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SellingIngram Laforge Avila Schwepker andWilliams MultimediaPresentationsStevenJ Remington Ph D BuenaVistaUniversityAugust 2000 Module1AnOverviewofPersonalSelling EvolutionofPersonalSelling EarlyOriginsofPersonalSellingIndustrialRevolutionEra 1700sEurope 1850sUS Post IndustrialRevolutionEra 1800sEurope 1900US CannedSalesPresentationTheWarandDepressionEraProfessionalism TheModernEra CharacteristicsofSalesProfessionalism CustomerOrientationUseofTruthfulandNonmanipulativeTacticsFocusonLong TermSatisfactionofCustomerandSellingFirm Cost SalesCall 80 242 call ContributionsofPersonalSellingSalespeopleandSociety SalespeopleasEconomicStimuliSalespeopleandDiffusionofInnovation ContributionsofPersonalSellingSalespeopleandtheEmployingFirm SalespeopleasRevenueProducersMarketResearchandFeedbackSalespeopleasFutureManagers ContributionsofPersonalSellingSalespeopleandtheCustomer ArehonestUnderstandgeneralbusinessandeconomictrends aswellasthebuyer sbusinessProvideguidancethroughoutthesalesprocessHelpthebuyertosolveproblemsHaveapleasantpersonalityandagoodprofessionalimageCoordinateallaspectsoftheproductandservicetoprovideatotalpackage Industrialbuyersprefertodealwithsalespeoplewho ClassificationOfPersonalSellingJobs SalesSupportPersonnelMissionarySalespeopleDetailerTechnicalSupportSalespeopleNewBusinessPioneersOrder getters ExistingBusinessOrder takersInsiderSales non retail Direct to ConsumerSales retail CombinationSalesJobs CharacteristicsOfSalesCareers JobSecurityAdvancementOpportunitiesImmediateFeedbackPrestigeJobVarietyIndependenceCompensationBoundary RoleEffects Boundary RoleEffectsRoleStress RoleConflictRoleAmbiguityRolestressmustbedealtwithtoinsuremaximumsalesproductivity QualificationsAndSkillsRequiredForSuccessBySalespeople EmpathyToseethingsasotherswouldseethemEgoDriveDeterminationtoachievegoalsEgoStrengthSelf assuredandself acceptingInterpersonalCommunicationSkillsIncludinglisteningandquestioningEnthusiasmIngeneral andforsalesasacareerAdditionalCharacteristicsRelatedtoaGivenSalesJob ManagingtheSalesForce 1 26 Module2UnderstandingBuyers TypesofBuyers ConsumerMarketsBusinessMarkets DistinguishingCharacteristicsofBusinessMarkets BuyersareLargerbutFewerinNumberDerivedDemandHigherLevelsofDemandFluctuationPurchasingProfessionalsMultipleBuyingInfluencesCloseBuyer SellerRelationshipsSupplyChainManagement TheBuyingProcess Figure2 1 RecognitionoftheProblemorNeed TheBuyingProcess Figure2 1 Recognition Determination TheBuyingProcess Figure2 1 RecognitionoftheProblemorNeed PhaseOneRecognitionoftheProblemorNeed TheNeedsGap Figure2 2 ComplexMixofBusinessBuyerNeeds Figure2 3 PhaseTwoDeterminationofCharacteristicsoftheItemandtheQualityNeeded PhaseThreeDescriptionofCharacteristicsoftheItemandtheQualityNeeded PhaseFourSearchforandQualificationofPotentialSources PhaseFiveAcquisitionandAnalysisofProposalsEvaluatingSuppliersandProducts Multi AttributeModelAssessmentofProductorSupplierPerformance P AssessingtheRelativeImportanceofEachCharacteristic I PhaseFiveAcquisitionandAnalysisofProposalsMulti AttributeModelofAdhesivesbyGMBuyers PhaseFiveAcquisitionandAnalysisofProposalsEmployingBuyerEvaluationProcedurestoEnhanceSellingStrategies ModifytheProductOfferingBeingProposedAltertheBuyer sBeliefsabouttheProposedOfferingAltertheBuyer sBeliefsabouttheCompetitor sOfferingAltertheImportanceWeightsCallAttentiontoNeglectedAttributes PhaseSixEvaluationofProposalsandSelectionofSupplier PhaseSevenSelectionofOrderRoutine PhaseEightPerformanceEvaluationandFeedback PhaseEightPerformanceEvaluationandFeedback UnderstandingPost