SM Unit 2 Part 1

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SALES MANAGEMENT

UNIT 3

Personal selling is a face-to-face contact between the salesman and the prospect; through which
the salesman persuades the prospect, to appreciate the need for the product canvassed by him –
with the expectation of a sales-transaction, being eventually materialized.

(1) “Salesmanship is the art of presenting an offering so that the prospect appreciates the need for
it and a mutually satisfactory sale follows.”

—Philips and Duncan

(2) “It is the part of a salesman’s’ business to create demand by demonstrating that the need does
exist, although before his visit there was no consciousness of that need.”

—W. Major Scott

Features of Personal Selling:

Some important features of personal selling are given below:

(i) Personal Selling is Oral Presentation: Personal selling involves a face-to-face contact between
the salesman and the prospect.

(ii) Personal Selling is the Ability to Persuade It is an art of persuading the prospect, to appreciate
the need for the product canvassed by the salesman, in a democratic, cordial and social manner.
This, then, requires outstanding qualities in a salesman; specially the proficiency in selling skills
and techniques.

(iii) Personal Selling creates and retains Customers In personal selling, the emphasis is on the
development of permanent and lasting relations with prospects If a prospect is won; a sales
transaction might materialize with him subsequently in future. Obtaining an immediate sale may
be the natural ambition of a salesman; it should never be his target.
(iv) A salesman sells product, by first selling his own idea or viewpoint to the prospect. Personal
selling, therefore, is the art of convincing the prospect and influencing his mind, in a favourbale
way.

(v) Personal Selling is a Creative Process Personal selling requires a flexible approach; on the part
of the salesman i.e. the salesman should modify his approach in persuading the prospect, in view
of the psychology, needs and resources of the prospect.

(vi) Personal Selling works for Mutual Gain The ultimate goal of personal selling is mutual
satisfaction of the interests of both – the salesman and the prospect.

(vii) Sales Person is the Ambassador of the Firm: Salesman is rightly called as the ambassador
of his company. Customer though interested in meeting the higher authorities, it is rarely
possible. It is the salesman who meets him on regular basis. It is because he looks after a specific
sales territory and meets the customers on regular basis, say weekly, fortnightly, monthly or
quarterly.

Each customer forms his impression about the firm and about its products broadly based on his
impression about sales person. A customer is sure to conclude that the company and its products
are of high quality in case the salesman is well-groomed,! neatly dressed, upright in behaviour
and speech-neither too loud nor too aggressive, and if his kit is well maintained externally and
well organised within. Hence, salesman projects the imprint or image of the company like an
ambassador does of his country. He is the link between the company and the customers.

Objectives of Salesmanship

1. To create demand for a new product.

2. To maintain and also expand the demand for an existing product.

3. To guide the buyers in the proper selection of goods.

4. To build up goodwill or reputation for the seller.

Besides, the objective of salesmanship could be long-term or short-term objectives.

According to Still and Cundiff, the objectives of salesmanship could be quantitative or


qualitative. The quantitative objective would be emphasizing on the achievement of short-term
company objectives whereas qualitative objectives are based on achieving long-term objectives
of the company.

Qualitative or Long-term Objectives of Salesmanship

1. To undertake to do the entire selling activity.


2. To serve the existing accounts in terms of their orders, stock position, requirement, schedule
of supply, level of performance and collection of payments.

3. To generate new enquiries and new prospects.

4. To convert some of the new prospects into long-term customers.

5. To regularly inform customers about product characteristics, technical upgradation and


company’s commitment to quality consciousness.

6. To coordinate with distribution channel members to improve sales and market-share.

7. To collect information from markets, customers, suppliers, distribution channel members and
consultants for use by company management.

Quantitative or Short-term Objectives of Salesmanship

The quantitative objectives or short-term selling objectives are important for the company’s
current operations. These objectives could be—

1. To obtain orders and execute them to the satisfaction of customers.

2. To meet the sales target.

3. To maintain present accounts and add new customers.

4. To maintain market share and competitive edge.

5. To achieve sales volume and satisfy company’s product mix norms.

6. To submit sales reports regularly as per company’s policies.

The qualitative and quantitative objectives vary from one company to another and would largely
depend upon the company’s standing in the market.
4 Theories of Personal Selling –

There has been a lot of research by behavioural scientists and marketing scholars to examine
whether selling is an art or science and various theories have been developed to explain the
buyer-seller buying process. The process of influencing others to buy may be viewed from four
different angles on the basis of different theories: thus there are four theories of selling viz.

