2.01C - Explain company selling policies.

1. 2.01C - Explain company selling policies. Marketing

2. Types of selling-activity policies • Policy overview • Item description • Terms and conditions • Product availability • Postage and related charges • Delivery and dispatch time • Communication • Returns

3. Important Terms • Selling Policies: Guidelines for selling. How will products be sold? • Selling-activity policies: Guidelines for sales people. What is required of the sales employees? What laws apply? • Terms-of-sale policies: Determining conditions that apply to each type of sale? (Think airline tickets, e-Bay, close-outs) • Service policies: Guidelines for servicing customers.

4. Types of terms-of-sale policies • Forms of payment you accept • Return Policy • Restocking fee, if applicable • P&P method, fees and other information • Taxes and any applicable government imposed fees (eg electronic waste disposal fees) • Tell buyers about the terms of the transaction in your listing • Meet the expectations you’ve set in your listing

5. Types of service policies • Service Requests - Record, track and quickly process customer requests for service and support (Warranties, Guarantees, etc.) • Repairs - Optimize your service repair processes by tracking and managing the complete service cycle. • Service Level Agreements (SLAs) - Create and manage service contracts. Accurately define the level of service that will be offered to your customers. • Installed Base - Record and track detailed information on all product items owned by your customers. • Service Planning - Set up your after sales service policy and processes in line with your individual business needs. • Service Analysis - Monitor the quality and profitability of customer service at all times. Benefit from a structured system for processing and handling product defects, enhancement requests or software upgrades.

6. Customer Problems • Efficiently handle and resolve all types of customer problems and requests, including helpdesk calls, complaints, repairs, hardware and software problems, and information requests

7. Importance of selling policies • Selling policies standardize sales. • Ensures that the company and the customers understand how products are sold. • Protects the company, legally.

8. Characteristics of selling policies • Where can products are purchased? • Clearly defines what constitutes a sale. • Why selling policies are necessary • Proves that all customers are treated the same way and increases efficiency of the sales people. • Example: • “eBay's policies help to create a safer, fair and enjoyable trading experience for all eBay members. As a seller, you are responsible for reviewing and understanding eBay's selling policies, as well as all applicable laws and regulations outlined in the user agreement.”

9.  External factors that affect selling policies •  City, county, state and/or Federal regulations • Competitors’ actions • Changes in customer expectations • Changes in costs of producing the products • Examples: • Price fixing • Sherman Antitrust Act

10. Internal factors that affect selling policies • Sales quotas • New management • Changes in goals • Set policies disclosed openly protect the company’s interests.

11. Regulatory factors that affect selling policies • The distribution channel might require specific policies in exchange for using that channel (e-Bay for example). • Implicit warranties. • FTC • Cooling off Period

12. ICC Code of Direct Selling • The ICC Code of Direct Selling is designed primarily as an instrument for self-discipline, but may also be used by the courts as a reference document within the framework of applicable legislation. • ICC expects business operators to respect and endorse the Code both in the spirit and to the letter. It is recommended as a daily reference source for everyone involved in direct selling.

13. ICC Code of Direct Selling (cont’d) • The Code is intended to achieve the following objectives: • To demonstrate responsibility and good practice in direct selling across the world; • To enhance overall public confidence in direct selling; • To respect privacy and consumer preferences and to provide effective consumer protection; • To promote fair competition and free enterprise; • To provide practical and flexible solutions; • To minimize the need for detailed governmental and/or inter-governmental legislation or regulations.

14. Problems encountered with the use of selling policies •  Policies cover specific circumstances, so some situations will not fit the current policies. • Miss-interpretation by a salesperson. • Some customers will ask for exceptions to policies in exchange for increased business or because of a history with your company.