1. CHAPTER PERSONAL SELLING AND SALES MANAGEMENT 19 Copyright © 2012 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin

2. 19-2 LEARNING OBJECTIVES Personal Selling and Sales Management LO1Describe the value added of personal selling. LO2Define the steps in the personal selling process. LO3Describe the key functions involved in managing a sales force. LO4Describe the ethical and legal issues in personal selling.

3. 19-3 Personal Selling

4. 19-4 The Scope and Nature of Personal Selling InternetTelephone Face-to-faceTeleconference

5. 19-5 Professional Selling as a Career People love the lifestyle There is a lot of flexibility There is a lot of variety in the job Can be very lucrative Very visible to management and good for promotions Sales Jobs Website ©Royalty-Free/Corbis

6. 19-6 Not Just Tupperware

7. 19-7 The Value Added by Personal Selling Salespeople Provide Information and Advice Salespeople Save Time and Simplify Buying Salespeople Build Relationships Salespeople Build Relationships ©Royalty-Free/Corbis

8. 19-8 The Personal Selling Process

9. 19-9 Step 1: Generate and Qualify Leads Sources of Leads Current Customers Networking Events The Internet Trade Shows

10. 19-10 Generate Leads Cold callsTelemarketing ©Royalty-Free/Corbis

11. 19-11 Step 2: PreapproachPreapproach Extends the qualification procedure Set goals for what is to be accomplished ©Royalty-Free/Corbis

12. 19-12 Step 3: Sales Presentation and Overcoming Reservations The Presentation Handling Reservations Klaus Tiedge/Blend Images/Getty Images

13. 19-13 Aligning the Personal Selling Process with the B2B Buying Process

14. 19-14 Step 4: Closing the Sale Getting the order Often most stressful part of sales process A “no” one day may be the foundation for a “yes” another Digital Vision/Getty Images

15. 19-15 Step 5: Follow-Up Five Service Quality DimensionsReliabilityResponsivenessAssuranceEmpathyTangibles

16. 19-16 1. Why is personal selling important to an IMC strategy? 2. What are the steps in the personal selling process? Check Yourself

17. 19-17 Managing the Sales Force Sales force structure Recruiting and selecting salespeople Sales training Motivating and compensating salespeople Evaluating salespeople

18. 19-18 Sales Force Structure Company sales force Employees Established product lines Manufacturers representatives Manufacturers representatives (independent agents) Not employees Smaller firms New markets

19. 19-19 Salesperson Duties Order getterOrder takerSales support personnel

20. 19-20 Recruiting and Selecting Salespeople PersonalityOptimismResilience Self- motivation Empathy

21. 19-21 Recruiting for Success How does a firm that focuses on a fun product recruit salespeople who exhibit fun? ©Stockbyte/PunchStock

22. 19-22 Sales Training Selling and negotiation techniquesProducts and service knowledgeTechnologies used in the selling processTime and territory managementCompany policies and procedures

23. 19-23 Motivating and Compensating Salespeople Financial rewards Nonfinancial rewards GRANTLAND® Copyright Grantland Enterprises; wwwgrantlandnetwwwgrantlandnet

24. 19-24 A Motivational Convention

25. 19-25 Evaluating Salespeople Tied to the reward structure Evaluation measures can be either objective or subjective BananaStock/PictureQuest

26. 19-26 1. What do sales managers need to do to successfully manage their sales force? 2. What is the difference between monetary and nonmonetary incentives? Check Yourself

27. 19-27 Ethical and Legal Issues in Personal Selling The Sales Manager and the Sales Force The Sales Force and Corporate Policy The Salesperson and the Customer

28. 19-28 Issues for the Sales Force and Corporate Policy The firm may have a policy to sell goods or services to people who cannot afford them or to people who should not have them. AP Photo/Charlie Riedel

29. 19-29 Issues for the Sales Person and the Customer Have you ever felt that you were treated unethically by a salesperson? What happened? Royalty-Free/CORBIS

30. 19-30 1. What are three areas of personal selling in which ethical and legal issues are more likely to arise? Check Yourself

31. 19-31 Return to slide Cold calls are a method of prospecting in which sales people telephone or go to see potential clients without appointments. Glossary

32. 19-32 Return to slide A company sales force comprises people who are employees of the selling company. Glossary

33. 19-33 Return to slide Manufacturer’s representatives are sales people who sell a manufacturer’s products on an extended contract basis but are not employees of the manufacturer. Glossary

34. 19-34 Return to slide An order getter is a salesperson whose primary responsibilities are identifying potential customers and engaging those customers in discussions to attempt to make a sale. Glossary

35. 19-35 Return to slide An order taker is a salesperson whose primary responsibility is to process routine orders or reorders or rebuys for products. Glossary

36. 19-36 Return to slide The preapproach occurs prior to meeting the customer for the first time and extends the qualification of leads procedure. Glossary

37. 19-37 Return to slide Relationship selling is a sales philosophy and process that emphasizes a commitment to maintaining the relationship over the long term and investing in opportunities that are mutually beneficial to all parties. Glossary

38. 19-38 Return to slide Telemarketing is a method of prospecting in which sales people telephone potential customers without appointments. Glossary

39. 19-39 Return to slide Trade shows are attended by buyers who choose to be exposed to products and services offered by potential suppliers in an industry. Glossary