SALES MANAGEMENT

AJAY KUMAR GARG INSTITUTE OF MANAGEMENTPRESENTED BY

NAVEEN KUMAR (PGDM-08/34)

PRESENTATION SCHEME

□Introduction

□Sales processes

□Sales management activities

□Sales strategies

□Sales related marketing policies

□ Case study

□ Solution of case study

INTRODUCTION

Sales management is defined as “the planning, directing and controlling of personal selling, including recruiting, selecting, supervising, paying and motivating to the personal sales force”.

Sales Processes

Salesperson attributes• Customer oriented• Honest• Dependable• competent

Initiating customer relationships• Prospecting• Precall planning• Approaching the customer

Developing customer relationship• Sales presentation • Gaining customers commitment

Enhancing customer relationship

Sales Management Activities

Developing the sales strategy

Designing the sales organization

Developing the sales force

Directing the sales force

Determining sales force effectiveness and performance

SALES STRATEGY

□ Relationship Strategy

Adopt Win-win Philosophy

Project Professional Image

Maintain High Ethical Standards

CONT….

□ Product Strategy

Become a Product Expert

Sell Benefits

Configure value-added Solution

CONT……

□ Customer Strategy

Understand Buyer Behaviour

Discover Customer Need

Develop Prospect Base

CONT…

□ Presentation Strategy

Prepare Objectives

Develop Presentation Plan

Provide Outstanding Services

SALES RELATED MARKETING POLICIES

□ Pricing Policies

□ Distribution Policies

□ Promotional Policies

□ Product Policies

COOL HEADS PVT.LTD.

Cool Head’s established in 1985 to manufacture ,distribute and market pharmaceutical soft drinks. It was purely an Indian company which was facing a stiff competition from multi-national companies.

In1995, the managing director stressed the need for diversification and addition of new product to its existing product line. He floated the idea of manufacturing and marketing coffee with milk, cocoa and sugar that would be a big success in the view of its competitive brands. Marketing research department of the company also gave the green signal to the project.

The company promoted its coffee with “choco-coffee” brand name, with a pack of 400 grams at the price of Rs. 75/-.The product was heavily advertised in news papers, health magazines, radio and television. The target audience was middle class that can afford “choco-coffee”.

CONT…….

The ordinary coffee was available in the market at the rate of Rs30 to Rs 40/- per kg

The company has 50 stockists covering the company with the sales force of 150 representative for promoting its products through supermarket and shops. To promote its coffee brand, its representative gave discount coupons to the stockists for passing on to their customers for buying their coffee. The buyers were entitled to Rs. 5/- discount per packet of 400 grams and the scheme continued for 6 months.

Despite heavy advertisement the product was unable to attract the customers .Launching of this product did not affect the market position of other branded coffee at all which was being sold at the Rs90/- for the pack of 275 grams .

QUESTIONS

what do you think are the reasons for the failure of the company to achieve its target?

Suggest the sales promotion plan for increasing the sales volume of the company.

ANSWER

1) Price were too high according to target customer.

In comparison to other similar offering their price were too low that lowered the product image.

The Marketing research conducted by the marketing team was too brief that they are unable to identify the correct strategy.

Cont….

2) They should introduce the free sachet campaign.

They should reform their distribution channel to ensure maximum market share.

Decide the price according to the target customers.

THANK YOU