November 2021

Meaning and Definition of Personal Selling Personal selling refers to the use of speech and personal conviction to bring about some action on the part of another. Salesperson is a man who actually performs the personal selling. A salesperson in personal selling tries to persuade the prospect so that he can take a decision to buy product. It is a major factor in creating sales volume. It is a direct presentation of a product to a prospective customer by a salesman. It takes place face to face or over the telephone. It may be directed to a middleman or a final consumer Personal selling is a face – to – face interaction with one or more prospective purchasers for the purpose of making presentations answering questions, and procuring orders.” Personal selling involves two – way communication with prospects that allows the sales massage to be adapted to the special needs of the customer.   Characteristics of Personal Selling Part of Promotional Mix: Personal selling is a part of promotional mix, or the communication mix, in the company’s marketing program. The major elements in the promotional mix are the company’s advertising, sales promotion, and personal selling efforts. Individual, Personal Communication: Personal selling is the individual and personal communication of information, in contrast to the mass, impersonal communication of advertising, sales promotion, and other promotional tools. Flexible Tool: Personal selling is more flexible than these other tools. Salespeople can tailor their presentations to fit the needs and behavior of individual customers. Salespeople can see their customer’s reaction to a particular sales approach and make adjustments on the spot. Focused on Customers: Personal selling is usually focused or pinpointed on prospective customers. It considers the needs, desires and buying problems of the customers. Alive Interaction: Personal selling involves an alive, immediate, and interactive relationship between two or more persons. Each party observes the other’s needs at close hand and makes immediate adjustments. Long-run Relationship: Personal selling permits all kinds of relationship to spring up. It establishes a selling relationship and also a deep personal friendship. It keeps customer’s best interests at heart. It maintains long run relationships. Response: Personal selling is based on buyer’s reactions and response. It makes the buyer feel that he is listened to, and his needs are considered. Persuasion: It is concerned with persuasive communication. A salesperson in personal selling tries to persuade the prospect so that he can take a decision to acquire the product which the salesperson is talking about.   Human Element into Marketing: It is a major factor in creating sales volume. It brings human element into marketing transactions and increases the customer’s confidence in the supplier. Broader Concept: Personal selling is a broader concept than salesmanship. Personal selling, along with other marketing elements, is a means for implementing marketing program’s. Salesmanship is one aspect of personal selling it is never all of it. Personal selling makes use of salesmanship techniques. Creative : Personal selling is creative by nature. The salespeople try to create needs, make the customers aware of these needs and try to persuade them to buy the product. Salesperson does not sell, but they create in the other man the urge to buy. Service Element: It is necessarily an act of assisting the customers to buy wisely. Today, it has become a symbol for honesty and dependability. In fact, it is a service that is serving the customer for the good cause of humanity. Types of Personal Selling There are two kinds of personal selling: Across –the -Counter Selling: In this kind of selling Customers come to the salespeople. It involves retail store selling. It also includes the salespeople at catalogue retailers who take telephone orders. Most salespeople fall into this category. Field Selling: It is the selling where the salespeople go to the customers. These people sell in person at a customer’s place of business or home. Outside sales-force usually represent producers or wholesaling middlemen, selling to business users. Today, some companies have a sales-force that goes to the customers in person. Some outside selling is becoming electronic. Objectives of Personal Selling To do the entire selling job To “service” existing accounts To search out and obtain new customers To secure and maintain customers cooperation in stocking and promoting the product line To keep customers informed on changes in the product line and other aspects of marketing strategy To assist customers in selling the product line To capture and retain a certain market share To obtain sales volume in ways that contributes to profitability To obtain some number of new accounts of given types To keep personal -selling expenses within set limits To secure targeted percentages of certain accounts’ business Need and Importance of Personal Selling Need of Today: The need of personal selling has increased in present age due to the flood of products in the market and keen competition. Basis of Economic Fortunes: If the personal selling effort in an organization falters/falls, then the economic fortunes of that organization will likely decline. It largely determines the firm’s financial future. To Carry Promotional Load: Personal selling is a major ingredient of promotion mix of a company. It has a big role in implementing promotional programme. Personal selling carries the bulk of the promotional load when: The market is concentrated either geographically, or in a few industries, or a few large customers. The product has a high unit value, is quite technical in nature, or requires a demonstration. The product must be fitted to an individual customer’s need; as in the case of securities or insurance. The sale involves a trade – in. The product is in the introductory stage of its life cycle. The organization does not have enough money for an adequate advertising campaign.   Minimum Wasted Effort: Personal selling is focused on prospective customers. Thus, it minimizes wasted effort. In contract, much of the cost of advertising is spent on sending messages to people who in no way are real prospects. Increase in Profitable Sales: The goal

