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TOPIC 5: SALES MANAGEMENT IN
THE TOURISM AND HOSPITALITY
INDUSTRY
PREPARED BY:
ROSEMIRDA DAULI - 27DUP10F1021
NAZURAH BINTI MOHD RAHIM - 27DUP10F1025
HT618 – SALES &
MARKETING
Success or failure within the
hospitality industry
ultimately rests on the ability
to sell Salesperson covers a
wide range of positions from
order taker to order getter
responsible for relationship
building
The Function of Sales
Sales person can be define as a
person employed to represent a
business to sell its merchandise to
customers in a store or to customers
to make the visited.
Definition of Sales Person
Account
Executive
Sales person
has many
names namely
Agents
Sales
Consultants
Tourism
Development
Representatives
Sales
Manager
Sales
Coordinator
Marketing
Representatives
Sales
Representatives
Sales personnel serve as the
company’s personal link to
customer.
Personal selling is the most
expensive contact and
communication tool used
by the company.
Nature of Tourism Sales
Sales representatives perform one or more of
the following tasks for their companies:
Prospecting
~ Sales
representative
s find and
cultivate new
customer
Targeting
~Sales
representative
decide how to
allocate their
scarce time
among
prospect and
customer
Communicating
~Sales
representative
communicate
information
about the
company ‘s
product and
services
Selling
~Sales
representative
know the art of
salesmanship:
Approaching,
presenting,
answering
objection and
closing sales.
Cont…
Servicing
~ Provide various
services to the
customer
consulting on
their problems
, rendering
, technical
assistance, arran
ging financing
and expediting
delivery
Information
Gathering
~ Conduct
market
research and
intelligence
work and fill it
call reports
Allocating
~ Decide which
customers to
allocate scarce
products to
during product
shortages
Maintaining
Strategic
Partnership
~ Senior
salespeople
including the
sales manager
provide valuable
planning
assistance to
clients
Objective ensure that
corporate goals are met. Goals
include revenue, market share
, improving corporate , image
and many others
Objectives assist sales force
members to plan and execute
their personal sales programs.
Objectives also ensure that a
sales persons time and
company support resources
such as personal computers are
used efficiently.
Sales Force Objectives
Sales objectives are essential for TWO reasons:
Defined as a person
employed to represent
business and to sell its
merchandise to customers in
a store or to customers who
make the visited.
Definition of Sales Representative
Identified the
decision maker,
decision process
and search for
potential buyer.
Get information
about the
competitors
promotion
Maintain the
relationship
with customers
To increase sales
at point of sales.
Prepare a
complete and
recent
information for
customers.
Promote and sell
to other
company, tour
agencies and
other groups.
Roles of Sale Representative
Prospecting and
Qualifying
Pre-Approach
Approach
Presentation
and
Demonstration
Handling
Objection &
Closing
Follow up
Steps in Selling Process
Where they stand with the customer
What they need to do next
Important of Closing Sales
1. Prepare well in advance
2. Assume closing the sale is good for both you and the customer
3. Create opportunities for prospects to disclose objections
4. Team close
5. Create urgency
6. Cut to the chase
7. Listen for the close
8. When you can close, ask for a confession
9. Close on the relationship, not product
10. Communicate a passionate belief in your product and service.
10 strategies to Close Sales
Prevent erosion of
key accounts
Grow key
accounts
Grow selected
marginal accounts
Obtain new
business from
selected
prospects
Retain selected
marginal accounts
but provide lower-
cost sales support
Eliminate selected
marginal account.
General Sales Strategies
Sales Management
Defined as the
management process of
establishing, directing and
coordinating the sales
development activities for
the company products.
Planning Staffing
Sales
Training
Leading
Controlling
Organizational
Resources
Functions of Sales Managements
• Image
• Attitude
• Depth of Knowledge
• Breadth of Knowledge
• Sensitivity
• Enthusiasm
• Maturity
• Professionalism
Eight Qualities of a Professional Salesperson
Marketing Channels in Tourism
• Defined as a set of
independent organizations
involved in the process of
making product or service
available to the consumer or
business user.