1. AIDAS theory of personal selling

2. “Right Set of Circumstances” theory of selling

3. “Buying Formula” theory of selling

4. “Behavioral Equation” theory

The first two of the four above-mentioned theories, are seller oriented and the third one is
buyer’s oriented. The fourth one emphasizes the buyer’s decision process but also takes the
salesperson’s influence process into account.

AIDAS Theory of Selling:


This theory, popularly known as AIDAS theory (attention, interest, desire, action and
satisfaction), is based on experimental knowledge. This theory is very common.

According to this theory potential buyer’s mind passes through the following stages:

1. Attention Getting:

It is the crucial step in the AIDAS process. The objective is to put the prospect into the right state
of mind to continue the sales talk. The salesperson has to convince the prospect for participating
in the face-to-face interview. A good beginning of conversation may set the stage for a full sales
presentation. The salesperson must apply his social and psychological skills to draw the attention
of the prospect to his sales presentation.

2. Interest Creating:

The second step is to intensify the prospect’s attention so that it involves into strong interest. To
achieve this, the salesperson has to be enthusiastic about the product. Another method is to hand
over the product to the prospect and let him handle it. Brochures and other visual aids serve the
same purpose. Throughout the interest phase, the hope is to search out the selling appeal that is
most likely to be effective.

3. Desire Stimulating:

After the attention getting and creating interest, the prospect must be kindled to develop a strong
desire for the product. This is a ready-to-buy point. Objection from the prospect will have to be
carefully handled at this stage. Time is saved and the chances of making a sale improved if
objections are anticipated and answered before the prospect raises them.

4. Action Inducing:

If the presentation has been perfect, the prospect is ready to act, that is, to buy. Very often there
may be some hesitation on the part of the prospect at this stage. The salesperson should very
carefully handle this stage and try to close the deal effectively. Once the buyer has asked the
seller to pack the product, then it is the responsibility of the seller to reassure the customer that
the decision was correct.

5. Satisfaction:

The customer should be left with the impression that the salesperson merely helped in deciding.
After the sale has been made, the salesperson should ensure that the customer is satisfied with
the product. The salesperson should sense the prospect’s mind and brief his talks.

“Right set of circumstances” Theory of Selling:


It is also called the “situation-response” theory. It has its psychological origin in experiments
with animals. The major emphasis of the theory is that a particular circumstance prevailing in a
given selling situation will cause the prospect to respond in a predictable way. The set of
circumstances can be both internal and external to the prospect. This is essentially a seller-
oriented theory and it stresses that the salesman must control the situation in such a way as to
produce a sale ultimately.

“Buying Formula” Theory of Selling:

The buyer’s needs or problems receive major attention, and the salesperson’s role is to help the
buyer to find solutions. This theory purports to answer the question: What thinking process goes
on in the prospects’s mind that causes the decision to buy or not to buy? The name “buying
formula” was given to this theory by strong.

The theory is based on the fact that there is a need or a problem for which a solution must
be found which would lead to purchase decision, as shown below:

Whenever an individual feels a need, he is said to be conscious of a deficiency of satisfaction.


The solution will always be a product or service or both and they may belong to a producer or
seller. The buyer develops interest in buying a solution.

In purchasing, the “solution” involves two parts:

1. Product or service or both,

2. The brand name, manufacturer or the salesperson of the particular brand name:

The product or service (Brand name) must be considered adequate to satisfy the need and the
buyer must experience a pleasant feeling or anticipated satisfaction. This ensure the purchase.
Behaviour Equation Theory of Selling:

This theory is a sophisticated version of the “right set of circumstances” and this theory was
proposed by Howard, using a stimulus response model and using large number of findings from
behavioural research. This theory explains buying behaviour in terms of purchasing decision
process, viewed as a phase of the learning process, four essential elements of learning processes
included in the stimulus response model are drive, cues, response and reinforcement, which are
given below, in brief:

1. Drive is a strong internal stimuli that impel buyers’ response. Innate drives stem from
psychological needs and learned drives such as striving for status or social approval.

