Sales management involves planning, directing, and controlling a company's sales force to achieve sales goals in an effective and efficient manner. It is an important function as revenue fuels organizations. The key tasks of sales management include managing the sales force, providing sales training, managing channel partners and sales territories, and ensuring sales targets are met. Personal selling is an important promotional tool where a salesperson matches a company's product or service benefits to a client's specific needs, often building long-term relationships. The personal selling process typically involves prospecting, preparation, initial contacts, presentations, handling objections, negotiation, closing the sale, and follow-up.
Sales management involves planning, directing, and controlling a company's sales force to achieve sales goals in an effective and efficient manner. It is an important function as revenue fuels organizations. The key tasks of sales management include managing the sales force, providing sales training, managing channel partners and sales territories, and ensuring sales targets are met. Personal selling is an important promotional tool where a salesperson matches a company's product or service benefits to a client's specific needs, often building long-term relationships. The personal selling process typically involves prospecting, preparation, initial contacts, presentations, handling objections, negotiation, closing the sale, and follow-up.
Sales management involves planning, directing, and controlling a company's sales force to achieve sales goals in an effective and efficient manner. It is an important function as revenue fuels organizations. The key tasks of sales management include managing the sales force, providing sales training, managing channel partners and sales territories, and ensuring sales targets are met. Personal selling is an important promotional tool where a salesperson matches a company's product or service benefits to a client's specific needs, often building long-term relationships. The personal selling process typically involves prospecting, preparation, initial contacts, presentations, handling objections, negotiation, closing the sale, and follow-up.
Sales management involves planning, directing, and controlling a company's sales force to achieve sales goals in an effective and efficient manner. It is an important function as revenue fuels organizations. The key tasks of sales management include managing the sales force, providing sales training, managing channel partners and sales territories, and ensuring sales targets are met. Personal selling is an important promotional tool where a salesperson matches a company's product or service benefits to a client's specific needs, often building long-term relationships. The personal selling process typically involves prospecting, preparation, initial contacts, presentations, handling objections, negotiation, closing the sale, and follow-up.
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Sales Management
Introduction to Sales Management
Sales - Definition - A sale is the pinnacle activity involved in selling products or services in return for money or other compensation. It is an act of completion of a commercial activity. - Sales is everything that you do to close the sale and get a signed agreement or contract.
Sales Management According to American Marketing Association (AMA), Sales Management means 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. Sales management is attainment of an organization's sales goals in an effective & efficient manner through planning, staffing, training, leading & controlling organizational resources. Revenue, sales, and sources of funds fuel organizations and the management of that process is the most important function.
Marketing Definition Marketing is the process associated with promotion for sale goods or services. It is considered a "social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and values with others. It is an integrated process through which companies create value for customers and build strong customer relationships in order to capture value from customers in return. Marketing is used to create the customer, to keep the customer and to satisfy the customer. With the customer as the focus of its activities, it can be concluded that marketing management is one of the major components of business management. The evolution of marketing was caused due to mature markets and overcapacities in the last decades. Companies then shifted the focus from production more to the customer in order to stay profitable.
Sales and Marketing
What's the Difference? Sales
Marketing
Sales starts with seller & is
preoccupied all the time with the needs of the seller Emphasizes on saleable surplus available with the company Seeks to convert products in to cash Views business as goods producing process Sales views the customer as the last link in the business
Marketing starts with the
buyer and focuses constantly on the needs of the buyer Emphasizes on identification of market opportunity Seeks to convert customer needs in to products Views business as a customer satisfying process Marketing views the customer as the very purpose of business
The sales and marketing
relationship Marketing and sales are very different, but have the same goal. Marketing improves the selling environment and plays a very important role in sales. The marketing department's goal is to increase the number of interactions between potential customers and company, which includes the sales team using promotional techniques such as advertising, sales promotion, publicity, and public relations, creating new sales channels, or creating new products (new product development), among other things.
Evolution of Sales Management Before Industrial revolution, small scale manufacturers influenced the economy. After, 1760 AD, large scale manufacturers started dominating. Need to expand the market Separate functional departments like manufacturing, finance and sales were established.
Evolution of Sales Management Active involvement of distribution channels (Wholesalers & retailers) Complex marketing function Marketing function was split in to Sales fn. & support fn. (promotion, research, logistics, etc.) Sales department generates revenue
Nature of Sales Management i. Integration with Marketing Management ii. Relationship Selling iii. Varying sales responsibilities
i.
