Trade 1. Price-offs 2. Allowances 3. Buy-back guarantees 4. Free Goods Sales Promotion tools used to persuade resellers to carry a brand, give it shelf space, promote it in advertising, and push it to consumers. Principles of Marketing 29 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Sales Promotion Major Sales Promotion Tools for Business 1. Conventions and Trade Shows 2. Sales Contests Business Sales Promotion Tools are used to generate business leads, stimulate purchases, reward customers, and motivate salespeople. Principles of Marketing 30 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Sales Promotion Developing the Sales Promotion Program Marketers must decide: 1. On the size of the incentive i.e big or small incentive 2. Conditions for participation i.e to everybody 3. How to promote and distribute the promotion program itself i.e. a $2-off coupon could be given out in a package, at the store, via internet, or in an advertisement. 4. On the length of the incentive i.e. for a Long or short period of time Principles of Marketing 31 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Sales Promotion Developing the Sales Promotion Program Marketers should work to measure the returns on their sales promotion investments. A Marketer must define the sales promotion objectives, select the best tools, design the sales promotion program, implement the program, and evaluate the results. Principles of Marketing 32 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Direct and Online Marketing: Building Direct Customer Relationships Direct Marketing – Definition: It is the action of connecting directly with carefully targeted individual consumers to both obtain an immediate response and cultivate lasting customer relationships. Principles of Marketing 33 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Direct and Online Marketing: Benefits to Customers 1. It is Convenient / Easy / Private. 2. Direct Information for products, companies and competitors. 3. It is interactive (Buyers can interact with sellers) and immediate. Principles of Marketing 34 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Direct and Online Marketing: Benefits to Companies 1. It is a powerful tool to build customer relationship 2. It is a low-cost, efficient and speedy alternative for reaching their markets I.e. Telemarketing, Direct Mail, Company Web site. 3. It helps in order processing, inventory handling and delivery. 4. It helps marketers to make ongoing adjustments to their prices and other offers. Principles of Marketing 35 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Direct and Online Marketing: Forms of Direct Marketing Principles of Marketing 36 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Direct and Online Marketing: Direct-mail marketing is the direct marketing by sending an offer, announcement, reminder, or other item to a person at a particular physical or virtual address. Catalog marketing is the direct marketing through print, video, or digital catalogs that are mailed to select customers, made available in stores, or presented online. Telephone marketing is the use of the telephone to sell directly to customers. Direct-response television marketing is direct marketing via television, including direct-response television advertising (or infomercials) and home shopping channels. Principles of Marketing 37 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Online Marketing Definition: Online marketing is the Company’s efforts to market products and services and build customer relationships over the internet. Internet – Definition: Internet is a vast public web of computers networks that connects users of all types all around the world to each other and to an amazingly large “Information Repository”. Principles of Marketing 38 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Online Marketing Nowadays, companies realized the importance of internet and almost have their own web sites. Companies may use a lot of online search engines to find the information they need. Many companies set their own online sales and communication channels. Principles of Marketing 39 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Online Marketing Domains E-mails, Web sites, Catalogs Exchange Info Principles of Marketing 40 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Public Policy Issues in Direct Marketing 1. Irritation, Unfairness, Deception and Fraud i.e. TV commercials too long, too insistent / our mailboxes fill up with unwanted junk mail. 2. Invasion of Privacy i.e. companies record consumers info and characteristics and marketers use them later on for their selling efforts. Principles of Marketing 41 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Summary - Lecture 10 1. We discussed the role of a company’s salespeople in creating value for customers and building customer relationships. 2. We identified and explained the six major sales force management steps. 3. We discussed the personal selling process, distinguishing between transaction-oriented marketing and relationship marketing. 4. We explained how sales promotion campaigns are developed and implemented. 5. We defined direct marketing and discuss its benefits to customers and companies. 6. We identified and discuss the major forms of direct marketing 7. We discuss online Marketing. 8. We overviewed the public policy and ethical issues presented by direct marketing. Principles of Marketing 42 Theocharis Katranis, MBA Spring Semester 2013 Lecture 10 Chapters 16 and 17 END of Lecture 10 Thank you for your attention Principles of Marketing 43 Theocharis Katranis, MBA Spring Semester 2013