PREPARATION FOR SALES NEGOTIATIONS In addition to the factors outlined in the previous section, a sales negotiator will benefit by paying attention to the following additional factors during preparation. Assessment of the balance of power In the sales negotiation, seller and buyer will each be expecting to conclude a deal favorable to themselves. This balance will be determined by four key factors: The number of options available to each party. If a buyer has only one option – to buy from the seller in question – then that seller is in a powerful position. If the seller, in turn, is not dependent on the buyer but has many attractive potential customers for the products, then again they are in a strong position. Conversely, when a buyer has many potential sources of supply and a seller has few potential customers, the buyer should be able to extract a good deal. Many buyers will deliberately contact a number of potential suppliers to strengthen their bargaining position. The quantity and quality of information held by each party. (‘Knowledge is power’, Machiavelli.) If a buyer has access to a seller’s cost structure then they are in a powerful position to negotiate a cheaper price, or at least to avoid paying too high a price. If a seller knows how much a buyer is willing to pay, then their power position is improved. Need recognition and satisfaction. The greater the salesperson’s understanding of the needs of the buyer and the more able they are to satisfy those needs, the stronger their bargaining position The pressures on the parties. Where a technical problem is of great importance to a buying organization, its visibility high and solution difficult, any supplier who can solve it will gain immense bargaining power. If, on the other hand, there are pressures on the salesperson, perhaps because of low sales returns, then a buyer should be able to extract extremely favorable terms during negotiations in return for purchasing from them. Determination of negotiating objectives-It is prudent for negotiators to set objectives during the preparation stage. This reduces the likelihood of being swayed by the heat of the negotiating battle and of accepting a deal which, with the benefit of hindsight, should have been rejected It is useful to consider two types of objective: ‘Must have’ objectives. The ‘must have’ objectives define a bargainer’s minimum requirements; for example, the minimum price at which a seller is willing to trade. This determines the negotiating breakpoint. ‘Would like’ objectives. These are the maximum a negotiator can reasonably expect to get; for example, the highest price a seller feels they can realistically obtain. This determines the opening positions of buyers and sellers. Concession analysis Since negotiation implies movement in order to achieve agreement, it is likely that concessions will be made by at least one party during the bargaining process. Preparation can aid negotiators by analyzing the kinds of concession that might be offered to the other side. The kinds of issue that may be examined during concession analysis include the following: Price; Timing of delivery; The product – its specification, optional extras; The price – ex works price, price at the buyer’s factory gate, installation price,in-service price; Payment – on dispatch, on receipt, in working order, credit terms; Trade-in terms, e.g. cars. The aim of concession analysis is to ensure that nothing that has value to the buyer is given away freely during negotiations. A skillful negotiator will attempt to trade concession for concession so that ultimately an agreement that satisfies both parties is reached. Proposal analysis A further sensible activity during the preparation stage is to estimate the proposals and demands the buyer is likely to make during the course of negotiation, and the seller’s reaction to them. This is analogous to the anticipation of objections in pure selling – it helps when quick decisions have to be made in the heat of the negotiation.

PREPARATION FOR SALES The ability to think on one’s feet is of great benefit to salespeople, since they will be required to modify their sales presentation to suit the particular needs and problems of their various customers and to respond quickly to unusual objections and awkward questions. However, there is much to be gained by careful preparation of the selling task. Some customers will have similar problems; some questions and objections will be raised repeatedly. A salesperson can therefore usefully spend time considering how best to respond to these recurring situations. In many selling situations, buyers and sellers may negotiate price, timing of delivery, product extras, payment and credit terms, and trade-in values. These will be termed sales negotiations. PREPARATION FOR PURE SELLING AND SALES NEGOTIATIONS PREPARATION FOR PURE SELLING A number of factors can be examined in order to improve the chances of sales success in both sales negotiations and pure selling. Product knowledge and benefits Knowledge of product features is insufficient for sales success. Because people buy products for the benefits they confer, successful salespeople relate product features to consumer benefits; product features are the means by which benefits are derived. The way to do this is to look at products from the customer’s point of view Knowledge of competitors’ products and their benefits Knowledge of competitors’ products offers several advantages: It allows a salesperson to offset the strengths of those products, which may be mentioned by potential buyers, against their weaknesses. For example, a buyer might say, ‘Competitor X’s product offers cheaper maintenance costs’, to which a salesperson might reply, ‘Yes, but these cost savings are small compared to the fuel savings you get with our machine.’ In industrial selling, sales engineers may work with a buying organisation in order to solve a technical problem. This may result in a product specification being drawn up in which the sales engineers have an influence. Sales presentation planning Although versatility, flexibility and the ability to ‘think on one’s feet’ are desirable attributes, there are considerable advantages to presentation planning: The salesperson is less likely to forget important consumer benefits associated with each product within the range they are selling. The use of visual aids and demonstrations can be planned into the presentation at the most appropriate time to reinforce the benefit the salesperson is communicating. It builds confidence in the salesperson, particularly the newer, less experienced, that they are well equipped to do the job efficiently and professionally. Possible objections and questions can be anticipated and persuasive counterarguments prepared. Setting sales objectives The temptation, when setting objectives, is to determine them in terms of what the salesperson will do. The essential skill in setting call objectives is to phrase them in terms of what the salesperson wants the customer to do rather than what the salesperson will do. As with all objectives, sales objectives should, wherever possible, fulfill the SMART criteria for objectives that were discussed An important factor affecting the setting of sales objectives is the so-called sales cycle. Sales Cycle The sales cycle refers to the processes/steps between first contact with a customer and the placing of the actual order and the amount of time this takes. With regard to the process/steps in the sales cycle, once again this should always be considered from the point of view of what processes/steps the customer undertakes rather than from the perspective of the steps involved in selling, though clearly the former should determine the latter. Understanding buyer behavior Many organizational buying decisions are complex, involving many people whose evaluative criteria may differ, and that the purchasing officer may play a minor role in deciding which supplier to choose, particularly with very expensive items. The internet can provide a wealth of information on the buying organisation. The buyer’s website, online product catalogues and blogs are useful sources of information. Customer relationship management (CRM) systems allow salespeople to access customer information held by their company via the internet. For example, Orange, the telecommunications company, enables their field salespeople to access their CRM databases using personal digital assistants (PDAs) equipped with wireless modems.

