Transcript Chapter 17

Chapter Seventeen
The Communications Mix:
Personal Selling
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Emphasis on Personal Selling
Direct interaction between a seller and
prospective buyer to make a sale
 Used by organizations when:

– Customer needs assistance, demonstration,
and trial
– Price is negotiated
– Distribution channels are short and training is
needed
– Advertising media does not saturate all
necessary areas
– The market perceives selling as a part of the
product
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Emphasis on Personal Selling (cont.)
 Advantages
– Makes services more tangible
– Tailored solutions can be offered
– Matching buyers to sellers means
money may be better spent
– Can reduce risk and persuade buyer to
purchase
– Permits direct feedback from the
customer
– Opportunity for relationship marketing
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
The Sales Process
 Prospecting
 Qualifying
prospects
 The sales approach
 Handling objections
 Closing of the sale
 Follow-up
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
The Sales Approach

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
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Communicating with customers
More important with supply
exceeding demand
Good salespeople are problem
solvers
Establishing long-term relationships
with interdependence
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
The Sales Approach (cont.)
 What
to sell
– Need versus opportunity
 Probing
– Open probes
– Closed probes
 Benefits
and features
– Match benefits to customer needs
– Customers buy benefits, not features
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
The Sales Approach (cont.)
 Customer
attitudes:
– Skepticism
– Misunderstanding
– Indifference
 Probe
for unrealized needs
– Objection
 Usually
cannot be changed
 Outweigh or offer an alternative
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
The Sales Approach (cont.)

Closing

Follow-up
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Sales Management
 Integrating
skills on the sales force
 May be a gap between good sales
skills and good management skills
 Account management
The sales equation:
Past Customers + New Customers = Goals
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Sales Management (cont.)
 Organization
of sales team
– Staffing should be based on total
number of projected sales calls
– Organized by:
 Geographic
territory
 Market
type
 Account
 Product line
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Sales Management (cont.)
 Product
line management in hotels
 One representative services all three
products:
– Group
– Transient
– Catering
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Development of Personnel
 Critical
to the firm’s success
 Begins with recruitment and
training
 Business is lost if salespeople are
lost
 “Move up and out” philosophy
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Development of Personnel (cont.)

Unethical practices in
personal selling

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The Salesperson’s Company:
Misrepresentation of call reports
Misrepresentation of expense
accounts
Use of company assets for
personal benefit
Conflict-of-interest situations
Disclosure of proprietary
company information
Disparagement of the company
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Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
The Salesperson’s Customers and
Prospects:
Misrepresentation of yourself
Misrepresentation of your company
Misrepresentation of your products or
services
Use of high-pressure selling tactics
Inappropriate gift-giving
Disclosure of proprietary customer
information
The Salesperson’s Competitors:
Disparagement of a competitor’s
company
Disparagement of a competitor’s
product or service
Disparagement of a competitor’s sales
representative
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Development of Personnel (cont.)
 Motivation
– Need to be consistently motivated
– Represent products daily
– Pay tied to productivity or quotas
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Sales and Operations
 “Sales
sells and operations provide”
 Communication critical to effective
marketing
 Problems with sales:
– Operation’s perception of a “cush” job
– No direct authority over operations
 Sales
should communicate to confirm
capabilities to meet customer needs
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.
Shoemaker, Lewis, and Yesawich: Marketing
Leadership in Hospitality and Tourism, 4th edition
© 2007 Pearson Education, Upper Saddle
River, NJ 07458. All Rights Reserved.