In this thesis, I would like to connect Neuro-Cognitive Framing with established marketing frameworks to find out whether Framing may become an integral part of future promotion strategy.
Neuro-Cognitive Framing is a new communication concept developed by linguistic expert Elisabeth Wehling. It suggests that human thinking happens based on interpretative frameworks, called Frames, which are created through individual real-world experience. The concept is assessed and applied on a pre-established personal selling framework to evaluate if Framing is applicable to personal selling whilst improving personal selling efficacy. After comprehensive theoretical assessment, an implementation guide for Framing in personal selling is established and the concept is explored in a qualitative research experiment.
Table of Contents
I. Abstract
1. Introduction
1.1. Motivation
1.2. Objective
1.3. Approach
1.4. Scope
2. Personal Selling
2.1. Introduction
2.2. Classification
2.3. Function and Objectives
2.4. The Personal Selling Process
2.4.1. Introduction to the Concept
2.4.2. 8 Steps
2.4.2.1. Prospecting & Qualifying
2.4.2.2. Pre-Approach
2.4.2.3. Approach
2.4.2.4. Need Assessment
2.4.2.5. Presentation & Demonstration
2.4.2.6. Handling Objections
2.4.2.7. Closing
2.4.2.8. Follow-Up
2.4.3. Implications
2.5. Critical Success Factors
2.5.1. Market
2.5.2. Customer
2.5.3. Product
2.5.4. Communication
2.5.5. Salesperson
2.5.6. Summary
2.6. Performance Tracking
2.7. Challenges of Personal Selling
2.8. Summary
3. Neuro-Cognitive Framing (E. Wehling)
3.1. Introduction
3.2. Scientific Background
3.3. Theoretical Support in Communication Frameworks
3.3.1. Framing & The Mathematical Model of Communication (Shannon & Weaver)
3.3.2. Framing & The Four-Sides Model (v. Thun)
3.3.3. Implications
3.4. Goals
3.5. Communication Consequences
3.5.1. Frame Negation
3.5.2. Frame Repetition
3.5.3. Metaphors
3.5.4. Communication Channel Selection
3.6. Role in Politics
3.7. Opportunities of Framing
3.8. Challenges of Framing
3.9. Ethical Aspects
3.10. Summary
4. Neuro-Cognitive Framing in Personal Selling
4.1. Framing and Personal Selling Objectives
4.2. Framing and the Personal Selling Process
4.3. Framing and Critical Success Factors
4.4. Framing and Performance Tracking
4.5. Framing and Personal Selling Challenges
4.6. Opportunities
4.7. Challenges
4.8. Summary
5. Implementation Process
5.1. Situation Analysis
5.2. Frame Development
5.3. Medial Realization
5.4. Rollout
5.5. Controlling
5.6. Summary
6. Example: Framed Sales Conversation & Market Research
6.1. Research Question
6.2. Research approach
6.3. Sampling
6.4. Framing Implementation
6.5. Research Results
6.6. Critical Evaluation
6.7. Summary
7. Conclusion & Outlook
III. Appendix
a. Interview Guide
b. Baseline Text (A)
c. Framed Text (F)
d. Questionnaire
e. Study results
IV. References
V. Illustrations and Tables
I. Abstract
Neuro-Cognitive Framing is a new communication concept developed by linguistic expert Elisabeth Wehling. It suggests that human thinking happens based on interpretative frameworks, called Frames, which are created through individual real-world experience. The concept is assessed and applied on a pre-established personal selling framework to evaluate if Framing is applicable to personal selling whilst improving personal selling efficacy. After comprehensive theoretical assessment, an implementation guide for Framing in personal selling is established and the concept is explored in a qualitative research experiment. Findings suggest that Framings largest potential lies within expressing compelling messages in the phase of product presentation and demonstration. The research findings have not been quantitative validated.
1. Introduction
1.1. Motivation
Innovative marketing approaches are currently being influenced by trends such as digitalization, social media, big data or neuromarketing. The focus of this work will lie on one specific element of neuromarketing which has not yet been adequately assessed: Neuro-Cognitive Framing, one of the latest communication phenomena explored by German linguist and cognitive-researcher Elisabeth Wehling. In her bestseller “Political Framing”, she not only explains the concept and its scientific background, but also reveals that Framing is significantly influencing opinion formation processes in public debates.
