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Lesson 6 Sales and Services CONTENT

1. Introduction 1.1. 2. 3. 4. 5.1. 5.2. 6. 3.1. 4.1. 2.1. Objectives of the Lesson 6 What is marketing? The four Ps Reading Ways of promoting your product Services and sales Buyers, Sellers and Customers Selling Product, word combinations with product Brands and branding Speaking Writing

5. Phrases and Idioms

Grammar Section 7. Vocabulary

1. Introduction
Probably, there is no need to introduce topics of this lesson in detail. We meet with marketing, sales and services not only in our business life, but in our private life as well. Therefore before we start to deal seriously with language used in these areas, lets have a little bit of cheer up. Marketing Joke: A retailer was dismayed when a competitor selling the same type of product opened next-door to him, displaying a large sign proclaiming "Best Deals." Not long after that, he was horrified to find yet another competitor move in next door, on the other side if his store. It's large sign was even more disturbing "Lowest Prices." After his initial panic, and concern that he would be driven out of business, he looked for a way to turn the situation to his marketing advantage. Finally, an idea came to him. Next day, he proudly unveiled a new and huge sign over his front door. It read, "Main Entrance!" (If you did not understand some expressions, do not worry, at the end of the lesson you will:-)

1.1. Objectives of the Lesson


To have the closer look on the topics of sales, services and marketing To practice usage of appropriate language and to learn new vocabulary connected with marketing, promotion, services and sales, buyers, sellers, customers, products, brands and branding To foster and deepen the knowledge of joining the sentences To foster new and already known vocabulary and phrases

2. Writing 2.1. What is marketing?


These days marketing influences and often even controls every part of companys activities. Marketing is the process of planning, designing, pricing, promoting and distributing goods, services and ideas, in order to satisfy customer needs and to make a profit. Underline all marketing strategies is the marketing concept explained here. The marketing concept we have to produce what customers want, not what we want to produce. The costumer first this means that we organize the company so that this happens. Market research we must find out what costumers want. Supply we must supply exactly what customers want. Marketing mix the activities that you have to combine successfully in order to sell. We can do this by offering the four Ps = the right product at the right price, available through the right place of distribution, and presented in the right way promotion.

The Four Ps
Product - the goods or services that you are marketing, in other words deciding what to sell. A product is not just a collection of components. A total product includes image of the product, its design, reliability and quality, as well as its features and benefits. In marketing terms, political candidates and not-profit-making public services are also considered to be products that people must be persuaded to buy.

They have to be presented an package attractively. Products have a lifecycle, and companies are continually developing new products to replace products whose sales are declining and coming to the end of their lives. Price - deciding what prices to charge to make it easy for the customer to buy a product. Pricing takes account of he value of a product and its quality, the ability of customers to pay, the volume of sales required, and the prices charged by the competition. If the price is too low it can reduce the number of sales just a significantly as if the price is too high. A low price may increase sales but as profitably as fixing a high, yet still popular price. As fixed cost stay fixed whatever the volume of sales, there is usually no such thing as profit margin on any single product. Place - deciding how the product will be distributed and where will people buy it, or in other words getting the product to costumers. Decisions have to be made about the channels of distribution and deliver arrangements. Retail products may go through various channels of distribution:

1. producer end-users (the product is sold directly to end-user by the


companys sales force, direct response advertising or direct mail order).

2. producer retailers end users 3. producer wholesalers/agents retailers end-users 4. producer wholesalers directly to end-users 5. producer multiple store groups / department stores / mail order houses
end-users

