Transcript INTRODUCTION TO ENVIRONMENT & STRATEGIC PLANNING

INTRODUCTION TO
ENVIRONMENT &
STRATEGIC
PLANNING
Your Personal Selling
Plan
BA 3750 SALES MANAGEMENT
L.P. Chew
The Marketing Process
DemographicEconomic
Environment
Marketing
Intermediaries
TechnologicalNatural
Environment
Product
Suppliers
Target
Place Consumers Price
Publics
Promotion
& Politics
PoliticalLegal
Environment
Competitors
SocialCultural
Environment
Environment of Marketing &
Sales Management
Controllable
Uncontrollable
5 Parts of Environment
Factors
Factors
 Controllable Factors
 Uncontrollable
Factors
 Organization’s Level
of Success/Failure in
Reaching Objectives
 Feedback
 Adaptation
Organization’s
Level of
Success
Feedback
Adaptation
Environment of Marketing & Sales
Management
(2)
Uncontrollable Factors
(3)
Consumers
(1)
Controllable Factors
By Top Management
A
Organization’s
Level of
B
Success or
Failure in
Reaching Its
Objectives
(5)
By Marketing
Competition
Suppliers & Distributors
Government
Economy
Technology
Independent Media
Adaptation
(4) Feedback
A - Total offering of the organization
B - Impact of uncontrollable factors
Types of Environments
Macroenvironment refers to the
broad demographic, societal,
economic, political, and
technological forces that an
organization faces.
Microenvironment refers to the
forces close to an organization that
have a direct impact on its ability
to serve its customers
Top Management Controls
1. Line of Business
5. Corporate Culture
• General category
• Customer-service
orientation
• Functions
• Geographic coverage
• Type of ownership
• Specific business
• Time orientation
• Flexibility
• Risk/innovativeness
• Centralized/
decentralized
2. Overall Objectives
• Interpersonal contact
• Sales
• Promotions from
within
• Profit
4. Role of Other Business
Functions
• Production
• Finance
• Accounting
• Engineering
• Purchasing
• Research & development
3. Role of Marketing
• Long-run existence
• Importance in company
• Consumer acceptance
• Functions
• Integration
Uncontrollable Factors
Independent Media
Technology
Consumers
• Print
• Advances
• Changing characteristics
• Television
• Compatibility
• Interpersonal influences
• Radio
• Acceptance
• Decision process
• News organizations
• Organizations
Competition
• Structure
• Marketing strategies
• Domestic/foreign
• Company size
• Generic
• Channel
Factors Not Controlled by
Top Management or
Marketers
Suppliers &
Distributors
Government
• Characteristics
• State & local
• Practices
• Politics
• Resource
shortages
• Federal
Economy
• Rate of growth
• Costs
• Inflation rate
• Unemployment
rate
Marketing Directs
1. Selection of
Target Market
• Size
• Characteristics
• Desires
2. Marketing Objectives
• Image
• Sales
• Profit
• Differential advantages
3. Marketing
Organizations
5. Performance
Assessment
• Functions
• Day-to-day
• Types
• Periodic
4. Marketing Mix
• Product
• Distribution
• Promotion
• Price
Key Environments
Marketing
Environment
The actors and forces that
affect a firm’s ability to
build and maintain
successful relationships
with customers.
Key Environments
Aspects of the marketing
environment:
Microenvironment:
 Actors close to the
company
Macroenvironment
 Larger societal forces
Strategic Planning
Strategic planning is
defined as:
“The process of
developing and
maintaining a strategic fit
between the
organization’s goals and
capabilities and its
changing marketing
opportunities.”
Steps in the
Strategic Planning Process
Strategic Planning Process
Strategic Planning involves developing
an overall company strategy for long-run
survival and growth.
This process involves:
Defining a Mission: Statement of an
organization’s purpose; should be market
oriented.
Setting Company Objectives: Supporting goals
and objectives to guide the entire company.
Designing a Business Portfolio: Collection of
businesses and products that make up the
company.
Planning Functional Strategies: Detailed
planning
for each department designed to accomplish
strategic objectives.
Managing the
Marketing Effort
Elements of a Marketing Plan
Executive Summary
Current Marketing Situation
Threats and Opportunities
Objectives and Issues
Marketing Strategy
Action Programs
Budgets
Controls
The Marketing Process
DemographicEconomic
Environment
Marketing
Intermediaries
TechnologicalNatural
Environment
Product
Suppliers
Target
Place Consumers Price
Publics
Promotion
& Politics
PoliticalLegal
Environment
Competitors
SocialCultural
Environment
Developing a Personal Selling Plan
2.
Assigning
Responsibility
3.
Establishing
a Budget
1.
