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Personal selling



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  • 1. Personal Selling
  • 2. Types of Communication Promotion Advertising Public Relations Marketing Product Place Price Sales Promotion Direct Marketing Personal Selling
  • 3. Definition
    • Personal Selling- is direct oral communication designed to explain how an individual’s or firm’s goods, services, or ideas fit the needs of one or more prospective customers
  • 4. Types of Salespeople
    • Personal Selling Tasks
      • Order-getting
      • Order-taking
      • Supporting
  • 5. The Selling Environment
    • Three Selling Environments
      • Telemarketing
      • Over-the-Counter Selling
      • Field Selling
  • 6. The Selling Environment
    • Over-the-Counter Selling
      • Usually conducted in retail outlets
      • Order taker- is a salesperson who only processes the purchase that the customer has already selected
      • Order getter- is a salesperson who seeks to actively provide information to prospects, persuade prospective customers, and close the sales
        • Suggestion selling- occurs when the salesperson points out available complementary items in line with the selected item(s), in order to encourage an additional purchase
  • 7. The Selling Environment
    • Field Selling
      • Involves calling on prospective customers in either their business or home locations (be order takers or order getters)
      • Professional Salespeople
      • National Account Managers -highly skilled salespersons who call on key customers’ headquarters sites, develop strategic plans for the accounts, make formal presentations to top-level executives, and assist with all the product decisions at that level
      • Missionary Salespeople- they do not seek to obtain a direct order from their customers, their primary goal is to persuade customers to place orders with distributors or wholesalers
      • Support Salespeople- help the order-oriented salespeople-but they don’t try to get orders themselves
  • 8. Personal Selling Objectives
    • To do the entire job ( Assumption that there are no other elements present)
    • To service existing accounts ( Maintain contacts with present customers)
    • To search & obtain new customers
    • To secure & maintain customer’s cooperation in stocking & promoting product line
    • To provide advice & assistance to middlemen on management’s problems
  • 9. Personal Selling Objectives
    • To keep customers informed on changes in the product line & other aspects of marketing strategy
    • To assist customers in selling the product line
    • To provide technical advice & assistance to customers
    • To assist with training of middlemen's sales personnel
    • To collect & report market information of interest & use to company management
  • 10. The Sales Process Prospecting/ Qualifying Preapproach/ Planning Presentation Handling Objections Closing the Sale Approach Follow up Identifying Needs Identifying Needs
  • 11. Prospecting
    • What is the difference between a lead and a prospect?
    • A lead is a person or organization that might possibly have a need for the company’s product or service
    • A prospect is a lead that has been qualified in terms of need or want, ability to buy, authority to buy, accessibility, and eligibility
    • (Source: Hite and Johnston)
  • 12. Prospecting
    • Ability to Buy
    • The lead must have the ability to pay for the product or service
    • How can the salesperson qualify the lead?
        • Financial status and credit rating
        • Local credit agencies
        • Noncompetitive salespeople
        • Local banks
        • Better Business Bureaus
    • May ask the lead if they can afford to buy what they want
            • (Source: Hite and Johnston)
  • 13. Prospecting
    • Authority to Buy
    • In many firms the actual purchasing authority is not in the hands of the purchasing agent
    • A buying committee often makes the buying decision, and the purchasing agent only carries out the committee’s mandate
            • (Source: Hite and Johnston)
  • 14. Prospecting
    • Accessibility
    • The person with the authority to buy may be completely inaccessible
    • Unless the person can be contacted, the lead does not become a prospect
            • (Source: Hite and Johnston)
  • 15. Prospecting
    • Eligibility
    • Some companies sell only thorough distributors or wholesalers.
