Marketing Plan for Treats

This assignment requires students to analyze a marketing plan for the Treats brand, part of Kellogg's. The analysis should focus on identifying the target audience, understanding the competitive landscape within the treats market, and evaluating the effectiveness of the promotional strategies employed. The goal is to demonstrate a comprehensive understanding of marketing principles applied to a specific product and industry.

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Sales Development & Merchandising
[Type text] Page 1

Contents
Introduction......................................................................................................................................3
1.1 A discussion about the key components of the product.......................................................3
1.2 How the product mix contributes to sales and profit............................................................4
1.3 An assessment on how market segmentation contributes to maximize sales............................6
2.1 Discussion about the factors affecting buyer behavior..............................................................7
2.2 An assessment of the advertising media that could be used for sales development situations..8
2.3 An evaluation of the use of external merchandising to maximize customer volumes..............9
3.1 An assessment of the influence of design and layout on customer spending..........................10
3.2 A review and evaluation of the effectiveness of internal merchandising materials................11
3.3 An evaluation of different promotional activities according to different scenarios................12
4.1 An evaluation of personal selling techniques..........................................................................14
4.2 A discussion about the influence of operational design on sales revenue...............................15
4.3 Key principles that should be included in a sales training program me..................................16
Conclusion.....................................................................................................................................17
References......................................................................................................................................18
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Introduction
Sales development and merchandising is the activity through which a company builds up
strategies for effective selling. A company’s first and foremost duty is to sell their product to the
ultimate customers. And for this effective selling process and merchandising knowledge is very
important (Bradley, 2014).
The current report has been done on sales and merchandising activities of Kellogg Company
which is an American multinational firm that is headquarter in United States. The company
produces cereal and convenience foods, snacks, cereal bars, flakes as well as vegetarian foods
(Our Brands, 2016). The company has made its purpose as providing nourishment to families so
that they can flourish and thrive.
From this report different aspects of selling techniques and merchandising activities are shown.
First of all key ideas of product and product mix components are highlighted. Then external sales
development techniques are shown through buying behavior and related issues. In the later part
the internal process of sales promotion and development is highlighted which is an important
task of selling. Finally the role of employees in maximizing sales is shown with different aspects.
From the overall analysis a clear understanding of sales development can be archived.
1.1 A discussion about the key components of the product
Product is the marketing offering whether it is tangible or intangible that consumer wants to
purchase for their consumption. For this one might believe that product decisions are basically
made up exclusively on designing and building the consumable elements of goods, services and
ideas (Brennan, 2012). For example when one thinks about a floor cleaner product he might
think that it is all about how effectively it cleanses the floor. But it reality product elements are
more than just one feature rather t is the combination of total products which is more what is
consumed. This total product can be classified into three categories. They are-
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Figure- product key elements
Source- Brennan, (2013)
Core product- when it comes about the benefit of a product sometimes it is not only about
consumption. There are some other benefits that are also related with this product. For instance
customers may need to be perceived highly by other members of their group or need a product
that is easy to use or have risk free (Burk, 2013). In terms of product elements not only the actual
outcome matters but other subsidiary benefits also related to it. Core benefit of a product is the
benefit that will actually satisfy the need of the customers. In terms of Kellogg’s cereal brand the
core benefit is having a healthy meal at breakfast. Consumers buy this product to satisfy their
breakfast need (Bruhn, 2011). Consequently, at the very heart of all decisions about a product is
based on this core benefit of a product.
Actual product- actual product means the components that make up the actual product the
customer purchase. For example, when a customer purchase something from the grocery shop
and return home by purchasing an item out of her shopping bag the actual item is the item she
holds in her hand (Cravens, 2012). Actual product benefit is the benefit a consumer perceives
rather than just consuming the product. In terms of Kellogg’s cereal brand the actual benefit
could its health issue, easy to make, ready mix etc. So it is ultimately saves time of the
consumers (Cravens, 2013).
Augmented product- marketers often surround their actual product that provides additional
value to the customer’s purchase. It is not the key reason consumers buy product but it is
additional benefits that customers enjoy after purchasing the product (Burnaz, 2014). For
example after purchasing Kellogg’s cereal people enjoy the different flavor of cereal, its
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complementary products, customer service issue etc. These are all related with the benefit of
augmented product.
