Mastering Salesmanship: Functions, Duties, and Personal Selling Strategies

1. Understanding Creative Salesmanship: Functions and Duties of a Salesman

Creative Salesmanship

Creative salesmanship is the art of selling in a persuasive, innovative, and customer-centric manner. It goes beyond routine selling and involves understanding customer needs, presenting solutions effectively, and building long-term relationships. A creative salesperson acts as a consultant, problem-solver, and value-provider, rather than just pushing a product.

Key traits include:

  • Strong communication skills
  • Ability to analyze buyer behavior
  • Product and market knowledge
  • Adaptability and innovation
  • Ability to build trust

Example: A salesperson selling water purifiers might creatively demonstrate real-time purification with a TDS meter, highlight health benefits, and offer a trial period to assure quality, thus going beyond traditional product pitching.


Functions of a Salesman

  1. Creating Demand: Salesmen identify customer needs and educate potential buyers about the product, thereby generating demand.
    • Example: Convincing a restaurant owner to use a new energy-efficient oven by highlighting cost savings.
  2. Product Promotion: They promote the product’s benefits, usage, and unique selling propositions.
    • Example: Showing demo videos and testimonials for a new fitness machine.
  3. Negotiation and Closing Sales: They negotiate prices, discounts, and payment terms to close the deal.
    • Example: Offering a bulk discount to a retailer on purchasing 50+ smartphone units.
  4. Customer Relationship Management: Maintaining post-sale contact to ensure customer satisfaction and repeat business.
    • Example: Checking in after 3 months to ensure an AC installation is working well.
  5. Market Intelligence Gathering: Salesmen collect feedback and report on market trends, competitor strategies, and consumer behavior.
    • Example: Reporting that a rival brand has launched a cheaper variant with similar features.

Duties of a Salesman

  1. Prospecting: Finding new potential customers.
  2. Approaching: Making initial contact effectively and respectfully.
  3. Presenting: Explaining product features, benefits, and how it solves customer problems.
  4. Handling Objections: Addressing doubts and providing satisfactory solutions.
  5. Closing: Securing the final agreement or sale.
  6. Follow-up: Ensuring customer satisfaction, resolving post-sale issues.
  7. Documentation: Keeping accurate sales records, receipts, and delivery notes.
  8. Target Achievement: Meeting individual and organizational sales targets.
  9. Ethical Conduct: Avoiding false claims and respecting consumer rights.
  10. Time Management: Prioritizing prospects, maintaining schedules.

Q2. Personal Selling: Situations and Process

Personal selling is most effective when direct interaction, persuasion, and clarification are necessary before a sale. It is crucial in situations involving:

  • High-Involvement Products: For expensive, technical, or long-term use items like cars or real estate, personal selling helps explain features, resolve doubts, and build trust. Example: A car dealer providing a detailed walkthrough of models, features, and financing.
  • Customised Products or Services: When products need modification, personal selling is essential. Example: A software company representative understanding business needs to recommend an ERP solution.
  • Industrial and B2B Sales: In business-to-business markets with high investment, personal selling is common. Example: A pharmaceutical rep convincing a hospital to adopt a new diagnostic machine.
  • New Product Launch: To create awareness and educate the market about new offerings. Example: Health supplement reps demonstrating benefits at gyms.
  • Complex Purchase Decisions: To help customers navigate choices and simplify decision-making. Example: A travel consultant guiding families on tour packages.
  • Long-Term Customer Relationships: For industries like insurance or banking where repeat sales and strong relations matter. Example: A financial advisor guiding clients through investments.

Process of Personal Selling

  1. Prospecting: Searching for potential buyers. Example: A real estate agent finding leads at property expos.
  2. Pre-approach: Gathering information about the potential customer. Example: A salesperson studying a company’s background before pitching office furniture.
  3. Approach: Making initial contact to gain attention and build rapport. Example: “Good morning, sir! I’m here to show you how our solar panels can cut your electricity bills in half.”
  4. Presentation: Explaining product features and benefits.
  5. Handling Objections: Addressing customer doubts and concerns.
  6. Closing: Securing the final agreement or sale.
  7. Follow-up: Ensuring customer satisfaction and post-sale support.

