The message and sales presentation can be adjusted on the spot to suit individual needs, motives and expectations of customers. Prohibited Content 3. Personal selling is important not only for businesses but also for customers and society. The following variables should be considered while formulating sales strategy. What is personal selling? Researches have shown that Indians do not believe in reading and’ following instructions of any kind. Helps in identification of needs – Personal selling helps the customers in identifying their needs and wants and knowing how these can be satisfied. Personal selling is an important marketing tool for small businesses, particularly those that sell complex or high-value products and services to other businesses, rather than consumers. A salesperson is valued if he/she is honest and sincere in his conduct. He/she must persuade customers to buy the product. This helps in making sales. (i) A salesman increases the sales and expand the market by identifying new customers and persuading them to buy the products. This increases profitability of the company. As the world of sales continues to change and evolve, so has the number of sales tactics and various technologies to … The standard of living of the society goes up in view of the large scale production. Privacy Policy 8. These objectives change very frequently as soon as there is a change in the Promotional mix. Importance of personal selling: (i) It is a flexible tool: Personal selling involves individual and personal communication as compared to the mass and impersonal communication of advertising and sales promotion. Research into the ethics of personal selling and sales management has continued to increase in volume and importance. Personal selling plays a very vital role in the economic progress and development of the society. It is seen that in some cases, despite knowing some shortcomings of a product, customer tend to purchase it simply … The importance/roles of personal selling in marketing can be likened to those … the promotional tool personal while using it to create awareness and close clients.. The short term objectives are more specific and mainly in conformity with the role assigned to the Personal selling as a part of the Promotional mix. They are:-, 1. Share Your PDF File Following points explain the importance or benefits of personal selling: 1. (ii) Employment Opportunities – Increased production creates more employment opportunities. To retain habitual & loyal customers. Salesman provides information about the various features and advantages of his … A salesman finalises the deal. He settles terms and conditions such as payment, delivery etc. Customer retention is the result of sharing content, communicating directly and working on addressing the specific issues or concerns that prospects have. A salesman is a guide and a friend of the consumer and a supporter and an aid to the producer. Therefore, it is extremely important that a salesman possesses the essential qualities to ensure the effectiveness of personal selling. Thus personal selling is generally adopted in India. Flexible Tool 3. Copyright 10. Salesmanship offers triple rewards. Personal selling plays a dynamic role as well as decisive role in selling. As compared to other methods of promotion, the wastage of efforts is minimum in case of personal selling. Similarly, it can make sales promotion tools more effective by personal guidance or conviction. Rate of employment also goes high. Thus the needs and buying habits of people are different, hence, it is not possible to have a mass marketing approach and have a universal mode of promotion like advertising. A. Personal selling uses in-person interaction to sell products and services. Salesman can provide necessary information to customer about company’s offer, and also can collect information from customer. This is the first importance of personal sellingand it means that the ultimate objective of personal selling activity is that all the sales activities right from prospecting, pre-approach, approach, presentation and demonstration, handling objections, closing, follow-up are attained in a synchronous manner and ultimate objective of revenue generation is possible. The salesmen aim to inform and encourage the customer to buy, or at least try the product. Only when the customer is satisfied with the product, he/she makes a purchase. iv. ii. Selling is ultimately about collaboration, not your own personal chance to shine. The salesman informs customers about the new products by suggesting to him their uses. Other forms of promotion include some unavoidable waste because many people in the audience are not prospective customers. Companies can assume personal selling by hiring sales representatives who visit customers or by contacting customers by telephone or online-based platform. Induces Customers C. Importance to Society – 1. Importance Of Personal Selling In Marketing 1074 Words | 5 Pages. Helps in creating employment opportunities. Personal selling plays a vital role in promotion of goods and services of an organization. 2. Sales representatives are important in increasing the sales volume of a product. People prefer to understand the usage of the product by demonstration. Definition: Personal selling is also known as face-to-face selling in which one person who is the salesman tries to convince the customer in buying a product.It is a promotional method by which the salesperson uses his or her skills and abilities in an attempt to make a sale. A sales target serves as a motivation for the sales person and the sales person adopts a persuasive approach to increase sales volume. Whenever a person expresses a desire to know about the product, the representative tries to convey the benefits of the product and impress the prospect. To enable a customer to decide what to buy and what not to buy; iii. Salespeople may learn about competitors' products, for example, or about emerging customer needs that may lead to the development of a new product. iii. uses of buying motives in personal selling/ importance of knowing buying motives in personal selling March 24, 2020 March 24, 2020 TORAN LAL VERMA Buying motives are the “inner feelings” of the buyers and he tries to satisfy them at any rate to the maximum possible extent. Nature and Scope 5. They introduce a new product to the customers. Here person to person contact will help in selling the product and not advertising. Personal selling focuses on personal problems of customers. (iv) He understands the needs, tastes and preferences of the consumers as well as the nature of products that will match the market demand. Personal selling is an important element of promotion mix and an effective promotional tool. (h) Effective tool – Personal selling is the most effective method of selling as the efforts under this method are focused on the actual and potential buyers. For many consumer products like home appliances, cosmetics, pharmaceuticals, publications, etc., salesmanship is considered as an indispensable technique to promote product as well as to increase sales. Other benefits of personal selling, due to which it is a famous promotion activity are: i. Minimises Wastage of Efforts 4. It provides following specific benefits to a society: (i) Converts Latest Demand – Personal selling converts the latest demand into effective demand. Personal s… Slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising. On the feedback given by the salespersons a company brings the desired improvement in the products in order to march the demand and expectations of the customers. Some of the specific benefits which it offers to the society are: i. It is the largest single operating cost accounting for 10 to 15% of net sales in many enterprises. He may change the offer under different situations. Mobility of Sales People 5. 