8. He has to face conflicting situations in the organization while executing his job. All rights reserved. Sales management is defined as the activities required to lead, direct, or supervise the personal selling efforts of an organization. In a small business undertaking, a sales manager performs most of the operations of marketing, i.e., the administrative as well as the operating functions. The consumer is the ultimate end-user of the product. Salespeople at ground zero and level one and two are responsible for tactical decision-making, such as planning calls and setting short- term quotas. Objectives of sales management are derived from the organizations marketing objectives. The scope of sales management is very important and drives the whole sales system. This involves decisions related to forecasts, quota, and budget-setting. non verbal communication differences between cultures ppt. Introduction to Sales Management, its evolution, scope & importance, Nature, Roles & Skills of sales manager, Sales strategies, Emerging trends. Sales management can be seen as a segment of the organization's marketing mix. Extending field activities to new geographical areas. Sales management looks at the profit contribution, opportunity cost and impact of carrying each product on your operations. Sales management is solely concerned with the direction and control of the sales force. A sales manager should decide what kind of aptitude is required for performing the selling function and then should go to develop the recruitment and selection criteria to ensure that the right kind of people with right ability and capabilities are hired for the enterprise. Nature of sales management Jan. 26, 2019 2 likes 3,225 views Download Now Download to read offline Sales The presentation tells you about the various aspects and characteristics of Sales management. 3. Nature and concept of management Lalaine Cazar 44.8k views Principles of Management Chapter 1 Business in General Dr. John V. Padua 7.3k views Principles of Management Controlling Dr. John V. Padua 10.4k views PQT - Total Productive Maintenance Dr. John V. Padua 4.1k views Principles of Management Chapter 5 Staffing Dr. John V. Padua It is observed that keeping a satisfied customer is more profitable than gaining a new customer. This includes hiring top talent, training sales staff, coordinating operations across the sales department, and implementing a cohesive sales strategy that drives business revenues. It appears that you have an ad-blocker running. Accurate market or sales forecasting and planning the sales campaign, based on relevant data. A salesperson improves his skills and ability to sell by practice and through experience. This added commitment means that resources must be stretched or new methods of sales effort and services be found. Looks like youve clipped this slide to already. Sales Management developed as a part of marketing management. Business and economics portal. Buyers change suppliers more often if they are dissatisfied with the quality of support and service provided. It is observed that in the late 1980s and 1990s, many organizations started using non-traditional methods of selling such as telemarketing, key accounts management, part-time sales force, team selling, and Web-based e-selling techniques. A compensation programme involves financial and non-financial rewards. Though the above statements give a simplistic view of sales managements role in an organization, there are complex processes, systems involving a whole set of principles, strategies, techniques, and personal skills to cover different facets of the sales function. A sales manager should determine what rewards are important and desirable by the sales force and develop motivational plans and compensation mechanism to reward the successful salesperson. 3. There are guiding principles and concepts in the field of sales and marketing that shape the destiny of sales managers and the domain of knowledge in sales management. The cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional". The non-financial rewards programme includes recognition programmes, promotions to better territories or management positions, or opportunities for personal development. This kind of flexible manufacturing system is possible due to the adoption of integrative technology. Business Environment- Economics Perspective. Most of the Indian software companies also appoint sales and maintenance staff at clients project sites to solve any immediate problem. It refers to the direction and control of salesmen. Companies such as Cummins Engineering also develop teams with sales and technical people as members to take note of customers requirements and develop solutions or customize the product offer to match customers problems. The demands of the potential customers and the strategic moves of competitors are two important external environmental factors that a sales manager should take into account. A sales presentation (although it's still a sales pitch) is a bigger deal, figuratively and probably literally. Nature of Marketing 1. Motivating and leading by example to help them close deals and hit . Your email address will not be published. The pack peddlers in India traded with the tribal Indians and exchanged knives, beads, and ornaments for furs, spices, salt, and handicrafts. The policies should be the guiding force in deciding what kind of job behaviour and performance is desired from each salesperson and how they can be shaped and directed towards achieving organizational goals. 