SELL, Canadian Edition Lecture Notes

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iNETAENGAGEMENTInstructor’sGuideto accompanySecondCanadian edition prepared byKirby Shannahan, Memorial University of Newfoundland

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Instructor’sGuideto accompanySELL,SecondCanadian edition, Ingram/ShannahaniiPrefaceIntroductionThe purpose of this section of theguideis to provide materials to assist in planning andimplementing interesting class sessions. Each Chapter consists of the following:LearningObjectivesChapter OutlineDeveloping Professional Selling KnowledgeGroup ActivityExperiential ExercisesVideo ExercisesChapter CaseChapter Role PayContinuingCaseTheLearning Outcomessection restates the learning outcomes for each chapter so that you donot have to refer to the text when planning class sessions.TheChapter Outlinesection presents an outline containing the major headings and subheadingsin a chapter. This is intended to make it easier for you to plan the structure and topic sequencefor each class.TheDeveloping Professional Selling Knowledgesections provide examples of answers to theend-of-chapter discussion questions.TheGroup Activitysection contains an in-class group activity created to reinforce conceptspresented in the chapter.TheExperiential Exercisesoffer various types of in-class exercises that allow the students toput into practice what they are learning from the book and class lecture. Each of these exercisescontains a stated learning objective, and most of the exercises contain an estimated time frameand tips for the instructor. The instructor may assign these exercises to individuals or groups andas either an in-class (time permitting) exercises or as homework.TheVideo Exercisesaccompany the six video clips found on the book’s website using yourSingle Sign On (SSO) account (http://www.nelson.com/instructor).Successfully answering thequestions requires students to watch the corresponding video clips, reflect on the content, andthen apply what they’ve learned from the text.TheChapter Casesthat accompany each chapter provide a real-world situation involvingconcepts presented in the corresponding chapter. Working through the case questions will helpstudents get a better grasp on the concepts presented in the corresponding chapters. Note:Manyof the cases include a brief role play exercise.

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Instructor’sGuideto accompanySELL,SecondCanadian edition, Ingram/ShannahaniiiTheChapter Role Playswere created to involve students directly in the modeling and learningprocess. Participating in the role plays will give students the opportunity to “learn-by-doing”and serve to reinforce concepts presented in the chapter.TheContinuing Casesat the end of the chapters share the same central character, but eachsituation is contextually consistent with the material presented in the corresponding chapter. Asyou progress through the text students will become familiar with the central characterwhichshould allow them to better participate in the role plays and learn from each.Test BankTheTest Bankcontainsover 1200 multiple-choice,true-false, and fill-in theblank questions. Eachquestion contains theanswer choices, the correctanswer, the page reference,the associated learningobjective, and a difficultyrating. A computerizedversion of the test bank isavailable for use with theMicrosoft Windows and Macoperating systems. Thecomputerized version allowsyou to preview, edit, or add testquestions, and to print“scrambled” forms of tests andanswer keys.Sample Course SchedulesTraditional–Following the Chapters as PresentedWeek15 WeekSemester10 WeekQuarter8 WeekSummer Session1Chapters 1, 2Chapter 1Chapters 1, 22Chapter 2Chapter 2Chapter 3

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Instructor’sGuideto accompanySELL,SecondCanadian edition, Ingram/Shannahaniv3Chapter 3Chapter 3Chapter 44Chapters 3, 4Chapter 4Chapter 55Chapter 4Chapter 5Chapter 66Chapter 4, 5Chapter 6Chapter 7, 7A7Chapter 5Chapter 7Chapters 88Chapter 5,6Chapter 7AChapters 9, 109Chapters 6Chapter 810Chapter 6,7Chapter 9, 1011Chapter 712Chapters 7,813Chapters 814Chapters 8, 915Chapter 9, 10Sales Process First–This sequence covers the sales process first and is an option forfacultywho would like to have students conducting sales calls (e.g., role plays) earlier in thesemester.Week15 WeekSemester10 WeekQuarter8 WeekSummer Session1Chapters 5Chapter 5Chapters 5, 42Chapter 5, 4Chapter 4Chapter 6, 73Chapter 4, 6Chapter 6Chapter 8, 94Chapters 6Chapter 7Chapter 9,25Chapter 7Chapter 8Chapter 2, 36Chapter 7, 8Chapter 9Chapter 3, 107Chapter 8Chapter 2Chapters 10, 118Chapter 9Chapter 3Chapters 11, 19Chapters 9, 2Chapter 10,1110Chapter 2Chapter 11, 111Chapter 312Chapters 3, 1013Chapters 10, 1114Chapters 1115Chapter 1

