Sales Management

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Ch No; 01

1. Introduction

1.1. Sales Management

Sales management is a business discipline which is focused on the practical application

of sales techniques and the management of a firm's sales operations. It is an important business
function as net sales through the sale of products and services and resulting profit drive most
commercial business. These are also typically the goals and performance indicators of sales
management.

1.2. Sales manager

Sales manager is the typical title of someone whose role is sales management. The role typically
involves talent development and leadership.

1.3. Sales plan

A sales plan is a strategic document that outlines the business targets, resources and sales activities. It
typically follows the lead of the marketing plan, strategic planning and the business plan with more
specific detail on how the objectives can be achieved through the actual sale of products and services

1.4. Selective Organization

We have selected a well reputed organization which is operating in all over the world named as
NESTLE.

Nestls origins date back to 1866, when two separate Swiss enterprises were founded that would later
form the core of Nestl. In the succeeding decades, the two competing enterprises aggressively
expanded their businesses throughout Europe and the United States.

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In August 1867 Charles (US consul in Switzerland) and George Page, two brothers from Lee County,
Illinois, USA, established the Anglo-Swiss Condensed Milk Company in Cham, Switzerland. Their
first British operation was opened at Wiltshire in 1873

A 1915 advertisement for "Nestles Food", an early infant formula

In September 1866 in Vevey, Henri Nestl developed milk-based baby food, and soon began marketing
it. The following year saw Daniel Peter begin seven years of work perfecting his invention,
the chocolate manufacturing process. Nestl was the crucial co-operation that Peter needed to solve the
problem of removing all the water from the milk added to his chocolate and thus preventing the product
from developing mildew. Henri Nestl retired in 1875 but the company, under new ownership, retained
his name as Socit Farine Lacte Henri Nestl. We employ around 335 000 people worldwide.

1.5. Sale Management of Nestle

Fast-moving consumer goods (FMCG) have made us the business we are today. We sell over a
billion FMCG units every day, generating sales of some CHF 83.6bn in 118 countries across the world
in 2011.

Driving all this forward is our Customer and Sales team. We have a very varied brief. We handle
category and shopper management, customer relationships, route to market strategies, field sales
activities and our customer-facing supply chains. All of these areas are focused on delighting our
consumers and making sure our products are where they want them when they want them.

The opportunity

The career potential of our Customer and Sales team is clear to see. Whether your expertise lies in
devising strategies and initiatives for categories, in developing fact-based selling proposals to ensure
customer engagement, in managing distribution networks or in driving our field sales efforts forward,
we have the breadth and scope for your talents.

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The challenge

From here, you can move into general management, or follow a more specialist path in Customer and
Sales. Either way, youll need to back your commercial success in a sales or customer-focused
environment with a winning mentality, self-reliance and plenty of personal drive. This teams energy
helps us stay ahead of our competitors, so youll need to share that quality if youre going to shine here.
Support these abilities with the intellectual curiosity to find new solutions and the highest standard of
integrity then this team will be the perfect platform for your ambition.

Ch No: 02

2. Sale Force Hiring

Wherever in the world you apply, our recruitment teams will provide a professional, timely and
responsive service.

2.1. Application

Our global recruiting solution includes opportunities in 48 countries. If your search doesnt reveal the
right role for you there, or you are looking to explore opportunities in other countries, investigate
our search for jobs page.

2.2. Selection

After we receive your application, well analyze your CV and background to measure your match
against the role profile. Youll then be contacted by one of our recruitment team.

The next phase is a series of individual interviews with Human Resources team either by phone, on-
line or face-to-face interview. Excel and youll then be interviewed by the appropriate line manager. It

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is worth noting that well be looking at your potential fit with our culture as well as exploring your
achievements and motivations.

Throughout, well use competency based interviewing techniques that will draw on your experiences
and real examples from your professional life.