Q3. Sales Management and Buying Motives

(a) Sales Management Process

Sales management involves planning, directing, and controlling sales activities to achieve business goals. Key steps include:

  1. Sales Planning: Forecasting demand, setting targets, and developing strategies. Example: A smartphone company setting a Diwali sales target for North India.
  2. Recruitment and Selection: Hiring skilled individuals with good communication abilities. Example: A pharmaceutical company hiring B.Sc. graduates for fieldwork.
  3. Training and Development: Educating the team on products, techniques, and policies. Example: An insurance agent undergoing a 2-week training program.
  4. Supervision and Direction: Guiding and motivating the team, providing feedback. Example: A retail team leader checking daily targets and motivating staff.
  5. Sales Budgeting and Compensation: Managing costs and designing incentive structures. Example: A dealer receiving ₹10,000 for exceeding sales targets.
  6. Sales Monitoring and Control: Tracking performance via reports and analytics, making adjustments. Example: Testing new discount offers if online sales drop in a region.

(b) Using Buying Motives in Personal Selling

Understanding buying motives helps tailor sales pitches. Motives include:

  • Emotional Motives: Appealing to feelings like love, fear, or pride. Example: Selling a home security system by highlighting child safety.
  • Rational Motives: Focusing on logic like cost savings or durability. Example: Highlighting fuel efficiency for a budget-conscious car buyer.
  • Patronage Motives: Leveraging customer loyalty and trust in a brand. Example: A customer preferring a known electronics brand due to good past service.
  • Prestige Motives: Appealing to the desire for status or social recognition. Example: Promoting the latest iPhone to appear trendy.
  • Product Motives: Highlighting specific product attributes like quality or warranty. Example: Emphasizing smart cooling technology and a 10-year warranty for a refrigerator.
  • Personalisation Based on Motives: Adjusting the approach based on the identified motive. Example: Focusing on “investment value” for a businessman versus “family utility” for a parent.

Q4. Motivating Salespersons: Financial and Non-Financial Techniques

Motivating salespersons is crucial for revenue generation and customer retention. Both financial and non-financial techniques are essential.

1. Financial Motivation Techniques: Monetary rewards providing economic satisfaction.

  • Salary and Commission: Base salary plus commission on sales. Example: A real estate agent earning a 2% commission.
  • Bonuses and Incentives: Rewards for exceeding targets. Example: A mobile company offering a ₹25,000 bonus for selling over 500 units.
  • Profit Sharing or Stock Options: Offering a share of profits or company stocks. Example: IT company providing ESOPs to high-performing sales executives.
  • Travel and Allowances: Covering expenses for travel, food, and lodging. Example: Medical sales representatives receiving daily allowances.
  • Contests and Prizes: Rewarding top performers with cash or gifts. Example: Sales contests offering trips or gadgets.

2. Non-Financial Motivation Techniques: Emotional and psychological satisfaction.

  • Recognition and Appreciation: Public acknowledgment, awards. Example: Applauding a salesperson in a team meeting.
  • Career Growth Opportunities: Promotions and leadership training. Example: Promoting a sales executive to team leader.
  • Job Security and Stability: Assuring employees of job safety. Example: Retaining sales staff during economic downturns.
  • Healthy Work Environment: Fostering respect, support, and team bonding. Example: Regular team outings and open-door policies.
  • Autonomy and Responsibility: Granting freedom in decision-making. Example: Allowing a salesperson to design a local promotional strategy.
  • Training and Skill Development: Enhancing confidence and career growth. Example: Luxury brand providing communication workshops.

Q5. Prospects in Personal Selling

A prospect in personal selling is a potential customer with the interest, authority, and financial capacity to buy a product or service. They represent a qualified lead with a higher chance of conversion.

Types of Prospects:

  • Cold Prospects: Individuals or businesses unaware of the company or product. Conversion is challenging but offers untapped potential. Example: Making random calls to companies from a directory.
  • Warm Prospects: Those who have shown some interest or had prior contact (e.g., website visit, email response). Example: A person who downloaded a company brochure.
  • Hot Prospects: Highly interested individuals ready for a purchase decision, often initiating contact. Example: A business owner calling for a quotation after a seminar.
  • Existing Customers as Prospects: Current customers who may buy new or upgraded products. Easier to convert due to existing relationships. Example: A car buyer returning for a newer model.
  • Referred Prospects: Individuals recommended by current customers or contacts, benefiting from pre-existing trust. Example: A friend recommending a gym salesperson’s contact.