PurchaseEvaluationandtheFormationofSatisfaction Figure2 4 ComplexMixofBusinessBuyerNeeds BuyersLevelofSatisfaction 63 LevelofInfluenceOnBuyers Satisfaction 37 LevelofInfluenceOnBuyers Satisfaction PhaseEightPerformanceEvaluationandFeedback UnderstandingPost PurchaseEvaluationandtheFormationofSatisfactionTheGrowingImportanceofSalespeopleinBuyer sPost PurchaseEvaluation TypesofPurchasingDecisionsBuyingSituation StraightRebuyBuyingSituationRoutinizedResponseBehaviorModifiedRebuyBuyingSituationLimitedProblemSolvingNewTaskBuyingSituationExtensiveProblemSolving TypesofPurchasingDecisionsThreeTypesofBuyingDecisions Exhibit2 6 TypesofPurchasingDecisionsThreeTypesofBuyingDecisions Exhibit2 6 TypesofPurchasingDecisionsThreeTypesofBuyingDecisions Exhibit2 6 TypesofPurchasingDecisionsThreeTypesofBuyingDecisions Exhibit2 6 OrganizationalBuyerBehaviorBuyingCenter InitiatorsUsersGatekeepersInfluencersDecidersPurchasers CurrentDevelopmentsinPurchasing IncreasingUseofInformationTechnologyRelationshipEmphasisonCooperationandCollaborationSupplyChainManagementIncreasedOutsourcingTargetPricingIncreasedImportanceofKnowledgeandCreativity Module3BuildingTrust Buyersdefinetrustusingtermssuchas OpennessDependabilityCandorHonestyConfidence SecurityReliabilityFairnessPredictability WhatisTrust Trustanswersthequestions Doyouknowwhatyouaretalkingabout Willyourecommendwhatisbestforme Areyoutruthful Canyouandyourcompanybackupyourpromises WillyousafeguardconfidentialinformationthatIsharewithyou WhyisTrustImportant Theshifttowardrelationshipsellingemphasizestheinitiationandnurturingoflong termbuyer sellerrelationshipsbasedonmutualtrustandvalue addedbenefits HowtoEarnTrustTrustBuilders Figure3 1 KnowledgeBasesHelpBuildTrustandRelationships Figure3 2 PossibleKnowledgeBases SalesEthicsImageofSalespeople Television movies broadwayproductions andthepopularpresshavecontributedtoanegativeimageofsalespeopleportrayingthemasbeingassociatedwithdeceptive illegal andnon customer orientedbehavior SalesEthicsImageofSalespeopleDeceptivePractices Whensalespeoplegiveanswerswhentheydonotknow exaggeratingproductbenefits andwithholdinginformationmayjeopardizefuturedealingswiththebuyer Salespeoplecancreateproductliabilitiesby ExpressedWarrantyMisrepresentationNegligence SalesEthicsImageofSalespeopleIllegalActivities DefraudConMisuseCompanyAssets SalesEthicsImageofSalespeopleNon Customer OrientedBehavior PushyHardSellFastTalkingHighPressure SalesEthicsImageofSalespeople Exhibit3 8 DeceptivePracticesDeceptiveDeceiveHustleScamExaggerateWithholdBluff Non Customer OrientedBehaviorPushyHardSellFastTalkingHighPressure IllegalActivitiesDefraudConMisuseCompanyAssets Module4CommunicationSkills SalesCommunicationasaCollaborativeProcess RelationalSalesCommunicationAtwo wayandnaturallycollaborativeinteractionAllowsbuyersandsellerstoDevelopabetterunderstandingoftheneedsituationWorktogethertobestprovideforthecustomer sneeds VerbalCommunication QuestioningTypesofQuestionsClassifiedbyAmountandSpecificityofInformationDesired Open endorNondirectiveQuestions freeresponseWhathappenswhen Howdoyoufeel Describethe Closed endQuestions responselimitedtoafewwords Areyou Howmany Howoften Dichotomous Multiple ChoiceQuestions directiveformsofquestioningWhichdoyouprefer the orthe VerbalCommunication QuestioningTypesofQuestionsClassifiedbyStrategicPurpose ProbingQuestions designedtopenetratebelowgeneralizedorsuperficialinformationRequestingClarification Canyoushareanexampleofthatwithme EncouragingElaboration Howareyoudealingwiththatsituationnow VerifyingInformationandResponses So ifIunderstandyoucorrectly Isthatright VerbalCommunication