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Instructor’s Guide to accompanySELL, Second Canadian edition,Ingram/Shannahan1-1INSTRUCTOR’S GUIDEChapterOne—Overview of PersonalSellingIntroductionAs suggested by the title, the first chapter provides an overview of what personal selling is all about, which tends tobe an eye-opener for most students with little to nosales experience.A lack of knowledge or a distorted view ofpersonal selling due to past experience can be a source of a negative attitude amongst students regarding selling as acareer choice.A number of questions can be used to start the discussion for this chapter, such as:What does personal selling mean to you?Based on your experience as a consumer, what makes a good sales person? A bad one?Where does personal selling fit within the overall marketing mix of an organization?Learning Objectives1-1Define personal selling and describe its unique characteristics as a marketing communications tool.1-2Distinguish between transaction-focused traditional selling and trust-based relationship selling, with the latterfocusing on customer value andsales dialogue.1-3Describe the evolution of personal selling from ancient times to the modern era.1-4Explain the contributions of personal selling to society, businessfirms, and customers.1-5Discuss five alternative approaches to personal selling.1-6Understand the sales process as a series of interrelated steps.Chapter OutlineIntroduction-31-1Personal Selling Defined-41-2Trust-Based Relationship Selling-4Importance of Customer Value-4Importance of Sales Dialogue-61-3Evolution of Personal Selling-7Industrial Revolution Era-7Post-Industrial Revolution Era-7War and Depression Era-7Professionalism: The Modern Era-71-4Contributions of Personal Selling-8Salespeople and Society-9Salespeople and the Employing Firm-10Salespeople and the Customer-111-5Alternative Personal Selling Approaches-12Stimulus-Response Selling-12Mental States Selling-13

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Instructor’s Guide to accompanySELL, Second Canadian edition,Ingram/Shannahan1-2Need Satisfaction Selling-14Problem-Solving Selling-15Consultative Selling-151-6The Trust-Based Sales Process-16Appendix Chapter 1: Sales Careers-20Characteristics of Sales Careers-20Classification of Personal Selling Jobs-21Qualifications and Skills Required for Success by Salespeople-24Supplemental Internet ResourcesA.The Canadian Professional Sales Association (CPSA)Websitewww.cpsa.comis a good resource forinformation on professionalism and ethics in selling.B.Sales Jobs Canadahttp://ca.salescareersonline.com/is one example of a job listing service for employerslooking to hire sales people.Students can review job descriptions for different types of sales positions and thequalifications employers are looking for in candidates.C.The Journal of Personal Selling and Sales Management athttp://jpssm.orgis a good example of an academicjournal dedicated to topics in personal selling which is available through most school library online databases.D.The Professional Sales AcademyWebsitewww.salesacademy.cais one example of the many different sourcesof sales training programs and materials that are available to someone interested in becoming a salesperson.Thebusiness of providing sales training is a very large industry that is largely unregulated, which can make itdifficult for customers to make an informed choice.ExercisesDeveloping Professional Selling KnowledgeDownload theInstructor’s Guide—Solutions and Discussionsfor responses and discussions to these exercises.1.How is personal selling different from other forms of marketing communications?2.What are the key differences between transaction-focused traditional selling and trust-based relationshipselling?3.What factors will influence the continued evolution of personal selling?4.How do salespeople contribute to our society? Are there negative aspects of personal selling from asocietal perspective?5.What are the primary contributions made by salespeople to their employers?6.Most businesses would have a difficult time surviving without the benefits of the salespeople who call onthem. Do you agree?7.How are need satisfaction and problem-solving selling related? How do they differ?8.How does the consultative selling approach differ from problem-solvingand need satisfaction selling?Explain the three key roles of consultative salespersons.9.How important is teamwork between the customer and the sales organization in practicing consultativeselling? How does teamwork within the sales organization factor into consultative selling?10.Discuss the final step of the sales process (enhancing customer relationships) asitrelatesto thecontinuing evolution of personal selling.

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Instructor’s Guide to accompanySELL, Second Canadian edition,Ingram/Shannahan1-3Group ActivityWord Association: The Image of SalespeopleBefore placing students into teams, ask them to spend two minutes thinking of positive and/or negative words thatcome to mind when they hear the word“salespeople.”Instruct the students to make a list of these words. Now putthe students into three-person teams. Allow 10 minutes for each team to compare thoughts and develop a list ofwords associated with the word“salespeople.”Next, ask each one team to share their list with the class. Recordthese responses on the board in two columns, one“positive”and the other“negative.”Continue recording responsesfrom each team,andthen discuss the findings. Many students often negatively stereotype salespeople. This istypically a result of perceptions they have formed about salespeople from their encounters with retail salespeople,movies negatively portraying salespeople, and accounts of salespeople in the popular press. Discussion can focus onthe characteristicsthata professional salesperson should possess and how the negative stereotypes of salespeoplecan be overcome.The purpose of this exercise is to bring to the surface negative stereotypes associated with salespeople and selling.Most students will have at least some negative attitudes toward salespeople and selling because of their limitedexposure to professional selling.Instructors should usethisexercise as an opportunity to assure the students thatthe focus of the course is on trust-based relationship selling,a type of selling that is markedly different from thestereotypes permeated by the media and door-to-door selling.Experiential ExercisesUnderstanding What It Takes to Succeed in SalesObjective:Build awareness thata career insales requires a highworkingknowledge and skill level,and thatsalespeople must be wellprepared when calling on customers.Time Required:Two hours outside of class (one hour to conduct an interview with a salesprofessional,andonehour to write an interview summary).Teaching Tip:In some instances, this assignment will be better suited to a team approach with 2–3 students perteam. Salespeople from organizations that recruit on campus can be a goodsource for findinginterview candidates.Have students interview a salesperson to better understand what it takes to be successful in professional selling. Inaddition to the following interview questions, require students todevelop two additional questions for theirinterviews.1.What aresome ofthe key skills requiredinyour job?2.What do you need to know about your products/services in order to succeed?3.How has professional selling changed in the past fewyears?4.How do you prepare for sales calls with new customers?Students should write a summary report of their interviews and be prepared to discuss their key conclusions in class.

