Sales Management Aspects Essay

Ethical issues facing salespersons.

Salespersons face a myriad of ethical issues in the course of executing their duties as illustrated herein.

Information sharing

Salespersons are charged with the responsibility of maintaining business secrets in a bid to protect their firm’s competitive edge. Customers from competing firms may enquire about the operations of a certain business. In order to make sales, a customer may require a salesperson to enter into a non-disclosure agreement. Such an agreement may be necessary as the salesperson may gain access to the customer’s personal information. A customer can sue the salesperson in the event that s/he fails to protect the customers’ personal information. Therefore, sales managers have an obligation to ensure that the sales force respects the customers’ agreements. 1

Customer requests

In the course of undertaking their sales activities, “customers may request the salespersons for something special, which might be contrary to the company’s policies” 2 . The request may either be reasonable, but against the company’s policies or illegal according to the stipulated company policies. For example, a customer may request a price discount, which s/he might be entitled to according to the set-price discrimination laws. One the other hand, the salesperson might be compelled to offer an illegal request to customers. In the event that other clients discover this trend, they might be angered, and thus develop a perception that the salesperson is untrustworthy. This aspect might have adverse effects on the reputation of the salesperson, and hence the performance of the organisation with regard to generating sales. 3

Anticompetitive practices

Sales managers experience intense competition and pressure to enhance optimal organisational performance. Subsequently, they engage in price discriminatory practices, which is unethical and illegal. For example, the sales manager might propose a particular product to be sold at a high price to a particular customer and a lower price to another customer. Such a practice may affect the reputation of an organisation adversely amongst various customer groups. Subsequently, sales managers have an obligation to ensure that their business operations adhere to acceptable competitive practices. 4 .

Use of puffery

Salespersons has an obligation to ensure that organisations maximise their sales revenue. Therefore, they are required to drive the revenue by making as high sales as possible. In some instances, the salesperson might use puffery or misrepresentation in order to make sales. Puffery entails “making positive statements about a product or service being offered, which might not be necessarily true” 5 . Despite its acceptance in marketing, salespersons may be forced to exaggerate the product information, which constitutes misrepresentation. Therefore, offering misleading statements is one of the unethical practices faced by salespersons. 6 Despite this aspect, sales managers are required to ensure that their organisations attain the set sales target.

Personal selling

Personal selling is concerned with building relationships with customers in order to make sales. Subsequently, one can assert that personal selling aims at developing and sustaining mutually satisfying results between customers and sellers. The past few decades have been characterised by an increment in the rate of innovation with regard to new technology. Consequently, marketers are increasingly adopting emerging technologies such as e-commerce in an effort to increase sales. Despite this aspect, the benefits of personal selling cannot be overlooked.

First, personal selling is very effective in transforming an organisation into a customer-oriented entity. Salespersons focus on understanding the customers’ interests by creating a strong contact with customers through effective communication. Most customers do not have sufficient information on what they want. It is the responsibility of salespersons to assist such customers in understanding how the product they are selling will solve the consumers’ problems. Therefore, a salesperson should not push a particular product to a customer, which s/he might not need. On the contrary, technology ignores the customers’ individual needs. 7 Personal selling provides salespersons with an opportunity to respond to unexpected and intuitive issues raised by customers. Therefore, salespersons display high command of the products being marketed. They are using technological approaches in marketing limits an organisation’s ability to respond to such intuitive issues 8

Personal selling is more dependable as compared to technology. Some customers prefer dealing with individuals in order to understand and judge their actions rather than dealing with technology. This trend arises from the view that it is possible to determine the extent to which the salesperson is dependable. This goal can be achieved by evaluating their professional images such as honesty and the degree to which they can be trusted 9 Moreover, customers can judge the extent of a salesperson’s dependability from subsequent events. On the other hand, most customers still perceive technology as vague, and thus, the trust factor is greatly diminished when it comes to technology. Such a perception might translate into adverse effects on an organisation’s sales revenue.

The probability of making sales through personal selling mechanisms is higher as compared to technological approaches. One of the reasons for this observation is the high degree of likeability that is associated with personal selling. Therefore, personal selling provides an opportunity for the development of a high emotional factor between the seller and the customer, which is limited with regard to technology.

