UNIT - 1

SALES MANAGEMENT
The planning ,direction and control of personal selling , including recruiting, selecting, equipping, assigning, routing, supervising, playing and motivating as these tasks, apply to the personal sales force.

ROLE OF A SALES MANAGER

STRATEGIC ROLE. AS A MEMBER OF A CORPORATE TEAM. AS A TEAM LEADER. MANAGING MULTIPLE SALES CHANNELS. USE OF LATEST TECHNOLOGIES.

SKILLS OF A MANAGER
PEOPLE SKILLS. MANAGING SKILLS. TECHNICAL SKILLS.

EMERGING TRENDS
GLOBAL PERSPECTIVE. REVOLUTION IN TECHNOLOGY. SALES FORCE DIVERSITY. TEAM SELLING APPROACH. MANAGING MULTIPLE CHANNELS. ETHICAL AND SOCIAL ISSUES. SALES PROFESSIONALISM.

CONCEPT OF PERSONAL SELLING

Personal selling is a part of the total promotional activity of a firm, which along with product, price & place management , goes a long way in meeting the overall marketing objectives of the organisation.

SALES PROCESS
PROSPECTING &QUALIFYING PREAPPROACH

APPROACH

FOLLOW- UP & SERVICE

CLOSING THE SALE

OVERCOMING OBJECTIONS

PRESENTATION &DEMONSTRATION

PROSPECTING METHODS
REFERRALS FROM EXISTING COSTOMERS. REFERRALS FROM INTERNAL CUSTOMER SOURCES. REFERRALS FROM EXTERNAL SOURCES. NETWORKING BY SALESPERSONS. INDUSTRIAL DIRECTORIES. COLD CANVASSING.

QUALIFYING
PROBABLE IS QUALIFIEDTO GET FURTHER ATTENTION.

PREAPPROACH
INFORMATION GATHERING. PLANNING THE SALES CALL. SETTING CALL OBJECTIVES. PLANNING THE SALES STRATEGY.

APPROACH TECHNIQUES
INTRODUCTORY APPROACH. CUSTOMER BENEFIT APPROACH. PRODUCT APPROACH. QUESTION APPROACH. PRAISE APPROACH.

PRESENTATION
UNDERSTANDING THE BUYERS NEEDS. SITUATIONAL QUESTIONS. PROBLEM IDENTIFICATION QUESTIONS. PROBLEM IMPACT QUESTIONS. SOLUTION VALUE QUESTIONS. CONFIRMATION QUESTIONS.

KNOWING SALES PRESENTATION METHODS

STIMULUS RESPONSE METHOD. FORMULA METHOD. NEED SATISFACTION METHOD. TEAM SELLING METHOD. CONSULTATIVE SELLING METHOD.

DEMONSTRATION

METHODS FOR HANDLING OBJECTIONS

ASK QUESTIONS. TURN AN OBJECTION INTO A BENEFIT. DENY OBJECTIONS TACTFULLY. THIRD PARTY CERTIFICATE. COMPENSATION.

TRIAL CLOSING/CLOSING THE SALE

CLOSING TECHNIQUES
ALTERNATIVE CHOICE CLOSE. MINOR POINTS CLOSE. ASSUMPTIVE CLOSE. SUMMARY OF BENEFITS CLOSE. T- ACCOUNT CLOSE. SPECIAL OFFER. PROBABLITY CLOSE. NEGOTIATION CLOSE.

FOLLOW UP & SERVICE

CHECK CUSTMER ORDER PLAN FOLLOW UP VISIT

THEORIES OF SELLING
AIDAS THEORY OF SELLING. RIGHT SET OF CIRCUMSTANCES THEORY. BUYING FORMULA THEORY. BEHAVIOURAL EQUATION THEORY

SALES BUDGET
AN ESTIMATE OF EXPECTED VOLUME OF SALES AND SELLING EXPENSES.

METHODS USED FOR DECIDING SALES EXPENDITURE.

PERCENTAGE OF SALES METHOD. EXECUTIVE JUDGEMENT METHOD. OBJECTIVE AND TASK METHOD.

SALES BUDGET PROCESS

. REVIEW SITUATION. COMMUNICATION. SUBORDINATE BUDGETS. APPROVAL OF THE SALESS BUDGET. OTHER DEPARTMENTS.

SALES QUOTAS
SALES GOALS SET BY ORGANISATIONS FOR ITS MARKETING UNITS.

OBJECTIVES OF QUOTAS
AS PERFORMANCE STANDARDS . COTROLLING PERFORMANCE. MOTIVATING PEOPLE. IDENTIFYING STRENGTHS AND WEAKNESS.

