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Marketing Basics - Kotler Philip

Summary

Many companies use the services of salespeople, and many assign them the leading role in their marketing complexes. The high cost of this type of activity requires the establishment of an effective sales management process, consisting of six stages: setting goals for the company's trading apparatus; selection of the basic principles of the trading apparatus, its organizational structure, size and system of remuneration of sales personnel; attraction and selection of sales agents; their training; control over their work; assessment of the effectiveness of their work.

Being an integral part of the marketing mix, the trading apparatus is extremely effective in solving certain marketing problems and performing certain types of activities, such as identifying potential customers, establishing communication, marketing, organizing services, collecting information and allocating resources. In accordance with the concept of marketing - in addition to their traditional commercial skills - employees of the sales apparatus must have the skills of marketing analysis and planning.

After deciding on the tasks of the trading apparatus, the selection of the basic principles of its activity gives an answer to the questions about which type of sales will be most effective (single-player trading, collective trading, etc.), what organizational structure of the trading apparatus will provide the best results (breakdown by territorial principle, breakdown by product principle or breakdown by customers), what should be the size of this apparatus and what should be the system of payment for sales personnel in terms of its level and components, such AK salary, commissions, bonuses, reimbursement and additional payments.

The attraction and selection of salespeople should be approached very carefully to minimize the costs associated with hiring unsuitable employees. Training programs for novice salesmen are designed to familiarize them with the history of the company, its products and political settings, the characteristics of its customers and competitors, as well as the basics of the art of selling. The art of selling is a seven-step process, which includes: finding and evaluating potential buyers, preliminary preparation for a visit, approach to a client, presentation and demonstration of goods, overcoming objections, closing a deal and completing the deal, checking the results. Since the salesman has to make many decisions and face many disappointments, he needs guidance and constant encouragement. To help salespeople better organize their work, the company should regularly evaluate the effectiveness of their activities.