1. CHAPTER
PERSONAL
SELLING
AND SALES
MANAGEMENT

2. Definition of Personal Selling
Personal selling –
1) two-way flow of communication
2) between a buyer and seller
3) a face-to-face or real time encounter
Why are “ face to face” and “two-way” important?

3. Advantages of Personal Selling
•
Provides a detailed explanation
or demonstration of product
•
Message can be varied to fit the
needs of each prospective customer
•
Can be directed to specific
qualified prospects
•
•
Instant feedback
Personal persuasion can be used
“A good salesman can get
you to buy ice in winter”

4. When to Use Personal Selling
Product has a high value
Product has a high value
Product is custom made
Product is custom made
Product is technically complex
Product is technically complex
There are few customers
There are few customers
Customers are concentrated
Customers are concentrated
Selling image, not product
Selling image, not product

5. Creating Value Through Salespeople
Relationship Selling
building ties to the customer, based on a
salesperson’s attention and commitment to
customer needs over time.

6. Six stages of Personal Selling
1) Prospecting
2) Pre-approach
3) Approach
4) Presentation
5) Close
6) Follow-Up

7. Personal Selling: Prospecting
 Prospect- possible customer
Qualified Prospect-customer who has desire,
means and power to decide
Cold Canvassing- seller initiated contact of,potential
customers without advance warning.

8. Personal Selling:
Pre- Approach & Approach
2) Pre-approach-Gathering information
(when to call, income level, risk tolerance)
3) Approach-First meeting
(Physical impressions highly important-appearance, timeliness,
confidence)

9. Personal Selling:Presentation
A) Stimulus-Response Format – (suggestive selling)
keep suggesting items until the buyer responds, like the
McDonalds order taker
B) Formula Selling Format – more formal and planned,
like a telemarketer
Canned Selling Presentation
Memorized, standardized message
conveyed to every prospect.
Works when seller is a novice or
does not know the buyer well

10. Personal Selling: Presentation
 Need-Satisfaction FormatLet the customer do the talkingSalesman probes, listens then suggests,
like a financial planner
• Adaptive Selling- pro-active but selective
presentation of offerings,
based on pre-approach data
• Consultative Selling – re-active presentation
for problem solution

11. Personal Selling: Presentation
 Handling Objections
• Acknowledge and Convert the Objectionuse the objection as a reason to buy (expensive)
nswer because next info will convince buyer
ated)
nd Neutralize
how the objection’s insignificance (side effects)
Denial
refute objection with clear facts

12. Personal Selling: Close
Trial Close-”Can I put you down for blue or green?”
•Assumptive Close-ask about delivery or warranty choices.
• Urgency Close-”Offer valid for today only.”
• Final Close-Buyer initiated acceptance of the sale.

13. Personal Selling: Follow-Up
Address concerns with delivery and installation,
so today’s customer becomes tomorrow’s
qualified prospect or referral source

14. Sales Force Motivation
• Compensation
• Straight Salary Compensation Plan
• Straight Commission Compensation Plan
• Combination Compensation Plan

15. Sales Force Evaluation
 Quantitative Assessments – sales quotas
easy but ignores selling environment
 Qualitative Assessments – behavioral evaluations
•attitude
•attention
• product knowledge
•selling skills
•appearance and professionalism

16. Personal Selling
Personal selling involves the
Personal selling involves the
two-way flow of communication
two-way flow of communication
between a buyer and seller, often in a
between a buyer and seller, often in a
face-to-face encounter, designed to
face-to-face encounter, designed to
influence a person’s or group’s
influence a person’s or group’s
purchase decision.
purchase decision.

17. Personal Selling Process
The personal selling process consists
The personal selling process consists
of six stages: (1) prospecting,
of six stages: (1) prospecting,
(2) preapproach, (3) approach,
(2) preapproach, (3) approach,
(4) presentation, (5) close, and
(4) presentation, (5) close, and
(6) follow-up.
(6) follow-up.

18. Adaptive Selling
Adaptive selling involves adjusting
Adaptive selling involves adjusting
the presentation to fit the selling
the presentation to fit the selling
situation, such as knowing when to
situation, such as knowing when to
offer solutions and when to ask for
offer solutions and when to ask for
more information.
more information.

19. Consultative Selling
Consultative selling focuses on
Consultative selling focuses on
problem identification, where the
problem identification, where the
salesperson serves as an expert on
salesperson serves as an expert on
problem recognition and resolution.
problem recognition and resolution.