1、Sales Management 761Jim StoddardAN OVERVIEW OF CONTEMPORARY SALES MANAGEMENT 31.PLANNING:32.IMPLEMENTATION:43.EVALUATION AND CONTROL:4AN OVERVIEW OF PERSONAL SELLIN 51.ALTERNATIVE SELLING TECHNIQUES52.PROSPECTING63.THE PREAPPROACH74.Qualifying the prospect:75.THE APPROACH76.THE PRESENTATION87.MEETIN

2、G OBJECTIONS98.CLOSE99.FOLLOW-UP CAREER STAGES10CORPORATE, BUSINESS, AND MARKETING STRATEGIES111.PORTER'S TYPOLOGY OF COMPETITIVE STRATEGIES122.MILES AND SNOW COMPETITIVE STRATEGY TYPOLOGY12ACCOUNT MANAGEMENT AND ACCOUNT COVERAGE STRATEGIES141.COMMUNICATION TASKS APPROPRIATE FOR PERSONAL SELLING

3、一五2.PARTICIPANTS IN THE ORGANIZATIONAL BUYING PROCESS16ORGANIZING THE ACTIVITIES OF SALES MANAGERS AND SALES PEOPLE171.ECONOMIC METHOD OF DETERMINING IF OUTSIDE AGENTS ARE APPROPRIATE一八2.CONTROL AND STRATEGIC CRITERIA FOR DETERMINING IF A COMPANY SALES FORCE SHOULD BE USED一八3.HORIZONTAL ORGANIZATION

4、AL STRUCTURES19ALLOCATING SELLING EFFORT AND DESIGNING SALES TERRITORIES22STAFFING THE SALES FORCE: RECRUITMENT AND SELECTION241.CONTENT OF THE JOB DESCRIPTION242.METHODS FOR DECIDING ON SELECTION CRITERIA253.SOURCES OF RECRUITS25CONTINUAL DEVELOPMENT OF THE SALES FORCE: SALES TRAINING27SALES FORCE

5、MOTIVATION30MANAGING SALES FORCE REWARD SYSTEMS33LEADERSHIP36DEMAND ASSESSMENT AND SALES QUOTAS40EVALUATION AND CONTROL45PERFORMANCE EVALUATION48ACKNOWLEDGEMENTS50CHAPTER 1 AN OVERVIEW OF CONTEMPORARY SALES MANAGEMENTSales force management is the management of the personal selling component of an or

6、ganization's marketing program.The activities involved in managing the personal selling function include:1. The formation of the strategic plan (PLANNING). 2. The implementation of the sales program (IMPLEMENTATION).3.The evaluation and control of sales force performance (CONTROL). -1. PLANNING:

7、The formation of a strategic sales program requires five major sets of decisions:1.How can the personal selling effort best be adapted to the COMPANY'S ENVIRONMENT and integrated with other elements of the firm's marketing strategy?2.How can various types of potential customers be best appro

8、ached? persuaded? serviced? What ACCOUNT MANAGEMENT POLICIES should be adopted?3.How should the sales force be ORGANIZED to call on and manage various types of customers as efficiently and effectively as possible?4.What level of performance should each member of a sales force be expected to attain d

9、uring the next planning period? This involves FORECASTING DEMAND and setting QUOTAS AND BUDGETS.5.How should the sales force be deployed? How should sales territories be defined? What is the best way for each sales person's time to be allocated within his or her territory? This involves decision

10、s about TIME AND TERRITORY MANAGEMENT.2. IMPLEMENTATION:Implementing a sales program involves motivating and directing the behavior of the sales force.At least 5 factors influence a sales person's job behavior and performance:1. Environmental variables2. Role perceptions4.Skill level5.Motivation

11、 levelImplementing a sales program involves designing policies and procedures so that the job behavior and performance of each sales person is shaped and directed toward the firms objectives and performance goals.3. EVALUATION AND CONTROL:Evaluation and control is the process of measuring and assess

12、ing the performance of a sales person or sales force.There are 3 major approaches that a company might utilize to evaluate and control the sales force and monitor sales program performance:1. Sales analysis approach (Volume)2. Cost analysis approach (Costs)3. Behavior analysis approachCHAPTER 2AN OV

13、ERVIEW OF PERSONAL SELLINGRetail Selling - involves selling goods and services to ultimate consumers for their own personal use.Examples:door-to-door salespeopleinsurance agentsreal estate brokersretail store clerks Industrial Selling - is the sale of goods and services at the wholesale level. Indus

14、trial selling involves 3 types of customers:1.Sales to resellers (i.e., retailers)2. Sales to business users (i.e., manufacturers)3.Sales to institutions (i.e., hospitals or governments)Similarities between retail and industrial selling:- require interpersonal skill- require solid knowledge of the p

15、roducts being sold- require an ability to discover the customer's needs and problems Differences between retail and industrial selling:- industrial goods and services are more expensive and technically complex - industrial customers tend to be larger and engage in extensive decision making proce