Integration with Marketing
Management
Sales management is a part of marketing
management Field sales team: In territories, contacting existing and prospective customers Headquarter team: Performs support and service functions to assist sales people. (Promotion, Market research, Logistics, Customer service and coordination)
ii. Relationship Selling
Relationship is an exchange Obtaining & offering Creation of customer loyalty Customers classified as A/B/C as per sales & profit potential Lower costs and add value Satisfying current needs and understanding future needs
Objectives of Sales Function.
To achieve Sales Targets
To achieve Market share targets To manage dealer network To organize sales training To handle customer complaints To manage Sales promotion campaigns To effectively cover market
Sales Management
Managing Sales Force
Offering Sales Training Managing Channel partners Managing Direct sales Managing Sales Promotion Managing Sales Territories Managing Sales Targets
Importance of Sales Management 1. 2. 3. 4.
Most exciting Highly financially rewarding Challenging careers Fastest & surest route to top management 5. Only function to generate revenue 6. Directly impacts the bottom line or net profit
Roles of a Sales Manager
1. Strategic role in the company with key inputs long term strategic plans, forecasting, sales force management, evolving strategies, controlling budget. 2. Member of corporate team to ensure organizational objectives customer satisfaction, sales growth & market share 3. Team leader to achieve sales goals & profits 4. Managing multiple sales channels personal selling, electronic and telemarketing 5. Latest CRM technologies 6. Continually understand changes in environment and update strategies
Skills of Sales Manager
1. People Skills Motivate, lead, communicate and coordinate effectively with team building 2. Managing Skills Administrative skills like planning, organizing, controlling and decision making 3. Technical skills Training, selling, negotiating, problem-solving and CRM skills
PERSONAL SELLING
Personal Selling Personal selling occurs where an individual salesperson sells a product, service or solution to a client. Salespeople match the benefits of their offering to the specific needs of a client. Today, personal selling involves the development of longstanding client relationships. In comparison to other marketing communications tools such as advertising, personal selling tends to: Use fewer resources, pricing is often negotiated. Products tend to be fairly complex (e.g. financial services or new cars). There is some contact between buyer and seller after the sale so that an ongoing relationship is built. Client/prospects need specific information. The purchase tends to involve large sums of money.
Everyone lives by selling something
Stevenson
R.L.
Personal selling and its fit in the promotional mix
Usually more appropriate in B2B than consumer
markets.
Advantageous in promoting and selling high cost,
complex items.
Operates more effectively when customers are on the
verge of making a final decision and committing themselves.
Characteristics of personal selling
Impact - sales representatives have a much greater
chance of engaging initial attention and responding to situations.
Precision - targeting and message precision.
Cultivation - sales force plays an important role in
creating and maintaining buyer seller relationships.
Cost - personal selling is very labour intensive so comes
at a cost.
Sales representatives - typical tasks
Forms of personal selling
Order takers - external and internal. Order makers - finding prospective customers, identifying customer specific problems and needs, selling product and assisting with installation and training, and maintaining relationship. Sales support - augment the efforts of mainstream sales force. Missionary sales representatives - focus on particular segment of product to give enquiries and sales an initial lift. Sales engineers - focus on the technical or application problems of the product.
The personal selling process
Stages and objectives of the personal
selling process
Sources of prospects
(1) Prospecting Identify the potential customers Making warm contacts rather than cold calling
Leads - prospective customers.
Prospects before a contact, find they with potential.
Qualified prospects after a contact, find they with
great potential.
(2) Preparation and planning
It is to look for:
Customers buying criteria and needs
Customer organisations purchasing structures
The application of the prodcut and the features and benefits required.
(3) Initial contacts
It is to build up mutual rapport, respect and trust between the buyer and seller before the formal and serious business discussion. Two approaches:
Initial phone call for a meeting appointment
Could calling/visiting for a lucky meeting arrangement
(4) -Sales presentation
It is to show how the product offering and the customers needs match.
Stimulus response.
Formula selling.
Need satisfaction.
(5) Handling typical objections
Typical objections: Your: company, product, service, pricing; You; you are not competitive enough I cant afford it; I dont need it
Ask the objection back.
Agree and counter.
Boomerang.
Feel, felt, found.
Denial.
(6) Types of negotiations
Co-operative or win-win - trading concessions results in a better deal for
both parties.
Competitive negotiation - hard bargain focused on short term gain.
(7) Types of sales closure
It has reached the point where the customer agrees to purchase.