1.2 How the product mix contributes to sales and profit
Product mix refers to the total number of product lines that is offered by a company to its target
customers (Clow, 2011). For example a company may sell different types of product under one
brand name. The Unilever Company has thousands of product line with different brand name.
The total offering offered by this company is called product mix. Sometimes product lines are
similar like dish washing and liquid bar soap which is used for cleaning and for similar purpose.
Other times, product line can be vastly different from one another. For example a company
offers chocolate as well as ketchup. There are basically four dimension of product mix. They are-
 Width
 Depth
 Length and
 Consistency (Cohen, William, 2013)
Product mix of Kellogg’s
 Cereals – the cereals offered by Kellogg’s are inclusive of special K, rice krispies, fruit
loops, corn flakes as well as apple jacks.
 Bars - these include Chewy Nuts, Chewy Snack, Protein Granola, Protein Meal as well as
cereal bars. These further include different variants.
 Beverages – this includes Kellogg’s to go and special K. other than that the company
further offers breakfast and protein shakes.
 Treats – Kellogg’s has further offered varied treat items that include brownies, Popped
Delights, snacks, Pastry Crisps among others (Treats, 2016)
Contributions to sales and profit of elements in the product mix
The provided product mix leads to increased sales and profit of the company. For example, other
than just cereals, Kellogg Company has 22 different product lines. The more the product line the
more customers know about the company’s product offerings. It ultimately increases the sales of
a brand or company. In term of Kellogg they have cornflakes, crunchy nut, corn pops, rice food,
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wheat food, chips etc. through this way a company gains importance of the customers and can
get more recall and recognition. It maximizes profit. In terms of Kellogg’s cereal brand, there are
several flavors under one product line (Jensen, 2011). So it can be said that this flavor will be
helpful for achieving market share and profit maximization. More flavors add more customer
attention.
1.3 An assessment on how market segmentation contributes to maximize sales
Benefits of segmentation
Market segmentation is one of the most important activities done by an organization for
developing its strategic marketing plan. In terms of market segmentation a company must
develop research for understanding the marketing environment (Keegan, 2012). Market
segmentation is the activity of dividing a large market into some small portions so that a
company can understand which segment it can serve in the beginning. Market segmentation
divides large market into some small parts according to the consumers demand and company’s
resource allocation.
To lessen the risk of choosing and deciding where, how and when brand will be marketed. Then
it should be developed how the product will be targeted. If company does not know whom they
should sell their product then no successful outcome can be brought. So understanding
segmentation means understanding market demand and customer selection that will increase
sells (Gilligan, 2010).
Segmentation will also increase the efficiency by directing effort towards the designed segment
in a manner consistent with those segments characteristics. Effective segmentation brings
effective target audience. And it helps to develop positioning strategy very quickly. As it is the
base of all strategic marketing efforts a wrong decision in the segmentation can make it a failure.
Right decision about segmentation brings up right audience and right communication strategy
(Lawer, 2012). As a result it will increase sales and market share (Kleinbeck, 2012).
Market segmentation used by Kellogg
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In terms of Kellogg’s different product line it has spate market segmentation plan. The
importance of market segmentation in Kellogg Company is intense as it is the base of all
marketing effort (Gilmore, 2013). Most market segmentation is done for attracting the right
customers. In essence the marketing segmentation is given below-
Kellogg has made use of psychographic segmentation that is based on behavior exhibited by
consumers. For example, people who are breakfast particular have been kept into Tasty start
segment. While the next segment that has focused on health of consumers have been placed in
shape management. There is another segment known as simply wholesome which includes
consumers that are delighted by goodness of Kellogg’s brand. In order to aid the masses that face
health issues have been kept in Inner health segment.
Contribution of market segmentation to sales maximization
It happens as it is only on account of market segmentation that the company is able to understand
the varied needs and wants of consumers. It can thus match the product offering with segment.
For example, in case of children segment, he company may start offering sugary snacks that are
tasty. In the same manner, by taking care of older masses it may provide easily chewable and
digestive items. While youth can be provided with protein rich snack items. These are likely to
increase the overall satisfaction of consumers and thus generate repeated sales for company. The
overall advantage will be increased sales and profitability.
