Principle of Marketing

Principles of Marketing forwarding oerview and individualized change advance intermixture individual(prenominal) exchange announce advancement gross revenue forwarding Elements in the Communication growth (Fig. 14. 2) Promotion outline strategical Objectives inhibit Tasks Budget Implementation paygrade and discover Strategic Issues Integration Relationships Goals Information, Persuasion, Reminder Consumer Considerations AIETA warning Target Integrated Marketing communication theory (Fig. 14. 1) Advertising individualized change gross sales forward motion Public relations straight saturnine marketing A View of the communication theory executeMarketers View Communications as the Management of the client Relationship Over clip Through the quest Stages Pre selling Preselling marketing exchange PostPostConsumption Consumption down Consuming AIETA The bridal Process production heart Cycle AIETA and the Promotion Mix The advanced tool for the job. Aw atomic number 18ness Advertising -teaser campaigns -pioneering ads -jingles/slogans -outdoor -internet banners Publicity -newsworthy stunts -news announcements -trade announcements Interest Advertising -information ads -image ads Evaluation Advertising -persuasion ads -image ads -testimonials -comparative adsTrial Advertising -retailer co-op ads -POP materials -sales promotion ads Adoption Advertising -reminder ads Publicity -news insurance coverage -human interest stories Publicity -consumer welfargon reports Personal Selling -mentions -samples -brochures, etc. Personal Selling - pull aheads (prepared or formula approaches) Personal Selling -consultative selling Personal Selling -closed lot Personal Selling -consultative selling gross sales Promotion -demonstrations -displays -tie-ins sales Promotion -trade discounts -trade allowances sales Promotion -samples -coupons -rebates -price packs -premiums gross sales Promotion -patronage rewards -contests Promotion TargetsPush/Pull Promot ion Mix Strategies Strategy that harbingers for throwing A atomic reactor on Advertising and Consumer Promotion to pass water Up (Pull) Consumer Demand. Strategy Selected Depends on persona of ProductMarket & Product Life-Cycle Stage Strategy that auspicates for victimisation the gross revenue soldiery and Trade Promotion to Push the Product Through the Channels. Setting the Total Promotion Budget One of the Hardest Marketing Decisions liner a gild is How Much to Spend on Promotion. Affordable percent of gross revenue Percentage of salesestablish on What the political party Can Afford found on a authentic Percentage ground on a Certain Percentage of Current or Forecasted gross sales of Current or Forecasted gross revenue ground on the Competitors Based on the Competitors Promotion Budget Promotion Budget Objective-and-Task Objective-and-Task Based on Determining Based on Determining Objectives & Tasks, Then Objectives & Tasks, Then Estimating appeal Estimating Cost s Competitive-Parity Competitive-Parity Objective and Task method Example of Objective and Task Budgeting gross sales Management and Personal Selling Strategic objectives Awarenessmentions, samples, etc.Interestbenefit information, missionary Evaluationconsultative selling Trialconsultative selling (closing) Adoptionconsultative selling The Role of the gross revenue withdraw Personal selling is effective beca manipulation salespeople nates probe adjust bring off build Major steps in gross sales Force Management (Fig. 16. 1) calculative Salesforce Strategy and organize intention Salesforce Strategy and Structure Recruiting and Selecting Salespeople Recruiting and Selecting Salespeople Training Salespeople Training Salespeople Compensating Salespeople Compensating Salespeople superintendence Salespeople supervise Salespeople Evaluating Salespeople Evaluating SalespeopleSome Traits of Good Salespeople Selecting Salespeople Sales Aptitude Sales Aptitude former(a) Characteri stics Other Characteristics Selection Process usually Evaluates a Persons character Traits Personality Traits Analytical and Analytical and organisational Skills governing bodyal Skills Sales Force Organization In-house Flexible Directed let loose protean be Resource drain highschool fixed be Agents (Mfr. Reps) Simple Low fixed be Less cook High variable costs Designing Sales Force Strategy and Structure Sales Force Size plenteous and pricy assets shrinking in coat take inload approachSales force size growings with Decreases with Training Salespeople The Average Sales Training Program lasts for Four Months and Has the Following Goals Help Salespeople Know & Identify With the Company Learn almost the Products Learn About Competitors and clients Characteristics Learn How to Make Effective Presentations take in Field Procedures and Responsibilities Compensating Salespeople To Attract Salespeople, a Company Must Have an To Attract Salespeople, a Company Must Have an sho wy intent Made Up of several(prenominal) Elements Attractive Plan Made Up of Several Elements Fixed Fixed aggregate Amountnormally a ordinarily a Salary Salary uncertain Variable Amount Amount Usually Usually Commissions Commissions Or Bonuses Or Bonuses write off Expense Allowance Allowance For business concern For Job Related Related Expenses Expenses Supervising Salespeople Directing Salespeople Directing Salespeople Identify Customer Targets & Identify Customer Targets & Call Norms Call Norms set Prospect Target Develop Prospect Target Use Sales Time Efficiently Use Sales Time Efficiently Annual Call Plan Annual Call Plan Time-and-Duty Analysis Time-and-Duty Analysis Sales Force automation Sales Force AutomationMotivating Salespeople Motivating Salespeople Organizational clime Organizational Climate Sales Quotas Sales Quotas Positive Incentives Positive Incentives Sales Meetings Sales Meetings Sales Contests Sales Contests Honors and Trips Honors and Trips Merchan dise/ cash Merchandise/ Cash How Salespeople Spend Their Time (Fig. 16. 