1

ABC

A sales acronym standing for always be closing

Above the Line

Advertising: whereby payment is made and commission is payable to an advertising agency. Commissionable media are: television, radio, cinema, posters, press and ambient when a manager or supervisor or trainer accompanies a sales person while working on the sales territory, usually while meeting prospects or customers. Typically the manager would complete a an accompaniment visit report on the performance of the sales person, which would be discussed, and suitable followup actions or training agreed. a customer, usually a businesstobusiness organization; a major account is a large organization; a national account is a customer with branches or sites that constitute a nationwide coverage, which typically requires special pricing and senior sales attention. This is where the listener aims to understand, not just hear; they can achieve this through concentrating, asking linked questions, using empathy statements, summarising and use of appropriate body language such as nodding the element(s) of service or product that a sales person or selling organization provides, that a customer is prepared to pay for because of the benefit(s) obtained. Added values are real and perceived; tangible and intangible. A good, reliable, honest, expert, informed sales person becomes a very significant part of the selling organization's added value, as perceived by the customer, if not by the selling organization. A buying process for first-time purchases, particularly for consumer markets and comprising: Awareness, Interest, Evaluation, Trial, Adoption, Post-Adoption confirmation: similar to AIDA the aspect of a product or service that makes it better than another, especially the one insitu or that of a competitor. A form of promotion whereby payment is made and commission is payable to an advertising agency. Commissionable media are: television, radio, cinema, posters, press and ambient: also known as above-theline promotion sales influenced by word-of-mouth advertising. a person who acts on behalf of a company or individual to sell its products or services... an agent is typically compensated on a commission only basis... also see broker

accompaniment report

account

Active Listening

added value

Adoption process

advantage

Advertising

10 11

Advocate revenue Agent

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Agent

Agents sell to the end customer on behalf of the Principle, who is the owner of the goods so they, in effect as a sales force. They often do not handle the goods, unless they are stocking agents, and they do not take title, or ownership, of the goods. They are paid commission on what is sold and so must be highly motivated

13

If the objection is a fact that is correct, yet there can be a benefit to the fact, this is an excellent way of overcoming it; it is one of the most common methods for dealing with an objection. It shows that the Agree and Counter (Method of Dealing salesperson is honest and empathetic yet turns the problem to a potential advantage. An example is if the with Objections) prospect says the product is too expensive: the salesperson can point out it is more expensive than many competitors (agree) but the superior quality of materials means that it will last longer giving the prospect long-term peace of mind and long-term value AIDA sales process acronym... attention, interest, desire, action... "get the prospect's attention, gain their interest, create desire and encourage them to act by moving forward with the purchase." Attention, Interest, Desire, Action: a model describing the stages that promotion can take a target audience through: is often used to set promotional objectives The alternative close is similar to the assumptive close but the sales person offers the buyer two options for example, asking whether the buyer would like the product in black or white prior to the buyer saying they intend to purchase the product. This technique needs to be used carefully. Originally known as 'fringe media'. New types of advertising media that surround us in our daily lives, including: petrol pump advertising projected onto buildings, on car parking tickets, cricket pitches the act of marketing a product or service in conjunction with an event or other brand without paying for the right... typically used when an official sponsorship opportunity is available but a company doesn't wish to pay the fee for the sponsorship or another company has already purchased the sponsorship. A model showing the possible product-market strategies of an organisation; these are considered the main marketing strategies and comprise: market penetration, product development, market development and diversification. The 2 x 2 matrix axes are: new and existing products along one axis and new and existing markets along the other A business planning acronym standing for: Analysis, Objectives, Strategy, Targets, Implementation and Control now often expanded to MAOSTIC, see relevant section a personal sales visit to a prospect, usually arranged by phone. See the appointmentmaking process.

14

15

AIDA

16

Alternative Close

17

Ambient Media

18

ambush marketing

19

Ansoff Matrix

20 21

AOSTIC Appointment

22

ASP

acronym... application service provider... a software solution used by the customer where the solution itself is developed, hosted and managed by an outside company... generally implies a lower implementation cost. This is where the salesperson works on the assumption that its a done deal and they just need to iron out the finer points. It should be used carefully as it making assumptions can annoy the buyer. old school closing approach where the salesperson assumes the prospect is buying and moves directly to a request for a signed contract and/ or payment. A technique that helps a firm to evaluate performance against specific objectives. Methods of measurement include: sales, profit and customer value a non-monetary exchange... an exchange of products and/ or services for other products and/ or services... sometimes used to minimize cash outlays or to maximize the value of sunk costs. An exchange of products and/or services for other products and/or services; some firms use it to minimise cash purchases the guaranteed portion of a salesperson's monetary compensation... not always a part of a salesperson's compensation. Also known as The Boston Box. This 2 x 2 matrix is a model to help a firm analyse its product portfolio. The two axes are relative market share and annual market growth and the four quadrants are: Classifying the market into groups of people according to the similarity in way they behave or interact with a product. This includes identifying those who require the same benefit from a product or service and those who use a product or service in the same way. It is increasingly recognised that this should be the starting point for market segmentation All forms of promotion except advertising (i.e. those on which agencies are not paid commission). It includes: public relations, sales promotions, direct mail, point of sale the gain (usually a tangible cost, but can be intangible) that accrues to the customer from the product or service. the value experienced by the customer.

23

Assumption/Assumptive Close

24

Assumptive close

25 26

Balanced Scorecard barter

27

Barter

28

base salary or "base"

29

BCG (Boston Consulting Group) Matrix

30

Behavioural Segmentation

31

Below the Line

32 33

Benefit benefit

34

Benefit

The value of the product or service experienced by the consumer, which is distinct from features. Sales people should sell on benefits supported by features a retail sales term used to describe the Friday after Thanksgiving... traditionally a big selling day for the retail world... originated as a description of the day in the year when a retailer begins to profit or "be in the black". The main non verbal communication method and includes the way you stand or sit, facial expressions, gesticulations, how you hold your head and use your eyes A name, term, design, symbol or any other feature that identifies one sellers good or service as distinct from those of other sellers [4] A strategy whereby a firm uses an existing brand name for a new product to be marketed to the same market egg Persil washing tablets a person who acts on behalf of a company to sell its products or services... a broker is typically compensated on a commission only basis... also see agent. A particular type of agent who tends to trade on behalf of the customer, rather than the principal and so will tend to have agreements with many principal organisations [3] eg an insurance broker the amount of money available for use to a salesperson or purchasing agent for a particular time period or a particular project... can also be used to describe a sales target (in revenue and/ or units) for a specified time period... also referred to as a quota, goal or forecast. The buying process and factors that influence the process when businesses purchase goods or services. Business DMP (Decision making process) usually more extensive than consumer buying and may involve: Establish need, Develop specification, Identify alternatives, Evaluate alternatives against specification, Request tender, Select, Establish administrative systems, Purchase, Post-purchase evaluation. A plan that states the long-term direction of a company and includes audit, mission, objectives, strategies, forecasts, cash flows and controls Can refer to a market, product or industry whereby the context is of a firm selling to another organisation to either Can refer to a market, product or industry whereby the context is of a firm selling to an individual for his own personal consumption, rather than to an organisation for their use or consumption

35

Black Friday

36 37 38

Body Language Brand Brand Extension

39

broker

40

Broker

41

budget

42

Business Buyer Behaviour

43

Business Plan

44

Business to Business (B2B)

45

Business to Consumer (B2C)

46

buyer

most commonly means a professional purchasing person in a business; can also mean a private consumer. Buyers are not usually major decisionmakers, that is to say, what they buy, when and how they buy it, and how much they pay are prescribed for them by the business they work for. If you are selling a routine repeating predictable product, especially a consumable, then you may well be able to restrict your dealings to buyers; if you are selling a new product or service of any significance, buyers will tend to act as influencers at most. See decisionmakers. The stages that buyers go through when buying goods or services. There are many factors that influence buyer behaviour (see Consumer Buyer Behaviour and Business Buyer Behaviour and Decision Making Process) A written, or unwritten, checklist of the requirements of the purchaser when making a buying decision egg price, speed of delivery, quality and so on also known as facilitative buying, generally attributed (and registered) to sales guru Sharon Drew Morgen. Extremely advanced form of personal selling, in which the central ethos is one of 'helping organizations and buyers to buy', not selling to them. See collaboration and partnership selling at the end of the section. a communication from a prospect or customer that indicates s/he is or is strongly considering making a purchase... typically delivered in the form of a question (i.e., can i have it delivered before the end of the month?) a buying signal is a comment from a prospect which indicates that he is visualising to whatever extent buying your product or service. The most common buying signal is the question: "How much is it?" Others are questions or comments like: "What colours does it come in?", "What's the leadtime?", "Who else do you supply?", "Is delivery free?" "Do you use it yourself?", and surprisingly, "It's too expensive." A communication from a prospect indicating they are ready to make a purchase. Buying signals may be nonverbal, such as a nod, or verbal, such as an interested questions egg when could it be delivered? behavioural, nonverbal and other signs that a prospect likes what he sees; very positive from the sales person's perspective, but not an invitation to jump straight to the close.

