03.ppersonal selling approches

THARAKA DIASMBA(USA), BBA(USA), Dip in Mgt, ACIM(UK),

FAEA(Dip in AEA-UK), FinstSMM(UK), CPM(Asia),

MSLIM

AOT - www.tharakadias.com 2

Model that outlines the process for

achieving promotional goals in terms achieving promotional goals in terms

of stages of consumer involvement

with the message.

DDesireesire

AActionction

AAttentionttention

IInterestnterest

AwarenessAwarenessAwarenessAwareness InterestInterestInterestInterest DesireDesireDesireDesire ActionActionActionAction

AdvertisingAdvertisingVery

effective

Very

effective

Somewhat

effective

Not

effective

PublicPublic Very Very Very NotPublicPublic

RelationsRelations

Very

effective

Very

effective

Very

effective

Not

effective

SalesSales

PromotionPromotion

Somewhat

effective

Somewhat

effective

Very

effective

Very

effective

PersonalPersonal

SellingSelling

Somewhat

effective

Very

effective

Very

effective

Somewhat

effective

Internal

factors

CIRCUMSTANCES


factors

External

factors

Buying behavior Buying decision

� Summed up as “Everything Was Right for The Sale.”

� Situation Response Theory

� This Theory holds that the particular circumstances

prevailing in a given selling situation cause the prospect in

a predictable way.

� The more skilled the salesperson is in handling the set of

circumstances, the more predictable is the response.

� The set of circumstances includes factors external & internal to

the prospect.

� The salesperson and the remark are external factors.� The salesperson and the remark are external factors.

� Proponents of these theory tends to stress external factors and

the expense of internal factors.

� This is a seller oriented theory: it stresses the importance of the

salesperson controlling the situation.

� Taking a customer for a outing to strike a

deal. Ex. Taking him for a 5 star hotel for a

dinner or lunch and then talk about the deal

Going to star buck or Coffee been for a � Going to star buck or Coffee been for a

discussion


• The name ‘’buying formula’’ has been given

by E.K. Strong.

• It emphasizes the buyer’s side of the buyer-

seller dyad


Reduced to its simplest form, the mental processes

involved in a purchase are

Need(or problem) Solution Purchase

After adding the fourth element, it becomes

Need Solution Purchase Satisfaction

After modification in the solution and satisfaction, the

buying formula becomes

Need Product/Service and trade name

Purchase Satisfaction/Dissatisfactionand trade name

After adding adequacy and pleasant feelings, it becomes

Pleasant feelings

NeedProduct/Service and trade name

PurchaseSatisfaction/Dis

satisfaction

Adequacy

� if sales to new prospects are desired, every element in the

formula should be presented.

� developing new uses is comparable to selling to new prospects.

� Developed using stimuli-response model.

� Sophisticated and advanced version of the “Right set of

circumstances” theory.

Requires 4 essential elementsRequires 4 essential elementsRequires 4 essential elementsRequires 4 essential elements----

1: Drive-A strong internal stimulus.

2: Cues-Weak stimuli when the buyers respond.

o Triggering

o Non-Triggering (specific product-eg. special discounts)

3: Response- What does the buyer do?

4: Reinforcement- Event that strengthens the

buyer’s response tendency.buyer’s response tendency.

B=P*D*K*VB=P*D*K*VB=P*D*K*VB=P*D*K*V

B=Response (e.g. act of buying a product or personalizing a

supplier)supplier)

P=Predisposition (internal response of tendency or force of

habit)

D=Present drive level or the level of motivation

K=value of the product or its potential satisfaction to the buyer

V=Intensity of all cues, triggering and non triggering

� When a product’s potential satisfaction to the

buyer (K) yields rewards, reinforcement occurs.

When P is positive, K is automatically active.� When P is positive, K is automatically active.

� When P and K are positive, customers are more

loyal to the product.

