Report by –
Brijinder Singh Anand
Application no – 61100
FSB1
About the company –
Asian Paints is an Indian paint company headquartered in Mumbai, India. It is one of the largest paint corporation that operates in 17 countries and has 23 paint manufacturing facilities in the world-servicing consumers in over 65 countries. Besides Asian Paints, the group operates around the world through its subsidiaries Berger International Limited, Apco Coatings, SCIB Paints and Taubmans.
JOB DESCRIPTION
Position: Area Manager SalesReporting to: Regional Manager - Sales
PURPOSE:
Prepare regular sales plans, direct and lead the sales personnel in the unit, handle schemes, promotions and collections, ensure excellent relationships with, and servicing of, dealers and customers linked to the unit, and manage and direct unit administration and complete statutory compliances in the unit WITHIN the guidelines of Company policies WITH THE OBJECTIVE of exceeding planned sales growth and ensuring efficient unit administration and complete statutory compliances.
SIZE
PUNE: 100 Cr, 500 dealers, 150Lakhs expenses
1 Office staff with C&F team (for Godown operations)3 Sales Supervisors 13 Trade Sales OfficersEducation: Master’s in Business Administration with 3-4 years experience in sales
Specific Knowledge Statutory laws, Dealer commerce, marketing tools
AREAS OF RESPONSIBILITY
Sales PlanningConduct the retail audit, identify opportunities, complete annual planning doc.With sales, local promotion & input proposals & other key objectives andresource requirement, set objectives for the team IN ORDER TO ensure sustainable growth, market share gains & stretch objectives at product-category level.
Sales OperationsReview sales and work out monthly sales plans, examine critical dealer levelplans work out & implement schemes and promotions, provide day-to-daysupervision, ensure timely reporting by the sales team & ensure responsiveback-office support IN ORDER TO achieve/ exceed defined sales targets
Dealer Network ManagementResolve dealer/inter-dealer/inter-territory issues and conflicts, workout/rationalize special deals & rebates, add new Colourworlds/dealers,influence identified dealers/dealer-segments, build good relations with keydealers IN ORDER TO ensure the development of a healthy dealer network.
PromotionPlan, schedule & direct conduct of influencer meets, fix targets & plans forDemand Generation for direct orders by the sales, schedule, direct &implement activities relating to new product launch & market initiatives INORDER TO ensure the achievement of regional/central product category
Commercial ManagementMaintain unit-level over dues & collection efficiencies as per objectives, review& guide team in ensuring collections from dealers, anticipate and addresspayment problems in identified geographies/dealers IN ORDER TO ensurethose collections are in line with company norms and unit objectives
Complaints ManagementMonitor & resolve dealer service issues i.e. material service, shade cards,Dealer Health Cards, customer complaints, dealer accounts accuracy , promptpreparation and posting of business credit notes & account statements todealers IN ORDER TO ensure excellence in dealer service as per company
Expense ManagementPrepare expense budgets, monitor & review expense reports, meet &negotiate critical vendors, authorize expense vouchers IN ORDER TO ensureproper accounting and budgeting of expenses
People ManagementConduct appraisals of all sales & administrative staff, provide developmentalinputs to them build a spirit of teamwork, train and induct new recruits,assist in screening and recruitment of sales, administrative and CFA staff forall roles in the unit.
Logistics ManagementSupport the forecasting process by Supply Chain by providing estimatesthrough the RM for critical products and reviewing the forecasts in the systemIN ORDER TO minimize inventory levels and ensure timely service
Statutory ComplianceRegularly review all control, accounting and safety aspects of the CFA andgodown administration to ensure streamlined operations and compliances incontrol and statutory areas.
