Sunteți pe pagina 1din 42

SALES MANAGEMENT

❚ Sales Manager is responsible to

1 Their Organization
2 Their Customers
3 Society
❚ Business earnings depend upon how well the
interest of the firm, the final buyer and the
society are blended together
Evolution of the Sales
Department

❚ Sales occupies a strategically


important position in the
organization
❚ Sales is the only income producing
division of business
What is sales
management?

❚ Sales management encompasses


activities involved in 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 salesforce
Responsibilities of Sales
Manager

❚ Sales force management - incharge


of personal selling activity
❚ Organizing the sales effort, both
within and outside their companies
❚ Participation in the preparation of
information critical to the making of
key marketing decisions
❚ Sales Manager is both an
administrator in charge of personal
selling activity and member of the
executive group that makes
marketing decisions
Objectives of Sales
Management

❚ Three general objectives of sales


management

1 Sales volume
2 Contribution to profits
3 Continuing growth
Sales Manager as
Coordinator

❚ Sales manager have responsibility


for coordination involving
1 The organization
2 Planning
3 Other elements in the marketing
strategy
❚ Advertising
❚ Product distribution
❚ Appointment of dealers
❚ Agreement on business goals
❚ Promotional risks sharing
Sales Management and
Control

❚ Sales manager controls personal selling effort of


the organization to ensure that sales objectives
are achieved
1 Sizing up the situation
2 Setting quantative performance standards
3 Gathering and processing data on actual
performance
4 Evaluating performance
❚ Controllable variation
❚ Uncontrollable variation
Formal and Informal
control

❚ Formal control
a) Written sales policies
b) Policy formulation and review
c) Control over sales volume
d) Budgetary control
Personal Selling

❚ Sales Management, personal selling


and salesmanship are interrelated
❚ Salesmanship is one aspect of
personal selling
❚ Salesmanship is the art of
successfully persuading prospects or
customers to buy products or service
from which they can derive suitable
benefits, thereby increasing their
total satisfaction
❚ Personal selling is divided into two
types
1. Service selling - To obtain sales
from existing customers whose
habits and patterns of thoughts are
already conducive to such sales.
2. Developmental selling - Aims to
convert prospects into customers.
Seeks to create customers out of
people who do not currently view the
salesperson’s company favorably
and who are resistant to changing
present sources of supply
Service selling

1. Inside order taker


2. Delivery salesperson
3. Route or Merchandising salesperson
4. Missionary
5. Technical salesperson
Developmental selling

1. Creative salesperson of tangibles


2. Creative salesperson of intangibles
3. Political/back door salesperson
4. Salesperson engaged in multiple
sales
❚ The more developmental selling required
in a particular sales job and the more
complex it is, the harder it is to makes
sales

❚ The easiest sales are service sales and


the most difficult sales are developmental
sales which requires creativity
Selling - Science or Art?

❚ Selling is a science with easily taught


basic concepts or art learned
through experience
❚ These two different approaches has
given rise to two contrasting
approaches to the theory of selling
Theories of Selling

❚ 1. AIDAS theory
❚ 2. Right set of circumstances theory
❚ 3. Buying formula theory
❚ 4 Behavioral equation theory - takes
into account buyer’s decision
process and salespersons influence
process
AIDAS Theory

❚ A - Attention
❚ I - Interest
❚ D - Desire
❚ A - Action
❚ S - Satisfaction

❚ This is based on experimental


knowledge
❚ According to this theory during the successful
selling interview the prospect’s mind passes
through five successive mental states
❚ Notion is that the prospect goes through
these five stages consciously, so the sales
presentation must lead the prospect through
them in the right sequence if a sale is to
result
Securing attention

❚ The goal is to put the prospect into a


receptive state of mind. The
salesperson has to have a reason or
an excuse for conducting the
interview
Gaining Interest

❚ The goal is to intensify the


prospect’s attention so that it
evolves into strong interest
Kindling Desire

❚ Kindle the prospect’s desire to the


ready to buy point
❚ Development of sales obstacles, the
prospect’s objections, interruptions
and digressive remarks can sidetrack
the presentation.
❚ Art of objection anticipation
Inducing actions

❚ Closing the sale - the prospect is


ready to act i.e. to buy
Building satisfaction

❚ After the order, the customer should


be reassured that the decision he
has made is correct and the
salesperson merely helped in
deciding
❚ Thanking the customer for the order
and following up on promises made
Right set of circumstances
Theory

❚ “Everything was right for the sale”


❚ If the salesperson succeeds in
securing the attention and gaining
the interest and if he presents the
proper stimuli the desired response
will result
❚ It excludes the internal and external
factors to the prospect
❚ This is a seller oriented theory
❚ Stresses the importance of the
salesperson controlling the situation
❚ Does not handle the problem of
influencing factors internal to the
prospect
Buying formula Theory

❚ Emphasizes on the buyer’s side


❚ Needs leads to solutions leads to
purchase leads to satisfaction
Prospecting

❚ The planning work which is essential in


eliminating calls on nonbuyers is called
prospecting
❚ Efficient organization of time and through
planning improves productive selling time
❚ Arranging travel and call schedules to
economize on time spent on travelling
Steps in Prospecting

1 Prospect definition
2 Searching out potential accounts
3 Qualifying prospect and likely
requirements
4 Relating company product’s to
prospect’s requirements
Sales objections

❚ Prospects show sales resistance -


real or imagined obstacles and by
voicing objections
❚ For analyzing sales resistance the
salesperson needs skills in the
accurate and rapid appraisal of
people and their motivation
❚ Obstacles - Real or apparent reasons
prospect has for not buying
❚ Objections - Not good reasons for
failing to complete the sale
Closing sale

❚ Low pressure sale - The prospect


feel that they are reaching the
buying decision themselves through
rational process of thinking
❚ High pressure sale - the salesperson
tries to push prospect into buying
decision. This needs effective
persuasion to close the sale
❚ When attempted close fails the
salesperson should normally try
another.
❚ Refusal does not imply unwillingness
to buy. It may indicate prospect’s
need for additional information
❚ Judge the sincerity of a prospect’s
refusal
❚ Methods of Closing the sale

❚ - Indirect close
❚ - Direct close

S-ar putea să vă placă și