From the name we can understand that personal selling is a personal form of communication and a tool of promotion in which the one to one conversation takes place for the transaction. This is done by the sales person who is appointed by the company to persuade the potential consumers and sell the products. Unlike advertisement, this is a dialogue form of promotion wherein both the parties i.e. buyer and seller are involved. The relationship is developed between the two and this helps in making a sale easy.
Merits of personal selling
There are various advantages of this form of promotion and they are:
Personal selling is very flexible because there is direct contact between both the parties and the sales presentation and pitch can be adjusted according to the type of customer and their mood. It is not standardized but can be suited according to the situation.
The feedback can be obtained then and there. Due to face to face communication, the customer can give feedback and the salesman can adjust the presentation accordingly.
The wastage is reduced due to one to one contact. Before making the contact the salesman can judge the potential customers and the efforts and time can be saved to a great extent.
Role of personal selling
Personal selling plays a major role for the customers, the company and also for the society.
Role for the customer
Not everywhere the technology is up to date, sometimes traditional methods of promotion are also required and personal selling is one of them. There are some products which need to be demonstrated in front of consumers so that they understand its usage and the precautions that they need to take and thus personal selling becomes important. It is also necessary for the illiterate people as it is the direct communication and all the doubts and queries of the customers can be solved by the sales person. Other important aspects are:
- Helps in identifying needs: the needs and wants can be identified as there is communication between the two and the seller can take the survey about the needs and wants of potential customers.
- Latest market information: the customers will know about the products, its usage, price changes, any new introduction in the market etc. this helps them in making a wise decision.
- Expert advice: for making an informed decision and a rational purchase, knowing about the product is very important. It becomes important to know about the price, shape, size, features, additional changes, method of use, warnings etc. This information is given by the seller to the consumer at the time of purchase.
- Induces customers: persuasion power of the salesman works very effectively and it induces customers to buy the product and thus satisfies their needs and wants.
Importance to businessman
Personal selling is very useful for the businessman or the seller too.
- Effective promotional tool: personal selling is personal form of promotion and it is very effective in persuading the customers in buying the product. It is a useful tool is helping the people in understanding the elements of product due to one to one conversation.
- Flexible tool: this tool has its own benefits and the most important one is flexibility. Flexibility is very important because of diversity in consumers and thus standardization cannot be maintained throughout. Catering different needs of different people is done through personal selling.
- Minimum wastage: wastage of money, time and efforts is minimised in this tool as the salesman can judge the potential customers and the possibility of sale. Thus, brings the economies of efforts.
- Customer attention: unlike advertisement, this method is forceful and can help in getting more attention of the consumers. Explaining them about the product can be useful in completing the sale.
- Personal rapport and lasting relationship: this method helps in creating a lasting relationship between the seller and the consumer and thus helps in building the better image for the product and the organization.
- Helpful in introducing new products: when the products are at introductory stage then personal form of promotion is useful. At that stage, creating awareness about the product is must and there is no better tool than persuade people directly.
- Link between the consumers and the organization: salesman is not the owner of the product himself. They only play the role of persuading the consumers and provide them information about the product and thus link can be created between the organization and the consumers.
Importance to society
For betterment of the society, personal selling is helpful and the important aspects are as under:
- Addressing he demand: demand of the consumers is addressed by the organization and thus helps the economy in improving the standard of living of the people by creating useful products.
- Employment opportunities: when the potential customers have some unsatisfied need, the producers will work for its satisfaction and create products accordingly. For creating or producing these products, there would be need for people or workers and thus employment opportunities will be created and help in economic growth. Along with that, sales person are also required to generate leads and they are also appointed.
- Product standardization: although the society is diverse but the products that would be products will have standardization and will be common for every potential consumers only the sales presentation will make the difference.