Module One
Overview of Personal Selling
Learning Objectives
1. Describe the evolution of personal selling from
ancient times to the modern era.
2. Explain the contributions of personal selling to
society, business firms, and customers.
3. Distinguish between transaction-focused
traditional selling and trust-based relationship
selling.
Learning Objectives
4. Discuss five alternative approaches to
selling.
5. Describe the three primary roles fulfilled by
consultative salespeople
6. Understand the sales process as a series of
interrelated steps.
Key Thoughts
• Selling has been around since there were
goods to trade.
• The role of the salesperson has evolved . . . becoming
more professional.
• Salespeople play an important role in creating and
maintaining a strong economy.
• Salespeople are solution providers.
• Sales is a process focusing
on initiating, developing, and
enhancing customer relationships.
Personal Selling – Defined
Personal selling is an organizational
function that creates, communicates,
and delivers value to customers and
manages customer relationships
in ways that benefit both the
organization and its stakeholders.
Evolution of Personal Selling
Peddlers selling door
to door . . . served
as intermediaries
Selling function
became more
structured
1800s
1900s
2000s
As we beginPost-Industrial
the 21st century, selling
to develop,
Industrial
Warcontinues
and
Modern
more professional
and more relational Era
Revolution becoming
Revolution
Depression
Business organizations
employed salespeople
Selling function
became more
professional
Contributions of Personal Selling:
Salespeople and Society
• Salespeople help stimulate
the economy
• Salespeople help with the
diffusion of innovation
Contributions of Personal Selling:
Salespeople and the Employing Firm
• Salespeople generate revenue
• Salespeople provide market
research and customer feedback
• Salespeople become future leaders
in the organization
Contributions of Personal Selling:
Salespeople and the Customer
• Salespeople 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
Transaction-Focused vs.
Relationship Focused
Transaction-Focused
Relationship-Focused
•
•
•
•
•
•
Short term thinking
Making the sale has
priority over most other
considerations
Interaction between
buyer and seller is
competitive
Salesperson is selfinterest oriented
•
•
Long term thinking
Developing the
relationship takes priority
over getting the sale
Interaction between
buyer and seller is
collaborative.
Salesperson is
customer-oriented
Classification of
Personal Selling Approaches
•
•
•
•
Stimulus Response Selling
Mental States Selling
Need Satisfaction Selling
Problem Solving Selling
Stimulus Response Selling
Salesperson
Provides
Stimuli
Buyer
Responses
Sought
Continue
Process until
Purchase
Decision
Simple in design; assumes conditioned
response improves likelihood of success; a
risky and unreliable strategy.
Mental States Selling
Attention
Interest
Conviction
Desire
Assumes buyer can be led through mental
states; promotes one-way communication;
a risky and unreliable strategy.
Action
Need Satisfaction Selling
Uncover and
Confirm Buyer
Needs
Present
Offering to
Satisfy Buyer
Needs
Continue
Selling until
Purchase
Decision
Interact with buyer to determine existing
needs; present solutions to needs;
solutions limited to seller’s products.
Problem Solving Selling
Define
Problem
Generate
Alternative
Solutions
Evaluate
Alternative
Solutions
Interact with buyer to determine existing
and potential needs; present multiple
solutions not limited to seller’s products.
Continue
Selling
until
Purchase
Decision
Consultative Selling
Business Consultant
The process of helping
customers reach their
strategic goals by using
the products, service,
and expertise of the
selling organization.
Strategic Orchestrator
Long-term Ally
The Sales Process: An Overview
Selling
Foundations
Initiating
Customer
Relationships
Selling
Strategy
Developing
Customer
Relationships
Enhancing
Customer
Relationships
The Sales Process: Selling Foundations
In order to be successful in today’s global business
environment, salespeople must have a solid relationship
building foundation. They must:
Be Trustworthy
Behave Ethically
Understand Buyer Behavior
Possess Excellent Communication Skills
The Sales Process: Selling Strategy
In order to be successful in today’s global business
environment, salespeople must also think and act
strategically. The must develop strategies for:
Each Sales Call
Each Customer
Their Sales Territories
Each strategy is
related to the other
The Sales Process
Initiating
Customer
Relationships
Developing
Customer
Relationships
• Sales
Prospecting
Presentation Delivery
• Earning
Preapproach
Customer
Commitment
Adding Value
through
Follow-up,
• Presentation
Planning
Self-leadership,
and Teamwork
• Approaching the Customer
Enhancing
Customer
Relationships
Module One – Appendix
Sales Careers
Characteristics of Sales Careers
•
•
•
•
•
•
•
Job Security
Advancement Opportunities
Immediate Feedback
Prestige
Job Variety
Independence
Compensation
Job Security
Selling skills are readily transferable from industry
to industry….and the need for good salespeople
will never go away.
Accordingly, good
salespeople have
opportunities within
and across industries.
Advancement Opportunities
Salespeople are familiar with the
market, the customers, and the
products. In addition, good
salespeople have great
interpersonal skills.
These attributes help to make
salespeople good candidates for
leadership in the organization.
Immediate Feedback & Prestige
Customer responses to the salesperson’s efforts
are typically immediate…providing the
salesperson performance feedback and the
opportunity to adjust “on the fly.”
The role of the professional salesperson is not
well known by the general public and is eclipsed
by negative stereo types . . . but that is slowly
changing.
Job Variety and Independence
Professional selling is rarely the
same from day-to-day. The word
“routine” doesn’t apply.
Usually, salespeople are
accountable for attaining certain
goals…how they get there is up to
them. There is no “time-clock”
and no taskmaster.
Compensation
Good salespeople usually
earn an income well above
the national average. Many
salespeople earn six figure
incomes (or higher).
Income is most often tied
directly to performance.
Sales Support
• Promote or Otherwise Support
a “Pull-Through” Strategy
– Missionary Salespeople
– Detailers
• Support the Salesperson’s
Efforts
– Technical Support
– Installation
Other Defining Characteristics
The primary focus of the
selling activities
– Generate new accounts
– Maintain existing accounts
– Combination
Where the selling conducted
– Inside
– Outside
How the selling conducted
– Telephone
– Field
Characteristics of Successful Salespeople
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•
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Empathy
Ego Drive
Ego Strength
Motivation
Ethical Behavior
Interpersonal
Communication Skills