If you are applying for a graduate programmed and you excel at interviewing stage, youll be asked to
an Assessment Centre. Here youll be assessed alongside other candidates and youll have the
opportunity to demonstrate you have the knowledge, skills and abilities to make a lasting impression.

2.3. Job offer

The first thing we offer you is congratulations on reaching this stage. Well welcome you on to the
Nestl team and give you more information about your induction. To reach this stage generally takes
about two months.

2.4. Induction
Our inductions programmed vary from market to market. However, they all include a welcome to your
department, an overview of our business and an introduction to your function and role objectives.
Throughout, youll have all the support and help you need to succeed.

2.5. Training system

Do at least some, if not all, of the training yourself.

You are the standard-bearer for your company. No one is better at explaining your company's mission
and how it should show up in every interaction with your customers.

Bring other staffers in on the training.

Make sure the other trainers come from different departments. Doing so will give the new recruit a
well-rounded understanding of how your company works at every level, not to mention introductions to

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colleagues across the company. Both of those things are fundamental to getting your recruit to buy into
your process wholeheartedly.

Write a training manual.

Writing down what you want your employees to be trained to do will help you make sure that what you
are trying to teach is clearly-defined and well-organized. New recruits can use the manual as a study
guide. Knowing where they are at in the learning process also helps them to remain focused and
motivated.

Make training fun.

Training should be interactive and include lots of different types of teaching styles. Lectures are okay,
but using games, visual exercises, competitions, and role-plays can make the process more fun--and the
more enjoyable the process is, the faster it will be.

Don't just explain big ideas.

Spend time pointing out the nuances of your product as well. It will show your recruit that you care
about the details as much as the big picture--and give her the confidence to answer any question your
customers ask.

Teach style as well as skills.

This is your chance to make clear what constitutes an A-player at your company. Defining how you
expect employees to behave not only sets the ground rules for success, but also lays out the roadmap
for employee advancement.

Test for technique and attitude.

A new recruit still hasn't proven himself. Use the training period to confirm you've made the right
choice. The training period is your last chance to make sure you've selected the right employee, while
you can still protect your customer.
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Be patient

Never rush the process, even if you need the recruit trained yesterday. Rushing leads to gaps in
knowledge, and causes you to miss opportunities to fully turn a new recruit into someone who can do
the job well.

All companies, even small ones like mine, devote huge amounts of time and resources to hiring, but
relatively few to training. Trying to cut training corners or costs is a bad idea. The right training ends
with the most important asset you can have: a thoroughly-trained employee who can contribute to your
team and help grow your company.

Ch No: 03

3. Personnel selling

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Personnel selling: selling through person to person communications process. A personnel selling is
different from other communication forms, presented in the message flow from sender to a receiver to
directly face to face.

Personnel selling evolve as marketing environment evolves. Personal selling consists of personal
selling evolutions, which are:

Provider stage

Selling activities are limited to accepting orders for the supplier's available offering and conveying it to
the buyer.

Retailers such as Carrefour, spinneys, Awlad Ghanem, will order from Nestle Elite tea, so that they can
sell it to consumers

Persuader stage

Market members buy supplier's offering because selling encourages this attempt.

Nestle will convince retailers to buy their products, by giving them offers such as buy 10 elite black tea
boxes and take 1 free, and buy 20 elite black tea boxes and take 25% discount on one of the ten boxes.

Prospector stage

Searching for buyers who needs offering, also resources and authority to purchase it.

Nestle should search for customers who are willing to take their Elite tea offers and willing to purchase
their products.

Problem solver stage: Selling requires buyers' participation, to discover their problems which can be
turned into needs.

Nestle should get feedback if there is a problem, so that they can fix it, and then try to convert it into
positive purchase.

Procreator stage: creating a special offer to match the needs of the buyer with all the aspects of the
seller's marketing mix.

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Nestle must search the problems of the buyer and need and creates an offer which will be suitable with
customers.

The information that we are trying to send to customers is that elite tea is different from any other
product in the market and that it delivers a royal experience and taste to who consumes it.