Level 1
Principal
Wholesaler
Retailer
Consumer
Level 2
Tour
Operator
Travel
Agency
Tourist
Distribution channel
Travel
Agency
Wholesaler
Tour
Operators
Incentives
Travel
Houses
Independent
Meeting
Planners
Convention
and Visitors
Bureaus
Type of Marketing Channels in Tourism Industry
Travel Intermediaries
• Defined as any person or
entity that assists in the
distribution or travel
products to travelers
Information
- Gathering and distributing marketing research and intelligence
information about the marketing environment
Promotion
- Developing and spreading persuasive communications about an
offer
Contact
- Finding and communicating with prospective buyers
Matching
- Shaping and fitting the offer to the buyers needs, including such
activities as manufacturing, grading, assembling and packaging.
Role of Travel Intermediaries
Cont…
Negotiation
- Agreeing on price and other terms of the offer so that ownership
or possession can be transferred.
Physical Distribution
- Transporting and storing goods.
Financing
- Acquiring and using funds to cover the costs of channel work.
Risk Taking
- Assuming financial risks such as the inability to sell inventory at
full margin.
• Bulk buy from principals
• Prepare tour packages
• Costing, designing and packaging
• Give Travel Agent for further selling
Tour
Operator
• Buy from the wholesalers and sell to
tourists for commission
• Link wholesalers and tourists
• Closer to market and build personal
rapport with consumers
Travel
Agencies
Roles of Tour Operator & Travel Agencies
Standard Package Customized Package
Appeals to mass markets that are price
sensitive
Appeals to tourists who look beyond
economic value and want the package to
offer extra facilities
Costs are less as benefits of bulk purchase
of inputs are obtained
Costs increase
Profits increase through high volume sales Profit increase through value as higher
process can be charged
Better quality can be offered as focus
confines to limited packages
Quality improves because of useful inputs
received from buyers
It can be effective if market is
undifferentiated
It is used when market is differentiated
Comparison of Standard and Customized Packages
Act a single local
contact point and
eliminate the need to
contact many suppliers
Make all arrangements
at the destination
Advise on itinerary
preparation and
packaging
Give local expertise Simplify payment
The function of Inbound operator/agents
Tour Operator Travel Agencies
Create and/or market inclusive tours
and/or subcontracts their travel agents
and/or directly to clients
Intermediaries between tourist
(individual/group/businessman) and tour
wholesaler and operator, transportation
and hotel agent that organize the tour
package cooperation
Get a commission from hotel, recreation
park and shopping mall for the tour
package they organize
It is serves as a negotiator/advisor
because it can suggest the attractive
destinations, hotel and types of suitable
transportation for certain tourist
Different Roles of Tour Operator and Travel Agencies
Sales Management and Marketing in the Tourism Industry

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Sales Management and Marketing in the Tourism Industry

  • 1. TOPIC 5: SALES MANAGEMENT IN THE TOURISM AND HOSPITALITY INDUSTRY PREPARED BY: ROSEMIRDA DAULI - 27DUP10F1021 NAZURAH BINTI MOHD RAHIM - 27DUP10F1025 HT618 – SALES & MARKETING
  • 2. Success or failure within the hospitality industry ultimately rests on the ability to sell Salesperson covers a wide range of positions from order taker to order getter responsible for relationship building The Function of Sales
  • 3. Sales person can be define as a person employed to represent a business to sell its merchandise to customers in a store or to customers to make the visited. Definition of Sales Person
  • 4. Account Executive Sales person has many names namely Agents Sales Consultants Tourism Development Representatives Sales Manager Sales Coordinator Marketing Representatives Sales Representatives
  • 5. Sales personnel serve as the company’s personal link to customer. Personal selling is the most expensive contact and communication tool used by the company. Nature of Tourism Sales
  • 6. Sales representatives perform one or more of the following tasks for their companies: Prospecting ~ Sales representative s find and cultivate new customer Targeting ~Sales representative decide how to allocate their scarce time among prospect and customer Communicating ~Sales representative communicate information about the company ‘s product and services Selling ~Sales representative know the art of salesmanship: Approaching, presenting, answering objection and closing sales.