In summary, personal selling is still relevant, despite the high prevalence of technology in making sales due to the level of personalisation associated with personal selling. Salespersons are in a position to nurture a strong relationship with potential customers by enquiring more on the customers’ wants. Despite this aspect, technology has influenced the personal selling process significantly. For example, salespersons use the Internet and computer-based technologies in undertaking some of their activities, such as online ordering and gaining instant access to their business data.

Advantages and disadvantages of using the internet to build customer relationship

The internet has provided businesses with an opportunity to develop a strong customer relationship by its ability to provide customers and vendors with a virtual meeting place. 10 Businesses can achieve a number of benefits by building customer relationship using the Internet. First, the Internet provides businesses with an opportunity to access and interact with a large number of potential customers. Previous studies show that more than a billion individuals around the globe use the Internet. The Internet also provides businesses with an opportunity to respond to customer issues on a real-time basis. Moreover, organisations are in a position to get instant market feedback. Subsequently, an organisation can undertake the necessary improvements in order to enhance customer relationship. 11

A substantial amount of cost, time, and effort are involved in the process of building customer relationship using conventional methods. For example, using the Internet eliminates the need to employ additional customer service representatives in order to address the issues raised by customers. The Internet provides an alternative of posting all the information regarding a product or service on the Internet where customers can easily access. One of the ways through which the Internet makes this scenario possible is by designing the ‘frequently asked questions’ section on a company website. The Internet also provides businesses with an opportunity to build customer relationship on a 24 /7 basis. Therefore, the likelihood of developing and sustaining effective customer relationship is high. 12

Despite the aforementioned benefits, building customer relationships solely based on the Internet can lead to loss of customers. A substantial proportion of customers are not well informed on how to use the Internet. The greatest threat associated with using the Internet in developing customer relationship relates to cybercrime. Subsequently, the Internet exposes customers to fraudulent activities. For example, customers can lose their confidential information through spamming. Therefore, the success with which an organisation develops customer relationship using online platforms is dependent on the effectiveness with which the necessary Internet technologies have been configured and implemented. Implementing Internet network security products is a challenge to businesses that do not have the necessary expertise on such issues. 13

The extent to which an organisation develops a strong customer relationship through the Internet is limited by a lack of personal connection. Customer relationships through the Internet are mostly developed through impersonal methods; for example, the email. Therefore, if an organisation deals with products that require extensive personal selling in order to persuade and explain the product benefits, marketing such a product using the Internet might not result in the desired outcome. Subsequently, one can assert that Internet marketing makes it difficult for organisations to express the necessary personal touch. 14

Recruitment and selection

Most sales managers carry the responsibility of recruiting and selecting the necessary sales force in addition to their supervisory role. However, the sales managers must have the support of the top managers. The exercise of employee recruitment and selection is an important element in organisations’ efforts to attain competitive advantage. Effective recruitment and selection of the workforce increase the rate of employee retention. The selected employees tend to develop a strong organisational identification. Subsequently, the organisation gains sufficient rewards from its initial and future investment aimed at improving employee performance.

Human capital is one of the most important organisational assets. Therefore, lack of such capital limits an organisation’s ability to take advantage of other factors of production 15 . Furthermore, effective recruitment and selection of salespeople minimise the cost of operation. This scenario arises from the view that an organisation will not be required to undertake occasional recruitment and selection.

Recruiting and selecting the right salespeople enable organisations to avoid possible financial losses arising from ineffective performance and penalties from third parties. For example, the selected people understand the intricacies associated with sales. Therefore, they are capable of adhering to the set rules and regulations in undertaking their duties.

Failure to undertake effective recruitment and selection of the salespeople might cause an organisation to encounter a number of problems. First, the organisation might experience inadequate sales coverage. A salesforce that does not have the necessary sales knowledge might not be effective in ensuring that the organisation’s products or services gain a high market penetration rate. The effectiveness with which an organisation develops a strong customer relationship is adversely affected. Subsequently, the overall organisational productivity and profitability are greatly reduced.