47

Buyer Behaviour

48

Buying Criteria

49

buying facilitation

50

buying signal

51

buying signal

52

Buying signal

53

buying warmth

54

Call Centre

These are premises where many telephone lines are routed into numerous telephone operators who work at the call centre, usually using headsets and computers. They may operate on behalf of one organisation, or be contracted to many. An outbound, or sales, call centre is one that not only receives calls but also makes telemarketing calls a personal facetoface visit or telephone call by a sales person to a prospect or customer. Also referred to a sales call (for any sales visit or phone contact), or cold call (in the case of a first contact without introduction or notice in writing). Another word for prospecting where the sales person is seeking information to establish potential customers coldcalling personally at the prospect's office or more commonly now by telephone, in an attempt to arrange an appointment or present a product, or to gather information. A type of distributor, or wholesaler, who performs a variety of functions but does not give credit, nor transport goods to their customers Channelling goods from their origin to their ultimate destination and involves the use of intermediaries, or middlemen such as wholesalers and retailers. Factors that impact the selection of channels include: the customers, the product, competitors, size and resources, channel power May refer to Distribution Channel or Communication Channel (see relevant section) the penultimate step of the 'Seven Steps of the Sale' selling process, when essentially the salesperson encourages the prospect to say yes and sign the order. In days gone by a Sales person's expertise was measured almost exclusively by how many closes he knew. Thank God for evolution. See the many examples of closes and closing techniques in the Seven Steps section, but don't expect to kid any buyer worth his salt today, and using one might even get you thrown out of his office. Use with great care. These are a negative form of body language where a person appears to be protecting their body and so they have their legs crossed or arms folded; however, gesture clusters should be noted, rather than individual gestures These are a type of question used in marketing research. They are questions where all the possible answers are provided by the researcher, usually on a questionnaire, enabling the respondent to choose between the given answers. Examples are dichotomous questions (providing possible answers of yes or no) and multiple choice questions. Closed questions lead to quantitative data, which is easier to analyse than answers elicited from open

55

call/calling

56 57

Canvas canvass/canvassing

58

Cash and Carry

59

Channel of Distribution

60

Channels

61

close/closing

62

Closed Gestures

63

Closed Questions

64

Closing (The Sale)

65 66

Closing Questions cold call

This is a major stage of the sales cycle and one that even sales people are often not keen on! It is where the sales person asks for the business. There are several techniques for closing. Cooper [4] identifies four closes: the Alternative Close, Direct Close, Cautious Close and Assumptive Close, which is also known as the Assumption Close (see relevant sections); others that many texts and sales people recognise are: Summarise and then direct close, Concession Close, Objection close These are questions that are designed to bring fact finding discussions to an end, so the prospects can be moved forward to take a purchase decision a sales call where the salesperson doesn't personally know the company and/ or contact s/he is calling on and/ or a sales call where no known need, by the prospect or salesperson, exists. a sales call where the salesperson doesn't personally know the company and/ or contact s/he is calling on and/ or a sales call where no known need, by the prospect or salesperson, exists. This is the process of telephoning or calling at the door of people or companies who have not previously expressed an interest in the product, service or firm also known as collaborative selling and facilitation selling very modern and sophisticated, in which seller truly collaborates with buyer and buying organization to help the buyer buy. A logical extension to 'strategic' or 'open plan' selling. See collaboration and partnership selling at the end of the section. an activity in which one engages in order to push ones envelope where one has relatively little experience and/ or comfort. an activity in which one engages in order to push ones envelope where one has relatively little experience and/ or comfort. Those who buy on behalf of a business. This involves more logic than emotion, although emotion still plays a part. Factors influencing commercial buyers are: who instigates the process, competition, quantity, value, quality, repeat business and price [3]. See also Business Buyer Behaviour

67

cold call

68

Cold Calling

69

collaboration selling

70

comfort zone challenge

71

comfort zone challenge

72

Commercial Buyers

73

Commercial Market

This is also known as a business, or industrial, market and is one where companies buy goods or services for consumption in their business or to transform the goods into other products to be sold

74

Commission

Remuneration paid to a salesperson following the successful completion of a sale; is usually a percentage of sales revenue

75

commodities/commoditised (products and services)

typically a term applied to describe products which are mature in development, produced and sold in vast scale, involving little or no uniqueness between variations of different suppliers; high volume, low price, low profit margin, deskilled ('ease of use' in consumption, application, installation, etc). Traditionally the 'commodities' term applies to the 'commodities markets' which trade and set prices for fundamental commodities such as coffee, grain, oil, etc., however in a more generic sales and selling sense the term 'commoditised' refers to a product (and arguably a service) which has become massproduced, widely available, easy to make, demystified, and simplified; all of which is almost invariably associated with a reduction in costs, prices and profit margins, and which also has massive implications for the sales distribution model and methods for taking the product or service to market. Commoditised products are amenable to massmarket and largescale sales distribution methods and models, as opposed to specialised or highcomplexity products, which tend to require closer customer support and greater expertise and advice at the point of selling and installation, and commissioning and application, if appropriate. An electric battery torch is a commoditised product that is freely available, at competitively low price, 'offtheshelf' at any Elements within the Promotions Mix that an organisation uses to communicate with target audiences (See Promotions Mix)

76

Communication Channel

77

Communications Research

Research aspects of promotions decisions. Cooper identifies 4 key areas [3]: effectiveness research, media selection, copy testing and sales force effectiveness A type of advertising that a firm uses to compare their products or services directly with competitors. Needs to be used with care and is illegal in some countries This is where a product is priced according to its perceived value against competing brands A form of Sales Promotions that is used to gain interest from a target audience, whereby they may win a prize

78 79

Comparative Advertising Competition-Based Pricing

80

Competitions

81

Competitive Advantage

A firms USP (Unique Selling Proposition) that a firm has to put them in a better position than competitors A pricing strategy whereby a firm charge a price similar to other brands or the market leader. The objective is to prevent a price war and the firm should have a differential advantage other than price May be direct or indirect. Direct competitors provide the same products or services in the same market; indirect competitors provide similar benefits, or substitute benefits in the same market.

82

Competitive Parity

83

Competitors

84

Concentrated Strategy

One of three target marketing strategies. It is where the firm targets a niche market with one specific tailored marketing mix used in the context of negotiating, when it refers to an aspect of the sale which has a real or perceived value, that is given away or conceded by seller (more usually) or the buyer. One of the fundamental principles of sales negotiating is never giving away a concession without getting something in return even a small increase in commitment is better than nothing. See the negotiation section.

85

Concession

86

Concession Close

This way of closing the sale is where the salesperson keeps one possible concession back as a way of encouraging the prospect to make the decision, for example if the prospect will place the order today, the sales person will give them an extra 1% discount

87

Confirmatory Questions

These questions confirm that the seller understands the buyers needs and are usually closed

88

consultative selling (consultation selling)

developed by various sales gurus through the 1980's by David Sandler among others, and practiced widely today, consultative selling was a move towards more collaboration with, and involvement from, the buyer in the selling process. Strongly based on questioning aimed at gaining useful information. An individual who uses a product or service (they may not be the buyer) The buying process and factors that influence the process when consumers purchase for their own use. The basic process (DMP) comprises: Establish need, Identify alternatives, Evaluate alternatives, Select, Purchase, Post-purchase evaluation. Cooper [3] indicates the process for buying a car might be: Identify need, Finance, Evaluate alternatives, Trial, Negotiate, Purchase, Evaluate purchase. a method or system for managing contact information, priorities and checklists... typically used to describe a software solution that partially automates contact management functions. a method or system for managing contact information, priorities and checklists... typically used to describe a software solution that partially automates contact management functions.

89

Consumer

90

Consumer Buyer Behaviour

91

contact manager

92

contact manager

93

Corporate Hospitality

A PR technique of entertaining clients or people who are not direct employees but are Stakeholders and can have a beneficial effect on the organisation; they are typically potential customers, key account customers, intermediaries and the media Physical reinforcement of the personality of a firm which is reflected by consistent use of brand names, symbols, logos, colours, typefaces; the identify aims to reinforce the Corporate Image' A firms personality, which can only be defined by the public. Firms use corporate identity and PR to enhance their image. A firms long-term business plan (see Business Strategy) This includes strategies where the major consideration is covering the firms costs and is a favourite amongst accountants acronym... customer relationship management... term generally used to describe a comprehensive software solution that helps companies manage their relationships with their prospects and customers. acronym... customer relationship management... term generally used to describe a comprehensive software solution that helps companies manage their relationships with their prospects and customers. to sell a prospect/ customer a product or service that complements or adds value to another purchase... can also be used to refer to selling an existing customer another product or service (regardless of its connection with another purchase) to sell a prospect/ customer a product or service that complements or adds value to another purchase... can also be used to refer to selling an existing customer another product or service (regardless of its connection with another purchase) Selling different parts of a product range, that they have not previously bought, to an existing customer

94

Corporate Identity

95 96

Corporate Image Corporate Strategy

97

Cost-Based Pricing

98

CRM

99

CRM

100 cross sell

101 cross sell

102 Cross Selling

103 Cultural Empathy

When a sales person (or firm) achieves a rapport, or understanding, of a customers culture The set of beliefs, values and attitudes that underpin society. Our culture involves all things around us; it is very complex and includes our language, religion, education, social behaviour, politics and social attitudes. It can have a huge impact on our buyer behaviour.

104 Culture

105 Customer 106 Customer

usually meaning the purchaser, organization, or consumer after the sale. Prior to the sale is usually referred to as a prospect. A person or company who purchases goods or services. They are not necessarily the consumer, i.e. the end user The profitability of a customer during the lifetime of the relationship with the firm; this is distinct from their value during one transaction

107 Customer Lifetime Value (CLV)

108 Customer Loyalty

The extent to which a customer tends to repurchase from a specific firm, organisation or a particular brand.

109 Customer Orientation 110 Customer Philosophy

A business that is marketing orientated, is by nature, customer orientated [3] [6] Considering the needs of the customer in everything a firm does CRM is now a commonly used term to describe the process of managing the entire selling process within a department or organisation. Computerised CRM systems enable management of prospect and customer details, contacts, sales history and account development. Well known examples of CRM computerised systems are Sage's ACT!, which claims (as at 2006) to be the world's most popular CRM system, and Front Range's Goldmine. Chief elements of a CRM system (or strategy, since the term is used to describe the process and methodology as well as the system) are: The planning, implementation and control of all interactions with customers. The aim is to develop customer loyalty Means by which a firm provides customers with service that equals or exceeds their expectations The process of obtaining, recording and maintaining information which is able to be retrieved and used: often involves new technology The use of a database for storing information about customers so that specific groups can be selected and targeted for marketing activity common business parlance for the sale or purchase (agreement or arrangement). It is rather a colloquial term so avoid using it in serious company as it can sound flippant and unprofessional.

111

customer relationship management (CRM)

112

Customer Relationship Management (CRM)

113 Customer Service

114 Data Processing

115 Database Marketing

116 Deal

117 Decider 118 Decision Making Process (DMP)

A role within the Decision Making Unit (DMU). The Decider makes the final decision regarding the product or service to be bought; they are often technical experts and/or purse holders The process that a buyer goes through to purchase a good or service. The group of people involved in a purchasing decision; includes: the initiator, gatekeeper, influencer, decider, financier, buyer, user (see relevant sections) a person in the prospect organization who has the power and budgetary authority to agree to a sales proposal. On of the most common mistakes by sales people is to attempt to sell to someone other than a genuine decisionmaker. For anything other than a routine repeating order, the only two people in any organization of any size that are real decisionmakers for significant sales values are the CEO/Managing Director/President, and the Finance Director. Everyone else in the organization is generally working within stipulated budgets and supply contracts, and will almost always need to refer major purchasing decisions to one or both of the above people. In very large organizations, functional directors may well be decisionmakers for significant sales that relate only to their own function's activities. See influencer. an aspect of a proposal that the provider commits to do or supply, usually and preferably clearly measurable. A method of segmenting markets by demography the study of, or information about, people's lifestyles, habits, population movements, spending, age, social grade, employment, etc., in terms of the consuming and buying public; anyone selling to the consumer sector will do better through understanding relevant demographic information. Information profiling a population in terms of their age, gender, income, stage in the family life cycle, religion and social class; is frequently used for segmenting consumer markets.

