UNIT 16: SALES DEVELOPMENT AND MERCHANDISING

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Unit 16:
Unit code: QCF level: Credit value:
Sales Development and Merchandising
H/601/1800 5 15

Aim

This unit will enable learners to gain understanding of external sales development techniques
and the tools and techniques of internal sales and merchandising in a business and services
context.

Unit abstract

This unit advances learners understanding of the importance of sales development and
merchandising techniques in business and services operations, paying particular attention to
hospitality and catering, hairdressing and beauty therapy, sports and leisure, and travel and
tourism sectors. The unit is broad-based in its approach, covering both theory and the practical
application of tools and techniques used internally and externally, designed to maximise sales
from all aspects of the product mix. Learners will also analyse the role of staff in maximising
sales. Learners must ensure that their evidence relates to the hospitality industry.

1 2 3 4

Unit content

LO1 Understand elements of the product in a business and services context
1. Understand elements of the product in a business and services context Products/services:
characteristics, features/benefits, product strategy/mix, life cycle, development processes, test-
marketing (simulated and controlled), concept development and testing, unique selling points
(USPs), branding Market segmentation: rationale for segmentation, methods of segmentation,
recognising market needs, matching offer to market segment, benefits and constraints of
branding, theme developments Context: types eg hospitality and catering, hairdressing and
beauty therapy, sports and leisure, travel and tourism

LO2 Understand external sales development techniques

2. Understand external sales development techniques Buyer behaviour: motivation theory, the
purchase decision process Advertising: media selection, costs, target markets, evaluating
effectiveness, sales promotion External merchandising: design aspects eg location, access, car
parking, signage

LO3 Understand the tools and techniques of internal sales promotion and merchandising

3. Understand the tools and techniques of internal sales promotion and merchandising Design
considerations: customer ergonomics (ease of access to product and point of sale),
environment/ambience eg heating, lighting, seating, noise, equipment Internal merchandising:
internal signage, sales materials, electronic sales aids, matching materials to image created by
external methods Sales promotions: range of promotional activities; matching activities to
market and business; seasonal opportunities; upselling

LO4 Be able to evaluate the role of staff in maximising sales
4. Be able to evaluate the role of staff in maximising sales Personal selling techniques: non-
verbal communication, up-selling opportunities, customer needs and wants, product knowledge,
link between selling and service, encouraging repeat business Operational design: ergonomics,
workflow, equipment Training: incorporation of sales role, positive sales attitude, specific
promotional training, incentives and rewards, preparation of sales training programme

Learning outcomes and assessment criteria

Learning outcomes
Understand elements of the product in a business and services context Understand external
sales development techniques Understand the tools and techniques of internal sales promotion
and merchandising Be able to evaluate the role of staff in maximising sales.


On successful completion of this unit a learner will:
Assessment criteria for pass
The learner can:
LO1 Understand elements of the product in a business and services context
1.1 evaluate the key components of the product
1.2 discuss the range of contributions to sales and profit of elements in the product mix
1.3 assess how market segmentation contributes to sales maximization

LO2 Understand external sales development techniques

2.1 discuss the factors affecting buyer behaviour
2.2 assess appropriate advertising media for sales development situations
2.3 evaluate the role of external merchandising in maximising customer volumes, making
recommendations for improvement


LO3 Understand the tools and techniques of internal sales promotion and merchandising
3.1 assess how design and layout might affect customer spend
3.2 review and evaluate internal merchandising materials
3.3 evaluate promotional activities for different scenarios, making recommendations for
improvement


LO4 Be able to evaluate the role of staff in maximising sales
4.1 evaluate personal selling techniques, making recommendations for improvement
4.2 discuss the influence of operational design on sales revenue
4.3 justify key principles that should be included in a sales training programme
Guidance

Links
This unit is closely linked with Unit 8: Marketing in Hospitality, exploring in more depth some of
the theories and how to apply those to the licensed retail sector of the hospitality industry.
This unit also links to the following Management NVQ units:

A2: Manage your own resources and professional development
B1: Develop and implement operational plans for your area of responsibility
B8: Ensure compliance with legal, regulatory, ethical and social requirements
D2: Develop productive working relationships with colleagues and stakeholders
F9: Build your organisations understanding of its market and customers
F12: Improve organisational performance.

Essential requirements
Learners need access to different providers so that they can examine the range of products and
sales techniques that are offered.

Employer engagement and vocational contexts

Learners need access to different providers so that they can examine the range of products that
are offered. A visiting speaker from an organisation related to the programme, engaged to help
learners consider the importance of issues such as sales technique, branding, and staff training,
will enhance delivery.

BH027242 Edexcel BTEC Levels 4 and 5 Higher Nationals specification in Hospitality
Management Issue 2 May 2011 Edexcel Limited 2011