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Chapter 19

Personal Selling and Sales

Management
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McGraw-Hill/Irwin

Copyright 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

After studying this chapter

you should be able to:
Understand the role and importance of personal
selling in the marketing communications mix.
See how the key steps in personal selling
depend on a relationship perspective.
Identify the similarities and differences in the job
responsibilities of salespeople and sales
managers.

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After studying this chapter

you should be able to:
Describe the key activities in sales
management.
Appreciate important ethical issues face
by salespeople and sales managers.

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Personal
Personal Selling
Selling and
and Sales
Sales
Management
Management
Personal Selling:
The face-to-face
interaction
between a seller
and a buyer for the
purpose of
satisfying buyer
needs to the
benefit of both

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Sales
Management:
Provides leadership
and supervision of an
organizations
personal selling
function.

The
The Multiple
Multiple Roles
Roles of
of
Salespeople
Salespeople
Contributions of Personal
Selling to Marketing:
Producing Sales Revenue
Meeting Buyer Expectations
Providing Marketplace
Information

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Job
Job Roles
Roles of
of Salespeople
Salespeople
Business-to-Business
Business-to-Business
Sales
SalesSupport:
Support:
New
NewBusiness:
Business:
Existing
ExistingBusiness:
Business:

Promote
Promoteproduct
productor
orprovide
providetechnical
technical
support.
support.
Sales
Salesgrowth
growthby
byselling
sellingnew
newproducts
products
or
orgaining
gainingnew
newcustomers.
customers.
Maintain
Maintainand
andbuild
buildrelationships
relationshipswith
with
established
establishedcustomer
customerbase.
base.
Direct-to-Consumer
Direct-to-Consumer
Represent
Representseller
sellerin
intransactions
transactionswith
with
ultimate
ultimateconsumers.
consumers. Includes
Includessales
sales
people
peoplein
inretail,
retail,direct
directselling,
selling,real
real
estate
estateand
andfinancial
financialservices.
services.

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The
The Sales
Sales Process:
Process: A
A Relationship
Relationship
Approach
Approach
Salesperson
Salesperson
Attributes:
Attributes:
Customer-oriented
Customer-oriented
Honest
Honest
Dependable
Dependable
Competent
Competent
Likeable
Likeable

Initiating
InitiatingCustomer
Customer
Relationships:
Relationships:
Prospecting
Prospecting
Precall
PrecallPlanning
Planning
Approaching
Approachingthe
the
customer
customer
Selling
SellingStrategy:
Strategy:
Sales
SalesTerritory
Territory
Each
EachCustomer
Customer
Each
Sales
Each SalesCall
Call
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Developing
Developing
Customer
Customer
Relationships:
Relationships:
Sales
SalesPresentation
Presentation
Delivery
Delivery
Gaining
GainingCustomer
Customer
Commitment
Commitment

Enhancing
Enhancing
Customer
Customer
Relationships
Relationships

Sales
Sales Management
Management Activities
Activities
Develop
Developaa
Sales
SalesStrategy
Strategy
Design
Designthe
the
Sales
Sales
Organization
Organization
Develop
Developthe
the
Salesforce
Salesforce
Direct
Directthe
the
Salesforce
Salesforce
Determine
Determine
Effectiveness
Effectiveness&&
Performance
Performance
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Developing
Developing aa Sales
Sales Strategy
Strategy

Developing a
Relationship
Strategy
Developing a
Sales Channel
Strategy

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Designing
Designing the
the Sales
Sales Organization
Organization
Should salesforce be
generalists or specialists?
If specialists, should they be
product, market, customer,
or functional specialists?
Should centralized or
decentralized control be
used?
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Designing
Designing the
the Sales
Sales
Organization
Organization

How large should the salesforce

be?

How should customers and

geographic areas be assigned to
form sales territories?
How should salesforce turnover
be factored into sales
organization design decisions?