119 Decision Making Unit (DMU)

120 decisionmaker

121 deliverable(s) 122 Demographic Segmentation

123 demographics

124 Demography

125 demonstration/'demo'/'dem'

the physical presentation by the sales person to the prospect of how a product works. Generally free of charge to the prospect, and normally conducted at the prospect's premises, but can be at another suitable venue, eg., an exhibition, or at the supplier's premises.

126 Desk Research

Also known as Secondary Research. This involves collecting data from existing sources and so using that which already exists, as opposed to Field, or Primary, Research. Secondary sources include internal sources and external sources, such as the internet, government statistics, trade directories and so on. There are several potential problems associated with secondary research but it is often plentiful and free, or inexpensive

127 Differential Advantage

The benefits a firm has over its competitors. This may be a brands USP or some advantage the firm has through its operations, such as a low cost base or technology that it uses

128 Differentiated Strategy

One of three target marketing strategies. It is where a firm targets many segments with a different marketing mix for each segment This is the simplest closing method and just involves asking the prospect for the order A method of below-the-line promotion that communicates directly with a target audience through the mail. Direct marketing may refer to direct distribution or direct promotions. Direct distribution involves a firm dealing directly with the end user, rather than through a middleman. Direct promotion involves a firm communicating directly with a target audience or enabling the audience to communicate directly with them and includes: direct mail, the internet, personal selling, telemarketing, direct response advertising and email Is both advertising and direct marketing. It involves using advertising media (above-the-line) to communicate with audiences and includes mechanisms for the target audience to communicate directly with the firm, such as: a phone number, address, e-mail or enquiry form within the context of an organization this means the same as function, ie job role. A pricing strategy whereby a firm charges different prices for different market segments. Is also called Segmentation Pricing The Place element of the marketing mix. It involves the process of getting the goods from the supplier to the user and involves channel management and physical distribution management.

129 Direct Close 130 Direct Mail

131 Direct Marketing

132 Direct Response Advertising (DRA)

133 discipline

134 Discrimination Pricing

135 Distribution

136 Distribution Channel

Channelling goods from their origin to their ultimate destination and involves the use of intermediaries, or middlemen such as wholesalers and retailers

137 Distribution Research

Researching to make distribution decisions. Cooper identifies 3 key areas [3]: warehouse research, transportation research, retail outlet research The extent of market exposure that a firm provides it products with and depends on the type and image of product, its value and size and dispersion of customers. The three strategies are: Intensive, Selective, Exclusive the methods or routes by which products and services are taken to market. Sales distribution models are many and various, and are constantly changing and new ones developing. Understanding and establishing best sales distribution methods routes to market are crucial aspects of running any sales organisation, and any business organisation too. Sales distribution should be appropriate to the product and service, and the enduser market, and the model will normally be defined by these factors, influenced also by technology and social trends. For example, commoditised massmarket consumer products (FMCG fastmoving consumer goods, household electricals, etc) are generally distributed via massmarket consumer distribution methods, notably supermarkets, but also increasingly the internet. A lesson in changing sales distribution models, and the need for manufacturers and sellers to anticipate changes is found in the switching of book sales and CD sales from retail store distribution to websites, with the resulting demise of many retailers in those sectors. Future changes in sales distribution will see for example music transferring increasingly via online downloads, thus threatening those involved with or dependent upon physical shipping of products. B2B (businesstobusiness) sales distribution models have their own shape, again dependent on products and services, customer markets, technology, plus other influences such as economical trends, environmental and legislative effects, etc. Examples of B2B sales distribution models are franchising, direct sales forces (employed), direct sales forces (sales agents), telephone sales (callcentres, outbound and inbound), the internet (online website businesses), distributors (independent sellers who carry products and services of other manufactuerers and 'principals'), and channel partners and partnering arrangements (prevalent in telecomms and IT sectors). Also known as a wholesaler. Tend to buy in bulk, break bulk and sell and distribute to retailers, the trade or end users. Except for cash and carry wholesalers they give credit and transport to their customers. Many large retailers have undertaken Vertical Integration and developed their own wholesaling system

138 Distribution Strategy

139 distribution/sales distribution

140 Distributor

141 Disturbing 142 Diversification

Helping a prospect establish the consequences of not buying; tends to more effective in domestic selling A marketing strategy that a firm may pursue to develop new products in new markets Those who buy for their own consumption. This often involves more emotion than logic, although logic may still play a part. Factors influencing domestic buyers are: frequency, importance, social class [3]. See also Consumer Buyer Behaviour This is a consumer market or where customers buy for personal consumption Also known as Downward Vertical Integration. Where an organisation expands downline, within the distribution channel An example of downline vertical integration is a manufacturer developing its own wholesale or retail function Also known as Downline Vertical Integration. Where an organisation expands downline, within the distribution channel. An example of downward vertical integration is a manufacturer developing its own wholesale or retail function Is a reduction in price to the buyer for paying before the due invoice date, often paid on delivery the activity of buying and selling over an electronic data interchange... typically referred to when describing the activity of buying and selling over the Internet and a web interface... Selling goods electronically, usually over the Internet European Foundation for Quality Management The computer-to-computer exchange of business data in standard formats. The information is organised according to a specified format set by both parties, allowing a "hands-off" computer transaction that requires no human intervention or re-keying on either end. All information contained in an EDI transaction set is, for the most part, the same as on a conventionally printed document. The use of electronic tills that enable product data to be read (usually from a bar code) so that information may be stored. This is used for stock replenishment and, when combined with information from loyalty cards, or similar, for contacting consumers with targeted offers Marketing effort using electronic means such as e-mail and the internet; incorporates e-commerce and promotion

143 Domestic Buyers

144 Domestic Market

145 Downline Vertical Integration [3]

146 Downward Vertical Integration 147 Early Payment Discount 148 e-commerce

149 E-commerce 150 EFQM

151 Electronic Data Interchange (EDI)

152 Electronic Point of Sale (EPOS)

153 E-marketing

154 Empathy Statements 155 Endorsement

These statements are made by the sales person to show that they understand how a buyer feels A declaration that a product or service is good: it may come from an opinion former, celebrity or satisfied customer and is powerful in bolstering customer confidence A firms environment comprises its macro- and micro- environment (see relevant sections and External Analysis). These are factors beyond the companys control Sales and Marketing that takes account of the moral aspects of decisions such as telling the truth, selling products that will not harm consumers. Ethics are becoming increasingly important in sales and marketing

156 Environment

157 Ethical Selling and Marketing

158 Ethics

Moral judgements: these tend to be subjective regarding what is right and wrong A distribution strategy involving limited market exposure and so a firm distributes via exclusive territory outlets i.e. one outlet in each geographic area An evaluation of the external sales and marketing environment, including the macro- (or wider) environment such as political, legal, economic, social and technological factors and the micro (or closer) environment such as markets and competitors. These factors are usually outside the control of the firm An intranet that is accessible to authorised external users. The two types of eye gesture identified by Cooper [3] are eye movements (upward and downward) and pupil dilation features advantages benefits the links between a product description, its advantage over others, and the gain derived by the customer from using it. One of the central, if now rather predictable, techniques used in the presentation stage of the selling process. The stages an individual goes through during their life egg single, married no children, married with young children and so on. It is often used as a method of demographic segmentation a sales professional responsible for growing sales from existing accounts. FMCGs

159 Exclusive Distribution

160 External Analysis

161 Extranet

162 Eye Gestures

163 FAB's

164 Family Life Cycle 165 farmer 166 Fast Moving Consumer Goods

167 Feature

an aspect of a product or service, eg., colour, speed, size, weight, type of technology, buttons and knobs, gizmos and gadgets, bells and whistles, technical support, delivery, etc. A fact about a product egg it is large or it is inexpensive. Sales people should sell on benefits but support them with features means anywhere out of the sales office. Field sales people or managers are those who travel around meeting people personally in the course of managing a sales territory. To be fieldbased is to work on the sales territory, as opposed to being officebased. Also known as Primary Research. This is research that is being undertaken for the first time, as opposed to Desk (secondary) Research. It is undertaken for a specific purpose; the three types of primary research are: surveys, observation and experimentation Where a firm sends its sales representatives or agents to businesses in order to sell to them. It includes firms selling to retail outlets to build brands and supporting sales. The member of the DMU who pays for the product or service Fast Moving Consumer Goods: these are products that have a low price, fast turnover and, usually, short life, such as packaged food, toiletries and tobacco products A method of survey, in primary marketing research where groups of up to eight respondents participate in discussions on the topic being researched; a group moderator guides the discussion without biasing the comments a predicted amount of revenue generation for a particular time period and/ or area of geography and/ or industry... can also be used to describe a sales target (in revenue and/ or units) for a specified time period... also referred to as a quota, budget or goal. a prediction of what sales will be achieved over a given period, anything from a week to a year. Sales managers require sales people to forecast, in order to provide data to production, purchasing, and other functions whose activities need to be planned to meet sales demand. Sales forecasts are also an essential performance quantifier which feeds into the overall business plan for any organization. Due to the traditionally unreliable and optimistic nature of salesdepartment forecasts it is entirely normal for the sum of all individual sales persons' sales annual forecast to grossly exceed what the business genuinely plans to sell. See targets. May involve sales forecasting, market forecasting or technological forecasting (see relevant sections). Involves estimating or calculating future events and performances

168 Feature

169 field

170 Field Research

171 Field Selling (or Marketing) 172 Financier

173 FMCGs

174 Focus Groups

175 forecast

176 forecast/sales forecast

177 Forecasting

Forestall the Objection (Method of 178 Dealing With Objections) 179 Four P's

If there is an objection that comes up time and time again, the salesperson may raise it themselves and counter it. This means that they control its timing but, of course, it may be something the prospect hadnt thought about See 'marketing mix' A type of distribution channel where a franchisee buys a licence (or right) to sell a product or service from its owner (the franchisor), for a stated timescale. The franchisee usually pays a fee and royalties and the franchisor allows use of a brand name, may provide marketing support and know-how. The person who buys the franchise i.e. the right to use the franchise name The company, or person, who is the principal and sells the right to use the name etc. to the franchisee in the context of an organization, this means the job role or discipline, eg., sales, marketing, production, accounting, customer service, delivery, installation, technical service, general management, etc. an individual within an organization who is responsible for evaluating the potential value of a salesperson's product or service for a particular decision maker and taking action accordingly (e.g., passing them along to the appropriate person, asking them to send something in the mail, etc.)... also called a screener. A role within the Decision Making Unit (DMU). The Gatekeeper is a person who enables or prevents information from getting to the rest of the DMU; they may be a receptionist or PA. A method of analysing and segmenting markets by a combination of geographic and demographic variables; examples of geodemographic segments include 'ACORN', MOSAIC, SAGACITY A method of segmentation where the market is classified by where they live or are located sale gestation period typically refers to the the time from enquiry to sale, the Sales Cycle in other words, (see Sales Cycle). Awareness and monitoring of Sale Gestation Period/Sales Cycle times are crucial in sales planning, forecasting and management, for individuals sales teams and sales organizations. These are a group of gestures that need to be considered collectively, rather than focusing on an individual gesture a sales target (in revenue and/ or units) for a specified time period... also referred to as a quota, budget or forecast.

