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A contingency approach to the effectiveness of agenda sales strategies

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1995

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Virginia Tech

Abstract

This dissertation investigated the effect of agenda presentations on selling effectiveness. In this context, agendas were salesperson-suggested constraints on the order of selecting or eliminating choice alternatives. A conceptual model compatible with Weitz's Contingency Model of Salesperson Effectiveness was developed and tested. It was hypothesized that the effectiveness of agenda sales presentations is moderated by buyer expertise, the buyer/seller relationship, and the relative competitive strength of the target product.

The study used an interactive computer questionnaire which was programmed in the format of sales calls for a simulated copier purchase. Two hundred and forty-eight (248) industrial buyers with actual copier-purchasing responsibility comprised the sample. The simulation included sales calls for both target product and a market leader. The design for this field experiment varied the type of sales presentation (agenda and compensatory), the type of buyer/seller relationship (relational and discrete), and the relative competitive strength (stronger and weaker product) between subjects. Expertise was measured. Counterbalancing the order of the sales presentations allowed for examination of possible order effects. Selling effectiveness was measured by the inclusion of the target product in the buyer’s consideration set, selection of the target product as the buyer's final choice, buyer perceptions of the target product, buyer perceptions of the choice and choice process, and by the buyer's perceptions of the seller.

Results support the notion of contingent decision making and Weitz's Contingent Model of Salesperson Effectiveness as evidenced by significant 4- way interactions for 6 of the 8 measures of selling effectiveness. In general, agenda presentations were shown to be more effective for use in getting the target product into the consideration set, improving buyers' perceptions of the seller's expertise, during discrete exchange, and for the weaker of the products. Counter to predictions, agendas were generally more effective when used with experts than novices. Future researchers may find it productive to further explore the effectiveness of agenda sales strategies. Finally, the promising results of this study demonstrate the potential use of this type of simulation for experimental research in sales.

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