Selling Today Partnering to Create Value, Canadian Edition, 9th edition Gerald Manning
Michael Ahearne Barry L Reece HF Herb MacKenzie Margaret Burnes Strawbridge
Chapters 1-17
CHAPTER 1
RELATIONSHIP SELLING OPPORTUNITIES
IN THE INFORMATION ECONOMY
Chapter 1 introduces students to the evolving role of personal selling in today’s
information-driven economy. It provides a contemporary definition of personal selling and
explains the growing importance of relationship selling as organizations focus on creating
long-term customer value. The chapter also explores career opportunities in professional
selling, the diverse employment settings in which salespeople work, and the skills required
for success in modern selling roles. Attention is given to the role of digital tools, customer
relationship management (CRM) systems, and emotional intelligence in supporting
effective relationship building. Finally, the chapter reviews the major sources of
professional sales training, including academic programs, certification programs,
commercial training providers, and employer-sponsored development programs.
LEARNING OBJECTIVES
1-1 Define personal selling and describe the three prescriptions of a personal selling
philosophy.
1-2 Describe the emergence of relationship selling in the age of information.
1-3 Discuss the rewarding aspects of a career in selling today.
1-4 Discuss the different employment settings in selling today.
1-5 Explain how personal selling skills have become one of the master skills needed for
success in the information age and how personal selling skills contribute to the work
performed by knowledge workers.
1-6 Identify the four major sources of sales training.
KEY TEACHING THEMES IN CHAPTER 1
Relationship selling versus transactional selling
The impact of the information economy on sales roles
Sales careers as knowledge work
Technology as a support tool for relationship building
The growing importance of emotional intelligence in professional selling
OPENING CLASS DISCUSSION STARTER
, Ask students: “What professions require selling skills even if the job title does not
include the word ‘sales’?”
Students often identify careers such as:
entrepreneurs
lawyers
consultants
healthcare professionals
managers
This discussion reinforces the concept that selling is a life skill.
EXTENDED PRESENTATION OUTLINE
Today’s workforce is made up of millions of knowledge workers who succeed only when
they add value to information. Salespeople, and many other knowledge workers, add value
to information when they collect it, organize it, clarify it, and present it in a convincing
manner.
As part of the Reality Selling Video Series, this chapter features Alex Homer from the Tom
James Company, selling luxury clothing.
I. Personal Selling Today—A Definition and a Philosophy (LO 1.1)
A. Definition: Personal selling occurs when a company representative interacts
directly with a customer to present information about a product or service.
1. Personal selling is a process of:
a. Building customer relationships.
b. Discovering customer needs.
c. Matching the appropriate products with these needs.
d. Communicating benefits through informing, reminding, or persuading.
2. A product is broadly defined as information, services, ideas, and issues.
3. Increasingly, personal selling is viewed as a process that adds value.
4. In an ideal situation, the salesperson:
a. Builds a mutually rewarding relationship.
b. Diagnoses the customer’s needs.
c. Custom fits the product to meet those needs.
5. Having knowledge of customer needs will:
a. Lead to higher customer satisfaction.
b. Willingness to purchase a product.
B. Developing a personal selling philosophy includes three prescriptions:
1. Adopt the marketing concept.
2. Value personal selling.
3. Become a problem solver/partner.
,II. Emergence of Relationship Selling in the Information Age (LO 1.2)
A. Shifts from industrial economy to an information economy began approximately
60 years ago (see Fig. 1.2). Instructor Note: Digital Access and Indigenous
Communities: In discussing the information economy, instructors may wish to
highlight that access to information technology is not evenly distributed across all
communities. In Canada, many Indigenous communities, particularly those in
remote or northern regions, continue to face challenges related to reliable Internet
access. This can limit opportunities for participation in digital marketplaces and
online selling environments. The chapter provides an example of how Indigenous
artisans may rely on both traditional selling methods (such as community events
and Powwows) and digital platforms to reach customers. This discussion offers an
opportunity to explore issues of digital equity, cultural entrepreneurship, and
inclusive market participation.
B. Major advances in information technology and electronic commerce.
C. Strategic resource is information.
1. Information is often too plentiful.
2. Salespeople help filter information.
D. Business is defined by customer relationships.
1. The real new economy is the customer economy.
2. Customers have taken more control of their destinies.
3. Relationships build a conduit of trust for information exchange.
E. Sales success depends on adding value.
1. Value-added selling is defined as a series of creative improvements in the
sales process that enhance the customer experience.
2. Salespeople can create value by:
a. Developing a quality relationship.
b. Carefully identifying the customer needs.
c. Configuring and presenting the best possible product solution.
3. The value added by salespeople today is increasingly derived from intangibles,
such as:
a. Quality of advice offered.
b. Level of trust that underlies relationship between salesperson and
customer.
c. Modern relationship selling increasingly relies on digital tools and data.
Salespeople now use Customer Relationship Management (CRM) systems,
analytics platforms, and communication technologies to manage
relationships, track customer interactions, and personalize solutions.
Instructors may wish to discuss how technology enhances the relationship-
building role of professional salespeople.
III. Careers in Personal Selling (LO 1.3)
A. Wide range of employment opportunities.
, I. The 500 largest sales forces in North America employ more
than 24 million salespeople. In Canada, sales and service
occupations represent a significant portion of the
workforce. Millions of Canadians work in sales and service
roles across industries such as retail, business-to-business
sales, financial services, and technology. These positions
often serve as an important entry point into the workforce
and provide opportunities for advancement into
management and leadership roles.
1. There is no single “selling” occupation.
2. Opportunities exist that match your interests, talents, and ambitions.
3. Old stereotypes about sales are gradually going by the wayside.
4. Studying careers of highly successful relationship salespeople discover that
ethical sales practices represent the key to long-term success.
B. Activities performed by salespeople.
1. Outside salespeople spend 26 % of their time in face-to-face sales and 74 % in
sales prep, travel, waiting, and administrative tasks. (See Fig. 1.3).
2. Salespeople have tremendous freedom to manage their time and activities.
3. Outside salespeople spend only a portion of their time in direct customer
interaction, with much of their time devoted to sales preparation, CRM
management, planning, administrative tasks, and collaboration with customers
and internal teams.
4. Growth of hybrid and virtual selling environments: In today’s selling
environment, many sales interactions occur in hybrid or fully virtual formats.
Sales professionals frequently use tools such as video conferencing platforms
(e.g., Zoom or Microsoft Teams), customer relationship management (CRM)
systems, and digital communication tools to connect with customers, present
solutions, and manage relationships. Instructors may wish to discuss how
relationship selling principles still apply in virtual environments and how
technology can support stronger customer connections rather than replace the
salesperson.
C. Titles used in selling today.
1. Just as selling occupations differ, so do the titles by which salespeople are
known.
2. Two factors have contributed to the creation of new titles.
a. Shift from “selling” to “consulting” and “partnering.”
b. New titles reflect a difference in education and skill sets needed for the
position.
c. Regardless of title, salespersons play an important role in sustaining the
growth and profitability of organizations of all sizes.
d. Also support the employment of many nonselling employees.
D. Above-average income.
1. Table 1.1 describes sales compensation for different sales roles in Canada.
a. Research indicates that salespeople involved in transactional sales earned
the lowest compensation.