180 Franchise

181 Franchisee 182 Franchisor

183 Function

184 gatekeeper

185 Gatekeeper 186 Geodemographics 187 Geographic Segmentation

188 gestation period

189 Gesture Clusters 190 goal

191 Grey Market

A common way of defining an elderly population although the grey market is becoming more healthy, wealthy and youthful This involves selling to a group of people and Cooper suggests that key tools for dealing with this situation are: planning and preparation, setting meeting objectives that are acceptable to the group, consider variations in the groups mode of communication, establish group body language, involve everyone, summarise and action (Also known as Warranties). Legal commitment of a company to repair, replace or compensate for faulty goods and services These questions probe specific facts such as the size of the organisation These indicate whether a person is telling the truth but need to be used with care. If the person is not being honest they will often put their hand to their face, scratch their nose or neck

192 Group Communication

193 Guarantees

194 Hard Fact Questions

195 Honesty Gestures

196 House to House Distribution

Where a firm delivers product or marketing literature to the consumer's home

197 hunter

a front line sales professional responsible for finding and bringing in new business.

198 Ice-Break

This is the fourth stage in Coopers Sales Cycle *3+. This is where the sales person should put both themselves and the prospect at ease and start to build a rapport. In a domestic sales situation this may take ten to fifteen minutes, a business sales situation should be shorter, normally no more than five minutes An enquiry about a firms product or service that comes from a prospect or customer an inquiry about your product or service that's initiated (usually by phone, email or in person) by a prospect or customer... no prospecting needed... a gift from the sales angels... (Also known as Inducements). An enticement for a consumer to increase the attraction of buying a good or service. They are often in the forms of sales promotions such as free gifts and may also include permanent incentives such as money-back guarantees.

199 Inbound enquiry

200 inbound inquiry

201 Incentives

202 Industrial marketing

Also known as Business-to-Business (B2B) marketing where a firm markets goods or services to another organisation a person in the prospect organization who has the power to influence and persuade a decisionmaker. Influencers will be generally be decisionmakers for relatively low value sales. There is usually more than one influencer in any prospect organization relevant to a particular sale, and large organizations will have definitely have several influencers. It is usually important to sell to influencers as well as decisionmakers in the same organization. Selling to large organizations almost certainly demands that the sales person does this. The role and power of influencers in any organization largely depends on the culture and politics of the organization, and particularly the management style of the two main decisionmakers. See decisionmakers.

203 Influencer

204 Influencer

A role within the Decision Making Unit (DMU). Influencers may be people from inside or outside the purchasing firm but have influence over decision makers regarding the product/company that is bought. They are often experts in their field. A role within the Decision Making Unit (DMU). The Initiator is the person who starts the buying process and so may be usually refers to those who sell by phone and/ or do not leave the premises physically in a selling context this describes, or is, an aspect of the product or service offering that has a value but is difficult to see or quantify (for instance, peaceofmind, reliability, consistency). See tangible. A firm where all departments and functions work together (usually to put the customer first) A distribution strategy involving a firm aiming for maximum market exposure. Usually involves retailers and/or vending machines and tends to be for goods such as FMCGs (see relevant section) Middlemen within channels of distribution such as distributors, retailers and agents Where a firm analyses its internal situation suck as people, resources, products and marketing effort, to enable them to overcome weaknesses and take advantage of opportunities in the environment

205 Initiator

206 inside sales

207 Intangible 208 Integrated Organisational Effort 209 Intensive Distribution 210 Intermediary

211 Internal Analysis

212 Internal Customers

Internal customers are employees. All employees should be viewed as customers in several ways: each departments depends on the services of others; a marketing oriented firm needs to put customers first and that has to be sold to all staff and, in some firms, products and services, such as printing, are actually sold to other departments. This involves marketing the marketing plan and customer focus to internal staff to gain their support Sales and marketing of goods and services to overseas countries An internal network used to share information. It utilises internet technology and protocols and is protected by a firewall to prevent unauthorised users gaining access

213 Internal Marketing 214 International Sales and Marketing

215 Intranet

216 introduction 217 ISO 218 ISO 219 Just-in-Time (JIT)

first stage of the actual sales call (see opening). sales acronym... independent sales organization... term used to describe field sales forces that are not employees of the companies which provide the products or services they sell. International Standardisation Organisation Where a firm sets up a purchasing agreement with suppliers which involved stock being ordered and supplied at short notice [3]. This prevents the cost of the customer holding stock and timing of delivery and quality tend to be more important than price for a firm requiring J-I-T Key account identification and selection matrix The identification of existing and potential high value customers and planning and controlling all activities in relation to retain and increase their business. A key account manager is often appointed Kinaesthetics involves touching and feeling; those buyers favouring kinaesthetic communication to visual and audio tend to be driven by emotion and so it is often prevalent in domestic buying a person or organization that has shown an interest in a particular product or service... can also be used to describe a person or organization that sales or marketing staff feel may have a need for a particular product or service. A person or firm that has either shown an interest in a product or service or one that has been recommended by someone else as having a potential interest time between order and delivery, installation or commencement of a product or service.

220 KAISM

221 Key Account Management

222 Kinaesthetic Communication

223 lead

224 Lead 225 leadtime

226 Learning Log

A diary detailing all learning and sources throughout a period of study. It is often part of a Personal Development Plan a key selling skill, in that without good listening skills the process of questioning is rendered totally pointless. the dollars generated from a customer over time because of the customer's perceived hassles associated with switching to a competitor. Diary of actions to be undertaken, usually for a week, broken into half-hour sections A visual symbol that identifies a company or brand. It usually comprises a name, logo and symbols and should be consistent in its use Is a phrase used in retailing. It is a product that is sold at a low price (either at break-even or at a loss) in order to attract customers into the store. The aim is that, once the customers are in the store, they should be tempted to buy other items which are priced to make a profit. Essential goods are often used as loss leaders

227 Listening

228 lock-out revenue 229 Log Book

230 Logo

231 Loss leader

232 Macro Environment

The wider environment, or external factors, that impact a firms business, sales and marketing; they are usually beyond the firms control. They are often known as PEST or SLEPT factors (see relevant sections) a large and complex prospect or customer, often having several branches or sites, and generally requiring contacts and relationships between various functions in the supplier and customer organization. Often major accounts are the responsibility of designated experienced and senior sales people, which might be formed into a major accounts team. Major accounts often enjoy better discounts and terms than other customers because of purchasing power leveraged by bigger volumes, and lower selling costs from economies of scale. independent sales representatives that are not employed by the companies which provide the products and services they sell... manufacturers' reps typically represent multiple manufacturers in complementary industries and sometimes represent competing lines within industries. the difference between the selling price of a product or service and the cost of producing, delivering or acquiring the product or service.

233 major account

234 manufacturers' rep

235 margin

236 margin/profit margin

the difference between cost (including or excluding operating overheads) and selling price of a product or service. Percentage margin is generally deemed to be the difference between cost and selling price, divided by the selling price ex tax (eg something that costs 1 and is sold for 2 plus tax produces a 50% margin gross margin that is net margin is after overheads are deducted). The market chain is the chain of suppliers and customers extending to the end-user. Changes can occur at any stage of the chain and the impact of such changes on you will depend on where you are in the chain. A marketing strategy of taking an existing product to new markets Where a firm launches a new product into a new or existing market. A marketing strategy of developing business by selling more of existing products in existing markets. This may be undertaken through cross-selling, increasing promotions or distribution, taking competitors customers, expanding the market or increasing product usage Gathering, analysing data about the market to reduce risk and enable better marketing decisions to be made. It includes: estimates of market size and potential, identification of key market characteristics and segments, forecasting market trends and gathering information on existing and potential customers. It should not be confused with Marketing Research which involves researching broader subjects

237 Market Chain

238 Market Development 239 Market Entry

240 Market Penetration

241 Market Research

242 Market Segmentation

The identification and classification of meaningful buyer groups in order to target selected segments and develop a relevant marketing mix. Market segmentation is the first stage of the Target Marketing Process.

243 Market Share

A firms sales of a specific product or range of products to a market, stated as a percentage of total sales of all that type of product to that market segment

244 Market Skimming

A term used by Cooper [3] to refer to what most marketers consider to be a prestige pricing strategy (also known as premium pricing); this is where a high price is charged for an exclusive product, often in a niche market. (See Skimming for recognised definition)

245 Market-Based Pricing

This includes strategies where the major consideration is pricing a product based on what the market considers it to be worth and is prepared to pay in order to maximise sales

246 marketing

a set of activities that assist in driving sales of a product and/ or service... see ambush marketing and viral marketing.