JOB PROFILE:
1. TERRITORY SALES OFFICEREducation: Graduate, English speaking, knowledge of local language, good communication skills, 2-3 years selling experience
Dealer servicing1. Predetermined visit frequency2. Order booking3. Providing information on products, schemes, promotions4. Collecting payments5. Resolving issues, tallying dealer accounts, following up with company for
Credit Notes6. Ensuring timely supplies7. Handling product complaints8. Painter training, conducting meets9. Demand generation- visiting painting contractors, architects, large
customers and selling companies products10. Providing shade cards, shade tools, price lists, product literature etc11. Collecting market information- competitor product launches, schemes etc12. Conducting annual market audits- visiting all dealers, assessing competitors
sales and evaluating opportunities
2. SALES SUPERVISOR
Education: Graduate, English speaking, good communication skills, 5 plus years as Territory Sales Officer
1. Supervises 4 to 5 TSOs2. Responsible for setting annual targets at territory/dealer/product level3. Determines TSO’s visit cycle plan to cover all dealers4. Vets all requisitions for new dealer openings5. Supervises monthly scheme implementation/ painter training/ painter
meets/ shopboy meets6. Reviews TSO visit reports to ensure all pending issues are satisfactorily
resolved
7. Collects market information8. Handles difficult product complaints which TSO is not able to close9. Assists Area Sale Manager in planning, monitoring sales operations and
Network Management.10.Takes responsibility in developing good relations with few key dealers
3. SALES SUPERVISOR
Education : Graduate, English speaking, good communication skills, 5 plus years as Territory Sales Officer
Supervises 4 to 5 TSOs Responsible for setting annual targets at territory/dealer/product level Determines TSO’s visit cycle plan to cover all dealers Vets all requisitions for new dealer openings Supervises monthly scheme implementation/ painter training/ painter
meets/ shopboy meets Reviews TSO visit reports to ensure all pending issues are satisfactorily
resolved Collects market information Handles difficult product complaints which TSO is not able to close Assists Area Sale Manager in planning, monitoring sales operations and
Network Management. Takes responsibility in developing good relations with few key dealers
DURABLE NON -DURABLE
SERVICES
CONSUMER YES NO YES
INDUSTRIAL YES NO YES
PRODUCT CATEGORY MATRIX
Dealer’s Margin :- 5-15 %
Octroi tax – the current rate is 5.5 %
The company pays 3.5 % ( 63 %)
The dealer pays 2 %. (37%)
CHANNEL MEMBERS
Customer
Product
Primors/ Putties – we get primors in litres while putties in kg. Primor sizes vary from 1kg – 20 kg. Puttie sizes vary from 1ltr – 20 ltr.
All the products come in 7 shades to the distributor: –
1 White
6 Bases
Colors can be tinted in machines in the shop. This can yield 1800 different
shades.
Roles of channel members
Company (territory manager):-
Explains schemes/ Co promotion. Dealer Health Card – Notes all complaints Checks A/c May Collect Payments Informs dealers of new products Visits customers in case of grievances Holding painter meet
Dealers/ Distributors:-
Payment discounts Monthly Schemes/ promotions Annual deals Customer Service.
Dealer Frequency Plan
Company’s territory manager makes a plan to make visits to the dealers at a particular frequency based on the sales volume.
SALES COSTS NO. OF VISITS
5cr- 1cr Once in 3 days.
75 lakhs – 1 cr Once in a week
50 lakhs – 75 lakhs Once in 10 days
Others Once in 15 days
Territory manager allocates different areas in his territory to different salesmen and make them to visit the customer at a particular frequency based on the above criteria.
Distribution System (PUNE)
Wakad200 Shops in Pune City
Pimpri 150 Shops
Adjoining Dist.