2) Service Calls 12. 7% Administrative Tasks 16% Telephone Selling 25. 1% opposite Selling 28. 8% Waiting/ travelling 17. 4% Companies Look For Ways to Increase the Amount of Time Salespeople Spend Selling. EvaluationMatch the measures with the objectives Profit Sales cheer New products New accounts Costs Steps in the Selling Process Prospecting Prospecting expiration Qualifying Preapproach Preapproach Approach Approach sales representative Identifies satisfactory Potential sales rep Identifies Qualified Potential Customers. Customers. Process of Identifying Good Prospects Process of Identifying Good Prospects and Screening Out poor Ones. and Screening Out Poor Ones. sales rep Learns as Much as viable salesperson Learns as Much as Possible About a future Customer Before About a Prospective Customer Before devising a Sales Call.Making a Sales Call. salesperson Meets the purchaser and Gets Salesperson Meets the Buyer and Gets the Relationship Off to a Good Start. the Relationship Off to a Good Start. Steps in the Selling Process Presentation Presentation treatment Handling Objections Objections Closing Closing apply Follow-Up Salesperson Tells the Product fabrication to Salesperson Tells the Product Story to the Buyer Using the Need- contentment the Buyer Using the Need-Satisfaction Approach. Approach. Salesperson Seeks Out, Clarifies, and Salesperson Seeks Out, Clarifies, and Overcomes Customer Objections to Overcomes Customer Objections to Buying.Buying. Salesperson Asks the Customer for an Salesperson Asks the Customer for an Order. Order. Occurs by and by the Sale and Ensures Occurs After the Sale and Ensures Customer Satisfaction and Repeat Customer Satisfaction and Repeat Business. Business. convolution Selling victor selling Preliminaries are not crucial Questions/Answers SPIN Situation Problems Implications Needs-Payoffs SPIN selling Easiflo S B S B S Do you use Con tortomat machines? Yes, terce of them. And, are they hard-fought for your operators to use? Yes, sooner hard, entirely they at last learn.We could solve that run barrier with our new Easiflo governance. B What does your arrangement cost? S The basic system is close to $120,000, and B $120,000 Just to devise a machine easier to use? You mustiness be kidding Example Selling Easiflo S Do you use Contortomat machines? (Situation) B Yes, triad of them. S And, are they difficult for your operators to use? (Problem) B Yes, quite an hard, but they eventually learn. (Implied need) S We could solve that operating difficulty with our new Easiflo system. (Solution) B What does your system cost?S The basic system is about $120,000, and B $120,000 Just to make a machine easier to use? You must be kidding SPIN selling Easiflo S And, are they difficult for your operators to use? B Yes, rather hard, but they eventually learn. S You articulate theyre hard to use. What effect does this prepare on your output? (Implication) B not a lot. Weve specially trained three people. S If youve only got three people who can use the Contortomats, doesnt that create bottlenecks? (Implication) B No, really, its only when an operator leaves that we imbibe trouble.While were waiting for a replacement to be trained. S It sounds the the likes of the difficulty of using the Contortomat machines whitethorn be causing a turnover difficulty with operators. Is that right? (Implication) B Yes, people tire outt like using them, so operators usually dont halt with us long. S What does this turnover imagine in terms of develop costs? (Implication) Well, it takes a couple months to get handy thats maybe $4000 in wages. confident(p) we pay Contortomat $500 for training. And, $1000 for travel, since that training is off-site.Hey, thats about $5000 perand weve trained at least five this year. S So, thats $25,000 in training costs in less than 6 months. If youve trained that legion(pre dicate) people in so microscopic time, the turnover must result in production losses, doesnt it? (Implication) B non really. As I said, we avoid bottlenecks by getting the other operators to employ extra time. Or, we invest the work out. S Doesnt the overtime add even more to your costs? (Implication) B Yes, thats true. And, even at double pay, the operators dont like working it. That probably contributes to the turnover.S I can see how triping the work outside must increase your costs, but are there other implications? Does the type stay the same? (Implication) B Thats actually the biggest problem. I can program line the forest in house, but not the contract stuff. S I presuppose that sending work out puts you at the mercy of the contractors memorial? (Implication) B You dont inadequacy to know I just got off the phone three hours, chasing down a late delivery. S So, from what youve said, because the Contortomats are difficult to use, youve spent $25,000 in training cost s this year and youre getting expensive operator turnover.Youve got bottlenecks in production, and they result in expensive overtime and force you to send jobs outside. But sending jobs outside reduces quality and creates scheduling problems. B When you look at it that way, those Contoromat machines are creating a very effective problem indeed. Wrong approach Contortomats are hard to use. $120,000 is far too much money to solve that problem SPIN approach Contortomats cause Difficulty in use $25,000 training Turnover extra time costs Cost of outside work Loss of quality Scheduling problems $120,000 may be a bargain cook implications. Let the customer discover value.