personal selling the salesperson is the first personal

personal selling the salesperson is the first personal contact between company and customer !!! roles of the salesperson: • ordertaker • ordergetter • missionary selling • representing the company • to the customers • representing the customer • to the compagny • eyes and ears of the • company in the market • the sales team is the central force in relationship marketing

sales force management: analysis planning implementation control sales force objectives : prospecting: find new customers communicating selling servicing: technical assistance arranging finance problem solving information gathering

sales force strategy direct or company sales force inside sales people field (outside) sales people contractual sales force

Approach > > > > one to one interaction presentation group presentation seminar selling telemarketing team selling ( large complex accounts) key account management

sales force structure territorial sructure one person in a geographical area for all products product structure one person for one product (line) customer structure one person customer contact (account management)

paying the sales force straight salary + easy - no discrimination straight commission + strong incentive - high pressure selling salary plus bonus + non selling tasks becom attractive - could seen as unfair salary plus commission combines 1 and 2

recruting salespeople desirable traits in a salesperson * * salespeople trainings cover the principals of selling the chief sales arguments field procedures time management preparing reports

steps in selling process ¤ ¤ ¤ ¤ prospecting and qualifing preapproach presentation and demonstration handling objections closing the sale follow-up think of cultural differences when selling in other countries

supervision = directing, motivating and evaluation directing developing customer targets call norms helping with time-management motivation by organizational climate setting of sales quotas positive incentives

evaluation most information comes from the sales reports other sources: customers observation other salespeople ways of evaluation: comparing salespeople time analysis qualitative evaluation

Direct Marketing

Direct marketing • ‘Direct marketing is marketing through various advertising media that interact directly with consumers, generally calling for the consumer to make a direct response. ’ – Source: Kotler, Ch 22, p. 784

Direct marketing • Direct ordering. Intermediaries are removed from the equation: this may not cut costs, but will improve communications. • Information giving. Direct mail opens channels of communication by eliciting responses. • Visit generation. Encouraging potential customers to visit stores, showrooms and so forth. • Trial generation. Direct mail may encourage potential customers to request a demonstration or product trial.

Benefits of direct marketing • • Convenient and effective. Easy and private. Offers shoppers greater access and selection. Process is interactive, especially on-line marketing. Information is immediate when using on-line marketing. Powerful tool for customer relationship building. Access to global market. Offers sellers a low cost, fast and efficient alternative for reaching markets.

Growth • Fastest growing form of marketing. • Total direct marketing expenditure in Europe grew from Euro 31, 725 million in 1997 to Euro 46, 330 million by 2002 (WARC, 2004).

Customer databases and direct marketing • Companies must distinguish between: transaction-based databases – purpose of billing and getting money back • custom-built databases – information about customers that leads to the serving and satisfying of these customers

Database uses • to allow companies to locate good prospects and commercial opportunities. • to develop customer profiles. • to deepen customer loyalty through innovative personalised communications.

Public policy and ethical issues in direct marketing • • • irritation factors unfairness deception fraud invasion-of-privacy issues

• Geographic • Demographic • Geodemographic • Psychographic • Behavioural

• Region • Country size • City size • Population density • Climate back

• Life cycle stage • Income • Occupation • Education • Religion back

ACORN and PIN back

Social classes

Lifestyles Personality back

Based on: Consumer knowledge attitude use response Like: Occasions, benifits sought, buyer-readiness stage

A segment should be: • Accessible • Substantial • Measurable • Actionable • Structural attractive • Fit the company

You have a product, You found a segment, your target group, but, You are not alone !!

Differentiation along: Product Services Personnel Value offered Image

You have a product, You have a target market you have a difference

Positioning is not about the product…. It is about what people think of the product