Session 1 Sales Mgt

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Transcript of Session 1 Sales Mgt

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Sales Management

Session 1

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�Peddlers

�Barter system

�Baniyas and small traders

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�Roman meaning of sales person is ³Cheater´

�John Henry Patterson ± Father of Modern sales

management

�Great expansion in the area of sales coverage

�Sales department grew in its importance

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³Management of all marketing activities

including advertising, sales promotion,

marketing research, physical distribution,pricing and product merchandising.´

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³Sales management is the planning,

direction and control of personal selling,

including recruiting, selecting, equipping,assigning, routing, supervising, paying

and motivating as these tasks apply to

the personal sales force.´

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� Sales volume

�Contribution to profits

�Continuing growth

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` Persuasion

` Negotiation

` Consultative selling

` Business Management` Partnership strategies

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` Production concept

` Product concept

` Sales concept

` Marketing concept : Target market, customer needs, integrated marketing and profitability

` Societal marketing concept

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` Industrial sellingx Selling to resellers

x Selling to business users

x Institutional selling

x Selling to governments

` Retail selling

` Services selling

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Selling

function

Order 

takers

Order 

Creators

Order getters

 Inside order taker 

 Delivery SP

 Outside order taker 

Missionary

SP

 Front line

SP

 Sales support

SP

 New business

SP

 Organizational

SP

 Consumer SP

Technical

support SP

Merchandiser 

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` Class activity

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` Four stage process

1.  Analysis

2. Planning

3. Implementation4. Control

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Producer/

Marketer  Consumer 

Market

anticipation

Exchange offer 

Of value

Marketing

mix´

4Ps

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1. Formulation of strategic sales management

program:

` The SSP should consider environmental issues

affecting the business` It should organize and plan the company¶s

overall personal selling efforts and integrate it

with company¶s marketing strategy

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` Selecting appropriate sales personnel, training

them, leading them, motivating them, designing

and implementing of policies and procedures thatwill direct the efforts of the sales people towards

achieving corporate objectives.

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Environmental

variables

Supervision

Determinants of 

SP¶s performance

Sp¶s views of jobrequirements, role

perceptions

Selection and

recruitment

Sales training

Motivation,

compensation

 And rewards

 Aptitude

Skills

Motivation

level

PerformanceSales volume

Quota allocation

Selling expenses

Profitability of 

customers

Level of customer service

Sales reports

Ethical practices

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` Sales analysis

` Cost analysis

` Behavioral analysis

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` Self reading

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�Coordination with other elements in the

marketing program

�Coordination with the distribution network 

�Gaining product distribution

�Obtaining dealer identification�Reconciling business goals

�Sharing promotional risks

� Coordination and implementation of overall

marketing strategy

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�Sizing up the situation

�Setting quantitative performance standards

�Gathering and processing data on actual performance

�Evaluating performance

�Action to correct controllable variation

�Adjusting for uncontrollable variation

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�Informal control

�Formal control and written sales policies

�Policy formulation and review

�Formal control over sales volume

�Budgetary control

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