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Instructor’s Guide to accompanySELL, Second Canadian edition,Ingram/Shannahan1-4Video ExercisesOverview of Personal SellingPreview all six scenes.Empathy, ego drive, strong interpersonal communication, and enthusiasm are some of the qualities required to be asuccessful sales professional. As you progress through this course,it will be beneficial to keep some of thesequalities as an organizing framework to refine and build your skill set.Mark–Manager for Player OneLisa–Sales Rep for Alpha Tech,Security system provider trying to earn the customer away from GoodmanJim–Sales Rep for Goodman,Current provider of security systemAsk your students:1.Review the videos and comment on the sales professional’s performance in areas mentioned above.2.Comment on the role that these sales people contribute to society.3.What managerialroles do you see in the clip?Chapter 1 CaseSummary:Craig Robertson is a sales representative for Slavik’s Sports Inc. (SSI), a Vancouver-based supplier ofcustom-made novelty sports items such as bobble-head figures, caps, sunglasses, and sweatshirts.Craig was recentlyrelocated to Vancouver and was eager to grow his territory.By most indications, Craig was a good salesperson andhad received nothing but positive feedback from his sales manager, Felicia Jameson.During his first 60 days inVancouver,Craiglanded some major customers and was optimistic about landing another important account, H2G,a large manufacturer of garden tools.Craigdid his research on H2G in preparation for his sales call withCam Evans, Director of Marketing for H2G, butthe call did not go well.An unexpected snow storm had created traffic delays throughout the area, and consequently,Craigwas late for his meeting withCam.As the sales call progressed,Craigdid most of the talking,tellingCamabout SSI and its capabilities.WhileCraig and Camdid discuss H2G’s regular use of tradeshows as a tool tostimulate sales,Craigasked only one question (What works well for you in terms of standing out at those shows?)related to H2G’s tradeshow strategy.He did not ask about H2G’s tradeshow objectives or budget. Cam’s interest incontinuing the call waned and he ended the meeting abruptly, indicating he would contactCraigif H2G developedan interest in what SSI offered.Craigleft without making another appointment.Discussion Questions1.What problems do you see withCraig’s H2G sales call?2.If you wereCraig’s sales manager, what would you recommendhe do to improve hischances ofsucceeding?Role PlayAsk six students to participate in a role play (one playingCraig, four playing other SSI Sales Representatives, andone playing Jeff’s Manager Felicia) in whichCraigdescribes to his colleagues and his sales manager his sales callwithCam.The description should focus on how his sales call matches up with transaction-focused or trust-basedfocused selling behaviours (see Exhibit 1.1).When finished, have the class discuss the following:1.IsCraig’s review of his sales call accurate?2.What steps shouldCraigtake to begin to develop a strong relationship withCam Evansat H2G?

