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SELLING TODAY 13e

2
Evolution of Selling Models
That Complement the
Marketing Concept

MANNING

AHEARNE

REECE

Learning Objectives
Discuss the evolution of personal selling models
as an extension of the marketing concept
Describe the evolution of consultative selling from
the marketing era to the present
Define strategic selling and name the four broad
strategic areas in the Strategic/Consultative
Selling Model
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Learning Objectives (Cont.)


Describe the evolution of partnering and the
nature of strategic account management
Explain how value-added selling strategies
enhance personal selling

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What is the Marketing


Concept?
Marketing concept holds that achieving
organizational goals depends on knowing
1. the needs and wants of the target markets
and
2. delivering the desired products
Sales and profits come from customer focus and
customer value.
Customer satisfaction is of primary importance.
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Table 2.1 Evolution of Personal


Selling
Marketing Era Begins (1950s): Salesperson in position
to collect information on buyer needs
Consultative Selling Era Emerges (1960s-1970s):
Buyer needs identified through two-way
communication; negotiation replaces manipulation
Strategic-Selling Era Emerges (early 1980s): Strategy
and product positioning gain in importance
Partnering Era Emerges (1990 to present): Customer
is driving force and adaptive selling emerges
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Figure 2.1 The Marketing Mix

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Evolution of Consultative Selling


Consultative selling era (late 1960s to early 1970s)
Mass markets break into target markets
Emphasis on need identification
Information sharing and negotiation replace
manipulation

Evolution of Consultative Selling


Transactional selling

Process that serves the buyer primarily interested in


price and convenience
Consultative selling

Process that developed from the marketing concept,


emphasizing need identification

Evolution of Consultative Selling


Features of consultative selling include:
Customer is a person to be served,
not a prospect to be sold
Two-way communication identifies
(diagnoses) customers needs; no
high-pressure sales presentation

Emphasis on information
giving, problem solving, and
negotiation versus
manipulation
Emphasis on service after the
sale

Figure 2.2 Consultative Sales


Presentation Guide

Need
discovery

Selection
of solution

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Needsatisfactio
n
presentati
on

Servicing
the sale

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Evolution of Consultative
Selling
Extension of the marketing concept
Emphasizes need identification
Salesperson plays role of consultant
Negotiation over manipulation

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Major Features of Consultative


Selling
Customer is person to be served
Communication is two-way
Problem-solving is offered
Service is emphasized at every phase

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Evolution of Strategic Selling


Strategic selling era (early 1980s)
Market niches require more planning
Equal emphasis on strategy and tactics
Product positioning vital

Partnering era (1990 to present)


Customer, not product, as driving force
Emphasis on strategies that create customer value

Evolution of Strategic Selling


A strategic market plan
Outlines necessary methods and resources
Considers areas to be coordinated
Finance
Personnel
Production
Marketing
Influences the sale of products
Serves as guide for strategic selling plan

Evolution of Strategic Selling


Strategy
Carefully conceived plan needed to accomplish sales
objectives
A prerequisite to tactical success
Tactics
Specific techniques, practices, and methods used in
customer interaction

Strategy and ConsultativeSelling


Strategic planning is the process that matches
the firms resources to its market opportunities
Tactics are techniques, practices, or methods
Strategies are prerequisites to tactical success
Selling strategies are plans for accomplishing
sales objectives
Adaptive selling means to alter sales behaviors
during interactions to improve communication
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The Strategic/Consultative Selling Model

FIGURE

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Figure 2.3 Strategic/Consultative


Selling Model
Develop personal selling philosophy
Develop relationship strategy
Develop a product strategy
Develop a customer strategy
Develop a presentation strategy

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Figure 2.4 Strategic/ Consultative


Selling Model
Relationship strategy
Product strategy
Customer strategy
Presentation strategy

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Develop a Relationship
Strategy
Securing relationships
Developing relationships
Maintaining relationships

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Develop a Product Strategy


Product strategy is a plan that helps salespeople
make correct decisions concerning the selection
and positioning of products to meet identified
customer needs
Prescriptions
Become a product expert
Sell benefits
Configure value-added solutions
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Develop a Customer Strategy


Customer strategy is plan that results in
maximum responsiveness to the customers
needs
Prescriptions
Understand the buying process
Understand buyer behavior
Develop prospect base
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Develop a Presentation
Strategy
The presentation strategy is a well-developed
plan for meeting objectives for each sales call
Prescriptions
Prepare sales presentation objectives
Prepare presentation plan
Renew commitment to customer service

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Interrelationship of Basic Strategies

Figure 2.5 Partnering

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Jobs Associated with


Strategic Selling Alliances
Strategic account manager
Regional account manager
Key account manager
National account manager
Global account manager

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Building Strategic Account


Relationships
Learn about proposed partner
Meet with proposed partner
Explore benefits of the alliance
Present on profit impact and strategic alliance
benefits

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Figure 2.6 Value Creation

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For Review
In what way is personal selling extended from
the marketing concept?
How has consultative selling evolved?
What are the four broad strategic areas in the
Strategic/Consultative Selling Model?
How are partnerships developed?
How do value-added selling strategies relate to
personal selling?
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Reality Selling Case


Does it appear that Smith has adopted the three
prescriptions of a personal selling philosophy?
What prescriptions of the relationship strategy
have been adopted?
How can Marcus Smith create value for his
customers?
Why is it important for marketing support
personnel to understand personal selling?
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