7 Keys to Marketing Genius: Buyer Beware
The following is an excerpt from The 7 Keys to Marketing Genius by Michael Daehn
Sales promotions given to sales people can cause problems for consumers and retailers. If you have unscrupulous or untrained sales people, they are likely to sell a customer a product that he or she does not need so that they can make a SPIF. Many retailers stopped providing incentives because they had too many problems with sales people pressuring customers to buy items with incentives, which lead to declining sales. When purchasing products, I will ask the salesperson whether their recommendation is based on using the product and/or if they get a commission.
I have been in retail sales for many years and have never sold an item because I got a SPIF, but it was tempting. I liked to sell the item with a SPIF because I made more money, but it was not worth my integrity. This was not always the case with my coworkers. I worked for the national nutrition store GNC where we received no commission, but we did get a SPIF on certain items. One customer returned a product my coworker sold her because she had trouble sleeping when she used it. My coworker told her we were out of the product she asked for (which was a lie) and that this one would do the same thing (which was also a lie). He also did not tell her that the guarana in the product is a form of potent caffeine even though she said would be taking it before bedtime. What did he get for compromising his integrity by lying to a customer and disrupting her life by keeping her up all night? $2.
Manufacturers, to boost sales of their products, often use SPIFs. They are usually effective, but they must be done carefully and given to trustworthy persons. In the meantime, be wary if a salesperson is a little too excited about a product, and don’t be afraid to ask questions.