Selecting the wrong sales personnel may result in increased cost of operation. The organisation may be forced to undertake comprehensive training in order to overcome the deficiencies. In a bid to ensure that the salespersons are trained adequately, the organisation may be required to outsource the services of human resource consultants.

Another major challenge that an organisation might encounter relates to high turnover rates. The turnover may be either intentional or unintentional. For example, the selected personnel might consider quitting if they fail to undertake their tasks successfully. Alternatively, the organisation might decide to terminate the services of such employees. A high rate of turnover amongst an organisation’s workforce might adversely affect its ability to attain the set target.

In addition to the above challenges, sales managers might experience problems in the course of undertaking their supervisory roles. For example, the sales manager’s ability to undertake other sales management functions may be hindered by the ‘bad hires’. In summary, one can assert that effective recruitment and selection of salespeople is critical in an organisation’s effort to attain the set sales target. Subsequently, sales managers should develop a comprehensive salespersons’ recruitment program.

Bibliography

Bidgoli, Hossein. The handbook of technology management . Hoboken: John Wiley, 2010.

Dopson, Lea. Food and beverage cost control. Hoboken: John Wiley and Sons, 2011.

Doyle, Stephen. Information and communication technology: vocational A level. Cheltenham: Stanley Thornes, 2001.

Fjermestad, Jerry, and Nicholas Romano. Electronic customer relationship management. Armonk: M.E Sharpe, 2006.

Gupta, John. Business studies . New York: Tata McGraw-Hill, 2007.

Heinemann, Gerrit, and Christoph Schwarzi. New online retailing; innovation and transformation . Wiesbaden: Gabler, 2010.

Hisrich, Robert, and Ralph Jackson. Selling and sales management . Hauppauge: Barrons, 2004.

Ingram, Thomas. Professional selling: a trust-based approach . Mason: South-Western, 2008.

Ingram, Thomas. Sales management; analysis and decision making. Armonk: Sharpe, 2012.

Jain, Atul. Cyber crime: issues threats and management. New Delhi: Isha Books, 2005.

Johnston, Mark, and Greg Marshall. Contemporary selling; building relationships, creating value . New York: Routledge, 2013.

Koekemoer, Ludi. Marketing communications . Lansdowne: Juta Academics, 2004.

Zikmund, William, and Barry Babin. Exploring marketing research . New York: Cengage Learning, 2006.

  • Hossein Bidgoli, The handbook of technology management (Hoboken, N.J: John Wiley, 2010), 34.
  • Robert Hisrich and Ralph Jackson, Selling and sales management (Hauppauge: Barrons, 2004), 77.
  • Thomas Ingram, Sales management: analysis and decision making (Armonk, NY: Sharpe, 2012), 123.
  • Hisrich and Jackson, 166.
  • Dopson Lea, Food and beverage cost control (Hoboken, John Wiley and Sons, 2011), 98.
  • Mark Johnston and Greg Marshall, Contemporary selling; building relationships, creating value . (New York: Routledge, 2013), 272.
  • Thomas Ingram, Professional selling: a trust-based approach (Mason: South-Western, 2008), 165.
  • John Gupta, Business studies (New York: Tata McGraw-Hill, 2007), 234.
  • Gerrit Heinemann and Christoph Schwarz, New online retailing; innovation and transformation . (Wiesbaden: Gabler, 2010), 127.
  • William Zikmund and Barry Babin, Exploring marketing research (New York: Cengage Learning, 2006), 183.
  • Ludi Koekemoer, Marketing communications (Lansdowne: Juta Academics, 2004), 56.
  • Atul Jain, Cybercrime: issues threats and management (New Delhi: Isha Books, 2005), 135.
  • Stephen Doyle, Information and communication technology: vocational A level (Cheltenham: Stanley Thornes, 2001), 234.
  • Jerry Fjermestad and Nicholas Romano, Electronic customer relationship management (Armonk, NY: M.E Sharpe, 2006), 47.
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Sales Management Essays

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Sales Management Essay

The folllowing sample essay on Sales Management Essay discusses it in detail, offering basic facts and pros and cons associated with it. To read the essay’s introduction, body and conclusion, scroll down.