2.1 Discussion about the factors affecting buyer behavior
There are several factors that affect the buyer behavior of a company. Buyer behavior actually
the perception and movement through which company understands how and what should they do
for marketing their company’s product (Lamb, 2011). Buyer behavior can be influenced by its
cultural, social, geographic and reference group. Here Kellogg Company’s influencing factors in
terms of buyer behavior is given below-
Cultural factors:
Cultural factors coming from different factors related to its culture and cultural environment
from which the customer belongs (Clow, 2012).
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Culture is important when it comes about understanding the customer behavior of a particular
region. It illustrates how consumer values a particular environmental situation and their own
rituals (Kotler, 2014). On the other hand, for a brand it is important to understand different facts
about a culture so that it can understand what cultural patterns affect consumer’s daily life and
how the company should develop its marketing strategy. In Western country inviting a friend or
colleague at home is normal but in Japan inviting someone to home is not normal. So in this
case, when a product is launched to international arena, people cultural patterns and behavior are
important factors to be considered.
Social status
Social status is another important factor to be considered in terms of buyer behavior towards a
particular product. People status changes their consumption pattern (Lewis, 2013). On the basis
of this, companies make decision about which market segment should be taken for marketing
their product. In terms of social status people income pattern may vary and it will have impact on
the buyer behavior. Lower income people may not have a good breakfast meal. So Kellogg’s
cereal brand may not target lower income people. Characters like extrovert or introverts etc. have
influence over social status. In terms of social factor, reference group like family and friends
buying pattern influence a lot (Lewis, 2013) .
Personal factors
Demographic arena is covered under this segment. People age and lifestyle are important factors
for considering the personal buying influence factors (McClell, 2013). In terms of personal factor
another important feature is purchasing power and revenue. Income level determines which
product a consumer will buy. It also denotes their social class. Some consumers may also look
for social value in terms of buying a product. Lifestyle and self concept are also important
factors for considering buying pattern.
Psychological factors
It is an important issue for changing buyer’s mind towards a particular product. For buying
motivation is an important factor. Motivation is the key that will drive customers to develop a
purchasing behavior (Kotler, 2015). On the other hand, perception determines the way
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consumers interpreting a particular product. For buying behavior this factor is also important.
Learning and beliefs are other important factors. These two interprets what actually consumers
have learned from their environment and what they belief. It will helpful to influence them
through understanding consumer’s learning behavior (Lamb, 2015).
2.2 An assessment of the advertising media that could be used for sales development
situations
Advertising media is the medium through which a company delivers its messages to the outside
world. It broadcast the message and people know about it. There are several types of media now
exist for promotional activity (McDonald, 2014).
List main advertising Media Choices and provide advantages and disadvantages
of few.
main advertising Media
Choices
advantages disadvantages
Television
 Kellogg Company has
separate budget for its
television advertisement
because they consider
advertisement as the most
influential factors. But
here company must
develop a particular
budget for the message
and advertisements
(Russell, 2014).
helpful for seeking attention of
consumers within a short
period of time.
enormously expensive
doesn't offer much audience
selectivity
Radio
 a company targets radio
advertisements especially
Radio advertisement helps to
improve sales because it is the
way of developing awareness
Radio advertisements
normally last only 15 or 30
seconds
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for food and beverage
items.
among consumers.
It is not expansive like TV
advertisements.
So within a minimum budget
company can reach a vast
target market. Thus it
increases profit (Robbins,
2012).
too much information is put in
one ad
Print
newspaper and magazines are
good way of publishing
advertisements. Fashion
brands can be published on
magazines.
When a company wants to
increase their recall and
recognition then print
publications will be a better
way.
It helps to maximize profit
within a short time
(McDonald, 2016).
Standing out from the crowd
is difficult
Direct mail
it is the way of sending mail to
target audiences without their
permission. It is also
considered as spam. Mainly
this advertisement is good for
initially reminding customers
about a company’s offerings.
It helps to increase awareness
in the beginning.
 good for initially
reminding customers about
a company’s offerings.
 It helps to increase
awareness in the
beginning.
High design cost
May Offend Potential
Customers
Low consumer response
Billboard
attractive billboard can help to
increase public awareness and
make them purchase the
product.
 It is cheaper than TV
advertisements and helpful
for attention seeking.
Creativity inhibited by space
limitations.
Ad may become weathered &
vandalized.
