It describes the combination of four ingredients that constitute the core a company’s marketing system.

Four Ingredients: Product Distribution Price Promotion

Marketing Mix

Place/Distribution

PromotionPricesProduct

Advertising Public Relations

Personal Selling

Sales Promotion Internet

Sales ManagementPlanning MotivatingBudgeting CompensatingRecruiting & Selecting Designing TerritoriesTraining Evaluating Performance

Positions of Personal Selling and Sales Management in the Marketing Mix

Promotional activities form a separate sub mix that we call the Promotional Mix.

Major Elements: Company’s Advertising Sales Promotion Personal Selling Effort

Sales People must develop close long-term relationships with their problems. These relationship are built on :

Cooperation

Trust

Commitment

Sharing Information

The process by which the firm builds close & long-term relationship with customers for purpose of creating mutual competitive advantages

Relationship Marketing or Relationship Selling

Whereby salespeople focus on the immediate one-time sale of the product.

Transaction-Oriented

•Get new accounts•Get the order•Cut the price to get the sale•Manage all accounts to maximize short term sales•Sell to anyone

Relationship-Oriented•Retain existing accounts•Become the preferred supplier•Price for profit•Manage each account for long term profit•Concentrate on high profit potential accounts

1. Driver-salesperson

•A position in which the salesperson primarily delivers the product – for example, softdrinks, milk,fuel.The selling responsibilities are secondary; few of these people originate sales.

2. Inside order taker

•A position in which the salesperson is primarily an inside order taker – for example, the retail clerk standing behind the counter.

3. Outside order taker•A position in which the salesperson is primarily an outside order taker going to the customer outside the field. The primary responsibility of the reps is to ensure that their products are getting as much shelf space and promotional attention as possible.

4. Missionary sales person•A sales job intended to build goodwill, perform promotional activities, and provide information and other services for the customers. They are not expected or permitted to solicit an order.

5. Sales engineer•A position in which an engineer provides technical advice or assistance with regard to the products and their application to the customers process.

6. Consultative salesperson, tangible goods•A position that involves the consultative selling of tangible goods. This job is often is difficult because the salesperson must thoroughly understand their customers business

7. Consultative salesperson, services and other intangibles•A position that calls for selling intangibles. This requires that sales people understand their customer’s needs. They must be able to demonstrate how these services or ideas will contribute to the customers’ profit or well being.

Driver Sales person

Inside Order Taker

Outside Order Taker

Missionary Sales Person

Sales Engineer

Consultative Sales Person: Tangible Products

Consultative Sales Person: Intangible Products

Sales Facilitation

Sales Support

Sales Development

•The Sales Force is largely responsible for implementing a firm’s marketing strategies in the field

•Sales People are among the few employees authorized to spend company funds

•Sales People represent their company to their customers and to society in general

•Sales People represent the customer to their companies

Sales Representatives operate with little or no direct supervision and require a high degree of motivation

Sales Person needs more tact and social intelligence than other employees on the same level in the organization

Sales jobs frequently require considerable travel and time away from home and family

The primary responsibility of a Sales Manager is to staff the organization with the right people.

Developing a more detailed understanding of a customers business Treating Sales People as equal and working in partnership with

them to achieve profitability and customer satisfaction Applying flexible motivational tools to a hybrid sales force. Keeping up to date on the latest technologies affecting buyer-

seller relationships. Working closely with other internal department Continually seeking ways to exceed customer expectations and

bring added value to the buyer-seller relationship Creating a flexible learning and adapting environment

One of the ironies of sales force management is that sales manager were usually promoted into executive ranks because of their talents as sales people.

But their success or failure is depended on their administrative skills – skills that may or not have been developed during their time as sales reps.

Although many people with outstanding technical abilities make good administrators, there is considerable evidence that sales talent alone does not make a good manager.

The continuing growth of management development programs indicates that there is a body management knowledge that can be taught and learned.

President

Vice – President of Sales

National Sales Manager

Regional/Divisional Sales Manager

District Sales Manager

Sales Supervisor

Sales PersonStaff Assistant

available for advises and support at any

step along the ladder

The executive ladder in personal selling

President

Vice President

of Marketing

Client-Team leader

Product engineer

Distribution logistics specialist

Customer sales/force

representative

The executive ladder in team selling

Since sales people work away from the company’s facilities , problems like:

Sales managers cannot directly supervise each rep’s work in person on a daily basis

Sales manager cannot regularly spend one on one time with the sales people that makes it harder to motivate them.

Evaluating sales rep’s performance Difficult to monitor the ethical behavior of sales reps Sales managers face morale problem among outside

sales people.

Salespeople help stimulate the economy

Salespeople help with the diffusion of innovation

Salespeople generate revenue

Salespeople provide market research and customer feedback

Salespeople become future leaders in the organization

Salespeople provide solutions to problems

Salespeople provide expertise and serve as information resources

Salespeople serve as advocates for the customer when dealing with the selling organization

Stimulus Response Selling

Mental States Selling Need Satisfaction

Selling Problem Solving

Selling

Salesperson Provides

Stimuli

BuyerResponses

Sought

Continue Process until

Purchase Decision

Attention Interest Conviction Desire Action

Uncover and Confirm

Buyer Needs

Present Offering to

Satisfy Buyer Needs

Continue Selling until

Purchase Decision

DefineProblem

GenerateAlternativeSolutions

ContinueSelling

untilPurchaseDecision

EvaluateAlternativeSolutions

In order to be successful in today’s global business environment, salespeople must have a solid relationship building foundation. They must:

Possess Excellent Communication SkillsPossess Excellent Communication Skills

Understand Buyer BehaviorUnderstand Buyer Behavior

Behave EthicallyBehave Ethically

Be TrustworthyBe Trustworthy

In order to be successful in today’s global business environment, salespeople must also think and act strategically. The must develop strategies for:

Their Sales Territories

Each Sales Call

Each Customer

Each strategy is related to the other

Adding Value through Follow-up, Self-leadership, and Teamwork

• Prospecting• Preapproach• Presentation Planning• Approaching the Customer

• Sales Presentation Delivery • Earning Customer Commitment

Developing Customer

Relationships

Initiating Customer

Relationships

Enhancing Customer

Relationships