2. Cues are weak stimuli that determine when the buyer will respond. Triggering cues activate
the decision process whereas new triggering cues influence the decision process.

3. Response is what the buyer does.

4. A reinforcement is any event that strengthens the buyers’ tendency to make a particular
response.

Howard believed that selling effort and buying action variables are multiplicative rather than
additive.

Therefore, Howard incorporated these four elements into a behavioural equation that is:

B=P×D×K×V

P = Response or internal response tendency, i.e. the act of purchasing a brand or a particular
supplier.

D = Present drive or motivation level

K = “Incentive potential” that is, the value of product or brand or its perceived potential value to
the buyer.
V = Intensity of all cues: triggering, product or informational.

“Sales Personality” or ‘Personality of Salesman’ includes his appearance, his characters, his
mannerisms, his talk and the general impression which impresses and convinces the prospects.
By using these qualities and abilities skillfully, the salesman is able to impress the customers
favorably. As a result, the customers are attracted towards the product or service and ultimately
purchase it. In other words of H. W. Morten “Personality is that personal distinction or dynamic
force which is felt by everyone who comes within the radius.”

Essential Qualities/Traits of a salesman:

1. Sound health

A salesman should posses a sound and physique in order to become efficient. A salesman who is
not healthy cannot maintain a pleasing appearance. He will also not be able carry on his duties
efficiently.

2. Good posture

Good posture enhances the appearance and personality of the salesman. A salesman should
maintain an alluring posture, i.e. he should stand erect or sit erect while meeting a customer. It
makes a good impression on the customer. Therefore the salesman should try to acquire certain
good posture in order to attract customers.

3. Pleasant voice

Voice is the index of one’s own feelings than the facial expression. The quality and the tone of
the voice also have its influence on the hearer. The salesman should have pleasant, clear and
forceful voice. The voice should not be coarse, high pitched, shrill, commanding or nasal. These
types of voices generally irritate customers.

4. Good appearance

A good physical appearance is a big asset for salesman. The first impression on the customer is
created by the appearance of the salesman. A good appearance generally gives more confidence
to a salesman and he is able to convince the customers more easily. The appearance of the
salesman may be divided into 3 important segments:

1. Cleanliness, 2. Grooming and 3. Clothes.

5. Cheerfulness
Cheerfulness is the greatest virtue of a good salesman. Everyone wants to be with persons, who
are cheerful. If the salesman is cheerful, possesses a good health, vigour and a rich sense of
humor, then he can attract large number of customers.

6. Imagination

It is an important consideration which detects the exact need of the customers. This quality helps
the salesman to understand the problems of customers in his position. But it is depressing to see
in India that many salesmen have absolutely no imagination.

7. Alertness

Alertness refers to active sensitivity to the situation before oneself. It is nothing but presence of
mind as to what to say, how to say and on what occasion. It consists of keen power of
observation and common sense to take correct decisions quickly.

8. Resourcefulness

It is a mental ability to think and find out alternatives. It includes devising new approaches to
make people do what you want them to do. Resourcefulness has great role to play in
salesmanship.

9. Initiative

Initiative is the ability to work on his own without any guidance from anybody. It is very useful
quality for success in dealing with customers. Of course, in early stages a salesman has to work
under the supervision and guidance of senior salesman. But in course of time, he has to depend
upon himself and take independent decisions.

10. Observation

Power of observation is another important quality of a salesman. A good salesman must be a


keen observer. He should observe the changes in style, fashion of people, activities of rivals,
Government policies, general attitude of customers and other things.

11. Self-confidence

Self-confidence is another important quality, which every salesman should possess. The
salesman should keep Self-confidence both on himself and the goods he sells to the customers. A
salesman lacking Self-confidence can not convince his customer properly or overcome his
objections.

12. Memory

Sharp memory is another important attribute of a salesman. Sharp memory refers to capacity to
recognize this customer, recall his past interviews with them, recalling their requirements and
suggestions. As a matter of fact, lack of memory is responsible for committing many errors. For
this purpose, it is better for a salesman to keep a notebook and write important points for future
reference.

13. Sociability

It refers to ability of salesman to meet the public and make friends with them. A true salesman
must be an extrovert, i.e., a man who likes mixing with people in every type of situation.
Moreover, he should not hesitate to meet unknown persons. He must be a friend, philosophers
and guide to customers.