Understanding and applying innovative communication methods like Framing is also of interest to the business world. Companies always strive to communicate effectively with their stakeholders. So, after having read about political Framing in several German newspaper articles, I wondered whether it is applicable to the business environment as well.
In this thesis, I would like to connect Neuro-Cognitive Framing with established marketing frameworks to find out whether Framing may become an integral part of future promotion strategy.
1.2. Objective
Since Neuro-Cognitive Framing is classified as a linguistic approach, it makes sense to assess it first in a marketing element with high usage of communication elements. I expect it to have the strongest value added in a promotional channel like personal selling where crisp messaging is crucial to success. The research question to be answered in this thesis is therefore the following: How can Neuro-Cognitive Framing – known and evaluated in a political context – be applied to marketing frameworks, more specifically, to sales conversations to improve their efficacy?
1.3. Approach
The thesis begins with an introductory section about my personal motivation, the research issue to be solved and general information about the structure as well as the scope of the work. The first major part entails comprehensive secondary research about the personal selling framework, followed by the theoretical digression about cognitive Framing being a new phenomenon from a different scientific field. Next, both concepts are brought together and evaluated based on pre-defined criteria. Then, a concrete implementation plan is developed and the results are explored in qualitative market research. This according empirical study represents a realistic example of how the developed solution can be implemented and seeks real life evidence to answer the research questions.
Key findings are summed up in the conclusion where the whole thesis is also subject to a critical reflection.
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Figure 1 Thesis Structure
1.4. Scope
This work discusses Framing not only in a business context, but also in modern communication patterns and the broader sociological context. The concept itself is consistent, logical and straightforward. Therefore, this thesis will focus more on the effects and consequences of Framing rather than on its neuro-scientific background, which would risk being too technical and too complex for marketers. The outcomes of this work should be adaptable to business practice and will not deepen latest neuro-cognitive research. As the author I am neither a linguistic expert, nor a neuro-scientist.
2. Personal Selling
2.1. Introduction
Everybody constantly sells something to someone else, be it only by trying to convince the other of one’s opinion. In business context, personal selling has become less important with the prevalence of digital tools and internet selling. However, there are industries selling goods or services which are too complex and would require detailed explanation before a sale can be completed. This chapter offers a brief introduction to characteristics of personal selling in order to understand how Framing can be implemented into an advanced personal selling strategy.
The section tries to combine at least two contradictious marketing management concepts: On one hand, the selling concept which focuses on selling a company’s products, often referred as an inside-out approach. This concept aims at earning profits through high sales volumes on the short-term. On the other hand, the more modern marketing concept, often referred as an outside-in approach. This concept more broadly aims at fulfilling customers’ needs to earn profits through high levels of customer satisfaction on the long-term. (Kotler & Armstrong, 2014, p. 32) Nowadays, salespeople are considered to fulfil both tasks – one of the basic assumptions in this work’s underlying analysis.
Starting off this chapter, a brief definition of the term personal selling is provided, followed by a classification of the concept within the marketing environment. Then, the overall objectives of personal selling are defined. The subsequent Personal Selling Process represents a strategic sequence towards objective achievement. A set of five critical success factors serves as a composition framework to link personal selling with Neuro-Cognitive Framing later. This chapter also briefly explores performance tracking and sales management issues. It closes by raising questions about the main challenges related to all treated aspects of the personal selling framework.
2.2. Classification
Diving into the extremely wide field of marketing theory, it is clear that personal selling has a very specific but also unique role. To explain where exactly it comes into play means looking at the big picture first – the marketing process.