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Instructor’s Guide to accompanySELL, Second Canadian edition,Ingram/Shannahan1-5Chapter 1Continuing CaseIntroductionThe National Copier Company (NCC) sells a variety of copiers to small and medium-sized businesses. NCC hasbeen inbusiness for five years and has been growing at a steady pace.NCC differentiates itself from other copiercompanies by customizing its products to meet thespecific needs of each customer and by providing excellentcustomer service. The company’s salesforce plays a key role in creating value and managing customer relationships.Brenda Smith has been a NCC salesperson for the past three years. She has steadily improved her sales performanceduring her time with NCC, and now is in the top25 percentof all NCC sales representatives,as measured by twokey metrics: overall sales volume and customer satisfaction. Brenda has been especially successful with smallprofessional firms, such as attorneys, architects, accountants, and medical professionals. She is excited to begin herfourthyear with NCC and has established challenging goals to increase sales from existing customers and togenerate new customers.Brenda recently met withJin Tan, her sales manager,and was quite excited about the upcoming year.Jinhad toldBrenda that she was progressing toward a possible promotion into sales training if she had another good year in hersales position. In addition,Jingave Brenda this feedback:“Brenda, I think you are doing a fine job with yourcustomers, but I would like to see you become more of a consultative salesperson in the coming year. I would alsolike for you to sharpen your group communications skills,as that will be important if you are promoted into salestraining. We will talk about the specifics more as the year goes along.Meanwhile, thanks for your results to date andgood luck with the upcoming year.”Questions1.Brenda had been thinking aboutJin Tan’s feedback that directed her to become moreof a consultativesalesperson. In thinking abouther own selling approaches, she knew thatshehad been concentrating onthe needs satisfaction and problem-solving approaches.What must Brenda do to become a moreconsultative salesperson?2.Three months later, Brenda was having mixed results with the consultative selling approach.She wasfinding that some of her customers just wanted the convenience of having acopier in their offices, anddid not seem eager to discuss their strategic goals. She wasbeginning to wonder about the consultativeselling model, thinking it was not such a goodidea after all.What recommendations do you have forBrenda?3.A month before the annual meeting for all NCC sales representatives,Jin Tantold Brenda,“For theupcoming meeting, I want you to prepare a 10 minute presentation about the prosand cons of the basicselling approaches that we use at NCC compared to our competitors.”NCC’s sales training programadvocated the use of needs satisfaction, problem-solving, andconsultative selling. Many of NCC’s keycompetitors used the same approaches. Howeversome of the toughest competitors used stimulus responseand mental states (AIDA)approaches. This latter category of competitors often stressed lower prices andutilizedtelemarketing instead of field salesrepresentatives in selling their products. Put yourself inBrenda’s role and prepare the presentation requested byJin Tan.4.Early in the year,Jin Tantold Brenda that her efforts were needed to gain more exposurefor NCC’scollege recruiting program:“Brenda, I want you to be part of a two-person teamto help with recruitingon two college campuses in your territory. The other team memberwill be an experienced recruiter whohad sales experience before moving into recruiting.The two of you should seek out opportunities as guestspeakers for classes and studentorganizations. Your role will be to talk about how sales can be a greatplace to start a careerand,for some, a great career path. Think about the future of selling and what ittakes to besuccessful,and share your thoughts with students.”Acting as Brenda, make note of ten keypoints you would like to make about the future of professional selling and what it takes tobe successful.(Hint:Be sure you read the online Appendix to Chapter 1 along with Chapter1before you undertakethis task.)

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Instructor’s Guide to accompanySELL, Second Canadian edition,Ingram/Shannahan2-1Chapter Two—Building Trust and SalesEthicsLearning Objectives2-1Explain what trust is, explain why it is important, and understand how to earn trust.2-2Know how knowledge bases help build trust and relationships.2-3Understand theimportance of sales ethics and its legal implications.ChapterOutlineIntroduction312-1WhatIs Trust?-32Why Is Trust Important?-34How to Earn Trust-342-2Knowledge Bases Help Build Trust and Relationships-38Industry and Company Knowledge-38Product Knowledge-40Service-40Promotion and Price-41Market and Customer Knowledge-41Competitor Knowledge-42Technology Knowledge-432-3Sales Ethics and Legal Implications-44Image of Salespeople and Sales Executives-45Deceptive Practices-45Noncustomer-Oriented Behaviour-45Legal Implications-45How Are Companies Dealing with Sales Ethics?-49Chapter 2 Case-51Chapter 2 Role Play-52ExercisesDeveloping Professional Selling Knowledge1What is the essence of trust for a salesperson?2.Iftrust means different things to different buyers, how is a salesperson to determine what trust means foreach buyer?3.Why is trust important to a salesperson?4.How might a salesperson go about earning trust?5.What does it mean for asalesperson to have a customer orientation?

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Instructor’s Guide to accompanySELL, Second Canadian edition,Ingram/Shannahan2-26.How would you rank the five trust builders in order of importance?7.Explain why expertise is such an important relationship builder.8.How do knowledge bases help build trust andrelationships?9.Do you think certain knowledge bases are more important than others?Why?10.What are the three areas of unethical behaviour?Discuss each.Group ActivityAsk students to think about their experiences with salespeople. Have them write down a short list of thingsthatsalespeople have done that built trust,and a short list of things salespeople have done that have damaged trust. Next,divide the class into small groups and have them discuss and combine their lists. Ask each group to present its list.The purpose of this exercise is help students better understand trust-building and trust-damaging behavioursthrough shared experiences.Try to get students to share stories and identify how the behaviours described in thosestoriesmatch one or more of the five components of trust.Experiential ExercisesBuilding Relationships after the SaleObjective:Your students will discover the importance of follow-up activities in building relationships.Time Required:10 to 15 minutes, or longer if working in groups.Teaching Tip:Have students work in small groups to develop answers to the questions. Then let each group presentits answers to the rest of the class.Not many years ago, salespeople often thought that their jobs were complete once the order was signed. Today, for abusiness to survive, repeat business is critical. A greater emphasis has been placed on the follow-up stage of theselling process. Continued building of the relationship should be your goal well after the sale.1.Show appreciation after the sale. How might you accomplish this?2.Monitor delivery and installation. Why is this important?3.Learn the names of the switchboard operator, receptionists, office manager, users of the product, etc.How might youaccomplish this and why is it important?Video ExercisesBuilding Trust and Sales EthicsScene 1A, Meet the Eager Beaver, run time2:42 minutesProfessional salespeople will face a number of situations that will require that they make ethicalchoices throughouttheir careers. Sales people will relate with a multitude of people who are competitors and may want to use thisrelationship to gain information,an ethical dilemma that Lisa faces.Mark–Manager for Player OneLisa–Sales Rep for Alpha Tech–Security system provider trying to earn the customer away from GoodmanJim–Sales Rep for Goodman–Current provider of security system