Select one company in your country or region that has a sales force. The company and/or the sales force can be real or a composite of several situations that you have heard or read about, or experienced. Apply principles that you have learnt In this subject to that company’s sales function to Judge Its effectiveness about: – How well It fits into marketing and other parts of an organization; Intelligence gathering Is Included within this function.

How well It knows how consumers and organizations behave when buying goods and services. – How well it knows and develops skills for two sales techniques such personal lulling, key account management, relationship selling, direct marketing and Internet and IT applications in selling and sales management; negotiation could be one of those techniques.

The purpose of this paper Is to outline the selling and sales management that occurs at Rendition Trinidad.

The paper first explains the difference between selling and sales management.

essay on sales management

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It then looks at how the sales department fits Into the organization by Integrating with other departments such as the marketing department. It further Identifies how well the salespeople can establish consumer and organizational eying behaviors and the strategies the sales manager in collaboration with other use when attempting to make a sale.

The paper will also go on by explaining how the firm manages its consumer and organizations buying behaviors and also strategies ND techniques the firm uses when engaging in selling and sales management. Who is Rendition? Rendition Pest Control is part of Rendition Initial ? one of the world’s largest providers of business services. Formed over 80 years ago in the I-J and more than 43 years ago here in Trinidad, the company has grown to become Trinidad longest-established, best known and most trusted pest control service provider (about Rendition). . 2 Company Background The company caters for residential and commercial customers by providing optimum pest protection nationwide. The orientation of the firm is an outside-in process, which is the emphasis on what the customer needs. Therefore the firm is considered being marketing oriented. Marketing orientation holds that achieving organization depends on identifying the needs and wants of customers and providing products and services to satisfy them (BIB, Topic 1: Foundations of selling and sales management 2014).

Selling And Sales Management

Rendition sales department fits well integrated with the organizations other departments such as marketing, finance and human resource department as seen in Appendix 1 . The sales manager communicate well with other managers for example, he its sales manager works with the company’s head accountant when dealing with sales forecasting and budging; the marketing manager to ensure that sales and marketing activities are integrated and also the human resource manager so that he or she would be aware of modern development for his or her sales force personnel.

They also keep a close relationship with the firm’s technicians who deliver, install and Rendition sales force contributes to the market intelligence gathering. By collecting and analyzing data about the markets in which they are situated, companies gain liable insight into how to grow their business (Palermo 2013). The company’s sales people are out daily meeting and building relationships with customers, therefore, the company sees its sales people as being a primary source of competitive information.

Therefore a written report with suggestions is mandatory to be handed in to the sales manager who then forwards it to the respective managers of other departments. The sales people for example can find out what new products are introduced by competitors and what promotions and discount they currently have or may have. This information when forwarded to the marketing department, in accordance to an email sent by the lecturer, can assist the company in implementing the right strategy that will compete with its competitors in a timely manner.

At Rendition Trinidad, because there are a number of important differences in emphasis between consumer and organization buying that has important implications for the marketing of goods and services, the sales department at the company is broken into two sections, residential and commercial as seen in Appendix 1 . These sub-divisions of the sales department comprise of specialized sales people who targets and study these buyers’ behaviors.

When studying the company’s BBC (business to consumer) buyers, the salespeople focuses on firstly who makes the buying decision. The company trains it salesperson to indemnify the decider, the individual with the power and/or financial authority to make the ultimate choice regarding which product to buy Cobber & Lancaster 2012). They believe that the decider is the only person that is importance of closing the sale. They also know how important it is to explain to the consumer the need of the product.

As for pest control and other services by the firm such as fly control and bird intro, the salesperson make clear the dangers associated with the problem and also give samples and a free trial period. In terms of information gathering, this is when both managers of the sales and marketing department come together. Rendition made the information of its products so pronounced that the company is the most recognized when dealing with pest control in the country. The information of the products can be found in magazines, newspaper and the internet.

This helps the company when it comes to consumers evaluating alternatives that Rendition can be a first choice. 3. The Organization Buyer Organization buying is the decision-making process by which formal organizations establish the need for purchased products and services and identify, evaluate, and choose among alternative brands and suppliers (Webster & Wind n. D). Firstly the firm knows how these organizational buyers behave by training its salesperson. This is a type of collaboration between the sales and human resource department.

