MARKETING MANAGEMENT12th edition

19 Managing Personal

Communications

Kotler Keller

19-2

Chapter Questions

• How can companies use integrated direct marketing for competitive advantage?

• How can companies do effective e-marketing?• What decisions do companies face in designing a

sales force?• How do companies manage a sales force

efficiently?• How can salespeople improve selling,

negotiating, and relationship marketing skills?

19-3

Direct Marketing

Use of consumer-direct channels to reachand deliver goods and services to

customers without using market middlemen.

19-4

Direct Marketing Channels

Catalogs

Direct mail

Telemarketing

Web sites

Email marketing

Mobile devices

Interactive TV

19-5

Public Issues in Direct Marketing

IrritationIrritation

UnfairnessUnfairness

Deception/fraudDeception/fraud

Invasion of privacyInvasion of privacy

19-6

Constructing a Direct-Mail Campaign

Establish objectives

Select target prospects

Develop offer elements

Test elements

Execute

Measure success

19-7

RFM Formula for Selecting Prospects

RecencyRecency

FrequencyFrequency

Monetary valueMonetary value

19-8

Elements of the Offer Strategy

• Product• Offer• Medium• Distribution method• Creative strategy

19-9

Components of the Mailing

• Outside envelope

• Sales letter

• Circular

• Reply form

• Reply envelope

19-10

Types of Telemarketing

• Telesales

• Telecoverage

• Teleprospecting

• Customer service and technical support

19-11

Other Media for Direct Response

Television

• Direct Response Advertising

• At-home shopping channels

• Videotext

Kiosks

19-12

Designing an Attractive Web Site

• Context• Content

• Community• Customization

• Communication• Connection• Commerce

19-13

Ease of Use and Attractiveness

• Ease of Use– Downloads quickly– First page is easy to understand– Easy to navigate

• Attractiveness– Clean looking– Not overly crammed with content– Readable fonts– Good use of color and sound

19-14

Increasing Visits and Site Stickiness• Deep information with

links• Changing news of

interest• Changing offers • Contests and

sweepstakes• Humor and jokes• Games

19-15

Online Ads

• Banner ads• Microsites• Sponsorships• Interstitials• Search-related ads• Content-targeted

advertising• Alliances• Affiliate programs

19-16

iTunes Affiliate Program

19-17

e-Marketing Guidelines

• Give the customer a reason to respond

• Personalize the content of your emails

• Offer something the customer could not get via direct mail

• Make it easy for customers to unsubscribe

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Figure 19.2 Designing a Sales Force

Sales force objectives

Sales force strategy

Sales force structure

Sales force size

Compensation

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Types of Sales Representatives

• Deliverer

• Order taker

• Missionary

• Technician

• Demand creator

• Solution vendor

19-20

Sales Tasks

• Prospecting• Targeting• Communicating• Selling• Servicing• Information gathering• Allocating

19-21

Figure 19.3 Managing the Sales Force

Recruiting, selecting

Training

Supervising

Motivating

Evaluating

19-22

Workload Approach to Determining Sales Force Size

• Customers are grouped into size classes

• Desirable call frequencies are established

• Number of accounts in each size class multiplied by call frequency

• Average number of calls possible per year established

• Number of reps equal to total annual calls required divided by number possible

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Components of Sales Force Compensation

Fixed amount

Variable amount

Expense allowances

Benefits

19-24

What Motivates Sales Reps?

Most Rewarding• Pay• Promotion• Personal growth• Sense of

accomplishment

Least Rewarding• Liking• Respect• Security• Recognition

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Table 19.1 Form for Evaluating Performance

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Figure 19.4 Steps in Effective Selling

Prospecting/Qualifying

Preapproach

Approach

Presentation

Overcoming objections

Closing

Follow-up

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Marketing Debate

Are Great Salespeople Born or Made?

Take a position:1. The key to developing an effective salesforce is selection.2. The key to developing an effective salesforce is training.

19-28

Marketing Discussion

Pick a company and go to the Website. How would you evaluate

the Web site? How well does itscore on the 7 C’s design

elements?