Personal Selling and Sales ManagementLearning ObjectivesOpening VignetteMultiple Roles of SalespeopleThe “Dos” of SalespeopleThe “Don’ts” of SalespeopleTypes of Personal Selling JobsTypes of Personal Selling Jobs (con’t)Slide 9The Sales ProcessSales Management ActivitiesSlide 12Slide 13Slide 14Slide 15Sales Forces Effectiveness ExampleUnethical Sales BehaviorsSalesperson CompetenciesSales Manager CompetenciesSummaryC H A P T E RC H A P T E R© 2007 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/IrwinPersonal Sellingand Sales ManagementPersonal Sellingand Sales Management1919-2© 2007 The McGraw-Hill Companies, Inc. All rights reserved. Bearden Marketing 5th EdLearning ObjectivesLearning ObjectivesLearning ObjectivesLearning ObjectivesAfter studying this chapter, you should be able to: Understand the role and importance of personal selling in the marketing communications mix.See how the key steps in personal selling depend on a relationship perspective. Identify the similarities and differences in the job responsibilities of salespeople and sales managers.Describe the key activities in sales management.Appreciate important ethical issues faced by salespeople and sales managers.19-3© 2007 The McGraw-Hill Companies, Inc. All rights reserved. Bearden Marketing 5th EdOpening VignetteOpening VignetteOpening VignetteOpening VignetteStarted in 1849, Pfizer has grown to be a worldwide pharmaceutical company. Much of this success came under the leadership of CEO William Steere. Steere started as a Pfizer sales representative in San Francisco over 40 years ago.Pfizer is the leading pharmaceutical company in the world, with annual sales in excess of $52 billion. Effective personal selling is one of the keys to Pfizer’s success.19-4© 2007 The McGraw-Hill Companies, Inc. All rights reserved. Bearden Marketing 5th EdContributions Contributions of Personal of Personal SellingSelling to to MarketingMarketingProducing Producing Sales Sales RevenueRevenueMeeting Meeting Buyer Buyer ExpectationsExpectationsProviding Providing Marketplace Marketplace InformationInformationMultiple Roles of SalespeopleMultiple Roles of SalespeopleMultiple Roles of SalespeopleMultiple Roles of Salespeople19-5© 2007 The McGraw-Hill Companies, Inc. All rights reserved. Bearden Marketing 5th EdThe “Dos” of SalespeopleThe “Dos” of SalespeopleThe “Dos” of SalespeopleThe “Dos” of Salespeople Know your product and its competition better than the buyer does. Be a tough, but open, negotiator.Have the backing of your company to make strategic partnerships.Understand the customer’s future plans and offer ideas about how your company can help further them. Be willing to change your processes and products. Offer something unique—a technological change, a new way of delivering, or a large price concession. Get to know all the people interested in the product, from purchasing managers to engineers. Keep on top of potential product problems.Be able to explain how your company plans to improve the quality and reliability of its products.19-6© 2007 The McGraw-Hill Companies, Inc. All rights reserved. Bearden Marketing 5th EdThe “Don’ts” of SalespeopleThe “Don’ts” of SalespeopleThe “Don’ts” of SalespeopleThe “Don’ts” of SalespeopleUse industry buzzwords without knowing what you’re talking about.Portray your company as quality-conscious if it’s not.Focus exclusively on short-term sales goals.Talk about strategic alliances without having the support of your company.Say, “We want your business, and we’ll make it up later.”Try to persuade purchasers to buy something that doesn’t meet their needs. Simply talk pricing or Give a canned presentation.Come without ideas or Know nothing about the competition.Fly by the seat of your pants.Offer products today that you’re not likely to have tomorrow.Roll over dead in negotiations.19-7© 2007 The McGraw-Hill Companies, Inc. All rights reserved. Bearden Marketing 5th EdTechnical Technical SupportSupportTechnical support salespeople have expertise in areas such as design and installation of complex equipment and may provide specialized training to customer employees.Sales SupportSales SupportSales support salespeople are not directly involved in concluding customer purchases. They support the personal product selling function by promoting a product or providing technical support.moreTypes of Personal Selling JobsTypes of Personal Selling JobsTypes of Personal Selling JobsTypes of Personal Selling Jobs19-8© 2007 The McGraw-Hill Companies, Inc. All rights reserved. Bearden Marketing 5th EdExistingExistingBusinessBusinessExisting-business salespeople, sometimes called order takers, includewholesaler reps who follow an established route, writing up fairly routine orders from their customers.NewNewBusinessBusinessMembers of the sales force who concentrate on selling new products or selling to new customers are called new-business salespeople.moreTypes of Personal Selling Jobs Types of Personal Selling Jobs (con’t)(con’t)Types of Personal Selling Jobs Types of Personal Selling Jobs (con’t)(con’t)19-9© 2007 The McGraw-Hill Companies, Inc. All rights reserved. Bearden Marketing 5th EdDirect to Direct to ConsumerConsumerDirect-to-consumer salespeople sell to individuals who personally use the products and services. This category includes over 4.5 million retail salespeople and over a million others who sell residential real estate and financial securities to ultimate consumers. Several additional million direct-to-consumer salespeoplerepresent firms such as Avon, Mary Kay, Tupperware, Creative Memories, Amway, and other direct-selling companies.Types of Personal Selling Jobs Types of Personal Selling Jobs (con’t)(con’t)Types of Personal Selling Jobs Types of Personal Selling Jobs (con’t)(con’t)19-10© 2007 The McGraw-Hill Companies, Inc. All rights reserved. Bearden Marketing 5th EdThe Sales ProcessThe Sales ProcessThe Sales ProcessThe Sales Process19-11© 2007 The McGraw-Hill Companies, Inc. All rights reserved. Bearden Marketing 5th EdSales Management ActivitiesSales Management ActivitiesSales Management ActivitiesSales Management ActivitiesThe starting point for sales management is developing a sales strategy to execute the firm’s marketing strategy, which emphasizes the development of a