SALES RESPONSIBILITY AND PREPARATION SALES RESPONSIBILITIES. The primary responsibility of a salesperson is to conclude a sale successfully. This task will involve the identification of customer needs, presentation and demonstration, negotiation, handling objections and closing the sale. These skills will be discussed later in details. In order to generate sales successfully, a number of secondary functions are also carried out by most salespeople. Although termed secondary, they are vital to long-term sales success. These are: Prospecting; Database and knowledge management; Self-management; Handling complaints; Providing service; and Relationship management. Salespeople are also responsible for implementing sales and marketing strategies. This issue will be considered later. Prospecting Prospecting is the searching for and calling upon customers who, hitherto, have not purchased from the company. This activity is not of uniform importance across all branches of selling. It is obviously far more important in industrial selling than retail selling; for example, a salesperson of office equipment may call upon many new potential customers, whereas a furniture salesperson is unlikely to search out new prospects – they come to the shop as a result of advertising and, perhaps, high street location. Sources of prospects Existing customers. This is a highly effective method of generating prospects and yet tends to be under-used by many. A wealth of new prospects can be obtained simply by asking satisfied customers if they know of anyone who may have a need for the kinds of products or services being sold. This technique has been used successfully in life insurance and industrial selling, but also has applications in many other areas. Having obtained the names of potential customers, the salesperson, if appropriate, can ask the customer if they may use the customer’s name as a reference. The use of reference selling in industrial marketing can be highly successful since it reduces the perceived risk for a potential buyer. Trade directories. A reliable trade directory such as Kompass or Dun and Bradstreet can prove useful in identifying potential industrial buyers. The Kompass directory, for example, is organised by industry and location and provides such potentially useful information as: Name, address and telephone number of companies; Names of board members; Size of firm, by turnover and number of employees; Type of products manufactured or distributed. Enquiries. Enquiries may arise as a natural consequence of conducting business. Satisfied customers may, by word-of-mouth create enquiries from ‘warm’ prospects. Many companies stimulate enquiries, however, by advertising (many industrial advertisements use coupon return to stimulate leads), direct mail and exhibitions. This source of prospects is an important one and the salesperson should respond promptly. The enquirer may have an urgent need seeking a solution and may turn to the competition if faced with a delay. Even if the customer’s problem is not so urgent, slow response may foster unfavorable attitudes towards the salesperson and their company’s products. The next priority is to screen out those enquiries that are unlikely to result in a sale. A telephone call has the advantage of giving a personalized response and yet is relatively inexpensive and not time consuming. It can be used to check how serious the enquiry is and to arrange a personal visit should the enquiry prove to have potential. This process of checking leads to establish their potential is known as qualifying. For potential business customers the internet can be useful in qualifying customers. For example, online financial ratings services can be used to check on the prospect’s financial resources. Salespeople may also inspect the prospect’s corporate website and blogs. The press and the internet. Advertisements and articles can provide clues to potential new sources of business. Articles may reveal diversification plans that may mean a company suddenly becomes a potential customer. Advertisements for personnel may reveal plans for expansion, again suggesting potential new business. The internet is also a vast resource for identifying new potential customers. For example, salespeople may use electronic versions of product directories (e.g.Thomson Register) to identify companies that carry out certain types of operations and therefore may need specific products or services. Also, online databases (e.g. ABI Inform) can be used to gather detailed data on industries together with information on trends for products and industries. 5. Cold canvassing/cold calling. These terms are used interchangeably and as the words suggest involve calling on potential new customers ‘cold’ i.e. without prior contact or even an appointment. Although widely used in some forms of selling, such as ‘door-to-door’ or telephone selling, it can be an ineffective and thus frustrating approach to generating sales. In fact, only a relatively small number of individuals are able to cope with the stresses, strains and challenges of cold canvassing, making them very special and valuable types of salespeople. Indeed, the process of cold canvassing can be so stressful that someone once suggested that it was ‘God’s punishment’ for the salesperson. So why is cold canvassing potentially so ineffective and stressful, and, come to that, is it always so? The major problem in cold canvassing lies with the potential reaction, or perhaps lack of it, on the part of the customer.Cold canvassing means approaching customers who at the extreme have never heard of the company, have never heard of its products, have never met or spoken to the salesperson before and may have no conceivable interest in, or need for, the product or service in question. Imagine the difficulties of trying to sell in this situation. Furthermore, the customer may strongly resent being approached without prior warning or permission. This is particularly the case where customers are approached in their own time and/or in their own homes as is the case with much consumer product cold canvassing. In fact, there are major potential ethical and regulatory issues associated with some types of cold calling, especially where the approach to the potential customer is made via the internet or by telephone. Consequently, any marketer intending to use these contact methods for cold calling must be familiar with, and careful to adhere to, any legal or industry regulations and guidelines

