1. 1-1

2. 1-2McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.
Chapter 19
Personal Selling and Sales ManagementPersonal Selling and Sales ManagementPersonal Selling and Sales ManagementPersonal Selling and Sales Management

3. 1-3
After studying this chapter
you should be able to:
• Understand the role and importance of
personal selling in the marketing
communications mix.
• See how the key steps in personal selling
depend on a relationship perspective.
• Identify the similarities and differences in the
job responsibilities of salespeople and sales
managers.

4. 1-4
• Describe the key activities in sales
management.
• Appreciate important ethical issues face
by salespeople and sales managers.
After studying this chapter
you should be able to:

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Personal Selling and Sales
Management
Personal Selling and Sales
Management
• Personal Selling:
– The face-to-face
interaction
between a seller
and a buyer for the
purpose of
satisfying buyer
needs to the
benefit of both
• Sales
Management:
– Provides leadership
and supervision of an
organization’s
personal selling
function.

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The Multiple Roles of
Salespeople
The Multiple Roles of
Salespeople
– Contributions of Personal
Selling to Marketing:
• Producing Sales Revenue
• Meeting Buyer Expectations
• Providing Marketplace
Information

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Job Roles of SalespeopleJob Roles of Salespeople
Business-to-BusinessBusiness-to-Business
Sales Support: Promote product or provide technical
support.
New Business: Sales growth by selling new products
or gaining new customers.
Existing Business: Maintain and build relationships with
established customer base.
Sales Support: Promote product or provide technical
support.
New Business: Sales growth by selling new products
or gaining new customers.
Existing Business: Maintain and build relationships with
established customer base.
Direct-to-ConsumerDirect-to-Consumer
Represent seller in transactions with
ultimate consumers. Includes sales
people in retail, direct selling, real
estate and financial services.
Represent seller in transactions with
ultimate consumers. Includes sales
people in retail, direct selling, real
estate and financial services.

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The Sales Process: A Relationship
Approach
The Sales Process: A Relationship
Approach
Salesperson
Attributes:
• Customer-oriented
• Honest
• Dependable
• Competent
• Likeable
Salesperson
Attributes:
• Customer-oriented
• Honest
• Dependable
• Competent
• Likeable
Initiating Customer
Relationships:
• Prospecting
• Precall Planning
• Approaching the
customer
Initiating Customer
Relationships:
• Prospecting
• Precall Planning
• Approaching the
customer
Selling Strategy:
• Sales Territory
• Each Customer
• Each Sales Call
Selling Strategy:
• Sales Territory
• Each Customer
• Each Sales Call
Developing
Customer
Relationships:
• Sales Presentation
Delivery
• Gaining Customer
Commitment
Developing
Customer
Relationships:
• Sales Presentation
Delivery
• Gaining Customer
Commitment
Enhancing
Customer
Relationships
Enhancing
Customer
Relationships

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Sales Management ActivitiesSales Management Activities
Develop a
Sales Strategy
Develop a
Sales Strategy
Design the
Sales
Organization
Design the
Sales
Organization
Develop the
Salesforce
Develop the
Salesforce
Direct the
Salesforce
Direct the
Salesforce
Determine
Effectiveness &
Performance
Determine
Effectiveness &
Performance

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Developing a Sales StrategyDeveloping a Sales Strategy
Developing a
Relationship
Strategy
Developing a
Sales Channel
Strategy

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Designing the Sales OrganizationDesigning the Sales Organization
• Should salesforce be
generalists or specialists?
• If specialists, should they be
product, market, customer,
or functional specialists?
• Should centralized or
decentralized control be
used?

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Designing the Sales
Organization
Designing the Sales
Organization
• How large should the salesforce
be?
• How should customers and
geographic areas be assigned to
form sales territories?
• How should salesforce turnover
be factored into sales
organization design decisions?

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Developing the SalesforceDeveloping the Salesforce
• Recruiting and Selecting
• Training: Initial and
Continual
• Directing the Salesforce
– Motivation
– Supervision
– Leadership

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Evaluating Performance and
Effectiveness
Evaluating Performance and
Effectiveness
Setting
Standards
Evaluating
Performance
Analyzing
Effectiveness

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Ethical and Legal Issues in Personal
Selling
Ethical and Legal Issues in Personal
Selling
• Strict codes of ethics for sales people.
• Sales managers must take responsibility for the
proper behavior of their salespeople, and they
must lead by example.
• Salespeople should be honest in their dealings
with customers and be informed of relevant
laws governing their business situation.
• Strict codes of ethics for sales people.
• Sales managers must take responsibility for the
proper behavior of their salespeople, and they
must lead by example.
• Salespeople should be honest in their dealings
with customers and be informed of relevant
laws governing their business situation.

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Unethical Sales Behaviors Include:Unethical Sales Behaviors Include:
• Exaggerating features and benefits
• Lies about availability
• Lies about competition
• Sells something people don’t need
• Giving false answers to questions
• Falsifying product testimonials
• Passing blame for their own mistakes
• Pose as market researcher when doing phone sales
• Misrepresent warranties & guarantees
• Make nonbinding oral promises
• Bending company rules
• Selling dangerous or hazardous products
• Exaggerating features and benefits
• Lies about availability
• Lies about competition
• Sells something people don’t need
• Giving false answers to questions
• Falsifying product testimonials
• Passing blame for their own mistakes
• Pose as market researcher when doing phone sales
• Misrepresent warranties & guarantees
• Make nonbinding oral promises
• Bending company rules
• Selling dangerous or hazardous products

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Salesperson Competencies Involve
the Ability to:
Salesperson Competencies Involve
the Ability to:
1. Go beyond product needs to assess business
potential and add value to the relationship.
2. Understand the financial impact of the
decisions made by your company and the
client’s organization.
3. Organize company resources to build
customer-focused relationships.
1. Go beyond product needs to assess business
potential and add value to the relationship.
2. Understand the financial impact of the
decisions made by your company and the
client’s organization.
3. Organize company resources to build
customer-focused relationships.

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4. Organize company resources to build
customer-focused relationships.
5. Develop consultative problem solving and a
willingness to change.
6. Establish a vision of a committed
customer/supplier relationship.
7. Utilize self-appraisal and continuous learning
by requesting feedback from customers,
colleagues, and managers.
4. Organize company resources to build
customer-focused relationships.
5. Develop consultative problem solving and a
willingness to change.
6. Establish a vision of a committed
customer/supplier relationship.
7. Utilize self-appraisal and continuous learning
by requesting feedback from customers,
colleagues, and managers.
Salesperson Competencies Involve
the Ability to:
Salesperson Competencies Involve
the Ability to:

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Sales Manager Competencies
Involve the Ability to:
Sales Manager Competencies
Involve the Ability to:
1. Provide strategic vision
2. Organize company
resources by leveraging
relationships
3. Influence company
strategy
4. Coach effectively
1. Provide strategic vision
2. Organize company
resources by leveraging
relationships
3. Influence company
strategy
4. Coach effectively

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Sales Manager Competencies
Involve the Ability to:
Sales Manager Competencies
Involve the Ability to:
5. Diagnose performance
6. Select high-potential
salespeople
7. Leverage technology
8. Demonstrate personal
selling effectiveness
5. Diagnose performance
6. Select high-potential
salespeople
7. Leverage technology
8. Demonstrate personal
selling effectiveness