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Page 1: Chap20.ppt

7/27/2019 Chap20.ppt

http://slidepdf.com/reader/full/chap20ppt 1/18

Page 2: Chap20.ppt

7/27/2019 Chap20.ppt

http://slidepdf.com/reader/full/chap20ppt 2/18

©2000 Prentice Hall

Objectives

Designing a Sales Force

Managing the Sales Force

Principles of Personal Selling

Page 3: Chap20.ppt

7/27/2019 Chap20.ppt

http://slidepdf.com/reader/full/chap20ppt 3/18

©2000 Prentice Hall

When might you decide to use

Personal Selling?

Tight budget (straight commission)

Concentrated Market

Few buyers

High value product

Product must be customized

Personal contact important

Must demonstrate product

Product involves trade-in/up

Page 4: Chap20.ppt

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©2000 Prentice Hall

Sales force objectives

Sales force strategy

Sales force structure

Sales force size

Sales force compensation

Designing the Sales Force

Page 5: Chap20.ppt

7/27/2019 Chap20.ppt

http://slidepdf.com/reader/full/chap20ppt 5/18

©2000 Prentice Hall

Sales Force Structures

Complexity

Territorial Product

Market

Page 6: Chap20.ppt

7/27/2019 Chap20.ppt

http://slidepdf.com/reader/full/chap20ppt 6/18

©2000 Prentice Hall

Workload Approach to SalesForce Size

Classify customers by size

Determine desirable call frequencies

Determine total sales calls needed per 

year 

Determine average number of sales

calls per sales representative per year 

Divide total by number per rep

Page 7: Chap20.ppt

7/27/2019 Chap20.ppt

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Sales Force Compensation

Fixed

Variable

Expense Allowances

Benefits

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7/27/2019 Chap20.ppt

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Recruiting & selecting salesrepresentatives

Training sales representatives

Supervising sales representatives

Motivating sales representatives

Managing the Sales Force

Evaluating sales representatives

Page 9: Chap20.ppt

7/27/2019 Chap20.ppt

http://slidepdf.com/reader/full/chap20ppt 9/18©2000 Prentice Hall

Time and Duty Analysis

Preparation 

Travel 

Food & Breaks 

Waiting 

Selling 

Administration 

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Satisfaction

Rewards 

Performance 

Effort 

Motivation

Sales Representative

Motivation

Page 11: Chap20.ppt

7/27/2019 Chap20.ppt

http://slidepdf.com/reader/full/chap20ppt 11/18©2000 Prentice Hall

Evaluating Salespeople

Sources of 

Information

AnnualTerritory

Marketing Plan

Work

Plan

CallReports

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Training in sales techniques &

professionalism

Negotiation skills

Relationship-building skills

Improving Sales ForceEffectiveness

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The Zone of Agreement

Zone of agreement

Seller‟s surplus 

Seller‟s reservationprice (seller wants

s or more)

Seller wants to move

x to the right

s Buyer‟s reservationprice (buyer wants

b or less)

Buyer wants to move

x to the left

b x Final

contract

$

Buyer‟s surplus 

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Performance Evaluation

Current-to-Past

Customer Satisfaction

Qualitative Evaluation

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Step 1. Prospecting andQualifying

Identifying and Screening For Qualified Potential Customers.

Steps in the Sel l ing Process 

Learning As Much As PossibleAbout a Prospective Customer Before Making a Sales Call.

Step 2. Pre-approach

Step 3. Approach

Knowing How to Meet the Buyer 

to Get the Relationship Off to a Good Start.

Step 4. Presentation/Demonstration

Telling the Product “Story”

to the Buyer, and Showing the

Product Benefits. 

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Steps in the Sel l ing Process 

Step 5. Handling Objections

Step 6. Closing

Step 7. Follow-Up

Seeking Out, Clarifying,and Overcoming

Customer Objections toBuying. 

Asking the Customer for the Order.

Following Up After the Sale toEnsure Customer Satisfaction

and Repeat Business.

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 Alternative Steps:

Find ‟em 

Grab „em 

Show „em 

Answer „em 

Sell „em 

Keep „em 

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Review

Designing a Sales Force

Managing the Sales Force

Principles of Personal Selling