Purpose and content of

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3. Personal selling: personal presentation by the firm’s sales forces for the purpose of engaging customer, making sales and building customer relationships. Salespeople: represents a company to customers by performing one or more of the following activities:

 • Prospecting • Communicating • Selling • Servicing • Information gathering • Relationship building → link the company with the customers. They are very important both in booms and in crisis Types of sales force structure

:A. Territorial: exclusive geographic area where the full line is sold. Less travelling + local relations 

B. Product: special product /product line → Understand better the product (especially complex)

 C. Customer/market: only to few customers/industries → understand better the needs + stronger relations → typically a mix Types of sales force: -a. Outside: travel to meet customers 

-b. Inside: business form the office via telephone/internet/social media / visits. Cheaper, more customers and more info. 

-c. Team selling: team of people from same or different dep. → useful for complex products/ important customers Important traits of sales person: • Motivation • Discipline • Pragmatism • Able to build relations • Ethical • Communication skills • Listener • Know product and company 

Salespeople have to be both supervised and motivated. Means of motivations are: • Monetary compensation: fixed amount + variable amount to motivate for particular action (selling, new customers, training new salespeople) → these have to be balanced in long-term perspective • Organizational climate • Sales meeting 

Personal selling process: 

1) Prospecting and qualifying: potential customers 

2) Preapproach: learn about customer

 3) Approach: meet

 4) Presentation and demonstration: communicate value offered and adjust to customer’s language + listen 

5) Handling objections: clarifications → opportunity

 6) Closing: order

 7) Follow-up: contact to know if everything’s ok and show you care 

8) New sale

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