TYPES OF QUOTAS
1.SALES VOLUME QUOTAS.
RUPEE SALES VOLUME. UNIT SALES VOLUME. POINT SALES VOLUME. 2.FINANCIAL QUOTAS -EXPENSE QUOTAS 3.ACTIVITY QUOTAS. 4. COMBINATION QUOTAS

METHODS FOR SETTING QUOTAS

PAST SALES EXPERIENCE. TOTAL MARKET ESTIMATES. EXECUTIVE JUDGEMENT. SALEPEOPLEs ESTIMATES. COMPENSATIPON PLAN

INSIGHT INTO SETTING AND ADMINISTERING SALESQUOTAS

SET REALISTIC QUOTAS. UNDERSTAND PROBLEMS IN SETTING QUOTAS. FLEXIBILITY IN ADMINISTERING QUOTAS. ENSURE PEOPLE UNDERSTAND QUOTAS.
PARTICIPATION IN SETTING QUOTAS. CONTINUOUS FEEDBACK. PURPOSE OF QUOTAS.

SALES TERRITORIES
IT CINSISTS OF PRESENT AND POTENTIAL CUSTOMERS ASSIGNED TO A SALESPERSON.

PROCEDURE IN DESIGNING SALES TERRITORIES

SELECT A CONTROL UNIT

FIND LOCATION AND POTENTIAL CUSTOMERS

DECIDE BASIC TERRITORIES

OR USE BUILD UP METHOD USE BREAK DOWN METHOD

BUILD UP METHOD
DECIDE CALL FREQUENCIES. DECIDE TOTAL NO. OF CALLS IN EACH CONTROL UNIT. ESTIMATE WORKLOAD CAPACITY OF A SALESPERSON. MAKE TENTATIVE TERRITORIES. DECIDE FINAL TERRITORIES.

BREAKDOWN METHOD
ESTIMATE COMPANY SALES POTENTIAL. FORECAST SALES POTENTIAL FOR CONTROL UNIT. ESTIMATE SALES VOLUME EXPECTED FROM EACH SALES PERSON. MAKE TENTATIVE SALES TERRITORIES. DEVELOP FINAL TERRITORIES.

RECRUITMENT
Recruitment is the process of identification of the sources for prospective candidate to stimulate them to apply for jobs in the organisation.

SOURCES OF RECRUITMENT
INTERNAL SOURCES EXTERNAL SOURCES

EMPLOYEE REFERRALS

TRANSFER & PROMOTION

RE EMPLOYMENT OF EX - EMPLOYEES

INTERNET
EDUCATIONAL AGENCIES

ADVERTISING

EMPLOYMENT AGENCIES POACHING

JOB FAIR

MEANING OF SELECTION
Selection is the process of choosing from among the candidates from within the organisation or from the outside , the most suitable person for the current position or for the future position.

SELECTION PROCEDURE
SCREENING RESUMES APPLICATION BLANK SELECTION TESTS REJECTION EMPLOYMENT INTERVIEW

REFERENCE CHECKING

MEDICAL CHECKING

JOB OFFER

TRAINING AND DEVELOPMENT

Training denotes a systematic procedure for transferring technical know how to the employees so as to increase their knowledge and skills for doing their particular job.

OBJECTIVES
To impart knowledge & skill to new employees. To impart knowledge & skill to existing employees. To prepare employees for their promotion. To mould personnel to adapt to organisational changes.

DESIGNING THE SALES TRAINING PROGRAMME

AIMS OF SALES TRAINING CONTENT OF TRAINING. METHODS OF TRAINING.

METHODS OF TRAINING
CLASS ROOM TRAINING 1.GROUP DISCUSSION. 2. DEMONSTRATION. 3.LECTURE. BEHAVIOURAL LEARNING 1. ROLE PLAYING. 2. CASE STUDY SELF STUDY 1. SELECTIVE READING 2 .AUDIO CASSETTES

COMPENSATING THE WORK FORCE

OBJECTIVES FROM THE COMPANYs VIEWPOINT
TO CONTROL SALES PEOPLE ACTIVITY. TO BE COMPETITIVE.

OBJECTIVE FROM EMPLOYEE VIEWPOINT

- TO HAVE REGULAR INCOME. -TO HAVE A SIMPLE PLAN -TO HAVE A FAIR PAYMENT PLAN.

DESIGNING AN EFFECTIVE SALES COMPENSATION PLAN

EXAMINE JOB DESCRIPTIONS SET UP SPECIFIC OBJECTIVES. DECIDE LEVELS OF PAY . DEVELOP THE COMPENSATION MIX.
Straight salary plan Straight commission Combination of salary ,commission and/or bonus.

Decide indirect payment plan. Pretest , administer, and evaluate the plan.