247 marketing

perceived by lots of business people to mean simply promotion and advertising, the term marketing actually covers everything from company culture and positioning, through market research, new business/product development, advertising and promotion, PR (public/press relations), and arguably all of the sales functions as well. It's the process by which a company decides what it will sell, to whom, when and how, and then does it. See the marketing section. Marketing is the management process responsible for identifying, anticipating and satisfying customer requirements profitably. (CIM) Techniques that an organisation may use to communicate with specified target audiences. It includes advertising, PR, sales promotion and personal selling and is also known as the Promotion element of the marketing mix Information that is obtained and stored to enable a firm to make effective marketing decisions: it differs from data as it is processed data and, therefore, more meaningful Often known as a MKIS and is a planned and controlled system for gathering, sorting, storing The blend of controllable marketing variables that a firm uses in order to deal with the marketing environment. It is called a mix as all elements must work effectively together to reflect a product of firms positioning. A philosophy of business whereby the firm puts the customer at the centre of their business. [6] Characteristics of a marketing oriented firm are: The strategic, or long-term, marketing plan this is the money that a selling company adds to the cost of a product or service in order to produce a required level of profit. Strictly speaking, percentage markup refers to the difference between cost and selling price as a factor of the cost, not of the selling price. So a product costing 1 and selling for 2 has been given a markup of 100%; (at the same time it produces a margin of 50%).

248 Marketing

249 Marketing Communications

250 Marketing Information 251 Marketing Information System 252 Marketing Mix

253 Marketing Orientation 254 Marketing Strategy

255 markup

256 Mark-Up

The profit from a product or service stated as a percentage of the cost of producing the product or service. It is often confused with Margin, which is the profit from a product or service stated as a percentage of the selling price A very large segment or wide collection of smaller segments

257 Mass Market

258 Media Release

Material prepared with the aim of it being published in the press or other media. It is important that a media release is newsworthy and well written; they may include photographs and other suitable materials Part of the external environment that impacts a firms business, sales and marketing. It is closer to the firm than the macro-environment and tends to be industry-specific; it includes: markets, competitors, suppliers and other stakeholders (see relevant section) Cooper [3] considers this to be the most powerful aspect of body language for the sales person. It involves adopting similar body language, stances and gestures to the other person: mirroring leads to a state of rapport These two acronyms are used interchangeably to mean Marketing Information Systems. Marketing Information Systems use market information and intelligence that has been gathered from marketing research, market intelligence and the organisations own internal accounting system. The information is input to the MIS/MkIS system to capture the data on a database. A firms business philosophy and direction; it is used to help a firm to develop its long-term plan Cooper [3] indicates that missionary selling is the same as third party endorsement but is usually recognised as the hours in a sales professional's day where s/he can talk with prospects and/ or customers... the most valuable hours of a salesperson's day. Is a person employed to act as though they are a customer but are employed to provide detailed feedback on the performance of a company and its staff a selling style popularised in the 1970's and 80's which asserted that sales people could create needs in a prospect for their products or services even if no needs were apparent, obvious or even existed. The method was for the sales person to question the prospect to identify, discover (and suggest) organizational problems or potential problems that would then create a need for the product. I'm bound to point out that this is no substitute for good research and proper targeting of prospects who have use of the products and services being sold.

259 Micro Environment

260 Mirroring

261 MIS/MkIS

262 Mission Statement 263 Missionary Selling 264 money hours

265 Mystery Shopper

266 needscreation selling

267 negotiation/negotiating

the trading of concessions including price reductions, between supplier and customer, in an attempt to shape a supply contract (sale in other words) so that it is acceptable to both supplier and customer. Negotiations can last a few minutes or even a few years, although generally it's down to one or two meetings and one or two exchanges of correspondence. Ideally, from the seller's point of view, negotiation The acquisition of new customers The development of new products and involves research, development, product testing, test marketing and launch A small or narrow market segment [3] NLP stands for Neuro Linguistic Programming, an art and science concerned with communication and attitude. NLP provides a means of promoting excellence in both personal and professional development Comprises any communication which is not spoken. The main non verbal communication method is body language, which includes the way you stand or sit, facial expressions, gesticulations, how you hold your head and use your eyes a point of resistance raised by a prospect, usually price ("it's too expensive"), but can be anything at any stage of the selling process; overcoming objections is a revered and muchtrained skill in the traditional selling process. A challenge to or rejection by a prospect feature or benefit of a firm, product or service. It may occur at any time during the sales process and the sales person should be prepared to counter these. They need to be aware of whether the objection is genuine, or a smoke screen. Coopers identification of techniques for handling objections is limited [3] but the following are recognised ways of which all salespeople should be aware (there are others also): agree and counter, deny, question the objection, use as a trial close, forestall the objection (see relevant sections). Each method has its advantages and disadvantages and may be applicable to different objections and circumstances This method of closing the sale is appropriate when the buyer has made an objection and the salesperson states that if the objection can be overcome will the buyer place the order Specific, measurable, achievable, relevant and times aims. A firm will usually have overall business objectives (relating to profit), marketing objectives (relating to market share, revenue, products and markets) and sales objectives relating (to revenue broken down by product, geographic area and individual sales people). Can also be used for an individual to set targets against

268 New Business Development 269 New Product Development (NPD) 270 Niche Market

271 NLP

272 Non Verbal Communication

273 Objection

274 Objection

275 Objection Close

276 Objectives

277 OEM

acronym... original equipment manufacturer... an acronym that originally defined a manufacturer who produced a product to be sold under other company's brands... now used in the sales world to describe when a company makes a product and sells it to other companies so that they can sell it under their label. This term actually has two meanings. Originally, an OEM was a company that supplied equipment to other companies to resell or incorporate into another product using the reseller's brand name. For example firms supplying a retailer like Comets and branding under the Comet own label. In recent years the term OEM refers to the company that acquires a product or component and reuses or incorporates it into a new product with its own brand name. This is the definition that Cooper uses [3]. Value-added reseller (VAR), has a similar meaning but relates to the repackaging of software. The Producer sells to the consumer (business or domestic) via one intermediary, egg a distributor or retailer These are a positive form of body language where a person does not appear to be protecting their body and so they do not have their legs crossed or arms folded; however, gesture clusters should be noted, rather than individual gestures a modern form of selling, heavily dependent on the sales person understanding and interpreting the prospect's organizational and personal needs, issues, processes, constraints and strategic aims, which generally extends the selling discussion far beyond the obvious product application; (in a way, it's rather like combining selling with genuinely beneficial, free, expert consultancy). In 'open plan selling' the seller identifies strategic business aims of the sales prospect or customer organization, and develops a proposition that enables the aims to be realised. The proposition is therefore strongly linked to the achievement of strategic business aims typically improvements in costs, revenues, margins, overheads, profit, quality, efficiency, timesaving and competitive strengths areas. There is a strong reliance on seller having excellent strategic understanding of prospect organization and aims, market sector situation and trends, and access to strategic decisionmakers and influencers. a question that gains information, usually beginning with who, what, why, where, when, how, or more subtly 'tell me about..' Are questions in marketing research which allow the respondent to answer in any way. They provide qualitative data as opposed to quantitative data that is elicited from Closed Questions. They start with words such as Who? What? Where? How? Why? When? the first stage of the actual sales call (typically after preparation in the Seven Steps of the Sale). Also called the introduction.

278

OEM (Original Equipment Manufacturer)

279 One Level Distribution Channel 280 Open Gestures

281 open plan selling

282 open question

283 Open Questions

284 open/opening

285 opening benefit statement/OBS

286 Operational efficiency 287 Orientation

traditionally an initial impact statement for sales people to use at first contact with prospect, in writing, on the phone or facetoface the OBS generally encapsulates the likely strongest organizational benefit typically (or supposedly) derived by customers in the prospect's sector, eg., "Our customers in the clothing retail sector generally achieve 3050% pilferage reduction when they install one of our Crooknabber security systems..." N.B. The OBS is a relatively blunt instrument for modern selling use it with extreme care for fear of looking like a total twerp. Not wasting money so savings can be spent directly on the customer (through low prices), or indirectly (through product quality or investment in technology) A firms culture Production Orientation, Sales Orientation, and Marketing Orientation cover the different eras in the focus of firms. [6] This term has two meanings. Originally, an OEM was a company that supplied equipment to other companies to resell or incorporate into another product using the reseller's brand name. For example firms supplying a retailer like Comets and branding under the Comet own label. In recent years the term OEM refers to the company that acquires a product or component and reuses or incorporates it into a new product with its own brand name. This is the definition that Cooper uses [3]. Value-added reseller (VAR), has a similar meaning but relates to the repackaging of software. These are premises where many telephone lines are routed into numerous telephone operators who work at the call centre, usually using headsets and computers. They may operate on behalf of one organisation, or be contracted to many. Being outbound, they not only receive calls but their main function is to make telemarketing calls; they are also called Sales Call Centres. usually refers to those who sell by visiting others in-person in a selling context this is another term for the product offer; it's the whole product and service offering at a given price, upon given terms. Part of both the Product element of the Marketing Mix and Promotions element. Provides functional benefits of protection and communications function of brand identity, awareness at the point of sale and a reminder in the home; also, often has a legal function Repeating what is said in your own words to ensure the message is understood very modern approach to organizational selling for businesstobusiness sales see collaboration and partnership selling. This is where a member of staff or provider of a service, such as an agent or advertising agency, is remunerated based on achievement of objectives: an example is where a sales person is paid on a commission only basis

288

Original Equipment Manufacturer (OEM)

289 Outbound Call Centre

290 outside sales 291 package

292 Packaging

293 Paraphrasing 294 partnership selling

295 Payment By Results (PBR)

296 PDP

Personal Development Plan. A plan developed by an individual that assesses their strengths, weaknesses, opportunities and threats and sets career and learning objectives and plans how to achieve these A pricing strategy whereby a firm charges a low price in order to increase sales. Demand must be elastic i.e. responsive to changes in price and the price should not harm the image of the brand how something is seen or regarded by someone, usually by the prospect or customer, irrespective of what is believed or presented by the seller, ie what it really means to the customer. a negative result that occurs because one does not fully attempt to achieve an outcome because of a message sent by influential individuals that is perceived as a "permission to fail" or implied acceptance of the reduced attempt... common statements prompting implied acceptance include-- "What happens< happens." or "The important thing is that you tried." Also known as a PDP. A plan developed by an individual that assesses their strengths, weaknesses, opportunities and threats and sets career and learning objectives and plans how to achieve these The area around an individual that they do not wish to be invaded: it tends to vary between personal and business situations Political, Economic, Socio-cultural and Technological - a way of defining the macro environment and an alternative to SLEPT and PESTLE (see relevant sections) An alternative way of defining the macroenvironment from PEST and SLEPT (see relevant sections). It stands for: Political, Economic, Socio-cultural, Technological, Legal and Environmental Also known as logistics. Is part of the Place element of the marketing mix and involves the physical movement of goods from seller to consumer; it includes: warehousing, transportation, stockholding and order processing One of the 7Ps of the extended Marketing Mix for services. It comprises those factors that customers can see or experience when obtaining or using a service. They might include: the look of premises and the provision of tangibles, such as soaps and shampoos in a hotel see sales pipeline. The Distribution element of the marketing mix. It involves the process of getting the goods from the supplier to the user and involves channel management and physical distribution management. This is also known as POP, Point of Purchase. It usually relates to retail outlets and includes where goods are located, displays, stands and signs to draw attention to the goods The range of products or services that a company offers to its customers The third stage of the target marketing process following segmentation and targeting. It is the creation of an image for a firm, product, service or brand in the minds of customers and compared with competitors. Firms and brands may be positioned by feature, benefit, user, country of origin and so on