14. Enthusiasm

A salesman should be enthusiastic; otherwise he will fail to create interest in the minds of the
prospects. Enthusiasm creates assurance in the minds of the buyers for a salesman’s products and
services.

15. Tact

A salesman should be a man of tact. Tact means doing the right thing at the right time, in the
right way. It further includes mental awareness of the salesman to tackle all kinds of situations.
However, tact should not mean cheating or cunningness. Tact or diplomacy helps in avoiding
objections, obstacles in sales programme.

16. Court-operation

The modern salesman has to face several challenges in the market for better business. To meet
these challenges a salesman should have a good co-operation with customers, fellow salesmen
and employer. The customers depend upon the salesman to a great extent for selecting products.
He (salesman) should extend full co-operation and help to them (customers) by recommending
the best product to suit their needs.

17. Courtesy

There is a saying that “Courtesy costs nothing but returns high dividend”. This particularly holds
good in the field of salesmanship. Courtesy is a mixture of politeness and consideration. It is an
indication of refinement and culture. The salesman must be polite, modest, and courteous to turn
the hearts of customers.

18. Patience and tolerance

Patience and tolerance take a very important place in the development of a salesman. A salesman
to become successful must be extremely patient in dealing with a buyer. In no case he should
lose his temper, but to show a spirit impatient and angry, but a salesman should remain calm and
cool.
19. Effective speech

A salesman should be a good conversationalist. Ability to speak correctly and clearly impresses
the customers favourably. The sales talk should be clear, pleasant and persuasive, but not like the
situations; each situation may have to be treated in a special manner. The salesman should have a
good command over English and other languages, sweet voice, clear pronunciation, fluent
expressions, etc.

20. Honesty

The salesman should be extremely and thoroughly honest. An honest salesman is liked by every
customer. While dealing with a customer, the salesman must be true and frank about the products
he wants to sell. He should not misrepresent or exaggerate facts. If a salesman cheats a customer,
that customer is lost forever.

21. Integrity

Integrity of a salesman is an important trait in his character. Integrity means uprightness of


character, moral soundness, good behavior, honesty, fulfillment of promises, and strength of
character. A salesman who does not have integrity of character will not be in a position to create
good impression upon his employer, fellow salesman and customers.

22. Loyalty

Loyalty means willingness of obey. Loyalty of a salesman can be classified into four groups :(i)
loyalty to the organization, (ii) loyalty to the customers, (iii) loyalty to the fellow-workers.

23. Reliability

A salesman should be trustworthy and reliable. He should take his work seriously and with
responsibility. He should not give exaggerated promises. He must be truthful in his statements
and honest in his dealings. If a salesman is reliable, customers will have no fear of being cheated
while purchasing goods from him.

24. Industriousness

It refers to the ability to work hard to achieve a goal. Unless a salesman works hard, it is very
difficult for him to acquire the detailed knowledge of the customers and product. Absent a result
he cannot achieve his targeted sales. The salesman, therefore, must remain active both mentally
and physically. Dullness should be avoided.

25. Courage

It refers to moral strength of a person. Sometimes a salesman may commit mistakes and make
false promises, which may lead to an unpleasant atmosphere. But a good salesman must have
enough courage to face such situations boldly. He should be daring enough to take risk and
should be firm in his decisions.

26. Sincerity

Sincerity is another good quality of a successful salesman. A sincere salesman attends his
customers sincerely and explains them all the merits and demerits of the product. He also attends
to the customers promptly. A sincere salesman does not face any difficulty to achieve his target.

27. Maturity

Maturity refers to balance of mind. A salesman should be matured. He should accept gracefully
both criticisms and praises. Equal weight age should be given to both for and against. Maturity
compels a salesman to think before he takes any action.

28. Determination

Determination is nothing but will to succeed and go ahead. Patience and perseverance are the
ingredients of strong determination towards his duties and responsibilities. At times he may face
resistance from the customers but it should not distract him from his original aims. He should
work patiently and calmly to achieve the predetermined target.

Types of Salesmen: Manufacturer’s, Wholesaler’s and Retailer’s Salesman!

(1) Manufacturer’s Salesman:

He is employed to sell goods directly to the consumers, wholesalers or retailers. He deals in


limited number of products and possesses specialised knowledge about the same. A
manufacturer salesman can be of three types.