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Instructor’s Guide to accompanySELL, Second Canadian edition,Ingram/Shannahan2-3Ask your students:1.Which area of unethical behaviour does Mark want Lisa to engage in?2.Discuss how Lisa’s answer can institute trust in her relationship with Mark as well as avoid her engagingin unethical behaviour.Chapter 2 CaseCabot Business StationeryBackgroundKelly Myers has spent the past three months trying to gather all the information she needs to submit a bid on anorder that is very important to her company.Bids are due tomorrow and the decision will be made within a week.She has made a great impression on the purchasing agent, Janet Williams, and she has just ended a conversationwith her sales manager who believes Kelly needs to make one more call on Williams to see if she can find out anyadditional information that might help her prepare the bid.Kelly’s boss specifically wants to know who the otherbidders are.CurrentSituationLater that day, Kelly visited with Janet Williams.During the course of the conversation with Williams, Kelly askedwho the other bidders were.Williams beat around the bush for a while, but she did not reveal the other bidders. Shedid mention the other bids were in and pulled the folder out of the filing cabinet where they were kept.Janet openedthe file and looked over the bids in front of Kelly.There was a knock on the door and Janet’s boss asked if he could see her for a minute and she walked down the hallwith her boss. Kelly realized all the bids were left out in front of her.There was a summary sheet of all of the bidson top and she could easily see all the bids.When Williams returned she returned the folder to the file and the twomade some small talk and ended their conversation.Kelly returned to her office and completed her bid and turned it in to Janet Williams the next morning.Kelly knewher bid would be the lowest by $500.00. One week later Kelly learned she won the bid.Discussion Questions1.What are the ethical issues involved in this situation?2.If you were Kelly Myers, do you think Janet Williams intended for you to see the competitive bids? Whatwould you have done, given this situation? Why?Chapter 2 Role PlayReef Uniform CompanyCase BackgroundReef Uniform Company (RUC) specializes in providing uniforms to hotels and restaurants. RUC is a new companyfrom Australia trying to break into the Canadian market. They have had trouble breaking into larger accounts(Marriott, Delta, Sheraton) because,as a new company,they don’t have name recognition in Canada.As the account exec in the area, you have been working on a new Sheraton hotel with over 5,000 rooms and 500employees. You recently submitted a proposal and the buyer, Anthony Norman, has told you he is leaning your waywith the order. He also told you that this order must come off without a hitch as his hide is on the line if things gowrong. You know there could be a problem down the road as one of your unions has been negotiating a contract thatis about to expire. The last time this contract came up, there was a strike and orders were backlogged for weeks. The

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Instructor’s Guide to accompanySELL, Second Canadian edition,Ingram/Shannahan2-4hotel has many customized uniforms and has to have these for their grand opening in three months. What is yourobligation to the hotel having this information? This order will make your year and probably send you on a trip toRome for exceeding quota.Role PlayLocation—Anthony NormansOffice;Action—Role playa sales call with Anthony Norman,addressing the issues inthe case.Chapter 2 Continuing CaseBecause the National Copier Company (NCC) has only been in business for five years, Brenda Smith is concernedthat most of her competitors are older than she is. The prospective customers she has been calling on state they knowthey can count on her competitors because they have a long track record. As NCC expands into new markets,someof her prospects are not familiar with her company. One prospective customer, who works for one of the mostprestigious and largest medical offices (30 doctors) in the area,told her he has been buying copiers from the samecompany for over25years. He also told her his sales representative for the company has been calling on him forover seven years, and he knows when he calls on his copier supplier for advice he can count on him for a solidrecommendation. Brenda realizes these are going to be tough accounts to crack.Brenda does have an advantage due to the high quality of NCC products. In a recent trade publication, NCC’scopiers tied for first in the industry on ratings of copier quality and dependability. NCC was also given a high ratingfor service. Brenda has hadthis information for two weeks now and has brought it up in conversations with herprospective customers without much success. To make matters worse, one of her competitors must have startedrumours about NCC. In the past month, she has heard the followingrumours:“NCC is going out of business because of financial troubles.”“NCC has missedseveral delivery deadlines with customers.”“NCC’s copiers have a software glitch that cannot be corrected.”“NCC has cut its service staff.”Brenda knows these rumours are not true, but prospects might believe the rumours. At a recent sales meeting,Brenda’s manager suggested that their competitors must be getting nervous about NCC’s success, causing them tostart such vicious rumours.Brenda is sitting at her desk trying to figure out what to do next and she is not exactly sure how to proceed.Questions1.What would you recommend Brenda do tohandle the challenges she faces?2.Brenda appears to have an advantage with her products and services. Develop a plan for Brenda to buildtrust in NCC with prospective customers.3.What do yourecommend Brenda do to compete effectively against competitors that have a long andsuccessful track record?4.How should Brenda go about handling the rumour mill?