297 Penetration Pricing 298 Perceived

299 permission-based failure

300 Personal Development Plan

301 Personal Space 302 PEST 303 PESTLE

304 Physical Distribution management

305 Physical Evidence 306 pipelin 307 Place 308 Point of Sale (POS) 309 Portfolio

310 Positioning

311 Positive Impact Analysis/PIA

312 Positive Mental Attitude/PMA 313 Post-Sale 314 Premium Pricing

< a tool to link deeper understanding of customer needs and sense of value with a move to action *3+. A theory from Cheverton [3] merging the value chain and the market chain to move towards solution selling. In pursuit of value, each part of the chain will be looking for the impact it can have on solutions for the final customer *3+. Positive Mental Attitude: a frame of mind which considers solutions rather than problems A major stage in the sales cycle and comprises those activities that are undertaken by a salesperson after an Another name for Prestige Pricing. A pricing strategy whereby a firm charges a high price because of the (perceived) quality and image of the product and/or brand in the context of the selling process this is the work done by the sales person to research and plan the sales approach and/or sales call to a particular prospect or customer. Almost entirely without exception in the global history of selling, no call is adequately prepared for, and sales that fail to happen are due to this failing. This is the third stage in Coopers Sales Cycle *3+. He identifies four main factors: route planning, diary planning, research and frame of mind A major stage in the sales cycle and comprises those activities that are undertaken by a salesperson before an actual sales visit takes place, or sales telephone call is made: typically includes prospecting, appointment making and preparation, including research. Pre-sale precedes the sale and post-sale stages The presentation stage of the sales cycle follows the sales person having identified the prospects need or problem. It requires the salesperson to sell in the benefits of the product or service supported by its features. They should inform the prospect of the USP and gain the prospects agreement the process by which a sales person explains the product or service to the prospect (to a single contact or a group), ideally including the product's features, advantages and benefits, especially those which are relevant to the prospect. Presentations can be verbal only, but more usually involve the use of visuals, commonly bulletpoint text slides and images on a computer display or projected onto a screen. Can incorporate a video and/or physical demonstration of the product(s). See the presentation training section. A pricing strategy whereby a firm charges a high price because of the (perceived) quality and image of the product and/or brand. Also known as Premium Pricing Research in order to determine the optimum price Pricing strategies are the broad prices that a firm charges: these are: Skimming (or Skin-The-Cream), Penetration Pricing, Prestige Pricing, Competitive Parity, What The Market Will Bear and Discrimination Pricing (also known as Segmentation Pricing

315 preparation

316 Preparation

317 Pre-Sale

318 Presentation

319 presentation/sales presentation

320 Prestige Pricing 321 Pricing Research 322 Pricing Strategies

323 Primary Research

324 Problem Identification

325 Processes segmentation 326 product 327 Product Life Cycle

328 product offer

329 Product Placement

330 Product Research

331 Production Orientation

332 Professional Services

Also known as Field Research. This is research that is being undertaken for the first time, as opposed to Secondary Research. It is undertaken for a specific purpose; the three types of primary research are: surveys, observation and experimentation This is the fifth stage in Coopers Sales Cycle *3+. It is linked with need identification as the prospect may have a problem to be solved which has led to the need. Cooper states that this is the single most important aspect of any selling situation and it is universally recognised that if the sales person does not know the real need, or problem, they cannot offer the true benefits to help resolve the situation. Needs and problems are established through effective questioning and active listening, defining buying criteria, prioritising criteria and summarising all needs and desires have been confirmed and understood. Cooper states that the process for need/problem identification can be summarised by the mnemonic NASA: Need, Acceptance, Solution, Acceptance A method of business segmentation where the market is classified according to processes it uses, such as the level of technology generally a physical item being supplied, but can also mean or include services and intangibles, in which case product is used to mean the whole package being supplied. A model indicating the stages a product goes through from pre-launch to withdrawal from the market: most commonly, there are four and five stage models. how the product and/or service is positioned and presented to the prospect or market, which would normally include features and/or advantages and also imply at least one benefit for the prospect (hence a single product can be represented by a number of different product offers, each for different market niches (segments or customer groupings). One of the great marketing challenges is always to define a product offer concisely and meaningfully. An element of the Promotions Mix where a product or service is used within a television or radio programme, or a film for example the use of a BMW Z8 in a James Bond film. In the UK there are strict guidelines as to how products appear on television and that they cannot be paid for Research aspects of product development. Cooper identifies 6 key areas [3]: generation of new product ideas, testing ideas, developing prototypes, testing prototypes, test marketing, Adjusting the marketing mix prior to launch A philosophy of business whereby the firms focus is on product excellence or technology. May be necessary in a highly technological environment. Characterised by focusing company efforts on producing goods or services [6] The services provided by firms and individuals that are qualified and/or accredited by professional bodies, such as accountants, solicitors, surveyors and chartered marketers.

333 Promotions Mix

All marketing communications tools that are used together, for individual campaigns, to achieve communications objectives in relation to specific target audiences. The mix varies according to objectives, target audiences and budget and may include: advertising, personal selling, sales literature, public relations (which can include exhibitions and sponsorship), direct marketing (which includes direct mail, telemarketing, direct response advertising, e-mail, internet), sales promotion, packaging, point of sale and product placement usually a written offer with specification, prices, outline terms and conditions, and warranty arrangements, from a sales person or selling organization to a prospect. Generally an immensely challenging part of the process to get right, in that it must be concise yet complete, persuasive yet objective, well specified yet orientated to the customer's applications. An outline proposal is often a useful interim step, to avoid wasting a lot of time including in a full proposal lots of material that the customer really doesn't need. usually means product offer, can mean sales proposal. The initial proposition means the basis of the first approach. a customer (person, organization, buyer) before the sale is made, ie a prospective customer. 'Professional Selling Skills' highly structured selling process pioneered by the US Xerox (and UK Rank Xerox) photocopier sales organization during the 1960's, and adopted by countless businesstobusiness sales organizations, normally as the 'Seven Steps of the Sale', ever since. PSS places a huge reliance on presentation, overcoming objections and umpteen different closes. Largely now superseded by more modern 'Open Plan' twoway processes, but PSS is still in use and being trained, particularly in oldfashioned paternalistic company cultures. The regimented oneway manipulative style of PSS nowadays leaves most modern buyers completely cold, but strip it away to the bare process and it's better than no process at all. A method of segmentation whereby the market is divided into groups of people who have the same lifestyle which encompasses values, attitudes and interests The planning and implementation of communication activities to establish and maintain the reputation of a firm and its brands, within identified target audiences, often including the general public. PR is often undertaken at a corporate level and PR techniques include: media releases, conferences, corporate hospitality, charitable work and the use of badging (for example giving away free t-shorts with company logo) Pull promotion is a strategy whereby the producer targets the end user with their promotions with the intention of them demanding the product from the intermediary and so, in fact, pulling it through the channel of distribution. Promotional methods commonly used are consumer advertising and sales promotions. A firm will often undertake both pull and push promotional strategies (and profile)

334 proposal/sales proposal

335 Proposition 336 prospect

337 PSS

338 Psychographic Segmentation

339 Public Relations

340 Pull Promotional Strategy

341 Push Promotional Strategy

342 qualify 343 Qualify

344 Qualitative Research

345 Quantitative Research

346 Quantity Discount Question the Objection (Method of Dealing With Objections)

347

348 Questioning

349 Questioning Techniques

350 quota 351 R & D 352 Rapport 353 Recommended Retail Price (RRP)

Push promotion is a strategy whereby the producer targets the intermediary with their promotions and so on through the distribution chain e.g. a wholesaler targets a retailer. The aim is to push the product through the channel of distribution to the customers. Promotional methods commonly used are trade sales promotions, personal selling and, to a lesser extent, some trade advertising. A firm will often undertake both pull and push promotional strategies (and profile) to determine the purchasing potential of a suspect, prospect or customer Where a sales person establishes purchasing potential of a prospect and also determines that the person they are talking to has the relevant decision-making authority A form of marketing research whereby opinions and ideas are elicited. Rather than using closed question questionnaires, the researcher undertakes interviews, focus groups and similar techniques. The findings are more detailed and subjective than those from quantitative research and so, although often of greater value, they are more difficult to evaluate and present A form of marketing research whereby facts are obtained that can be analysed in a statistical format; for example 60% of the population read a newspaper at least once a week. Quantitative data is obtained primarily through the use of closed questions in questionnaires such as opinion polls and customer satisfaction surveys Is a reduction in price to the buyer for buying a specific quantity: often, the larger the quantity, the more the discount If a prospect raises a vague objection it can be difficult to deal with: the salesperson needs to find out the specific issue, which may actually be very small egg if they say a product is awful ask what specific aspect they dislike. the second stage of the sales call, typically after the opening or introduction in the Seven Steps of the Sale. A crucial selling skill, and rarely well demonstrated. The correct timing and use of the important different types of questions are central to the processes of gathering information, matching needs, and building rapport and empathy. Questioning also requires that the sales person has good listening, interpretation and empathic capabilities. See the questioning section. The use of effective questioning skills to establish a prospects needs. Cooper [3] indicates that these should include: listen more than talk, ask open questions, use confirmatory closed questions, ask soft and hard fact questions and use empathy statements (see relevant sections) a sales target (in revenue and/ or units) for a specified time period... also referred to as a goal, budget or forecast. Research and development: a function undertaken to develop new products Developing empathy with the customer: Cooper [3] identities three inputs to rapport: create an environment of ease, establish common ground, use similar communication signals The price at which a company recommends their retailers sell the item to the consumer. Since the 1960s it has been illegal, in most cases, to force retailers to sell at this price

