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³ Challenges for current Sales & Distribution System´
Prepared By: Vipul Bhardwaj , SWIMT,Jaipur
Under the guidance of
St. Wilfred institute of Management & Technology, Jaipur
This project report bears the imprint of those who had rendered their wholehearted support and encouragement without whose help this effort of mine would be in vain. I express my deep sense of gratitude and sincere thanks to Mrs. Madhu Shrivastav, HOD for her continuous support, encouragement and guidance throughout the duration of project. I am very thankful to my project guide Mr. Rakesh Suji, TDM for his directions, suggestions and information provided which were of utmost importance for successful completion of the project. I am thankful Mr.Kamal Nath Sharm , AGM(Plant), PEARL drinks Ltd. for giving me opportunity to work with them. I am very thankful to Mr. Vikas Kumar, ADC and all executives, salesmen, and the sales distribution team of Pearl drinks Ltd. for their support.
This is to be certify that the summer project titled ³ challenges for current sales & distribution system´ being submitted by Mr. Vipul Bhardwaj student of St. Wilfred Institute of Management & Technology, Jaipur in partial fulfillment of the requirements for the award of Master in Business Administration has been completed under the supervision of Mr. Rakesh Suji, TDM during the period from July 14, 2008 to August 27, 2008 with marketing in our organization. The work has not been submitted to any other institution or university for the award of any degree/ diploma to the best of our knowledge. In this period his conduct and performance was found good. He has taken been interest in fulfilling task. We wish him all success in his future endeavors.
Ajay Sharma Asst. Manager (HR) Pearl Drink Ltd., B-42, Lawrence Road, New Delhi
I hereby declare that the project work entitled is an original and bonafied work done by me. This project is being submitted in partial fullfillment for award of degree of ³Master in Business Adminstration´ (MBA) from St. Wilfred Institute of Management & Technology, Jaipur. The content of this reprt is based on the information collected by me during my tenure at Pearl Drink Ltd.,New Delhi.
Vipul Bhardwaj SWIMT, Jaipur
No. 10. 6. 11. 15. 16. 12.JAIPURIA GROUP Introduction ±Sales Introduction ±Distribution Introduction ±PEPSICO Distribution System Objective Research Methodology Data interpretation Finding Suggestion & Conclusion Appendix-1 Questionnaire Bibliography 2 3 4 5 6 22 30 51 57 63 66 67 68 76 77 80 Page No. 5. 1. 2. 14. 9.S. Topic Acknowledgement Certificate Declaration Executive Summary Company Profile-PEPSICO Company Profile. 5 . 13. 7. 8. 4. 3.
There are some problem facing by current system that have been discussed in detail in the project. which is a very important aspect of business. There will be around 140 SKU of Pepsico in 2010. Try to encourage retailer for selling our products by telling him various schemes & margin of them. As competition is on its apex between two major cold drink giants Pepsico and Coco Cola they are trying to catch customer with their wide range of products and making these available everywhere. For that I prepared a questionnaire for retailer to collect revevant information for my project. For this reason the project was assigned to me. It is important to select right retailer and build good relation with them to ensure availablity of products in retail shops. Main objective of this scheme is making Pepsi range available everywhere. After data interpretation it was found that current system is mix of readysale and Pre booking system. As pepsi got a wide range products and number of SKU is increasing day by day.Executive summary In summers with rise in mercury level the demand for cold drink springs up to quench the thirst of millions of people. 6 . For this distribution system is main area of focus. titled as ³TO STUDY CHALLENGES FACING BY CURRENT SALES & DISTRIBUTION SYSTEM´. This project deals with challenges facing by Pepsico current sales & distribution system .
Corporate Citizenship At PepsiCo.International Pepsi Company is a large conglomerate with interests in manufacturing. social. we have a responsibility to contribute to the quality of life in our communities. with revenues of more than $39 billion and over 185. as well as salty. we believe that as a corporate citizen. foods and beverages. Asia. Europe. PepsiCo has consistently paid cash dividends since the corporation was founded. sweet and grain-based snacks. This philosophy is expressed in our sustainability vision which states: ³PepsiCo¶s responsibility is to continually improve all aspects of the world in which we operate ± environment. Shareholders PepsiCo (symbol: PEP) shares are traded principally on the New York Stock Exchange in the United States. The company is also listed on the Chicago and Swiss stock exchanges.creating a better tomorrow than today.000 employees. Middle East and Africa. marketing and selling a wide variety of carbonated and non-carbonated beverages. PepsiCo is a world leader in convenient snacks.´ 7 . economic -. PepsiCo International (PI) PI includes all PepsiCo businesses in the United Kingdom. and other foods.
Edward Durrell Stone. New York. PepsiCo Headquarters PepsiCo World Headquarters is located in Purchase. and a commitment to build shareholder value by making PepsiCo a truly sustainable company. The building occupies 10 acres of a 144-acre complex that includes the Donald M. Kendall Sculpture Gardens. designed the seven-building headquarters complex.Our vision is put into action through programs and a focus on environmental stewardship. a world. Company leadership 8 . one of America¶s foremost architects.acclaimed sculpture collection in a garden setting. approximately 45 minutes from New York City. activities to benefit society.
Some of PepsiCo's brand names are more than 100-years-old. The new company reports sales of $510 million and has 19. was formed by the 1961 merger of the Frito Company. founded by Elmer Doolin in 1932. through the merger of the two companies. but the corporation is relatively young.. and the H. Herman Lay is chairman of the Board of Directors of the new company. Frito-Lay. founded by Herman W. N. Inc.000 employees. pharmacist.Lay. Tropicana was acquired 9 . President and Chief Executive Officer of Pepsi-Cola and Herman W. Kendall. Chairman and Chief Executive Officer of Frito-Lay found PepsiCo. Donald M. created pepsi-Cola in the late 1890s.C. Lay Company. PepsiCo was founded in 1965 through the merger of Pepsi-Cola and Frito-Lay. Inc.PepsiCo's History Timeline Donald M. Caleb Bradham. PepsiCo brands are available in nearly 200 countries and generate sales at the retail level of more than $98 billion. Lay. W. also in 1932. a New Bern. Kendall is president and chief executive officer.
Frito-Lay and Pepsi Join In February 1965. with Research and Development Headquarters in Valhalla. Until 1997. Inc.in 1998 and PepsiCo merged with The Quaker Oats Company. On June 8.PepsiCo¶s mission is ³To be the world's premier consumer Products Company focused on convenient foods and beverages. in 2001 Headquartered in Purchase. now Yum! Brands. we strive for honesty. Pizza Hut. it also owned KFC. including Gatorade. our business partners and the communities in which we operate. And in everything we do. New York. The Pepsi Cola Company began in 1898.´ The company consists of PepsiCo Americas Foods (PAF) PAF includes Frito-Lay North America. and Pepsi-Cola announced a plan for the merger of the two companies. PepsiCo purchased Tropicana in 1998 and Quaker Oats in 2001. Inc. NY. including Sabritas and Gamesa businesses in Mexico. but these fastfood restaurants were spun off into Tricon Global Restaurants. but it only became known as PepsiCo when it merged with Frito Lay in 1965. and Taco Bell. Quaker Foods North America and all Latin America food and snack businesses. We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees. the Board of Directors for Frito-lay. 1965. 10 . fairness and integrity.
