Introduction to Sales

management
Coverage:
Evolution
Concepts
Sales management practice trends
Sales management Process

Salespersons Position

(HBR-Mar-Apr 1961,p.114, The Mystique of super salesmanship, McMurry

R.N)

Predominately to deliver a product :milk ,bread, gas

Predominately an internal order taker: counter sales clerk
Predominately an internal order taker but works in field:
pizza boy
Not expected/permitted to take an order but is called only
to build goodwill or to educate: medical representative
Emphasis is placed on technical knowledge: engineering
equipment
Which demand creative sale of tangible products: vacuum
cleaner
Which require creative sales of intangibles: insurance,
advertising, education

Sales Management
(Evolution)
Pre Industrial Era
Bronze age (wooden box, 26 inches, compartments
having axe, sword blades, buttons)
Roman meaning of sales person is cheater, Mercury
God of cunning and barter- patron deity of
merchants and traders
Industrial Revolution-1760 (supply exceeds demand)
Father of modern sales management- John Henry
Patterson (National Cash Registry) (Thomas J. Watson
trained by Patterson later founded IBM)
Modern Selling Techniques focus on retaining the
customers, improve productivity and efficiency of
selling approach

Evolution of Personal Selling

Strategies

Persuasion
Negotiation
Consultative
Business Management
Partnership Strategies

Sales Management
Concepts
Objectives of Sales management
Sales Volume
Contribution to profit
Continuing Growth
Primary goal of Marketing department is to position and
differentiate a product so as to pull customers to the firm
Sales Department has always attempted to sell and push
the products through the channels
American Marketing Association Sales management
meant the planning, direction, and control of personal
selling, including recruiting, selecting, equipping,
assigning, routing, supervising, paying and motivating as
these tasks apply to personal sales force

Sales management Trends

Traditional face to face has become one key selling options
In modern concept the personal selling includes

Telemarketing
Key Account management
Team selling
Independent representatives
Part- time sales force
Network marketing
Net marketing

Technology Base: ERP(SAP) and Sales automation

packages

Sales Management Process

Formulation of a strategic Sales Management program:
should consider the environmental issues affecting the
business. It should organize and plan the companys overall
personal selling efforts and integrate these with the other
elements of the firms marketing strategy
Implementation of a strategic Sales Management program:
Involves selecting appropriate sales personnel, training
them, leading them and motivating them, designing and
implementing of policies and procedures that will direct the
efforts of the salespeople towards achieving corporate
objectives
Evaluation
and
control
of
Sales
Force
Performance:Developing methods and practices for
monitoring and evaluating the individual and group sales
force performance. This helps in taking corrective steps
either in formulation or implementation

Sales Management
Functions
Account Management Policy
Sales Force Organization
Sales planning, Forecasting and Quota Setting
Sales force deployment, territory design and
route planning