6. producer market wholesalers retailers end-users


Each stage has to add value to the product to justify the costs: the person in the middle is not normally someone who just takes their cut but someone whose own sales force and delivery system can make the product available to the largest number of customers more cost-effectively and easily. One principle behind this is breaking down the bulk: the producer may sell in minimum quantities of, let say, 20 000 to the wholesaler, who sells in a minimum quantities of 200 to the retailer, who sells in minimum quantities of one to the end-user a confectionery manufacturer does not deliver individual bars of chocolate to consumers of: distribution is done through wholesalers and then retailers who each add value to the product by providing a good service to their customers and stocking a wide range of similar products. Promotion - presenting the product to the customer and deciding how the product will be supported with advertising, special activities etc. promotion involves the packaging and presentation of the product, its image, the products brand name, advertising and slogans, brochures, pricelist, after-sales service and trade exhibitions or fairs, training, public relations, publicity and personal selling. Every product must posses a USP unique selling proposition. - the features and benefits that make it unlike any other product in its market. Sometimes a packaging is called e fifth P.

market S.W.O.T. Marketers often talk about market orientation: the fact that everything they do is designed to meet needs of the market. They describe themselves as market-driven, market-oriented or market-led. It is obvious that marketing affects every aspect of companys operation. Therefore we must be aware of all the things mentioned above and of our firms strengths and weaknesses as well as opportunities and threats we face in the Exercise 1: Write short answers to the following questions about the text above. 1. 2. 3. 4. 5. Explain the marketing concept. What is marketing mix? What channels of distribution may retail products go through? What does it mean USP? What does the abbreviation S.W.O.T. stand for?

3. Reading 3. 1. Ways of promoting your product


Note: Promotion (uncountable) is all the activities designed to support the sale of a product including advertising. A promotion (countable) is a specific activity to promote the product. Exercise 2: There are many ways of attracting customers to your product and keeping your brand name in the public eye. Look at the list below and try to find definitions from following descriptions. 1. Sales literature 2. Packaging 3. Personal selling 4. Point of sale advertising 5. Public relations 6. Publicity 7. Show rooms 8. Sponsorship 9. Telephone sales 10. Trade fairs 11. Worth of mouth

A.

Your rep can visit customers; this is the most effective method of promotion, but unfortunately also the most expensive. B. Brochures, leaflets and catalogues can describe your products in more details. C. Your stuff can call customers, or customers can call to ask for information or request sales literature. Potential customers can be sent direct mail. D. Existing customers can tell their friends or colleagues about your product and if they are satisfied, they will recommend it to them. E. PR can ensure that your company keeps a high profile, and that people are aware of your good image and reputation.

F.

Displays in retail outlets (chain stores, supermarkets, etc.) can attract the attention of potential customers. G. The public is informed of a new development through articles in newspapers. You can inform the press by issuing press releases. H. Your company takes a stand or mounts an exhibit to enable customers to see your products and talk to your representatives.

I.

Potential customers can come to your premises and see a displays or a demonstration of your products and get hands-on experience. J. Labels and presentation increase the impact of your product. K. You can contribute to artistic or sporting event, where your brand name or logo is displayed. There are also some other ways of promotional activities. E.g.:

A special offer (e.g.: discount or reduced price) A free sample (small amount of a product to taste or try) A free gift (given with the product) Competition with prizes

Cross-promotion (you buy 1 product and you are recommended to buy another that may go with it) Product endorsement (famous people recommend a product)

Loyalty cards (usually given by supermarkets; the more you spent the more points you get and you can exchange them for free goods) Exercise 3: Match the words (1-3) with the correct sentences (a-c). 1. Free gift 2. Promotions 3. Special offer a) I also bought some mugs, which came with two spoons for free. b) Most of the supermarkets run competitions and special offers to encourage people to buy from them. c) For example, yesterday I bought three kilos of bananas for one third of usual price.

4. Speaking 4.1. Services and sales


Buyers, Sellers and Customers An organization or a person who buys something is purchaser or buyer. These words also describe people in a company who are responsible for buying goods that the company sells or uses. These people are usually headed by purchasing/ buying managers. An organization or a person who sells something is a seller. They are referred to as vendors in some contexts e.g.: when selling property. Street vendors are people who sell things in the street.

