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Comparison between sales management/professional selling

strategies of Google & IFB:

1) Expanding Distribution Network:


IFB is comparatively new company in the electronics industry. It has currently more than
7000 dealers as compared with Samsung or LG which has more than 30,000 dealers in
India. They are trying to expand their network by planning to add around 175 dealers every
quarter. They are focusing more on west and north region as compared to south region
which has comparatively high network. The company has around 550 service franchise
across India. The company has also 23 training center and 2 call center located in Goa,
Hyderabad and Munnar. These data suggest that company is trying to increase its business
by adding more dealers and franchise. That means if the presence will be high, more people
will get to know about its product and it will help them to increase their sale.

Increase in Dealer Addition/Service


Franchise

600
500
400
300
200
100
0
Q1 Q2 Q3 Q4

Dealer Addition Service Franchise

Fig: Dealer Addition and Service Franchise

In recent years, Google is the most famous company across world. Google gets 95%
revenue through online advertising. Its distribution network is totally different from IFB.
Google earned its revenue by increasing number of users on different platform. They are
trying to increase its user by focusing on cloud computing, social media and SMBs (Small
and Medium Side business) enterprises. There are more than 6 million Indians viewer
which watch online. Across world, this data is pretty huge. It has around more than 70
offices in 40 countries across world. It is keeping its services online and which is available
free. Anybody can access this through android app or websites.

2) Sales Mix:
The market of IFB is mostly the mixture of electrical and electronics industry. It is
generating 85% of its revenue from these industries. It manufactures Washing Machine,
A.C, and Refrigerator etc. It is also trying to increase its product line. The company is also
investing in automation to increase its profitability.
Google also has an array of products like Mobile apps, hardware products, desktop apps,
operating systems, web based products and services. Its product is diversified in whole IT
sector. Also, the company is focused on new product development. So these product
contributes to be a part of sales mix. Nexus, Google Adwords, Youtube, Google Maps,
Google News, Google Home, Google Calendar advertisement contributes a major part of
its sales.
3) Choice of Basic Selling Style:
Technical Selling has been used in IFB. Salesperson of these companies provide technical
assistant and advice. Its main job is to increase sales by providing technical help. Also, the
salesperson plays the role of advisor for different functions. As IFB appliances are used for
various purpose, salesperson devotes their time to demo the technical characteristics and
application. Also, they help consumer for installation and incorporation. Also, they are
always ready to resolve their queries, and to identify, analyze and solve consumer’s
problem.
Google uses New Business selling and Technical Selling. Salesperson develops long term
relationship with their customers. They provide technical support for installation and for
different purposes. They are also trying to increase their business by adding businesses
online. They are using social media for advertisement from where they get major revenue.
Sales team divides into two groups: one look into retaining existing customer and other
focus on converting prospects into customers. Google products like Gmail, Google Maps
has already existing market. They are well established products. But new products like
GSuite is trying to build the market.

4) Pricing Policies:
IFB is using different type of pricing policy but majorly it uses Promotion pricing. This
type of pricing tool is used mainly of non-durables. IFB used this tool to bring its product
into the market and to establish long relationship with customers. It has multiple
competitors like Samsung, LG, Sony, Godrej etc. which has larger consumer base. So, it
uses promotional activity to counter them. Also, it keeps the prices of its appliances which
is competitive in the market.
Google earns its 85% revenue from advertisement. So, mostly it doesn’t take direct price
from customers. Applications like Gmail, Google Maps etc are mostly used free by
customers. But applications like Google Adwords is chargeable. It charges based on its
usage. In this case Full-cost Pricing is used by Google.

Individual Learning (181159):

Sales management is the new area which I started exploring while working on this assignment. I
got to learn a lot of concept used in this assignment related to Sales & Distribution. Please find my
learnings below:

 Selection of Industry & Companies: We want to select those industry which are in high
demand and also which are relevant in present days. We have selected IT and electronics
industry. Both are growing at a very high pace. Also, working on sales strategy of Google
& IFB gave an immense knowledge about these two companies in their respective fields.
 Got insights about the personal setting strategy & competitive settings used in both of these
companies.
 Learned about the marketing policies are used in these two companies which effect sales.
 Got to know about how the sales force differs as the industry differs.
 Learned about the basic selling style used in both of these companies.

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