Generally speaking, the marketing process consists of four major phases which happen to follow each other in a continuous way. The beginning of all is the marketing analysis which might be conducted using the SWOT1 or any similar framework. The goal in this phase is to understand the status quo in terms of internal and external environments as well as positive and negative factors related to the company by evaluating not only the company itself, but also customers and competitors. Afterwards, objectives regarding the desired future marketing position are to be defined. In the second phase of the process, the marketing strategies are worked out to reach the pre-defined objectives. Planning the utilization of various marketing-mix instruments is fundamental in this phase. In service-oriented industries, those instruments can be classified as related to Product, Pricing, Promotion, Distribution and Human Resource management. Marketing implementation then turns strategies and plans into concrete actions to accomplish the objectives. This third phase combines the instruments to achieve pre-set goals either in the most efficient or the most effective way. To keep track of the measures turning strategy and plans into practice, a constant controlling phase stands at the end of the process. In this phase, corrective action may be taken to make sure intermediate results comply with forecast objectives. (Kotler & Armstrong, 2014, p. 72f;77ff)
It is important to consider that the whole marketing process is continuous and dynamic as companies are constantly reacting to inner and outer environmental changes.
Personal selling is considered one of many possible promotion instruments which together form the promotion mix, sometimes referred to as the marketing communications mix. In literature, the different promotion tools are often categorized as direct and indirect communication instruments. Advertising, Public relations, Sponsoring and Product placements are part of indirect communications. Events, Online communication, Sales promotion, Personal selling, Direct marketing as well as fairs and exhibitions are direct communication instruments. Together, both groups represent a blend of promotion tools of a company and serve the common objective of “persuasively communicating customer value and building customer relationships”. (Kotler & Armstrong, 2014, p. 429)
More specifically, personal selling can be defined as “presenting the company’s offer directly to the customer during conversation in order to conclude [a] transaction.” (Antczak & Sypniewska, 2017) However, personal selling comprises way more that, to be outlined in the following paragraphs.
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Figure 2 Role of Personal Selling in the Marketing Process, adapted from Kotler & Armstrong, 2014
2.3. Function and Objectives
As previously shown in the marketing process, personal selling is one of several promotion tools applied to fulfill more general communication objectives: As a matter of principle, its interpersonal approach means it pursues more specific sub-targets as listed below.
Making sales is the most short-term oriented goal of personal selling. The salesforce aims at winning over customers and closing transactions which increase the company’s sales account. But in addition, other transaction-related service functions can fall under this category, such as a possible delivery of the product by the salesperson or reception of customer claims and complaints.
By developing & maintaining relationships with customers, the salesforce goes beyond the transaction-oriented approach of closing a sale. The ultimate objective of a successful company must be to seek a long-term mutually profitable relationship. “If the company wishes only to close sales and capture short-term business, it can do this by simply slashing its prices to meet or beat those of competitors. Instead, most companies want their salespeople to practice value selling – demonstrating and delivering superior customer value and capturing a return on that value that is fair for both the customer and the company.” (Kotler & Armstrong, 2014, p. 499)
Exploring & Identifying customer needs means that personal selling benefits from a two-channel communication setup. Not only can the salesforce talk to the customer, but the customer can also provide feedback in a well-balanced dialogue. When the salespeople conduct sales conversations, they are able to prospect potential new customers consequently and better understand the environmental situation. It therefore allows to gather similar information patterns as in ordinary market research setups.
The most important function of personal selling with regards to the Framing concept is about communicating the benefits of the product/service as well as shaping the image of the company. (Antczak & Sypniewska, 2017, p. 42) In this function, the company’s promotional objectives come into play and need to be turned into effective linguistic realization to inform, advise and persuade the customer.
It is important to mention that these are not the only targets and roles of personal selling. Depending on the situation, personal selling can be linked to other tasks which require the interpersonal setting.
2.4. The Personal Selling Process
2.4.1. Introduction to the Concept
The person selling process is a well-known concept that describes several steps to be followed before, during, and after a sales conversation. It supports salespeople with a theoretically founded framework and provides an important structure to personal selling application.
The individual steps might be adjusted according to the specific sales situation, but overall, the concept remains universally applicable to both forms of personal selling: To the outside sales force traveling to call on customers in the field, as well as to the inside sales force addressing customers via other kinds of interaction channels: telephone, internet or by visits from prospective buyers. (Kotler & Armstrong, 2014, p. 488)
The personal selling process model has significantly evolved over the past century. It still considers the sales transaction as its core objective. However, as described in the classification part, personal selling nowadays must be targeted at creating and maintaining mutually beneficial customer relationships. Thus, every step of the process needs to be interpreted as stages of a journey to professional problem solving on the long-term.
