Ch1 Sales Force Management.docx

AN OVERVIEW OF SALES MANAGEMENT SALES MANAGEMENT PROCESSES The formulation of a strategic sales programme The implementation of the sales programme The evaluation and control of the sales performance FORMULATING A STRATEGIC SALES PROGRAMME * THE ENVIRONMENT (i) External Environment Potential customers Competition Legal restriction Technology Natural resources Social concerns * Internal Environment Objectives Human resources Financial resources Research and development capabilities Production capabilities * MARKETING STRATEGY Target markets Products Pricing policies Distribution channels Promotion policies Personal selling Advertising Sales promotion * SALES MANAGEMENT ACTIVITIES Account Management Policies Sales Force Organisation Sales Planning - Demand forecasts - Quotas and Budgets Deployment - Territory design - Routing IMPLEMENTING THE SALES PROGRAMME Determinants of the salesperson’s performance Environmental variables Market demand No. and aggressiveness of competitors Health of the economy Quality of its products Effectiveness of advertising campaign Role Perceptions understanding of job requirements and performance attributes role expectations conflicting demands (negotiation) Aptitude Personal characteristics like personality traits, intelligence, analytical ability Skill levels Product knowledge Presentation skills Motivation Level Based on rewards and their valence – compensation systems, incentive programmes EVALUATION AND CONTROL OF THE SALES PROGRAMME Sales Analysis Sales Volume Sales Territories Product performance Customer types Sales Quotas Sales Forecasts Cost Analysis Across districts, individual salespeople, products, customer types Behavioural analysis Self-rating scales Supervisor ratings Field observations Customer satisfaction surveys