Sales Planning and Operations

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SALES SUCCESS Consultancy Group Ltd.

SALES PLANNING & OPERATIONS
TRAINING PACK

Presented by Consultant: Victor Martinez-Perez

January 2013

1.1 How Personal Selling supports the Promotional Mix.
It is a common mistake to believe that promotion by business is all about advertising. It isn’t. There are a variety of approaches that a business can take to get their message across to customers, although advertising is certainly an important one. [1] Promotion is all about communication. Why, because promotion is the way in a business makes its products known to the customers, both current and potential. [1] The main aim of promotion is to ensure that customers are aware of the existence and positioning of products. Promotion is also used to persuade customers that the product is better than competing products and to remind customers about why they may want to buy. In fact, promotion has many potential uses in business. It can be used to: * Increase sales

* Attract new customers
* Encourage customer loyalty
* Encourage trial
* Create awareness
* Inform
* Remind potential customers
* Reassure new customers
* Change attitude
* Create an image
* Position a product
* Encourage brand switching
* To support a distribution channel
It is important to understand that a business will use more than one method of promotion. The variety of promotional methods used is referred to as the promotional mix. Which promotional methods are used depends on several factors such: * Stage in the life cycle

* Nature of the Product
* Competition
* Marketing Budget
* Marketing Strategy
* Target Market

The main methods of promotion are:
* Advertising
* Public relations & sponsorship
* Personal selling
* Direct marketing
* Sales promotion

Figure 1: Personal Sales in the Marketing and Promotion Mix [4]

Personal selling is a method of promotion activity and it is where the business makes use of its work force (YOU), to directly contact the customer. This person-to-person or face-to-face with the customer has the goal of direct promotion of the product and closing of the sale. [2] [4] You are the company’s ambassador and You will be promoting the product through your attitude, appearance and specialist product knowledge. Your aim is to inform and encourage the customer to buy, or at least trial the product. [2] A good example of personal selling is found in department stores on the perfume and cosmetic counters. A customer can get advice on how to apply the product and can try different products. Products with relatively high prices, or with complex features, are often sold using personal selling. Great examples include cars, office equipment (e.g. photocopiers) and many products that are sold by businesses to other industrial customers. [2] In general, if a product has a high unit value and requires a demonstration, it is well suited for personal sales. For example, highly technical products are also primarily sold through personal sales methods. Computers and copiers are good examples of technical products that are best sold through personal sales. Products that involve a trade-in are also best sold through personal selling to help facilitate the trade-in process. Automobile sales often involve a trade-in and almost always involve a personal sales transaction.[3]

Personal selling as a career is unique and offers many benefits. It is, however, not for everyone. In general it involves long, irregular work hours and extensive travel. A personal salesperson should also be able to handle rejection face to face, which is a large component of the job. On the other hand, personal sales offers great rewards for those who are successful. Because most compensation involves commissions based on completed sales, the potential for income is great. With personal sales, there is no ceiling on what a person can earn, as there is with other salaried...
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