(a) Pioneer Salesman:

He is primarily concerned with the sale of the new product. He is very competent and creative in
his job.

(b) Dealer Serving Salesman:

He supplies goods of his manufacturer to various dealers. He also imparts training to the
salesmen of the dealers.

(c) Speciality Salesman:

He sells the manufacturer’s products directly to the consumers. He usually undertakes costly
items like washing machines, televisions and calculators etc. He tells the consumers about the
use of the product by giving practical demonstration. He should be expert and well trained in his
job.
(2) Wholesaler’s Salesman:

He is appointed by the wholesaler and deals with the retailers. He informs the retailers about the
availability of various products with the wholesaler and helps them in selecting the articles. A
wholesaler’s salesman is of two type’s viz., indoor and outdoor salesman.

Indoor salesman serves the retailers at the wholesaler’s premises and supplies them goods,
whereas outdoor salesman goes to various retailers in order to collect their orders.

(3) Retailer’s Salesman:

He is appointed by the retailer and deals directly with the consumers. He caters to the needs of
the consumers both at the retailer’s business place and attending the consumers at their place. He
also distributes free samples of the goods to the consumers and also gives them practical
demonstration of the products.

A retailer’s salesman can be either creative or service salesman. A creative salesman is


concerned with introducing a new product in the market whereas the service salesman is
concerned with maintaining the demand of the existing products in the market.

Definition: Selling Process

The selling process is the series of steps followed by a salesperson while selling a product.
Selling Process is a complete cycle which starts from identifying the customers to closing the
deal with them. It is more relevant is B2B business sales where the sales cycle is not short and
might take a longer duration to close. In B2C the selling process may be transient and shorter.

Selling Process Steps

The process of selling a product covers various steps like prospecting, pre-approach, approach,
presentation, handling objections, closing & followup. The 7 steps of selling process ar explained
below in detail:

1. Prospecting: The first step in selling process in which potential customers are identified by
the salesperson is called prospecting.
2. Pre-approach:The stage where the salesperson collects information about the potential
customers and understands them before making the sales call is called pre-approach.
3. Approach: Approach is the step where the salesperson actually meets the customer for the
first time.
4. Presentation: The step wherein the salesperson talks about how the product will satisfy the
customer’s needs and add value to his/her life is called presentation.
5. Handling Objections: In this step, the salesperson clarifies all the doubts and questions that
the customer has and eliminates all his objections to buying the product.
6. Closing:The step in which the customer is asked to place and order for the product is called
closing.
7. Follow-Up: This is the final step in the selling process where the salesperson follows up with
the customers to ensure satisfaction and builds the relationship in order to repeat business with
them.

The above image is the selling process.

Example of Selling Process

Let us assume a newly open gym in a posh locality to understand the selling process steps. The
gym owners will first search for prospects who can afford the gym fees and are in need of
accessing a gym with facilities. The preapproach & approach stages would be when the owners
of the gym would market the brand through leaflets, brochures etc. This would entice the people
to give a call and arrange for a visit to the gym. Here the gym amenities, facilities, instructors etc
would be shown, which would be a part of the presentation and demonstration. The queries
regarding fees, trainers, equipments etc would be handling the objections of the prospect. Once a
person is satisfied, they would be willing to join the gym by paying the fees & hence that would
be closing the deal in the selling process. Followup would ensure that the customer keeps on
attending the gym in the future as well.

SALES DISPLAY

Display is the act of putting things for view or on view. Sales display means "arranging
systematically saleable goods so as to attract the attention of the customer". Advertising helps in
giving awareness, reminding and informing about products and services to the target markets.
Only a picture or an idea about the product is given in the advertisements. The actual product is
not displayed in advertising. Sales display fulfils that need by appealing to the eye of the
prospects.

Introduction

By sales display, the manufacturer shows the goods or services in an attractive manner to catch
the eye of customers. In fact, display is the silent salesman that calls the prospective buyer's
attention to the product and hopefully makes him to purchase. In the past, sales display was the
only media for exhibiting products and including prospects to buy the same. At present, sales
display occupies an important place in marketing. Sales display acts as advertising at the point
of purchase. The objectives of sales display are enlisted as below:

* It presents the product or service to the potential buyers.