the Netherlands. it is the leading multinational snack chip company. Today. snack chip industry. South Africa. The Frito Company and H. Products are available in some 120 countries. Elmer Doolin bought the recipe for an unknown food product ± a corn chip ± and started an entirely new industry. and was listed on the New York Stock Exchange. That same year in Nashville. and a new company called PepsiCo. accounting for more than one quarter of international retail snack chip sales.shareholders of both companies approved the merger of Frito-Lay and Pepsi-Cola Company. was formed. Lay later bought the company that supplied him with product and changed its name to H. Major Frito-Lay International markets include Australia. Frito-Lay North America includes Canada and the United States. Lay Company merged in 1961 to become Frito-Lay. Mexico. had more than 150 distribution centers across the United States. In San Antonio. At the time of the merger. Lay Company.S. Today.W. 11 . Frito-Lay owned 46 manufacturing plants nationwide. Mr. Inc. Inc. Texas. Brazil. Frito-Lay North America and Frito-Lay International PepsiCo's snack food operations had their start in 1932 when two separate events took place. with operations in more than 40 countries. the United Kingdom and Spain. Herman W. Tennessee.W. and his firm became the Frito Company. Frito-Lay brands account more than half of the U. The product was Fritos brand corn chips. PepsiCo began its international snack food operations in 1966. Lay started his own business distributing potato chips.
Henry D. integrity and strength. Seymour and William Heston had established the Quaker Mill Company and registered the now famous trademark.Often Frito-Lay products are known by local names. Sabritas and Gamesa in Mexico. Other major brands include Cheetos cheese flavored snacks. The company markets Frito-Lay brands on a global level. Frito-Lay also sells a variety of snack dips and cookies. Santitas tortilla chips. Lay's and Doritos brands snack chips. and introduces unique products for local tastes. In Cedar Rapids. The figures of a man in Quaker clothes became the first registered trademark for breakfast cereal and remain the hallmark for Quaker Oats today. and 12 . Tostitos tortilla chips. These names include Matutano in Spain. In Ravenna. Walkers in the United Kingdom and others. Elma Chips in Brazil. Seymour wanted his product to be a symbol of honesty. John Stuart and his son. Quaker Foods North America : The Quaker Oats Company was formed in 1901 when several American pioneers in oat milling came together to incorporate. nuts and crackers. Rold Gold pretzels and SunChips multigrain snacks. Major Frito-Lay products include Ruffles. Ohio. Robert. Iowa.
The first major acquisition of the company was Aunt Jemina Mills Company in 1926.their partner. producers of Rice-A-Roni. Combining The Quaker Mill Company with the Stuart and Schumacher businesses brought together the top oats milling expertise in the country as The Quaker Oats Company. which is today the leading manufacturer of pancake mixes and syrup. The Quaker Oats Company acquired the Golden Grain Company. as envisioned by the company over a century ago. Its products still have the eminence of wholesome. In 1986." had founded German Mills American Oatmeal Company in 1856. PepsiCo Americas Beverages (PAB) PAB includes PepsiCo Beverages North America and all Latin American beverage businesses. known as "The Oatmeal King. Ferdinand Schumacher. George Douglas. 13 . operated the largest cereal mill of the time. PepsiCo merged with The Quaker Oats Company in 2001. good-for-you food.
In 2001 SoBe became a part of Pepsi-Cola. including Aquafina bottled water. Brand Pepsi and other Pepsi-Cola products ± including Diet Pepsi. North Carolina druggist. Sierra Mist and Mug brands ± account for nearly one-third of total soft drink sales in the United States. exotic teas and other beverages with herbal ingr. Pepsi-Cola beverages are available in about 160 countries and territories. Pepsi-Cola also offers a variety of non-carbonated beverages. Slice. In addition to brands marketed in the United States. founded PepsiCo¶s beverage business at the turn of the century. Lipton Co. Pepsi-Cola soft drink operations include the business of Seven-Up International. Operations grew rapidly beginning in the 1950s. a consumer market totaling about $60 billion. dairy-based drinks. a New Bern. PepsiCola also markets Frappuccino ready-to-drink coffee through a partnership with Starbucks. Today consumers spend about $33 billion on Pepsi-Cola beverages. energy drinks. Today Lipton is the biggest selling ready-to-drink tea brand in the United States.Pepsi-Cola North America and PepsiCo Beverages International Caleb Bradham. major products include Mirinda and Pepsi 14 . Mountain Dew. Pepsi-One. Outside the United States. In 1992 Pepsi-Cola formed a partnership with Thomas J. Pepsi-Cola began selling its products internationally in 1934 with its operations in Canada. SoBe manufactures and markets an innovative line of beverages including fruit blends. Fruitworks and All Sport. who first formulated Pepsi-Cola.
Max. Philippines. New advertising and exciting promotions keep Pepsi-Cola brands young. This includes some of the world's best-loved and most-recognized advertising. Pepsi-Cola provides advertising. The company manufactures and sells soft drink concentrate to Pepsi-Cola bottlers. Spain. sales and promotional support to Pepsi-Cola bottlers and food service customers. Pepsi-Cola North America includes the United States and Canada. PepsiCo Beverages International also produces. Gatorade/Tropicana North America 15 . Brazil. China. India. marketing. sells and distributes Gatorade sports drinks as well as Tropicana and other juices internationally. The company also provides fountain beverage products. Mexico. Key international markets include Argentina. Saudi Arabia. Thailand and the United Kingdom.
The company went public in 1957. Tropicana Season¶s Best. in August 1998. In 1954 Rossi pioneered a pasteurization process for orange juice. Florida. was purchased by Beatrice Foods Co. in 1988. The juice. For the first time.Anthony Rossi as a Florida fruit packaging business founded Tropicana in 1947. including the Dole juice business. Internationally. Seagram purchased the Dole global juice business in 1995. Today the Tropicana brand is available in 63 countries. Gatorade sports drinks were acquired by the Quaker Oats Company in 1983 and became a part of PepsiCo with the merger in 2001. PepsiCo acquired Tropicana. Tropicana Pure Premium is the third largest brand of all food products sold in grocery stores in the United States. registering Tropicana as a trademark. became the company¶s flagship product. Loóza and Copella. Tropicana Pure Premium. acquired by Kohlberg Kravis & Roberts in 1986 and sold to The Seagram Company Ltd. In 1957 the name of the company was changed to Tropicana Products. Dole Juices and Tropicana Twister. principal brands include Tropicana Pure Premium and Dole juices along with Frui'Vita. The company entered the concentrate orange juice business in 1949. in 1978. Gatorade is the first isotonic sports drink. headquartered in Bradenton. Principal brands in North America are Tropicana Pure Premium. Created in 1965 by researchers at the University of Florida for the 16 . consumers could enjoy the fresh taste of pure not-from-concentrate 100% Florida orange juice in a ready-to-serve package.
we strive for honesty.school's football team." Gatorade is now the world's leading sports drink Vision of PepsiCo PepsiCo Mission "To be the world's premier consumer Products Company focused on convenience foods and beverages. "The Gators. fairness and integrity. We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees." 17 . our business partners and the communities in which we operate. And in everything we do.
