CH 2-Overview of Personal Selling

Module Two
Overview of Personal
Selling
Module 2:
Overview of Personal Selling
Learning Objectives
1. Describe the evolution of personal

selling from ancient times to the
modern era.
2. Explain the contributions of personal
selling to society, business firms, and
customers.
3. Distinguish between transaction-
focused traditional selling and trust-
based relationship selling.
Module 2:
Learning Objectives
4. Discuss five alternative

approaches to selling.
5. Describe the three primary roles
fulfilled by consultative salespeople
6. Understand the sales process as
a series of interrelated steps.
Module 2:
UPS BUILDS TRUST AND LONG-TERM CUSTOMER
RELATIONSHIPS
When most people think of United Parcel Service (UPS), they probably
think of the
distinct brown-and-gold trucks that deliver small packages to homes and
businesses.
But UPS does a lot more than deliver packages.
Using a highly customer-oriented approach, approximately 4,000 UPS
salespeople in the United States function as value-building consultants to
their business clients. Using this approach has paid off in sales growth,
with UPS now in the top 50 of the Fortune 500.
Carl Strenger, a UPS vice president, describes the sales approach as a
consultative
discussion across the supply chain. . . . We go in and we learn about the
business.
We talk to the functional peopleinformation technology, finance, and so
on.
Once we decide whats important to this customer, we come up with a
bundle
of solutions to grow their top-line or reduce their bottom-line costs. To
make its
Module 2:
sales presentations effective,Overview
UPS ofconducts extensive training to focus on
Personal Selling
Setting the Stage
UPS Builds Trust and Long-Term

Customer Relationships
1. Whatdoes Carl Strenger, a

UPS Vice President, mean by
a consultative discussion
with the customer?
Module 2:
Setting the Stage
UPS Builds Trust and Long-Term

Customer Relationships
2- When teaming up with UPS

Capital sales personnel, what is
the focus of the overall sales
strategy?
Module 2:
1. Carl is referring to UPS salespeople taking the time
to learn about their customers businesses and
developing relationships with key personnel in the
customers organizations.
Finally, they deliver a bundle of solutions designed
to reduce costs and/or grow revenue depending
upon the individual needs of each customer.
1. To build long-term, trust-based relationships.
Module 2:
Evolution of Personal
Selling
Peddlers selling Selling function
door to door . . . became more
served as structured
intermediaries
1800s 1900s 2000s

As we begin the
Industrial 21 century, selling
st
Post-Industrial continuesModern
War and to develop,
becoming more
Revolution professional
Revolution and more relational
Depression Era
Selling function
Business
became more
organizations
professional
employed salespeople
Module 2:
Personal Selling in the
information Age
INCREASES IN RELATIONSHIP SELLING AND RELATIONSHIP
MARKETING
Industrial Economy Information Economy

1860-1960 1960-2020
Major advances in Major advances in
manufacturing and information technology
transportation Strategic resource is
Strategic Resource is information
capital and natural Business is defined by
resources customer relationships
Business is defined by its Sales success depends on
products and factories creating value for customers
Module 2:
Overview of Personal Selling 1-9
Value-Added Selling
Improving the sales process
to create value for the
customer. Salespeople add
value when they offer
better advice and product
solutions, carefully manage
customer relationships, and
provide better service after
the sale.
Module 2: 1-
Overview of Personal Selling 10
Personal Selling
Philosophy involves
Appreciating the value of
Personal Selling
Adopting the Marketing Concept
Becoming a problem solver and
partner with your customers to
help them make better buying
decisions
Module 2: 1-
THE WORD SELL IS DERIVED FROMOverview
A Norwegian WORD
of Personal SELJE
Selling WHICH MEANS TO SERVE 11
Personal Selling
Defined
Personal selling refers to personal
communication with a an audience
through paid personnel of an
organization or its agents in
such a way that the audience
perceives the communicators
organization as being the source
of the message.
Module 2:
Personal Selling Defined
Personal Selling involves person-to-

person communication with a prospect.
It is a process of developing
relationships, discovering needs,
matching appropriate products to these
needs, and communicating benefits
through informing, persuading, and
reminding.
Module 2: 1-
Advantages of Personal Selling
Provides a detailed explanation
or demonstration of product
Message can be varied to fit the
needs of each prospective customer
Can be directed to specific
qualified prospects
Instant feedback
Personal persuasion can be used
A good
salesman can get
you to buy ice in winter
Module 2:
When to Use Personal Selling
Product
Product has
has aa high
high value
value
Product
Product is
is custom
custom made
made
Product
Product is
is technically
technically complex
complex
There
There are
are few
few customers
customers
Customers
Customers are
are concentrated
concentrated
Selling
Selling image,
image, not
not product
product
Module 2:
Creating Value Through Salespeople
Relationship Selling
Building ties to the

customer, based on a
salespersons attention
and commitment to
customer needs over
time.
Contributions of Personal
Selling: Salespeople and
Society
Salespeople help
stimulate the economy
Salespeople help with