* It gives an idea about every detail of the product such as variety, quality, size, colour, design
etc.
* It assists the customer to see and examine the goods before they actually buy them.
* Sales display appeals visually to the prospects and stimulates them to purchase.
* Sales display reminds the buyers about their need and they are attracted to buy.
* It supplements the advertising efforts of the manufacturer.
* Wholesalers and retailers are satisfied by display tactics undertaken by the manufacturers they
buy the goods without hesitation.

Forms of Sales Displays

There are three forms of display:

1. Interior display
2. Exterior display
3. Display at other places

Interior Display

As the name indicates, interior displays or demonstration are arranged inside the shop. It
includes displays on the floor, walls, in the show cases and show boxes. Goods should be neatly
arranged and displayed inside the retail outlet (shop). In this type of display, proper lighting and
colour matching should also be made so that overall effect of interior display becomes pleasing
and attractive. The principles of cleanliness and orderly arrangement of stock in a neat manner
are the basic necessities of interior display. Further, the display should provide the customers
and sales personnel adequate space to allow movement. The stock should be kept in such a way
that it remains free from dust. Protection should be given to the displayed items so that they are
not destroyed. It is also desirable to place related items together. For instance, vests and briefs,
shirts and ties, shoes and socks etc. This creates a favourable impression. In case, the buyer is
expected to handle the article it should be kept within reach. In other words, if there is
possibility of damage and spoilage to the goods by handling, such types of goods should be kept
away from the customers.

Advantages

 Interior display helps the shop owner to hold attention of the buyers once he enters into
the shop.

 Interior display helps to sell related items.

 Interior display makes the selling task bright and attractive with selected and systematic
use of light and colour. It also makes the inside atmosphere of the shop pleasing,
cheerful and congenial.

 With the help of interior display, the buyer is able to find and select the article easily.

 Occasional change of interior display helps to arouse interest of customers visiting such
shops.

 If the customer is satisfied or fascinated with the display, he becomes a regular customer
and there is every possibility of his patronizing that shop.

Exterior Display

Exterior display is the display of product in the show window of the retail outlet. It creates that
long lasting first impression. It also attracts the attention of passers-by as well as prospects and
invites them in this way to enter the establishment. Window dressing, shop front (shop joint) and
shop sign (sign board) are the major examples for exterior display.

Shop front

It is the face of the shop. It should clearly indicate the class and variety of products that the shop
sells. The shop front should be designed in such a way that it will remain readily identified from
among various shops. Therefore it should possess some unique features.

Shop sign

Like shop front, it is also the face of the shop. It should have the name of the shop, the brands it
deals with and the name of the owner. The sign board be hung in such a place where it must be
visible to the passerby. Either it may be kept at a high place or above the shop's entrance as
found suitable for clear vision. The sign board should possess the characteristics of
distinctiveness and attractiveness. Both the sign board as well as the shop front should be
properly lighted.

Shop Window (Window Dressing)


It is an art of dressing windows by attractive display of articles inside the shop window. The
idea behind window dressing is not only to display products to the prospects but also to induce
them into the store by creating adequate interest among them. By creating favourable image or
impression upon the prospects the window display also creates the desire to buy. Thus it creates
and maintains the goodwill of the shop.

Importance points in window dressing

 Selection of proper site and position of the window is important.

 Window position should lead the prospects to the entrance of the store.

 Window which opens on a busy square and leads the prospects into the shop is most
effective.

 Adequate space should be allocated to windows.

 Projections of the shop window at the entrance should be avoided.

 Window should be neat and clean.

 Arrangement of the articles should be artistic and pleasing.

 Window should not be overcrowded.

 Adequate provision of space should be made inside the window.

 No glaring glasses which dazzle the eyes of prospects should be used.

 Proper lighting, attractive decorations, rotating stands, decorative materials etc., should
be placed.

 The lighting should be bright not glaring.

 Shaded lights which do not affect the eyes of the prospects can be used.

 Lighting should focus on goods displayed instead of onlookers.

 Window displays needs to be changed at regular intervals.

 Changing of the arrangement of goods should be done during off hours and holidays not
on business hours.

The following are the two types of window display:

o Sole display: A single article may be displayed in the window, which is called as
sole display.
o Related display: In related display, many articles are displayed.