2. These decisions will influence the personal selling objectives and organizational deployment of resources to personal selling efforts. The sales management process in any organization involves three interrelated and dynamic set of decisions and processes. Under this system, the vendors, with desired quality specifications, supply uninterruptedly to the organizations and the receipts for them are automatically cash transferred. Sales objectives are reviewed to examine where we stand today, how we travelled up to this point, where we are headed to, and how to reach there. 3. 4. My Goal:<br><br>My goal is to put my knowledge into practical use to solve particular problems, especially in the industry and commerce. A cross-functional sales team comprises people across all the functions, such as sales, marketing, finance, operations, and human resource, so that a holistic picture of customers problem can be snapped and solutions can be developed for them. The control process starts by setting up performance standards. Todays selling approach, of course, also highlights maintaining good customer relationship, managing the profitability of a firm, managing customer complaints, and building brand value in the eyes of the customers. Importance of Principles of Management. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. In the next phase, the drummers started visiting the customers place of business. Technology has made the organizations aware about their customers need patterns, and supplies are fed into the system as and when demand arises. Do not sell or share my personal information, 1. The incidence is on buyer as a transaction is analysed on the basis of economic value. A relationship selling strategy demands the sales staff to develop long-term relationships with their customers. The average time that is taken to close the deals. In many instances they face conflicting situations and need guidance in executing their duties. Maintaining a certain level of ethical norm is a part of responsible commercial success. Therefore, training is an ongoing process to upgrade the knowledge and skill level of the sales force. More specifically, sales management objectives can be grouped under: Quantitative Objectives (Short-term) Qualitative Objectives (Long-term). 3. The other environmental issues taken into account include the legal and political environment, social and cultural environment, the technological and natural environment, and the prevailing economic environment. Customer Relationship Management (CRM) SM is now Customer Focused and Customer oriented. Asst. All these are part of relationship selling where the existing customer is taken care of in a better way and profits are generated by retaining the customers. Implementation or sales plan for the territory, 12. Activate your 30 day free trialto continue reading. It is useful in stabilising sales volume and also required to increase short term sales of the products or services. Content Filtration 6. We've encountered a problem, please try again. The cost of acquiring a customer is increasing day by day, whereas if one is able to retain the profitable customer, it has a unique advantage in business. Management Oriented:This serves as an instrument in managers' hands to deal effectively with business-related problems and uncertainties. Higher executives are concerned with the overall policy or control just by exception. Prohibited Content 3. Sales objectives may have to be revised in the light of the feedback received. This has given a boost to international travel for the salespeople, and has increased competition in domestic as well as international markets. It takes the individual territories as units for this exercise. Sales Manager plays an important role in Small, Medium and large business. Click here to review the details. Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet. The SlideShare family just got bigger. The SlideShare family just got bigger. Meaning of Sales Management 3. Other elements of the marketing mix, such as the perceived quality of the product, the pricing policy followed in the market, and the level of promotional support, also influence the sales performance of the people in an organization. 21.4k views 16 slides Sales Management Tribhuvan University 7.1k views 39 slides Sales management Shoeb Rahman 2.7k views 83 slides Sales management 1 Rupam Chakraborty 1.3k views 18 slides Unit 3 Sales Management Mansi Tyagi Do not sell or share my personal information, 1. The actual performance is then measured. The use of various networks such as www(dot)indianrailways(dot)com or www(dot)jetairways(dot)com and similar websites help the salespeople to speed up the reservation process, send email to customers from home, workplace, and while traveling, and access banking information about new products and services of competitors from the websites. The sales policies are put in black and white. We've updated our privacy policy. Motivating and leading the sales force, 6. Chiang Mai University School of Public Policy, Sales training: program, execution and evaluation, Distribution channels marketing management ppt, Chapter 1 introduction to sales and distribution management. The focus of sales management should therefore be on identifying, grooming, leading, and motivating a set of trained salespeople to achieve