THE CHANGING APPROACH TO PERSONAL

SELLING

1950’s 1970’s 1980’s` 1990’s

Marketing era X X X X

Consultative Selling Era

X X X

Strategic Selling Era

X X

Partnering Era X

The Evolution of Personal Selling

Prior to the 1950’s, peddling, or “pushing products” was the primary style of Personal Selling.

Why Personal Selling Has Evolved

• Increasing sophistication of products and services• Increased competition

• Increased customer demand for quality, value, and

service

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A Shift in EmphasisIndustrial Economy 1860-1960

• Major advances occur in manufacturing and transportation.

• Strategic resources are capital and natural resources.

• Business is defined by its products and factories.

• Sales success depends on meeting sales quotas

Information economy 1960-2020• Major advances occur in

information technology.• Strategic resource is information.• Business is defined by customer

relationships.• Sales success depends on adding

value.

The Marketing Era• Marketing Concept introduced in the 1950s • Influenced by an evolution from the industrial economy

to the information economy• New emphasis is information exchange

rather than producing goods• Personal Selling -- the major promotional method

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The Consultative Era

• Consultative selling focus (late 1960s to early 1970s)

• Major features of Consultative SellingMass markets break

into target marketsEmphasis on need

identification Information sharing

and negotiation replace manipulation

The Strategic Era

• Strategic selling focus (early 1980s)• Market niches require more planning• Equal emphasis on strategy and tactics • Product positioning vital

• Strategic selling is guided by: • The Strategic Market Plan • Coordination of all areas of business

The Partnering Era• The Partnering Concept

(1990 to present)Customer, not product, is

the driving forceEmphasizes strategies

that create customer value

Enhances with high ethical standards and Customer Relationship Management

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The Strategic/Consultative Model

• Based on the interrelationship of the Personal Selling Philosophy and the four broad strategic areas:

Relationship StrategyProduct StrategyCustomer StrategyPresentation Strategy