SALES DISPLAY AND DEMONSTRATIONS Once the problems and needs of the buyer have been identified, the presentation follows as a natural consequence. The first question to be addressed is presentation of what? The preceding section has enabled the salesperson to choose the most appropriate product(s) from their range to meet customer requirements. Second, having fully discussed what the customer wants, the salesperson knows which product benefits to stress A given product may have a range of potential features which confer benefits to customers, but different customers place different priorities on them. In short, having identified the needs and problems of the buyer, the presentation provides the opportunity for the salesperson to convince the buyer that they can supply the solution. The key to this task is to recognize that buyers purchase benefits and are only interested in product features in as much as they provide the benefits that the customer is looking for. Examples of the relationship between certain product features and benefits. Training programs and personal preparation of salespeople should pay particular attention to deriving the customer benefits which their products bestow. Benefits should be analyzed at two levels: those benefits that can be obtained by purchase of a particular type of product, and those that can be obtained by purchasing that product from a particular supplier. For example, automatic washing machine salespeople need to consider the benefits of an automatic washing machine compared with a twin-tub, as well as the benefits that their company’s automatic washing machines have over competitors’ models. This proffers maximum flexibility for the salesperson in meeting various sales situations. The danger of selling features rather than benefits is particularly acute in industrial selling because of the highly technical nature of many industrial products, and the tendency to employ sales engineers rather than salespeople Perkins Diesels found this to be a problem with their sales team after commissioning market research to identify strengths and weaknesses of their sales and marketing operation, but it is by no means confined to this sector. Hi-fi salespeople who confuse and infuriate customers with tedious descriptions of the electronic wizardry behind their products are no less guilty of this sin. A simple method of relating features and benefits in a sales presentation is to link them by using the following phrases: ‘which means that’ ‘which results in’ ‘which enables you to’. For example, an estate agent might say, ‘The house is situated four miles from the company where you work (product feature) which means that you can easily be at work within fifteen minutes of leaving home’ (customer benefit). An office salesperson might say, ‘The XYZ photocopier allows stream feeding (product feature) which results in quicker photocopying’ (customer benefit). Finally, a car salesperson may claim, ‘This model is equipped with overdrive (product feature) which enables you to reduce petrol consumption on motorways’ (customer benefit). The term ‘presentation’ should not mislead the salesperson into believing that they alone should do all the talking. The importance of asking questions is not confined to the needs and problem identification stage. Asking questions as part of the presentation serves two functions. First, it checks that the salesperson has understood the kinds of benefits the buyer is looking for. After explaining a benefit it is sound practice to ask the buyer, ‘Is this the kind of thing you are looking for?’ Second, asking questions establishes whether the buyer has understood what the salesperson has said. A major obstacle to understanding is the use of technical jargon that is unintelligible to the buyer. Where a presentation is necessarily complicated and lengthy, the salesperson would be well advised to pause at various points and simply ask if there are any questions. This gives the buyer the opportunity to query anything that is not entirely clear. This questioning procedure allows the salesperson to tailor the speed and content of their presentation to the circumstances. Buyers have different backgrounds, technical expertise and intelligence levels. Questioning allows the salesperson to communicate more effectively because it provides the information necessary for the seller to know how to vary the presentation to different buyers. Technological advances have greatly assisted the presentation. For example, laptops allow the use of online resources such as video material and the ability to get a response from a sales office during a presentation. Access to company websites permits the carrying of masses of product information, including sound and animation. Many sales situations involve risk to the buyer. No matter what benefits the salesperson discusses, the buyer may be reluctant to change from the present supplier or present model because to do so may give rise to unforeseen problems – delivery may be unpredictable or the new model may be unreliable. Assurances from the salesperson are, of themselves, unlikely to be totally convincing – after all, they would say that, wouldn’t they! Risk is the hidden reason behind many failures to sell. The salesperson accurately identifies customer needs and relates product benefits to those needs. The buyer does not offer much resistance, but somehow does not buy; a likely reason is that the buyer plays safe, sticking to the present supplier or model in order to lessen the risk of aggravation should problems occur. How, then, can a salesperson reduce risk? There are four major ways: (a) Reference selling; (b) Demonstrations; (c) Guarantees; and (d) Trial orders. Reference selling Reference selling involves the use of satisfied customers in order to convince the buyer of the effectiveness of the salesperson’s product. During the preparation stage  Sales technique a list of satisfied customers, arranged by product type, should be drawn up. Letters from satisfied customers should also be kept and used in the sales presentation in order to build confidence. This technique can be highly effective in selling, moving a buyer from being merely interested in the product to being convinced that it is the solution to their problem. Demonstrations Chinese proverb: Tell me and I’ll forget; show me and I may remember; involve me and I’ll understand. Demonstrations

PROCESS OF SELLING This can be defined as the last step in chain of commerce where a buyer exchanges cash for a sellers good/service or the activity of trying to bring this about. Refers to give or handing over something in exchange for money.it involves persuading someone of the merits of a particular product or service. IMPORTANCE /PURPOSE OF SELLING The customer can know why they need the product-benefits Helps the product become more relatable to customer. Leads to customer loyalty. To make money for self and company one works for. Source of income. PROCESS OF SELLING This is the complete set of steps that must take place in order to execute a sales transaction from beginning till the end. The process involves the following steps. Initial contact. Product demonstrations. Trial periods. Bidding price. Negotiations. Signing of contracts Delivery of product/service being sold. FACTORS AFFECTING THE SELLING PROCESS Holidays/life events-Christmas, birthdays speeds up or slows down the selling process. Job market-If individuals seeking employment opportunities are more selling dwindles. Financing availability-shortage of funds from lenders can negatively impact small and medium sized businesses. Stock market and investments-When faced with alternatives, investors put their money where they expect the best combination of high return and low-risk. Consumer confidence. World events ie politics, landscape and natural disaster.