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Developing
Developing the
the Salesforce
Salesforce
Recruiting and Selecting
Training: Initial and
Continual
Directing the Salesforce
Motivation
Supervision
Leadership
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Evaluating
Evaluating Performance
Performance and
and
Effectiveness
Effectiveness
Setting
Standards
Evaluating
Performance
Analyzing
Effectiveness

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Ethical
Ethical and
and Legal
Legal Issues
Issues in
in Personal
Personal
Selling
Selling
Strict
Strictcodes
codesof
ofethics
ethicsfor
forsales
salespeople.
people.
Sales
Salesmanagers
managersmust
musttake
takeresponsibility
responsibilityfor
forthe
the
proper
properbehavior
behaviorof
oftheir
theirsalespeople,
salespeople,and
andthey
they
must
mustlead
leadby
byexample.
example.
Salespeople
Salespeopleshould
shouldbe
behonest
honestinintheir
theirdealings
dealings
with
withcustomers
customersand
andbe
beinformed
informedof
ofrelevant
relevant
laws
lawsgoverning
governingtheir
theirbusiness
businesssituation.
situation.
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Unethical
Unethical Sales
Sales Behaviors
Behaviors Include:
Include:

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Exaggerating
Exaggeratingfeatures
featuresand
andbenefits
benefits
Lies
Liesabout
aboutavailability
availability
Lies
Liesabout
aboutcompetition
competition
Sells
Sellssomething
somethingpeople
peopledont
dontneed
need
Giving
Givingfalse
falseanswers
answerstotoquestions
questions
Falsifying
Falsifyingproduct
producttestimonials
testimonials
Passing
Passingblame
blamefor
fortheir
theirown
ownmistakes
mistakes
Pose
Poseas
asmarket
marketresearcher
researcherwhen
whendoing
doingphone
phonesales
sales
Misrepresent
Misrepresentwarranties
warranties&&guarantees
guarantees
Make
Makenonbinding
nonbindingoral
oralpromises
promises
Bending
Bendingcompany
companyrules
rules
Selling
Sellingdangerous
dangerousor
orhazardous
hazardousproducts
products

Salesperson
Salesperson Competencies
Competencies Involve
Involve
the
the Ability
Ability to:
to:
1.
1. Go
Gobeyond
beyondproduct
productneeds
needsto
toassess
assessbusiness
business
potential
potentialand
andadd
addvalue
valueto
tothe
therelationship.
relationship.
2.
2. Understand
Understandthe
thefinancial
financialimpact
impactof
ofthe
the
decisions
decisionsmade
madeby
byyour
yourcompany
companyand
andthe
the
clients
clientsorganization.
organization.
3.
3. Organize
Organizecompany
companyresources
resourcesto
tobuild
build
customer-focused
customer-focusedrelationships.
relationships.
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Salesperson
Salesperson Competencies
Competencies Involve
Involve
the
the Ability
Ability to:
to:
4.
4. Organize
Organizecompany
companyresources
resourcesto
tobuild
build
customer-focused
customer-focusedrelationships.
relationships.
5.5.

Develop
Developconsultative
consultativeproblem
problemsolving
solvingand
andaa
willingness
willingnessto
tochange.
change.

6.
6. Establish
Establishaavision
visionof
ofaacommitted
committed
customer/supplier
customer/supplierrelationship.
relationship.
7.
7. Utilize
Utilizeself-appraisal
self-appraisaland
andcontinuous
continuouslearning
learning
by
byrequesting
requestingfeedback
feedbackfrom
fromcustomers,
customers,
colleagues,
colleagues,and
andmanagers.
managers.
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Sales
Sales Manager
Manager Competencies
Competencies
Involve
Involve the
the Ability
Ability to:
to:
1. Provide
Provide strategic
strategic vision
vision
1.
2. Organize
Organize company
company
2.
resources by
by leveraging
leveraging
resources
relationships
relationships
3. Influence
Influence company
company
3.
strategy
strategy
4. Coach
Coach effectively
effectively
4.
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Sales
Sales Manager
Manager Competencies
Competencies
Involve
Involve the
the Ability
Ability to:
to:
5. Diagnose
Diagnose performance
performance
5.
6. Select
Select high-potential
high-potential
6.
salespeople
salespeople
7. Leverage
Leverage technology
technology
7.
8. Demonstrate
Demonstrate personal
personal
8.
selling effectiveness
effectiveness
selling
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