Professional Documents
Culture Documents
SUBMITTED TO:
TAUSEEF IQBAL KHAN
SUBMITTED BY:
Nashit Umer (8471)
Hammad Siddiqui (12582)
Sara Khan (10661)
Sidra Urooj (11314)
COURSE TITLE:
SALES MANAGEMENT
SEMESTER:
Summer’21
Page 1 of 17
Table of Contents
1.1 Historical Background ...............................................................................................................3
1.12. Compensation practices in general for Direct Sales force Team ..........................................15
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1.1 HISTORICAL BACKGROUND
Pakistan Industrial Development Corporation (PIDC) established the first paper mill at
Chandargona in East Pakistan (Now Bangladesh) followed by a high grade paper mills -Adamjee
Paper & Board Mills at Noshera in NWFP and a Newsprint Mill at Khulna in East Pakistan
(Bangladesh) in 1959. Later on Adamjee Paper and Board closed down its operation.
Now, this industry has different units across the country producing various grades of papers,
using local and imported raw materials.
Unfortunately, due to poor planning in 1980’s and 1990’s, many of the units are lying closed
from that time.
Paper Industry of Pakistan is not among the prime industries of the country and is in developing
stage. Consumption of Paper in Pakistan is in far excess of the domestic capacity. So, the local
demand of some types of papers is met through imports.
Tissue Paper
Volume wise Per capita consumption of tissue products in Pakistan is exceptionally low.
The market is growing by 12-15% each year and presents a lot of potential for growth in terms of
potential; there is still a long way to go as household penetration of these products remains low
and limited to urban middle- and upper-class consumers.
“KB Traders” launched facial tissue with the brand name of “Moveeta” in 1971,
11 years later in 1982 a high profile corporate company “Packages Ltd” launched its tissue brand
“Rose Petal”. As “Rose Petal” was not only a brand of high hygiene quality but had their own
“Paper manufacturing and Packaging” so they stood as the pioneer despite of being launched
late. Till 1990 this position remains constant.
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1.2.HANKIES (HEALTH & HYGIENE PRODUCTS)’S INTRODUCTION
By the mid of 90’s Health & Hygiene Products entered in the tissue paper market with the brand
name “Hankies” and started their journey with some baby steps. Entering in the new century
“Hankies” comes up with strong foots and giving tough time to “Rose Petal” but “Hankies” are
converters due to which they are still a lot behind from “Rose Petal”.
Hankies is Pakistan's one of the most trusted brand within the tissue paper industry. Hankies
have consistently maintained its stronghold by never compromising on the quality of the product.
They undergo strong manufacturing processes at their supplier end to create best quality products
for Pakistani market complies with the highest standards of quality & hygiene.
Our aim to ensure that the importance of good hygiene is entrenched in everyone’s mind and has
come a long way in addressing this issue.
MARKET SHARE
8%
7%
11%
58%
16%
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1.4. BUSINESS MODEL
BUSINESS MODEL
Suppliers
Raw materials Production
Distribution Warehousing
Retailers Customers
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The business model of Hankies tissue comprises of seven steps; including seven major
components such as the manufacturer which is the Hankies Company itself. They carry out their
manufacturing practices after purchasing the raw materials from its trustworthy suppliers after
which the company undergoes manufacturing process. The products once manufactured are
then kept in the warehouse for dispatching according to the orders received from their retailers.
However, the company possesses its own distribution network. The retailers of Hankies tissue
are mainly Imtiaz Super Market, Daraz, Naheed Super Market and Metro. However, its other
retailers include svbazaar.pk, cartpk.com, Carrefour.pk etc. From these retailers, the customer
can now purchase HANKIES TISSUES!
1.5. BRANDS PORTFOLIO
The brands categories of Hankies include the following:
(i) CATEGORY I- HANKIES
Tissue boxes
Compacta, Facial, Flora, Fun pack, Gardenj, Gloria, Gold, Hip Hop, HopUp, Luxury, One Time,
Premium and Virsa.
Tissue Rolls
4 The Big Ones, Decora, Decora Single, Jumbo, Maxi, Multi Rolls, Simple, Toilet Tissue Big,
Toilet Tissue Mini, Toilet Tissue Small, Toilet Tissues Economy Pack and Twin Pack.
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Kitchen Towels
Decora, Decora Single, Jumbo, Maxi, Simple, Twin Pack
Pocket Tissues
Anytime Pocket Tissue, Hankies Pocket Tissue, Hearts Pocket Tissue, Soft Pack Pocket Tissue
and Wettish
Napkins
Hot Pot, Royal Napkin, Table Napkins and Tea Time Napkins
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(ii) CATEGORY II- FREEDOM
Cotton Buds
Cotton Buds (Bottle) and Cotton Buds (Box)
Sanitary Napkins
Feminine Napkins (10s, 16s, 20s), Maxi Thick (Extra Long, 18 Long, 8 Extra Long, 9 Long),
Ultra Thin (14 Extra Long, 16 Long, 7 Extra Long, 8 Long) and X-tra Feminine Napkins 10s
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1.6. LEADING CATEGORIES IN TERMS OF MARKET SHARE
ROLL CATEGORY
8% 2%
7%
11%
14%
7%
20%
17%
4%
1%
5% 4%
NAPKINS
Hotpot Royal Table Tea Time
3%
10%
11%
76%
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DISPENSER
HYGIENE 100 pulls HYGIENE 200 pulls Hearts Dispenser
46%
49%
5%
BOX CATEGORY
Compacta Facial Flora Funpack
Garden GLORIA Gold Hip Hop
Hopup Luxury Virsa Onetime
Soft Pack PREMIUM SOFTPACK
8% 2%
7%
11%
14%
7%
20%
17%
4%
5% 4%
1%
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1.7. SALES TEAM HIERARCHY
H&HP uses a simple geographic hierarchy as they are selling out luxurious goods and are in the
market since last two decade so they assign individual salespeople a separate area to perform
their task. The hierarchy design as follows:
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H&HP values their employee and take their suggestions on priority bases. Moreover, when
H&HP going to launch a new product they go qualitative method of forecasting the sales i.e.
