Objectives Designing a Sales Force Managing the Sales

Objectives ä Designing a Sales Force ä Managing the Sales Force ä Principles of Personal Selling © 2000 Prentice Hall

When might you decide to use Personal Selling? ä ä ä Tight budget (straight commission) Concentrated Market ä Few buyers ä High value product Product must be customized Personal contact important Must demonstrate product Product involves trade-in/up © 2000 Prentice Hall

S Designing the Sales Force © 2000 Prentice Hall al es fo S rc al e es S o fo al bj rc es ec e fo tiv st rc S es ra e al te st es gy ru fo ct rc ur e e si Sales force compensation ze

Sales Force Structures Territorial Market © 2000 Prentice Hall Product Complexity

Workload Approach to Sales Force Size ä Classify customers by size ä Determine desirable call frequencies ä Determine total sales calls needed per year ä Determine average number of sales calls per sales representative per year ä Divide total by number per rep © 2000 Prentice Hall

Sales Force Compensation ä Fixed ä Variable ä Expense ä Benefits © 2000 Prentice Hall Allowances

Recr Managing the Sales Force uitin © 2000 Prentice Hall Tr gai& S sele ni u cting ng pe sale sa rv s M le isi repr ot s ng esen iv re E sa tativ ati pr va le es ng es lu s sa en ati re le ta ng pr s tiv sa es re es le en pr s ta es re tiv en

Time and Duty Analysis Preparation Administration Travel Selling Food & Breaks Waiting © 2000 Prentice Hall

Sales Representative Motivation Effort Performance Rewards Satisfaction © 2000 Prentice Hall

Evaluating Salespeople Call Reports Work Plan Sources of Information Annual Territory Marketing Plan © 2000 Prentice Hall

Improving Sales Force Trai Effectiveness ning © 2000 Prentice Hall in sale s N R tech eg el niqu ot ati es & iat o prof io ns essi n hi onali sk psm ill b s uil di ng sk

The Zone of Agreement Zone of agreement Seller’s surplus s Seller’s reservation price (seller wants s or more) Seller wants to move x to the right © 2000 Prentice Hall Buyer’s surplus x Final contract $ b Buyer’s reservation price (buyer wants b or less) Buyer wants to move x to the left

Performance Evaluation ä Current-to-Past ä Customer Satisfaction ä Qualitative Evaluation © 2000 Prentice Hall

Steps Step in the Selling Process Knowing How to Meet the Buyer to Get the Relationship Off to a Good Start. Telling the Product “Story” to the Buyer, and Showing the Product Benefits. © 2000 Prentice Hall Identifying and Screening For Qualified Potential Customers. 1. Pros pecti ng and Qual ifyin g

S te p 5. H an dli ng S O te bj p ec 6. ti Cl o. S os ns te in p g 7. F oll o w- Steps in the Selling Process © 2000 Prentice Hall Seeking Out, Clarifying, and Overcoming Customer Objections to Buying. Asking the Customer for the Order. Following Up After the Sale to Ensure Customer Satisfaction and Repeat Business.

Alternative Steps: Find ’em Grab ‘em Show ‘em Answer ‘em Sell ‘em Keep ‘em © 2000 Prentice Hall

Review ä Designing a Sales Force ä Managing the Sales Force ä Principles of Personal Selling © 2000 Prentice Hall