MKTG220:

Lesson 1 Introduction

In this lesson, we will explore what personal selling is, how it relates to marketing strategy, and what it is like to be a salesperson. You’ll hear about the path to personal selling taken by three different people, and learn what their average day looks like. We will also explore what it takes to be a successful salesperson based upon academic research.

Objectives

After completing this lesson, you should be able to do the following things:

• Describe the role of professional selling in an organization.
• Differentiate how selling is distinct from marketing.
• Explain how salespeople fit in a firm’s overall marketing strategy.
• Identify the attributes, skills, and behaviors of a good salesperson.
• Assess one’s own potential as a salesperson.
• State the benefits of pursuing a career in sales.

Readings

By the end of this lesson, make sure you have completed the readings and activities found in the Lesson 1 Course Schedule.

What Is Personal Selling?

Many people use the terms "selling" and "marketing" interchangeably. But, as indicated in the text, this is an incorrect usage of the word. Personal selling is the process of using interpersonal communication to persuade someone that a product or service will satisfy a need or want. While sales is certainly an important (and often ubiquitous) part of marketing strategy, it is still only a part of the marketing function. Figure 1.1 demonstrates how marketing fits in a firm’s overall marketing strategy. Personal selling primarily lies within the purview of the promotional mix, although there are times that salespeople are used in the distribution area as well (e.g., place). For example, salespeople may be expected to deliver the final product after the completion of a sale.

 

What Does It Take to Be Successful in Personal Selling?

Are salespeople born or made? Early research examines personal characteristics that might indicate one’s potential for selling. In popular culture, this sentiment is certainly expressed when one might describe a person’s great potential because they are "a great talker, charismatic, or attractive." However, in 1985, Churchill et. al. conduct a metanalysis into the actual determinants of salesperson performance. In this analysis, they examine 116 papers and discover that there are 1653 variables that influence salesperson performance. These are placed into six categories as follows:

Aptitude

Although selling is universally accepted as a learned skill, there are those with natural abilities that predict a greater potential for sales performance than others. This would include personal characteristics, such as personality traits, self-esteem, and intelligence.

Skill

This category includes any skills relevant to the sales profession. Verbeke, Dietz, and Verwaal (2011) later categorize them as interpersonal, salesmanship, technical, and knowledge-related skills.

Motivation

Consider your motivation (or lack thereof) to do well in a course you’re taking and how it might affect your grade in that course. Similarly, salespeoples’ performance can be impacted by their motivation by both intrinsic (e.g., a need to succeed) and extrinsic (e.g., a higher paycheck after a sale) factors.

Role

Not all sales jobs are created equal. Are your company’s expectations fair and reasonable? Are you given the proper support and training? Is your role in the organization clear, or is there enough ambiguity to create additional stress? Salespeople in well-defined roles with proper institutional support do better overall.

Personal Factors

These are the attributes of a person that are not covered under aptitude. These typically include things such as height, weight, ethnicity, gender, and attractiveness.

Organizational and Environmental Factors

Just as a salesperson’s role within the organization can impact their performance, so too can the nature of the environment (external) and the organization (internal). For example, an environment that is remarkably competitive, where consumers have many alternatives and closing sales is difficult, would certainly impact even the most skilled salesperson’s performance. Likewise, so too could an organization that impacts a salesperson’s performance due to cultural, ethical, or procedural environments. Good salespeople believe in the product they are selling and the company they represent. If the organization creates a disconnect between a salesperon’s values, for example, success can become more difficult to achieve.

What is remarkable about these findings is that it indicates that many of the factors influencing salesperson performance are dynamic. This means that not every situation is the same, and that there are factors beyond just "natural talent" when it comes to predicting a salesperson’s performance. It’s pretty clear at this point that while some people possess the aptitude and personal factors that indicate a higher potential, this is by no means a guarantee of solid performance. Personal selling is learned, and that requires a variety of knowledge, interpersonal communication, and technical-related skills. Personality alone is not enough in most contemporary, dynamic industries.

 

What’s It Like to Sell?

Why not hear from some people already in sales? Please watch the following videos where three diverse people discuss their sales story and talk about their journey so far!

What’s in It For Me?

Like many professions, your experience depends largely on the industry and organization you’re in. Many professional salespeople enjoy the constant interactions with people. Others enjoy the relative freedom and flexibility that a sales career offers. Many salespeople are out and about, meeting clients, pitching potential customers, or finding new prospects. This would appeal to people disinterested in a "normal" office job where they sit at a desk all day (again, some sales jobs involve that, too). For many, they are drawn to the sales profession for the income potential. Though wildly variable depending on the profession, there are sales jobs where your income is not officially capped. Therefore, you aren’t limited by your negotiated salary every year, but only by what you are capable of earning. Of course, that might also mean that you cannot predict your earnings in any given year, a difficult proposition if you have a family or are trying to qualify for a home loan. However, every year, millions of people throughout the world earn their living in personal selling. According to the Bureau of Labor Statistics, in 2020 (the last report available at the time of writing), the median annual salary was $31,500. However, this includes all entry-level positions, such as a retail cashier. Sales positions that are more technical and require a license or college degree tend to pay much better. For example, the median salary for insurance agents and realtors were both over $50,000 annually. Engineering-based salespeople were into the six figures. Review the BLS report for more information on sales occupations.

Lesson 1 Conclusion

In conclusion, we identified what personal selling is, what it takes to be successful, and what draws people to this fascinating and challenging profession.

References

Bureau of Labor Statistics, U.S. Department of Labor, Occupational Outlook Handbook, Sales Occupations, on the Internet at https://www.bls.gov/ooh/sales/home.html (visited Dec. 13, 2021).

Churchill, G., Ford, N., Hartley, S., & Walker, O. (1985). The determinants of salesperson performance: A meta-analysis. Journal of Marketing Research, 22(2), 103–118. doi:10.2307/3151357

Futrell, C., & Valvasori, M. (2020). Abc's of relationship selling through service. McGraw-Hill Ryerson.

Verbeke, W., Dietz, B., & Verwaal, E. (2011). Drivers of sales performance: A contemporary meta-analysis. Have salespeople become knowledge brokers? J. of the Acad. Mark. Sci. 39, 407–428. https://doi.org/10.1007/s11747-010-0211-8