Sales Force Composite as the salespeople have sound knowledge of the tissue paper industry and
have some handful knowledge of the industry which helps to forecast sales of new launch.
Another way used in H&HP to forecast sales is Simple Moving Average as they analyze the
previous data of the sales and sets a target by increasing 10% on the average as the industry is in
growing stage so there are still various ways to improve the sales. The sales record of H&HP
shows that from the past decade H&HP shows 50% growth in their sales and if moving on the
same steps or by taking some bold decisions they give some tough competition to Rose Petal as
well.
1.9. SALES IMPLEMENTATION
The sales implementation process uses in H&HP is as follows:
1. The Area Sales Manager analyzes the market and prospect new customers in the market.
There are two reasons for prospecting new customers i.e. either there is no party working in that
particular area or to make a good words for future in case the working party wind up the work.
2. If the party shows interest to work with H&HP the A.S.M proposed the business plan and
defines the R.O.I to them with some extra discount to start the business.
3. Once the party agreed to work on the defined roles. An agreement letter is signed between
both about the terms and conditions from both sides.
4. The first order can only be placed when the party pays advance amount values to the stock
they required.
5. The T.S.O and Order Bookers takes charge from here and deals everything with the party
i.e.to take orders, to distribute stock in market, claim adjustment or any other issues.
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1.10. CUSTOMER RELATIONSHIP MANAGEMENT & LOYALTY
PROGRAM
H&HP have a strong value of their customer. They treated them like king. For any queries or
problems arises on the customer end, the team is ready to answer the queries and resolving the
problems.
The salespeople have the handful information about the customers to facilitate them on priority
basis. There are times when customer clears their balance H&HP offers special discounts to them
to build a strong relationship. Beside 30% distributors, the 70% distributors and other corporate
companies are working with H&HP since last decade, the reason of this strong relationship is
that H&HP offers quality product in the market and facilitate their channels very well.
On the other hand, H&HP also derives special coupon scheme area wise in which they have gifts
to offer their distributors, it includes Umrah Tickets, 800 cc cars, 70 cc bikes and other special
items. These are some of the main reason that company has strongholds over their customer and
channels.
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Interview -The interview provides a chance to observe and question candidates who meet all of
the job requirements. It allows you to see how effective and capable they are when under
pressure.
The more an individual is aware about the competition, better they are able to sell their product.
To ensure competence and cohesiveness, qualifications determine placement.
Assessment/Written Test – Sales assessments are psychological examinations that examine the
minds of job seekers in the field. Test includes some sales hiring questions that require them to
write a coherent answer.
Hiring - Following the completion of all essential personal information and security
verifications, an offer of employment is provided, along with a welcome package outlining
various placements and career pathways within our organization.
Training –Hired candidates must have to complete several courses designed by the organization,
with training hours determined and regulated by post.
Company policies and procedures are communicated to every individual to maintain compliance
throughout their activity.
Written materials or modules are handed over to the team for their better understanding.
Sharing of examples and demo to make them understand on better communication with their
client, hands on training on demo calls and scripts
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1.12. COMPENSATION PRACTICES IN GENERAL FOR DIRECT SALES
FORCE TEAM
Sales(Senior
Rep, director)
Legal Finance
Key
Players
Marketing HR
Outside
expert
(Consulting,
strategic
services)
Compensation Plan
Pay Mix
It depends on each rep type of selling, length of sales cycle and amount of transaction. For
experienced sales representative average incentive compensation is appx 29-55% of base pay.
Team Trophy
Usually design for team meeting, where sales force team participate in different activities as a
team. Also applied on performance of Region based groups that is North, South or Central region
in achieving monthly target.
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Trainings/Meetings Rewards
Provided to sales team during participation in training session Compensation plans are also
evaluated and revised on the basis of the following components:
Business Objective – Motivation of sales staff to achieve volume and sales growth
Feedback – Gathering feedback on compensation programs via questionnaires and surveys
among internal stakeholders
Evaluation and revision of incentives, rewards and recognition scheme is usually performed on
annual basis and adjustments are made accordingly.
Recommendation: H&H should use direct marketing channel for the consumer marketing. As
well as intermediaries parties like wholeseller.
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Recommendation:
Government should provide electricity and gas for textile industry
(4) Pricing:
Pricing is also a big challenge for H&H . The market needs high quality product on reasonable
price.
Recommendation: To improve the quality H&H products the industry should consider on the
quality of raw material by the help of research and development institution.
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