An%20Overview%20of%20Marketing

1
Lamb, Hair, McDaniel
2010-2011
CHAPTER 18
Sales Promotion and Personal Selling
2
Learning Outcomes
LO 1 Define and state the objectives of sales
promotion LO 2 Discuss the most common forms of
consumer sales promotion LO 3 List the most
common forms of trade sales promotion LO 4
Describe personal selling
3
Learning Outcomes
LO 5 Discuss the key differences between
relationship selling and traditional selling LO
6 List the steps in the selling process
4
Sales Promotion
Define and state the objectives of sales
promotion
LO1
5
Sales Promotion
SalesPromotion
LO1
6
Sales Promotion
Advertising
Reason to buy
Sales Promotion
Incentive to buy
LO1
7
Objectives of Sales Promotion
LO1
8
REVIEW LEARNING OUTCOME
The Objectives of Sales Promotion
LO1
9
Tools for Consumer Sales Promotion
Discuss the most common forms of consumer sales
promotion
LO2
10
Tools for Consumer Sales Promotion
LO2
11
Tools for Consumer Sales Promotion
LO2
12
Economic Hard Times Coupon Use

• With coupon use, a family can save more than an
  economic stimulus check (avg. 300-1,200 in May
  2008).
• Possible grocery savings/household (2 adults 2
  children) using coupons 25 percent/year,
  without cutting purchases.

That means, if a family spends 800/month on
groceries, they can save 2,400 annually by using
coupons.
SOURCE In Economic Downturn, 67 Plan More
Coupon Use, http//www.i-com.com/aboutus_news_det
ail.asp?pid68.
LO2
13
Tools for Consumer Sales Promotion
LO2
14
Tools for Consumer Sales Promotion
LO2
15
Tools for Consumer Sales Promotion
LO2
16
Methods of Sampling
LO2
17
Point-of-Purchase Promotion

• Build traffic
• Advertise the product
• Induce impulse buying

LO2
18
Online Sales Promotion
Effective Types of Online Sales Promotion

• Free merchandise
• Sweepstakes
• Free shipping with purchases
• Coupons

LO2
19
TV, Print, Times Square, Oh My!

• Verizon Wireless launched the largest integrated
  marketing campaign in the companys history,
  receiving 100 million in support for pushing the
  Droid.
• Beginning in late October, Verizon launched ads
  in magazines and television that position their
  newest smartphone as the antidote to the iPhones
  shortfalls.
• As part of the demonstration of the Droids
  capabilities, Verizon launched the Droid Does
  Times Square campaign. This allows users to call
  a toll-free number and use billboards on Times
  Square to search for anything using voice
  commands. And the results show up on times
  square. For those not on Times Square, Verizons
  website streams video of times square.

SOURCE Chang, Rita. Verizon Spending 100
Million on its Droid Ad Campaign,
thebusinessinsider.com, November 9, 2009
Wimberly, Taylor. Drod Does Times Square,
androidandme.com, November 6, 2009.
LO2
20
Tools for Trade Sales Promotion
List the most common forms of trade sales
promotion
LO3
21
Trade Sales Promotion
LO3
22
Trade Allowance
A price reduction offered by manufacturers to
intermediaries, such as wholesalers and retailers.
LO3
23
Push Money
Money offered to channel intermediaries to
encourage them to push products--that is, to
encourage other members of the channel to sell
the products.
Push Money
LO3
24
Benefits of Trade Promotions

• Help manufacturers gain new distribution
• Obtain wholesaler and retailer support
  forconsumer sales promotions
• Build or reduce dealer inventories
• Improve trade relations

LO3
25
REVIEW LEARNING OUTCOME
Forms of Trade Sales Promotion
LO3
26
Personal Selling
Describe personal selling
LO4
27
Personal Selling
Advertising Sales Promotion are more important
if...
Personal Selling is more important if...
LO4
28
REVIEW LEARNING OUTCOME
PersonalSellingAdvantages

• Detailed explanation or demonstration
• Variable sales message
• Directed to qualified prospects
• Controllable adjustable selling costs
• More effective than other promotion in obtaining
  sale and gaining customer satisfaction

LO4
29
Relationship Selling
Discuss the key differences between relationship
selling and traditional selling
LO5
30
Relationship Selling
Relationship(Consultative)Selling
LO5
31
Traditional Selling and Relationship Selling
Relationship Selling
LO5
32
REVIEW LEARNING OUTCOME
Relationship Selling vs. Traditional Selling
LO5
33
Steps in the Selling Process
List the steps in the selling process
LO6
34
Steps in the Selling Process
LO6
35
Time Spent in Key Steps of Selling Process
Key Selling Steps Traditional Selling Relationship Selling
Generate Leads High Low
Qualify Leads Low High
Probe Needs Low High
Develop Solutions Low High
Handle Objections High Low
Close the sale High Low
Follow-up Low High
LO6
36
Generating Leads
LO6
37
Cold Calling
Cold Calling
LO6
38
Qualifying Leads
LO6
39
Needs Assessment
NeedsAssessment
LO6
40
The Consultative Salesperson
LO6
41
Developing and Proposing Solutions
Sales Presentation
Sales Proposal
LO6
42
Powerful Presentations
LO6
43
Handling Objections

• View objections as requests for information
• Anticipate specific objections
• Investigate the objection with the customer
• Be aware of competitors products
• Stay calm
• Use the objection to close the sale

LO6
44
Closing the Sale
LO6
45
The Impact of Technology on Personal Selling
LO6
46
Steps in the Selling Process
Closing the sale
Handling objections
Developing and proposing solutions
Approaching Customer
Qualifying Leads
Generating Leads
LO6
A Continuing Process
47
Making the Sale

• Now that you know the steps in the selling
  process, break down this video and Grovers use
  of (or failure to use) the steps
• Grover Sells Hair-Care
• What about this man? What are his sales tactics?
• Vegetable Peeler Salesman

LO6