16、sses involving many people within their company 1. ALTERNATIVE SELLING TECHNIQUESMost selling techniques conform to one of four broad philosophical orientations or approaches toward dealing with customers:1.The stimulus-response approach - based on the notion that every sensory stimulus produces a r

17、esponse. Sales recruits learn what to say (the stimulus) and what the buyers are likely to say (the response) in most circumstances.2. Mental-states approach - based on the idea that a buyer's mind passes through successive stages before he or she decides to make a purchase. Based on the AIDA th

18、eory of persuasion (Attention, Interest, Desire, Action). Selling "formulas" are used to design a sales presentation that coincides with the buyers movement through the stages. 3. Need-satisfaction approach - based on the idea that customers are to be served rather than products sold.Custo

19、mers needs are the starting point in making a sale. The sales person's task is to identify the prospects needs, make the prospect aware of that need, and then persuade the prospect that his or her product or service will satisfy that need better than any other alternative. 4. Problem-solving app

20、roach - similar to the need-satisfaction approach except that the sales person goes one step further to help the prospect identify SEVERAL alternative solutions, analyze their advantages and disadvantages, and select the best solution. 2. PROSPECTINGProspecting - is the method or system by which sal

21、es people learn the names of the people who need the product and can afford it.Names and addresses of good prospects can be obtained in a number of ways:1. sales managers can prepare lists of prospects.2.customers can suggest new leads (snowball technique).3. present users may want new or different

22、models.4xpetitors customers can make good prospects.5.trade association and industry directories.6.telephone directories.7.other sales people.8.suppliers, social and professional contacts.One question that must be addressed by a firm's account management policies is how much emphasis sales peopl

23、e should give to prospecting for new customers versus servicing new accounts.In general, sales reps should devote a large percentage of time to prospecting if:1.If the firm's product is in the introductory stage of its product life cycle.2.If it is an infrequently purchased durable good.3.If the

24、 typical customer does not require much service after the sale.On the other hand, sales reps should spend most of their effort servicing existing customers if:1.The firm has a large market share.2. The firm sells frequently purchased nondurable products.3.The firm's products require substantial

25、service after the sale to guarantee customer satisfaction.3. THE PREAPPROACHPreapproach - includes all the information gathering activities necessary to learn relevant facts about the prospect and his or her needs and situation.The preapproach consists of four functions:1.To qualify the lead or disc

26、lose the party's needs and ability to pay.2.To provide information that will enable the seller to tailor the presentation to the prospect.3.To provide information that may keep the sales rep from making serious tactical errors during the presentation.4.To increase the sales reps confidence to fe

27、el able to handle what ever may arise during the sale.4. Qualifying the prospect:Before the sales person attempts to set up an appointment for a major sales presentation, he or she should determine whether the prospect qualifies as a worthwhile potential customer.Qualification involves finding the a

28、nswers to three important questions:1.Does the prospect have a need for my product or service?2.Can I make the people that are responsible for buying so aware of that need that I can make a sale?3.Will the sale be profitable to my company?5. THE APPROACHApproach - inspires interest in hearing more a

29、bout the proposition, makes an easy transition into the presentation, and gets the prospects attention.For most sales training programs, six basic approaches are used:1.Introductory approach - the sales rep merely introduces him/herself and identifies the company he or she represents.2.Assessment ap

30、proach - the sales rep opens the interview with a plea for information or permission to investigate the company's problem.3.Product approach - consists of handing the product to the prospect, with little or no conversation.4.Customer-benefit approach - the sales rep selects a benefit package tha

31、t will likely be of most interest to the prospect - based on what is known about the situation.5.Referral approach - the sales rep receives permission of past or present customers to use their names as a reference in meeting a new prospect.6.Consultative approach - the sales rep opens the sale by ge

32、tting the prospect to talk about the problem.6. THE PRESENTATIONPresentation - the main body of the sale where the sales rep presents the product or proposition and shows the prospect its benefits.Good sales presentations are built around a forceful product demonstration.Canned presentations are pre

33、pared sales presentations.Advantages:1. gives new sales people confidence.2. can utilize sales techniques proven effective.3. gives some assurance that the complete story will be told.4. greatly simplifies sales training.Through out the presentation the sales rep makes trial closes to determine whet

34、her the customer is ready to buy. This can be done by asking such questions as:Which model do you like best? Which color do you prefer? Cash or financing? If all goes well in the trial close, the sales rep goes right on into an assumptive close and wraps up the sale.A sales rep using an assumptive c

35、lose assumes that the sale has been made. The sales rep starts filling out the order form.However, if all does not go well, the next phase of selling (i.e., meeting objections) must be undertaken.Points to keep in mind concerning sales presentations: 1. Don't run down competitors. 2. Don't b

36、e too aggressive or abrasive.3. Have full knowledge of competitor's products.4. Have full knowledge of customer's business.5. Keep the presentation simple.6. Seek credibility7. MEETING OBJECTIONSMeeting Objections - objections should be welcomed and indicate that the prospect has some intere

37、st in the proposition.Stated versus hidden objections:Stated objections may be phoney.Objection to price and product:To price: price too high or prospect can not afford the price.Procrastinating objections:Examples include:1. Let me think about it for a while.2. I have to talk it over with my family

