This document discusses marketing, sales management, and the interaction between marketing and sales departments. It provides definitions of marketing as managing profitable customer relationships and outlines the marketing process. It also defines sales management and discusses the responsibilities of sales managers and salespeople. The document notes that customers are becoming more sophisticated, demanding solutions over products, and requiring more complex selling. It suggests salespeople will need to develop deeper customer knowledge and more advanced selling skills to address these changes.
2. What Is Marketing?
Simple definition:
Marketing is managing profitable customer
relationships.
Goals:
1. Attract new customers by promising
superior value.
2. Keep and grow current customers by
delivering satisfaction.
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3. The Marketing Process
• A simple model of the marketing process:
• Understand the marketplace and customer
needs and wants.
• Design a customer-driven marketing strategy.
• Construct an integrated marketing program that
delivers superior value.
• Build profitable relationships and create
customer delight.
• Capture value from customers to create profits
and customer quality.
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4. Customer Satisfaction
•Customer satisfaction:
• Dependent on the product’s perceived
performance relative to a buyer’s
expectations.
• Customer satisfaction often leads to consumer
loyalty.
• Some firms seek to DELIGHT customers by
exceeding expectations.
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5. Customer Relationships
• Loyalty and retention programs build
relationships and may feature:
• Financial Benefits
• E.g., frequency marketing programs
• Social Benefits
• E.g., club marketing programs
• Structural Ties
• Focus is on relating directly to profitable customers,
for the long term.
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6. Sales Management
Sales management is a business discipline which is
focused on the practical application of sales techniques
and the management of a firm's sales operations. It is an
important business function as net sales through the sale
of products and services and resulting profit drive most
commercial business. These are also typically the goals
and performance indicators of sales management
Also known as Sales Force Management and maybe also
defined as the management of the personal selling
component of an organization's marketing program.
7. The nature and role of sales
management
• The emphasis is on the word management
• Nowadays the sales manager is expected to play a
much more strategic role in the company and is
required to make a key input into the formation of
the company plans.
• Apart from being an accountant, a planner, a
personnel manager and a marketer.
• In order to fulfill these roles the sales managers will
have to undertake the following specific duties and
responsibilities
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8. Responsibilities of a Sales Manager
• Determination of sales force objectives and goals
• Forecasting and budgeting
• Sales force organization
• Sales force size
• Territory design and planning
• Sales force selection, recruitment and training
• Motivating the sales force
• Sales force evaluation and control
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12. Personal Selling
• Persuasive communication between a representative of the
company and one or more prospective customers,
designed to influence the person's or group's purchase
decision.
• A personal presentation by the company’s sales force for
the purpose
of making sales and building
customer relationship
13. THE CHANGE..?
The world of professional selling is changing dramatically.
Much of this change is driven by shifts in the way customers.
Important changes:
• Customers have become more sophisticated and demanding
• Customers want solutions rather than products
• Companies are using fewer suppliers
• Purchases being made from foreign suppliers
• Large accounts require more sophisticated selling
• Database and knowledge management new technology internet, mobile
and laptop
• Customer relationship management, long-lasting relationships, win to win
• Problem solving and system selling knowledge about any problem
• Satisfying needs and adding value
14. New Salesman
• Along with changes in their approach to customers,
sales people will change themselves.
• They will have more in depth customer knowledge
and more sophisticated selling and service skills.
• As a result, salespeople will be highly paid, more
highly trained, and more skilled professionals.
16. Modern sales approaches
• The shifts in the way customers buy in 21st century
entails that sales function takes on a new robe and a
novel sales approach.
Some of the modern sales approaches include:
• Partnering
• Relationship selling
• Team selling
• Value added selling
• Consultative selling
17. Personal selling in the Marketing Mix
• Under the marketing concept, marketing research
assumes the task of identifying customer needs and
problems, while the firm’s marketing mix is used to
deliver the solutions.
• The marketing mix is the set of strategies that a company
utilizes to implement its marketing plan and pursue its
marketing objectives.
• In line with the changes in the markets and marketing
strategies, salespeople n sales managers are being asked
to play a significant role in each component of the
marketing mix.
18. Types of Selling
• Selling job varies according to the nature of the selling task.
• They are:
• Order-takers respond to already committed customers
• Order- creators do not directly receive orders since they talk
to specifiers rather than buyers. They are called Missionary
sales people, their selling task is to educate and build good
will. Examples Medical representatives call on the doctors to
make them specify their medicines to the patients
• Order- getters attempt to persuade customers to place an
order directly. Consists of those in selling jobs where a major
objective is to persuade customers to make a direct purchase
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Editor's Notes
With less product differentiation and greater customer and competitive pressures, the selling task will become increasingly difficult and more complex.
Smaller, less profitable accounts will often be served through low cost channels of distribution n communication eg telemarketing, direct mktg. , e-mktg.