PepsiCo in India PepsiCo is a world leader in convenience foods and beverages. needs of consumers in India. $700 million since the company was established in the country in 1989. Firstly Pepsi was banned from import in India.000 people including suppliers and distributors. PepsiCo has established a business. in 1970.000 people and indirect employment to 60. PepsiCo India and its partners have invested more than U. with Pepsi arriving on the market shortly afterwards. the ban was lifted. PepsiCo bought out its partners and ended the joint venture in 1994. The group has built an expansive beverage. In addition to this. which aims to serve the long term dynamic. PepsiCo has grown to become the country¶s largest selling food and beverage companies. PepsiCo¶s business is based 18 . Its world-renowned brands are available in nearly 200 countries and territories. with 2007 revenues of more than $39 billion and more than 185.000 employees across the world.S. PepsiCo provides direct employment to 4. when the use of foreign brands was allowed. One of the largest multinational investors in the country. for having refused to release the list of its ingredients and in 1993. PepsiCo gained entry to India in 1989 by creating a joint venture with the Punjab government-owned Punjab Agro Industrial Corporation (PAIC) and Voltas India Limited. PepsiCo¶s Frito Lay snack division has 3 state of the art plants. In India. This joint venture marketed and sold Lehar Pepsi until 1991. of which 15 are company owned and 28 are franchisee owned. snack food and exports business and to support the operations are the group¶s 43 bottling plants in India.
Our commitment to living by this vision every day is visible in our contribution to our country. consumers. PepsiCo India¶s expansive portfolio Refreshment beverages : Sports drinks 100% natural fruit juices and juice based drinks 19 . farmers and our people.on its sustainability vision of making tomorrow better than today.
Pepsi. Mirinda and Mountain Dew. in addition to low calorie options± Diet Pepsi and 7Up Light. Our local brands ± Lehar Evervess Soda. The company¶s high fiber breakfast cereal. Tropicana Twister and Slice. and 100% natural fruit juices and juice based drinks ± Tropicana. It manufactures Lay¶s Potato Chips. Frito Lay¶s core 20 . 7 UP.Gatorade. is the leader in the branded potato chip market and was amongst the first companies to eliminate the use of trans fats and MSG in its products. Quaker Oats. Dukes Lemonade and Mangola complete our diverse spectrum of brand. isotonic sports drinks . Frito-Lay. hydrating and nutritional beverages such as Aquafina drinking water. low fat and roasted snack options enhance the choices available to the growing health and wellness needs of our consumers. along with Lehar Lites. Cheetos extruded snacks. PepsiCo¶s snack food company PepsiCo¶s snack food company. Uncle Chipps and traditional namkeen snacks under the Kurkure and Lehar brands.
Kurkure. PepsiCo SKU¶s 21 . Lay¶s. Uncle Chipps and Cheetos are cooked in Rice Bran Oil to significantly reduce saturated fats and all of its products contain voluntary nutritional labeling on their packets.products.
4. Real Estate. Singapore and Indonesia. Beer. The JAIPURIA GROUP is one of the top business houses in India. processing & distribution of Aerated Water. Education. It has business interests in manufacturing. headquartered in New Delhi. It is also present in diverse fields of IT. It is quickly establishing itself as a pan Asian group with its operations already starting in Sri Lanka. Ice Creams. Industrial Water Meters.faceted organization with diverse business interests. multi. 22 . India.000 Cr.JAIPURIA GROUP Jaipuria Group is a Rs. Bread and Pizzas. Power and Coal mining. Printing.
VARIOUS field in which Jaipuria group BREWERIES 23 .
ICE CREAM Engineering 24 .
COAL MINING Hydropower 25 .
Jallandhar. These restaurants are located at Defense Colony. Connaught Place. Vikas Puri. Faridabad (2). Chandigarh (2). Ludhiana. Gurgaon (3). Greater Kailash. Aleksandra. Basant Lok. 26 .PRINTING PIZZA HUT . Noida (2). Green Park. It has exclusive franchise rights for Northern & Eastern India. Karol Bagh. Out of 56 operational Pizza Hut restaurants in the country 27 restaurants are owned and run by its company. Jaipur (2). New Friends Colony. Agra. Kushambi(Ghaziabad) and Kolkata (2). Amritsar.
Envisaging the growth in the retailing sector. Jaipuria Group is all set to become one of the major garment retailers in India.All these restaurants are making good profits & are dominating the market. the group has been retaining its partnership with Raymond since 1940. Green Park. Empowered by powerful strategies. the group has also ventured into garment and textile retail. The Jaipuria Group is Raymond's sole selling agent for Northern India and owns Seven of Raymond's exclusive retail outlets in Delhi. The name of business entity is Devyani International Private Limited. Beverages 27 . Connaught Place. Roop Nagar. Greater Kailash. Lajpat Nagar. Kamla Nagar & Karol Bagh. It has set up seven showrooms at Seven major locations viz.
Mirinda Orange . With state±of±the-art technology and plants equipped with the latest machinery. Vizag. The Group manufactures and markets Carbonated and Non-Carbonated Soft Drinks and Mineral Water under Pepsi brand. Mirinda Lemon .000 people. The various flavors and sub-brands are Pepsi . 300ml.2ltr. The products we sell are packed in the formats of: Returnable Glass Bottles. Non returnable glass bottles. 750ml. 250ml. Evervess Soda. Diet Pepsi. Slice Orange . the Jaipuria Group has occupied a remarkable position in the soft drink industry of India. 7 UP lite. 1 ltr. 1. Jaipur. Aqua Fina and Aquafina . Location : Jammu. 2 ltr.Jaipuria Group has the distinct honor of being the biggest bottler in India of the global giant Pepsi Co. Tetra packs. 7UP . It controls near about 60% of Pepsi¶s bottling business in India. 600ml. 28 . Largest manufacturer & Distributor of PEPSI products in Glass/PET/Tetra with a Direct/ Indirect employment of over 15. 500ml. The company has created a stronghold across the country. Delhi. PET bottles. Slice Mango . 1. Guntur.5 ltr. Managing a distribution network of more than 500 Distributor¶s/ CFA's . The Group has been managing a network of scores of distributors and simultaneously proving employment to thousands of people. Mountain Dew . Bag-in-box Our products are packed in the pack sizes of : 200ml. Cans.
40.000 SKU's : 52 Distributors : 850 Chilling Infra. : 80.Specification Plant's Capacity : 4650 BMP Outlets Covered : 1.000 Owned Trucks : 325 29 .
A sale is completed by the seller. It is an act of completion of a commercial activity. It starts with consent (or agreement) to an acquisition or appropriation or request followed by the passing of title (property or ownership) in the item and the application and due settlement of a price. Technique Selling technique is the body of methods used in the profession of sales. the obligation for which arises due to the seller's requirement to pass ownership. only the seller does that. being a price the seller is happy to part with ownership of or any claim upon the item. though a party to the sale. the owner of the goods. To be precise the sale completes prior to the payment and gives rise to the obligation of payment.INTRODUCTION A sale is the pinnacle activity involved in selling products or services in return for money or other compensation. If the seller completes the first two above stages (consent and passing ownership) of the sale prior to settlement of the price the sale is still valid and gives rise to an obligation to pay. also often called personal selling. does not execute the sale. means the customer has consented to the proposed product or service by making full or partial payment (as in case of installments) to the seller. The purchaser. 30 . The "deal is closed".
and is usually cited as the most common reason for leaving the profession. Because selling faces a high level of rejection. from the identification of the needs to a close in which the prospect accepts the seller's proposal. it is often difficult for the practitioner to handle emotionally. It is better not to omit or change the order of any of those steps. Because of this many selling and sales training techniques involve a lot of motivational material. y Prospecting o o Referrals Qualifying y Presentation o o Questions Selling the sizzle y Closing o Pre-closing questions 31 . The various steps: A selling interview based on counseling needs to be done in several steps.Techniques in use in selling interviews vary from the highly customer centric consultative selling to the heavily pressured "hard All techniques borrow a bit from experience and mix in a bit of guesswork on the psychology of what motivates others to buy something offered to them. while failure in it is nearly proverbial. in a consistent order. Mastery in the techniques of selling can offer very high incomes.
