Personal selling is said to be a cost it has a narrow audience and an organization can survive without it. (Discuss)
According to Pride,W and Ferrell O, Personal selling can been defined as a process of informing customers and persuading them to purchase product through personal communication in an exchange situation. Personal selling is the process of person to person communication between a sales person and a prospective customer in which the sales person learns about the prospect needs and seeks to satisfy those needs by offering the prospective customer the opportunity to buy something of value such as good or service. Personal selling objectives include creating product awareness, creating interest, providing information, stimulating the demand and reinforcing the brand.
Personal selling plays a crucial role in the market based economy. It provides for time, place and possession utility that is the right product at the right time and the right quantity. The objective of the personal selling process is to generate customer satisfaction and build a long-term relationship with them. Personal selling process includes prospecting and evaluating potential customers, preparing to approach, approaching the customers, making a presentation to the customer, handling objections, closing the sales deal and follow up. From this process of personal selling we can see that the result of the effects of personal selling can be seen easily seen normally with the increased sales figures and the relationship built between the organization and its customers compared to other promotional mix like advertising and public relations which are aimed at groups of people some of whom may not be prospective customers. A major disadvantage of personal selling is its costs, which are very high compared to other promotional mix as most business spent more of its money on personal selling, but I disagree that an organization can survive without it as the major objective of any business is to sell its service or product.
There are three types of Personal selling that can be mentioned that is retail selling, whereby the sales person communicates with the individual whom they intend to sell the products or services. There is also business to business selling whereby the sales person sells products to industrial buyers, lastly the trade selling whereby the sales people sells products to marketing intermediaries such as retailers and wholesalers Personal selling provides individual buyers with the opportunity to consult with a salesperson and to make a more informed decision when purchasing a product or service.
Personal selling is indeed a cost to the Personal selling is different from other marketing tools such as advertising and Sales Promotions. Advertising is a communication tool which targets many consumers simultaneously. Unlike advertising, personal selling is targeted at an individual prospect and develops the relationship. Advertising aims at a group and is non-personal where the communication primarily relies on the media.
Although Personal Selling is a cost to the organization it is very critical to the successful growth of any nation’s economy to sell the product and services therefore the success of any organization which does not practice personal selling can be limited. I guess if it was not done there could be huge piles of products in the warehouse and also many services like insurance could be history. Personal selling is very important particularly for companies that operate in business to business markets where purchasing situations often involves complex technical products, large dollar amounts professional buyers and multiple companies who influence purchasing decision. The significance of personal selling is reflected in the number of salespeople employed by major companies, for example Coca-Cola relying on advertisement and sales promotion to boost sales in but a huge sales force to sell to...
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