The salespeople at Rendition focuses on the decision making unit (DAM) because they are aware that in organizations the purchasing officer alone may not be the only person hat influences or actually have the finally say or authority in the ultimate decision. Therefore the task of the salespeople at the firm is to identify the key members in the decision making in order to convince them the worth of the product. The BIB has fewer buyers but these buyers are of great worth therefore the salespeople at the company make it compulsory to generate a close long-term relationship with these buyers.

Also because the BIB buyer can be more complex and risky the salespeople are more advance in the commercial section of the department and it is considered a promotion from the residential section. To be effective, sales activities need to take place within the context of an overall strategic marketing plan. Only then can we ensure that our sales efforts complement, rather than compete with, other marketing activities Cobber & Lancaster 2012). At Rendition the firm uses a STOW Analysis to develop its sales and marketing strategies. The company’s STOW analysis is illustrated in Appendix 2.

In order to determine the STOW Analysis for Rendition, the sales and marketing managers work with other departmental managers and brainstorm what are the strengths, weaknesses, opportunities and threats of the organization. The information provided assists the sales managers in determining the most effective sales and marketing strategies in conjunction with the marketing manager. Some of the strategies that the company is currently working on are – Enhancing promotions on strong, well established products, as well as new products. Developing infrastructures to market to Tobago and opening an emergency hotlist. The sales manager also works along with the finance manager or head accountant to help in budgeting these strategies. One of the most recent projects of the company ad to enhance marketing and sales was its Pasturage. The Pasturage which was titled “Biting back at bugs to raise pest awareness” is to offer consumers a unique dining experience of sweet and savory edible insects.

The company’s website stated that, “The aim of Rendition’s Pasturage is to raise your awareness of common pest problems and demonstrate our commitment to professional pest control and innovation, helping us to stay one step ahead of the natural evolution of pests. A team of experts will be available to offer valuable advice and top tips on how to avoid pest infestation in your home or at work and answer any of your pest related concerns. ” This was a well thought out strategy that all managers came together to execute. Rendition salespeople undergo intense training to execute sales techniques. They learn how and who to target.

This targeting strategy is done by using techniques direct marketing and the use of the internet. 5. 1 Direct Marketing Direct marketing the distribution of products, information and promotional benefits to target customers through interactive communication in a way which allows response to be measured Cobber & Lancaster 2012). The company’s sales department does this by direct mail; inserts, which are leaflets in magazines and newspapers and door to door leafleting. The firm knows how to manage its direct marking by launching a direct marketing campaign. There are five steps in a direct marketing guide.

Firstly by indemnifying and understanding the target audience. Rendition sales manager and team do this by segmenting geographically areas that are most likely prone to pest infestation and the number of people being affected. Secondly, the team sets campaign objectives. One objective they recently used was immunization by creating awareness such as it Pasturage as mention before. The third step is creative decisions. Rendition produces a creative brief which is submitted to the Agency that will design their leaflets for guidance on the company’s objectives in terms of capturing the right audience.

It will entail what are the benefits of their products and messages need to be communicated in order to capture the prospective customers’ attention. The forth step is the media decision such as direct mail method the company uses and the final step is campaign execution of the action plan and evaluating the objectives. 5. 2 The Internet and I. T. Applications The second technique used by the sales department is the use of the internet. Online marketing is the fastest-growing part of direct marketing and direct marketing is the fastest growing form of marketing (Armstrong & Kettle 2011).

The salespeople develop skills for this type of method by outsourced special trainers in this type of field. This has a large impact on the sales force because it frees up salespeople from their desk which allows them to be on the road more meeting customers because of smart phones that are given to them by the company. The many website also allows potential and existing residential and commercial customers to produce their own quotations and visit the weapon “Contact us” seen in Appendix 3, to initiate a contact by Rendition’s personnel.

This was developed for the customers’ convenience as well as ensuring of feedback on a timely basis. Salespeople at Rendition use social networks also to interact with customer and seek new ones. The company has its own faceable page www. faceable. Com/ reinterpretations where salespeople interact with potential and existing customers who they can try to close a sale with for example explaining to them about new and existing products. The page is also used as a tool to provide pertinent guidance to the public on “Pest Hot Topics”.