higher sales and create positive impression about the firm. Personal selling is only one of the tools of sales promotion strategy, which is a part of the core marketing strategy. Sales management came to be defined by AMA (American Marketing Association) as: The planning, direction and control of personal selling, including recruiting, selecting, equipping, assigning, routing, supervising, paying and motivating as these tasks apply to the personal sales force.. It does not store any personal data. Objectives of Sales Promotion: The basic purpose of sales promotion is to increase the sales of a product by creating demand. Chiang Mai University School of Public Policy. Sales management refers to the management of sales personnel, though sometimes, in a broader sense, it covers advertising, distribution, pricing and product designing, all elements of marketing management. The basic function and role of selling is to generate sales and earn revenue for an organization. This cookie is set by GDPR Cookie Consent plugin. ADVERTISEMENTS: 2. Sales management effort may be exerted in the direction of securing, maintaining, motivating, supervising, evaluating and controlling an effective field sales force. Policies provide a permanent solution to recurrent problems. The following are the important functions of a sales organisation: 1. Strategy Evaluation and GovernanceInitial Postings: Read and reflect on the assigne Such decisions may be subsequently subjected to objective . Nature of Marketing 1. Marketing as a Discipline: 5. This personal approach provides an organization with the best opportunity to become a truly customer-oriented company. 2. Importance 7. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc. A salespersons job is defined by the roles and expectations of the sales manager, the marketing manager, his family members, and other employees in the organization. Various legislations governing different countries influence the business decisions of enterprises. The impressions and satisfaction level derived by a customer from his/her dealings with a salesperson largely decide the fate of the sales call and the size of the order. You can read the details below. Enjoy access to millions of ebooks, audiobooks, magazines, and more from Scribd. SALES MANAGEMENT: AN OVERVIEW STRUCTURE 1.0 Objective 1.1 Introduction 1.2 Definition 1.3 Benefits of selling activities 1.4 Elements of sales management 1.5 Objectives of sales management 1.6 SMBO approach 1.6.1 Process of SMBO 1.6.2 Importance of SMBO 1.7 Organisation of selling unit 1.7.1 Need and Importance Previous Performance and Setting Targets. The first and foremost importance of sales management is that it facilitates the sale of a product at a price, which realizes profits and helps in generating revenue to the company. Thomas J. Watson was trained by Mr Patterson who later founded International Business Machines (IBM). It's not a simple phone call, as it often involves a meeting and a demo. The Roman meaning of the word salesperson is cheater, and Mercury, the god of cunning and barter, was regarded as the patron deity of merchants and traders. This kind of customer orientation demands exploring newer methods and techniques of selling. This trend graph shows the popularity of sales management as a discipline and search term in the previous 12 months. By whitelisting SlideShare on your ad-blocker, you are supporting our community of content creators. Objectives 5. Click here to review the details. Plagiarism Prevention 5. The drummers would meet the passengers from incoming trains and ship with great fanfare to beat their competitors. Sales managers do this by implementing sales management processes, strategies, and objectives to help their team hit or exceed their targets and goals. ORGANIZATION PERIODIC TABLE (OPT): Creatively Eliminate Religious Extremism, Economic Environment - International Business - Manu Melwin Joy. A salesperson is no longer an order taker or information provider; rather he is viewed as a consultant to the customers. 5. Privacy Policy 9. The nature and scope of management is a broad topic. Therefore, the functions of a sales manager can be classified into two- personal selling and sales management. Sales control can be centralized or decentralized in an organization. Necessary cookies are absolutely essential for the website to function properly. Marketing objectives are determined from the corporate As organizations grow in size, formal control is exercised. Student at Institute of Information Technology & Management. By accepting, you agree to the updated privacy policy. The salespeople in the past were not held in high esteem by the society. Todays enterprises are also undertaking unparalleled cost-cutting steps whereby the demand for information of vendors cost structure is rising. He advises the marketing manager on the areas of sales force management in particular and on other marketing functions in general when specifically requested to do so by the marketing manager. This decision is set to explain the firms personal selling strategy. Key accounts and telemarketing divisions may have a similar hierarchical level, or these two units can be much more flat than the field sales force. Some of the important roles 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 Do not sell or share my personal information. Key Benefits of Sales Force Management . 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