400 Shops In Pune/ Satara
Delivery Process
Pune - 3 hrs Up Country - next day
3 Depots
750 Shops in Pune City
Buying process (PUNE)
Flow
Shop places order through
of
Telephone - Call Centres in MumbaiPunched in or ERP System
Order
Invoice ReleashedMaterial Goes to Shop
Credit Schemes & Incentives
5 % Cash Discount Within 3 days
3.5 % Cash Discount
27 days for city35 days for up country
No discount
If it is further delayed than further orders are canceled
Main Products
PRODUCT MARKET FINISH PRICE Premium Gloss Enamel
For use on wood/metal
Glossy Finish
180/ per litre
highly durable
to be used on primer
Utsav EnamelFor use on wood/metal
Glossy Finish 130/ perltre
only interiors
to be used on primer
Premium satin enamel
For use on wood/metal Satin Finish 190/ pl
highly durable
to be used on primer
Metal primerFor use on wood/metal
Rs 50/ per litre
to be used on metal
Wood Primer For use on wood Rs 70 per kg to be used on wood
Tractor Synthetic Distemper
For Use on interior walls Matt Rs 60 per kg washable
to be used on primer
Tractor acrylic Distemper
For Use on interior walls Matt Rs 70 per kg
more durable
to be used on primer
Tractor emulsionFor Use on interior walls Matt
Rs 100 per litre
more durable
to be used on primer
Premium EmulsionFor Use on interior walls Matt
Rs 165 per litre
more attractive
to be used on primer
Royale emulsionFor Use on interior walls Sheen
Rs 300 per litre
very attractive
to be used on primer
Royale playFor Use on interior walls Sheen
Rs 350/ per litre
with effects
to be used on primer
Ace emulsionFor use on exterior walls matt
Rs110 per litre
to be used on primer
ApexFor use on exterior walls matt
Rs 200 per ltre
to be used on primer
UltimaFor use on exterior walls Sheen
Rs 275/ per litre
to be used on primer
Exterior PrimerFor use on exterior walls matt
Rs 90 per litre
to be used on primer
MARKET BREAK UP
Home Repainting 60%Builders/ Contractors 20%Office Painting 10%Industry Painting 10%
MAIN PLAYERS IN PAINT MARKET -
1. ASIAN PAINTS LTD2. BERGER PAINTS LTD3. KANSAI NEROLAC LTD4. AKZO NOBEL LTD (Dulux)5. JOTUN PAINTS LTD6. NIPPON PAINTS LTD
TERRITORY SALES OFFICER- ALLOCATION OF TERRITOTIES AND DEALERS IN GEOGRAPHICAL AREA
No of of Dealers
Market Market
Market Market Market
Market Market
Market Market
Market Market Market TOTAL
TSO A B C D E F G H I J K L
Potential all cos20 crores
18 crores
15 crores
25 crores 20 crs 18 crs 15 crs 22 crs 20 crs 30 crs 23 crs 25 crs 251 crs
Asian Paint sale 10 8 7 10 7 8 6 7 8 15 9 9 104no of dealers 42 45 50 44 50 40 45 45 44 35 46 44 530 Nof dlrs over rs 1 cr annum 1 1 0 1 0 1 0 1 1 3 1 2 .5to 1 cr pa 4 2 2 3 2 2 1 1 2 3 3 2 .3 to .5 cr pa 7 6 6 8 6 6 5 5 5 5 8 7 .1 to .3 crs pa 10 16 20 10 15 11 14 15 15 10 12 14 less than 10 lac pa 20 20 22 22 27 20 25 23 21 14 22 19 Total 42 45 50 44 50 40 45 45 44 35 46 44 time with dlrs 37.5 33 31.6 36.6 30.6 30.5 25 28.9 31.3 37.7 37.6 37.2 travelling time 19.8 19.14 19.8 20.13 19.8 17.49 17.16 18.15 18.48 18.15 20.79 20.13 Painter training 21 22.5 25 22 25 20 22.5 22.5 22 17.5 23 22 Complaint handling 4 4 4 4 4 4 4 4 4 4 4 4 Demand gen 4 4 4 4 4 4 4 4 4 4 4 4 2 daysoff in month 16 16 16 16 16 16 16 16 16 16 16 16 1day/week office 32 32 32 32 32 32 32 32 32 32 32 32 Total 134.3 130.64 132.4 134.73 131.4 123.99 120.66 125.55 127.78 129.35 137.39 135.33 Time efficiency 84% 82% 83% 84% 82% 77% 75% 78% 80% 81% 86% 85%
Time/Visit in hours Visits/Months No. of Dealers
1 4 over rs 1 cr annum1 3 .5to 1 cr pa
0.75 2 .3 to .5 cr pa0.5 1 .1 to .3 crs pa0.3 1 less than 10 lac pa
Table above takes average time spent with each category of dealer.In Dealer market table,
Row 1 12 territories , one for each TSO, (1 TSO buffer when others go on leave)Row 2 Annual Paint sale in Territory – all companiesRow 3 annual Asian Paint Sale in TerritoryRows 6-10 No of dealers in each size classification in each territoryRow 11 Total no of dealers in each territoryRow 13 Time spent with dealers based on no of dealers in each category x
no of visits per month x avg time per visitRow 14 monthly travelling time = no of dealer visits x 20 min (avg time
between dlrs)Row 15-17 Avg monthly time in painter training, demand generation, complaint
handling Row 18-19 Days off/ in officeRow 20 total time workingRow 21 Working efficiency – kept between 80 and 90% to allow for
contingencies.