354 Reference Group

355 referral

356 Referral

Those groups with which a customer identifies in some way and they can have a positive or negative influence on their buyer behaviour. Examples include those whose opinions are valued such as sports personalities, also families, friends and work colleagues the strongest form of advertising and/ or one of the best forms of a lead... used to describe a prospect that is given to a salesperson by a current customer or prospect... requests for referrals are often forgotten by even the best salespeople. A prospect, or lead, provided to a salesperson as being someone who may be interested in what the salesperson is selling the act of gathering information about a market or customer, that will help progress or enable a ales approach. Often seen as a job for telemarketing personnel, but actually more usefully carried out by sales people, especially where large prospects are concerned (which should really be the only type of prospects targeted by modern sales people, given the need to recover very high costs of sales people). an organization or individual that sells a product made (and sometimes serviced) by someone else... sometimes used interchangeably with the words "distributor" and "VAR" An outlet, and part the distribution chain, that sells directly to consumers means simply keeping customers and not losing them to competitors. Modern companies realise that it's far more expensive to find new customers than keep existing ones, and so put sufficient investment into looking after and growing existing accounts. Less sensible companies find themselves spending a fortune winning new customers, while they lose more business than they gain because of poor retention activity. (The hole in the bucket syndrome, where it leaks out faster than it can be poured in.) Is payment made back to the buyer at the end of an agreed period if the total purchases for that period reach an agreed amount. Is used when the buyer does not know, in advance, the quantity required for the period In sales this tends to be used on a reluctant or hesitant buyer, where the sales person gives them the benefits of not buying. It is a technique that must be used with care A major stage in the sales cycle and comprises those activities that are undertaken by a salesperson during an actual sales visit or on the telephone: typically includes ice break and rapport, needs/problem identification, presentation, negotiation, handling objections, closing. It follows pre-sale activity and preceded post-sale activity the top line of the income statement and the driving force of all organizations, ideas and progress... also used to describe the greatest profession in history and greatest skill one can ever have... (did you expect something less?)

357 research/research call

358 reseller 359 Retailer

360 retention/customer retention

361 Retrospective Discount

362 Reverse Psychology

363 Sale

364 Sales

365 Sales Call Centre

These are premises where many telephone lines are routed into numerous telephone operators who work at the call centre, usually using headsets and computers. They may operate on behalf of one organisation, or be contracted to many. Being sales call centres, they not only receive calls but their main function is to make telemarketing calls; they are also called Outbound Call Centres the Sales Cycle term generally describes the time and/or process between first contact with the customer to when the sale is made. Sales Cycle times and processes vary enormously depending on the company, type of business (product/service), the effectiveness of the sales process, the market and the particular situation applying to the customer at the time of the enquiry. The Sales Cycle time is also referred to as the Sale Gestation Period (ie from conception to birth enquiry to sale). The Sales Cycle in a sweet shop is less than a minute; in the international aviation sector or civil construction market the Sales Cycle can be many months or even a few years. The funnel diagram and sales development process on the free resources section show the sales cycle from a different perspective, (and actually prior to enquiry stage). A typical Sales Cycle for a moderately complex product might be: A complete process which can be applied in the selling environment. Different texts indicate a different number of stages although they all tend to follow the same pattern, even though some stages may occur at any time during the sales process. It is widely recognised that there are three main stages: pre-sale, sale and also called sales projections, these are the predictions that sales people and sales managers are required to make about future business levels, necessary for their own organisation to plan and budget everything from stock levels, production, staffing levels, to advertising and promotion, financial performance and market strategies. describes the pattern, plan or actual achievement of conversion of prospects into sales, preenquiry and then through the sales cycle. Socalled because it includes the conversion ratio at each stage of the sales cycle, A philosophy of business whereby the firms focus is on selling, rather than the customer. Although selling is a critical activity, even in a market, or customer, oriented firm, a sales oriented firm is not a good philosophy to have. It involves a firm trying to push customers to buy what they do not necessarily need or want. a linear equivalent of the Sales Funnel principle. Prospects need to be fed into the pipeline in order to drop out of the other end as sales. The length of the pipeline is the sales cycle time, which depends on business type, market situation, and the effectiveness of the sales process. One element of the Promotions Mix and involves a range of temporary inducements that includes: coupons, free gifts, competitions, BOGOF (buy one get one free), temporary interest free credit and so on. Trade sales promotions are an important form of push strategy and may include temporary interest free credit, sale or return, free promotional material, extra boxes free a business report of sales results, activities, trends, etc., traditionally completed by a sales manager, but increasingly now the responsibility of sales people too. See the sample monthly sales report template

366 sales cycle

367 Sales Cycle

368 sales forecasts

369 sales funnel

370 Sales Orientation

371 sales pipeline

372 Sales Promotion

373 sales report

374 Sales Revenue

The income made by a firm before any deductions have been made. Sales revenue from an individual order is calculated as Price times Volume A pronounced feature or part, a highlight, that which is important to customers. Mitchell, Agle, and Wood (1997) developed a theory of stakeholder identification and salience based upon stakeholder possession of one or more of three attributes: power, legitimacy, and urgency (Ronald K. Mitchell, Bradley R. Agle, and Donna J. Wood, "Toward a Theory of Stakeholder Identification and Salience: Defining the Principle of Who and What Really Counts" Academy of Management Review, Vol. 22, No. 4, 1997, 298.) Salience is sometimes defined as the degree to which managers give priority to competing stakeholder claims an individual within an organization who is responsible for evaluating the potential value of a salesperson's product or service to a particular decision maker and taking action accordingly (i.e., passing them along to the appropriate person, asking them to send something in the mail, etc.)... also called a gatekeeper. Also known as Desk Research. This involves collecting data from existing sources and so using that which already exists, as opposed to Primary Research. Secondary sources include internal sources and external sources, such as the internet, government statistics, trade directories and so on. There are several potential problems associated with secondary research but it is often plentiful and free, or inexpensive a part of the market that can be described, categorised and then targeted according to its own criteria and characteristics; sectors are often described as 'vertical', meaning an industry type, or 'horizontal', meaning some other grouping that spans a number of vertical sectors, eg., a geographical grouping, or a grouping defined by age, or size, etc. a subsector or market niche; basically a grouping that's more narrowly defined and smaller than a sector; a segment can be a horizontal subsector across one or more vertical sectors. A pricing strategy whereby a firm charges different prices for different market segments. Is also called Discrimination Pricing A distribution strategy involving a firm limiting the number of outlets it sells its products from possibly because of special storage or knowledge requirements, legal requirements or just because consumers would be willing to travel to buy the goods When the salesperson evaluates their own performance regarding what they did well and what they could have done better The ability to enable a sales person to have the desire to do well; it id enhanced by having a positive mental attitude. Cooper [3] identifies four key factors to help develop self-motivation: belief in oneself, belief in the product or service, self-evaluation, having a driving force

375 Salience

376 screener

377 Secondary Research

378 sector/market sector

379 segment/market segment 380 Segmentation Pricing

381 Selective Distribution

382 Self Evaluation

383 Self-Motivation

384 Selling

Personal communication between a seller and (prospective) purchaser. As well as a critical role in itself, it can be considered part of the Promotions function of the Marketing Mix. A service is an intangible product that has five key characteristics that create problems for the marketer and sales person; these are: intangibility (it cannot be seen or touched); Inseparability (it is produced and consumed at the same time); Heterogeneity (it is inconsistent in quality as it relies on people delivering the service); Perishability (it cannot be stored); Lack of Ownership (it cannot be owned). These problems lead the marketer to extend the Marketing Mix for services to the 7Ps, rather than the 4Ps as for products a formal document usually drawn up by the supplier by which the trading arrangement is agreed with the customer. Also known as trading agreements, supply agreements, and other variations. See the section on service contracts and trading agreements. A legal part of a contract that states a guaranteed level of service; it often includes penalties for not achieving those levels of service A pricing strategy where the firm sets the price high in the early stages of the product life cycle to cover high development costs and achieve as much profit as possible before prices are driven down by competitors entering the market or new technologies overtaking. Is a common strategy in electronics markets where innovators are prepared to pay a high price for a new technology Small to Mid-Sized Enterprise an objection given by a prospect or customer that's not the primary objection to moving forward... it's usually given to divert the salesperson from addressing the primary objection of the prospect or customer and/ or simply because the prospect or customer feels they must object at least once or twice to strengthen their position in a negotiation or sales process... (primary objections can include a lack of perceived value in a product or service offering, a perception of an inferiority to a competitive offering, a lack of perceived urgency in purchasing the offering, an unknown internal political issue between departments, an unknown corporate initiative with an external party, a lack of funds to purchase the offering, an unknown personal issue with the decision maker(s) and an "it's safer to do nothing" perception by the prospect or customer)... A business philosophy which takes into account the interests of society as a whole as well as aiming to satisfy the needs of the customer Also known as Social Class. A classification of people who have similar levels of wealth defined through the types of job they do. There are various ways of defining social class: marketers sometimes used this as a method of demographic segmentation and normally use those identified by the media where the classes are defined as A, B, C1, C2, D and E. An example is those in social class A are defined as Upper middle class and comprise senior managers such as MDs, barristers, surgeons and so on. This method of segmentation is increasingly having less credibility than others

385 Service (Marketing)

386 service contract

387 Service Level Agreement

388 Skimming/Skim the Cream Pricing

389 SME

390 smoke screen (objection)

391 Societal Marketing Concept

392 Socio-Economic Group

393 Soft Fact Questions 394 solutions selling 395 Spin

These questions probe regarding opinion, feelings and thoughts a common but looselyused description for a more customerorientated selling method than the Seven Steps; dependent on identifying needs to which appropriate benefits are matched in a package or 'solution'. The Where a firm aims to use or manipulate the media to their advantage; often through PR. Tends to have negative connotations A popular selling method developed by Neil Rackham in the 197080's: SPIN is an acronym derived from the basic selling process designed and defined by Rackham: Situation, Problem, Implication, Need, or Need Payoff. More detail about SPIN and SPIN Selling appears in the Consultative Selling and Needs Creation Selling methods section. Note that SPIN and SPIN SELLING methods and materials are subject to copyright and intellectual property control of the Huthwaite organisations of the US and UK. SPIN and SPIN SELLING methods and materials are not to be used in the provision of training and development products and services without a licence. See SPIN copyright details. A form of Promotion, often considered PR, where a firm provides support for an event, venture, person or charity in order to obtain positive publicity Those people and organisations that have some interest in a business and/or the business has an interest in them. Stakeholders may include: shareholders, employees, members of the local community, customers, suppliers, intermediaries, local or national government, local publics, regulatory bodies Codes used to group businesses according to the type of industry they are in. The government produces industrial statistics by SIC code, or sector. It is sometimes used to segment business and is a demographic base as it reflects the type of industry describes the structure of the selling process, particularly the sales call, and what immediately precedes and follows it. Usually represented as the Seven Steps of the Sale, but can be five, six, eight or more, depending whose training manual you're reading. This involves informing the prospect that they are mistaken. It can be used when the objection is inaccurate but Where a firm thinks and plans for the long-term and has a marketing person at senior management level to be the champion of the customer; this also enables resources to be allocated for the benefit of the customer