EMERGING TRENDS AND ISSUES IN  MARKETING Use of advanced technolog1y-computers;ict advancement Emergence of customer care services department to handle financial matters only. Tele marketing. Globalization-this is a process whereby different systems and parts of a related trade, function as a closely-knit system at the international level. Communication and transport have vastly improved and affects many aspects of marketing from competition policy to monetary policy and agricultural policy. Mergers and joint ventures of institutions so as to increase the institutions capital base. HIV aids and drug abuse menace. Pollution Corruption . Tight budget and allocating, spending and measuring of ROI is a running battle in marketing departments. Social media grow up. Games-marketers already have been adding games to their sites and doing product placement deals with sites and doing product placement deals with sites and using games to more customers along the decision making path they are shaping their websites with questions, tasks and rewards designed to keep customers engaged with all kinds of brands, from insurance to cars. Bar codes-recent adoption including snap tags including brand logo with most of smart phones now capable of scanning the codes, and advertisers are using them to link in store shoppers to manufacturers website or connect to a nearest store. Tv talks-interactive tv advertising by use of satellite and cable companies fitted with set-top boxes. Digital wallet-electronic payment and couponing systems with electronic payment systems coming up e.g. mpesa,airtel money and equitel. Intrapreneurialism grows-being highly agile and flexible. Metrics mature-this is the ability to measure every click ,tweet and page view and is both a blessing and a curse and is used to gage a companys performance. Emergence of consumerism movements-this is an organized movement of citizens and government agencies to improve the rights and power of buyers in relation to sellers Emergence of environmentalism movement-this is an organized movement of concerned citizens and government agencies to protect and improve peoples current and future living environment. Cloud computing. Adoption of new marketing strategies e.g. e-marketing to search for more customers. Competitors coming up with new improved product. New government polices i.e. media bill. Emergence of fraudsters producing counter fake products. Changing customer basis and needs. Emergence of new product life cycle stages ie fads ,fashions and style products. CHALLENGES POSED BY THIS TRENDS. Some trends and issues require more resources inorder to meet the new trends and issues e.g. more funding. Government policy which might really affect the new trend/issue. New/more competitors coming into market. Changing market needs and wants. Coverage of wide market area-due to globalization aspect. Changing the approach to get more customers or maintain the existing ones. WAYS OF COPING UP WITH CHALLENGES. Adopting new marketing strategies. Employing more resources in marketing teams. Coming up with legal measure to deal with fraudsters. Reaching a wide market to stay relevant. Coming up with model or design that would move customers.