Ways of carrying out this information to customers is:

Advertisements
Telephone selling
Face to face selling

3.1. Personal selling

Product

Elite tea can be explained by the seller by saying the benefits of it and what experience will the
customer feel after drinking a cup, mainly it will be an emotional motivator. And the amount of
advertising and events that we will go to generate to increase the demand of the product that will raise
comfort for the customer in the purchasing process.

Price

The price is negotiable because it is set based on the rate of purchasing of the customer. That we give
for the sales person (spokes person) a range that he can offer the customer more preofable prices.

Reselling price (sales out)

Selling price (sales in)

Channels

As Nestle divides the market into two sectors traditional trade and modern trade as elite tea is a high
quality product and targeting upper social classes, so sales force will be focusing on a specific on
modern trade and more specifically in the (MT) will be supermarkets and hypermarkets. And in
traditional trade they will focus on groceries in class A areas.
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Modern channels, is selling our products through intermediary retailers whom use new ways of
presenting the product such as Carrefour and spinney these types of distributors require special training
on how to represent the product and how to convince consumers on buying it by cooperating with the
promotion department.

Traditional channels, is selling our products through intermediary retailers whom use old fixed ways of
presenting the product these are small grocery stores located everywhere, they do not need special
training.

Advertising is very effective as it delivers the message to targeted customers in an entertaining way but
sometimes the message could be unclear leading to a misunderstanding. Therefore personal selling can
help by providing an individual in modern channel distributors whom can help and explain what the
product offers to increase sales and customers perception.

We can measure sales results by:

Orders
Sales volume in each distributor
Sales calls
Personal selling and PR

PR helps personal selling in a great way as it can create an image for the brand in the customer mind
that will assist sales of the product, one way is the project carried out by the PR department which
donates 50 piaster from each pack of tea sold to help under developed communities.

Our sales depend on the skills of our force and how they can influence the consumers in buying our
TEA

3.1. Personal selling Responsibilities

Locating prospective customers: Nestle should try searching for new customers, Nestle sales people
must target and hold on to the customers who will be beneficial.

Determining customers' needs and wants: sales people in nestle collect information on the customers
and take decision on how to approach them, the sales person in nestle should identify the needs and
wants of the customers, and should be sure that customers are able to purchase the product.
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Recommending a way to satisfy the customers' needs and wants: Sales person in Nestle should get
feedback on customers, to see if they have any problems with the product, and what solutions could
they offer to satisfy them.

Demonstrating the capabilities of the firm and its products: Sales person in this stage demonstrates the
beneficial points of Elite tea and why should customers choose Nestle.

Closing the sale: This is the most difficult step, because not all sales people are able to convince the
customers to buy the product. So in Nestle we try to train our sales force to successfully close the sales.

Following up and servicing the account: Our responsibility does not end once we sell the product,
Nestle tries to keeps its customers satisfied by selling extra products.

3.2. Efficient ways of advertising Modern sales approaches for the retail market

It almost seems like an anachronism: while retailing increasingly takes place on the Internet and e-
tailors are taking away more and more market shares from brick and mortar retailers, the German retail
market prefers to stick with traditional types of advertising. Flyers, catalogs and ads continue to be the
most popular and promising ways of advertising. However, new media advertising continues to be on
the rise and will also create new types of advertising in the future
When it comes to advertising, there is no direct conflict between online and print advertising. On the
contrary:Surprisingly, e-commerce in particular is a promoter of these traditional types of advertising,
since catalogs and print ads are considered indispensible as an inspiration for later online shopping,
explains Marlene Lehmann, Head of Marketing Research at the EHI Retail Institute, in our current
iXtenso interview (link to the interview). Even today, with a percentage of 53 percent of the advertising
budget, many still regard traditional print ads with handouts and magazines as the one and only
alternative.