Advantages of Window display

 Window display attracts the passers by into the shop.

 It presents the product in real life through models.

 Window displays demonstrate the products the shop is selling.

 Importance of particular shop can easily be estimated by the nature and contents of
window display.

4. Display at Other Places - Show rooms, show cases, glass boxes, cupboards, etc. form part of
display. They are used not only to sales display but also act as a publicity device for increasing
sales. The success of show rooms and show cases depends, to a great extent, on the location,
decoration, lighting and such other devices.

Show rooms and show cases

Show rooms and show cases are one of the latest types of advertising. Most durable and
industrial products are introduced in the market with the help of these mediums.

Show rooms are specially designed rooms in which the products are displayed. While people
pass through such show rooms, they get an opportunity to see, touch, handle and examine the
products at close range. Price tags may be attached to the product items. The show room may
be owner or hired. In general, the show rooms are opened by leading companies in important
cities and towns. Here the purpose is to exhibit the product items to the prospects. Sometimes,
the show room attendants also get the role of salesperson by providing information and clearing
the doubts /objections of the prospects.

Advantages

o Publicity device for increasing sales.

o Place where orders are collected.

o Customers are able to examine the things at close range.

o Customers are given freedom to see, touch, handle and examine the products at
close range.

o Given opportunity to the newly recruited salespeople to train themselves.

o Provide after sale services to customer.


Show cases are glass boxes or cupboards displaying a wide range of product items manufactured
by a particular company. Usually transparent glasses are used on all sides and even at the shop.
Show cases form a part of interior display. But they can also be located at public places like bus
stands, railway stations, airports, cinema theatres and so on.

Advantages

o Publicity device for increasing sales.

o Meant to awaken the interests of the prospects.

o Customers are able to examine the things at close range.

o Form a part of interior display

o Useful dealer-aid as prospects get adequate product knowledge before they decide
to purchase.

Exhibitions and Trade Fairs

An ancient and popular method of advertising is the use of exhibitions and trade fairs to display
product items. Exhibitions and trade fairs may be organized by an individual manufacturer or by
a group of manufacturers or association of manufacturers or even by the government. This can be
organized on local level, regional level, national level and international level also. Similarly
exhibitions and trade fairs may be intended for either members of general people or for trade
buyers of for trade members of one type only. In order to organize exhibitions and trade fairs, an
extensive vacant space is hired and sheds are rented out to producers who want to exhibit their
products in such exhibitions and trade fairs.

Exhibitions and trade fairs are meant to display product items before the general public,
demonstrate their uses and merits and create market for them. Exhibitions and trade fairs are also
useful to introduce new products and exhibit their uses. Sales literatures, folders, handbills,
notices are usually distributed to the general public and at times free samples are also given. At
times, government also encourages producers to exhibit their products in international
exhibitions and trade fairs in order to expand the export trade.

Advantages

o Exhibitions and trade fairs provide a scope for the producers to display their
product items to the general public in order to get a market for them.

o Exhibitions and trade fairs are the sources of amusement and recreation for the
general public.
o Exhibitions and trade fairs provide an opportunity for the manufacturers to
advertise their product extensively and thus create brand consciousness.

o Exhibitions and trade fairs help consumers to compare goods of various


companies.

o Exhibitions and trade fairs usually draw huge gatherings which consist of general
public, trade representatives, middlemen etc.

o International (Global) marketing is usually dependent to a great extent on creation


of consumer awareness through trade fairs and exhibitions.

The following are various classes of sales display:

1. Product unit display:

The product unit displays use merchandise that is identical in size, design, colour, shape, use,
etc. This type of display is used for bag, readymade garments, shirts, etc. Efficient
merchandising is of interest to both the dealer and the producer. The following would probably
matter to the dealer:

* Creation of a stocking point for his establishment based on an intelligent assessment of


profitability and turover.
* Careful planning of shop floor layout – placing of shelves, displays, cabinets, etc-and to ensure
maximum speed of the customer traffic during peak period, thus avoiding over crowding and
bottleneck.

2. Assortment display:

In this type of display a retailer puts a large range of products for display. It can be classified
into the following two types:

* Open display(e.g. super bazaar)


* Close display(e.g. shoes ,electronics)

3.Videotape displays:

This is the latest development in the field of displays. These displays make use of technology to
"speak" to and show shoppers the available merchandise. These pre-recorded audio/video
devices include "shelf talkers" and "rear screen projection" thus adding a new dimension to
products which need demonstrations.