The annual National Collegiate Sales Competition is held at Kennesaw State University. the USA and Mexico.o y y y y Tie downs Handling objections Handling prospect attitudes Confidence Empathy o Reading people Some requisites: Good selling involves asking questions to elicit the prospect's needs and desires and finding the appropriate product or service that meets those needs and that the prospect is willing to pay for. If good prospecting (qualifying) is done. 32 . A good salesperson is much more knowledgeable about their product or service than the prospect could ever likely be and can offer valuable information and insight to the decision making process. then the prospect may already be well suited to the product or service and the salesperson simply needs to lead the prospect to act on the desires and needs he/she has. This event draws student contestants from Canada. an ethical salesperson will always make sure the prospect receives more value from the product or service they have purchased than they have paid. Several universities now offer courses. or degrees. In addition. in selling.
Sales techniques: The sale can be made through: y Direct Sales. involving person to person contact o Buying Facilitation Method y y Pro forma sales Agency-based o o sales agents (real estate. Industrial/Professional Sales is selling from one business to another o Pharmaceuticals Sales 33 . An RFP is usually part of a complex sales process. also known as enterprise sales. manufacturing) Sales Outsourcing through direct branded representation (see Sales Outsourcing entry) o o o o o o y y Transaction sales Consultative sales Complex sales consignment telemarketing or telesales retail or consumer Door-to-door or traveling salesperson Request for Proposal is an invitation for suppliers. y Business-to-business ² Business-to-business sales are much more relationship based owing to the lack of emotional attachment to the products in question. to submit a proposal on a specific product or service. through a bidding process.
34 . human-mediated but with indirect contact o Mail-orde y Sales Methods: o o o o o o o Selling technique SPIN Selling Consultative selling Solution selling Strategic Selling Sales Negotiation Reverse Selling Sales agents: Agents in the sales process can be defined as representing either side of the sales process for example: Sales broker or Seller agency or seller agent: This is a traditional role where the salesperson represents a person or company on the selling end of the deal.y Electronic o o Web ² Business-to-business and business-to-consumer Electronic Data Interchange (EDI) is a set of standards for structuring information to be electronically exchanged between and within businesses y Indirect.
represent themselves as the brand of the client. and managed by an external entity but hold quotas. It is akin to a virtual extension of a sales force. Disclosed dual agent : This is where the salesperson represents both parties in the sale and acts as a mediator for the transaction. This is most often applied in large transactions. (see Sales Outsourcing entry) 35 . This is where the seller owes no responsibility to either party getting a fair or honest deal. but handles the transaction only. Sales Outsourcing : This is direct branded representation where the sales reps are recruited. just that all of the papers are handled properly. and is responsible to both. Transaction broker : This is where the salesperson doesn't represent either party. and report all activities (through their own sales management channels) back to the client.Buyers broker or Buyer brokerage : This is where the salesperson represents the consumer making the purchase. The role of the salesperson here is to over see that both parties receive an honest and fair deal. hired.
the further creation of a valuable solution by communicating the necessary information that encourages a buyer to achieve their goal at an economic cost is the responsibility of the salesperson or the sales engine (e. internet. it can be beneficial for sales. and public relations. vending machine etc). The Sales and Marketing Relationship: Marketing plays a very important part in sales. The marketing department's goal is to bring people to the sales team using promotional techniques such as advertising. The successful questioning to understand a customer's goal. If the marketing department generates a potential customers list.Sales Managers : It is the goal of a qualified and talented sales manager to implement various sales strategies and management techniques in order to facilitate improved profits and increased sales volume. They are also responsible for coordinating the sales and marketing department as well as oversight concerning the fair and honest execution of the sales process by his agents. the marketing department is structured in a similar fashion to the sales department and the managers of these teams must coordinate efforts in order 36 . publicity. sales promotion. Salespersons : The primary function of professional sales is to generate and close leads. In most large corporations. educate prospects.g. and therefore turn prospective customers into actual ones. fill needs and satisfy wants of consumers appropriately.
sales organizations can dramatically improve their results. systems or processes in place to align and integration between the two critical functions. in non-store retailing) companies have to provide credit to customers.g. They suggest that by effectively bringing more customers "through the door" and enticing them to contact you. Marketing potentially negates need for sales: Some sales authors and consultants contend that an expertly planned and executed marketing strategy may negate the need for outside sales entirely. There may also be a downside to this phenomenon. only 40 percent of companies have formal programs. instead of spending the majority of their working hours searching for someone to sell to. as referenced above. In Glen Petersen¶s book. profitability. has been largely segmented and left in siloed areas of tactical responsibility. efficiency. See Burez & Van den Poel (2007) for potential solutions to this problem.to drive profits and business success. According to a report from the Chief Marketing Officer (CMO) Council. Driving more customers "through the door" gives the sales department a better chance by ratio of selling their product to the consumer.´ the 37 . Traditionally. This may cause a conflict between the sales department on the one hand and the credit department on the other hand. and allow salespeople to provide a drastically higher level of customer service and satisfaction. ³The Profit Maximization Paradox. Sales and Marketing Alignment and Integration: Another key area of conversation that has arisen is the need for alignment and integration between corporate sales and marketing functions. these two functions. Very often (for legal reasons. e.
"Retail" redirects here. Drawing of a self-service store. have emerged as a facilitator to mend the relationship between sales and marketing. and then sells smaller quantities to the end-user. adding to the perception that marketing is out of touch with the customer. price and opportunities for the customer forced this seemingly simple and integrated relationship between sales and marketing to change forever. in small or individual lots for direct consumption by the purchaser. either directly or through a wholesaler. Petersen goes on to highlight that salespeople are spending approximately 40 percent of their time preparing customer-facing deliverables while leveraging less than 50 percent of the materials created by marketing. or by post. Retailing may include subordinated services.changes in the competitive landscape between the 1950s and today are so dramatic that the complexity of choice. Purchasers may be individuals or businesses. 38 . In commerce. see Retail (comic strip). Retailers are at the end of the supply chain. such as delivery. such as a department store or kiosk. a retailer buys goods or products in large quantities from manufacturers or importers. and sales is resistant to messaging and strategy. Retailing consists of the sale of goods or merchandise from a fixed location. Manufacturing marketers see the process of retailing as a necessary part of their overall distribution strategy. For the comic strip by Norm Feuti. Retail establishments are often called shops or stores. Organizations like The Coalition to Leverage and Optimize Sales Effectiveness (CLOSE) "CLOSE".
