1-1 9 th edition chapter 1 personal selling and the marketing concept manning and reece part i
TRANSCRIPT
1-1
99THTH EDITION EDITION
CHAPTER 1CHAPTER 1PERSONAL SELLING PERSONAL SELLING AND THE MARKETING AND THE MARKETING CONCEPTCONCEPT
Manning and Reece
PART I
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LEARNING OBJECTIVES Describe contributions of personal selling to
information economy
Define personal selling—discuss as extension of marketing concept
Describe evolution of consulting selling
Define strategic selling and name four strategic areas of selling model
Describe evolution of partnering—discuss how it relates to quality improvement
Explain how value-added strategies enhance personal selling
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CHANGES IN SELLING WORLDWIDE
Scope of competitive selling environmentNecessary skills to sell intangiblesAdjustment to information age
See Table 1-1. 1-4
PERSONAL SELLING IN INFORMATION
AGE
INDUSTRIAL--1950sINDUSTRIAL--1950s
INFORMATION--PRESENTINFORMATION--PRESENT
Evolution from industrial to information economy
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EVOLUTION OF PERSONAL SELLING
MARKETING ERA 1950s CONSULTATIVE SELLING ERA 1960s-1970s STRATEGIC SELLING ERA 1980s PARTNERING ERA 1990s-Present
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SHIFT TO INFORMATION ECONOMY
Advances in transport and manufacturingStrategic resources are capital and natural resourcesProducts and factories define the businessSales success means meeting quotas
Advances in Advances in information information technologytechnologyStrategic resource is Strategic resource is informationinformation
Business defined by Business defined by customer relationscustomer relations
Sales success Sales success depends on adding depends on adding valuevalue
INDUSTRIAL INFORMATION
Figure 1.2 1-7
SELLING MODEL –STEP 1
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PERSONAL SELLING:DEFINITION
PERSON-TO-PERSON COMMUNICATION WITH PROSPECT
– DEVELOPING RELATIONSHIPS– DISCOVERING NEEDS– MATCHING PRODUCTS WITH NEEDS– COMMUNICATION OF BENEFITS– A PROCESS THAT ADDS VALUE
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BROAD CONCEPT OF PRODUCT
INCLUDES: ISSUES INFORMATION IDEAS SERVICES AS WELL AS “HARD GOODS”
EVEN TV NETWORKS REFER TO THEIR SHOWS AS “PRODUCT”
See Slide 15 for context. 1-10
DEVELOP PERSONAL SELLING PHILOSOPHY
ADOPT MARKETING CONCEPTADOPT MARKETING CONCEPT
VALUE PERSONAL SELLINGVALUE PERSONAL SELLING
BE PROBLEM SOLVER/PARTNERBE PROBLEM SOLVER/PARTNER
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PERSONAL SELLING EXTENSION
OF MARKETING CONCEPT
MOVING MOVING FROMFROM
PRODUCT PRODUCT TOTO
CUSTOMERCUSTOMER
ORIENTATION ORIENTATION
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PRODUCTPRODUCTPRODUCTPRODUCT
PLACEPLACEPLACEPLACE
PRICEPRICE
PROMOTIONPROMOTIONPROMOTIONPROMOTION
MARKETING’S FOURP’s-MIX
See Table 1-1 1-13
MARKETING AND CONSULTATIVE ERAS
MARKETING – Sales team as source of strategic Sales team as source of strategic
information on…product--market--information on…product--market--serviceservice
CONSULTATIVE– Emphasis on need identificationEmphasis on need identification– Transactional sellingTransactional selling– Information sharing & negotiation Information sharing & negotiation
replace manipulationreplace manipulation
See Table 1-1 1-14
STRATEGIC AND PARTNERING ERAS
STRATEGIC – Emphasis on strategic market plan Emphasis on strategic market plan – Tactics to achieve strategic planTactics to achieve strategic plan– Product positioning vital Product positioning vital
PARTNERING– Customer, not product, as driving Customer, not product, as driving
forceforce– Emphasis on strategies that create Emphasis on strategies that create