4. Life-style displays:

Using the market segmentation approach life style displays are used by retail stores/outlets
focusing on life styles of customers. The purpose here is to make the retail store appear homely
for target customer and give him the feeling that he has come to the right place to shop.(eg;
retail store of Bajaj Two wheelers)

5. Rack displays:

Clothing and household goods retailers for neatly hanging or presenting the products items
mainly use this type of display. A variety of vertical chrome or steel tubing racks in circular and
side-wards shapes as well as mobiles are used for displays.

6. Point of sale display

Marketers design special advertising vehicles, called point-of-sale displays, which are found
near, on or next to a checkout counter. This is meant to entice the customer into buying more
products, or products that are on a special offer. Such displays are colorful, to distract the
customer while waiting in line, and to look at the product. They are meant to stand out from
other items. They can also be related to a special event, either one going on in a shop, or a
holiday-time sale.

Common items that may be there year-round are batteries, video tapes or writable CDs and
DVDs, drinks, tobacco, ice cream, candy, chewing gum and magazines/comics. These displays
are also useful in places with limited floor space, as there tends to be a lot of wasted room around
counters.

The displays are normally covered with branding for the product they are trying to sell, and are
made out of cardboard, and/or covering over a plastic stand. This means they are easily
replaceable and disposable. This also means the designer can make full use of color and printing
to make the box appealing to the eye. Some displays are fixed or non-disposable. These may
contain lighting to make the display more visible. It may also contain a cooler, such as for drinks
or ice cream. Some are like a metal basket, and have no design on the outside, and simply show a
price. These types of displays are easier to refill.

Process of Sales Display Management

In order to get the maximum advantage from sales display it is essential that they are organized
and managed effectively. The process of sales display can be divided in to two parts: Part – I
(Planning of sales displays) and Part – II (Planning of sales displays).

Fig. Process of Sales Display Management


In therefore, it requires the use of experts as well as search for newer materials to attain a distinct
edge in product display. MNC's are well-known to change their displays quite frequently and
for this purpose even employ interior decorators and designers. Some MNC's even have an in-
house merchandising and display department/division.

Role of Retailers in Sales Displays

Retailer acts as a link between the wholesaler and the customer. Since retailers handle the sales
displays, they do require training and motivation. Thus retailers have to manage sales display
task in an effective manner. In order to do this, a retailer requires space in his outlet. Effective
management of sales display has tow major aspects which are given below:

1. Training to Retailers

A retailer can make the sales display a success or a failure. Therefore, if any company wants to
make it successful, it has to impart training to its retailers. The following are some important
areas in which retailers can be offered training in connection with sales display.

 How to put up complicated display fixtures and materials?

 How to replace old and monotonous displays?

 How to set up creative displays?

 How to manage incomplete display kits?

 How to attract consumers by sales displays?


This involvement on the part of the retailer becomes essential in the organization to conduct
sales displays. The training to retailer and his staff for the purpose of making a display a success
is always needed.

2. Motivating the Retailer

The retailers should be adequately motivated by the sponsoring organization, so that they can put
their best efforts into the sales displays. the following are the few directions in this context:

 Conducting display contests among retailers.

 Publicity through newsletters mentioning the name of the retailer.

 Provision of display goods and fixtures at special subsidized prices


(reduced prices).

 Photo-flashing of retailer's display to other retailers.

 Cooperative advertising and sales promotion, i.e., promoting the retail


store as well as the produer's product on cost-sharing basis.

For instance, Bata India Limited in India attaches considerable importance to the retail trade.
The company spends nearly 25-50 percent more money on shelf space than almost any other
company in India.

Conclusion

Sales display plays a vital role in modern retailing. These help in improving the retail store
image as well as attracting customers to the stores. Effective sales displays increase the level of
sales and profitability. The process of sales display can be divided in to two parts: Planning of
sales displays and Part Planning of sales displays. Effective management of sales displays
requires an eye for detail on the part of the sponsors as well as retailers. Dealers and retailers are
playing very important roles in the success of sales displays and hence require careful handling
and proper motivation.

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