·
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Internet
in this era of internet, online
advertisement is the way of
developing recall and
recognition.
 Social networking
websites, online blogging
etc.
 These are the cheapest
ways of developing
internet advertisement and
reaching a wide range of
consumers (Kleinbeck,
2014).
Require higher skills by
marketers who are involved in
internet advertising,
Explain how to select the Right Advertising Media.
Advertising media selection basically depends on
 Audience to be targeted by company
 Budget present with firm
 the communication channels best for specific audience
 how long the communication intervention will continue
Recommend appropriate advertising media for sales development situations
Seeing the present scenario as well as advertising requirements of company the need on part of
Kellogg’s is it involve itself more in TV advertisements so as to reach mass audiences, this is as
Kellogg’s has been depending more on word of mouth publicity. The need of present time is to
make a mark in the minds of consumers once again.
2.3 An evaluation of the use of external merchandising to maximize customer volumes
Various aspects of External Merchandising
Merchandising is the arrangement of products in a physical or online store to maximize
sales. The main objective of merchandising is to close the sale after advertising campaigns brings
customers into the store. Good merchandising frees up time, makes the selling process simpler
and increases the buying experience of the customers (Sanchez, 2013). There are various
activities which of merchandising such as display technique as well as free samples, special
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offers, pricing etc. Company should plan its various activities as per their set objectives. With the
help of this this, they can close the sale after advertising campaign bring customers into store.
The role of external merchandising in maximizing customer volumes
It plays a most important role in enhancing customer value as it is the best way which
makes the whole selling process more simple and appropriate. It is the best and most effective
way to enhance the buying experience of customers and drives their sales growth as well. It
covers several aspects related to the store layout as well as changing theme etc. With the help of
having best type of layout shoppers can find out their products and accompanying toddlers
around when they are trying to do their shopping (Wood, 2015). It is important to have a well
decorated shop and atmosphere that will change the mind of the consumers. A good store layout
may help to bring back customers repeatedly. This factor clearly represents its role and
importance in enhancing their customer value.
Another most common role which is played by external merchandising is related to
development of first and last impression. With the help of this technique they are able to go
through the appropriate window displays in brick-and-mortar stores (Shamma, 2013). They grab
attention of more number of customers and enhance their satisfaction level. In this regards, it can
be clearly stated that external merchandising helps in enhancing maximizing customer values.
Recommendations for external merchandising improvement
Some of the best recommended areas for Kellogg’s is that they can go through the online
external merchandising as it helps them in delivering easy buying of daily necessities of
customers. Here, they can easily enhance their customer base by the way of keeping in touch
with them. Moreover, for external merchandising changing theme is also important. Sometime it
works as a rebranding of a product or brand. Through changing theme a company can develop
several things like creating a new image, developing changing mode etc. It helps them in
increasing their sales and maintaining the growth of company as well.
3.1 An assessment of the influence of design and layout on customer spending
Design and layout of a store is very important for developing a brand image. The positive
environment and layout of a store make customers visit the store repeatedly. Design and layout
of a store means decoration and arrangement of a store for customer convenience. Another
objective of design and layout is seeking out customer attention. As competition increases,
business people are trying to expand their positioning strategy through developing unique design
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and layout strategy. There are various factors which influence the consumer spending towards
any organization. Under these factors store design and layout is regarded as a most important
way through which Kellogg’s can easily attract more number of customers.
Customer ergonomics (Internal and external layout lighting, colors, flooring, Wall textures,
Store cleanliness,
Under this internal and external both design and layout attracts them most. For the same,
the external arrangement should be bold and eye catchy so that consumer may pay attention to
the exteriors design (Wood, 2015). On the other hand shop windows should be clutter and
present the consumer with a well-lit display so that everyone can see what the company is
actually offering to its customers.
At the time of shopping they must feel ease of access to products. For the same, internal
layout should be designed accordingly where consumers can find any product very quickly as per
their desires and needs. Once customers step inside the store they should find easy routes and
arrangements. On the other hand products should be arranged in a way so that consumers may
find out easily everything. For the same, there must be an attractive lighting in both inside as
well as outside the organization with having eye catchy colors and wall textures. In today’s
globalized environment hygiene is regarded as most important factors for any customer. For the
same, store should be properly clean (Shamma, 2013). In addition to this, the last factor which is
highly essential is regarded as appropriate communication between staff members and
customers. All these factors are related to their internal as well as external designing of their
store. It highly develops a positive impression about the brand as well as the company which also
affects the overall customer buying.
