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Personal Selling and Sales

Management

Chapter 17
Introduction to Sales Personnel
Importance of personal sales:
Direct link to the customer
Most customers see the sales person as the
company
Designing the sales force internationally is
one of the most important functions of the
marketing department
A salesman is someone who sells
goods that wont come back to
customers who will. (Anonymous)
Steps
Steps in
in the
the Selling
Selling Process
Process

Identifying and Screening For


Step
Step1.
1. Prospecting
Prospectingand
andQualifying
Qualifying Qualified Potential Customers.

Step Learning As Much As Possible


Step 2.
2. Preapproach
Preapproach About a Prospective Customer
Before Making a Sales Call.

Step
Step3.
3. Approach
Approach Knowing How to Meet the
Buyer to Get the Relationship
Off to a Good Start.

Step
Step4.
4.Presentation/
Presentation/Demonstration
Demonstration Telling the Product Story to
the Buyer, and Showing the
Product Benefits.
Steps
Steps in
in the
the Selling
Selling Process
Process

Seeking Out, Clarifying, and


Step
Step5.
5. Handling
HandlingObjections
Objections Overcoming Customer
Objections to Buying.

Step
Step 6.
6. Closing
Closing Asking the Customer for the
Order.

Step
Step7.
7. Follow-Up
Follow-Up Following Up After the Sale to
Ensure Customer Satisfaction
and Repeat Business.
Factors Affecting the Importance of Personal Selling in
the PromotionalConditionsThatFavor
Variable Mix ConditionsThatFavor
PersonalSelling Advertising

Consumer Geographically Geographicallydispersed


concentrated
Relativelylownumbers Relativelyhighnumbers
Expensive Inexpensive
Technicallycomplex Simpletounderstand
Product
Custommade Standardized
Specialhandling Nospecialhandling
requirements requirements
Transactionsfrequently Transactionsseldom
involvetradeins involvetradeins

Price Relativelyhigh Relativelylow

Channels Relativelyshort Relativelylong


The Evolution of Personal Selling
Todays salesperson is usually a highly-trained
professional
Sales professionals take a customer-oriented
approach employing truthful,
nonmanipulative tactics in order to satisfy the
long-term needs of both the customer and the
selling firm
Todays professional salespeople are problem
solvers who seek to develop long-term
relationships with customers
Four Sales Channels
Over-the-counter selling: personal
selling conducted in retail and some
wholesale locations in which customers
come to the seller place of business

Field selling: sales presentations made


at prospective customers homes or
businesses on a face-to-face basis
Four Sales Channels
Telemarketing: promotional presentation
involving the use of the telephone on an
outbound basis by salespeople or on an
inbound basis by customers who initiate calls
to obtain information and place orders

Inside selling: performing the functions of


field selling but avoiding travel-related
expenses by relying on phone, mail, and
electronic commerce to provide sales and
product service for customers on a continuing
basis
I. Designing & Recruiting Sales Personnel
3 Ways to Design Sales Force
1. Expatriates
2. Local Nationals
3. Third Country Nationals
Advantages/Disadvantages of all 3:
1. Expatriates (declining)
Advantages
Used most when products are highly technical or
requires a lot of information in order to sell
Familiar with headquarters policies, procedures
Opinions/Ideas are valued more by home office
I. Designing & Recruiting Sales Personnel
Disadvantages
High cost
Cultural and legal barriers
Difficult to recruit many highly skilled will
not re-locate overseas
Other type of Expatriates
Virtual Expatriates
Created by the internet and other
advanced types of communications, where
they manage operations in other countries,
but do not move to that country.
I. Designing & Recruiting Sales Personnel
2. Local Nationals
Advantages
Most knowledgeable about culture, legal
environments, business structure, distribution
networks
Disadvantages
Home office does not see as the experts in the field
Seen as not being familiar with home office
procedures, policies
Not the experts on the products
Difficult to recruit most skilled and knowledgeable
Recruiting the best may mean taking away from
another company or competitor this goes against
some cultural believes where loyalty is important

Crossing Borders 17.3 pg. 521 -Avon calling or not?


I. Designing & Recruiting Sales Personnel
3. Third-Country Nationals
Advantages
If recruited within same area most are familiar
with culture, language, how to conduct
business
Disadvantages
Host country does not see individual as one of
their own
Many of the same disadvantages to a smaller
scale with the expatriate.
Selecting Sales and Marketing Personnel

To
To select
select personnel
personnel for
for international
international marketing
marketing positions
positions
effectively,
effectively, management
management mustmust choose
choose individuals
individuals who
who have
have the
the
following
following traits:
traits:

1.
1. Maturity
Maturity 4.
4. Flexibility
Flexibility

2.
2. Emotional
Emotional Stability
Stability 5.
5. Cultural
Cultural Empathy
Empathy

3.
3. Breadth
Breadth of
of Knowledge
Knowledge 6.
6. Energetic
Energetic and
and
7.
7. Enjoy
Enjoy Travel
Travel
III. Training Sales Personnel
Types and method of training differs
depending upon type of sales structure
1. Expatriates
Focus is on culture, customs, special foreign issues (not on
products, selling methods, home office policies..)
2. Local Nationals/Third-County Nationals
Focus on product knowledge
More continual training
Methods of training need to be adapted to recipients way
of learning
Internet is facilitating faster and more efficient
learning for all types of sales structures
IV. Motivating Sales Personnel
What motivates people varies from culture to
culture
Though some similarities exist in certain cultures, many
cultures vary in a number of areas (individual bonuses
vs. group bonuses; compensation vs. personal growth,
etc)
Designing Compensation Systems
Expatriates
Things to consider
Countries with high taxes, prefer larger expense accounts, fringe
benefits (things that are non-taxable)
Where the company is multi-national, sales personnel will compare
compensation plans from home country to re-assigned country
Compensating
Compensating Salespeople
Salespeople
Sales Force Compensation Plans Can Both Motivate
Salespeople and Direct Their Activities.
Salary
E CK
YCH
PA

Components
Benefits of
Compensation
Bonus

Commission
IV. Motivating Sales Personnel
2. Global Sales Force
Allows for most flexibility in creating
compensation plans
See dos and donts of global compensation
pg. 532
Preparing U.S. Personnel for
Foreign Assignments
Obstacles to overcome
1. Reluctance to accept foreign assignment due to:
Concerns for career and family (most common)
Career fears relate to out of sight, out of mind
Family is uprooted in a very different environment
2. Reducing the rate of early returns
Unsuccessful family adjustment is the single most important
reason for early returns.
3. Ensuring successful return home
Need to have a personal career plan designed to
successfully transition the individual and family back to their
home country.
Important Points in Recruiting
Sales Personnel & Managers
Important characteristics/skills to
look for when recruiting:
Cross-cultural skills
More important in most cases than
technical skills
Language skills
Many believe that the more fluent in
languages, the more culturally sensitive
Crossing Borders 17.6 pg. 525
Evaluating
Evaluating
Salespeople
Salespeople
Expense
Expense Sales
Sales
Reports
Reports Report
Report

Sources
Sources
of
of
Call
Call Information
Information Work
Work
Reports
Reports Plan
Plan

Annual
Annual
Territory
Territory
Marketing
Marketing Plan
Plan
Relationship Marketing
Process of creating, maintaining,
and enhancing strong, value-laden
relationships with customers and
other stakeholders.

Based on the idea that important


accounts need focused and
continuous attention.

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