“Sales promotion applies to practices other than personal selling, advertisement, and publicity that promote customer purchasing and dealer effectiveness, such as – display shows and exhibits, presentations, and numerous other non-recurrent selling efforts not in ordinary routine,” according to the American Marketing Association.
Personal Selling
"Personal selling" is described by the American Marketing Association as "an oral presentation in a conservative with one or more prospective customers for the purpose of making sales."
Personal selling, as defined by the aforementioned meanings, is the process of engaging in face-to-face conversations with customers and persuading them to buy goods, followed by receiving / procuring purchase orders from potential buyers. For heavy machines and technical equipment, including special items, personal sale is needed. In personal sale, the seller informs customers about the product's consistency, utility, price, and features, among other things. Similarly, the personal seller satisfies the customers' interest by providing logical and persuasive responses to their inquiries.
Types of Personal Selling
Personal selling is an extremely successful sales technique. Different techniques may be used to conduct such a sale. It not only allows for two-way contact about products and services, but it also educates consumers. As mentioned below, there are various types of selling processes:
Indoor personal selling
Indoor sellers are those who sell products or services while living in a specific location. By establishing contact with various buyers, such a seller tries to sell his products or services to them. Customers of various kinds come into the store to purchase various products of various qualities. As a result, they should be fascinated by appealing behaviors that prompt them to purchase products or services right away. As a matter of fact, this work is extremely difficult and demanding. Customers' needs and interests should be identified before selling merchandise to them.
Example of this are the companies who operates with a physical store like car stores, cellphone stores and jewelry stores.
➢ Outdoor Personal Selling
Outdoor personal sale is the process of identifying buyers and selling products to them while walking around various geographical regions. Customers from a variety of market segments should be pursued. Such sellers should be witty, friendly, and intelligent, as well as able to build rapport with others. Furthermore, the seller must be able to persuade customers of the need for the goods, promote new products, and generate demand for the goods. Customers should be able to obtain details about the quality, features, price, utility benefits, and other factors, as well as place purchase orders and arrange for the selling of products. As a result, the seller should have direct communication and interaction with buyers, and any issues that occur can be addressed quickly.
Example of this are the real-estate companies.
➢ Sales Representative
Sales representatives are appointed by large business forms or corporations to market their goods. As their agents, big firms / corporations choose clever sellers who are seasoned, trained, and capable of establishing effective public relations in business dealings. Such capable sales representatives may sell products or services to a variety of markets while providing complete customer satisfaction. Manufacturers' sales representatives, wholesalers' sales representatives, and retailers' sales representatives are the most common types of sales representatives. These salespeople are in charge of selling new products, industrial goods, and consumer goods.
The example of this are the Broker, Salesman and agent
Selling Objectives of Personal Selling
The following are the importance and goals of personal selling:
• Recognition of a need
Personal sellers reach out to specific markets in order to sell their wares. They provide detailed information to potential customers and clearly illustrate the features, nature, price, utility, and value of the products, as well as engage in various activities to persuade them to purchase. Customers will feel compelled to purchase products or services as a result of such events, knowledge, and programs. As a consequence, they may decide to purchase the goods or items.
• The problem's solution
The seller reaches out to specific markets and informs potential buyers about the products or services they plan to offer. If required, a product will be displayed among them. Customers can raise concerns about the products after the presentation. At that point, the seller provides straightforward, sincere, and persuasive answers with facts on how to solve the potential problems. For such events, the sellers should present the company's accurate and reliable records. As a result, one of the primary goals of personal sale is to resolve any issues that can occur when using the goods.
• Customers' persuasion
The personal selling should provide complete assurance to the targeted customers. Customers should be given specific details about the product's quality, features, price, utility, and use methods, among other things, by personal sellers. Such details can be used to turn potential customers into actual customers. As a result, the aim of personal selling is to convince all customers about the product.
Communication in both directions
The seller maintains regular contact with the target market's buyers. The sellers and buyers will be able to meet and speak in this manner. As a result, while providing information, the sellers may also receive feedback on their products or services. Via meetings, sales talks, sales displays, public interaction, and other means, two-way communication between sellers and buyers is possible. This aids the organization in developing new business strategies. As a result, personal sale achieves the aim of two-way contact, which benefits all parties.
The process for selling A successful and goal-oriented seller should follow a specific selling method. Indoor sellers must complete the process of attracting customers' attention, respectfully welcoming them, inquiring about their needs, introducing goods, answering customers' questions, assisting them in selecting goods, providing opportunities for selection, selling additional goods, and seeing them off with respect. Prospecting, making a pre-approach, and approaching, displaying a product that meets objectives, closing the deal, and following up on the products or services are all steps that outdoor sellers can complete.
Example of Personal Selling Perfume and beauty counters in department stores are a fine example of personal selling. A consumer can get advice on how to use the product and try out various options. Personal sale is often used to market products with relatively high prices or complicated features.
Non-personal Selling or Non-personal Promotion5 According to I-Path, for many organizations, non-personal promotion is the answer, as it allows them to retain and build new relationships with healthcare professionals. NPP stands for Non-Personal Promotion, which means that instead of promoting the traditional way (person to person), modern methods such as email and other digital marketing platforms are coupled with print to create reliable, measurable ways to remain in front of healthcare professionals. The possibilities afforded to marketing and sales practitioners by digital spawned non-personal selling (NPP). Because of the downward trend in sales representative results, it has become common in the pharmaceutical industry. A combination of conventional and digital media is being used in place of meetings at corporate offices and trade shows.
The example of Non-personal Selling are the ecommerce and businesses selling through online.