Q5 (b). Techniques of Sales Presentation

Sales presentation techniques communicate product value to convince buyers. Different methods suit various products and customers:

  • Canned Presentation: A standard, scripted pitch used for all prospects, suitable for new salespeople or simple products. Example: A fast-food rep pitching the same combo meal offer.
  • Consultative or Needs-Based Presentation: Tailoring the pitch after understanding customer needs through questions. Example: A financial advisor suggesting insurance plans based on client’s goals.
  • Product Demonstration: Showing the product in action to build excitement and trust. Example: A vacuum cleaner company demoing suction power in a customer’s home.
  • Storytelling Technique: Using stories or testimonials to build trust and relatability. Example: A skincare consultant sharing a client’s success story.
  • Problem-Solution Approach: Identifying a customer problem and presenting the product as the solution. Example: A cybersecurity expert selling antivirus by highlighting hacker threats to small businesses.
  • Visual and Digital Aids: Using charts, videos, or infographics to enhance understanding. Example: A real estate agent using a 3D virtual tour for a remote buyer.

Q8 (b). Professional Salesmanship

Professional salesmanship involves selling with high standards of behavior, skills, and ethics. It requires:

  • Deep Product Knowledge: Thorough understanding to answer queries and build trust.
  • Communication Skills: Active listening, clear presentation, and respectful interaction.
  • Ethical Behavior: Honesty, transparency, and prioritizing customer interests.
  • Problem-Solving Approach: Acting as a consultant to find suitable solutions.
  • Focus on Long-Term Relationship: Building trust through after-sales service and follow-ups.
  • Time Management: Efficient planning and adherence to schedules. Example: An insurance agent assessing client needs before suggesting a policy.

Q8 (d). Selling vs. Marketing

Selling and marketing are distinct but related concepts:

  • Orientation: Selling is product-oriented; marketing is customer-oriented.
  • Timing: Selling occurs after production; marketing begins before.
  • Goal: Selling aims to increase sales; marketing aims for customer satisfaction and loyalty.
  • Approach: Selling is short-term; marketing is long-term.
  • Techniques: Selling uses promotion and persuasion; marketing uses research, design, pricing, advertising, and distribution. Example: A shopkeeper pushing a product for commission (selling) vs. a company researching needs, designing, and promoting phones (marketing).

Q8 (a). Sales Code of Conduct

A Sales Code of Conduct provides ethical guidelines for sales behavior, ensuring honesty, transparency, and fairness. Key principles include:

  • Honesty and Integrity: Avoiding false promises and misrepresentation. Example: Not claiming a product has a non-existent feature.
  • Fair Treatment of Customers: Treating all customers equally.
  • No Pressure Selling: Avoiding manipulative tactics.
  • Respect for Competitors: Refraining from spreading negative rumors.
  • Confidentiality: Protecting customer information.
  • Lawful Behavior: Adhering to legal norms (invoicing, warranties).
  • Loyalty to the Company: Not harming the company’s brand image.

Q8 (c). Presentation and Demonstration

Presentation and demonstration are key steps in personal selling:

  • Presentation: Verbal and visual explanation of features and benefits, tailored to customer needs. Example: A washing machine salesman highlighting energy savings and warranty.
  • Demonstration: Physically or visually showing the product in action to build trust and allow experience. Example: A vacuum cleaner rep showing dust removal effectiveness in a home.
  • Importance: Presentation builds desire; demonstration removes doubt and builds confidence.
  • Tools: Using tablets, slideshows, samples, and videos enhances understanding.
  • Adaptability: Adjusting the style based on customer interest and background.

Q6. Personal Selling: Definition and Sales Process Steps

Personal selling is direct communication between a salesperson and a potential customer to make a sale. It involves interaction, persuasion, and relationship building, making it effective for complex or high-value products.

Steps Involved in the Sales Process:

  1. Prospecting and Qualifying: Identifying and filtering potential customers based on interest, need, and capacity. Example: A real estate agent filtering inquiries by budget and urgency.
  2. Pre-approach: Preparing by gathering information about the prospect’s behavior and preferences. Example: A laptop salesperson researching a corporate client’s needs.
  3. Approach: Making the first interaction to create a positive impression and build rapport. Example: A fashion store salesman engaging a customer in friendly conversation.
  4. Sales Presentation and Demonstration: Explaining product features/benefits and showing how it meets customer needs. Example: Demonstrating a water purifier’s effectiveness with a live water test.
  5. Handling Objections: Listening to and resolving customer concerns about price, quality, etc. Example: Explaining long-term savings when a customer finds a product costly.
  6. Closing the Sale: Finalizing the deal and asking for the order, possibly using incentives. Example: “Shall I reserve this model for you today, considering the extended warranty?”
  7. Follow-up and After-Sales Service: Ensuring customer satisfaction and building loyalty for repeat business.