38、.3. I have to wait until next pay check.4. I have to look around some more.8. CLOSEClose - asking for the order.There are 5 types of closing methods.1.The assumptive close - merely assume prospects are going to buy and begin taking orders by asking questions.2.The physical-action close - hand the pr

39、ospect a pen as an indication it's time to sign.3.The standing-room-only close - sales rep tells prospect the product is hard to get in the hopes that the prospect will sign the order.4.The trap close - using the prospects objections to close the sale.5.The special offer close - giving the custo

40、mer a special offer to induce them to buy.9. FOLLOW-UP CAREER STAGESRecent research has identified 4 distinct career stages that sales people go through during the course of their careers.1.Exploration - people in the earliest stages of their careers (typically their 20's). They are often unsure

41、 about whether selling is the most appropriate occupation for them to pursue and whether they can be successful sales people.2.Establishment - people in this stage (late 2-'s - early 30's) have settled on an occupation and desire to build it into a successful career.Primary concern - improvi

42、ng skills and performance and value compensation and promotion. 3.Maintenance - this stage normally begins around the sales persons late 30's or early 40's.Primary concern - retaining present position, status, and performance level within the sales force, which are likely to be quite high. B

43、y this stage both the opportunity and desire for promotion diminishes. 4.Disengagement - people begin preparing themselves for retirement and the possible loss of self-identity that can accompany separation from the job (late 50's - early 60's).During this stage, sales people psychologically

44、 withdraw from their job, after seeking to maintain just an "acceptable" level of performance with a minimum amount of effort so that they can develop their interests outside of work. CHAPTER 5 CORPORATE, BUSINESS, AND MARKETING STRATEGIESI.Relations Among Environmental Factors, Marketing

45、Plans, and the Sales ProgramA.To be successful, a firm's plans must be adapted to the influences of the external and internal corporate environments. As these environments change, appropriate adjustments should be made in the firm's marketing strategy.B.A firms sales program is only one part

46、 of an integrated marketing strategy. As changes are made in other parts of the marketing strategy, the sales program must be adjusted if it is to remain effective.C.Regardless of how well conceived a sales program is, or how well it is integrated into a firms overall marketing strategy, its impleme

47、ntation depends on the willingness and ability of individual members of the sales force to carry out its policies and procedures. Factors in the external and corporate environments can directly influence a sales person's actions in the field and his or her ability to achieve the desired level of

48、 performance. II. Marketing PlanningA. Importance of PlanningPlanning - is deciding what to do in the present to achieve what is desired in the future. It requires decisions concerning the firm's goals and objectives for the future and the actions that should be taken to accomplish them. A strat

49、egy is a statement of the fundamental pattern of present and planned objectives, resource deployments, and interactions with markets, competitors, and other environmental factors that indicate how an organization - or subunit or department within an organization - intends to survive and prosper over

50、 time. B. The Planning Process - Types of PlansA sales program constitutes only one part of a marketing plan, and the marketing plan is only one element of the total strategic plan in most firms. Strategic planning in most large firms typically occurs in several stages which guide activities at diff

51、erent levels within the organization. This hierarchy of plans commonly includes the following:1. The Corporate Strategic Plan2. Strategic Business Unit Plans3. Marketing Plans4. Programs for Individual Marketing FunctionsC. The Marketing Planning Process1. PORTER'S TYPOLOGY OF COMPETITIVE STRATE

52、GIES1.Low Cost Strategies - position a supplier as a high volume producer with tight cost and overhead control. Capitalizes on economies of scale. Associated with relatively high market share.2.Differentiation Strategies - the creation of something perceived industry-wide as being unique. Provides i

53、nsulation against competitive rivalry because of brand loyalty and decreased price sensitivity.3.Niche Strategies - serving a particular target market, although market share in the industry might be low, the firm dominates a segment within the industry.2. MILES AND SNOW COMPETITIVE STRATEGY TYPOLOGY

54、1.Prospectors - attempt to pioneer in both product and market development.2.Defenders - offer a limited, stable product line to a predictable (i.e., nonchanging) market. Emphasize being the low-cost producer.3.Analyzers - pioneer in new products and markets while at the same time retain a foothold i

55、n mature markets.4.Reactors - don't do anything proactive, they simply attempt to survive by reacting to environmental conditions.III. Environmental Impact on Marketing and Sales PlanningFactors both internal and external to the firm affect the feasibility of marketing strategies and programs. E

56、nvironmental factors influence marketing strategies sand programs in four basic ways:1.Environmental factors can constrain the organizations ability to pursue certain marketing strategies or activities. 2.Environmental variables, and changes in those variables over time, help determine the ultimate

57、success or failure of marketing strategies.3.Changes in the environment can create new marketing opportunities for an organization.4.Environmental variables themselves are affected and changed by marketing activities.Therefore, one of the most important parts of a marketing managers job is to monitor the environment and predict how it might change and develop marketing strategies suited to environmental conditions. External Environmental Variables:1.Economic a. total potential demand b. level of competitionc. distribution s