LEADING THE SALESFORCE

MODERN VIEWS OF SALES LEADERSHIP A. LEADER MEMBER EXCHANGE(LMX) B. TRANSFORMATIONAL LEADERSHIP. -TEAM BUILDING -LEADING BY EXAMPLE. - CREATING A VISION. - GIVING INDIVIDUALISED ATTENTION C. BEHAVIOURAL SELF MANAGEMENT.

 SET POLICIES ON PERFORMANCE EVALUATION AND CONTROL. DECIDE THE BASES OF SALESPEOPLES PERFORMANCE EVALUATION. ESTABLISH PERFORMANCE STANDARDS. COMPARE ACTUAL PERFORMANCE WITH THE STANDARDS. REVIEW PERFORMANCE EVALUATION WITH SALESPERSONS. DECIDE SALES MANAGEMENT ACTIONS AND CONTROL.

EVALUATING AND CONTROLLING THE SALESFORCE

I STEP
FREQUENCY OF EVALUATION. WHO CONDUCTS EVALUATION. 360 DEGREE FEEDBACK MBO. SOURCES OF INFORMATION.

II STEP
RESULT BASED VIEWPOINT. BEHAVIOUR BASED VIEWPOINT.

DISTRIBUTION
It is term applied to the process of moving goods from producer to the ultimate consumer.

Distribution management
The management of all activities which facilitates movement and coordination of supply and demand in the creation of time and place utility in goods.

NEED FOR DISTRIBUTION MANAGEMENT

To accumulate the right kinds of goods. To provide information. To be aware of the environment. To reduce the no. of touch points.

DISTRIBUTION CHANNEL STRATEGY

DEFINING CUSTOMER SERVICE LEVELS. SETTING DISTRIBUTION OBJECTIVES. SET OF ACTIVITIES. DISTRIBUTION ORGANISATION. POLICY AND PROCEDURES. KPIs

ROLE OF DISTRIBUTION CHANNELS

SPATIAL TEMPORAL BREAK BULK ASSORTMENT FINANCIAL SUPPORT.

CHANNEL CONFLICT
Channel conflict is behaviour by a channel member that is in opposition to its channel counterpart. It is opponent centered and direct , in which the goals or object sought is controlled by the counterpart.

MEASURING CONFLICT
COUNTING UP THE ISSUES. IMPORTANCE FREQUENCY OF DISAGREEMENT INTENSITY OF DISPUTE.

MAJOR SOURCES OF CONFLICT

COMPETING GOALS DIFFERING PERCEPTIONS OF GOALS. CLASHES OF DOMAIN.

CONFLICT RESOLUTION STRATEGIES

INSTITUTIONALISED MECHANISMS DESIGNED TO CONTAIN CONFLICT EARLY. INFORMATION INTENSIVE MECHANISMS THIRD PARTY MECHANISMS. BUILDING RELATIONAL NORMS.
Flexibility Information exchange solidarity

Selection of distributors
1. 2. 3. 4. 5. IDENTIFYING PROSPECTS. BACKGROUND CHECK OF PROSPECTS. MEET THE PROSPECTS. SHORT LIST CANDIDATES. FINAL SELECTION BASED ON QUANTITATIVE AND QUALITATIVE FACTORS.

SECURITY DEPOSIT PAYMENT BY DISTRIBUTOR CREDIT TO BE EXTENDED BY DISTRIBUTOR. INVESTMENT IN INFRASTRUCTURE. MANPOWER COVERAGE OF MARKETS. NEW ACCOUNTS COMPETITION TRACKING. HANDLING PRODUCT PROMOTIONS. ATTENDING TO CONSUMER COMPLAINTS. NEW PRODUCT / PACK LAUNCH.

CHANNEL PARTICIPANTS
DISTRIBUTION
MANUFACTURE -PHYSICAL -TITLE -INFORMATION -RISK SHARING -PROMOTIONS DISTRIBUTION CENTRE -PHYSICAL -TITLE INFORMATION -PAYMENT -ORDER PROCESSING DEALER -PHYSICAL -TITLE INFORMATION -PAYMENT -NEGOTIATION -RISK SHARING -PROMOTIONS -ORDER PLACEMENT WHOLESALER/ RETAILER -PHYSICAL -TITLE INFORMATION -PAYMENT -NEGOTIATION -RISK SHARING -PROMOTIONS -ORDER SHARING

CHANNEL FORMATS
PRODUCER DRIVEN -CO. owned retail. -licensed outlets -brokers -franchisees -vending machine SELLER DRIVEN -WHOLESALERS -RETAILERS -discount stores - Specialty stores - supermarkets.

SERVICE DRIVEN -Transporter -couriers -credit card companies -financial institutions

OTHER -multi level marketing -kiosks -vending machine -gift makers -database marketing --TV home shopping networks -internet -fairs, exhibitions.