SERVICE MARKETING Service refers to any act/performance that one party offers to another that is essentially intangible and does not result in the ownership of anything. SPECIAL CHARACTERISTICS OF SERVICES. Intangibility-services can not be seen, tasted, felt, heard or smelt. Inseparability-services are produced and consumed simultaneously. Heterogeneity(heterogeneous)-services are variable since they depend on the provider. Perishability-services can not be stored e.g. medical care. Ownership-services do not result in ownership of anything.   CHARACTERISTICS OF GOOD SERVICE QUALITY. Should have support services ie it should augment the actual product. Should be well labelled. Should be well packaged. Should have a brand that identifies it with the maker. SERVICE CONCEPT. This  is based on the idea that actual service offering can be broken down into a number of levels relating to customer need satisfaction, benefits and features. Three levels can be identified. Core benefit service-This relates specifically to the customers needs. The core benefit satisfies the need or solves the problem. Expected service-this relates to customers’ expectations of what kinds of services are available to satisfy their need. The expected service reflects standards required or expected by customers to satisfy their needs.eg in a bank one expects that polite language is used,professional knowledge is applied by the staff etc. Augmented service-this means making the service better in some way and it is the means by which service providers differentiate their offering in an attempt to influence customer choice. Extra features over and above the expected service can be added to make the service more attractive to prospective customers. Innovation is the key to make a service stand out from the competition.eg in the banking sector,we have the corporate section where we have corporate customers who are usually served differently according to class. ELEMENTS OF THE SERVICE MIX Service-this involves superior quality, a well known and trusted brand image, unique features and extended guarantees. Price-involves added value, special discounts and preferential credit terms(free for a new customer brought). Promotion-this involves innovative advertising campaigns, loyalty promotions(points) added, special offer, public relations e.g. sponsorship e.g K.CB in terms of safari rally, safaricom, equity etc. Place-This involves extensive availability(in many parts g. equity bank),innovative methods e.g. telephone banking, agents and careful selection of quality channels(mpesa). People-This involves highly trained staff, better customer care, greater efficiency, personal attention and specialized skills. Process-This involves advanced technology e.g. for counting money, efficiency systems e.g. introduction of ATMs to avoid queing in banks and fast response Physical evidence-This involves comfortable surrounding, superior décor(decoration) e.g. for wedding organizers they gather in hotels, schools, banks. Qualifications and evidence of professional standing(e.g. certificates being placed on walls) and a strong recognizable corporate image(similar uniform) and supporting documentation.   WAYS OF DEVELOPING BRAND STRATEGIES FOR SERVICES. Line extension(existing brand, existing service category)-this is using a successful brand name to introduce additional items in a given service category under the same brand name such as new flavours, forms, colours, added ingredients as well as different packaging sizes in respect to a product. Brand extension(existing brand, new service category)-using a successful brand name to launch a new service in a new category. Multibrands-(new brand, existing product category) ie offering new band in same category. New brands-(new brand, new service category) may be appropriate if none of the existing brands is appropriate for a new service entering new market. Mega brand strategies-this focuses on marketing dollars only in brand that can achieve number one or number two market share in their categories.    PRODUCT SUPPORT SERVICES MANAGEMENT. Training the current employees/hiring new ones. Increasing the quantity of service by giving up some quality. Industrialise the service by adding equipment and standardized production. Harnessing technology ie data mining, cloud computing etc.

CUSTOMER CARE This refers to activity of  looking after customers and  helping them with complaints and problems. It involves provision of service before and after purchase. Customer care is also a third party provider that takes customers calls, answers their questions, address their concerns, and solves their problems etc, and submits detailed reports on such activities to the principal(client). It involves putting systems in place to maximize your customer’s satisfaction with your business. THREE AREAS/ELEMENTS IN CUSTOMER CARE. Expand your definition of services-how you define services shapes every interaction you have with your customers services should provide customers with satisfaction in essence the customers should walk  away pleased at the result of transaction and not just content but actually happy a happy customer will continue to be a buying customer and a returning customer. Who are your customers-customers, buyers and clients want to pay a fair price for quality service or product and feel satisfied they have paid for services or product and receive what they have paid for in return.it is important to listen to customers and do research, their habit and what they want and expect. Developing a customer friendly approach-by customer friendly, we mean viewing customer as most important part of your job. SOURCES OF FREE CUSTOMER INFORMATION. Business contacts Local business reference libraries. Your local authority; business link/chamber of commerce. Internet. Uk trade for information on export markets. Forex ie N.S.E. CUSTOMER SERVICE QUALITIES Customer service accountability delivery. Professionals who constantly deal with customers inside or outside the company need to strive for certain qualities to help them answer customer needs the professional qualities to be emphasized always  relates to customer wants. BASIC PROFESSIONAL CUSTOMER SERVICE QUALITIES. Friendliness-associated with courtesy and Empathy-appreciate customers wants and circumstances. Fairness-customers want to feel and receive adequate attention and reasonable answers. GREETING THE CUSTOMER. The purpose is to create and maintain a welcoming environment and we can achieve this by; Looking good-be well groomed. Smiling Eye contact directly to the customers eyes Shaking hands-professional hand shake is expected. Being attentive-slightly lean towards the customer and nod always to indicate you are listening. ASPECTS OF CUSTOMER SERVICE. Attitude and appearance-a customer service representative must be congenial, presentable and approachable e.g. when communicating on phone they should be pleasant and an understandable voice be used. The concern of the customer is the top priority and the representative can not allow his/her mood or other internal issues destruct his/her from this priority. Convenience ie easy to approach. Follow up-this can be done by sending an email or by calling or even visiting the customer. Communication-e.g. if you are doing repairs on someone scar, calling the customer and updating him on progress or sending an email to keep him upraised of the situation cold be a very smart way to proceed. SOURCES OF CUSTOMER COMPLAINS. Defect cost by production or service failure and employee mistakes. Marketing over promises Misleading marketing Customer errors and unreasonable expenses. Customer is incorrect but makes a reasonable mistake. Dissatisfaction on use of product and its effects. Poor customer services-rudeness. Discrimination in serving customers Customer exploitation in terms of prices, quality and quantity. Long time spent in responding to their urgent problems. Media-mainly social media. Phone calls by customers Mails sent by customers Internal employees. Analyzing the order history patterns Direct feedbacks. WAYS TO REDUCE CUSTOMER BASED PROBLEMS. Effective labeling/giving clearing directions Pro-active education-this is a cost effective way to resolve common customer problem e.g. Vodafone pro actively calls customers three weeks after cell phone activation. Easily accessible customer assistance. HANDLING CUSTOMER COMPLAINS. There will always be customers who complain after completing the sale. Like customer objections, don’t view complains negatively rather they are often a very  good way to; Obtain valuable customer feedback on products. Assess  customer attitudes to company policies. Address customer needs that were not previously identified.

