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CHAPTER

Selling Today

10th Edition

Manning and Reece

Personal Selling and the Marketing Concept

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Definition of Personal Selling

Person-to-person communication with a prospect Personal selling is a process of Developing relationships Discovering needs Matching products with needs Communicating benefits Viewed as a process that adds value

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Strategic/Consultative Selling Model

FIGURE

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Personal Selling in the Information Age

An evolution from the industrial economy to the information economy Began in the 1950s New emphasis is information exchange rather than producing goods Implications for personal selling

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A Shift in Emphasis
Industrial economy
Advances occur in transportation and manufacturing Strategic resources are capital and natural resources Products and factories define the business Sales success means meeting sales quotas

Information economy
Advances occur in information technology Strategic resource is information Business is defined by customer relations Sales success depends on adding value
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Personal Selling as an Extension of the Marketing Concept

Move from a product orientation (peddling) to a customer orientation (partnering)

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The Marketing Mix

FIGURE

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Important Role of Personal Selling

Often the major promotional method Firms invest in personal selling Personal selling has evolved because:
Products and services are more complex Competition has greatly increased Customer demand for quality, value, and service has risen sharply
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Evolution of Consultative Selling

Features of consultative selling include:
Customer is a person to be served, not a prospect to be sold Two-way communication identifies (diagnoses) customers needs; no highpressure sales presentation Emphasis on information giving, problem solving, and negotiation rather than manipulation Emphasis on service after the sale
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Strategy and Tactics

Tactics
Specific techniques, practices, and methods used in customer interaction

Strategy
Carefully conceived plan needed to accomplish sales objectives A prerequisite to tactical success
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Strategy vs. Tactics Exercise

Strategy Tactic

Identify the following: Use a fact sheet comparing your product to the competition Analyze the features of your leading competitors

Use specific questions to diagnose needs Analyze a territory to determine those with specific needs
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Selling Model

FIGURE

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Step

Develop a Personal Selling Philosophy

Adopt the marketing concept Value personal selling Assume the role of a problem
solver/partner
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Step

Develop a Relationship : Strategy

Adopt a win-win philosophy Project a professional image Maintain high ethical standards
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Step

Develop a Product Strategy

Become a product expert Sell benefits, not features Configure value-added solutions
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Step

Develop a Customer Strategy

Understand the buying process Understand buyer behavior Develop prospect base
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Step

Develop a Presentation : Strategy

Prepare objectives Develop a presentation plan Provide outstanding service

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E-Commerce and the Complex Sale

Electronic business
Complex sales involve several forms of information technology support, including:
Electronic product catalogs Contact management systems PowerPoint and Excel Internet applications

Electronic commerce
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Evolution of Partnering
Buzzword of 1990s, became business reality in 2000s Strategically developed, long-term relationship that solves the customers problems Relationship selling relies on a customized approach to each client Enhanced with high ethical standards and CRM
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Value Creation
Value-added selling = creative improvements that enhance customer experience The information economy rewards salespeople who add value at each step When customer is not aware of value added by salespeople, the focus may shift to price
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