People who buy products or services are called customers. We can also talk about the users or end-users of a service or product that may not actually be people who buy it. For example, when a company buys computers for its employees, these employees are end-users. People who buy products or services for their own use are consumers. Selling You do not have to be a special kind of person to sell a product. But the truth is, that successful sales people often have special talents and an outgoing personality. On the other hand, the skills they employ are used by all of us we built and maintain relationships with different kind of people, we listen to and take notes of what they tell us and do not only enjoy the sound of our own voices, and we discuss ideas with them, or explain things to them. A company may depend on their own sales team or on the salesmanship of the distributors, wholesalers or retailers. But all the companies need to establish personal relationships with their major clients and potential customers. It is often said that people do business with people meaning that a company does not just deal in personally with another company, but a person in buying department receives visits from people representing the firms suppliers on a regular basis. Or it can be the other way round foe example in department stores or chain stores, a team of buyers may travel around and visit suppliers. A companys salespeople (saleswomen and salesmen) visit clients and persuade them to buy its product. Each member of this sales force may be responsible for a particular region: his or her sales territory or sales area. Keeping sales people on the road is much more expensive than employing them to work in the office. This is due to the fact, that much of their time is spent unproductively traveling. What can be more productive is probably telephone selling but the face-to-face meeting and discussion is much more effective. Companies that are involved in the export trade often have a separate export sales force. Their travel and accommodation expenses may be very high. Therefore servicing overseas customers is many times done by phone, e-mail or fax with not so many personal visits. Many companies appoint an overseas agent or distributor whose own sales force takes over responsibility for selling their products in another country. A sales department consists of many people who are base in different parties of the country or of the world. These people do not have the day-to-day contact and opportunities for communicating with each other that office-based stuff has. Therefore companies hold regular sales conferences where their entire sales force can meet, ask questions about new products and receive information or training. Exercise 4: Over to you try to answer following questions: 1. What should be the qualities of good sales person? 2. What product or services does your company sell? Do you sell it to other companies or public? 3. Does your company have own sales team or salesmanship of the distributors, wholesalers or retailers? 4. In your business, do you give more emphasis to price or quality? Is it realistic to try to do both? 5. It is said that when you talk to customers you should have big ears and a small mouth. Do you agree? What does it depend on?

6. What have you learnt in your career about how to sell effectively? What advice can you give? 7. What is your opinion about telephone selling? Exercise 5: Try to remember the expression with the following meaning. They are mentioned in the text above as well: A. Someone who uses the computer in work. But the company, not him/her, bought this computer. /2 expressions/ B. Someone whose job is buying, e.g. tyres for a car company. /4 expressions/ C. Someone who sells goods or services. D. Someone who buys products or services.

5. Phrases and Idioms 5.1. Product, word combinations with product


A product can be: Something made to be sold Something natural A service

Produce refers to agricultural products such as vegetable or crops. E.g.: we can buy fresh produce at a farmers market. Produced, manufactured something that is made. Producer a company or country that produces something. Maker, manufacturer a company that manufactures something. line a company's products of a particular type range portfolio a company's products, as a group catalogue* mix product lifecycle the stages in the life of a product, and the number of people who buy it at each stage positioning how a company would like a product to be seen in relation to its other products, or to competing producers placement when a company pays for its products to be seen in films and TV programs *British English in American English it is catalog.

5.2. Brands and branding


Companies give a brand a name to their products so that they can be easily recognized. This can be name of the company itself: the make of the product. For products like cars you refer to the make and model, the particular type of a car, e.g.: Renault (make) Clio (model).

