123 sales management
TRANSCRIPT
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123 Sales Management
By Ramy Soliman
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Road Map
Introduction.
Planning, Organizing and controlling.
Staffing and Directing.
Sales Forecasting
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Planning & Organizing
Why is time so valuable for salespeople? Why should salespeople classify their accounts?
What to consider when determining call
frequency? What techniques can to use time effectively?
How to increase the # of calls made per day?
Why should we analyze territory coverage?
How can salespeople do their work efficiently?
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Why is time so valuable for
salespeople?
Salesperson working hrs/day = 8 hr.
Salesperson working days/year = 240 day
Salesperson working hrs/year = 1,920 hr.
Salesperson earns = 60,000 LE / year.
One hour of work cost = 31.26 LE Salesperson would have to sell = 624 LE/hr.
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Setting quotas
Total volume of sales = 0.6 M.LE./year.
Unit of sales = 5 Mbps per year.
Total # of leased lines = 12 per year.
# of customer calls = 3~4 per day.
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Why should we classify
accounts?
Planning is the key effective time
management.
First step in developing a territory sales planis to analyze the accounts.
80% - 20 % rule.
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How frequent to call on
customer?
Required
calling Period
Estimated Annual
Purchases
Customer
Classification
Every Month250,0001st
Every 2 months150,0002nd
Every 3 months75,0003rd
As time permitsUnder 30,0004th
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Sales Call Allocation Grid.
Attractiveness:-Accounts arepotentially attractive since they
offer high opportunity, but sales
organization currently has weak
position with accounts.
Strategy:- High level of sales callsto strengthen the sales
organizations position.
Attractiveness:-Accounts are veryattractive since they offer high
opportunity and sales organization
has strong position.
Strategy:- accounts should receive
a high level of sales calls since theyare the sales organizations most
attractive accounts.
Attractiveness:-Accounts are very
unattractive since they offer low
opportunity and sales organizationhas weak position.
Strategy:- minimal level of salescalls and efforts made to replace
personal sales call with direct mail.
Attractiveness:-Accounts are
somewhat attractive since sales
organization has strong position,but future opportunity is limited.
Strategy:- moderate level of salescalls to maintain the crt. Strength of
the sales organizations position.
Strong Week
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How to use time effectively?
Make a
list
Of
activitiesThat
should be
performed
Determine the
Priority for
EachActivity
Estimate
How much
Time each
Activity will
take
Develop a time
Schedule
For doingThe activity
Compare the estimated
time with the actual time
spent on the activity
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How to use time effectively?
Select your prospect for tomorrow calls.( F9)
List the names and location of each account.
Carefully route those calls to save travelingtime.
Visualize what is going to take place at each
call.(F5) Organize your data and exhibits to make each
call effective.
Daily Planning
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How to increase the # of calls
they make per day?
Stretching the workweek.
Lengthening the workday.
Using the telephone & the postage service.
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Why should we analyze territory
coverage?
LE. Sales per call.
LE. Sales by products.
Number of calls per day.
Number of interviews obtained.
Number of orders lost. Number of new prospect obtained.
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How can we do work
efficiently?
Daily work plan.
Daily call report.
Weekly summary report.
Monthly expense report.
Other reports.
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Will direct mail & telemarketing
replace salespeople? No, but it allow them to concentrate their
valuable resource-time on such important
activities as selling and servicing keyaccounts.
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Example for an Operation
System.Go to Real Ex
http://../SalesSys/index%20-%20Shortcut.lnkhttp://../SalesSys/index%20-%20Shortcut.lnk -
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Sales Forecasting
It starts from the sales call cycle.
Based on historical analysis & experience.
Experience is not guesses.
Questions are your weapon.
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Probability to Close
Probability to CloseAnswerQuestion2%You say helloMan answer the door10%Yes I doDo you have a mosquito
problem? ( NEED)35%Yes I canCan you afford it?80%Yes She doesDoes your spouseapprove?98%Yes I willWill you buy it today?
Probability are not guess by the way
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Probability to Close
Probability to CloseAnswerQuestion2%Says helloMan answer the door3%In-bound lead.5%Yes I doYard is suitable10%
Yes I do
Do you have a mosquitoproblem? ( NEED)
15%YesHave you comparedsystems?
25%You fit my needsWhat are you looking for ina misting system?
30%Yours seems to be theright system (tangible
explanation)How will you know the
right system/35%YesDo you want it concealed?
Lets try to fill in some gaps
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Probability to Close
Probability to CloseAnswerQuestion40%Yes I canCan you afford it?
HIDDEN OBJECTIONSTRIAL TO CLOSE60%Give articulate answersHow would this systemchange your life style?70%Give articulate answersTell me how you entertain
outside?80%Yes She doesDoes your spouse
approve?97%Yes I willWill you buy it today?
100%Checks clears
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Sales Cycle Summary
We broke apart the sales cycle into its pieces. Focus on moving one step at a time.
Easier to burger one bit at a time.
Movement from 10% to 20% in the same as from
50% to 60% as from 90% to 100%.
Creates a paint by number methodology to
selling.
Lets your reps be creative within a framework.
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Why is Forecasting Important?
What would you do with a crystal ball?
But what if you had a crystal ball and you
had to control the outcome?As it relate to your income?
Your ability to own assets?
Your employment?
Your Future?
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Forecasting Using Statistics
ResultsChancesEventWin or LoseHead 50%
Tails 50%Coin Toss(single event)Win 5 times
Lose 5 timesHead 50%Tails 50%Coin Toss( Lets flip 10 times)( 10 X50%= 5 times)Win 242 times
Lose 242 timesHead 50%
Tails 50%Coin Toss
( Lets flip 484 times)
( 484 X50%= 242times)
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Sample Sales Report &
forecasting
(A)X (B) X
( $5000 avg. Sales)Number of Prospects(B)Probability to Close(A)$2000410%
15%$3000320%
25%$8,750535%
45%$21,000760%$7,000270%
$41,875Forecast