s & dm module 1
TRANSCRIPT
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Module - 1
Introduction to Sales
Management
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The exchange of goods or services for an amount ofmoney or its equivalent in kind
Sales - Meaning
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First generation (Exchange of goods)
Second generation (Store concept)
Third generation (Search of the customer started)
Fourth generation (First step to systematic selling)
Fifth generation (Need based selling)
Sixth generation (Started in 1960)
Seventh generation (Customer satisfaction came intopicture)
Evolution of Sales Concept
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Helps organization to achieve its goals
Enhances knowledge about both internal as well asexternal environment
Information exchange among the departments
Identification of potential prospects, qualify them anddevelop a long-term relationship with such customers
Selling - Nature and Role
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Sales makes a vital contribution to society and theeconomy, its negative image tends to overshadow thegood it does
The profession of selling is one of the most degraded,condemned, and ridiculed professions in the society
Selling - Image
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Increase sales volume
Contribute to profit
Long-term growth of organization
Improving the contribution to profit
Attaining the long term growth in market
Sales Management - Objectives
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No tandem between sales and marketing functions in anorganization
A marketing person may perceive the sales job as
One with no scope of creativity
Sales people do not understand the behavior of customers rightly
A sales person may perceive the marketing job as
Inferior because sales people make the marketing program successful
Being alienated from the actual marketA negligible communication between these two organization
Integrating Sales and MarketingManagement
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Shorter product life cycle
Longer, more complex sales cycle
Reduced customer loyalty
Intense competition among manufacturing companies
Rising customer expectation
Increasing buyer expertise
Electronic revolution in communication
Environmental Changes affecting SalesManagement
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Nowadays companies are hiring women too as a salespersonnel in selling products and services to both types ofindividual as well as industrial customers
Entry of Women in SalesManagement
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Sales Functions & 10
Role of Sales Manager
As a sales forecaster
As a strategic planner
As an observer of buyer behavior
A market analyst
A leader
A cost and profit analyst
A budget manager
A communicator
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Sales Functions & 11
Responsibilities of Sales Manager
Hiring (recruiting sales force)
Training (Providing necessary sales training)
Coaching ( observing the training needs of sales person)
Motivating (continuous support)
Setting targets and tracking results
Recognizing and rewarding performance
Providing leads and sales support
Organizing the sales efforts
Conducting sales meetings
Allocating scares resources
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Sales Functions & 12
Roles of Sales Executives
As a persuader
A service provider
An information-gatherer and reporter
An advocate
A traveler
A coordinator and scheduler
A problem definerA customer ego builder
Arranging display for wholesaler and retailer
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Sales Functions & 13
Responsibilities of Sales Executive
Identify potential customers from current data base
Identifying prospective accounts and deciding upon thepriority and frequency of making calls
Deciding upon the selling approachAdministering the sales order
Service provider
Information gathering and reportingSkill up gradation
Administrative responsibilities
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Sales Functions & 14
Policies that Impact SalesManagementSales-related policies pertaining to the product
Product line policy
Product design policy
Sales-related policies pertaining to the distribution
Sales-related policies pertaining to the pricing
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Personal Selling
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Personal Selling 16
Personal Selling - Meaning
Personal selling is the process in which a salesperson hasa personal interaction with the customer for the purpose ofselling a product or service
It is a promotional tool in any companys promotionalmix
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Personal Selling 17
Types of Selling Jobs
Sales development
The salesperson needs to generate a perceived need forthe product in customers mind.
Sales maintenance
Retaining the customer for the longtime with company
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Personal Selling 18
Sales Objectives
Qualitative Objectives
Effective time management
Possessing sufficient knowledge
Maintaining good customer relation
Quantitative Objectives
Increase market share
Number of sales call made
Minimize sales expenses
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Personal Selling 19
Sales Force Strategies
Market access strategies
Companys use of its own sales force
Use of distributors
Telemarketing independent sales agents
The internet
Developing hybrid marketing systems
Establishing alliances
Account relationship strategy
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Personal Selling 20
Theories of Personal Selling
AIDAS theory
Buying formula theory of selling
Behavioral equation theory
Right circumstances theory
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Personal Selling 21
Approaches to Personal Selling
Stimulus-response approach
Need satisfaction approach
Problem-situation approach
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Personal Selling 22
Major Steps in Effective Selling
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Personal Selling 23
The Personal Selling Process
ProspectingThe salesperson identifies qualified potential
customers
Pre-approach
The salesperson learns as much as possible about aprospective customer before making a sales call
ApproachThe salesperson meets the customer for the first
timePresentation
The salesperson tells the product story to thebuyer, highlighting customer benefits
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Personal Selling 24
The Personal Selling Process
Handling ObjectionsThe salesperson seeks out, clarifies, and overcomes customer
objections to buying
ClosingThe salesperson asks the customer for an order
Follow-upThe salesperson follows up after the sale to ensure customer
satisfaction and repeat business
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Personal Selling 25
Customer Related Issue in PersonalSellingUnderstanding customer types through different sellingstyles
Trade selling
Missionary selling
Technical selling
New business selling
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Personal Selling 26
Customer Related Issue in PersonalSellingFinding customers
Researching customers
Communicating effectively
Providing customer services
Creating customer satisfaction
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Personal Selling 27
Benefits of Sales Force Automation
Information sharing
Handling customer alerts
Reporting sales force activities
Tracking the progress of leads
Accurate routing of leads
Internet based facilities
Customer profiling
Comparison of historical dataCompetitive intelligence
Sales forecasting tools
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Hiring and TrainingSales Personnel
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Hiring and Training 29
Recruitment and Its Importance
Helps in saving cost
Helps in saving salary and other expenses
Save the image of company by selecting right people
Need to make strategies to keep the sales person for along time
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Hiring and Training 30
Determining Specific Requirementsof SalesmanMental Aptitude Dimension
Mental alertness
Business terms and memory recall aptitude
Communication skills
Numerically skills
Mechanical interest
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Hiring and Training 31
Determining Specific Requirementsof SalesmanPersonality dimension
Honesty or character
Sociability
Cynicism
High energy levels
Dominance
Competitiveness
Emotional maturity
Work habits
Work motivation
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Hiring and Training 32
Sales Personnel Selection Process
Sourcing the Candidate
Screening the Candidate
Selection Test
Background Check
Personal Interview
Letters of Recommendations
Physical Examination
Making the Employment Offer
Personality Test
Psychometric Test
Honesty Test
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Hiring and Training 33
Importance of Sales Training
To increase the productivity of sales force
To decrease the wastage of sales force efforts
To improve the image to organization
To increase the customer relationship
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Hiring and Training 34
Types of Sales Training
Initial sales training
Follow-up or refresher training
Training by the manufacturer to the distributors sales
forceTraining by the manufacture to customer
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Hiring and Training 35
Sales Training Program
Designing Training Program
Determine the objectives of training program
Review sales activities of the organization
Determine who should be trained
Identify training needs
Determining how much training is required
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Hiring and Training 36
Sales Training Program
Implementing theTraining program
Selecting the righttrainer
Timing of training
Place of training
Third party training
Centralized training
Training zone
On-site training
Training through postal
material
Satellite-delivered training
Online training
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Hiring and Training 37
Sales Training Program
Evaluating the TrainingProgram
Salespersons reaction
Knowledge acquisition
Behavioral change/ transfer of learning
Organizational outcomes
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Thank you