Chapter 4

Module 2:
Overview of Personal Selling

Personal Selling
Defined
Personal selling refers to personal
communication with a an audience
through paid personnel of an
organization or its agents.

Module 2:
Overview of Personal Selling

Types of selling
Deliver:- A salesperson whose major task is

to deliver product.
Order Taker:- A salesperson who act as inside
order taker
Missionary:- Indirect help for selling
Demand creator:- Who creates demand in
market
Solution Vendor:- Expertise provide solution.

Module 2:
Overview of Personal Selling

Important Role of Personal Selling

Often the major promotional method
Firms invest in personal selling
Personal selling has importance because:
Products and services are more complex
Competition has greatly increased
Customer demand for quality, value, and
service has risen sharply

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Module 2:
Overview of Personal Selling

Evolution of Personal Selling

Marketing era begins (early 1950s)
Salespeople as a source of strategic information

on product/market/service

Consultative selling era (late 1960s to

early 1970s)
Mass markets break into target markets
Emphasis on need identification
Information sharing and negotiation replace

manipulation

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Module 2:
Overview of Personal Selling

Evolution of Personal Selling

Strategic selling era (early 1980s)
Market niches require more planning
Equal emphasis on strategy and tactics
Product positioning vital

Partnering era (1990 to present)

Customer, not product, as driving force
Emphasis on strategies that create customer

value

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Module 2:
Overview of Personal Selling

Salespeople help

stimulate the economy

Salespeople help with

the diffusion of
innovation

Module 2:
Overview of Personal Selling

Salespeople generate revenue

Salespeople provide market

research and customer feedback

Salespeople become future
leaders in the organization

Module 2:
Overview of Personal Selling

Contributions of Personal
Selling: Salespeople and
theSalespeople
Customer
provide solutions to
problems
Salespeople provide expertise
and serve as information
resources
Salespeople serve as advocates
for the customer when dealing
with the selling organization

Module 2:
Overview of Personal Selling

Classification of
Personal Selling Approaches
Stimulus Response Selling
Mental States Selling
Need Satisfaction Selling
Problem Solving Selling

Module 2:
Overview of Personal Selling

Stimulus Response
Selling
Salesperson
Provides
Stimuli

Buyer
Responses
Sought

Module 2:
Overview of Personal Selling

Continue
Process until
Purchase
Decision

Mental States Selling

Attention

Interest

Thinking

Module 2:
Overview of Personal Selling

Desire

Action

Need Satisfaction Selling

Uncover and
Confirm
Buyer Needs

Present
Offering to
Satisfy
Buyer Needs

Module 2:
Overview of Personal Selling

Continue
Selling until
Purchase
Decision

Define
Problem

Generate
Alternative
Solutions

Evaluate
Alternative
Solutions

Module 2:
Overview of Personal Selling

Continue
Selling
until
Purchase
Decision

The Sales
Process
As a part of selling activities, if salespeople follow
the steps or phases shown below, their chances of
success are far better.
Prospecting &
Qualifying

Preapproach /
Precall planning

Approach

Presentation &
Demonstration

Follow-up &
Service

Trail close /
Closing the sale

Overcoming
Objections

The sequence of above steps may change to meet the

sales situation in hand.
Some of the above steps may not be applicable for selling
to the trade
We now discuss application of above steps to industrial
selling
Module 2:
Overview of Personal Selling

Prospecting
It is identifying or finding prospects i.e.
prospective or potential customers.
Methods of prospecting or sales lead
generation are: (1) referrals from existing
customers, (2) company sources (website, ads.,
tradeshow, teleprospecting), (3) external sources
(suppliers, intermediaries, trade associations), (4)
salespersons networking, (5) industrial directories

Qualifying
Companies qualify sales leads by contacting them

by mail or phone to find their interests (or needs)

and financial capacity.
Leads are categorized as: Hot, Warm, and Cool
Module 2:
Overview of Personal Selling

Preapproac
h
Information

gathering

about

the

prospect.
Sources of information: the Internet,
industrial
directories,governmentpublications,
intermediaries, etc.
Precall planning
Setting call objectives
Tentative

planning of sales strategy: which

products, features and benefits may meet the
customer needs
Module 2:
Overview of Personal Selling

Approac
h
Make an appointment to meet
prospect
Make favorable first impression
Select an approach technique:

the

Introductory
Customer benefit
Product
Question

The approach takes a few minutes of a call, but it

can make or break a sale
Module 2:
Overview of Personal Selling

Presentation and
Demonstration
There are four components:
Understanding the buyers needs
Knowing sales presentation methods /

strategies
Developing an effective presentation
Using demonstration as a tool for selling

We will examine each of the above points

Module 2:
Overview of Personal Selling

Developing an Effective
Presentation
Some of the guidelines are:
Plan the sales call
Adopt presentation to the situation and

person
Communicate the benefits of the purchase
Present relevant and limited information at a
time
Use the prospects language
Make the presentation convincing give
evidence
Use technology like multi-media presentation
Module 2:
Overview of Personal Selling

Using
Demonstration
Sales presentation can be improved by

demonstration
Demonstration is one of the important
selling tools EGs: Test drive of cars;
demonstration of industrial products in use
Benefits of using demonstration for selling
are:
Buyers objections are cleared
Improves the buyers purchasing interest
Helps to find specific benefits of the prospect
The prospect can experience the benefit
Module 2:
Overview of Personal Selling

Overcoming Sales Objections /

Resistances
Objections take place during presentations

/ when the order is asked

Two types of sales objections:
Psychological / hidden
Logical (real or practical)

Methods for handling and overcoming

objections: (a) ask questions, (b) turn an

objection into a benefit, (c) deny objections
tactfully, (d) third-party certificate, (e)
compensation
Module 2:
Overview of Personal Selling

Trial close and Closing the

sale
Trial close checks the attitude or opinion of

the prospect, before closing the sale (or

asking for the order)
If the response to trial close question is
favourable, then the salesperson should
close the sale

Module 2:
Overview of Personal Selling

Follow-up and
Service
Necessary for customer satisfaction
Successful salespeople follow-up in

different ways: For example,

Check order details
Follow through delivery schedule
Visit when the product is delivered
Build long-term relationship
Arrange warranty service

Module 2:
Overview of Personal Selling