EVOLUTION OF

SALES
MANAGEMENT
PRESENTED BY:
PUSHKAR SHUKLA
ROLL NO. 27
FLOW OF PRESENTATION
OBJECTIVES OF SALES
MANAGEMENT
Generate sufficient sales volume.
Contribute towards current profit.
Ensure continuous growth of the
organization.
 RESPONSIBILITIES
To the firm: Responsible to organize sales efforts within the
organization as well as outside.
To the sales force: To be selected, organized and deployed
with attractive compensation and freedom of action.
To the customer: Sales persons are the ultimate direct
contact link of the organization and customers.
To the society: Sales persons are in a better position to
reflect the feelings, attitudes and sentiments of customers
and community to the management.
ROLE OF SALES
MANAGEMENT
Generate sales and earn revenue.
Maintaining good customer
relationship.
Managing profitability of a firm.
Managing customer complaints.
Building brand value in eyes of the
customers.
FUNCTIONS OF SALES
MANAGEMENT
 MANAGERIAL FUNCTIONS

PLANNING: Involves forecasting demand, sales territory

planning, personal selling and promotional efforts.
ORGANIZING: Involves structure, resource allocation,
responsibility assignment and delegation of authority etc.
DIRECTION: Involves leadership motivation, communication
and promotional steps including personal selling.
CONTROL: Involves delegation, quota fixing, performance
evaluation, incentives and budgets.
COORDINATION: Involves liaison, integration of various
elements etc.
 STAFF FUNCTIONS

This is related to staff functions of sales force such

as:
Recruitment & selection
Deployment and evaluation of performance
Training and development
Career development
Compensation and incentives.
Motivation and empowerment.
ADVISORY FUNCTIONS

Product attributes/quality aspects.

Pricing policies.
Promotional steps and personal selling
aspects.
Distribution policies and channel selection
criteria.
Advertisement policies.
Transportation and warehousing aspects.
LIAISON FUNCTIONS

Liaison with departments such as:

Production department.
Finance department.
Marketing departments.
R&D departments.
Distribution network.
After Sales Service department.
FORMULATION OF SALES
STRATEGY
The key decision areas which are particularly

relevant to strategy formulation are:

Determining the size of the sales force.
Decision regarding type and quality of sales force

required.
Designing the sales organization.
Territory designing.
Recruitment and training procedures.
 Task allocation.
Compensation of sales force.
Performance appraisal and control system.
Feedback mechanism to be adopted.
Managing channel relationships.
Coordination with marketing departments.
RELATIONSHIP STRATEGY

Establishing and maintaining a partner-type

relationship with customers in which mutual
support, trust and goals are nurtured over time.
The sales force that builds effective relationships
with the customer and provides valuable service
are usually high performers and top achievers.
A SELLING PARTNER

P Prepares strategically for a long-term, high quality

relationship that solves customers problems.
A Asks questions to get on the customers agenda.
R Restates customer needs with confirmation
questions.
T Teams with support people to provide the customer
with solutions.
N Negotiates double win solutions with joint decision
making.
 DOUBLE WIN STRATEGY
In this strategy, both the customer and salesperson come
out of the sale with a sense of satisfaction knowing that
neither has taken advantage of other and that both have
profited personally and professionally from the transaction.
The salesperson not only obtains the order but also sets
the stage for a long term relationship, repeat business and
future referrals.
When a salesperson sells a product that is not the best
solution to the buyers problem, its win-lose strategy which
means that the salesperson wins at the buyers expense.
 WIN-LOSE
PEOPLE WIN-WIN PEOPLE

See a problem Help others solve their problem

Fix the blame

Let life happen to them
Live in the past
Make promises they
never keep
Fix what caused the problem
Make life joyous happening for
others and themselves.
Learn from the past, live in the
present and set goals for the future
Make commitments to themselves
and to others and keep both of
them
HARD SALE VS. SOFT SALE
STRATEGY

HARD SALE SOFT SALE

Concern for customer

Concern for self
Questions for discussion
Canned presentation
Listening
Talking
Providing buying
Pushing product
opportunities
Presenting features
Presenting benefits
Advocating without
Acknowledging needs
acknowledging
PERSONAL SELLING
OBJECTIVES
Qualitative

Quantitative
QUALITATIVE PERSONAL SELLING
OBJECTIVES
These are long term.
Concerns contribution that management expects
from personal selling in achieving long term
company objectives.
These objectives are carried over from one periods
promotional program to the next.
Basic considerations in setting these are decisions on
sales policies and personal selling strategies and
their role in the total promotional program.
 To do the entire selling job.
To service existing accounts.
To search out and obtain new customers.
To secure and maintain customers cooperation
in stocking and promoting the product line.
To keep customers informed on changes in the
product line and other aspects of marketing
strategy.
 To assist customers in selling the product line.
To provide technical advice and assistance to
customers.
To assist with the training of middlemens sales
personnel.
To provide advice and assistance to middlemen on
management problems.
To collect and report market information of interest
and use to company management.
QUANTITATIVE PERSONAL SELLING
OBJECTIVES
These are short term.
Adjusted from one promotional period to another.
Sales volume objective sets as the target for the
promotional period and is the key quantitative
objective.
All other quantitative personal selling objectives
derive from or are related to the sales volume
objective.
Setting the sales volume objective influences
 To capture and retain a certain market share.
To obtain sales volume in ways that contribute to
profitability.
To obtain some number of new accounts of given
types.
To keep personal selling expenses within set limits.
To secure targeted percentages of certain
accounts business.
REFERENCES
Panda T, Sachdev S : Sales and Distribution
Management, Oxford University Press
Gupta S.L. : Sales and Distribution Management,
Excel Books
Still, Kundiff, Govoni : Sales and Distribution
Management, PHI
THANK YOU