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Instructor’s Guide to accompanySELL, Second Canadian edition, Ingram/Shannahan3-1Chapter Three—Understanding BuyersLearning Objectives3-1Categorize the primary types of buyers, and discuss the distinguishing characteristics of business markets.3-2List the steps in the business-to-business buying process.3-3Discuss the different types of buyer needs.3-4Describe how buyers evaluate suppliers and alternative sales offerings by using the multiattribute model ofevaluation.3-5Explain the two-factor model that buyers use to evaluate the performance of sales offerings and developsatisfaction.3-6Explain the different types of purchasing decisions.3-7Describe the four communication styles and how salespeople must adapt their own styles to maximizecommunication.3-8Explain the concept of buying teams and specify the different member roles.3-9 Identify current developments in purchasing.Chapter OutlineIntroduction-553-1Types of Buyers-56Distinguishing Characteristics of Business Markets-56Concentrated Demand-56Derived Demand-58Higher Levels of Demand Fluctuation-58Purchasing Professionals-58Multiple Buying Influences-583-2The Buying Process-59Phase One—Recognition of the Problem or Need:The Needs Gap-613-3 Types of Buyer Needs-62PhaseTwo—Determination of Characteristics of the Item and the Quantity Needed-63Phase Three—Description of the Characteristics of the Item and Quantity Needed-64Phase Four—Search for and Qualification of Potential Sources-65PhaseFive—Acquisition and Analysis of Proposals-653-4 Procedures for Evaluating Suppliers and Products-66Assessment of Product or Supplier Performance-66Accounting for Relative Importance of Each Characteristic-67Employing Buyer EvaluationProcedures to Enhance Selling Strategies-67Phase Six—Evaluation of Proposals and Selection of Suppliers-69Phase Seven—Selection of an Order Routine-69Phase Eight—Performance Feedback and Evaluation-69

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Instructor’s Guide to accompanySELL, Second Canadian edition, Ingram/Shannahan3-23-5 Understanding Postpurchase Evaluation and the Formation of Satisfaction-70The Growing Importance of Salespeople in Buyers’ Postpurchase Evaluation-713-6Types of Purchasing Decisions-71Straight Rebuys-72New Tasks-72Modified Rebuys-733-7Understanding Communication Styles-73MasteringCommunication Style Flexing-763-8Buying Teams-773-9Current Developments in Purchasing-79Increasing Use of Information Technology-79Buyers’ Access to and Demand for Relevant Information-79Relationship Emphasis on Cooperation and Collaboration-80Supply Chain Management-80Increased Outsourcing-81Target Pricing-81Increased Importance of Knowledge and Creativity-82Appendix Chapter 3: Recommended FlexingBehaviour for Different Communication Styles-84Selling Task or Objective-84Chapter 3 Case-88Chapter 3 Role Play-90ExercisesDeveloping Professional Selling Knowledge1.How might the following characteristics of business-to-business markets affect the relational sellingactivities of salespeople?2.How do the three different types ofpurchasing decisions (straight rebuy, modified rebuy, new task)influence the time and effort a buyer might allocate to the different steps of the purchase decisionprocess?3.List and compare the probable functional, situational, psychological, social, and knowledge needs of (a) alarge financial investment office and (b) a college student, both of whom are looking to purchase a newcomputer printer.4.How might a salesperson work with and assist a business buyer in each step of the buying process?5.Explain the role of functional attributes and psychological attributes in the post-purchase determinationof customer satisfaction.6.How might salespeople use their knowledge of the multiattribute evaluation model to plan and delivertheir sales presentations to a buyer?7.What are the implications for a salesperson if, when making a sales call, he or she discovers that there isno needs gap present?Illustrate your answer with an example.8.Whyhasknowledge and the capability to creatively apply that knowledge in creating unique solutionsbecome so important for today’s salesperson in the business-to-business marketplace?