DIRECT MARKETING This are direct communications with carefully  targeted individual consumers to obtain an immediate response and cultivate lasting customer relationships the new direct marketing models include: advances in direct marketing include emergence of catalog companies, direct mailers and telemarketers. BENEFITS  AND GROWTH OF DIRECT MARKETING. BENEFITS TO BUYERS; Easier to know the current models in the market as per ones needs Convenient Wealth of comparative information is allowed. Interaction and immediate feedback is possible Privacy is enhanced. Enhances greater product access and selection. BENEFITS TO SELLERS; It is a tool for customer relationship buildings ,better targeting and customerization. It can be timed to reach prospects at just right moment. Higher readership and response is enhanced. There are numerous internet and online benefits which one enjoys ranging from, Reduce costs and increased speed and efficiency. Avoids expenses of rent, insurance utilities(owning a store). Improve efficiency of channel and logistic functions. Costs less than communicating on paper through the mail Greater flexibility is enhanced in terms of production quotas and the needs of customers. It is usually a global medium-ie across all nations. CUSTOMER DATABASE AND DIRECT MARKETING Customer database-this is  an organized collection of comprehensive data about individual customers or prospects including geographic, demographic, psychographic and behavioural data. Database marketing-this is the process of building and maintaining customers data for the purpose of contacting and transacting with the customers.it is commonly used in  B2B  and service retailing(hotels, banks and airlines). It makes use of a customers mailing list – a set of names, addresses, telephone numbers etc and customer database-contains much more information e.g. past purchases, personal information, family information etc. The database kept by the firm assists in, Identifying the prospects. Deciding which customer should receive a particular offer. Deepening customer loyalty(ie information, gifts etc). Reactivating customer purchases(knowledge of past purchase is kept, gifts, certificates and promotion. FORMS OF DIRECT MARKETING. Face to face selling. Tele marketing-using phones to sell directly to customers. Direct mail-letters, ads, samples, fold outs are used the media used here include; voice mail, email, fax mail and physical mail. Catalog marketing-this is mainly through print, video or electronic catalogs. Direct response television marketing-this is direct marketing via television, including direct response television advertising or  commercial home shopping channels. Kiosk marketing- refers to information and ordering machines placed in stores and airports.it is different from vending machines because a kiosk  does not dispense the actual product. Internet/online marketing-this is marketing conducted through interactive online computer systems which link consumers with sellers electronically ie internet and commercial online services.

ASPECTS OF PERSONAL SELLING. Professionalism-this involves training sales people to the selling process the steps to effective selling include; Prospecting and qualifying-the company will find the leads by examining data sources such as newspaper and directories, organizing trade shows, using telephone and mails qualifying involves contacting the  leads to access their level of interest and financial capacity. Pre-approach/establishing needs-the sales person needs to learn as much as possible about the prospect company ie their needs, purchasing power, who is involved in purchase decision etc. Approach-the sales person should know how to greet the buyer, to get the relationship off to a good start. Presentation and demonstration-the sales person tells the product story using the AIDA formula that is getting attention, holding intrest, getting them to desire and obtaining attention ie Attention, Intrested, Desire and Action. Overcoming objections-this involves dealing with any resistance towards the product or the company.it could be as a result of preference for established supply sources, reluctance to give up something, pre-determined ideas and pleasant experiences with sales persons this should be overcome by; Maintaining a positive approach, Clarifying objections and Turning objections into a reason for buying. Closing –the sales person needs to know the right psychological moment  to close the  sale e.g. physical actions e.g. nodding in agreement, positive comments or asking questions. CLOSING  TECHNIQUES. Asking for an order. Indicating what buyer will lose if they don’t order now. Asking the buyer whether they want A or B or helping them make choices on colour or size. Follow-up and maintenance-This is necessary to ensure customer satisfaction and repeat business(customer comes many times).it includes scheduling a follow up call to ensure proper installation, instructions are followed and servicing of the product. NEGOTIATION Negotiating  skills are important in order to reach an agreement on price and other terms of sale a sales person should win the order without hurting the profits of the company. RELATIONSHIP MARKETING. This involves building a long-term supplier customer relationship in-order to ensure repeat business.it is based on the promise that ,important customers need focused and continuous attention e.g. calling them, visiting them, taking them to dinner or lunch, making useful suggestions about their business etc.eg equity bank offers calendars, pens success cards etc. PUBLIC RELATIONS/PUBLICITY. This involves a variety of programs designed to promote a company’s image or its individual product a public is any group or individual who has an actual or potential interest in a company’s ability to achieve its objectives.eg customers, employees, shareholders, suppliers, government and financiers. FUNCTIONS OF PUBLIC RELATIONS. Press relations-this involves news and information about the organization in the most positive way. Product publicity-this include sponsoring effort in order to publish specific product. Corporate communication-this is promoting understanding of the organization through internal and external communication. Lobbying-this involves dealing with legislators and government officials to promote certain issues within a company or defeat certain laws and regulations. Counseling-this involves advising management about public issues and about the companys position and image.it includes advising them on action to take in the event of a product failing to meet customer expectations. TOOLS OF PUBLIC RELATIONS Publications-this is published material used to reach and influence the target market e.g. annual reports, articles , company newsletters, audio visual materials etc. Events-this are special events such as conferences, seminars, outings, anniversaries, sports ,cultural sponsorships that are used to reach the target market. Speeches-talks before large audiences especially at trade association meetings in-order to build the company’s image. Public service activities(corporate social responsibility)-this is contributing time and money to good courses in order to build a good public image/public good will e.g. giving funds to children homes, building roads, financial support in education sector e.g. wings to fly programme etc. News-this involves developing a good story concept and getting the media to accept to feature it. Identity media-because companies compete for attention a company needs a visual identity that the public immediately recognizes e.g. logos on uniforms, stationery, business cards etc.