Database/Direct Selling or Database Marketing
Direct marketing is a form of database marketing. It entails gathering information such as names, addresses, emails, phone numbers, transaction records, and customer service tickets, among other things. This data is then analyzed and used to provide each customer with a customized experience or to attract new customers. Traditional direct marketing entails designing and distributing direct mail items such as brochures and catalogs to a list of prospective or existing buyers in the hopes of eliciting a positive answer. Database marketing takes the approach a step further by attempting to comprehend who consumers want to be sold to, and then using those observations to meet the customer's needs in the most appropriate medium.
• Direct sale is the practice of selling goods outside of a store, such as at home, online, or other non-store locations.
• It cuts out the middlemen in the distribution process, such as wholesalers and regional distribution centers.
• Items are now shipped directly from the producer to the distribution company, then to the rep or distributor, and eventually to the customer.
• Direct sales products are not commonly found in conventional retail outlets.
• Direct marketing is used by many B2B businesses to target and distribute to their end consumers.
Building a Database Warehouse
Regardless of the approach you take to creating a data warehouse, the basic framework should include three components: a storage mechanism, operating software, and human resources.
Storage – The key pillar of the building is where the warehouse would be located. When it comes to storage, you have two choices: an in-house server (Oracle, Microsoft SQL Server) or the cloud (Amazon S3, Microsoft Azure). The cloud is a digital storage solution built on external servers, while an in-house server is internal hardware that is set up within your office. When it comes to storage, any choice is viable, and it all depends on your needs. Check out this Data School tutorial for more details. The operating component of the data warehouse structure is software. It's usually divided into two categories: visualization software and centralization software. To gather and manage data from all of your different databases, you'll need centralized software. To help in analysis, visualization software is needed to take the data and present it in a visual format. While some centralization software packages provide visualization software, it is strongly recommended that you have all types of software. Check out this Data School tutorial for more details.
Labor – This is the data warehouse's management component, which is completely necessary for it to function properly. It might be necessary to recruit new employees in order to keep your warehouse operational. Since operating a data warehouse necessitates a great deal of experience, it's critical to hire qualified professionals. However, if you want to use a cloud-based warehouse, you cannot need as many human resources. Since the cloud is run by third-party vendors, it is their duty to perform routine hardware and server maintenance.
Tools of Database Marketing
In comparison to the past, the rapid advancement of technology, telecommunications, satellite communications, and the internet has provided the direct marketing industry with new resources to enter the market.
• Email strategies include sending emails to potential customers directly from a database compiled from different sources. It is important to avoid having emails bounce or go to spam, as this will waste time and effort. It is preferable to use apps like MailChimp to manage contacts, send emails, and monitor performance.
SMS (Short Messaging Service) is a low-cost direct marketing tool. In Indian currency, a single message will cost as little as 10 or 12 paise. Each message must be no more than 160 characters long. Apart from holidays, mobile users are more likely to receive SMS after working hours or before. • One of the most effective ways to reach a larger audience is to have a website. A website's popularity is determined by its position in search engines such as Google. The platform should be mobile-friendly, and creating mobile apps will help you attract new customers. For branding, product promotion, and customer engagement, social media has emerged as the most effective medium. Pinterest's audience is predominantly female in the United States, making it unsuitable for other nations. Product descriptions, images, activities, and product releases can all be described on Facebook pages.
• Radio and television have proven to be successful mediums for direct marketing campaigns. Some platforms dedicate a specific amount of time to product direct marketing. TV is often used to promote health, wellness, kitchen accessories, and home items, among other things.
• Direct-to-home sales have lost their potency as malls and shopping centers have grown to deliver more options. Product acceptance would be low unless it is backed up by print and television advertisements. Many cities and towns host events and trade fairs as part of their festivals. It is a large group of people who come to learn about new products and to purchase them.
• Way-side kiosk: A lot of companies use way-side kiosks to promote their branding and sales. All that is needed for this promotion is an umbrella with the brand name on it, as well as a desk and chair. Water purifiers, vacuum cleaners, cell phones, personal loans, automobiles, and almost any other commodity can be promoted in this manner. Some of these programs are held in shopping centers and in front of stores.
• Direct-mail campaigns: Direct-mail campaigns are a low-cost way of reaching out to a targeted audience or a larger audience, but sales conversion is dependent on the product's branding and utility to the user.
Newspapers/Magazines: Newspapers and magazines prove to be a good way for direct sellers to reach a larger audience. It aids in branding, product marketing, and awareness building, as well as the website traffic. However, in terms of cost and return on investment (RoI), the goods sold and whether they have a broader geographical scope can be determined by the products sold.
Efficient database marketing can be broken down into three levels. Database marketing that is successful generates more revenue by offering information that helps businesses to recognize and capitalize on new market opportunities. It enables a business owner to segment and target marketing efforts in a cost-effective way. By improving long-term customer relationships, the company will increase its chances of customer retention.
Example of Direct Selling
One of the best examples of direct selling companies is Amway, a company established in the United States that has the distinction of providing the most bonuses to its employees in 2010. Its network has expanded to over a hundred nations, with unaccountable members who are an integral part of its multinational corporation. Amway, which was established in 1959, has expanded by leaps and bounds as a result of its high-quality business policies, direct contact with consumers, and clearly highquality goods. At the end of the fiscal year 2017, it recorded revenues of US $8.6 billion, demonstrating that it has kept its customers' confidence. Amway is a multi-level marketing company that sells high-end and exclusive product lines such as home care, cosmetics, electricity, and health supplements such as vitamin and mineral supplements. XS Energy, Atmosphere, eSpring, Artistry, Nutrilite, Glister, and Amway Home are some of its sub-brands.
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