Call Sheet
CALL SHEET
Dealer Visited
Date
Time
Person Met
Value of order given
Credit notes Given
Payments Collected
shadecards given
Dealer grievances
Supplies
Accounts
Credit notes
Product Complaints
Competitor Information
competitor schemes/ discounts
new product launches
estimated monthly sale
Asian Paints Market percieved Kansai Nerolac Berger Paints Akzo Nobel
Interior wallsPrice/Quality Advantage of AP
Distempers EconomyUtsav acrylic Distemper most durable in category Beauty distemper Jadoo Distemper
Tractor Synthetic Dist best coverage Bison Distemper
Emulsions Economy Tractor Emulsion Beauty emulsion Bison Emulsion
Premium Premium emulsion good washability beauty acrylic Rangoli Easy Clean Dulux
Luxury Royale Emulsionbest washability with teflon Impressions Silk Velvet Touch
best look Breathe easy Dulux 3 in 1
Solvent based Apcolite Lustre
Good washability, ‘dana’ appearance Nerolac Lustre
Exterior Emulsion Economy Ace good colour retention Suraksha Walmasta
Premium Apex known for durability Excel Weathercoat Weather shield
Luxury Ultima 7 year warranty Excel TotalWeathercoat Allguard
Weather shield Max
Enamel Economy utsav Enamel Butterfly
Premium Apcolite Enamel wide shade range Nerolac Enamel Luxol Dulux
Luxury Satin enamel low sheen Satin Luxol Satin Dulux Satin
Premium Semi Gloss water based Dulux 5 in 1
Wood Finishes Economy Touchwood Wonderwood 1KPU
Premium Melamyne fast dryingWonderwood melamine
Luxury Asian PU Finish excellent durability Wonderwood 2KPU Woodkeeper PU
Kansai Nerolac – Leader in Lustre Enamel, Strong number two in Nerolac Enamel and good share of distemper. Prices 5% lower than asian paints.
Akzo Nobel strong number two in Velvet Touch Emulsion and Dulux Emulsion. Good share in Project s with builders using weathershield Emulsion.Berger leader in Project sales. Good sales of Bison distemper.Asian Paints strong in all categories and leader wherever not mentioned above. Prices are normally 5 to 10% higher than competition. Best supplies and quality as perceived by users.
Berger sells on the price economy front, Nerolac was traditionally strong in Pune but has been losing share to Asian Paints over the last 10 years.
MARKET DEVELOPMENT PLAN
1. To grow in Royale and Premium Emulsion category by 30 % in 2011-12a. Installing at least 10 new Colourworlds (Emulsion tinting machines at
dealer counters)b. Opening 10 new dealers in the growing suburbs of Pune – baner,
Pimpri Chinchwad etcc. Operating a consumer promotion on emulsions in the key in the key
demand period prior to Diwalid. Holding painter meets across all emulsion counters demonstrating
through application advantages of Royalee. Ensuring prominent visibility in all counters of Royale and the Teflon
merchandisingf. Working with Marketing to launch an emulsion initiative in December
to February in the city supported by attractive dealer and painter schemes
g. Ensure adequate share of voice in advertising in the City
2. To gain share in The Lustre enamel segment dominated by Nerolaca. Focus on this segment through launch of water-based Lustre across
the networkb. Fix targets at the dealer level for water based + solvent based lustrec. Hold extensive training programmes for painters highlighting
advantages of water-based lustre- quick drying, no smell, higher coverage hence lower cost/sq ft.
3. To expand the network in competition strong clustersa. To open at least 3 dealers each in the main market (Boriali) and camp
areas so as to gain shae from Nerolac in these markets
4. To ensure dealer servicing within 3 hours of placing the order and issue of credit notes within 5 days of month closing.
5. To focus on the Exterior market in the builder segment where Berger and Akzo Nobel are strong
a. Identify the list of major builders in the city
b. Allocate at least 3 builders to each TSOc. Ensure each builder is visited at least once in 15 days and his major
projects identifiedd. Ensure product/shade sampling is done across each builder’s projects
and that all services/ quotations are given in a timely manner
Top Related