This research paper concludes that Rendition Trinidad sales department is well integrated with the other departments of the company and all managers work together in efforts to meet objectives. It also shows that the company has a well trained sales force that understands consumers and organizations behavior when buying and the strategies the firm sales manager uses and techniques are well executed by its salespeople when meeting new, existing and potential customers. Although the company is seemed to be doing very well in Trinidad, it should take a few recommendations into consideration.

Firstly, when the salespeople go out into the field meeting customers and obtaining market intelligence, this information can also be forwarded to the Research and Development (R&D) department. When communicating with customers, salespeople can also find out what products or doing well and which should be discontinued. This department however is not situated in Trinidad but in the company’s home country which is in England therefore the sales manager should report in information gathered to the general manager who should then forward it overseas to the home branch and into the respectful department.

Secondly the company can use a next type of media as a sales technique, for instance telemarketing. Telemarketing is one of the best and the most efficient marketing tools for any business organization. If you are not using this, you are leaving a lot of money on the table Monsoons 2013). Therefore the company can obtain a toll free number which allow everyone to contact them without being charged which makes it easier and more convenient to keep in touch with new and existing clients.

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Sales Management Essay

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Sales and Promotion Management

When customers go to the market to purchase commodities, they make a choice of what to buy and what to do without. The choice they make depends on satisfaction derived from utilizing the commodities and it varies from one customer to another at different times. Sales promotion is used to encourage customers make huge purchases where the price of certain commodities is reduced by various sellers in order to attract more customers and make huge sales. Customers may decide to buy one brand and not the other depending on the price of the commodity because; when the price is low they can purchase the product and save the rest of money for future use. Sales promotion can achieve goals in the short run by making huge sales but create problems in the longer-term because; once the price is increased after the promotion is over, the sales made decreases.

Introduction

In the UK, customers shop in supermarkets where they make decision on the categories of goods to buy which assist them in knowing the brand to use and quantity to be bought. There are personal characteristics that influence decisions to be made such as; availability of income, status of the buyer, education and age. When the price is reduced to promote sale, customers will purchase commodity depending on the number of household members who will utilize the commodity. Therefore, response of customers to sales promotion is different depending on shoppers’ characteristics and various means of promotion that are used. (Smagalla, 2004 pp59-60)

Evaluating the evidences that sales promotions impact on brand choice behavior

According to (Priya, 2004 pp48-50) Consumers make choice on brand to use depending on the satisfaction derived from that particular brand. Once the brand is chosen, it is important to determine whether the consumer is able to purchase it at a given price. Different techniques are used to promote sales of a given commodity so that buyers can be persuaded to purchase the commodity available in the market. Promotional state of products is important because, it help manufacturers achieve their aim of making decision on which brand to produce. When price of product is reduced, it influences the choice made about the brand to be purchased because, the choice of brand depends on the willingness and ability of consumers to purchase that particular product. (Shuba, 2004 pp14-17)

When the price of products is reduced in order to promote brand, there are long term impacts because, if the price increase later, sales tend to reduce. For example, Coca Cola Company reduced price for its produce every now and then but when it increased the price later, sales reduced. Branding acts as a marketing promotion where media is used to reach many potential customers of the products. Value is gained by the brand after the customers are able to have total experience after using the brand for a long period of time. (Gilbert, 2002 pp23-26)

(Low, 2000 pp14-18) found that, coupon promotion is a form of marketing promotion used for consumer products and acts as major tool for promoting sales. For example, goods that are packaged spend more than 24% of promotion money on creating awareness to consumers. In UK, marketing of coupon is common and was used in 1999 when 4.7billion worth of coupon were distributed resulting to an increase of 44% from 1997. 76000 grocery stores introduced coupon in their marketing mix where 43% of total coupon were distributed using print media. Coupon is preferred by marketers because; it leads to increased brand sale without having to incur the cost of giving consumers price discount because middlemen are eliminated. Misconception by consumers when brand changes its value is avoided and traders are able to compete and deliver messages about availability of the brand using logo of the company, picture of the product and price of the product. Use of coupon make retail outlet attract consumers making them purchase more of the products. Utilitarian value is offered by coupon by offering monetary saving and reduction in search for information about a particular product. (Priya, 2004 pp67-69)

