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Theories of Personal Selling

Submitted by:- Submitted to:-


• Ashok Mehrotra Prof. Rakesh Suri
• Nishant Mittal
• Rishabh Jain
• Saurabh Shukla
• Vinod Seth
• Vivek Dwivedi
What is Personal Selling?

Personal Selling is defined as :

Direct communications between paid


representatives and prospects that lead to
transactions, customer satisfaction, account
development, and profitable relationships
What is Personal Selling?

• Personal selling is just one of many marketing elements


such as pricing,advertising,product development and
research, marketing channels and physical distribution.
• Personal selling consists of:
– Personal communication
– Persuasive
– Needs fulfillment
• Goods
• Services and ideas

3
Stages in the personal selling process

Slide 20-23
Personal Selling

There are two approaches to personal selling:-

• Based on experiential knowledge

• Based on behavioral sciences


Theories of Personal Selling

• Experiential knowledge approach

AIDAS theory of selling

“Right Set of Circumstances” theory of selling

• Behavioral science approach

“Buying Formula” theory of selling

“Behavioral Equation” theory of selling


AIDAS Theory of Selling
Details Functions
• A : Attention 1. Securing Attention
• I : Interest 2. Gaining interest
• D : Desire 3. Creating Desire
• A : Action 4. Inducing action
• S : Satisfaction 5. Building Satisfaction
“Right Set of Circumstances” Theory of Selling

“Everything was right for that sale” sums up the second theory
quite well. It is also known as “Situation Response” theory.

In other words, if the sales person is successful in securing the


prospect’s attention, maintaining his interest and inducing his
desire to buy the product, the sales will result.

Moreover, if the sales person is highly skilled, he will take control


of the presentation, which would lead to sales.
“Buying Formula” Theory of Selling
• The theory is based on the presumption that the sales
person will take care of the external factors.
• This theory emphasizes on the needs or problems of
the buyer.
• The sales person assist the buyer in finding an
appropriate solution to the problem. This solution may
be in terms of a product or service.
• This theory is based on the analysis of the sequence of
events that goes in the buyer’s mind during the sales
presentation.
“Buying Formula” Theory of Selling (contd…)

 Need (problem)  solution  purchase

 Need (problem)  solution  purchase  Satisfaction

 Need (problem)  product / service


and/or
Trade name  purchase  Satisfaction/dissatisfaction

 Adequacy & pleasant feelings factors for product as well as


trade name (lead to repeat buying)
Behavioral Equation Theory of Selling
• “Stimulus Response model”,literally a sophisticated version of “Right Set
of Circumstances” model
• J.A.Howard (A renowned behavior researcher) explains buying behavior
in terms of the purchasing decision process viewed as phases of the
learning process
• Four essential elements of learning process incuded in “Stimulus
Response model” are-
• Drive, Innate & Learned (status, social approval)
• Cues, triggering cues & non triggering cues, product cues or
informational, may or may not lead to buying decision
• Response, how the buyer behaves
• Reinforcement
“Behavioral Equation” Theory of Selling (Contd…)

• Howard incorporates above four elements of


learning process into an equation:

{B = P x D x K x V}
Where -

B = response or the internal response tendency i.e.,the act


of purchasing a brand or patronizing the supplier

P = predisposition or the inward response tendency i.e., the


force of habit

D = present drive level(amount of motivation)

K = “incentive potential i.e., the value of the product or its


potential satisfaction to the buyer

V = Intensity of all cues : triggering,product or informational

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