Marketing class assignment ! ( HANDSHAKE )

MKT 3063 / Personal Selling Dr. Thomas F. Cannon

Case Study #3

“Talk, Talk, Talk”

After working at Choi Company for four years as a supervisor in the shipping department, Fred Liska was recently asked whether he would like to be considered for a position on the sales force. Although he has been taking college courses at night for two years, Fred will not earn his degree for several years, so he jumped at the chance to become a sales representative for the company. Mr. Choi who started the company after emigrating from South Korea fifteen years ago has always taken a special interest in Fred. He personally recommended him for sales because he thinks Fred’s personality and conscientiousness will make him an ideal salesman. Although Choi Company has no formal training program for new salespeople, Fred had the opportunity to learn how to sell firsthand by spending three weeks traveling on sales calls with Pete Hayes, one of Choi Company’s senior sales reps. Pete told Fred, “Just follow me around, and watch and listen. If you have any questions, save them until after each sales call.” Pete seemed to know all the people on his sales calls by their first names, and he spent as much time socializing as selling. Not once during the three weeks did he complete a full sales presentation, and he often failed to discuss some product features and benefits. Although it looked as though Pete mainly took orders instead of doing creative selling, Fred had to admit that Pete secured quite a few orders. In fact, during the three weeks, Pete received nearly every order he asked for – oftentimes even before he was halfway through a sales presentation. “Well,” Fred thought to himself, “Choi does make the best instruments carts in the industry, so maybe they sell themselves.” Fred mentally rehearsed what he knew about Choi carts. They are made of sturdy welded steel with rubber-padded, nonconductive, nonslip surfaces and a heavy bottom shelf that helps protect against tipping or failing. Each cart has two swivel and two rigid rubber wheels for easy mobility while carrying up to 1,300 pounds of equipment or instruments. Attractively finished in gray enamel, the carts contain a utility drawer that can hold tools, supplies, and other small items. The price is $395.90 per cart, or $3,459 for ten. On the first Monday after completing his three weeks of field training, Fred nervously approaches his first sales call. The prospect is Deborah Connors, purchasing agent for Scientific Laboratories, a Chicago-based firm specializing in conducting laboratory analyses for medical devices for medical doctors. After introducing himself and handing Ms. Connors his business card, Fred begins his sales presentation. Because nothing is more impressive than seeing the instrument cart as it is being described, Fred wheeled one right into Ms. Connor’s office. As he is explaining some of the features, advantages, and benefits of the Choi instrument cart, Fred notices Ms. Connors moving the cart back and forth and feeling its surface. She pulls out the cart’s drawer and smiles when she sees the neat little compartment trays inside. At this point, she interrupts Fred’s presentation to say, “If we do decide to buy, how long will it take for delivery?”

Fred answers, “Two weeks,” and continues with his sales presentation, showing several pictures of the cart being used at various types of companies. Studying the pictures, Ms. Connors ask, “Will the Choi cart really carry 1,300 pounds? It doesn’t look that strong.” Fred replies, “One of our largest customers, Metropolitan Hospital, regularly carries equipment weighing over 1,500 pounds on the carts without any problems.” Fred thinks to himself, “If she doesn’t quit interrupting. I’ll never get through my sales presentation,” but he does not let any irritation show and smoothly continues with the presentation and demonstration. At this point, Fred pulls out the special drawer with compartment trays and mentions that Choi is the only cart available with this feature. Ms. Connors smiles and remarks, “Yes, I think putting those compartment trays inside the drawer is a really clever idea. I don’t know how many times I’ve needed a test tube, some tape, or a pair of scissors when I’m carting laboratory samples and instruments from one room to another. We could keep basic supplies in those little drawers and save a lot of time and extra steps.” Fred nods his head and continues to point out other features of the cart. He smiles to himself, thinking, “I’m almost done with my sales presentation. Nothing much left to talk about except the price.” Just then, Ms. Connor’s secretary interrupts to say that Henry Bauman, the vice president of operations, needs to see her right away in his office. Ms. Connors excuses herself and says, “Ask my secretary to schedule another appointment with me, Fred. I know what this meeting with Mr. Bauman is about, and it’s going to take the rest of my time today. Thanks for coming in.” Fred feels deflated. “Boy,” he thinks, “what lousy timing. In two more minutes, I would have finished my presentation and started my close. I am sure she would have placed an order when I asked for it.” Dejectedly, he picks up his sales presentation materials, places them on the cart, and pushes it out to Ms. Connor’s secretary’s desk to schedule another appointment. Source: Personal Selling, Anderson, Dubinsky, Mehta, Houghton Mifflin Company, (2007)