This involves adding a markup amount (or percentage) to the retailers cost.S. sometimes it is done as a recreational activity. there can be price discrimination for a variety of reasons. For example. Sometimes this is done to obtain necessities such as food and clothing. Alternatively. retailers often provided boardwalks in front of their stores to protect customers from the mud. In Western countries. This simply involves charging the amount suggested by the manufacturer and usually printed on the product by the manufacturer.Shops may be on residential streets. Another common technique is suggested retail pricing. or in a shopping center or mall. retail prices are often called psychological prices or odd prices. not buying) and browsing and does not always result in a purchase. mail order). Often prices are fixed and displayed on signs or labels. Retail pricing The pricing technique used by most retailers is cost-plus pricing. Shopping generally refers to the act of buying products. a customer may have to pay more if the seller determines that he or she is willing to. Sometimes a shopping street has a partial or full roof to protect customers from precipitation.. 39 . Online retailing. but are mostly found in the central business district. Shopping streets may be for pedestrians only. also known as e-commerce is the latest form of non-shop retailing (cf. Recreational shopping often involves window shopping (just looking. where the retailer charges higher prices to some customers and lower prices to others. In the U. shopping streets with few or no houses.
g. telephone or online without having been examined physically but instead in a catalog. where products are ordered via mail."50% off". often by advertised percentages . where goods are out of reach of buyers. Retail types There are three major types of retailing. on television or on a website. jewelry) and controlled items like medicine and liquor.The retailer may conclude this due to the customer's wealth. Usually this is done in town squares. The second form is shop or store trading. where goods may be handled and examined prior to purchase. and must be obtained from the seller. Retailers who are overstocked. has become more common since the 20th century. The first is the market. The first shops in the modern sense used to deal with just one type of article. where prices are "marked down". A third form of retail is virtual retail. lack of knowledge. This type of retail is common for small expensive items (e. and 40 . carelessness. Sometimes this kind of retailing replicates existing retail types such as online shops or virtual marketplaces such as Amazon. sidewalks or designated streets and may involve the construction of temporary structures (market stalls). Market halls were constructed in the Middle Ages. Buildings for retail have changed considerably over time. or eagerness to buy. which were essentially just covered marketplaces. a physical location where buyers and sellers converge. Self-service. or need to raise cash to renew stocks may resort to "sales". Another example is the practice of discounting for youths or students. Some shops use counter-service.
In the 19th century. Counters. A mall consists of several department stores linked by arcades (many of whose shops are owned by the same firm under different names). roofed over. making haggling unnecessary. tailor. This is commonly considered the birth of consumerism In cities. there are also strip malls which are 'outside' malls (in Britain they are called retail parks. which were a street of several different shops. these were multi-story buildings which pioneered the escalator. climate-controlled. most of these were being developed as single enclosed. heralding in a new era of retail: self-service. The design was perfected by the Austrian architect Victor Gruen. All the stores rent their space from the mall owner. were invented. projects in suburban areas. In the 1920s the first supermarket opened in the United States. In addition to the enclosed malls. One of the novelties of the department store was the introduction of fixed prices. Around the same time the first shopping mall was constructed which incorporated elements from both the arcade and the department store. The shops may be owned by one 41 . it was called a department store. and browsing more enjoyable. in France. These are often comprised of one or more big-box stores or superstores. The mall has had a considerable impact on the retail structure and urban development in the United States. each dealing with a different kind of article. arcades were invented. Many shops are part of a chain: a number of similar shops with the same name selling the same products in different locations. By mid-century.usually adjoined the producer (baker. cobbler). Local shops can be known as brick and mortar stores in the United States.
There are also 'consignment' shops.company. or there may be a franchising company that has franchising agreements with the shop owners (see also restaurant chain) Some shops sell second-hand goods. The advantage of selling an item this way is that the established shop gives the item exposure to more potential buyers. A SIP is very similar to a commission plan. the public donates goods to the shop to be sold . which are where a person can place an item in a store. usually broken into a plan for a fiscal quarter or fiscal year. In give-away shops goods can be taken for free. however a SIP can incorporate sales metrics other than goods sold(or value of goods sold). Sales Incentive Plan A Sales Incentive Plan (SIP) is a business tool used to motivate and compensate a sales professional (or Sales Agent) to meet goals or metrics over a specific period of time. especially in the case of a nonprofit shop. and if it sells the person gives the shop owner a percentage of the sale price. The term retailer is also applied where a service provider services the needs of a large number of individuals. such as with telephone or electric power. Sales metrics used in a SIP are typically in the 42 . In other cases. which is traditionally how a commission plan is derived. Retailers may use facing to create the look of a perfectly-stocked store even when it is not.
form of sales quotas (sometimes referred to as POS Shipments). the last step is the customer's decision to purchase the product´. As a rule. The following steps include research and evaluation. or a perception of a need that the product might satisfy. ³The sales cycle is the sequence of phases that a typical customer goes through when deciding to buy something. each contributing unique skills to the sales process. SIPs are used to encourage and compensate each member of the sales team as he/she contributes to the team's ability to sell. SIPs are used to incentives sales professionals where total dollars sold is not a precise measure of sales productivity. A SIP is often an auxiliary form of compensation used to drive the independent action of the sales professional and is usually used in conjunction with a base salary. It is not uncommon for the members of such teams to be located in different physical locations (often working in different countries) and for the product introduction to happen in one location and the purchase of such a product to occur in another location. Sales force management system Sales force management systems are information systems used in marketing and management that help automate some sales and sales force 43 . This is usually due to the complexity or length of the sales process or where a sale is completed not by an individual but by a team of people. The first phase of the sales cycle may be either the customer's perception of a product. new business opportunities and/or MBOs (Management by Objectives). the sales cycle is described from the customer's perspective.
This is becoming more and more popular in the automobile industry. SFA must be fully integrated in all departments that deal with customer service management. is a system that automatically records all the stages in a sales process. Sales Force Automation Systems (SFA). They are frequently combined with a marketing information system. More developed SFA systems have features where customers can actually model the product to meet their required needs through online product building systems. In order to mitigate this risk. and any follow up that might be required. order management and product knowledge. Other elements of an SFA system can include. there might be a lack of communication which could result in different departments contacting the same customer for the same purpose. where patrons can customize various features such as color and interior features such as leather vs. in which case they are often called Customer Relationship Management. If SFA systems aren¶t adopted and properly integrated to all departments. or customers of related products. 44 . SFA also includes a sales lead tracking system.management functions. sales forecasting. typically a part of a company¶s customer relationship management system. This ensures that sales efforts won¶t be duplicated eliminating the risk of irritating customers.(CRM) systems. An integral part of any SFA system is company wide integration among different departments. the purpose of the contact. which lists potential customers through paid phone lists. SFA includes a contact management system which tracks all contact that has been made with a given customer. upholstered seats.
and sales-support information. y Rather than waiting for paper-based product-inventory data. Here are some examples: y Rather than write-out sales orders. y Rather than printing out reports and taking them to the sales manager. y More and better qualified sales leads could be automatically generated by the software. and/or call sheets. sales people can use the company intranet to transmit the information. This saves time. sales-prospect lists. y Better communication and co-operation between sales personnel facilitates successful team selling. This saves time. They provide sales staff with product information and sales technique training without them having to waste time at seminars. This could contribute to a virtuous spiral of beneficial and cumulative effects. y These sales force systems can be used as an effective and efficient training device. they will have access to the information when they need it. reports. 45 . This could be useful in the field when answering prospects¶ questions and objections. activity reports. y The additional tools could help improve sales staff morale if they reduce the amount of record keeping and/or increase the rate of closing. sales people can fill-in prepared e-forms.Advantages to sales people Proponents claim that sales force automation systems can improve the productivity of sales personnel.
