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Chapter 15
Advertising and Public Relations
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Topics to Cover
• Public Relations– Role and impact– Tools
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Public relations involves building good relations with the company’s various publics by obtaining favorable publicity, building up a good corporate image, and handling or heading off unfavorable rumors, stories, and events
Public relations is used to promote product, people, ideas, and activities
Public Relations
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• Public relations department functions include:– Press relations or press agency– Product publicity– Public affairs– Lobbying– Investor relations– Development
Public RelationsFunctions of PR Department
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Press relations or press agency involves the creation and placing of newsworthy information to attract attention to a person, product, or service
Product publicity involves publicizing specific products
Public RelationsFunctions of PR Department
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Public affairs involves building and maintaining national or local community relations
Lobbying involves building and maintaining relations with legislators and government officials to influence legislation and regulation
Public RelationsFunctions of PR Department
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Investor relations involves maintaining relationships with shareholders and others in the financial community
Development involves public relations with donors or members of nonprofit organizations to gain financial or volunteer support
Public RelationsFunctions of PR Department
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• Lower cost than advertising• Stronger impact on public awareness than
advertising
Public RelationsRole and Impact
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Tools of Public Relations
News SpeechesSpecial events
Written materials
Audiovisual materials
Corporate identity
materials
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Tools of Public Relations
Public service activities Buzz marketing
Social networking Mobile tour marketing
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Chapter 16
Personal Selling and Sales Promotion
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Topics to Cover
• Personal Selling• Role of the Sales Force• Managing the Sales Force
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Personal Selling
Personal selling is the personal presentation of the firm’s sales force for the purpose of making sales and building customer relationships
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Personal Selling
Personal selling is the interpersonal part of the promotion mix and can include:
• Face-to-face communication• Telephone communication• Video or Web conferencing
The Nature of Personal Selling
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Personal Selling
Salespeople are an effective link between the company and its customers to produce customer value and company profit by:
• Representing the company to customers• Representing customers to the company• Working closely with marketing
The Nature of Personal Selling
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Managing the Sales Force
Sales force management is the analysis, planning, implementation, and control of sales force activities
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Managing the Sales ForceDesigning Sales Force Structure
Territorial sales force structure
Product sales force structure
Customer sales force structure
Complex sales force structure
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Managing the Sales ForceDesigning Sales Force Structure
Territorial sales force structure refers to a structure where each salesperson is assigned an exclusive geographic area and sells the company’s full line of products and services to all customers in that territory
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Managing the Sales ForceDesigning Sales Force Structure
Territorial sales force structure• Defines salesperson’s job • Fixes accountability• Lowers sales expenses• Improves relationship building and selling
effectiveness
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Managing the Sales ForceDesigning Sales Force Structure
Product sales force structure refers to a structure where each salesperson sells along product lines
• Improves product knowledge• Can lead to territorial conflicts
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Managing the Sales ForceDesigning Sales Force Structure
Customer sales force structure refers to a structure where each salesperson sells along customer or industry lines
• Improves customer relationships
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Managing the Sales ForceDesigning Sales Force Structure
Complex sales force structure covers a wide variety of products sold to many types of customers over a broad geographic area and combines several types of sales force structures
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Managing the Sales ForceSize of Sales Force
Salespeople are one of the company’s most productive and expensive assets.
• Increases in sales force size can increase sales and costs
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Managing the Sales ForceSize of Sales Force
Workload approach to sales forces size refers to grouping accounts into different classes to determine the number of salespeople needed