1. Explain the
nature & scope
of the selling
function
Marketing 1.02A Notes

2. What is Selling?
 Sellingis responding to consumer needs
and wants through planned, personalized
communication in order to influence
purchase decisions and ensure
satisfaction.
 Planned communication
 Personalized communication
 Influences purchase decisions
 Should ensure customer satisfaction

3. Individuals that sell
A farmer sells produce at
a roadside stand
 An artisan sells handmade
baskets at a craft show
 A doctor treats a patient
 A retailer sells a DVD
player
 A hairstylist gives a haircut
 An accountant prepares a
customer’s tax forms

4. Groups that sell
 Department stores buy shoes to resell to
customers
 Wholesaler buys candy to resell at a
grocery store
 College bookstore buys books to resell to
students

5. Organizations/Agencies that
sell for use in operations
 Some are used to produce other goods
 Pizza restaurant buying pepperoni for its pizza
 Furniture manufacturer buys fabric to use on its
chairs/sofas
 Some are used for general operating
purposes
 Pizza restaurant purchases ovens to bake its
pizzas in
 Furniture manufacturer purchases trucks for
delivering its products to wholesalers and
retailers

6. Types of Items Sold
 Tangible
products are those items that
can be touched, smelled, tasted, seen or
heard.
 Clothes
 Houses
 Food
 DVDs

7. Types of Items Sold
 Intangible products are productive
activities that we pay someone else to
perform
 They are services provided to customers
 Dry cleaning
 Lawn care
 Health care

8. Tangible & Intangible Items
 Tangible products have intangible
aspects to them
 Intangible products have tangible
aspects attached to them as well
 A diamond engagement ring is
tangible, but it signifies many intangible
feelings and emotions, such as love and
commitment.

9. Where Selling Occurs
 Selling
happens anywhere person-to-
person contact is made.
 Over the phone
 On the doorstep of a person’s home
 At a customer’s place of business
 In a store or office

10. How Products Are Sold
 Some goods and services
are sold directly to the
consumer or user without
the use of a wholesaler or
retailer.
 Selling magazines door-to-
door
 Selling candy to friends and
relatives to raise money for a
student organization
 Selling products such as
cosmetics and Tupperware
through home shows

11. How Products Are Sold
 Goods and services sold indirectly to the
consumer by intermediaries (wholesalers
& retailers)
 Video stores purchase from suppliers and
then sell or rent DVDs to customers
 An athlete’s agent gets him/her a five-yr
contract with a professional sports team

12. Role of Selling in a Market
Economy
 Selling keeps our economy moving
 Businesses buy resources (natural, human,
capital) to be used in the production of
goods and services and sell to the market
that wants them
 Manufacturers
 Wholesalers
 Retailers
 Individuals and households

13. Role of Selling in a Market
Economy
 Individualssell their resources to
businesses to help in the production of
goods and services
 No economic flow
 Keeps our economy moving

14. Role of Selling in a Market
Economy
 Selling promotes competition
 All businesses compete for scarce customer
dollars
 Sell the most products + satisfy customer
needs + best prices = success
 Develop new or improved products to
make more sales than their competitors

15. Roles of Selling in a Market
Economy
 Selling affects employment
 Jobs depend on making sales
 Businesses grow, more salespeople are
hired to keep up with the demand of
products
 Example: Starbucks

16. Roles of Selling in a Market
Economy
 Selling adds utility.
 Products can be “in the right place at the right
time”
 Creating customer desire
 Suggest accessories to go with an outfit
 Selling helps customers determine needs
 Enables customers to receive help with their
buying problems
 Customers can determine their needs and
select products that are right for them

17. Roles of Selling in a Market
Economy
 Selling creates desire for products
 Create desire for new or established
products
 Determine customers’ needs, wants, and
buying motives
 Explaining product features and benefits to
customers
 Heightening their desire through the use of
demonstrations

18. Characteristics of a Successful
Salespeople
 Education and Training
 Self-Motivation
 Self-Confidence
 Product Knowledge
 Customer Knowledge
 Ethics
 Persistence and Patience
 Selling Skills

19. Characteristics of Successful
Salespeople
 Belief
in selling as a service
 Communication Skills
 Creativity
 Personal Appearance