and other sales information will be sent to the sales manager more frequently. product problems. orders booked. allowing him/her to respond more directly with advice.This technology increases the sales person¶s ratio of selling time to nonselling time. internal meetings. This gives the sales manager information that is more useful in : o Providing current and useful sales support materials to their sales staff o Providing marketing research data: demographic. and seminars. charts. and present the results in a user-friendly way. Advantages to the sales manager Sales force automation systems can also affect sales management. Non-selling time includes activities like report writing. travel time. Here are some examples: y The sales manager. psychographic. and price discount authorizations. detecting trends 46 . This saves time for the manager. This gives management more hands-on control of the sales process if they wish to use it. or graphs. y Activity reports. will have the results automatically presented in easy to understand tables. y The sales manager can configure the system so as to automatically analyze the information using sophisticated statistical techniques. information requests. behavioural. product acceptance. rather than gathering all the call sheets from various sales people and tabulating the results. training. product in-stock verifications.
and your problem customers y Tracking the productivity of their sales force by combining a number of performance measures such as: revenue per sales person.y Providing market research data: industry dynamics. and number of overdue accounts. production. macroenvironmental scanning. number of customer complaints. Advantages to the marketing manager It is also claimed to be useful for the marketing manager. number of lost customers per period. cost of customer acquisition as a percentage of expected lifetime value of customer. It gives the marketing manager information that is useful in : 47 . new promotional campaigns from competitors. revenue per territory. detecting trends y Co-ordinate with other parts of the firm. cost per call. particularly marketing. new competitors. percentage of goods returned. revenue as a percentage of sales quota. revenue per call. new products from competitors. margin by customer. margin by customer segment. ratio of orders to calls. More complex models like the PAIRS model (by Parasuraman and Day) and the Call Plan model (by Lodish) can also be used. and finance y Identifying your most profitable customers. number of calls per day. time spent per contact. number of new customers per period. entertainment cost per call.
sales promotion. and publicity) y y Creating a sustainable competitive advantage Understanding where you want your brands to be in the future. psychographic. product. and providing an empirical basis for writing marketing plans on a regular basis to help you get there y Providing input into feedback systems to help you monitor and adjust the process 48 . public relations. and behavioral) of your core customers y y y Understanding your competitors and their products Developing new products Establishing environmental scanning mechanisms to detect opportunities and threats y y y Understanding your company's strengths and weaknesses Auditing your customers' experience of your brand in full Developing marketing strategies for each of your products using the marketing mix variables of price.y y y y y Understanding the economic structure of your industry Identifying segments within your market Identifying your target market Identifying your best customers in place Doing marketing research to develop profiles (demographic. distribution. and promotion y Coordinating the sales function with other parts of the promotional mix (such as advertising.
and increased profit margins. Management response time will be greatly reduced. This provides management with current information. productivity will increase. Typically information will be sent to management after every sales call (rather than once a week). The sales manager will also become more efficient and more effective. 49 . and it can increase market share. information that they will be able to use while it is still valuable. reduced customer acquisition costs. and the sales staff use the system to service customers more expertly and diligently. y These systems could increase customer satisfaction if they are used with wisdom. reduced price elasticity of demand. If the information obtained and analyzed with the system is used to create a product that matches or exceeds customer expectations. Sales staff will use their time more efficiently and more effectively. it can increase sales revenue. y Field sales staff will send their information more frequently. (see above) This increased productivity can create a competitive advantage in three ways: it can reduce costs. Here are some examples: y As mentioned above. This will provide a competitive advantage because customer satisfaction leads to increased customer loyalty. then customers should be satisfied with the company. The company will become more alert and more agile.Strategic advantages Sales force automation systems can also create competitive advantage.
50 . For this reason many have questioned the value of the investment. Because these systems help the sales person plan and structure their selling in the most effective way they give a reason to use the CRM. Recent developments have embedded sales process systems that give something back to the seller within the CRM screens. information updating.Disadvantages Detractors claim that sales force management systems are: y y y y difficult to work with require additional work inputting data dehumanize a process that should be personal require continuous maintenance. and system upgrading y y costly difficult to integrate with other management information systems Encouraging use For all the reasons stated above many organisations have found it difficult to persuade sales people to enter data into the system.
which the producer must take into account. The other three parts of the marketing mix are product management. Internet and telephone sales y Agent. retailer or consumer. along with those of the all-important end-user. who sells to end customers 51 . each passing the product down the chain to the next organization. Channels: A number of alternate 'channels' of distribution may be available: y Selling direct. before it finally reaches the consumer or end-user.' Each of the elements in these chains will have their own specific needs. who typically sells direct on behalf of the producer y Distributor (also called wholesaler). A distributor is the middleman between the manufacturer and retailer.Introduction Distribution (or placement) is one of the four aspects of marketing. such as via mail order. it may be warehoused or shipped to the next echelon in the supply chain. The distribution channel: Frequently there may be a chain of intermediaries. typically either a distributor. This process is known as the 'distribution chain' or the 'channel. who sells to retailers y Retailer (also called delear or reseller). pricing. After a product is manufactured. and promotion.
y Advertisement typically used for consumption goods Distribution channels may not be restricted to physical products alone. They may be just as important for moving a service from producer to consumer in certain sectors, since both direct and indirect channels may be used. Hotels, for example, may sell their services (typically rooms) directly or through travel agents, tour operators, airlines, tourist boards, centralized reservation systems, etc. There have also been some innovations in the distribution of services. For example, there has been an increase in franchising and in rental services - the latter offering anything from televisions through tools. There has also been some evidence of service integration, with services linking together, particularly in the travel and tourism sectors. For example, links now exist between airlines, hotels and car rental services. In addition, there has been a significant increase in retail outlets for the service sector. Outlets such as estate agencies and building society offices are crowding out traditional grocers from major shopping areas.
Distribution channels can thus have a number of levels. ³Kotler´ defined the simplest level, that a of direct contact with no intermediaries involved, as the 'zero-level' channel. The next level, the 'one-level' channel, features just one intermediary; in consumer goods a retailer, for industrial goods a distributor. In small markets
(such as small countries) it is practical to reach the whole market using just oneand zero-level channels. In large markets (such as larger countries) a second level, a wholesaler for example, is now mainly used to extend distribution to the large number of small, neighborhood retailers. In Japan the chain of distribution is often complex and further levels are used, even for the simplest of consumer goods. In Bangladesh Telecom Operators are using different Chains of Distribution, especially 'second level'.
y Channel strategy y Product (or service)<>Cost<>Consumer location
The channel decision is very important. In theory at least, there is a form of trade-off: the cost of using intermediaries to achieve wider distribution is supposedly lower. Indeed, most consumer goods manufacturers could never justify the cost of selling direct to their consumers, except by mail order. Many suppliers
seem to assume that once their product has been sold into the channel, into the beginning of the distribution chain, their job is finished. Yet that distribution chain is merely assuming a part of the supplier's responsibility; and, if he has any aspirations to be market-oriented, his job should really be extended to managing all the processes involved in that chain, until the product or service arrives with the end-user. This may involve a number of decisions on the part of the supplier: y Channel membership y Channel motivation
Monitoring and managing channels
1. Intensive distribution - Where the majority of resellers stock the 'product' (with convenience products, for example, and particularly the brand leaders in consumer goods markets) price competition may be evident. 2. Selective distribution - This is the normal pattern (in both consumer and industrial markets) where 'suitable' resellers stock the product.
3. Exclusive distribution - Only specially selected resellers or authorized
dealers (typically only one per geographical area) are allowed to sell the 'product'.
It is difficult enough to motivate direct employees to provide the necessary sales and service support. Motivating the owners and employees of the independent organizations in a distribution chain requires even greater effort. There are many devices for achieving such motivation. Perhaps the most usual is `incentive': the supplier offers a better margin, to tempt the owners in the channel to push the product rather than its competitors; or a competition is offered to the distributors' sales personnel, so that they are tempted to push the product.
