1Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved

Chapter 16

Sales Promotion and Personal Selling

Prepared byDeborah Baker

Texas Christian University

16

2Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved

Chapter 16

Learning ObjectivesLearning Objectives

1. Define and state the objectives of sales promotion

2. Discuss the most common forms of consumer sales promotion

3. List the most common forms of trade sales promotion

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Chapter 16

Learning Objectives Learning Objectives (continued)(continued)

4. Describe personal selling

5. Discuss the key differences between relationship selling and traditional selling

6. List the steps in the selling process

7. Describe the functions of sales management

4Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved

Chapter 16

Sales Promotion Sales Promotion ObjectivesObjectives

1

ConsumerSales

Promotion

ConsumerSales

Promotion

Trade Sales

Promotion

Trade Sales

Promotion

Consumer market

Marketing channel

Goal = Drive immediate purchase

= Influence Behavior

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Chapter 16

Uses of Sales PromotionUses of Sales Promotion

1

Immediate purchasesImmediate purchases

Increase trialIncrease trial

Boost consumer inventoryBoost consumer inventory

Encourage repurchaseEncourage repurchase

Increase ad effectivenessIncrease ad effectiveness

Encourage brand loyaltyEncourage brand loyalty

6Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved

Chapter 16

Tools for Sales Tools for Sales PromotionPromotion

Coupons and RebatesCoupons and Rebates

PremiumsPremiums

Loyalty Marketing ProgramsLoyalty Marketing Programs

Contests & SweepstakesContests & Sweepstakes

SamplingSampling

Point-of-Purchase PromotionPoint-of-Purchase Promotion

2

Trade AllowancesTrade Allowances

Push MoneyPush Money

TrainingTraining

Free MerchandiseFree Merchandise

Store DemonstrationStore Demonstration

Conventions & Trade ShowsConventions & Trade Shows

CONSUMER TRADE

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Chapter 16

Advantages of Personal Advantages of Personal SellingSelling

4

Detailed explanation or demonstration

Variable sales message

Directed at qualified prospects

Controllable adjustable selling costs

Effective at obtaining sale and gaining customer satisfaction

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Chapter 16

Types of Personal SellingTypes of Personal Selling

TraditionalTraditional

Relationship Relationship

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Chapter 16

Steps in the Selling Steps in the Selling ProcessProcess

Generate LeadsGenerate Leads

Qualify LeadsQualify Leads

Probe Customer NeedsProbe Customer Needs

Develop SolutionsDevelop Solutions

Handle ObjectionsHandle Objections

Close the SaleClose the Sale

Follow UpFollow Up

6

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Chapter 16

Online

http://www.zapdata.com

Generating LeadsGenerating Leads

Advertising

Advertising PublicityPublicity

Direct Mail/Telemarket

ing

Direct Mail/Telemarket

ing

Cold CallingCold

CallingInternet Web SiteInternet Web Site ReferralsReferrals

Trade Shows/

Conventions

Trade Shows/

Conventions

Networking

Networking

Company Records

Company Records

6

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Chapter 16

Developing and Developing and Proposing SolutionsProposing Solutions

Sales ProposalSales Proposal

Sales PresentationSales Presentation

6

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Chapter 16

Handling ObjectionsHandling Objections

Use the objection to close the sale

Use the objection to close the sale

Anticipate specific objections

Anticipate specific objections

View objections as requests for information

View objections as requests for information

6

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Chapter 16

Closing the SaleClosing the Sale

NegotiateNegotiate

Keep an open mindKeep an open mind

Look for customer signals

Look for customer signals

6

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Chapter 16

Following UpFollowing Up

Employees are trainedEmployees are trained

Goods or service performas promised

Goods or service performas promised

Ensure delivery schedules are metEnsure delivery

schedules are met

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Chapter 16

Sales Management Sales Management ResponsibilitiesResponsibilities

Evaluate sales forceEvaluate sales force

Compensate and motivate sales forceCompensate and motivate sales force

Recruit and train sales forceRecruit and train sales force

Determine sales force structureDetermine sales force structure

Define sales goals and sales processDefine sales goals and sales process

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Chapter 16

Sales Force StructureSales Force Structure

5

Numerous Numerous ways ways to organize the to organize the sales forcesales force

Numerous Numerous ways ways to organize the to organize the sales forcesales force

Geographic Region Geographic Region

Marketing FunctionMarketing Function

Market or Industry Market or Industry

Client or AccountClient or Account

Product LineProduct Line

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Chapter 16

Training the Sales ForceTraining the Sales Force

Training Training includes...includes...

Training Training includes...includes...

No selling dutiesNo selling duties

Industry and customer characteristics

Industry and customer characteristics

Product knowledgeProduct knowledge

Selling techniquesSelling techniques

Company policies and practice

Company policies and practice

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Chapter 16

Compensation Plans: Compensation Plans: Basic MethodsBasic Methods

CommissionCommission

SalarySalary

CombinationPlans

CombinationPlans

Onlinehttp://www.marykay.com

7

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Chapter 16

Evaluating the Sales Evaluating the Sales Force: Force:

Performance MeasuresPerformance Measures

Contribution to profitContribution to profit

Calls per orderCalls per order

Sales or profits per callSales or profits per call

Call percentage achieving goalsCall percentage achieving goals

Sales volumeSales volume

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