QuestioningTypesofQuestionsClassifiedbyStrategicPurpose ProbingQuestionsEvaluativeQuestions useopen andclosed endquestionformatstogainconfirmationandtouncoverattitudes opinions andpreferencesofcustomer Howdoyoufeelabout Doyousethemeritsof Whatdoyouthink VerbalCommunication QuestioningTypesofQuestionsClassifiedbyStrategicPurpose ProbingQuestionsEvaluativeQuestionsTacticalQuestions usedtoshiftorredirectthetopicofdiscussion Earlieryoumentionedthat Couldyoutellmemoreabouthowthatmightaffect VerbalCommunication QuestioningTypesofQuestionsClassifiedbyStrategicPurpose ProbingQuestionsEvaluativeQuestionsTacticalQuestionsReactiveQuestions refertoordirectlyresultfrominformationpreviouslyprovidedbytheotherparty Youmentionedthat Canyougivemeanexampleofwhatyoumean Thatisinteresting Canyoutellmehowithappened GuidelinesforCombiningTypesofQuestionsforMaximalEffectiveness Exhibit4 1 AmountofandSpecificityofInformationDesired ChoicefromAlternatives DiscussionandInterpretation ConfirmationandAgreement ExploreandDigforDetails GainConfirmation DiscoverAttitudes Opinions ChangeTopicsorDirectAttention Follow UpPreviouslyElicitedStatements AmountofandSpecificityofInformationDesired Open endQuestionsDesignedtobeProbinginNature Closed endQuestionsDesignedtobeProbinginNature DichotomousorMultiple choiceQuestionsDesignedtobeProbinginNature Open endQuestionsDesignedtobeReactiveinNature Closed endQuestionsDesignedtobeReactiveinNature DichotomousorMultiple choiceQuestionsDesignedtobeReactiveinNature Open endQuestionsDesignedtobeTacticalinNature Closed endQuestionsDesignedtobeTacticalinNature DichotomousorMultiple choiceQuestionsDesignedtobeTacticalinNature Open endQuestionsDesignedtobeEvaluativeinNature Closed endQuestionsDesignedtobeEvaluativeinNature DichotomousorMultiple choiceQuestionsDesignedtobeEvaluativeinNature VerbalCommunication StrategicApplicationofQuestioning GenerateBuyerInvolvementProvokeThinkingGatherInformationClarificationandEmphasisShowInterestGainConfirmationAdvancetheSale VerbalCommunication SPINQuestioningSystem SituationQuestions solicitsgeneralbackgroundinformationanddescriptionsofthebuyer sexistingsituation Whoareyourcurrentsuppliers Doyoutypicallypurchaseorlease Whoisinvolvedinthepurchasingdecisions VerbalCommunication SPINQuestioningSystem SituationQuestionsProblemQuestions followandrelatetosituationquestionsprobingforspecificdifficulties developingproblems andareasofdissatisfaction Howcriticalisthiscomponentforyourproduction Whatkindofproblemshaveyouencounteredwithyourcurrentsuppliers Whattypesofreliabilityproblemsdoyouexperiencewithyourcurrentsystem VerbalCommunication SPINQuestioningSystem SituationQuestionsProblemQuestionsImplicationQuestions followandrelatetoinformationfromtheproblemquestionsassistingthebuyerinunderstandingthepotentialproblemsofthecurrentproblemandtheurgencyinresolvingit Howdoesthisaffectprofitability Whatimpactdoestheslowresponseofyourcurrentsupplierhaveontheproductivityofyouroperation Howwouldafasterpieceofequipmentimproveproductivityandprofits Whathappenswhenthesupplierislatewithashipment VerbalCommunication SPINQuestioningSystem SituationQuestionsProblemQuestionsImplicationQuestionsNeed payoffQuestions usedtoproposeasolutionanddevelopcommitmentfromthebuyer basedontheimplicationsoftheproblem Wouldmorefrequentdeliveriesallowyoutoincreaseproductivity Ifwecouldprovideyouincreasedreliability wouldyoubeinterested Ifwecouldimprovethequalityofyourpurchasedcomponents howwouldthathelpyou Wouldyoubeinterestedinincreasingproductivityby15percent FunnelingSequenceofADAPTTechniquesforNeedsDiscovery Figure4 1 VerbalCommunication Listening Figure4 2 EffectiveActiveListening