The process itself knows various versions. In the brief overview below, the concept of Kotler & Armstrong, 2014 will be combined with elements from Spiro, Rich et al., 2008.
2.4.2. 8 Steps
2.4.2.1. Prospecting & Qualifying
In this first step of the process, qualified potential customers are identified and differentiated from those prospects who have a relatively low probability of becoming a future business partner.
2.4.2.2. Pre-Approach
This second step follows the selection of an approachable prospect and describes the extensive research process prior to calling on the prospect. It is important to find out as much as possible about the prospect in order to develop a customer strategy and provide a tailored solution in further steps. In this phase, the salesperson also sets specific call objectives which might not necessarily be a sales closure, but could rather be to gain additional information first. Furthermore, the type of approach needs to be chosen. This can be a personal visit, a phone call, an e-mail or other types of communication channels.
2.4.2.3. Approach
The approach step describes the first interaction between the potential customer and the salesperson. Leaving a positive first impression is always crucial in this situation, be it through opening remarks, small-talk, physical appearance or other non-verbal communications.
2.4.2.4. Need Assessment
In the need assessment, the salesperson gathers further knowledge about the prospect’s needs and wants. The best technique in this step is a questions-and-listen approach with a clear focus on open questions instead of closed ones. It is essential to know not only about unmet needs, but also the broader context and background. The salesperson can thereby propose more suitable solutions and build a stronger customer relationship.
2.4.2.5. Presentation & Demonstration
By presenting and perhaps demonstrating the product, the salesperson tries to convince the buyer that he/she can supply the adequate solution. In this stage, it is highly recommendable to address the buyer’s concrete benefits rather than explaining product features only. When it comes to presentation methods, salespersons require good interpersonal communication skills. They nowadays face major challenges related to media over-usage and time pressure. “As a result, salespeople must deliver their messages in more engaging and compelling ways.” (Kotler & Armstrong, 2014, p. 498)
It is important to note that even in this very unidirectional part of the selling process, active listening is the core skill for the salesperson. The buyer might note his/her concerns about the proposed solutions. To tackle them adequately, the salesperson may use several techniques to be more persuasive.
- Mention satisfied customers to reinforce the promise made
- Demonstrate the benefits of the product directly with/in front of the buyer – if possible
- Offer guarantees of reliability, after-sales service or other features of the augmented product
- Provide a trial order – even if this would be uneconomic in the short-term
2.4.2.6. Handling Objections
Dealing with objections is the most unpredictable part of the selling process. The objections can rest unspoken and extremely difficult to make out. Moreover, they can arise in form of confusion, doubt or disagreement. Nevertheless, the salesperson should try to seek out, clarify and overcome objections, turning them into reasons for buying.
Since handling objections is demanding, it requires comprehensive training and immense professional experience.
2.4.2.7. Closing
The closing step marks the final stage from a transaction perspective. Here, the salesperson asks the customer for an order. Even proficient salespeople fear this step and do not ask directly enough when customers have not moved to closing themselves. There are several alternative closing techniques which have been established to overcome uncertainty.
- Summarize the buyer’s need, confirm the according solution and ask for the next steps
- Concede a last reserve/adjustment as a final push towards agreement
- Skip the closing step and ask for transaction details instead
2.4.2.8. Follow-Up
Following-up on sales conversations represents an important relationship-seeking element of the personal selling process. It ensures a high level of customer satisfaction after the sale has been made and aims at repeating similar business in the future.
2.4.3. Implications
Although the personal selling process is more directed at reaching short-term sales, it also comprises elements to establish customer relationships. Putting all the individual steps into perspective, it is striking that they might not remain equally relevant in the future.
Considered current trends related to the prevalence of the internet, such as online shopping, social media and new communication channels, it becomes clear that several steps of the process are about to change dramatically in the future: Prospecting, pre-approaching and assessing customers and their needs might be conducted by sophisticated algorithms which analyze extensive amounts of data. Approaching customers over media might be conducted by bots, whose humanoid communication abilities stem from artificial intelligence and machine learning. The presentation & demonstration steps might become obsolete because customers are able to get the information via internet – quicker and more accurately. All the transactional aspects are already widely carried out with no human intervention. Finally, following up on a customer might be further simplified through automated processes and individual message composition based on collected customer knowledge. The only step for which a “real” salesperson might be required is handling objections that are hard to predict.