4. (g) Market information – As salesperson are in direct link or contact with the customers, they can very well understand the needs, tastes, habits etc., of the customers as well as the nature of products that match the market demand. Hence, this sales function is an indicator of customer satisfaction. Due to increased expectations of consumers on one end and customer orientation approach of companies on the other end, the personal selling is given more priority. Personal Selling I. – To Introduce a Product to the Customers, to Create New Wants and to Maintain the Demand and a Few Others, – For a Business Firm, Customers and Society, – Benefits to the Business, Customers and Society. Solved: Explain the reasons why personal selling is more important in B2B marketing than in B2C Selling. The sales staff kept for this purpose identifies opportunities to build a fresh customer base. This study focused on the impact of personal selling on the productivity of selected banks (First Bank Plc and Stanbic IBTC) in Calabar Metropolis. For technical products, it has more relevance. In the present competitive environment of business, effective selling of goods or services has become very difficult and challenging task for any business firm. Personal selling, being flexible in nature, involves individual and personal communication where a salesman can tailor his sales presentations to fit needs, motives and attitudes of prospective customers. A salesman introduces the goods to the customers, arouses their interest and persuades them to purchase the goods and finalizes the deal. 6. Personal selling is the process of communicating with a potential buyer (or buyers) face-to-face with the purpose of selling a product or service. New products can be introduced in the market through personal selling. The sales go up with the serious efforts of the sales force. Personal selling is just one of many skills you should have in your sales toolbox. Salesman can personally attend each customer to convince as well to solve problems. Selling is one element of marketing, which is the process of developing a product or service offering, communicating the benefits through promotions and managing the ongoing exchange of value with targeted customers. Because of this characteristic, personal selling has the … There is a vast difference among the people in terms of culture, behaviour, psychology, income etc. (iii) Expert Advice – Salespersons provide customers expert advice and guidance in purchasing goods and services. Personal selling ensures development of relationship between the sales person and the prospective customer. The importance of personal selling for businessmen may be discussed as follows: (i) Effective Promotional Tool – It helps businessmen to explain the target customers about the product quality and its features and thus influence his/her decision to buy the product. Personal selling is an important element of promotion mix and an effective promotional tool. Another advantage is that personal selling can be an important source of marketing information. Personal selling is a face-to-face sales presentation to a prospective customer. Personal selling helps to draw the attention of the customers quickly to the product design, features, quality, uses, price, etc. Personal selling is based on personal interaction between the salesperson and the customer. The product is in the introductory stage of its life cycle; 5. Since the representatives earn incentives on every sale of the designated product, they ensure that they push the customer for every sale. Image Guidelines 5. The sales person can easily assess the level of customer attention and interest and can read the mind of customers. The product has a high unit value, is quite technical in nature, or requires a demonstration; 3. The role it performs or it importance to customers it quite different to that of businessmen and the society at large… Report a Violation, Salesmanship: Type vs. Salespersons put vigorous effort in collecting market information, credit information, delivering goods and collecting payments. He must be mentally healthy with sharp memory and presence of mind. Better Standard of Living – It induces the customers to purchase a new product which is capable of satisfying their needs and wants in better way and thus, helps in improving their standard of living. This helps then to match their needs and the product. Converts Latest Demand 2. 2. (ii) Flexible Tool – Personal Selling is considered to be flexible as it helps businessmen to adapt to the changes required by customers and offer products accordingly. The customers are benefited by personal selling in the following ways: The sales person through his skill, intelligence, experience and interaction with the customers easily identifies the needs and wants of the consumer. Advertising acquaints potential customers with a product and thereby makes personal selling easier. This is possible in personal selling. What is Personal Selling?We all know, or at least have an impression, of what personal selling entails. Importance of Personal Selling – To Introduce a Product to the Customers, to Create New Wants and to Maintain the Demand and a Few Others, Importance of Personal Selling – For a Business Firm, Customers and Society, Importance of Personal Selling – Benefits to the Business, Customers and Society, Importance of Personal Selling – Eliminates Ignorance, Increases Sales Volume, Assists Customers, Increases Customer Satisfaction and Helps in Finding Prospects, Importance of Personal Selling – Importance to Businessmen, Customers and Society, Importance of Personal Selling – Personal Interaction, Quick Response, Increases in Sales Volume and Easy Customer Assessment, Importance of Personal Selling – Services to Consumers, Services to Producers and Services to the Society, Importance of Personal Selling – From the Consumer and Businessman Perspective. 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