VerbalCommunication UsingDifferentTypesofListening SocialListeningSeriousListeningActiveListeningConcentrationCognition VerbalCommunication SIERHierarchyActiveListening Figure4 3 VerbalCommunication GivingInformation UnderstandingtheSuperiorityofPicturesoverWordsImpactofGrammarandLogicalSequencing NonverbalCommunication FacialExpressionsEyeMovementsPlacementandMovementsofHands Arms Head andLegsBodyPostureandOrientationProxemicsVariationinVoiceCharacteristicsSpeakingRateandPauseDurationPitchorFrequencyIntensityandLoudness CommonNonverbalClusters Exhibit4 8 WrittenCommunication SalesProposalsTheSevenDeadlyMistakesofProposalWriting Notwritingaproposal Notfullyunderstandingthecustomer sbusiness Missingthebuyer sdeadline Producingaproposalwithlittle drive up appeal Notsayinganythingthatreallymakesadifference Usingastandardizedboilerplateapproach Nooneowningtheresponsibilityorhavingtheauthoritytocreatequalityandeffectiveproposals WrittenCommunication SalesProposals5CommonPartsofaProposal ExecutiveSummaryNeedsandBenefitsAnalysisCompanyDescriptionPricingandSalesAgreementSuggestedActionandTimetable Module5Self LeadershipandTeamworkSkills FiveSequentialStagesofSelf Leadership Figure5 1 Stage1 Stage2 Stage3 Stage4 Stage5 EffectiveSelf LeadershipStageOne SettingGoalsandObjectives Whatmakesagoodgoal Realistic yetChallengingSpecificandQuantifiableTimeSpecificWorkingwithdifferentlevelsandtypesofgoalsPersonalGoalTerritoryGoalAccountGoalSalesCallGoal EffectiveSelf LeadershipStageTwo TerritoryAnalysisandAccountClassification TerritoryAnalysisWhoareprospectivebuyers Wherearetheylocated Whatandwhydotheybuy Whohastheauthoritytobuy whoinfluencesthebuyingdecision Whatistheprobabilityofsellingthisaccount Whatisthepotentialshareofaccountthatmightbegained EffectiveSelf LeadershipStageTwo AccountClassification Exhibit5 4 DifferentSingleFactorAccountSchema EffectiveSelf LeadershipStageTwo AccountClassification Exhibit5 5 PortfolioModelSegmentsandStrategies EffectiveSelf LeadershipStageThree DevelopingandImplementationofStrategiesandPlans EstablishingandImplementingSellingTaskandActivityPlansDothem anddotheminwritingKeepitcurrentandflexibleEstablishingTerritoryRoutePlansStraight LineRoutePatternCloverleafRoutePatternCircularRoutePatternLeapfrogRoutePatternMajor CityRoutePattern EffectiveSelf LeadershipStageFour TappingTechnologyandAutomation ComputersSiebelSystemsProximityInternetandWorldWideWebInternetIntranetsandExtranetsPagersandCellPhonesVoiceMailHigh TechSalesSupportOffices EffectiveSelf LeadershipStageFive AssessmentofPerformanceandGoalAttainment IncreasingCustomerValuethroughTeamwork InternalPartnershipsandTeamsSalesPartnershipsMarketingPartnershipsAdministrativeSupportPartnershipsShippingandTransportationPartnershipsCustomerServicePartnerships BuildingTeamworkSkills UnderstandingtheOtherIndividualsAttendingtotheLittleThingsKeepingCommitmentsClarifyingExpectationsShowingPersonalIntegrityApologizingSincerelyWhenaMistakeIsMade RelationshipofOptimizedSolutions Trust andCooperation Figure5 7 Module6PersonalSelling ApproachesandProcess ClassificationofPersonalSellingApproachesStimulus ResponseSelling Figure6 1 SalespersonProvidesStimuli BuyerResponsesSought ContinueProcessuntilPurchaseDecision ClassificationofPersonalSellingApproachesMental StatesSelling AttentionInterestDesireAction ClassificationofPersonalSellingApproachesNeed SatisfactionSelling Figure6 2 UncoverandConfirmBuyerNeeds PresentOfferingtoSatisfyBuyerNeeds ContinueSellinguntilPurchaseDecision ClassificationofPersonalSellingApproachesProblemSolvingSelling Figure6 3 DefineProblem GenerateAlternativeSolutions