customer valuecustomer value
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A STRATEGIC MARKET PLAN
Outlines necessary methods and resources
Considers areas to be coordinated
Influences the sale of products Serves as guide for strategic selling plan
Production Marketing Production Marketing Finance PersonnelFinance Personnel
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STRATEGY AND TACTICS
STRATEGYSTRATEGY: : Carefully conceived plan required to Carefully conceived plan required to
meet sales objectivesmeet sales objectives
TACTICSTACTICS: : Specific techniques, practices, and Specific techniques, practices, and
methods used in customer interaction methods used in customer interaction
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APPLICATIONAPPLICATION
WHICH IS THE STRATEGY? WHICH WHICH IS THE STRATEGY? WHICH IS THE TACTIC?IS THE TACTIC?– Use a fact sheet comparing Use a fact sheet comparing
wondercell with all other batteries wondercell with all other batteries
– Analyze features of all leading Analyze features of all leading alkaline batteries alkaline batteries
TACTICTACTIC
STRATEGYSTRATEGY
Figure 1.5 1-18
SELLINSELLING G
MODELMODEL
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STEP 1 : DEVELOP PERSONAL SELLING PHILOSOPHY
ADOPT MARKETING CONCEPTADOPT MARKETING CONCEPT
VALUE PERSONAL SELLINGVALUE PERSONAL SELLING
BE PROBLEM SOLVER/PARTNERBE PROBLEM SOLVER/PARTNER
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STEP 2: DEVELOP RELATIONSHIP STRATEGY
ADOPT WIN-WIN APPROACHADOPT WIN-WIN APPROACH
PROJECT PROFESSIONAL IMAGEPROJECT PROFESSIONAL IMAGE
MAINTAIN HIGH ETHICAL STANDARDSMAINTAIN HIGH ETHICAL STANDARDS
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STEP 3: DEVELOP PRODUCT STRATEGY
BECOME PRODUCT BECOME PRODUCT EXPERTEXPERT
SELL BENEFITS, SELL BENEFITS, NOTNOT FEATURES FEATURES
CONFIGURE CONFIGURE VALUE-ADDEDVALUE-ADDED SOLUTIONS SOLUTIONS
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STEP 4: DEVELOP CUSTOMER STRATEGY
UNDERSTAND BUYER BEHAVIORUNDERSTAND BUYER BEHAVIOR
DISCOVER CUSTOMER NEEDSDISCOVER CUSTOMER NEEDS
DEVELOP PROSPECT BASEDEVELOP PROSPECT BASE
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STEP 5: DEVELOP PRESENTATION STRATEGY
PREPARE OBJECTIVESPREPARE OBJECTIVES
DEVELOP PRESENTATION PLANDEVELOP PRESENTATION PLAN
PROVIDE OUTSTANDING SERVICEPROVIDE OUTSTANDING SERVICE
Figure 1.7 1-24
INTERRELATIONSHIP OF BASIC STRATEGIES
See Chapters 5, 11, 15 for info tech applications.
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E-COMMERCE AND COMPLEX SALE
Complex sales involve several forms of information technology
support Tools include:– electronic product catalogselectronic product catalogs– contact management systemscontact management systems– Internet applicationsInternet applications– presentation packages like this onepresentation packages like this one
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EVOLUTION OF PARTNERING
Buzzword of 1990s, business reality in 2000s “Strategically developed long-term relationship that solves customer’s problems” Relationship selling relies on customized
approach to each client Enhanced with high ethical standards and sales automation
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CUSHMANN WAKEFIELD
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STRATEGIC ALLIANCES
Goal: to gain advantage by teaming with other company Can you cite some current examples of strategic alliances? Need to build key win-win situation
Last slide Chapter 1. 1-29
VALUE CREATION
Value = creative improvements enhancing customer experience Consumer economy rewards sales people who add value at each step When customer not aware of value
added by salespeople, focus may shift to price