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Personal Selling and

the Marketing Concept

Personal Selling and

the Marketing Concept

Selling TodaySelling Today10

th

Edition

C

HAPTER Manning and Reece

1

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Definition ofPersonal SellingDefinition ofPersonal Selling

Person-to-person communication with a prospect

Personal selling is a process of

Developing relationships

Discovering needs

Matching products with needs

Communicating benefits

Viewed as a process that adds value

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Strategic/Consultative

Selling Model

Strategic/Consultative

Selling Model

FIGURE 1.1

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Personal Selling in the Information AgePersonal Selling in the Information Age

An evolution from the industrial economy

to the information economy

Began in the 1950s

New emphasis is information exchange

rather than producing goods

Implications for personal selling

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A Shift in EmphasisA Shift in Emphasis

Industrial economy

Advances occur in

transportation and

manufacturing

Strategic resources are

capital and natural

resources

Products and factories

define the business

Sales success means

meeting sales quotas

Information economy

Advances occur in

information technology

Strategic resource is

information

Business is defined by

customer relations

Sales success depends

on adding value

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Personal Selling as an Extension

of the Marketing Concept

Personal Selling as an Extension

of the Marketing Concept

Move from a product orientation (peddling)

to a customer orientation (partnering)

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The Marketing MixThe Marketing Mix

FIGURE 1.3

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Important Role of Personal SellingImportant Role of Personal Selling

Often the major promotional method

Firms invest in personal selling

Personal selling has evolved because:

Products and services are more complex

Competition has greatly increased Customer demand for quality, value, and

service has risen sharply

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Evolution of Consultative SellingEvolution of Consultative Selling

Features of consultative selling include: Customer is a person to be served, not a

prospect to be sold

Two-way communication identifies(diagnoses) customers needs; no high-pressure sales presentation

Emphasis on information giving, problemsolving, and negotiation rather thanmanipulation

Emphasis on service after the sale

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Strategy and TacticsStrategy and Tactics

Tactics

Specific techniques,practices, and

methods used incustomer interaction

Strategy

Carefully conceived plan needed toaccomplish sales objectives

A prerequisite to tactical success

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Strategy vs. Tactics ExerciseStrategy vs. Tactics Exercise

Use a fact sheet comparing your

product to the competition

Analyze the features of your

leading competitors

Use specific questions to diagnose

needs

Analyze a territory to determine

those with specific needs

Strategy Tactic

Identify the following:

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Selling

Model

Selling

Model

1-20FIGURE 1.5

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Develop a Personal

Selling Philosophy

Develop a Personal

Selling Philosophy

Adopt the marketing concept

Value personal selling

Assume the role of a problemsolver/partner

Step

1:

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Develop a Relationship

Strategy

Develop a Relationship

Strategy

Adopt a win-win philosophy

Project a professional image

Maintain high ethical standards

Step

2:

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Develop a Product

Strategy

Develop a Product

Strategy

Become a product expert

Sell benefits, not features

Configure value-added solutions

Step

3:

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Develop a Presentation

Strategy

Develop a Presentation

Strategy

Prepare objectives

Develop a presentation plan

Provide outstanding service

Step

5:

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E-Commerce and the Complex SaleE-Commerce and the Complex Sale

Electronic business

Complex sales involve several forms ofinformation technology support, including:

Electronic product catalogs

Contact management systems

PowerPoint and Excel Internet applications

Electronic commerce

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Evolution of PartneringEvolution of Partnering

Buzzword of 1990s, became businessreality in 2000s

Strategically developed, long-term

relationship that solves the customersproblems

Relationship selling relies on a customized

approach to each client

Enhanced with high ethical standards andCRM

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Value CreationValue Creation

Value-added selling = creative

improvements that enhance customer

experience

The information economy rewards

salespeople who add value at each step

When customer is not aware of valueadded by salespeople, the focus may shift

to price