All those assumptions envision that future personal selling will be less personal than it is now.
Against this trend, there is a notion that all personal aspects of personal selling have not yet been optimized enough. Those who claim this might be specialized in social and neuro-science, linguistics or psychology fields of research. They point out that room for improvement is not yet exhausted.
In the second main chapter of this work, a new concept is introduced which addresses some of these interpersonal aspects in personal selling. More precisely, Neuro-Cognitive Framing is about customizing communication patterns and relates mostly to the presentation and demonstration step of the personal selling process, to be explained further in chapter 4.2.
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Figure 3 Steps in the Personal Selling Process, adapted from Kotler & Armstrong, 2014
2.5. Critical Success Factors
The overall goals of personal selling are producing customer satisfaction and company profit simultaneously. They have been described more detailed in chapter 2.3. Afterwards, the personal selling process has been introduced to provide a sequential approach on how to prepare and move through a sales conversation. However, the chronological process is only one perspective towards making a sales call. There are five critical success factors which need to be addressed prior to process execution – they represent the main actors in personal selling.
This chapter provides an overview of their characteristics/role in personal selling, as well as different framework examples which will serve as a toolbox for the fourth chapter, where Framing methodology is finally applied to personal selling.
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Figure 4 Critical Success Factors in Personal Selling
2.5.1. Market
To sell a product through personal selling, the salespeople must be aware of the market environment in which their company operates. This knowledge is extremely important as it determines what the unique selling proposition (USP) of the product/service is like with regards to competitors, customers and other market influencers. Markets with high usage of personal selling are often characterized by expensive, complex and customized products and services. For instance, personal selling is heavily used in the insurance, banking, real estate, pharmaceutical or the car industry. It is applied in both relationship types, Business-to-Business (B2B) as well as Business-to-Consumer (B2C).
In general, the market environment comprises all actors and forces which are relevant to a company to build and maintain successful relationships with target customers. More specifically, a market can be divided into a micro- and a macroenvironment. The microenvironment consists of influences closer to the company, such as internal organizational structures, suppliers, marketing intermediaries, competitors, publics and customers. The macroenvironment consists of larger societal forces which have a direct or indirect influence on the microenvironment. It is composed of demographic, economic, natural, technological, political, social or cultural forces. (Kotler & Armstrong, 2014, pp. 93–96)
Frameworks such as PESTLE2 (macro) or Porter’s Five Forces Model3 (micro) are practical aids to cover all aspects of the market assessment.
2.5.2. Customer
It seems obvious that the better a salesperson knows the customer, the more tailored will be the solutions offered in the sales call. In other words, if the salesperson is able to understand the exact decision-making process of the customer, the sales call is more likely to be successful.
In most sales conversations, the actors quickly find their roles which are not necessarily as they would have expected before the call. This is clearly a situational issue in personal selling and can be addressed by experience and training. There are, however, other factors that characterize a customer and the according decision-making process comprehensively.
Describing a customer is extremely difficult to carry out, especially if he/she has not shown any buying behavior to the company.
Countless internal and external influences determine the customer’s characteristics. The key categories of those factors are often classified as cultural, social, personal and psychological. Cultural factors comprise the culture itself, any subculture and the social class a person belongs to. Social factors comprise groups and social networks, family, as well as roles and status. Personal factors are individual and may relate to the age and stage in life of a customer, his/her occupation, economic situation, lifestyle, personality and self-concept. Psychological factors can be the customer’s motivation, perception, learning, beliefs and attitudes. (Kotler & Armstrong, 2014, p. 159)
[...]
1 Assessment of a company’s Strengths, Weaknesses, Opportunities and Threats
2 political, economic, socio-cultural, technological, legal and environmental factors
3 Threat of new entrants, Threat of substitutes, Bargaining power of customers, Bargaining power of suppliers, Industry rivalry
- Quote paper
- Simon Schäffer (Author), 2018, Applying Neuro-Cognitive Framing to Personal Selling, Munich, GRIN Verlag, https://www.grin.com/document/1156531
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