Uncover and Uncover and Uncover and Uncover and Present Offering Present Offering Present Offering Present Offering

to Satisfy Buyer to Satisfy Buyer to Satisfy Buyer to Satisfy Buyer

Continue Continue Continue Continue

Selling until Selling until Selling until Selling until Uncover and Uncover and Uncover and Uncover and

Confirm Buyer Confirm Buyer Confirm Buyer Confirm Buyer

NeedsNeedsNeedsNeeds

to Satisfy Buyer to Satisfy Buyer to Satisfy Buyer to Satisfy Buyer

NeedsNeedsNeedsNeeds

Selling until Selling until Selling until Selling until

Purchase Purchase Purchase Purchase

DecisionDecisionDecisionDecision

� Need identification

� Need fulfillment

� Need satisfaction


� Need problem – identify the need behalf of the customer

� Choice problem – help to choose the right offer

� Helping in deciding the choice criteria – helps to select the choice criteria

to obviate the problem

� Product installation – find the best place to install the product in the

customers placecustomers place

� Product choose problem – stand by the customers when he encounters

difficulties on product application

� Product maintenance problems – offers after sales services regularly

� Customer feed back problem – future communication, reporting to the

company etc.

� Problem related to quick damages of defects in products within and

beyond warranty period


� Eliciting fullest information and queries from both sides

� Reducing doubts from both sides

� Driving out or marginalizing communication barrier

� Handling future problems at ease

� Reducing post purchase anxiety of customers� Reducing post purchase anxiety of customers

� Diminishing media expenditure

� Staving off competitive action

� Meeting future requirement of both side


� To identify genesis of a buying problem

� To define a buying problem

� To provide alternative solutions to the problem

� To help in evaluating alternative solutions to the � To help in evaluating alternative solutions to the

problem

� To help prospects in selecting a specific solutions i.e.

purchase decision


� Select team members carefully

� Have an orchestrator. In fact a team leader must act at the helm of the

team, who moderates the team effort

� Stage a pre briefing session

� Hold a debriefing

Be prepared with questions. � Be prepared with questions.

� Keep the number of members to a minimum level

� Successfully answer questions of the customer

� Be flexible in the agenda

� Team members must be at the same wavelength.

� Sell something this should be the goal


� This is the two way flow of communication

between the buyer and the seller for personal

selling to take place.


Objectives &

Strategies

Organization

dimension

Economic value added


Buyer Seller

Structural Positioning

People

Social

Culture

Legal

� The basic notion of personal selling objective and

strategies should be in line with the corporate

objectives and strategies.

� Some of these strategies are as follow� Some of these strategies are as follow

1. Retention strategy

2. Relational marketing

3. Acquisition strategy


� Location

� Size

� Power structure

Degree of centralization� Degree of centralization

� Organizational orientation

� Risk taking

� Purchase situation

� Types of contract

� Personal relationship


� This value refer to the worth that the seller

create through products and services that

they manufacture for the buyers. Buyer

receive it as a cost. Buyer will compare it with receive it as a cost. Buyer will compare it with

the perceive value.


� The formal position of the decision makers in

the buying and selling organization. DMU


� Human element in personal selling is central

to dyadic relation

1. Interpersonal relationship force to talk

2. Discourse 2. Discourse

3. Convert dissension to acceptance

4. Consolidation or relations


� Personal selling is a vehicle to establish a

social link between a buyer and a seller. As

selling is basically a human behavior . Social

ingredient and skills for this process is vital ingredient and skills for this process is vital

for a successful long term relationship.


� This also plays a major role like social in

bridging the organization and society

together by shared values and beliefs. Hence

they are supposedly different between two they are supposedly different between two

organization there for employees should

adopt to the organizational culture which

represent by the products and services they

offer


� Legal element define and control the

respective rights and obligations of both

buyer and sellers. This is a watch dog of free

and fair business.and fair business.


Thank you

Thank you


03.ppersonal selling approches

Business

Transcript of 03.ppersonal selling approches