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•Personal selling is the interpersonal part of the promotion mix and can include:
• Face-to-face communication
• Telephone communication
• Video or Web conferencing
Personal Selling
The Nature of Personal Selling
Salespeople are an effective link between the company and its customers to
produce customer value and company profit by
• Representing the company to customers
• Representing customers to the company
• Working closely with marketing
Managing the Sales Force
Customer sales force structure: each salesperson sells along customer or industry
lines.
• Improves customer relationships
Managing the Sales Force
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1. Classify customers, both present and prospective,
into sales volume potential categories
1. Class A, Large 150 accounts
2. Class B, Medium 220
3. Class C, Small 510…..Total 880
2. Decide on length of time per sales call and desired
call frequencies on each class
1. Class A: 60 min./call * 52 calls/yr = 52 hrs/yr.
2. Class B: 30 min./call*24 calls/yr = 12 hrs/yr.
3. Class C: 15 min./call*12 calls/yr = 3 hrs/yr.
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3. Calculate the total work load involved in covering the
entire mkt.
Class A: 150 accounts* 52 hrs/yr. = 7800 hrs
Class B: 220 accounts*12 hrs/yr. = 2640 hrs
Class C: 510 accounts* 3 hrs/yr. = 1530 hrs
Total = 11970 hrs
4. Determine the total work time available per
salesperson
Suppose mgt. decides that salespeople should work
40 hrs per week, 48 weeks per yr, then
40 hrs/week * 48 weeks = 1920 hrs/yr.
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5. Divide the total work time available per salesperson
by task.
assume that mgt. specifies that sales personnel
should apportion their time as follows
Selling task 45 % 864 hrs
non selling task 30 % 576 hrs
Travelling 25 % 480 hrs
total 1920 hrs
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6. Calculate the total no. of salespeople needed.
11970hrs/864 hrs = 14 salespeople needed
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Managing the Sales Force
Designing Sales Force Strategy and Structure
• Outside sales force (field sales force) are salespeople who travel to call on
customers in the field.
• Inside sales force are salespeople who conduct business from their offices via
telephone, online and social media interactions, or visits from prospective buyers.
• Team selling involves Using teams of people from sales, marketing, engineering,
finance, technical support, and even upper management to service large,
complex accounts.
Managing the Sales Force
Recruiting and Selecting Salespeople
Training Salespeople
• Goals of training
• Customer knowledge
• Selling process
• Knowledge of products, company, competitors
Managing the Sales Force
Compensating Salespeople
Fixed Variable
amounts amounts
Fringe
Expenses
benefits
Managing the Sales Force
Objectives Approaches
Follow-up is the last step in which the salesperson follows up after the sale to
ensure customer satisfaction and repeat business.
The Personal Selling Process
Steps in the Personal Selling Process
Personal selling is transaction-oriented to close a specific sale with a specific
customer.
The long-term goal of personal selling is to develop a mutually profitable
relationship.
Sales Promotion
Specialty
Discount Allowance Free goods
advertising
Sales Promotion