‡ To understand evolution, nature and importance

of sales management
‡ To know role and skills of modern sales
managers
‡ To understand types of sales managers
‡ To learn objectives, strategies and tactics of
sales management
‡ To know emerging trends in sales management
‡ To understand linkage between sales and
distribution management

|
 
  
  
 !
| 
 
!| 
 
‡ Situation before industrial revolution in U.K.
(1760AD)
‡ Situation after industrial revolutions in U.K., and
U.S.A.
‡ Marketing function splits into sales and other
functions like market research, advertising,
physical distribution

|
 
 # | 
 $

‡  !% ³The management of the

personal selling part of a company¶s marketing
function.´
‡ &
!% ³The process of planning,
directing, and controlling of personal selling,
including recruiting, selecting, equipping,
assigning, supervising, paying, and motivating
the personal sales force.

|
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-


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) 

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‡ *  |

Transactional Value ± added Collaborative /

Relationship / Relationship / Partnering
Selling Selling Relationship /
Selling

|
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|

   

‡ Delivery salesperson ‡ Delivery of products to business ‡ Milk, newspapers to households
customers or households.
‡ Also takes orders. ‡ Soft drinks, bread to retail stores.

‡ Order taker (Response selling) ‡ Inside order taker ‡ Behind counter in a garment
shop
‡ Telemarketing salesperson takes ‡ Pharma products¶ orders from
orders over telephone nursing homes
‡ Outside order taker. Also ‡ Food, clothing products¶ orders
performs other tasks from retailers

‡ Sales support ‡ Provide information, build ‡ Medical reps. in pharma industry

‡ Missionary selling goodwill, introduce new products
‡ Technical selling ‡ Technical information, assistance ‡ Steel, Chemical industries

‡ Order-getter (Creative, Problem- ‡ Getting orders from existing and ‡ Automobiles, refrigerators,
solving, Consultative selling) new household consumers insurance policies
‡ Getting orders from business ‡ Software and business solutions
customers, by solving their
business and technology problems
|
 .
 
 !-
 |  | 

 
‡ The only function / department in a company
that generates revenue / income
‡ The financial results of a firm depend on the
performance of the sales department /
management
‡ Many salespeople are among the best paid
people in business
‡ It is one of the fastest and surest routes to the
top management

|
 3
 * |)! 

| 

 

Some of the important

 of the modern sales
manager are:
‡ A member of the strategic management team
‡ A member of the corporate team to achieve
objectives
‡ A team leader, working with salespeople
‡ Managing multiple sales / marketing channels
‡ Using latest technologies (like CRM) to build superior
buyer-seller relationships
‡ Continually updating information on changes in
marketing environment
|
 4
 |)! |!| 
 

‡ -  ) include abilities to motivate, lead,

communicate, coordinate, team-oriented
relationship, and mentoring
‡
  ) consist of planning, organizing,
controlling and decision making
‡ 6  ) include training, selling,
negotiating, problem-solving, and use of
computers

|
 5
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1
/-

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*  18 1  

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1| *
 

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 7
| |
  6 
The main components of planning in a company are
objectives, strategies and tactics. Their relationship
is shown below

1| 6 1

 |
  &- 


E.G. A company wants to increase sales of electric

motors by 15 percent, as one of the sales
objectives. (see next slide)

|
 ;
 6

  ( 

   
%
|

    |
   |   
 |   


ð Increase ð Enter export ð Identify the countries ð Marketing / sales head to get
sales volume markets relevant information
by 15 ð Decide distribution channels ð Negotiate and sign
percent agreements in 3-5 months
with intermediaries

ð Penetrate ð Review and improve ð Add channels and members

existing salesforce training, motivation ð Train salespeople in
domestic and compensation deficient areas
markets ð Use effective and efficient ð Train field salesmanagers in
channels effective supervision
ð Link sales volume quotas to
the incentive scheme of the
compensation plan
|
 
 
 6
| 
 

‡ Global perspective
‡ Revolution in technology
‡ Customer relationship management (CRM)
‡ Salesforce diversity
‡ Team selling approach
‡ Managing multi-channels
‡ Ethical and social issues
‡ Sales professionalism

|
 
) |   

 
‡ Either sales management or distribution
management cannot exist, operate or perform
without each other
‡ To achieve the sales goals of sales revenue and
growth, the sales management plans the strategy
and action plans (tactics), and the distribution
management has the role to execute these plans
‡ This will be illustrated by considering some sales
management actions and corresponding role of
distribution management (in the next slide), as well
as by discussing a few integrated cases given at
the end of the book

|
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 *! 

 !
!
| 
 &16 )
|
        !

 

ð Strategy for effective coverage ð Follow call plan / beat plan

of markets and outlets ð Make customer call productive
ð Use multi-channel approach

ð Strategy for handling customer ð Prompt action at the customer interface level
complaints ð If the problem persists, involve senior sales and
service people

ð Planning of local advertising ð Co-ordination with distribution channels

and sales promotion ð Responsibility of execution with distribution
channels
ð Expenses are shared between the company and
|
 intermediaries '
 <0
 
‡ Sales management is defined as the management of the
personal selling part of a company¶s marketing function
‡ Selling includes varying sales jobs like delivery
salesperson, order taker, sales support person, and
order getter
‡ Sales is the only function or department in an
organization that generates revenue / income
‡ Skills of a successful sales manager include managing,
technical and people
‡ Main components of sales planning are objectives,
strategies, and tactics (or action plan)
‡ Either sales management or distribution management
can not exist, operate or perform without each other

|
 .