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Instructor’s Guide to accompanySELL, Second Canadian edition, Ingram/Shannahan3-39.Explain the concept of communication styles and how a salesperson might flex his or her own style tobetter match the style of the buyer.How would the salesperson’s behaviours and activities differ as he orshe advances through the different stages of the selling process?Illustrate your answer with examples.10.What are the implications of buying teams for a salesperson selling complex production equipment to amanufacturing firm?Develop an example to explain further and illustrate your answer.Group ActivityIn many ways, recruiting is a lot like buying a product. Accordingly, the recruiting process is very similar to thebuying process. The purpose of this section of theGuide is to help students understand the recruiting process fromthe recruiter’sperspective. To complete this section, students need to do two things. First, they need to identify thetype of job they would like to obtain after graduation. Second, they are to describe each of the phases of the buyingprocess (outlined in the chapter)in the context of recruiting for their desired position. For example, in phase one,they would describe how the position became available. In phase two they would describe the qualifications anddesirable characteristics the recruiter will look for in candidates. Students should continue the exercise all the waythrough phase eight, describing the impact of their first year’s performance on the recruiters’ assessment of othergraduates of their institution.The purpose of this exercise is to help students think through the buying decision process in a way that is or will bemeaningful to them.In addition, this exercise should better prepare students for the job search process.Experiential ExercisesKey Questions During the Buying Decision ProcessObjective:Your students will be able to understand the importance of good, effective questioning.Time Required:10 to 15 minutesTeaching Tip:Have students work individually or in small groups to answer the questions. For each question, havestudents explainwhy the question is important.1.Who, besides you, will be making the decision to buy?2.What problems do you foresee in changing suppliers?3.Whatdowe need to do to win the support of others?4.When would you plan to make the purchasedecision?5.What sense of urgency do you feel about this buying decision?6.Other important questions?

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Instructor’s Guide to accompanySELL, Second Canadian edition, Ingram/Shannahan3-4Video ExerciseUnderstanding BuyersScene 1B, Meeting the Seasoned Pro, run time 2:49 minutes.Business-to-business markets are, in many ways, more complex than consumer markets with regard to the salesfunction.Review this segment and comment on the characteristics of this sales situation and where the customer isin the buying process.Ask your students:1.Comment on theassertiveness and responsiveness communication style in this interaction between Jimand Mark.2.Discuss the buying influences that are impacting Mark’s decision making in this sales situation.Chapter 3 CaseRelationshipsFirst Inc.BackgroundRelationshipsFirst, Inc. is a relatively new entrant in the cloud computing business management software industry,having been in existence for a little over four years. It specializes in providing Web-based customizable customerrelationship management software solutions that support an entire company, from accounting to Web capabilities.Its software is constructed around an individual customer record so that accounting, sales, support, shipping, andbilling all access identical information for each interaction. The company currently serves a variety of businessesacross a number of industries. Customer satisfaction is the company’s top priority,and it acts with integrity to fulfillthis mission. Its technology is easy to learn and easy to use, and its information technology staff is extremelyknowledgeable and customer friendly.The company currently employs more than 75 salespeople who call directly on businesses and organizationsthroughoutCanada.Salespeople are trained to be customer-oriented problem solvers who seek to establish long-termrelationships with customers.This approach has allowed RelationshipsFirst to experience steady sales gains since itsbeginning,and it hopes to continue its upward growth trajectory.Current SituationDawn, a recent college graduate who just completed the sales rep training program at RelationshipsFirst, is excitedabout her upcoming meeting withRedMeadows Nursery and Landscape, LLC ofWinnipeg,Manitoba.Privatelyowned,RedMeadows serves the nursery and landscaping needs of its customers through its two large metro retaillocations.Each location has a store manager and several full-and part-time employees to assist with sales andoperations. The company’s owner serves as president and they also employ a director of marketing and sales, whoamong other things oversees a staff of five outside salespeople, a director of operations, a director of informationtechnology (whose primary responsibility is to runthe Web side of their business), and a director of accounting andfinance. The outside sales force solicits both residential and commercial accounts and in large part isresponsible forgrowing the nonretail business forRedMeadows.A good friend of Dawn’s,Kristen Lewis, happens to be neighbours withAdam Kean,RedMeadows director ofmarketing and sales.In a recent conversation withAdam,Kristenmentioned Dawn and how she might be able tohelp him atRedMeadows.Adamsuggested thatKristenhave Dawn give him a call and subsequently Dawn wasable to secure a meeting withAdam Keanthe following Tuesday morning.Dawn was delighted thatKristenprovided her with this prospect and was confident that this would help her get offto a fast start at RelationshipsFirst.Dawn has been friends withKristensince grade school. This is not unusual for