the diffusion of
innovation
Module 2:
Selling: Salespeople and the
Employing Firm
Salespeople
generate
revenue
Salespeople
provide market
research and
customer
feedback
Salespeople
become future Module 2:
Selling: Salespeople and the
Customer
Salespeople
provide solutions
to problems
Salespeople
provide expertise
and serve as
information
resources
Salespeople serve
as advocates forModule 2:
Transaction-Focused vs.
Relationship Focused
Transaction-Focused Relationship-Focused
Short term thinking Long term thinking
Making the sale has Developing the
priority over most relationship takes
other considerations priority over getting
Interaction between the sale
buyer and seller is Interaction between
competitive buyer and seller is
Salesperson is self- collaborative.
interest oriented Salesperson is
Module 2:
customer-oriented
Classification of
Personal Selling
Approaches
Stimulus Response
Selling
Mental States Selling
Need Satisfaction Selling
Problem Solving Selling
Module 2:
Stimulus Response Selling
Continue
Process until
Purchase
Decision
Module 2:
Mental States Selling
Attention Interest Conviction Desire Action
Module 2:
Need Satisfaction Selling
Continue
Selling
until
Purchase
Decision
Module 2:
Problem Solving Selling
Module 2:
Consultative Selling
Business Consultant
Strategic Orchestrator
Long-term Ally
Module 2:
The Sales Process: An
Overview
Selling
Foundations
Initiating Developing Enhancing
Customer Customer Customer
Relationship Relationship Relationships
Selling
Strategy
Module 2:
The Sales Process: Selling
Foundations
In order to be successful in todays global
business environment, salespeople must have
a solid relationship building foundation.
They must:
Module 2:
Selling process is more like Choosing a mate
Module 2:
If you are male, you will sell more
If you are looking fresh and
your hair look wet even if you
are using gel
If you are freshly shaved
If your hair and beard is freshly
trimmed
If your fingernails are clean
If you are using deodorant
If you are wearing freshly
laundered clothes
Module 2:
If you are male, you will sell
more
If you are in formals rather
than casuals
If your pants have sharp
crease
If your shoes are freshly
polished
If you are carrying classic
handbag or brief case
If Cure your Halitosis
Module 2:
If you are female, you will sell more
If you are looking fresh
If you are wearing sophisticated-
looking dress
If you are not wearing tons of
make up & perfume
If you are not loaded with jewelry
If you are carrying classic
handbag rather than ladies
purse
If you are wearing shoes rather
than sandals Module 2:
In General, You will sell
more
If you are confident
If you are looking happy with life
If you are energetic
If you are flaming..
If you are optimistic.
If you are bright
If you are glowing.
If you are overflowing with vibrancy
Module 2:
You will sell less
If you are complaining
If you lack self esteem
If you are dull and drab
If you are lifeless
If you lack soul & spirit
If you are pessimistic
If you are negaholic
SO Who will marry Miss Misery
or Mr. Miserable? Module 2:
The Sales Process: Selling
Strategy
In order to be successful in todays global
business environment, salespeople must
also think and act strategically. The must
develop strategies for:
Each Sales Call

Each Customer
Their Sales
Each strategy is Territories
related to the
other
Module 2:
The Sales Process
Initiating Developing Enhancing

Customer Customer Customer
Relationships Relationships Relationships
Sales Presentation Delivery

Earning Customer Commitment
Prospecting
Preapproach Adding Value through
Presentation Planning
Follow-up, Self-leadership,
Approaching the Customer
and Teamwork
Module 2:
The Personal Selling Process
Steps in the Personal Selling Process
1. Prospecting and qualifying

2. Pre-approach
3. Approach
4. Presentation and
demonstration
5. Handling objections
6. Closing
7. Follow-up
Module 2: 16-34
Prospecting identifies
qualified potential customers
through referrals from:
Customers
Suppliers
Dealers
Internet
Module 2: 16-35
Qualifying is identifying good

customers and screening out
poor ones by looking at:
Financial ability
Volume of business
Needs
Location
Growth potential Module 2: 16-36
Pre-approach is the process of

learning as much as possible
about a prospect, including
needs, who is involved in the
buying, and the characteristics
and styles of the buyers
Module 2: 16-37
The Personal Selling
Process
In the pre-approach stage, the salesperson sets

call objectives and the best approach
Objectives Approaches
Qualify the
prospect
Personal visit
Gather information
Phone call
Make an Letter
immediate sale
Module 2: 16-38
Approach is the process where the

salesperson meets and greets the
buyer and gets the relationship
off to a good start, and
involves the salespersons:
Appearance
Opening lines
Follow-up remarks
Module 2: 16-39
Activity
THE 10 REASONS
WHY PEOPLE
SHOULD BUY
YOUR PRODUCT?
Module 2:
Opening lines should be positive,

build goodwill, and be followed by
key questions to learn about the
customers needs or by showing a
display or sample to attract the
buyers attention and curiosity
The most important attribute is for

the salesperson to:
Listen
Module 2: 16-40
Presentation is when the salesperson

tells the product story to the buyer,
presenting customer benefits and
showing how the product solves the
customers problems
Need-satisfaction approach: Buyers

want solutions, and salespeople
should listen and respond with the
right products and services to solve
customer problems
Module 2: 16-41
Buyers dislike salespeople

