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Sales Management
What are the two
major functions of
a Sales Manager?
Review the major changes taking place in selling and the force causing these changes
Discuss the sales management process and the competencies required to be a
successful sales manager
Describe the development of sales strategy within overall business and marketing
strategy
2
Customer Awareness
Purchase Intent
Brand Awareness
Purchase
Brand Consideration
Customer Loyalty
Brand Preference
Customer Advocacy
Handoff to Sales
3
Globalisation
Global markets
Global suppliers
Customer
Expectations
Fewer Suppliers
Increasing Power
Rising Expectations
Sales process
Solutions Selling
Sales Teams
Sales Networks
Productivity Metrics
Technology
Internet
Mobile
Computing
Competition
Distribution Touch points
Shorter Product Cycles
Sustainable Competitive
Advantage
4
Transactions
Individuals
Sales Revenue
Relationships
Teams
Management
Leadership
Local
Global
5
Selling Skills
Responsive
Selling
Differentiation through Products
Buyer Seller
Business Skills
Partnerships
Solutions
Differentiation through People
Preferred Business
Advisor
6
Strategic
Action
Competency
Technology
Competency
Coaching
Competency
Sales
Management
Effectiveness
Global
Perspective
Competency
Team Building
Competency
SelfManagement
Competency
Strategic
Action
Coaching
Team
Building
Self
Management
Global
Perspective
Technology
LEVEL 1
Top
Management
Decisions
LEVEL 2
Strategy
Implementation
Decisions
LEVEL 3
Sales Force
Program
Decisions
Business
Strategy
Marketing
Strategy
Go-to-Market
Strategy
Customer
Relationship
Management (CRM)
Product Development
Supply Chain
Management
Management (SCM)
(PDM)
Account Relationship
Strategy
11
Corporate Goals
Increase shareholder wealth by 10%
Business Objectives
Grow gross profit by 18% and revenue by 12%
Marketing Objectives
Increase Product As market share by 2%. Grow contributions after sales and marketing by 20%
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Salesperson Objectives
Achieve sales revenue of $ 1.2 million in product A. Obtain $ 0.8 million in gross margin dollars
Achieve sales revenue of $ 95,000 in Product A. Obtain an average gross margin of 80%
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Go-to-market strategy?
Product Development
Management
Supply Chain
Management
Customer Relationship
Management
What is the
best way to
segment the
market?
18
Industry
Size
Geography
Behaviour
Revenue
Number of employees
Sales potential
Location
State level, national or international
Interest
creation
Post-purchase
Pre-purchase
Purchase
20
Direct
Agents
Distributors
Retailers
Integrators
Alliances
Advertising
Promotion
Direct Mail
Telemarketing
Internet
Indirect
Sales Force Options
Company
Low Cost
per Exposure
Advertising
Direct Mail
Internet
Efficiency
Telemarketing
Sales Force
Effectiveness
High Sales
per Exposure
22
Impact on Sales
Department
Implications on
the evolution of
the sales force
25
26
Create new
value through
sales offer
Create new
value through
sales offer
INCREASE
BENEFITS
REDUCE
COSTS
Lessen cost
and effort of
acquisition
27
Intrinsic Value
Buyers
Transactional
Selling
a cheaper no
hassle pie
Extrinsic Value
Buyers
Consultative
Selling
a bigger pie
Strategic Value
Buyers
Enterprise Selling
a balanced diet
28
Source: Andris Zoltners, Prabhakant Sinha and Sally E Lorrimer, Match your Sales
Force to your Business Cycle HBR August 2006
29
PPT 1-4
Distribution Channel
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Physical
Possession
Physical
Possession
Ownership
Ownership
Ownership
Promotion
Promotion
Risking
Ordering
Payment
Financing
Risking
Ordering
Payment
Negotiation
Financing
Risking
CONSUMERS
Financing
Negotiation
Promotion
RETAILERS
Negotiation
WHOLESALERS
MANUFACTURERS
Physical
Possession
Ordering
Payment
35
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M A N U F A C T U R E R S
Retailers
Wholesalers
Retailers
Three Levels
Two Levels
One Level
Zero Level
Distributors
Wholesalers
Retailers
C O N S U M E R S
Number of levels depends on type of product and geographical spread
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By ownership
Single unit
Chain stores
Company run
stores
Government
operated stores
Merchandise
handled
General
merchandise
Single line
Specialty stores
Method of
customer contact
Bricks and
mortar
Catalogue
Internet
Household
contacts
Location
Urban
Rural
Roadside
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Intensive
Selective
Exclusive
46
Transportation
Firms
Financial
Firms
Storage Firms
Advertising
Agencies
Insurance
Firms
Marketing
Research
Firms
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48
Industrial Selling
Channel Selling
Services Selling
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