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Personal SellingSales Promotion
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Definition
Salesperson An individual acting for
a company by performing one or more of the following activities: prospecting, communicating, servicing, and information gathering.
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Personal Selling
Salespeople Have Many Names
AgentsSales consultantsSales RepresentativesAccount Executives
Sales EngineersDistrict ManagersMarketing RepresentativesAccount Development Representatives
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The Role of the Sales Force Two-way personal communication More effective than advertising in
complex selling situations The sales force plays a major role in
most companies The sales force works to produce
customer satisfaction and company profit
Personal Selling
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Definition
Sales Force Management The analysis, planning,
implementation, and control of sales force activities. It includes setting and designing sales force strategy; and recruiting, selecting, training, supervising, compensating, and evaluating the firm’s salespeople.
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Major Steps in Sales Force Management
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Sales Force Strategy and Structure
Managing the Sales Force
Sales Force Structure Territorial sales force
structure Product sales force
structure Customer sales force
structure Complex sales force
structure
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Compensating Salespeople Compensation elements: salary,
bonuses, commissions, expenses, and fringe benefits
Basic compensation plans: Straight salary Straight commission Salary plus bonus Salary plus commission
Managing the Sales Force
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The Personal Selling Process
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Sales Promotion Sales Promotions
are short-term incentives to encourage the purchase or sale of a product or service.
Definition
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Sales Promotions Can be targeted at final buyers,
retailers and wholesalers, business customers, and members of the sales force.
The use of sales promotions has been growing rapidly.
Sales Promotion
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Objectives – Consumer Promotions: Increase short-
term sales Generate product
trial
Sales Promotion
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SampleSample
CouponsCoupons
Cash RefundsCash Refunds
Price PacksPrice Packs
PremiumsPremiums
Advertising Specialties
Advertising Specialties
Trial amount of a productTrial amount of a product
Savings when purchasing specified products
Savings when purchasing specified products
Refund of part of the purchase priceRefund of part of the purchase price
Reduced prices marked on the label or package
Reduced prices marked on the label or package
Goods offered free or low cost as an incentive to buy a product
Goods offered free or low cost as an incentive to buy a product
Articles imprinted with an advertiser’s name given as gifts
Articles imprinted with an advertiser’s name given as gifts
Major Consumer Sales Promotion Tools
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Patronage RewardsPatronage Rewards
Point-of-PurchasePoint-of-Purchase
ContestsContests
SweepstakesSweepstakes
GameGame
Cash or other rewards for the use of a certain product
Cash or other rewards for the use of a certain product
Displays and demonstrations that take place at the point of sale
Displays and demonstrations that take place at the point of sale
Consumers submit an entry to be judged
Consumers submit an entry to be judged
Consumers submit their names for a drawing
Consumers submit their names for a drawing
Presents consumers with something every time they buy
Presents consumers with something every time they buy
Major Consumer Sales Promotion Tools
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Objectives – Trade Promotions:
Sales Promotion
Obtaining distribution and shelf space
Encouraging retailers to advertise the brand
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Objectives – Sales Force Promotions: Signing up new
accounts Stimulating
sales of specific items
Sales Promotion
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Trade Promotion Tools Discounts (also called price-offs,
off-list, and off-invoice discounts) Allowances
Advertising allowances Display allowances
Free goods Push money Specialty advertising items
Sales Promotion
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Business Promotion Tools Includes many of
the same tools used in trade and consumer promotions
Two additional tools:
Conventions & trade shows
Sales contests
Sales Promotion