Chapter Two

Strategic Sales Force Management

Case Assign for Thursday: KV Homes Case1-1, pp. 32-33 The Marketing System p. 39 External Environment Economic Conditions Sociocultural factors Political-legal factors Technology Competition
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The Marketing System (cont.)

Internal Variables in Marketing Systems Marketing Mix Product, Price, Place Promotional Mix (Communications) Used to adjust to External Environment

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The Marketing Concept and Marketing Management

Customer or Market Oriented Organizationally Coordinated Profitable Sales Volume (or Breakeven for NotFor-Profit organizations) over the long run

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Marketing Management and Its Evolution

def. marketing management (Chief marketing executive is responsible for the planning, implementation, and coordinating all marketing activities, and integrating them into the overall operations of the firm) History (Stages) Production-Oriented Sales orientation Marketing Orientation Relationship-Orientation
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Evolution of Selling in the U.S.

Past titles for salespeople Independent peddlers Canvassers Book Agents Drummers The key to success in sales has not changed in the past 83 years [Fig 2-3, p. 45] ID customers problems and the underlying needs Find a solution to the customers problems Communicate your solution properly to your customers
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Relationship Marketing
Understanding Customer Expectations Promoting open communication Empowering Employees Building Service Partnerships Collaborating in planning and teamwork with members of the buying center Total Quality Management
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How to Practice Relationship Marketing,

from a recent Sales and Marketing Management (S&MM) Abstract

Continuous Dialogue with customers to define current and future needs Assign permanent contact personnel to each customer, empower them to resolve customers problems Use customer standards, # product returns, # complaints, # billing errors, on time deliveries to drive plans and customer relationships Measure customer satisfaction on an on-going basis
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Working together?
Integrating Marketing and Sales Functions Integrating Production and Sales

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Strategic Planning
Objectives Specific, Measurable, Written, Challenge (Stretch), Time limit Alignment of Objectives and Decisions Strategies Tactics

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Strategic Planning at Company, Marketing, and Sales Levels

Strategic Planning for the Total Company
Goals --> Possible Strategies Strategic Marketing Planning Company Goal --> Company Strategy (marketing strategy) --> Marketing Strategy

Sales Force Strategy

Corporate goal --> Corporate Strategy (marketing strategy) --> Marketing Strategy (sales force goal) -~ Sales Force Strategy Sales Force Tactics

Examples of goals and strategies p. 52 and at each level p. 53

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Strategic Trends
Internet Selling Multiple Sales Channels Multiple Relationship Strategies, Transaction Selling Consultative (Relationship) Selling Partnership
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Systems Selling
(Selling a total package of services to solve customers problems)

Value added resellers Systems integrator

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Marketing Managements Social Responsibility

All we have to offer is Our Good Name Trust based on honesty and dependability

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Team Selling
Demography Team Selling --> Buying Center Individuals

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Marketing Managements Social Responsibility

(Tobacco industry vs. Ben and Jerrys)

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