that are:
Pushy
Late
Deceitful
Disorganized
Unprepared
Module 2: 16-42
Buyers appreciate salespeople

that are:
Good listeners
Empathetic
Honest
Dependable
Thorough
Follow-up types Module 2: 16-43
Handling objections is
the process where
salespeople resolve
problems that are logical,
psychological, or
unspoken
Module 2: 16-44
When handling objections from

buyers, salespeople should:
Be positive
Seek out hidden objections
Ask the buyers to clarify any
objections
Take objections as opportunities
to provide more information
Turn objections into reasons for
buying Module 2:
16-44
1. Foxes
2. Ants Types
3. Jackals of
4. Peacocks Objecto
5. Dogs rs
Module 2:
Foxes
Financial risk/reward ratio is not
great enough.
Extreme calculations. Number
crunchers
Module 2:
How to deal with foxes?
Out-fox them.
Convince them with more
calculations.
Rely on numbers.
Module 2:
Ants
Your client wants absolute
proof that your product is
what youve presented it to
be.
Module 2:
How to deal with Ants?
1. Gain trust..more trust.
2. Free samples
3. Money back guarantee
4. Third party endorsements
Module 2:
Jackals
Coward to make
decisions due to
internal politics.
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How to deal with
Jackals?
Reveal to them the
cost/dangers of not
buying the product.
Dont deal in isolation.
Bring them to
groups/committees.
Module 2:
Peacocks
1. Corporate Show
Boys
2. Have no authority
to deal
3. Have no money to
spend
4. Dont need the
product
Typical excuse:
Boss is not
Module 2: here.
How to handle Peacocks?
1. Firstidentify the
peacocks
2. Let them dance and
bypass them
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Dogs
1. Greedy kick backers
2. Do lot of barking over non-issues
3. Will exhaust you with
proposals/calls/follow ups/visits
4. Very loyal if you throw them
bone.
Module 2:
How to deal with dogs?
1. Take the matter to higher
level
2. Give hope of bone and
slow down the process till
your product becomes
absolute necessity.
3. Play politics (align with his
juniors & seniors &
colleagues) to neutralize
his powers. Module 2:
Closing is the process where

salespeople should recognize
signals from the buyer,
including physical actions,
comments, and questions to
close the sale
Module 2: 16-45
Closing techniques can include:

Asking for the order
Reviewing points of agreement
Offering to help write up the order
Asking if the buyer wants this
model or another one
Making note that the buyer will lose
out if the order is not placed now
Offering incentives to buy, including
lower price or additional quantity
Module 2: 16-46
Handling
customer who has
never given you any
business.
Module 2:
Continuous sharing of
information
Make yourself available for
discussion
Hide your desperation
Show you are busy/successful
Show you are a premium
company and mediocre
customers cannot afford your
products, hence build
curiosity/hungerModule 2:
Module 2:
Personal Selling and Customer

Relationship Management
Personal selling is a transaction-

oriented approach to close a
specific sale with a specific
customer, with the long-term
goal to develop a mutually
profitable relationship
Module 2: 16-47
Personal Selling and

Customer Relationship Management
Attributes of a favorable supplier

include the ability to:
Deliver a coordinated set of products
and services to many locations
Work with customer teams and
improve products and processes
Listen to customers and understand
their needs
Module 2: 16-48
Personal Selling
The Nature of Personal Selling
Examples of people who do the
selling include:
Salespeople
Sales representatives
District managers
Account executives
Sales engineers
Agents
Account development reps
Module 2:
16-4
THANKS
Module 2:

CH 2-Overview of Personal Selling

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CH 2-Overview of Personal Selling

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Module Two

1. Describe the evolution of personal

4. Discuss five alternative

UPS Builds Trust and Long-Term

1. Whatdoes Carl Strenger, a

UPS Builds Trust and Long-Term

2- When teaming up with UPS

1. To build long-term, trust-based relationships.

1800s 1900s 2000s

Industrial Economy Information Economy

Personal Selling involves person-to-

Building ties to the

Salespeople help with

Attention Interest Conviction Desire Action

Each Sales Call

Initiating Developing Enhancing

Sales Presentation Delivery

Steps in the Personal Selling Process

1. Prospecting and qualifying

Steps in the Personal Selling Process

Steps in the Personal Selling Process

Qualifying is identifying good

Steps in the Personal Selling Process

Pre-approach is the process of

In the pre-approach stage, the salesperson sets

Steps in the Personal Selling Process

Approach is the process where the

Steps in the Personal Selling Process

Opening lines should be positive,

The most important attribute is for

Steps in the Personal Selling Process

Presentation is when the salesperson

Need-satisfaction approach: Buyers

Steps in the Personal Selling Process

Buyers dislike salespeople

Steps in the Personal Selling Process

Buyers appreciate salespeople

Steps in the Personal Selling Process

When handling objections from

Steps in the Personal Selling Process

Closing is the process where

Steps in the Personal Selling Process

Closing techniques can include:

Personal Selling and Customer

Personal selling is a transaction-

Personal Selling and

Attributes of a favorable supplier

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