How much people recognize a brand is called brand recognition or brand awareness. Brand image are the ideas people have about a brand. Many companies even have brand managers. Creating brands and keeping them in customers minds through advertising, packaging, etc. is called branding. Each brand should have a clear brand identity, so that people think of it in a particular way in a relation to other brands. Products that are not branded, those that do not have brand names, are generic products or generics. A product with the retailers own name on it, is an own-brand product (in British English, or own-label product in American English). Exercise 6: Choose the best word from the brackets to fill the gap: 1. We are the largest _________ of printing machinery in Slovakia. (manufacturer/manufacturing) 2. I can buy fresh vegetables and other agricultural _________ in the market. (produce/production) 3. We only employ 15 people in our _________ team so our productivity is very high. (making/manufacturing) 4. Ive always bought Volkswagen cars and I really loved their new _________ . (make/model) 5. We will be launching a new product _________ early next year. (cycle/line/brand) 6. The yellow color we use on our labels is key part of our _________ . (branding/positioning/marking)

6. Grammar section
There are different ways how to connect two or more ideas in a paragraph. Lets have a look at four basic ones. 1. By Using a Preposition The choice of preposition depends on what we want to express. Time: AFTER, BEFORE, DURING Reason, clause or result: DUE TO, BECAUSE OF Contrast: IN SPITE OF For example:

I shall be able to confirm this after I have checked our market position. Due to the delivery delay our customers were not satisfied. In spite of bad weather, our plane has landed safely.

2. By Using a Conjunction Time: AND, BEFORE, AFTER, WHILE Reason, clause or result: AND, BECAUSE, SUCH A THAT, SO THAT Contrast: ALTHOUGH, BUT For example:

He often chooses to write although a phone call is quicker.

Please, check my in-tray while I am at the conference in Munich. The goods were shifted so quickly, that we had no time to check them. 3. By Using a Linking Adverbial Phrase

Adverbial phrases are often used when starting a new sentence. Time: AFTER THAT, AND THEN, DURING THIS TIME, BEFORE THAT Reason, clause or result: AS A RESULT, BECAUSE OF THIS, CONSEQUENTLY, THAT IS WHY Contrast: HOWEVER, NEVERTHELESS For example:

She wanted to arrange a meeting with my boss. Thats why she called me. The meeting was very successful. As a result we signed the contract. 4. By Using an Infinitive Clause We use infinitive clauses when we want to show purpose. For example: I usually telephone in order to / so as to safe time. Exercise 7: It is very useful to join short sentences in a paragraph to make text more coherent. Look at the paragraphs before and join the sentences together to make one or two longer sentences. 1. Every letter should have a personal touch. People like to be treated like individuals. It is unwise to use too informal style with people you do not know very well. 2. Our company has long tradition. We are trying to modernize the companys image. Our letters look old-fashioned. Our correspondence should be word-processed.

3.

There was a technical problem. The assembly line stopped. The workers have to be sent home earlier.

7. Vocabulary
Arrangement Awareness Brand Branding Break down Bulk Competitor Confectionery Cross-promotion Dismay Distribution Distributors Drive out Due to Endorsement Generic products aranman, dogovor, priprema, ureenje svijest, svjesnost marka, oznaka, vrsta, tip branding, oznaivanje, igosanje, promicanje robe odreene marke prolomiti, slomiti, prekid, proboj, rastavljanje velika koliina, masa konkurent poslastice, slatkii kombinirana podrka prodaje uplaiti se, prepasti se, strah, uas distribucija distributeri istisnuti, potisnuti zbog podrka, odobravanje, usvajanje opi produkti

Generic Huge Justify Lead Lifecycle Loyalty cards (The) make Marketer Packaging Placement Profit margin Promotion Proposition Recognition Rep Retailer Research Salesmanship Supply Wholesalers

ope primjenjiv golem opravdati voditi egzistencija, postojanje, tijek, ivotni ciklus kartica za vjernog (lojalnog) kupca oznaka, marka, proizvoa djelatnik marketinga pakiranje, ambalaa plasman, smjetanje mara, profitna mara propagacija, promidba, podrka prodaji prijedlog, poduhvat, posao prepoznavanje, spoznaja, odobravanje, priznanje komercijalni zastupnik, predstavnik trgovac na malo istraivanje, ispitivanje sposobnost prodavati dostavljati, isporuivati, isporuka, dopunjavanje zaliha trgovac na veliko

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