Monitoring and managing channels:
In much the same way that the organization's own sales and distribution activities need to be monitored and managed, so will those of the distribution chain. In practice, many organizations use a mix of different channels; in particular, they may complement a direct salesforce, calling on the larger accounts, with agents, covering the smaller customers and prospects.
Sales Exec.M A. Sales Exec. Sr.D.Sales Hierarchy: GM (SALES) T. PSR Rout Agent& Delivery Agent 56 .D.C.
y Franchise operated bottling operation(FOBO) Franchising refers to the method of practicing and using another person¶s philosophy of business. 57 . Types of bottling plant: There are two type of bottling plant. There are different channel and mode of distribution. y Company operated bottling operation(COBO) These are owned and operated by PepsiCo. sell and distribute Pepsi-Cola beverages. All methodes of distribution are same for both COBO and FOBO. The Pepsi Bottling Group is the world¶s largest bottler of Pepsi-Cola beverage.PepsiCo distribution system : Distribution of PepsiCo products is mainly start from bottling plant where company mixes drink ingredients and fills up cans and bottles with drink. Various tangible and intangible such as national and international advertising. training and other support services are commonly made available by the franchisor. PBG has the exclusive right to manufacture. The ³franchisor´ that is PepsiCo authorizes the proven metods and trademarks of his business to the ³franchisee´ that is RKJ Group in India for a fee and a percentage of gross monthly sales.
schemes. logistic executive 2.Types of distribution: 1. B2B(Business to Business) or Indirect distribution a) Distributor b) Morden Trade Ready sale system This was the traditional method of distribution in this method supply vehicles will be loaded to their full capacity and then move to their pre defined routes and will deliver goods according to demand of retailers. B2C(Business to Customer) or Direct distribution a) Ready sale system distribution b) Order booking system distribution 2. 58 . helper Logistic executive: Logistic executive informs salesman about stock availability. Major components of ready sales system: 1. salesman 3. Salesman carries ready stocks in his vehicles and selles it to retailers in his route. stock outs. discounts and other promotional offer.
Tracking order conversion. Informing salesman about scheme. Prioritize stocks availabilty for pre sell orders. Delivering the pre booked order. He is usually lower educated. Characteristics of ready sale : Salesman visits the outlets with a proper PJP.Low vehicle capacity utilization. Up to 10% adjustment of order. Pre sale booking system : A selling methodology in which the selling process has two distinct parts. Low availability of variety to the retailer who are at the end of routes. Convey stock position to pre sellers. Pre sale order booking. Vehicle load-outs as per orders. fulfilling emergency order delivery. y y y y y y Limitations : y y y y Costly Require more menpower. SKUs loaded on the truck are only estimate leading to shortage brand/ packs in the market. 59 . y Less risk involved. He communicates schemes to the retailer and handles cash himself. He also doubles up as the driver for the vehicle. He sells the products and collects glass and cash.Functions of Logistic executive: y y y y y y Ensuring vehicle load-outs as per order. with a driving license. Time restrictions with sales man because he has to perform many tasks. stock availabity ETC.
Company gets control over retailers. Back ±end activities like invoicing. schemes. Retailer is sure that he is getting the complete vaiety and increased range of SKU. Vehicle load-outs as per orders. leading to very high capacity utilization & negligible shortage of brand/pack to the retailer. Pre sale booking system and delivery process overview Major components of Pre sale booking system: y logistic executive y PSR (booking agent) y delivery team Logistic executive: Logistic executive informs salesman about stock availability. the delivery salesman deliver the orders. Functions of Logistic executive: y y y y y y Ensuring vehicle load-outs as per order. the psr takes order and on day 2. Informing PSR about scheme. discounts and other promotional offer. the others carry out deliverying stocks. Tracking order conversion.The pre sale booking process is a 2 day process. collecting cash & glass. 60 . The pre sale representative has dedicated time for effectively selling schemes and promotions and carrying out his executing an outlet responsibilites. stock outs. Prioritize stocks availabilty for pre sell orders. Convey stock position to pre sellers. A pre sale representative focuses on taking orders in advance after activating the outlet on a particular route. Delivery vehicles are loaded as per the orders. On day 1. fulfilling emergency order delivery. stock availabity etc.
Outlet acquistions. offers to retailers. Provide information regading various schemes. Order booking for next day. Cash and delivered goods report at depot on daily basis. Then delivery team will deliver goods according to the order booked. Delivery Team : After getting order sheet from PSR logistic executive load the required order and hand oversheet to delivery team. of SKUs near about 140 till 2010.PSR (Booking Agent) : Psr visits the pre decided route and carries out the order booking on route card and complies the order sheet. To take emergency order by phone booking and ensure delivery. y Proiftability 61 . y Trade evolving. Basic merchandising (deliver into visi cooler/rack/displays) Why pre sale booking system? y Increasing no. Function of delivery team : y y y y y Order delivery(% fullfillment) Collectin (cash/glass) Management of short-cash. Hand over order sheet to distribution centre for loading. Visicooler purity and execution of schemes. Function of PSR : y y y y y y y y y Route volume targets. Retailer¶s complaints. To look after display of hording SKUs shop display.
y Limited time execution. y New product innovation. 62 . y For efficient selling. y Efficient use of asset time and resources. y Load cnstraints. y Increases sales and profits.
y The study also aimed to get insight y Comparative analysis & study between different sale system. 63 . y To find out the challenges for current sales & distribution system.Objective of the study The project is mainly concerned with sales & distribution system. y To evaluate performance of salesman. The main objective was to study the challenges for current sales & distribution system. y To find out the problems in implementation. PSR. y Retailer perception and response to sale booking system.
CONVERSION OF READY SALE TO PRE SALE BOOKING SYSTEM STEPS: 64 .
Delivery team will start delivery according to order. PSR(booking agent) will start order generation.1. Coding & categorizing of order taking & delivery process:Three main category a) Daily b) After one day c) Once in week 3. Identify outlets and routes for pre sale. 5. Research Methodology Time priod Area Data collection method : : 45 Days North Delhi 65 . Create routes for pre sale booking system and prepare order sheets for every route. 2. 4. 6. Recrutiment & training of PSR (booking agent ) one for one route.
After editing. Data collection analysis and interpretation: Data collectin was done through questionnaire and personnel interview.other research done previously and internet. It is data which is already collected by some other persons for different uses. 66 . A questionnaire was prepared to get the relevant information from retailer. We use this data for our purpose. The retailer were selected in the random manner to form sample and data were collected from them for research study. A sample of 160 retailer was taken from North Delhi. magazine. Secondary data Secondary data has been collected from books. As time and costs are the major limitation that the researcher faces. Sampling plan: It is very difficult to collect information from every reatiler. coding and tabulation data was complied accurate and meaningful manner.Primary data Primary data is collected by first hand informatin from the concerned company persons.
y Find out the problems facing by current sale & distribution system. bar charts and pie chart.The data collected by questionnaire was analyzed. interpreted with the help of table. 67 .e. FINDING OBJECTIVE y Comparative analysis between different sale & distribution system. y Retailer perception and response to new concept of selling i. Pre sale booking system.