In UK, consumers who are loyal to the brand have high perceptions about the quality of product that is being promoted. They also believe that the product is attractive and of very high quality making it fit for consumption. When it comes to actual purchasing, potential buyers value promotion so much and purchase large quantities of products which are being promoted. Sale promotion encourages repeated usage of the product by consumers who are loyal to the brand. Consumers who are loyal are more realistic in their future expectations of the product than consumers who are seeing the product for the first time and have no experience about the quality of the product in question. When customers are satisfied by the product after using it for the first time, they become loyal and less investment is required to make them maintain their loyalty to the brand. (Done, 2004 pp24-26)

Study shows that, managers of the brand concentrate on consumers with high degree of loyalty because; they make their purchases in large volumes than their counterparts who are less loyal. Results of sales promotion are seen by the way consumers respond to a given product once they become aware of it. Sales promotion is made effective when it is repeated many times until that awareness sticks into the mind of customers making them have experience with availability and use of the product hence, purchasing it all the time. (Gerard, 2005 pp12-15)

Assessing the Contention That Sales Promotion May Achieve Short-Term Goals but Can Create Longer-Term Problems for the Brand

Sales promotion helps to obtain desired results from sales. UK supermarkets use promotional techniques in order to increase value of products to the potential customers. The tools used for short-term promotion have the objective of obtaining customers response for the benefit of the sellers. Promotion in the supermarket shift from advertisement to sales promotion but research proved that, there is repeated purchase due to sales promotion. When price promotion is carried out, sales increase in the short run and customers who make use of sales promotion go back to the brands which are their favorite once the promotion is over. (Taylor, 2006 pp24-29)

Retailers in UK who engage in coupon promotions retain original product price and holders of coupon enjoy the discount. Buyers do not get reduced price and see no need of adjusting reference price to become lower. Consumers are offered product to try it for the first time so that they know the quality and purchase it. This sample is either posted to the consumer or taken to their door-step. Other packs show that, when consumer purchases one product, he gets one free of charge. This creates brand awareness and recognition of the brand. The variables which are independent depend on sales promotion which includes brand switching, acceleration of purchase and trials of the product. Price discount as a way of promoting sales have benefits because, consumers buy products which they do not normally buy, they buy brand even if other brands offer discounts, buy products earlier than planned because of the savings they would make when they buy product at a reduced price, they purchase more quantities of the product and buy product they had not tried before. (Burton, 2003 pp69-74)

According to (Dominic, 2002 pp48-51) Sales promotion has been misused because; manager use it in situations that need longer term solutions. The reality is that, the quick and positive results produced by sales promotion in the short run becomes problem in the long-run. Management can introduce promotions quickly in short term and expand sales but when one sale promotion is introduced after another, the serious problems that might arise are not noticed by management immediately. Those who use coupon for sales promotion in UK do not recognize price competition which erodes the loyalty customers had already developed in the specific brand. The customers will always want to bargain so that they buy from sellers who offer the cheapest price making them shift from one seller to another so that they can buy from the one who offers the lowest price. (Eric, 1995 pp13-18)

Sales promotion is supposed to apply when it is needed instead of using it continuously. This is because, if it is used all the times, there will be reduced profits generated from sales in the longer terms due to charging low price for the products making revenue generated from finished products insufficient to cover cost of production and generate profit. Sales promotion is very important because; it induces choice in short term but it has the problem of undermining preference of some brands if they are no longer promoted. Even if sales promotion has been used in marketing, it has negative impact on preference of consumers depending on characteristics of product being promoted which can increase or reduce in demand. (Mullins, 2008 pp34-36)

Sales promotion has longer term problems for the brand because; it is very expensive to maintain sales promotion due to the cost the owner of business is supposed to incur in order to continue promotion of the product. The promotion will attract many buyers who want to benefit from reduced price so that they can have reduction in their spending but the trader can not make huge profits in the long run. It is risky to use sales promotion for a long period of time because, the business can not achieve economic growth due to small amount of net profit generated from the investment. (Pina, 2008 pp56-58)

