Chapter 1 Personal Selling and the Marketing Concept learning objectives

Chapter 1

• Personal Selling and the Marketing Concept

LEARNING OBJECTIVES

• Describe economic contributions of selling
• Define personal selling
• Describe the evolution of selling
• Define strategic selling
• Name four broad selling model strategies
• Define and discuss partnering
• Describe personal benefits of selling skills

DEFINITION OF PERSONAL SELLING

• Personal Selling is a process of developing customer relationships, discovering customer needs, matching appropriate products with these needs, and communicating benefits through informing, reminding, and/or persuading.

PHILOSOPHIES OF SELLING

• Focus on satisfying customer needs
• Evolved from marketing concept
• Emphasis on customer service/long-term relationships
• Practices ethical/win-win
• Becoming the standard

• Focus on pushing products
• Evolved from production concept
• Emphasis on closing a sale/finding new customers
• Produces caveat emptor
• Still practiced by some

• PARTNERING VERSUS PEDDLING

FIGURE 1.1: SELLING MODEL

• Strategic/Consultative Selling Model

• Strategic step

• Prescription

• DEVELOP A PERSONAL
• SELLING PHILOSOPHY

• ADOPT MARKETING CONCEPT
• VALUE PERSONAL SELLING
• BECOME A PROBLEM SOLVER /PARTNER

TABLE 1.1: Evolution of Personal Selling

• Marketing Era Begins mid “50s 1957-McKetterick Salespeople collect
• Focus on customer vs. product Info age begins customer information
• Consultative Selling Era late “60s ”Counselor Selling” Identify buyer needs
• Focus on target vs. mass markets early “70s 1973-”Consultative Information & negotiation Selling” replace manipulation
• Strategic Selling Era early “80’s 1985-”Strategic Selling”Strategy & tactics
• More focus on market niches
• Partnering Era ‘90s “Lifetime customer” Customer drives the sale
• Focus on individual customers “Partnering: Total quality relationships The Heart of Selling Today”

• Evolution of Personal Selling (1950 to Present)

• SALES & TIME IMPORTANT SELLING
• MARKETING EMPHASIS PERIOD EVENTS EMPHASIS

FIGURE 1.2: MARKETING MIX

• Product

• Promotion

• Place

• Price

FIGURE 1.3: PRESENTATION GUIDE

• Need
• discovery

• Selection
• of
• product

• Need
• satisfaction
• presentation

• Servicing
• the sale

FIGURE 1.4: SELLING MODEL EXTENDED

• Strategic/Consultative Selling Model

• Strategic step

• Prescription

• DEVELOP A PERSONAL
• SELLING STRATEGY
• DEVELOP A
• RELATIONSHIP STRATEGY
• DEVELOP A
• PRODUCT STRATEGY
• DEVELOP A
• CUSTOMER STRATEGY
• DEVELOP A
• PRESENTATION STRATEGY

• ADOPT MARKETING CONCEPT
• VALUE PERSONAL SELLING
• BECOME A PROBLEM SOLVER/PARTNER
• ADOPT DOUBLE WIN PHILOSOPHY
• PROJECT PROFESSIONAL IMAGE
• MAINTAIN HIGH ETHICAL STANDARDS
• BECOME A PRODUCT EXPERT
• ADOPT FEATURE/BENEFIT PROCESS
• POSITION PRODUCT
• UNDERSTAND BUYER BEHAVIOR
• DISCOVER CUSTOMER NEEDS
• DEVELOP PROSPECT BASE
• PREPARE OBJECTIVES
• DEVELOP PRESENTATION PLAN
• PROVIDE OUTSTANDING SERVICE

• Place

• Promotion

• Product

• Place

FIGURE 1.5: CUSTOMER STRATEGY LOOP

• Sales staff at
• Baxter Healthcare

• Medical personnel
• and buyers

• Information

• Information

FIGURE 1.6: BASIC STRATEGIES

• BUILDING
• QUALITY
• PARTNERSHIPS

• RELATIONSHIP
• STRATEGY

• PRODUCT
• STRATEGY

• CUSTOMER
• STRATEGY

• PRESENTATION
• STRATEGY