SELL, Canadian Edition Lecture Notes - Page 19 preview image

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Instructor’s Guide to accompanySELL, Second Canadian edition, Ingram/Shannahan3-5Dawn, who has many friends and close relationships, likely because she shows such a sincere interest in others,particularly in their hobbies, interests, family, and mutual friends. She enjoys listening to the opinions of others andseems to get along withmost everyone, generally avoiding conflict rather than submitting to others. Dawn creditsher abilitiesto communicate well orally (she loves to talk and socialize), get along well with others, and build aconsensus, in part, for her landing a position insales at RelationshipsFirst.Prior to her meeting withAdam Kean, Dawn askedKristenif she could meet her for lunch to find out a little moreaboutAdamandRedMeadows. When Dawn finally arrived for lunch, late as usual, she wasn’t able to learn asmuch aboutRedMeadows as she would have liked, but she did learn the following aboutAdam.KristenindicatedthatAdam wasa good neighbour, but he certainly wasn’t a friendly,outgoing relationship builder such as Dawn. Infact, he tended to be rather cool, tough, and competitive when it came to relationships. He liked to be in charge ofpeople and situations and was not willing to let others stand in the way of achieving his goals.Adammanages histime well, is impatient with others, and tends to be very businesslike.He likes extreme sports and appears to have apenchant for taking risks.According toKristen, at annual home owners’association meetings,Adamtends to be themost outspoken individual in attendance.While opinionated,Adamrarely takes advice from others and prefers tomake his own decisions.Although Dawn believed she still had additional work to do before meeting withAdam, she was at least glad toknow a little bit about the person she would be meeting. The more she knew about her buyer, she surmised, thebetter she could tailor her offering to meet his needs.Questions1.Based on your understanding of both Dawn and Adam, how would you characterize thecommunication style of each?2.What, if any, preparations and style flexing should Dawn make to better relate to and communicatewith Adam Strong?3.Who all might be involved in the buying decision forRedMeadows with regard to Dawn’s offering?For each, explain why and how?4.Explain at least two needs that might be met byRedMeadows by purchasing the software offered byRelationshipsFirst.Role PlaySituation:Read the caseCharacters:Dawn,salesrep for RelationshipsFirst Inc.;Adam Kean, director of marketing and sales, Red MeadowsNursery andLandscape, LLC.Scene:Location—Adam Kean’s office at Red Meadows;Action—Dawn meets with Adam to find out more aboutRed Meadows operations and needs to see if she can help them. She is also trying to determine who else might beinvolved in thebuying decision and what influence each might have. She has no plan to make a saleon this call.Chapter 3 Role PlayCape Breton Computer CorporationBackgroundAs a salesperson for Cape Breton Computer Corporation (CBCC), you have just received a call from your regionalmanager regarding a program now underway at one of your key accounts, Farmland Companies. Farmland is anational insurance company with agency offices spread across Canada. The company is in the early stages ofdesigning and specifying a computer system that will place a computer in each agency office. The system will alloweach agency to develop, operate, and maintain its own customer database toprovide better service to customers. In

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Instructor’s Guide to accompanySELL, Second Canadian edition, Ingram/Shannahan3-6addition, by linking through the CBCC mainframe, agencies, regional offices, and CBCC headquarters will benetworked for improved internal communications and access to the corporate database.Current SituationYou have serviced this account for several years, and CBCC equipment accounts for the biggest share of computersnow in place at Farmland—some 35 to 40 percent of all units. As reflected in your share of this account’s business,you and CBCC have a good reputation and strong relationship with Farmland. In talking with Aimee Linn, yourusual contact in the Farmland purchasing office, you have learned that this agency network system is the brainstormand pet project of Mike Hughes, a very “hands-on” CEO. Consequently, the probability of the system becoming areality is high. While faxing a complete set of hardware specs to you, Linn has also let you know that, althoughKerri Nicks, director of the Farmland MIS department, is actually heading up this project; the national agency salesdirector, Ravi Singh, is also very active in its design and requirement specifications. His interest stems not only fromwanting to make sure that the system will do what is needed at the corporate, regional, and agency levels butalsofrom the fact that he brainstormed and spearheaded a similar project two years ago that was never implemented. Theprevious effort did not have the blessing of Nicks in the MIS department, and it became a political football betweenthe two departments. Each department wanted something different, and both sides accused the other of not knowingwhat it was doing. Primarily, because the CEO has commanded that it will be done, both sides seem to be playingball with each other this time.Linn did hint at one concern, however; although corporate is designing and specifying the system, each agency hasto purchase its units out of its own funds. Although the agencies exclusively represent only Farmland Insuranceproducts, each agency is ownedby the general agent, not Farmland. Some of the agents are not convinced that thesystem is worth the projected price tag of $3,500 per system, and Farmland cannot force them to buy the systems.As with other selling opportunities with Farmland, this has all the makings of a decision that will be made as a resultof multiple inputs from an assortment of individuals across the company—a buying team of sorts. As thesalesperson having primary responsibility for this account, how would you go about identifying the variousmembers of the buying centre?Questions1.Identify each member of the buying centre and the role each participant plays, and estimate the amountof influence (low, medium, high, very high) each has on the final decision.2.What are the majorproblems, needs, and expectations that you will need to address for each of thebuying centre members?3.As you complete the assignment, remember that a single individual can perform multiple roles in thecentre. Furthermore, it is common to find more than one individual playing the same buying centre role.

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