  • 7. Cont… Servicing ~ Provide various services to the customer consulting on their problems , rendering , technical assistance, arran ging financing and expediting delivery Information Gathering ~ Conduct market research and intelligence work and fill it call reports Allocating ~ Decide which customers to allocate scarce products to during product shortages Maintaining Strategic Partnership ~ Senior salespeople including the sales manager provide valuable planning assistance to clients
  • 8. Objective ensure that corporate goals are met. Goals include revenue, market share , improving corporate , image and many others Objectives assist sales force members to plan and execute their personal sales programs. Objectives also ensure that a sales persons time and company support resources such as personal computers are used efficiently. Sales Force Objectives Sales objectives are essential for TWO reasons:
  • 9. Defined as a person employed to represent business and to sell its merchandise to customers in a store or to customers who make the visited. Definition of Sales Representative
  • 10. Identified the decision maker, decision process and search for potential buyer. Get information about the competitors promotion Maintain the relationship with customers To increase sales at point of sales. Prepare a complete and recent information for customers. Promote and sell to other company, tour agencies and other groups. Roles of Sale Representative
  • 12. Where they stand with the customer What they need to do next Important of Closing Sales
  • 13. 1. Prepare well in advance 2. Assume closing the sale is good for both you and the customer 3. Create opportunities for prospects to disclose objections 4. Team close 5. Create urgency 6. Cut to the chase 7. Listen for the close 8. When you can close, ask for a confession 9. Close on the relationship, not product 10. Communicate a passionate belief in your product and service. 10 strategies to Close Sales
  • 14. Prevent erosion of key accounts Grow key accounts Grow selected marginal accounts Obtain new business from selected prospects Retain selected marginal accounts but provide lower- cost sales support Eliminate selected marginal account. General Sales Strategies
  • 15. Sales Management Defined as the management process of establishing, directing and coordinating the sales development activities for the company products.
  • 17. • Image • Attitude • Depth of Knowledge • Breadth of Knowledge • Sensitivity • Enthusiasm • Maturity • Professionalism Eight Qualities of a Professional Salesperson
  • 18. Marketing Channels in Tourism • Defined as a set of independent organizations involved in the process of making product or service available to the consumer or business user.
  • 21. Travel Intermediaries • Defined as any person or entity that assists in the distribution or travel products to travelers
  • 22. Information - Gathering and distributing marketing research and intelligence information about the marketing environment Promotion - Developing and spreading persuasive communications about an offer Contact - Finding and communicating with prospective buyers Matching - Shaping and fitting the offer to the buyers needs, including such activities as manufacturing, grading, assembling and packaging. Role of Travel Intermediaries
  • 23. Cont… Negotiation - Agreeing on price and other terms of the offer so that ownership or possession can be transferred. Physical Distribution - Transporting and storing goods. Financing - Acquiring and using funds to cover the costs of channel work. Risk Taking - Assuming financial risks such as the inability to sell inventory at full margin.
  • 24. • Bulk buy from principals • Prepare tour packages • Costing, designing and packaging • Give Travel Agent for further selling Tour Operator • Buy from the wholesalers and sell to tourists for commission • Link wholesalers and tourists • Closer to market and build personal rapport with consumers Travel Agencies Roles of Tour Operator & Travel Agencies
  • 25. Standard Package Customized Package Appeals to mass markets that are price sensitive Appeals to tourists who look beyond economic value and want the package to offer extra facilities Costs are less as benefits of bulk purchase of inputs are obtained Costs increase Profits increase through high volume sales Profit increase through value as higher process can be charged Better quality can be offered as focus confines to limited packages Quality improves because of useful inputs received from buyers It can be effective if market is undifferentiated It is used when market is differentiated Comparison of Standard and Customized Packages
  • 26. Act a single local contact point and eliminate the need to contact many suppliers Make all arrangements at the destination Advise on itinerary preparation and packaging Give local expertise Simplify payment The function of Inbound operator/agents
  • 27. Tour Operator Travel Agencies Create and/or market inclusive tours and/or subcontracts their travel agents and/or directly to clients Intermediaries between tourist (individual/group/businessman) and tour wholesaler and operator, transportation and hotel agent that organize the tour package cooperation Get a commission from hotel, recreation park and shopping mall for the tour package they organize It is serves as a negotiator/advisor because it can suggest the attractive destinations, hotel and types of suitable transportation for certain tourist Different Roles of Tour Operator and Travel Agencies