396 SPIN and SPIN Selling

397 Sponsorship

398 Stakeholders

Standard Industrial Classifications 399 (SIC)

400 steps of the sale Straight Denial (Method of Dealing with Objections)

401

402 Strategic Orientation

403 strategic selling

you will also hear people (me included) referring to 'strategic selling' in a generic sense, and not specifically referring to the Miller Heiman methods and materials. In a generic 'lower case' sense, 'strategic selling' describes a broad methodology which began to be practised in the 1980's, literally 'strategic' by its nature (the principles involve taking a strategic view of the prospective customer's organisation, its markets, customers and strategic priorities, etc), which is described below and referred to as 'open plan selling'. When using the 'strategic selling' terminology in a training context you must be careful therefore to avoid confusion or misrepresentation of the Miller Heiman intellectual property. If in any doubt don't use the 'strategic selling' term in relation to providing sales training services call it something else to avoid any possible confusion with the Miller Heiman products, (see the Miller Heiman Strategic Selling copyright details below. A part of need identification in the sales process when a sales person must check back with the prospect to confirm that all needs and desires have been covered and understood [3]

404 Summarisation

405 Summarise And Direct Close

This method of closing is where the salesperson summarises the key benefits before asking for the order. The chain or network from suppliers, manufacturers, distributors and other intermediaries involved in the production and delivery of a product to the final consumer A method of collecting data where the researcher makes a systematic record of responses from all respondents who have answered the same questions

406 Supply Chain

407 Survey

408 Suspect

An individual or firm that has the potential to be a prospect but with whom the sales person has not yet made contact A technique of analysis which studies Strengths, Weaknesses, Opportunities and Threats. This can be undertaken for a firm, as part of their sales and marketing plans, or an individual as part of their PDP (Personal Development Plan) and can be developed from a detailed audit in a selling context this describes, or is, an aspect of the product or service offering that can readily be seen and measured in terms of cost and value (eg., any physical feature of the product; spare parts; delivery or installation; a regular service visit; a warranty agreement). See intangible.

409 SWOT Analysis

410 tangible

411 target/sales target

412 Targeting

413 Telemarketing 414 Telemarketing

in a sales context this is the issued (or ideally agreed) level of sales performance for a sales person or team or department over a given period. Bonus payments, sales commissions, pay reviews, job gradings, life and death, etc., can all be dependent on sales staff meeting sales targets, so all in all sales targets are quite sensitive things. Targets are established at the beginning of the trading year, and then reinforced with a system of regular forecasting and reviews (sometimes referred to as 'a good bollocking') throughout the year. See forecasting. The full name is Market Targeting. This is the second stage of the Target marketing process and involves evaluating and selecting the segments to target and deciding on a targeting strategy. The three potential targeting strategies are: a concentrated strategy (where the firm targets a niche market with one specific tailored marketing mix), an undifferentiated strategy (where the firm targets many segments but with one overall marketing mix) and a differentiated strategy (where the firm's targets many segments but with a different marketing mix for each segment) any presales activity conducted by telephone, usually by specially trained telemarketing personnel for instance, research, appointmentmaking, product promotion. The marketing of a product or service directly to a customer by telephone: this may be involve sales, research or customer care A database of both businesses and individual consumer who have requested not to receive unsolicited direct marketing calls; it is illegal not to comply with the wishes of individual consumers, although not businesses selling by telephone contact alone, normally a sales function in its own right, ie., utilising specially trained telesales personnel; used typically where low order values prevent the use of expensive fieldbased sales people, and a recognisable product or service allows the process to succeed. Selling goods or services directly to a customer through use of the telephone a very structured formal proposal in response to the issue of an invitation to tender for the supply of a product or service to a large organization or government department. Tenders require certain qualifying criteria to be met first by the tendering organization, which in itself can constitute several weeks or months work by lots of different staff. Tenders must adhere to strict submission deadlines, contract terms, specifications and even the presentation of the tender itself, and usually only suppliers experienced in winning and fulfilling this type of highly controlled supply ever win the business. It is not unknown for very successful tendering companies to actually help the customer formulate the tender specification, which explains why it's so difficult to prise the business away from them. the geographical area of responsibility of a sales person or a team or a sales organization.

415 Telephone Preference Service (TPS)

416 telesales 417 Teleselling

418 tender

419 Territory

420 territory planning

the process of planning optimum and most costeffective coverage (particularly for making appointments or personal calling) of a sales territory by the available sales resources, given prospect numbers, density, buying patterns, etc., even if one territory by one sales person; for one person this used to be called journey planning, and was often based on a four or six day cycle, so as to avoid always missing prospects who might never be available on one particular day of the week. The testing of the Marketing Mix of a product in a sample area prior to a full launch These show that the person is considering something and tend to be hand to head gestures, such as rubbing the head or scratching the chin; the sales person should not interrupt these Focuses on satisfaction of customer needs in combination with the achievement of objectives and covers: quality, availability, service, support, reliability, value for money and needs to consider: the customer, corporate planning, management, personnel, physical evidence [3] Those who buy on behalf of an intermediary in order to sell on. This involves more logic than emotion, although emotion still plays a part. Factors influencing trade buyers are: price, bulk purchase, quality, repeat business, payment terms, availability of just-in-time [3]. See also Business Buyer Behaviour Marketing of goods and services to the retail and distributive trades the technique by which a sales person tests the prospect's readiness to buy, traditionally employed in response to a buying signal, eg: prospect says: "Do you have them in stock?", to which the sales person would traditionally reply: "Would you want one if they are?" Use with extreme care, for fear of looking like a clumsy desperate fool. If you see a buying signal there's no need to jump on it just answer it politely, and before ask why the question is important, which will be far more constructive. If the salesperson feels that the timing is right and the buyer has just one objection left, they can try to turn it into a trial close. A trial close is where the salesperson tries to close the sale but, if it doesnt work, it doesnt prevent him from continuing with the selling process. The salesperson would possibly ask that if they could overcome the objection would the prospect place the order The Producer sells to the consumer (business or domestic) via two intermediary, egg a distributor and then on to a retailer One of three target marketing strategies. It is where the firm targets many segments but with one overall marketing mix a feature that is peculiar to a product or service or supplier no competitor can offer it. unique perceived benefit now one of the central strongest mechanisms in the modern selling process, an extension and refinement of the product offer, based on detailed understanding of the prospect's personal and organizational needs.

421 Test Marketing 422 Thoughtful Gestures

423 Total Quality Management (TQM)

424 Trade Buyers 425 Trade Marketing

426 trial close

Trial Close (Method of Dealing With 427 Objections)

428 Two Level Distribution Channel 429 Undifferentiated Strategy 430 unique/uniqueness 431 UPB

432 Upline Vertical Integration [3] 433 Up-sell 434 Upward Vertical Integration 435 User 436 USP

437 VAK

438 Value Chain 439 Value propositions 440 VAR

Also known as Upward Vertical Integration. Where an organisation expands within the distribution channel An example of upline vertical integration is a retailer developing its own wholesaling or manufacturing function to sell a prospect/ customer a product or service of higher value Also known as Upline Vertical Integration [3]. Where an organisation expands within the distribution channel An example of upline vertical integration is a retailer developing its own wholesaling or manufacturing function A role within the Decision Making Unit (DMU) unique selling point or proposition this is what makes the product offer competitively strong and without direct comparison; generally the most valuable unique advantage of a product or service, for the market or prospect in question; now superseded by UPB. Taken from NLP, this stands for Visual, Audio and Kinaesthetic and these are the three most usual modes of communication. VAK explains how we see, hear and feel things during a communication. Those favouring visual communication respond to pictures, demonstrations and images. Those favouring audio communication tend to respond to words and sounds and are often logical in approach. Those favouring kinaesthetic communication tend to be concerned with emotion and are often tactile; this is often prevalent in domestic buying A value chain analysis is a list of the identified customer activities with problems and potential solutions listed against them. The potential solutions are the positive impact *3+ the specific and definitive offer of value from one organization to another. sales acronym... value added reseller... term generally used to describe an organization that sells another organization's product after adding features to it. an aspect of the sale or deal that can be changed in order to better meet the needs of the seller and/or the buyer. Typical variables are price, quantity, leadtime, payment terms, technical factors, styling factors, spare parts, backup and breakdown service, routine maintenance, installation, delivery, warranty. Variables may be real or perceived, and often the perceived ones are the most significant in any negotiation. See the section on negotiation. Where an organisation expands upward, also known as upline [3], or downward, also known as downline [3], within the distribution channel An example of upline vertical integration is a retailer developing its own wholesaling or manufacturing function; an example of downline is a manufacturer developing its own wholesale or retail function

441 variable

442 Vertical Integration

443 viral marketing

the act of marketing a product or service using tactics that encourage individuals to pass along a marketing message to other individuals in order to have the message delivered at an exponential rate and at very little to no cost to the marketer... a successful viral marketing campaign encourages prospects and customers to market a product or service for the marketing company or individual. the act of marketing a product or service using tactics that encourage individuals to pass along a marketing message to other individuals in order to have the message delivered at an exponential rate and at very little to no cost to the marketer... a successful viral marketing campaign encourages prospects and customers to market a product or service for the marketing company or individual. The long-term aspirations of a firm Diary of actions to be undertaken for the forthcoming week, broken into half-hour sections A pricing strategy whereby a firm charges what the market is able and/or prepared to pay: it may be a high or low price and is frequently used in business-to-business marketing Also known as a distributor. Tend to buy in bulk, break bulk and sell and distribute to retailers, the trade or end users. Except for cash and carry wholesalers they give credit and transport to their customers. Many large retailers have undertaken Vertical Integration and developed their own wholesaling system the favorite sales word of all time (when used in conjunction with a paying prospect who can make a decision... and does) The Producer sells direct to the consumer (business or domestic) and so there are no intermediaries

444 viral marketing

445 Vision 446 Weekly Log 447 What the Market Will Bear

448 Wholesaler

449 Yes 450 Zero-Level Distribution Channel