SALES FORCE &

CHANNEL
MANAGEMENT
Sales Forecasting
 Course
Understand the concepts and skills related to Sales and distribution
Outcome (CO)
Management.
1

Course Outcome Understand the management of people, promotion, territory and budget in
(CO) 2 executing the sales function.

Course Outcome Designing the channel format and managing the distribution along the channel
(CO) 3 partners.

Course
Application of sales and distribution knowledge for decision making and
Outcome (CO)
analyze it at global level.
4
Forecasting
• All sales management decisions are based on some type of forecast

• Forecasting is the process of making predictions based on past and present data
• Four different types of forecasts
• 1. Market potential— the best possible level of industry sales in a given
geographic area for a specific period.
• 2. Market forecast— the expected level of industry sales given a specific industry
strategy in a given geographic area for a specific period.
• 3. Sales potential— the best possible level of firm sales in a given geographic
area for a specific period.
• 4. Sales forecast— the expected level of firm sales given a specific strategy in a
given geographic area for a specific period.
Management decisions
• 1. Determining salesforce size
• 2. Designing territories
• 3. Establishing sales quotas and setting budgets
• 4. Determining sales compensation levels
• 5. Evaluating salesperson performance
• 6. Evaluating prospective accounts
Qualitative techniques
Judgemental or subjective techniques because they rely more on opinion and
less on mathematics in their formulation
• Consumer/user survey method
• Panels of executive opinion / jury method
• Salesforce composite
• Delphi method
• Product testing and test marketing
Quantitative techniques
Objective or mathematical techniques as they rely more upon mathematics and
less upon judgement in their computation
• Time series analysis
• Causal techniques
• Moving averages
• Exponential smoothing