Sales Management Planning
Sales Management Planning
Sales Management Planning
Chapter 8
Business Strategy
SBU Management
Marketing Strategy
Target Market Selection Marketing Mix Development Integrated Mkt Communications Account Targeting Strategy Relationship Strategy Sales Channel Strategy
Marketing Management
Sales Strategy
Sales Management
Secure distribution
Hold
Maintain sales
and new accounts Product/market feedback Call on targeted current accounts Increase service levels to current accounts Call on and service most profitable accounts only and eliminate unprofitable accounts Reduce inventories
Dump inventory Eliminate service
Divest/Liquidate
Minimize selling
Salary
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Market Penetration: making more sales to current customers without changing its products
Add new stores in current market areas, improve advertising, prices, service or store design.
Corporate Growth Orientation and Sales Management Activities (Compaq Computer Example)
Corporate Growth Direction
Intensive Growth Internal Development Diversification Growth
Development of new Internet Development of new personal products, small business computers for existing markets systems, and engineering workstations
Acquisition
Investing in companies with Operating as a venture capitalist products to help existing and investing in companies businesses compete more with promising new products successfully and technologies
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Low Cost - focus on low cost Differentiation - focus on uniqueness Niche - focus on a particular target market and use a low cost or differentiation approach
Low Cost - sell to large customers; minimize costs; focus on price; order taking role Differentiation - sell non-price benefits; high customer service and responsiveness; target low price sensitive customers; order generator 7 Niche - low cost or differentiation approach
When Low Cost per Contact is Important When Repetitive Contact is Important When Control of Message is Important When Audience is Large
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Advertising
Planning Hierarchy
Corporate mission Strategic business plan (long-term plan for the overall resource allocation to market, which includes marketing, finance, HR, operations, production).
Strategic marketing plan (long term plan for specific products and markets).
Strategic sales plan (long range plan for sales activities). Tactical Sales Plans (short run plan for implementing sales strategy).
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Secondary Data available data also gathered for some other purpose Other sources of information (e.g. MIS, MKIS, DSS)
Sales Intelligence
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Sales Intelligence
Sales people are expected to provide information for sales
planning and management and there is growing need for better sales intelligence from the field.
Sales people possess vital information about the market that
can be used to develop sales forecasts and quotas, to assess new products, and to formulate marketing strategies.
Salespeople should be encouraged/motivated by the
management; they should be provided with incentives, training, and proper supervision to encourage them to provide relevant information.
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Contd..
Sales managers must also make sure that the marketing
intelligence process is a two-way communication. Once the data has been analyzed, it is essential that relevant facts are communicated back to the field force in order to improve their selling efficiency.
Although the sales person has thorough knowledge about the
specialists to develop a procedure for incorporating information from the field into the marketing planning process. For such reasons other sources are also used, like:
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1. 2.
3. 4.
5.
Secondary data (which provides insight about the market conditions and competitors) Internal sales data (which allows managers to trace the histories of individual accounts, products, territories, and seasons) Product life cycle patterns Fluctuations, growth and decline of specific customers or customer groups (This information can be used to detect changes into different areas and at different times throughout the year) marketing research team
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4.
5.
6.
Analysis examines what happens in the past, look at the present situation, SWOT analysis, trend analysis. Goal setting phase set the direction for the sales force Sales strategies translate the goals into action Tactical plans more specific action plans, specific detailed outlines, assignment of responsibilities /deadlines Implementation stage plan is executed here Control stage serves to compare actual outcomes with planned results, in order to examine any plan revisions for the future.
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