3.1 An assessment of the influence of design and layout on customer spending
Design and layout of a store is very important for developing a brand image. The positive
environment and layout of a store make customers visit the store repeatedly. Design and layout
of a store means decoration and arrangement of a store for customer convenience. Another
objective of design and layout is seeking out customer attention. As competition increases,
business people are trying to expand their positioning strategy through developing unique design
and layout strategy. Some unique influential factors of design and layout on customer spending
are given below-
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Exterior design influence- the most effective way of influencing consumers is through exterior
design and layout. The arrangement should be bold and eye catchy so that consumer may pay
attention to the exteriors design. On the other hand shop windows should be clutter and present
the consumer with a well lit display so that everyone can see what the company is actually
offering to its customers. On the other hand, avoiding this little attempt may cause failure to grab
attention of the consumers in the first phase.
Interior design influence- once customers step inside the store it is important to give them a
good feeling. It is the second attempt of influencing purchase behavior a store owner can give to
its customers. As mentioning above it also plays a vital role in terms of first impression gaining.
So it is important to have easy routes and arrangement so that consumers can move easily. On
the other hand products should be arranged in a way so that consumers may find out easily
everything.
In-store communication- it is necessary and also challenging to develop in store
communication. In terms of consumer purchasing decision customer care and communication are
very important factors. Effective communication with the customers through expert sales staffs
can bring success immediately. Effective in-store communication develops positive impression
about the brand as well as the company.
Environmental ambiance
For Example, in the hospitality organization like Marriott International the design or
layout mainly influence the spending of customers. The layout or environment of hospitality
organization mainly include heating, lighting, ambiance, color, flouring texture etc. that keep
attract the customers towards their services. The effective ambiance of the hospitality
organization the key component that attract the customers and results in revisiting the place in
the future. Furthermore, the lighting and comfortable seating in the Marriott International also
results in influencing the customer spending to use the services of hospitality organization.
Therefore, the interior and exterior decoration of the hotel premises mostly draw in the
customers and visitant towards their services. Furthermore, the effectual décor and atmosphere of
the accommodation as well as front office region also force the customers in providing comfy
surroundings to guests that results in visiting the hotel in future.
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3.2 A review and evaluation of the effectiveness of internal merchandising materials
Effective internal merchandising is important for creating awareness and repeat purchase
behavior. There are many types of effective internal materials that help to build up positive brand
image (Wood, 2014). Effectiveness of internal merchandising materials depends on several
factors. They are given below-
The store- internal merchandising is all about the image and atmosphere of the store. The design
of the store, theme, color, textures, props, store layout and floor plants etc. are very important.
Customer perception and ambience derives from the outlook of exteriors and interior design of
the store. Consumer judges a store or a product by their outlook. So it is very important factor
(Wood, 2014).
Display- secondly after entering the store, consumers searches their necessary products on the
shelf. Here the main challenge is to build up an effective display system that will provide a good
impression. On the other hand, creative display will create a distinctive perception about the
store (Robbins, 2013).
Lights- internal lights are very important factor to be considered. It depends on the business unit.
If it is a coffee shop then lights could be in various colors. On the other hand, a super shop
should have enough lights so that everyone can find out their necessary products (McDonald,
2015)
Decoration- decoration of a store can be on color based or theme based. Color could be related
with the product or logo. This type of decoration alternatively signifies the branding and
promotion of the product. On the other hand, theme based decoration can be eye catchy and
attractive for customers. A good feeling after entering the store can be given by the decoration
and creative arrangement (Snead, 2013).
Merchandising material internal signage, electronic sales aid
For instance; Internal merchandising within Marriott International will benefit the
organization in enhancing their performance as well as productivity. With the help of internal
signage they can easily help the customers to reach their place. With the help of internal signage
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in the hotel it may also support the customers to ensure proper path in the hotel. internal lights
are very important factor to be considered. It depends on the business unit. Furthermore, with the
help of using different electronic aid in the hotel it support the customers to have pleasant
experience. For example, with the usage of electronic equipment customers can easily make
payment with the help of ATM card by swiping it.