Most retailers got full range of SKUs and products. They were thinking that if weather went bad they will have to purchase the order. As some retailers arenot ordering according to their full capacity. 31% said that it happened only once or twice 18% said that 2-4 times they ran out of stock. And those remaining 25% shops are small retailer and vendors. y As routes are divided into three categories daily. alternate. y 25% said of variety of product and sku is still same.54% said it better than before and 31% said it is same as before. They run their business on daily basis so they use to order less and demand more to be in safe side. y 15% retailer said delivery van¶s ability to fill order is much better. These retailers are at the beginning of delivery routes. 53% said it better than previous system. weekly visit so orders are delivered at time and due to short routes there is decrease in transportation cost.FINDINGS y 22% said Availability of variety of product and SKUs is much better. That means now there is proper utilization of space in vehicles only requuired stock is loaded. They are filling as if they are taking risk. Another reasons some PSRs using fake order or they on they basis of previous order booking trend they estimate retailer demand. y In near about 75% shops accuracy of order is near about 90-100%. 68 . y 51% said that they never ran out of stock. These retailer were at the mid end of routes earlier they were not getting variety.
y At some places PSRs are visiting before the delivery van reaches there.y Most of retailers were not aware about the benefits of pre sale booking system. This is creating problem because at this time no retailers are ready to tell next day¶s requirement especially small retailers and daily basis vendor. To find out the problems in implementation y Small retailers who run their business on daily basis are not ready to adopt this system as they are filling their money trapped. So before taking today¶s stock delivery if PSR will tell them about next day¶s 69 . They don¶t want to take risk. y Small retailer said PSR comes to take order between 10-12AM.53% he comes between 12-2PM and 12%PSR comes after 2 PM.
schemes it will create confusion. Are you satisfied with professionalism of salesman/PSR 10% 0% 15% 1 2 3 30% 45% 4 5 15% retailers give marks 5 45% retailers give marks 4 30% retailers give marks 3 10% retailers give marks 2 00% retailers give marks 1 70 . y Some retailers are booking less order and demanding more on next day that is creating problem for delivery team and affecting relationship with retailers. If on next day they are getting better schemes than today he will refuse today¶s order. 1.
12% 14% 4% 1 43% 2 3 4 5 27% 43% retailers give marks 5 27% retailers give marks 4 14% retailers give marks 3 12% retailers give marks 2 04% retailers give marks 1 4. 5% 15% 0% 1 2 3 55% 25% 4 5 55% retailers give marks 5 25% retailers give marks 4 15% retailers give marks 3 05% retailers give marks 2 00% retailers give marks 1 3. Is there any action taken by management on your complaint or not.Is there coordination or not between PSR & deliveryman.2. Are our consumers are satisfied with PEPSI product. 71 .
72 .5% 15% 0% 0% 1 2 3 4 80% 5 80% retailers give marks 5 15% retailers give marks 4 05% retailers give marks 3 00% retailers give marks 2 00% retailers give marks 1 5. PSR visits your shops regularly or not. Are you satisfied with service of PEPSI. 7% 9% 3% 1 2 3 23% 58% 4 5 58% retailers give marks 5 23% retailers give marks 4 09% retailers give marks 3 07% retailers give marks 2 03% retailers give marks 1 6.
10% 6% 15% 46% 1 2 3 4 23% 5 46% retailers give marks 5 23% retailers give marks 4 15% retailers give marks 3 06% retailers give marks 2 10% retailers give marks 1 8. 73 . Are you getting all product & scheme on time.0% 27% 1 2 3 4 73% 5 ` 73% retailers say yes. 7. Are you satisfied with the concept of PSR in sales & distribution system. 23% retailers say no.
What method do you usually use to place your order.11% 13% 0% 1 2 3 52% 4 5 24% 52% retailers give marks 5 24% retailers give marks 4 13% retailers give marks 3 11% retailers give marks 2 00% retailers give marks 1 9. PRE SALES BOOKING 29 READY SALE PRE SALES BOOKING 71% retailers place their order through ready sale 52% retailers place their order through pre sales booking 10.Availability of variety of product (SKU) of Pepsi 74 READY SALE 71 .
provide training. It should after 2 pm for general stores and after 3 pm for small vender because after today¶s sale they will be able to tell tomorrow¶s demand. y This system depend fully on PSRs. y PSR should go to retailer only after delivery van this should be followed strictly.15% 0% 15% 1 2 3 27% 43% 4 5 15% retailers give marks 5 43% retailers give marks 4 27% retailers give marks 3 15% retailers give marks 2 00% retailers give marks 1 Conclusion and Suggestion From research it is found that when we compare different sale systems we find that as far as compre to READY SALE SYSTEM new launched PRE SALE BOOKING SYSTEM is better. y y y There are some suggestion that can make this system more effective. From reasearch it is found that most of retailers are saying that it is better than old system. Order taking timing should be changed. So in order to make this system fully successful PSRs need to become more professional. 75 . As it is new initiative it will take some time to implement it fully.
76 . Name of shop Name of retailer Address -««««««««««««. y For accuracy of order and to avoid confusion and conflicts PSRs who are doing fake order should be identified.. This will be used for academic purpose only. Fake order leads to inadequate supply to concerned retailers that can cause retailer churn. We appreciate your business and want to make sure we meet your expectations. -««««««««««««. Jaipur. y PSR shoul give complete details of scheme there should be no confusion. I would be grateful if you could take time off with me and provide me with details about the service that you have received so far from PEPSI. I am student of SWIMT.y As retailer don¶t have knowledge about benefit of pre sale booking system so PSR should tell and convience them. y Small venders and shopkeeper need special attention PSR should make them understand about the benefits of pre sale booking system. The behavior of PSR with retailer was good but there was lack of professionalism. . calculation chart to tell retailer about new schemes.««««««««««««. y PSRs presentation skills are not up to the mark they should use tools like chart. -««««««««««««. Dear Sir.
Are you satisfied with behavior of salesman/PSR.. What method do you usually use to place your order. 5 4 3 2 1 2. Are you getting all product & scheme on time. Ready sale ii. 5 4 3 2 1 7. PSR name Salesman name Executive name -««««««««««««. Availability of variety of product (SKU) of Pepsi. 5 4 3 2 1 3. 5 4 3 2 1 6. Are our consumers satisfied with quality of PEPSI product. i. 5 4 3 2 1 5.Route no. 5 4 3 2 1 77 .. Pre sale booking 4.. 1.. Is there any action taken by management on your complaint or not. Are you satisfied with service of PEPSICO. -««««««««««««. -««««««««««««. -««««««««««««.
4) Good company image. 5 4 3 2 1 9. 9) Large coverage area. Is there coordination or not between PSR & salesman. 5) Attracting schemes like UTC-under the crown BBB. 3) Good relations with customer. 78 . 6) Management control. CCC. Are you satisfied with the concept of PSR in sales & distribution system.8. PSR visits your shops regularly or not. 5 4 3 2 1 10. 5 4 3 2 1 11. 7) Proper channel 8) Systematic approach. Why do you prefer PEPSI to COKE. Reasons for preferring PEPSI over competitor: - 1) Quality of product. 2) Quality of service.
com y www. y www.pepsicoindia.pepsico.jaipuria. 13) New product launching time to time likes TWISTER (RGB). Space club.com y www. 11) Display schemes. 12) Incentive payment on time.ficci.com 79 .com y www.suveryconsole.10) Attention to all parties.com y www. BIBLIOGRAPHY y Marketing management by Philip kotler. grocery and eatery. y Marketing research for manager by Matthew Housden.
com 80 .businessline.y www.