Setting
Objectives
7.
Applying the
Plan
Feedback
6.
Outlining
Sales Tasks
4.
Determining
Types of
Sales
Positions
5.
Selecting
a Sales
Technique
Developing a Personal Selling Plan
2.
Assigning
Responsibility
3.
Establishing
a Budget
1.
Setting
Objectives
7.
Applying the
Plan
Feedback
6.
Outlining
Sales Tasks
4.
Determining
Types of
Sales
Positions
5.
Selecting
a Sales
Technique
Personal Selling Plan:
Setting Objectives
1.
Setting
Objectives
Selling goals can be demand- and/or
image-oriented.
 When image-oriented, they involve
public relations.
 Although many firms have some
interest in information, reminder,
and image goals, the major goal
usually is persuasion: converting
consumer interest into a sale.
Personal Selling Plan:
Assigning Responsibility
2.
Assigning
Responsibilit
y
1.
Setting
Objectives
Sales Manager Responsibilities
 Understand goals and strategies of firm
 To determine sales philosophy
 To prepare sales forecasts
 To allocate resources
 To supervise sales personnel
 To synchronize selling tasks
 To assess all aspects of sales
performance
 To monitor competition’s actions
 To maintain ethical standards
 To convey the image sought by firm
Personal Selling Plan:
Budgeting
2.
Assigning
Responsibility
1.
Setting
Objectives
3.
Establishing
a Budget
The sales-expense budget allots selling costs
among salespeople, products, customers, and
geographic areas for a given period. It is usually
tied to a sales forecast.
Budget items include sales forecast, overhead,
sales force compensation, travel expenses, sales
meetings, selling aids, and sales management
costs.
Developing a Personal Selling Plan
2.
Assigning
Responsibility
3.
Establishing
a Budget
1.
Setting
Objectives
7.
Applying the
Plan
Feedback
6.
Outlining Sales
Tasks
4.
Determining
Types of
Sales
Positions
5.
Selecting
a Sales
Technique
Personal Selling Plan:
Sales Positions
2.
Assigning
Responsibility
1.
Setting
Objectives
3.
Establishing
a Budget
4.
Determining
Types of
Sales
Positions
Salespeople are often classified as
order takers, order getters, or
support personnel.
CONTRASTING (don’t forget
missionary-support)
Order Takers
and Order Getters
Process routine orders and reorders
Provide clerical functions
Handle pre-sold items and maintain sales. Basic
DifferArrange displays, restock items, answer ences
simple questions, & complete
transactions
Generate customer leads and
persuade consumers
Are creative
Handle high-priced/complex items
and increase sales
Are less involved with routine tasks
Require a lot of training and compensation
Require little training and compensation
Have limited expertise and enthusiasm
Are highly expert and enthusiastic
Personal Selling
Plan: Sales
Technique
2.
Assigning
Responsibility
3.
Establishing
a Budget
1.
Setting
Objectives
Two basic techniques for selling are the
canned sales presentation (memorized
and repetitive), and the need satisfaction
approach (that is customized to individual
consumer attributes).
4.
Determining
Types of Sales
Positions
5.
Selecting
a Sales
Technique
Personal Selling Plan:
Sales Tasks
2.
Assigning
Responsibility
3.
Establishing
a Budget
1.
Setting
Objectives
The selling
process
remembers the cost
effective prospecting
6.
Outlining
Sales Tasks
4.
Determining
Types of Sales
Positions
5.
Selecting
a Sales
Technique
Personal Selling Plan:
Sales Tasks
2.
Assigning
Responsibility
3.
Establishing
a Budget
1.
Setting
Objectives
The selling process outlines
the sequential tasks sales
personnel should perform.
6.
Outlining
Sales Tasks
4.
Determining
Types of Sales
Positions
5.
Selecting
a Sales
Technique
Personal Selling Plan:
Applying the Plan
2.
Assigning
Responsibility
1.
Setting
Objectives
Sales Management involves planning,
implementing, & controlling the
personal sales function.
7.
Applying the
Plan
Feedback
3.
Establishing
a Budget
6.
Outlining Sales
Tasks
4.
Determining
Types of Sales
Positions
5.
Selecting
a Sales
Technique
(Figure 15)
Sales Management Responsibilities
BUILDING AND MANAGING
Strategic
Planning
Organizing
the sales
force
Performanc
e Evaluation
Communication
Coordination
Integration
Motivation
and
supervision
Training
and
development
Recruiting,
selection,
assimilation
(Figure 16)
Executive Ladder in
Personal Selling
President
Vice president of sales
National sales manager
Regional/divisional sales manager
District sales manager
Sales supervisor
Salesperson
Staff assistants
available for advice
and support at any
step along the
ladder.