3.3 An evaluation of different promotional activities according to different scenarios
Promotional activities are the part of marketing mix of an organization. Through promotional
activity a company makes awareness about their product to the target audience. Basically
promotional activity is the way through which a company promotes its product or services to
target audiences for awareness building (Bradley, 2014). There are many forms of promotional
activities. The combination of different promotional activity is known as promotional mix.
Different organizations need different promotional activities as per their product or services.
Some of the common promotional activities of an organization are given below-
Figure- promotion mix
Source- Bradley, (2013)
 Advertising- advertising is the non personal activity through which an organization
builds awareness about its products through a medium. There are many types of
advertisements. Print, television, radio, online advertisements etc. Television
advertisement is generally costly and time consuming. For Kellogg Company where their
main target market is children, advertisement is a good way to capture their mind. On the
other hand, firms that wants to build awareness within short period of time they can go
for online advertisements. Print advertisement is also effective for building awareness
within a medium level budget (Kotler, 2015).
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 Publicity- Public relation is very important for different company but it is overlooked by
some company because many associate public relation with negative situations that may
affect the organization. Public relation must be deal with different effective ways so that
it can positively influence customers (Clow, 2013). Public relation is informing people
about a company’s product carried by a third party in an indirect way. Press releases,
sponsorship, corporate anniversary parties etc. Publicity will be effective in situation
where people want to build awareness through third party.
 Sales promotion- sales promotion is media and non media communication used for a pre
determined limited time to increase consumer demand. It stimulates demand for
improved product availability. Sales promotion includes coupons, sweepstakes, contest,
product sample, rebates etc. (Wood, 2015). It is important at the initial stage of a product
but also important to make customer connected with the brand in the later part. Kellogg’s
offers different types of sales promotional activity in super shop to contain connection
with its customers.
 Personal selling- personal selling is the activity through which a company persuades
customers to buy their products through sales agents. It is basically important for
corporate relationship building process. It can be sales meeting, sales training, sales
representations of a particular product etc. (Bruhn, 2015)
 Direct marketing- it is a direct awareness building activity performed by an
organization. Through direct marketing a company does not have any sales agents but
they pursue online display ads, promotional activities, catalog distribution directly to its
target audiences (Bruhn, 2015).
Different Scenario
The different scenario include seasonal opportunities as well as matching market activities to
business that requires different promotional strategies. Under seasonal opportunities Marriott
Hotel will focus on organizing the seasonal event that would attract the customers towards
purchasing their hotel services.
Evaluation of promotional strategies
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The effective promotional strategy is advertising that is being used to advertise the
seasonal dinner or lunch within the hotel. It is the non personal activity through which an
organization builds awareness about its products through a medium. There are many types of
advertisements. Print, television, radio, online advertisements etc. Furthermore the company
must also focuses on sales promotion is media and non media communication used for a pre
determined limited time to increase consumer demand. It stimulates demand for improved
product availability. Sales promotion includes coupons, sweepstakes, contest, product sample,
rebates etc.
Recommendation
It has been recommended that in future hotel Marriott International must focuses on using the
social media tools and strategies for marketing and promoting the events and seasonal activities
that are organized by the hotel premises.
4.1 An evaluation of personal selling techniques
Personal selling is a part of promotional activity and plays important role in developing
awareness. Personal selling is the activity through which a company persuades customers to buy
their products through sales agents. It is basically important for corporate relationship building
process. It can be sales meeting, sales training, sales representations of a particular product etc.
(Cohen, 2012)
Customer-oriented approach and Sales oriented approach to personal selling. - Customers
oriented approach are based on need and demand of customers and for this company
standardized their products and services (Luther, 2011). Organization first take a feedback from
their customers and according to their review produce their new products. Moreover, in sales
oriented approach organization put their focus on company polices and firm do not change their
standard format as per customers need and desires in sales oriented company always try their
best to attract the customers by providing them discount vouchers and coupons.
Evaluate personal selling techniques- There are some techniques which are explained as
follows;
Follow-up- In this technique Kelloggs Company launch their new product as per
customers reviews and feedback. So by this firm create a positive relationship with their
customers. In this technique organization also provides an after sale services to their permanent
customers. So by this , they feel that they all are important part of firm.
