Test 1

Front 1

transactions
individuals
sales volume
management
local

Back 1

relationships
teams
sales productivity
leadership
global

Front 2

changes in professional selling over time

Back 2

peddlers

structured

professional

Front 3

intensified competition

Back 3

more emphasis on developing and maintaining trust-based, long-term customer relationships

Front 4

More emphasis on improving sales productivity

Back 4

increase use of technology, increase use of lower-cost-per-contact methods, and more emphasis on profitability objectives

Front 5

Demand for in-depth, specialized knowledge as an input to purchase decisions

Back 5

team selling, more emphasis on customer oriented sales training

Front 6

Stimulus Response

Back 6

The key idea is that various stimuli can elicit predictable responses. An example of the stimulus response view of selling would be continued affirmation.
Salesperson provides stimuli buyer responses sought  continue process until purchase decision

Front 7

Mental States:

Back 7

Assumes the buying process is essentially identical for most buyers. Buyers are led through certain mental states. AIDA: (attention, interest, (conviction), desire, and action.

Front 8

Need Satisfaction

Back 8

Based on the notion that the customer is buying to satisfy a need. Salesperson uses questioning, probing tactic to uncover important buyer needs
Uncover and confirm buyer needs  present offering to satisfy buyer needs  continue selling until purchase decision

Front 9

Problem Solving

Back 9

An extension of need satisfaction selling. Sometimes competitors’ offerings are included as alternatives
Define problem  Generate alternative solutions  evaluate alternative solutions  continue selling until purchase decision

Front 10

Consultative Selling:

Back 10

The processes of helping customers reach their strategic goals by using the products, service, and expertise of the selling organization
Business consultant, strategic orchestrator, and long-term ally

Front 11

SBU’s – definition and use

Back 11

An SBU is a single product or brand, a line of products, or a mix of related products that meets a common market need or a group of related needs, and the unit's management is responsible for all (or most) of the basic business functions
• Generally, plans are developed around a grouping of SBU’s.
• Although the SBU group and/or organization may be defined at a fairly high management level specific action plans for that SBU are typically generated within the lower or “action” level of the organization.

Front 12

Build

Back 12

Objectives: build sales volume, secure distribution
Task: prospective and new accounts, provide high service levels, particularly pre-sales service, product/market feedback
Compensation system: salary plus incentive

Front 13

Hold

Back 13

Objectives: Maintain sales volume, consolidate market position through concentration on targeted segments, and secure additional outlets
Task: Call on targeted current accounts, increase service levels to current accounts, and call on new accounts
Compensation system: Salary plus commission or bonus

Front 14

Harvest

Back 14

Objectives: Reduce selling costs and target profitable accounts
Task: Service most profitable accounts, eliminate unprofitable accounts, reduce service levels, and reduce inventories levels.
Compensation: Salary plus bonus

Front 15

Divest or liquidate

Back 15

Objectives: Minimize selling costs and clear out inventory
Task: Dump inventory and eliminate service
Compensation: Salary

Front 16

Specialization

Back 16

The degree to which individuals perform some of the required tasks to the exclusion of others. Individuals can become experts on certain tasks, leading to better performance for the entire organization.
Certain selling activities for certain products for certain customers

High environmental uncertainty
Non routine task performance
Performance objective is adaptiveness

Front 17

Centralization

Back 17

The degree to which important decisions and tasks performed at higher levels in the management hierarchy. Centralized structures place authority and responsibility at higher management levels.
All selling activities and all products to all customers

Low environmental uncertainty
Repetitive task performance
Performance objective is efficiency

Front 18

Geographic

Back 18

Based on each region
Advantages: Low cost, no geographic duplication, no customer duplication, fewer management levels
Disadvantages: Limited specialization, lack of management control over product or customer emphasis

Front 19

Product

Back 19

Based on products or product lines
Advantages: Salespeople become experts in product attributes and applications, management control over selling effort
Disadvantages: High cost, geographic duplication, customer duplication

Front 20

Market

Back 20

Based on commercial accounts or government accounts
Advantages: Salespeople develop better understanding of unique customer needs, management control over selling allocated to different markets
Disadvantages: High cost, geographic duplication

Front 21

Functional

Back 21

Based on field sales or telemarketing sales
Advantages: Efficiency in performing selling activities
Disadvantages: Geographic duplication, customer duplication, need for coordination

Front 22

Major account options

Back 22

Develop major accounts sale force assign major accounts to sales managers  assign major accounts to salespeople along with other accounts

Front 23

Sales force decisions can be viewed as providing answers to three questions

Back 23

1. How much selling effort is needed
2. How many salespeople are required
3. How should territories be designed to ensure proper coverage

Front 24

Simple basic concept:

Back 24

To allocate sales calls to accounts that promise the highest sales return from the sales call

Front 25

Choosing an organizational structure for the selling function 5

Back 25

geographic
product
market
functional
major account options