Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations

Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations Selling Center—Primary Goals The acquisition and processing of pertinent marketing-related information. Execution of selling strategies. Fig Relationship Management Processes in Business Marketing

Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations Relationship Quality—Two Dimensions 1.Trust in the salesperson. 2.Satisfaction with the salesperson.

Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations Typical Sales Cycle: Tasks Performed Throughout the Sales Process Lead GenerationTriggered by a sales call, a customer’s response to direct mail, or by a request for information through a Web site, an initial contact with a prospect is made. Lead QualificationPotential customer is screened: the prospect’s need for the product or service, buying interest, funding, and timeframe for making the purchase. Bid and ProposalPreparation of bid and proposal to meet customer’s requirements (a complex task for large technical projects). Negotiation and Sales ClosureThe negotiation of prices, terms, and conditions, followed by agreement on a binding contract. FulfillmentFor standardized product or service, delivery of offering to customer. Configuration, customization, and installation for more complex sales. Customer Care and SupportPost-sale problem resolution, customer guidance, and ongoing contact to insure customer retention, loyalty, and growth.

Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations Components of Sales Force Management 1.Methods for organizing the sales force, 2.Key account management, 3.The requirements for successful sales force administration, 4.Models that can be employed in deploying the industrial sales force.

Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations Organizing the Personal Selling Effort Geographical Organization The most common form. By reducing travel distance and time between customers, this method usually minimizes costs. Major disadvantage of the geographical sales organization is that each salesperson must be able to perform all of the selling tasks for all of the firm’s products and for all customers in a particular territory. Product Organization One in which salespersons specialize in relatively narrow components of the total product line. A prime benefit of this approach is that it enables the sales force to develop a level of product knowledge that enhances the value of the firm’s total offering to customers. Market-Centered Organization By learning the specific requirements of a particular industry or customer type, the salesperson is better prepared to identify and respond to buying influentials.

Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations Sales Administration Involves: Recruiting and selecting salespersons, Training, Motivating, Supervising, Evaluating, and Controlling the sales force.

Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations Orville Walker Jr., Gilbert Churchill Jr., and Neil Ford define motivation as; The amount of effort the salesperson “desires to expend on each of the activities or tasks associated with his (her) job, such as calling on potential new accounts, planning sales presentations, and filling out reports. Determinants of a Salesperson’s Performance

Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations Two Types of Rewards 1.Internally mediated rewards 2.Externally mediated rewards

Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations Job Satisfaction: Managerial Implications Salespersons tend to have a higher level of job satisfaction when; 1.they perceive that their first-line supervisor closely directs and monitors their activities, 2.management provides them with the assistance and support needed to meet unusual and nonroutine problems, 3.they perceive themselves to have an active part in determining company policies and standards that affect them.

Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations A critical sales management task: deploying the sales force. Deployment Decisions Facing Sales Organizations

Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations Three Territory Traits For Sales Response Studies Potential is a measure of the total business opportunity for all sellers in a particular market. Concentration is the degree to which potential is confined to a few larger accounts in that territory. Dispersed—sales will probably be lower due to time wasted in travel.

Copyright © 2004 by South-Western, a division of Thomson Learning, Inc. All rights reserved. Developed by Cool Pictures and MultiMedia Presentations Deployment analysis matches sales resources to market opportunities. A sales resource opportunity grid can be used to classify the industrial firm’s portfolio of PCU’s. PCU opportunity is the total potential that the PCU represents for all sellers. Sales organization strength includes the competitive advantages or distinctive competencies that the firm enjoys within the PCU. Sales Resource Opportunity Grid