FACTORS/CRITERIA TO CONSIDER IN SELECTING THE MOST APPROPRIATE MEDIA FOR ADVERTISING Cost element-refers to amount of money to be spent in advertising. select the most cost effective media. Frequency-this is the number of times the public will hear a single advert. the higher the frequency the better the impression created. Impact-this is the effect of an advert on the target audience and it is measured through the ability of audience to remember the advert. Target group-various market segment use different media and the choice of media must be related to the audience targeted.eg royco cubes would be advertised via radio as opposed to newspaper. Acceptability-this relates to the media house and whether they will accept to advertise a particular product e.g. Christian median stations may not accept to advertise alcoholic beverages, cigarettes and illegal substances. Readership-this is the coverage of media in terms of number of people who will have a direct access to a particular publication incase of print media and those who are literate to understand the message.eg current newspaper circulation stands at 300,000. Physical characteristics-the mediums characteristics ie visual aspects, colour movement etc have to be considered in relation to the type of advertisement run.tvs, newspaper and magazines show this attributes. Quality of production-where the quality of advertisement is of great consequence, then the medium that produces quality advertisements is preferred. Nature of the product-a product meant for general consumption will be advertised in a medium that has very wide reach.eg hospital machines and meedicines would be advertised through trade journal to which doctors subscribe. FACTORS TO CONSIDER BEFORE COMING UP WITH AN ADVERTISING BUDGET. An organization needs to budget in order to ensure that its expenditure does not exceed its planned income. Competitors activities –we should have parity. The market size/share Available funds The nature of the product the company is selling ie consumer or industrial goods. Prevailing government policies. Frequency of the advert-this is important because adverts are charged differently according to the timings of the day/nigh times. SALES PROMOTION. This comprises of short term incentives designed to increase the purchasing behavior of consumer through a variety of rewards and are meant to increase sales. IMPORTANCE /VALUE OF SALES PROMOTION. To increase sales. To introduce a new product. To encourage sellers to re-stock the items or increase their stocks e.g. free refrigerators to stock soda/water, brand shelf given to supermarkets free to stock a given product. Encourage the consumers sales force to put in greater effort ie giving of bonuses and certificates. To clear existing stock-this avoids carrying costs as well as sitting on money To promote unsought products. To remain competitive in the market TECHNIQUES USED IN SALES PROMOTION. Consumer promotions-this are designed to increase short term sales by inducing final consumers to try a new product or to increase purchase of an existing product. The effort of company is directed towards the end user of the product. This technique is also known as the pull strategy.ie producer-wholesaler-retailer-consumer.; but the arrow starts from consumer backwards. The media /techniques used usually includes; Free samples. Cash discounts. After sale services. Free gifts. Free demonstrations. Price deals ie decreasing. Sweep stakes- this is a method of gambling in which each person pays a small amount of money and is given the name of a competitor before a race/contest and the person who has the name of the winner receives all the money. Rebates-cash refund to buyer for purchasing a product Coupons(pieces of paper carrying a certain value). Trade promotions-This includes getting wholesalers and retailer to carry new items or increase their stocks by giving them certain incentives. This encourages them to advertise the product and give it more self-space. The effort of organization is directed towards the traders or intermediaries.it is also called the push This is  exhibited  by producer-wholesalers-retailers-consumers. The arrow is a forward one. The media/techniques used includes; trade discounts allowances commissions competitions free demonstrations credit facilities free training-technical products/machines technical support e.g. installations rebates-cash refund given to resellers on providing proof on sales. push money-manufactures pay retail people to promote products for them. trade shows trade contents point of purchase display for attention and dealer loaders- This is a premium given to a reseller to encourage development of special diplay/produced offering. Sales force promotions-this are incentives given to the sales force to support current or new products or getting the sales people to sign up new contracts with manufacturers and suppliers. the media used to target sales force promotions include; competitors, financial or non financial incentives ie cash rewards, free training, bonuses and commissions. Personal selling-this involves face to face interaction with one or more prospective purchasers for the purpose of making presentations, answering questions and procuring orders.