Role of Personal Selling in B2B Marketing

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INTRODUCTION3
Industrial Selling Environment3
Exogenous Variables:3
Endogenous variables:3
FOUNDATIONS OF PERSONAL SELLING: AN ORGANIZATION CUSTOMER FOCUS:5 Promotion and role of personal selling:7
Personal selling: the conceptual framework:9
Stages of the selling process9
Personal selling and Competition:12
Scene 1: NEW FIRM, NEW PRODUCT LINE/MIX13
Scene 2: NEW UNKNOWN FIRM AND OLD, ESTABLISHED PRODUCT CONCEPT14 Scene 3: OLD FIRM, NEW PRODUCT-SERVICE14
Scene 4: OLD FIRM, OLD PRODUCT/SERVICE14
SALES PLANNING:14
Sales force organization15
Variable one: assignment of sales personal:15
Variable two: Type of selling and relevant sales person profiles:17 Variable three: time and territory management17
Variable four: sales training needs18
Variable five: Effective time management of all field sales personnel18 Variable six: optimization of selling efforts in a branch level operation18 Variable seven: Compensation package19
SALES CONTROL19
CHARACTERSTICS OF THE FOUR SALES CATEGORIES20
A model for Industrial Sales Force Management :21
CONCLUSION24
BIBILIOGRAPHY24


INTRODUCTION
The quality of personal selling is the most important variable in all types of complex industrial marketing. This is very important influencing factor for convincing identified decision making unit members, whose perceived risk in vendor and model selection is the highest for capital plant and equipment, a little lesser for fabricated industrial products and services, and the least for standard industrial products and services, that s standard routine purchase. Personal selling is mainly important for coordinating with external distributors and retailers. Internal coordination is needed to ensure timely deliveries through the following distribution strategies: •Direct distribution to institutional buyers

Indirect distribution through channel members to end buyers who may be buying in smaller lots and more frequently. Industrial Selling Environment
Industrial sales management focuses on the Ansoff’s product-market mix only for industrial products and services. The following endogenous and exogenous variables need to be considered for effective sales management. Exogenous Variables:

Present customers, semi-developed prospects and dealers
Known decision making unit members and firm-specific buying practices, based on the culture of the buying organizations that is either decentralized, mixed decentralized and has centralized decision making authority-responsibility pattern. Endogenous variables:

Determination of the selling strategy that is which target segments to cater to and which segments to avoid, along with the decision base. This will depend on the vendor’s current strength and weakness. •The selling mix that is 6 Ps.

Situational factors tend to be product-market specific
Government rules and regulations
The need for quality trained sales professionals for three different risk situations with the following product-service groups: Types of purchase decisionsEffect of quality sales presentations by trained marketers Capital Industrial Group (CIG)

Very high risk

Very time consuming for the DMU of the buying firms
Very frequent purchases
Top quality, fully trained sales, service professionals need to be deeply involved with all DMU members in targeted buyer firms. •Exhibitions, demonstrations, practical problem solving issues. •Referrals from satisfied customers play an important role for new vendor selection. Fabricated Industrial Group (FIG)

High risk
Time consuming for the DMU
Infrequent purchases
Complex in s far as technical, technological issues are concernedHigher the risk factor, greater the need for quality problem solvers to: •Provide relevant information to DMU members time and again •Greater need for conviction and persuasion

Greater the role of physical demonstrations and referrals. Standard Industrial Group (SIG)
Low risk
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