Personal Selling and Direct MarketingLearning GoalsCase Study CDW CorporationPersonal SellingSlide 5Slide 6The Personal Selling ProcessSlide 8DefinitionBenefits of Direct MarketingSlide 11Direct MarketingSlide 13Personal Selling and Direct MarketingChapter 1616 - 2Learning Goals1. Understand the role of a company’s salespeople in creating value. 2. Know the six major sales force management steps. 3. Understand the personal selling process, and how to distinguish between transaction-oriented marketing and relationship marketing.4. Learn about direct marketing and its benefits to customers and companies.5. Know the major forms of direct marketing.16 - 3Case StudyCDW Corporation•Nation’s largest reseller of technology products and services to small and mid-size businesses•Sales up 21% and profits up 17% annually•Highly devoted to customer with “Circle of Service” philosophy•Clicks and people direct marketing strategy combines personal selling with strong Web presence•Salespeople are highly knowledgeable•Training is extensive16 - 4Personal SellingThe Nature of Personal SellingSalesperson covers a wide range of positions from order taker to order getter responsible for relationship buildingGoal 1: Understand the role of the salespeople in creating value16 - 5Salespeople Have Many NamesPersonal Selling•Agents•Sales Consultants•Sales Representatives•Account Executives•Sales Engineers•District Managers•Marketing Representatives•Account Development RepresentativesGoal 1: Understand the role of the salespeople in creating value16 - 6Personal SellingThe Role of the Sales ForceTwo-way personal communicationMore effective than advertising in complex selling situationsThe sales force plays a major role in most companiesThe sales force represents the company to customersThey also represent the customers to the companyGoal 1: Understand the role of the salespeople in creating value16 - 7The Personal Selling ProcessProspecting and QualifyingProspecting: identifying potential customersQualifying: Screening leadsPreapproachLearning as much as possible about a prospective customer prior to making a sales callApproachStage where the salesperson meets the customer for the first timeGoal 3: Understand the personal selling process16 - 8The Personal Selling ProcessPresentation and DemonstrationBenefits of the product are presented/demonstratedUnderstanding prospect needs is keyHandling Objections and ClosingAsking for the orderFollow-upHelps ensure customer satisfactionGoal 3: Understand the personal selling process16 - 9DefinitionDirect MarketingConsists of direct one-to-one connections with carefully targeted individual consumers to both obtain an immediate response and cultivate lasting customer relationships.Goal 4: Learn about direct marketing and its benefits16 - 10Benefits of Direct MarketingFor Buyers:ConvenientEasy to usePrivate Access to a wealth of informationImmediate InteractiveGoal 4: Learn about direct marketing and its benefits16 - 11Benefits of Direct MarketingFor SellersPowerful tool for building relationshipsAllows for targeting of small groups or individuals with customized offers in a personalized fashionCan be timed to reach prospects at the right timeOffers access to buyers that couldn’t be reached via other channelsLow-cost, effective alternative for reaching specific marketsGoal 4: Learn about direct marketing and its benefits16 - 12Direct MarketingCustomer Databases & Direct MarketingDatabases include comprehensive data including geographic, demographic, psychographic and behavioralDatabases can be used to identify prospects, tailor products, and maintain customer relationshipsDatabase marketing requires substantial investment in hardware, software, personnelGoal 5: Know the major forms of direct marketing16 - 13Direct MarketingIntegrated Direct MarketingPublic Policy and Ethical Issues Irritation, Unfairness, Deception, and FraudInvasion of PrivacyGoal 5: Know the major forms of direct