Personal Selling and the Marketing Concept Chapter 1 Personal Selling and the Marketing Concept

LEARNING OBJECTIVES Describe economic contributions of selling Define personal selling Describe the evolution of selling Define strategic selling Name four broad selling model strategies Define and discuss partnering Describe personal benefits of selling skills

DEFINITION OF PERSONAL SELLING Personal Selling is a process of developing customer relationships, discovering customer needs, matching appropriate products with these needs, and communicating benefits through informing, reminding, and/or persuading.

PHILOSOPHIES OF SELLING PARTNERING VERSUS PEDDLING Focus on satisfying customer needs Evolved from marketing concept Emphasis on customer service/long-term relationships Practices ethical/win-win Becoming the standard Focus on pushing products Evolved from production concept Emphasis on closing a sale/finding new customers Produces caveat emptor Still practiced by some

Strategic/Consultative Selling Model FIGURE 1.1: SELLING MODEL Strategic/Consultative Selling Model Strategic step Prescription DEVELOP A PERSONAL SELLING PHILOSOPHY ADOPT MARKETING CONCEPT VALUE PERSONAL SELLING BECOME A PROBLEM SOLVER /PARTNER

TABLE 1.1: Evolution of Personal Selling Evolution of Personal Selling (1950 to Present) SALES & TIME IMPORTANT SELLING MARKETING EMPHASIS PERIOD EVENTS EMPHASIS Marketing Era Begins mid “50s 1957-McKetterick Salespeople collect Focus on customer vs. product Info age begins customer information Consultative Selling Era late “60s ”Counselor Selling” Identify buyer needs Focus on target vs. mass markets early “70s 1973-”Consultative Information & negotiation Selling” replace manipulation Strategic Selling Era early “80’s 1985-”Strategic Selling”Strategy & tactics More focus on market niches Partnering Era ‘90s “Lifetime customer” Customer drives the sale Focus on individual customers “Partnering: Total quality relationships The Heart of Selling Today”

FIGURE 1.2: MARKETING MIX Product Place Price Promotion

FIGURE 1.3: PRESENTATION GUIDE Selection of product Need satisfaction presentation Need discovery Servicing the sale

FIGURE 1.4: SELLING MODEL EXTENDED Strategic/Consultative Selling Model Strategic step Prescription ADOPT MARKETING CONCEPT VALUE PERSONAL SELLING BECOME A PROBLEM SOLVER/PARTNER ADOPT DOUBLE WIN PHILOSOPHY PROJECT PROFESSIONAL IMAGE MAINTAIN HIGH ETHICAL STANDARDS BECOME A PRODUCT EXPERT ADOPT FEATURE/BENEFIT PROCESS POSITION PRODUCT UNDERSTAND BUYER BEHAVIOR DISCOVER CUSTOMER NEEDS DEVELOP PROSPECT BASE PREPARE OBJECTIVES DEVELOP PRESENTATION PLAN PROVIDE OUTSTANDING SERVICE DEVELOP A PERSONAL SELLING STRATEGY DEVELOP A RELATIONSHIP STRATEGY PRODUCT STRATEGY CUSTOMER STRATEGY PRESENTATION STRATEGY Place Promotion Product Place

FIGURE 1.5: CUSTOMER STRATEGY LOOP Information Sales staff at Baxter Healthcare Medical personnel and buyers Information

FIGURE 1.6: BASIC STRATEGIES RELATIONSHIP STRATEGY BUILDING QUALITY PARTNERSHIPS PRODUCT STRATEGY PRESENTATION STRATEGY CUSTOMER STRATEGY