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Up selling- In this technique Kelloggs Company seller influence the customers to
purchase more expensive item of the company. By doing this thing customers get high discount
and some loyalty vouchers.
Cross Selling- In his company try to sell their new products to customers which are more
beneficiary for them. The objective behind these selling is raise the profit of organization and try
to convince their customers to purchases their new products.
Suggestive selling- This technique is a new and innovating. In this seller first know the
need and desire of customers and according to their need company suggest them products which
are beneficiary for them. By applying this Kelloggs Company create a positive relationship with
their customers.
Non-verbal communication -By using body gesture and posture sale Peron can easily
show that how the new product is important for customers (Keegan, 2014). But sometime it put a
negative impact because customers do not understand the gesture of sales man and they get
confused.
Effective sales person characteristics- For become a better sales person it is important to
know each and everything about the products. Secondly a person have proper knowledge to how
to convince their customers and how to interact with them. Moreover, the gesture and posture of
salesman are attracting and the voice consists some politeness. The most important point is a
person is good listener because with the help of this quality they can easily understand the query
of customers and give them proper suggestion.
Provide recommendations for improvement in context of personal selling techniques -For
better development of company it is important they find their negative point and change into
positive (Kleinbeck, 2012). For better effectiveness Kelloggs company can use face to face
selling rather than retail business so by this organization can easily determine the need and desire
of customers, moreover, company can make their website so by these customers can easily book
their order and give tier suggestion on it. Further, this firm also provides 24 hour home delivery
services to their customers and talented staff members who can easily guide their customers for
products. By apply these things firm can easily raise their profit and brand image.
The relationship with potential customer developed when seller is more attuned with the meeting
of potential customers. Some personal selling techniques are given below-
 Retail selling- it is the way through which a company retail products from door to door for
selling. In door selling a sales person work at the store and they deal with customers for
persuasion. It is the way through which sales agent persuade customer by going their home
or offices. Retail selling is important for books, new cosmetics products, electronics items
etc. (Kleinbeck, 2012)
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 Trade selling- it is the way of selling products to retailers and wholesalers. Through this
process a company’s selling agent go to the retailers and wholesalers and persuade them to
buy products in a bulk. Retailers and wholesalers received bulk items from the trade sales
personnel and develop good relationship. This type of trade selling mainly done by sales
agents who are responsible for corporate selling. Trade selling does not related with
consumer selling for ultimate consumption (Keegan, 2014).
 Missionary selling- in missionary selling missionary sales representatives create demand
for the product and then persuade customers to buy their company’s product. But in this
case they do not directly sale the product. Rather the company indirectly persuades
customers through different product presentation and pursues them to buy. They visit
different retail stores and encourage them to place orders from the dealer and wholesalers
they work for manufacturers. It is helpful in persuading customers as well as retailers when
market competition is high or demand is high. Missionary selling is also related with trade
selling where company can sell product in a bulk (Luther, 2011).
 Industrial selling- it is related with capital items like equipments, machineries, industrial
machines etc. Industrial sales personnel are usually very well educated, trained and
experienced people who provide technical information about products. In other words, sales
representative acts as helping hand for operating the machines. In the process of persuasion,
target audience learns about the product which makes them interested to buy the product. On
the other hand, industrial selling mainly occurs for corporate users or companies which
requires industrial equipments items (Lewis, 2015).
4.2 A discussion about the influence of operational design on sales revenue
Define operational design-Operational design or design management is a business discipline
that uses project management, supply chain techniques, design etc. to control a process and
support a culture of creativity. It also builds a structure for organizational design and
development. The objective of operational design is to develop and maintain a business
environment in which an organization can achieve its strategic and mission goals through design
and by establishing and managing and efficient and effective systems (McClell,
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2013).Operational design is important every company to achieve its sales target. From objective
development to selling the product to the ultimate customers operational design helps to provide
instruction how the overall process can be done
Ergonomics – It explains the structure of Kelloggs Company and which method they are
followed for better communication(Russell, 2009) . It also shows the working system and their
method of design at workplace. For example, this organization use line structure where they
divide their whole work into sub parts. Like finance department do all cash transaction,
production department give a productive idea to organization and also guide them about raw
material etc.