United Kingdom needs to assess the efficiency of its budget when allocating promotional activities so that the objective of boosting sales can be achieved. Investigation into the response of consumers is necessary so that promotional deals used in the supermarkets such as price discounts, free samples and coupons can be profitable. According to the statistics, price discounts have been significant on the buying behavior of customers because it influence the demand for a given brand once the price is reduced to promote sale. Acceleration of purchase and trial of the products are the influential variables that are related to discount but buying one in order to get one free is less significant. (Leonard, 2007 pp415-418)

Burton s. and Judith A. (2003): Highly coupon and sales prone consumers; benefits beyond price savings: Journal of advertising researchpp69-74

Dominic M. and Siddarth S. (2002): The long term effects of price promotions on brand choice and purchase quantity: Journal of purchasing research pp48-51

Done E. (2004): A clean Brand slate: Marketing management pp24-26

Eric A. (1995): the impact of reference price effects on the profitability of price promotions: Marketing science pp13-18

Gerard S. (2005): Behavioral response to sales promotion tools: International journal of advertising pp12-15

Gilbert D (2002): The efficacy of sales promotions in UK supermarkets: a consumer view: International Journal of Retail & Distribution Management pp23-26

Leonard M. (2007): brands are build over years, why are they managed over quarters: Harvard business review pp415-418

Low G. (2000): Advertising vs. sales promotion: a brand management perspective: Journal of Product and Brand Management pp14-18

Mullins R. (2008): Sales promotion; how to create and implement campaigns that really work, UK: Korgan page pp34-36

Pina J. (2008): The effect of promotion type and congruency on brands image: Journal of applied business research pp56-58

Priya R. (2004): coupon in context; discounting prices or decreasing profits: Journal of retailing pp48-50

Priya R. (2004): free gift with purchase; promoting and discounting the brand: Journal of consumer psychology pp67-69

Shuba et al (2004): Do promotions benefit manufacturers, retailers or both: Management science pp14-17

Smagalla D. (2004): Does promotional pricing grow future business? Sloan management review pp59-60

Taylor J. and Smith R. (2006): Marketing communication; integrated approach; UK: Korgan page pp24-29

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Essay On Advertising, Sales, And Sales Management

Type of paper: Essay

Topic: Marketing , Appeal , Advertising , Services papers , Products , Supreme Court , Customers , Business

Published: 02/17/2020

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For every business to be successful there must be mechanism to ensure that its services are well known to the potential customers. This mechanism involves advertisement through use of several medium that are available to pass the intended message and target the expected audience. In this case, advertisement plays a crucial role in ensuring that the clients are able to get services of high standards and at affordable cost (Peterson, 2003). In the essay, detailed information will be discussed to determine the most appropriate method to use in-order to decide the mechanism to be used in advertisement of the available services in Robbinsdale Hospital. The main aim of this paper is to investigate the features of rational appeals, emotional appeals, and advertising copy and after that to draw a clear line of distinction. Rational appeals involve use of tactical skills to make the consumer to purchase the product without any doubt in his mind. This involves use of listing the benefit of the product to the consumer rather than the features of the product. By this, the consumer is able to gauge the benefits in relation to the price (Jefkins, 1998). Emotion appeals this technique tends to capture the consumer in terms of colours are used and symbols. The use of media such as T, V and radio are used in these appeals for it tends to capture the emotions of the consumer (Jefkins, 1998). Use of advertisement copy is also possible it is another way of advertising and it includes use of simple illustration to pass the intended information through media of different levels. The main factors in order to determine which method to be used is the target group but in this content the message should be put in a way that is appealing to all the society. The other factor is the cost of putting up the advertisement (Peterson, 2003). The issue of cost effective is to be put in place to facilitate easy working. After a critical analysis the management will be in a good position to determine the best way of advertising.

Jefkins , F. W. (1998). Copy writing and its presentation; a guide to advertisement and sales letter writing. London: Lockwood. Peterson (2003). Index To Advertisers. American Heart Journal, 9(2).

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