ContinueSellinguntilPurchaseDecision EvaluateAlternativeSolutions ClassificationofPersonalSellingApproachesConsultativeSelling StrategicOrchestratorBusinessConsultantLong termAlly Theprocessofhelpingcustomersreachtheirstrategicgoalsbyusingtheproducts service andexpertiseofthesellingorganization ThreePrimaryRoles SalesPlanning 1 39 SalesProcessModel Figure6 4 SalespersonAttributes InitiatingCustomerRelationships DevelopingCustomerRelationships EnhancingCustomerRelationships InitiatingCustomerRelationshipsProspectingMethods Exhibit6 3 ExternalSources ReferralApproachCommunityContactContactOrganizationsIntroductionApproachNoncompetingSalespeopleCultivateVisibleAccounts InternalSources ExamineRecordsInquiriestoAdvertisingPhone MailInquiriesPersonalContact PersonalObservationColdCanvassingMiscellaneous Hold AttendTradeShowsBirdDogsSalesSeminar CompatibilityAccessibilityEligibilityAuthorityProfitability InitiatingCustomerRelationshipsScreeningCriteria InitiatingCustomerRelationshipsProspectingIssues Whichmethodworksbest Cold callreluctanceUsingtechnologytocompletethebasictasksofprospectingTele prospecting InitiatingCustomerRelationshipsPre callPlanning Preapproach customerrelatedresearchGatheringinformationabouttheprospectthatwillbeusedtoformulatethesalespresentationSalesPresentationPlanning increasedimportanceinrecentyearsSalespersonmustbeginwithanobjective s Sales PresentationPlanningSalesPresentationFormatCannedSalesPresentation ProsLogicalCompleteMinimizessalesresistancebyanticipatingprospect sobjectionsCanbeusedbyaninexperiencedsalesperson ConsUnabletotailormessagetotheprospectDoesnothandleinterruptionswellHardtousewithbroadproductlineMayalienatebuyers OrganizesthekeypointsintoaplannedsequencethatallowsforadaptivebehaviorFeedbackfrombuyerisencouragedConRequiresasalespersonwithmoreproductknowledgeandsellingexperience Sales PresentationPlanningSalesPresentationFormatOrganizedSalesPresentation UsedincompetitivebiddingsituationsandwhendollarvalueofsaleislargeProsWrittenwordisusuallyacceptedasbeingmorecredibleTechnicalinformation pricingdata andperhapsatimetableareavailableforreview Sales PresentationPlanningSalesPresentationFormatSalesProposal SalesMixModel Figure6 5 PresentationPace PresentationScope DepthofInquiry UseofVisualAids Two WayCommunication Prospect ApproachingtheCustomer GettingtheappointmentStartingthesalescallEstablishharmoniousatmosphereObserverulesofcommoncourtesyAscertaincustomerneedsAskquestionsandlistenFocusonbenefitstothecustomer DevelopingCustomerRelationshipsSalesPresentationDelivery BuildingCredibilityPersonalBehaviorSalesTechniquesConservativeClaimsThird partyEvidenceTestimonialsGuaranteesandWarrantiesAchievingClarityAddressingCustomerConcerns GainingCustomerCommitment Avoidhigh pressuresalestechniquesSeekcommitmentifprospecthasvoicednoconcernsSeekcommitmentifprospectconcernshavebeenadequatelyaddressedAvoid earlyandoften mentalitySuggestaspecificcourseofaction RelationshipEnhancementActivities EnteringordersExpeditingordersInstallingtheproductorserviceTrainingcustomerpersonnelResolvingcomplaintsCorrectingbillingerrors Module7InitiatingtheRelationship TheChallengesofProspecting 5 ofunplannedcoldcallsresultinasale Roughly25 30 ofpreplannedcallsproduceasale TheChallengesofProspectingBuyerswillnottakethetimetoseeasalespersonbecause Theymayhaveneverheardofthesalesperson sfirm Theymayhavenoneed theyjustboughttheproductcategory Thebuyermayhavetheirowndeadlinesonotherissues Buyersareconstantlygettingcallsfromsalespeopleanddonothavethetimetoseethemall Gatekeepersinanyorganizationscreentheirbosses callsandar
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