Work flow- This method explain the roles and responsibility. Like who give the
instruction to whom. Moreover, Kelloggs Company follow bubble work flow where the process
of manufacture is low and company involve their other team members in decision making
process. Further, firm also allot one team member in one team who guide their all employees in
their work.
Equipment - The quality of products which issued by Kelloggs company is good like
they use high quality product which include low calories. The main reason to use this kind of raw
material is the customers of UK is health conscious (McClell, 2013). So company is famous for
their customers satisfaction so for this, they produce low calories products. Moreover, company
use all latest technology so for this company recently launch their website. With the use of this
website customs can book their orders and purchase all the items.
Discuss the influence of operational design on sales revenue – Operation design clear the
company structure so by this all department can easily understand the positive and negative
points of other section. By applying this thing at workplace firm put their main concentration on
low profit department. Operation design also explain the roles and responsibility to employees
and also clear the vision of organization. By this, worker can easily know what they have to do
and which process they have to follow in their work. Moreover, innovative operational design
helps lessen competition in the market. It also creates efficiency and effectiveness in selling
process (Zikmund, 2014).Thus, the sales of the organization increases and creates positive
influence in sales revenue. Operational design also helps to build up organizational economies of
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scale through proper guidance. It also provides direction the ways through which more sales can
be done (Russell, 2009). So overall operational design is helpful in gaining positive influence
over the sales revenue.
Operational design or design management is a business discipline that uses project management,
supply chain techniques, design etc. to control a process and support a culture of creativity. It
also builds a structure for organizational design and development. The objective of operational
design is to develop and maintain a business environment in which an organization can achieve
its strategic and mission goals through design and by establishing and managing and efficient
and effective systems (McClell, 2013). Design management is necessary for all levels of the
organization. To achieve organizational goals it is important to develop a structure which
provides option how to achieve organizational goals. Design management is the ongoing process
through which business strategies and innovation can be done (McClell, 2014).
Operational design is important every company to achieve its sales target. From objective
development to selling the product to the ultimate customers operational design helps to provide
instruction how the overall process can be done. On the other hand innovative operational design
helps lessen competition in the market. It also creates efficiency and effectiveness in selling
process (Zikmund, 2014). Thus the sales of the organization increases and creates positive
influence in sales revenue. Operational design also helps to build up organizational economies of
scale through proper guidance. It also provides direction the ways through which more sales can
be done (Russell, 2009). So overall operational design is helpful in gaining positive influence
over the sales revenue.
4.3 Key principles that should be included in a sales training program me
Meaning of training at workplace- Taring is one of the most important part for the better
success. (Luther, 2011). Kelloggs company time to time give a proper training to their new
employees and guide them in their work. Usually high authority of company or experienced
person take this section where they sole all query of workers which are related to work. In sales
training firm develop the selling skills of employees and teach them, how to create a positive
relationship with their customers and hoe to sell the product. There are some techniques and key
principles which company should be followed by the sales trainer to train up his sales trainers.
They are given below-
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Lecture method- in this method experience person team new employees and staff members by
theoretical knowledge (Clow, 2013). The negative point of this section is it is quiet boring and
employees do not put their concentration on it.
Discussion method- In this staff members crate a two way communication. Where employees
share their problems which are related to work place and work . The head person listen all the
query and give them proper suggestion.
Audio visual method- In this method guider teach their employees by using power point
presentation or some video. It is very interesting section and employees give their best efforts in
it. It is the best way to clear all the doubts of staff members.
Behavior model- In this method employees play their staff member role. So by this they can
easily understand the role and responsibility of other person. This theory also explains the
practices, feedback and learning points.
Key components of training program- There are some points which are explained as follows:
 Training program must clear all the doubts of employees.
 Raise the knowledge and boos up their motivations.
 By applying training program organization can easily create a positive relationship
between employees and other staff members.
 It develops the self confidence.
Conclusion
Sales development and merchandising is the core activity of marketing. From the above analysis
we can be said that a marketer needs different types of activities to perform ultimate sales
required proper knowledge about the sales activity. Proper identification of customer demands
and developing strategy according to their needs can be effective for influencing customers in the
long run (Wood, 2014).
From the report it can be learned that without the proper knowledge of sales development and
merchandising organization cannot achieves success in the long run. Moreover to build up long
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term customer relationship a company must develop a proper strategic marketing plan
connecting sales process and merchandising.
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