    • If a company sells to direct customers, it may run the risk of alienating its retail customers or wholesalers
            • (Source: Hite and Johnston)
  • 16. Planning
    • The selling process should not be looked upon as a conflict between salesperson and prospect
    • People don’t always like to be sold, but PEOPLE LOVE TO BUY
    • When selling is approached as a conflict the worst is brought out in both the buyer and the seller
    • Selling should be approached as a problem-solving, helping situation
            • (Source: Hite and Johnston)
  • 17. Planning
    • The sales presentation must be organized
    • With organization most people will increase their sales
    • The purpose of an organized sales presentation is to present ideas so systematically that they lead to action on the buyer’s part—a purchase
    • Most prospects are not organized to buy, they must be shown reasons for buying
            • (Source: Hite and Johnston)
  • 18. Planning
    • Why Salespeople Should Plan Their Calls
    • 1) Builds self-confidence
    • 2) Develops an atmosphere of goodwill and trust will buyer
    • 3) Professionalism
    • 4) Increases sales due to preparedness
            • (Source: Futrell)
  • 19. Planning
    • Developing the Presentation
    • Features vs. Benefits
    • How to promote Benefits?
    • Use of visual aids
            • (Source: Hite and Johnston)
  • 20. Planning
      • The Organized Sales Presentation
      • Feature- Something important or outstanding that the manufacturer, provider, or seller has either included with, eliminated from, or made available in our product or services
      • Benefit- What the feature will do for, or give to, the prospect
            • (Source: Huisken)
  • 21. Planning
    • Acquiring Sales Opportunities
    • Once the sales presentation has been organized, the opportunity to make the presentation must be secured
    • 1) Contact the correct person (one who can make the buying decision)
    • 2) Contact the person at the most opportune time
    • 3) Decide whether an appointment or a cold call is best
    • 4) Know how to secure a sales presentation when making a cold call
            • (Source: Hite and Johnston)
  • 22. The Approach
    • Purpose: Develop mutual trust and empathy
      • Key elements to building acceptance
        • 1) Physical appearance
        • 2) Ability to ask questions
        • 3) Willingness to be a good listener
        • 4) Skill in getting the prospects to talk about themselves or something of interest to them
        • Offering a compliment on something the prospect has done
            • (Source: Hite and Johnston)
  • 23. The Presentation
    • The general problem
    • The specific problem
    • The company’s product or service as the preferred solution
    • The close
            • (Source: Hite and Johnston)
  • 24. Objections
    • Why objections?
    • Prospect may be afraid of purchasing the wrong type of product
    • The salesperson should welcome objections
      • The most difficult prospect to handle is one who says “no” and gives no reason
      • Objections should not be taken personally
            • (Source: Hite and Johnston)
  • 25. Objections
    • Anticipating Objections
    • The salesperson should anticipating objections
    • Objections should never be ignored
    • Most of the time they should be answered immediately, but occasionally they should be put off
    • If the objections is not answered immediately, the prospect may hear little of what else is said
            • (Source: Hite and Johnston)
  • 26. Objections
    • Types of Objections
      • 1) Price
      • 2) Product
      • 3) Timing
      • 4) Source
      • 5) Service
      • 6) Need
            • (Source: Hite and Johnston)
  • 27. Closing the Sale
    • Viewed as part of the total selling process that will naturally occur if the salesperson meets the desires of the prospect
    • Close- a question or action by the salesperson intended to evoke a favorable decision from the prospect
            • (Source: Hite and Johnston)
  • 28. Closing the Sale
    • How to Close the Sale
      • Direct close
      • Assumptive close
      • Summative close
      • Demonstration close
      • Negative close
      • Special concession close
            • (Source: Hite and Johnston)
  • 29. Closing the Sale
    • Problems with Closing the Sale
      • 1) Problems with the Prospect
      • 2) Problems with the Salesperson
  • 30. Closing the Sale
    • Problems with the Prospect
      • Prospects may be afraid to buy
      • Industrial buyers often face greater risks that than the seller
      • Industrial buyer must consider:
        • 1) Judge the supplier in terms of reliability, capability, and value
        • 2) Companies budget
        • 3) Goals of the firm
        • 4) Capabilities of the equipment being considered
        • 5) Complying with regulations
        • 6) The buyer’s personal reputation as an effective purchaser
            • (Source: Hite and Johnston)
  • 31. Closing the Sale
    • Problems with the Salesperson
      • 1) Fear of rejection
      • 2) Wrong attitude
      • 3) Talking too much
      • 4) Inadequate presentation
      • 5) Improper prospecting
            • (Source: Hite and Johnston)
  • 32. Follow Up
    • Good for repeat business
    • Set delivery times
    • Purchase terms
    • Other details
    • Reduce cognitive dissonance