Mobile applications are becoming more important

Regardless of the status quo, new types of advertising are nevertheless on the rise. According to a
current EHI study, which surveyed 33 national commercial enterprises, online marketing in particular is
going to pick up momentum within the next few years. An increase of 113 percent is expected over the

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next three years in this area. Many retailers particularly seize mobile marketing as a bridge to POS,
because if customers are being approached on their cell phone while they are on the go, their distance
to the store is not as far as from their couch at home. The appeal to pick up a corresponding sales offer
right at the store while you are out is considerably higher with mobile marketing. Traditional couponing
is also scheduled to be replaced by mobile, digital coupon apps in about three to five years. However,
in this case similar to mobile payments the required technical infrastructures as well as standardized
processes are oftentimes still missing today.

Mobile advertising is effective after working hours

The increase in mobile marketing however presents retailers with several problems in handling this
new type of advertising. This includes the proper time to send mobile advertising for instance. The
retailer needs to know when the users are most susceptible to advertising messages and when the
conversion rate is therefore very high. A study from last year by the apprupt Company, who specializes
in mobile marketing, offers some interesting clues on this.
Weekdays between 5 p.m. and 11 p.m. is the most effective time for mobile advertising campaigns,
with the peak for brand susceptibility being at around 7 p.m. Mobile Web advertising therefore works
best in the so-called lean back time, when the user relaxes on the couch and surfs using his/her tablet
or is looking at his/her Smartphone on the way home.

Social networking sites are a tool for marketing, not for sales

These days, social networking sites and primarily Face book of course, are among the most-used
mobile apps. Until about two years ago, retail viewed integrated stores in these networks as the
integrated marketing and sales channel of the future. Advertising and product purchase were meant to
be as closely connected as possible. Customers accept recommendations and tips from their friends and
directly end up at the Face book store of the corresponding brand.

Many businesses had hoped to open up an additional sales channel with very little effort this way.
However, many of them have come to realize that Face book and friends are great communication
tools, but very poor sales media. The integrated opportunity to purchase items is too complicated for
many users, even though Face book definitely has the potential of a dialogic marketing platform where
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users are able to make contact with a company. After all, many users definitely tell their friends about
the companies and brands they like. People also often click on the Face book pages of famous
companies.

(Still) no faith in social commerce

After the daunting example of the quick ending to most Face book stores, many German retailers are
rather skeptical about the topic of social commerce. Even though most companies have their own fan
page on Face book, they are still not entirely convinced about its benefit as a marketing tool. This is
why there are also only small investments in this area. In a May 2012 survey, Become Europe, a
service provider for pricing comparisons, surveyed 1,000 retailers. Only 21 percent of surveyed
retailers believe that a commitment to social networks can have a positive effect on their companys
success. Although the perception that activities in the social Web would not pay off still dominates, 89
percent of the interviewed companies have their own fan page. Even though retailers still do not really
believe in the effectiveness of these measures, 64 percent of them mention new customer acquisition as
the motivation for their commitment. Other mentioned reasons were the effect on branding and
customer retention. The reason for this skepticism therefore in most cases is perhaps the lack of tools to
measure effectiveness of this online presence.

Word-of-mouth advertising also works online

Generally one of the most effective ways of advertising is still word-of-mouth advertising.
Recommendations by other consumers are always more believable than company advertising. While
traditional word-of-mouth advertising is as old as retail itself, it has continuously advanced during the
expansion of Internet retailing. These days, you no longer need face-to-face contact between two
consumers. Word-of-mouth advertising takes place via customer ratings, comments in forums and blog
contributions instead. More and more online stores today offer their customers the chance to rate and
comment on their purchase. In addition, consumers compare notes on specific providers in special
forums or social networks. Many bloggers also talk about stores, products and offers in their blogs and
thus create an additional medium in terms of word-of-mouth advertising since online retailers today
know exactly how effective this type of advertising is, they might be tempted to influence such ratings

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and their content. However, utmost caution is advised here, since Internet companies very quickly
come into conflict with consumer rights and competition laws if they manipulate ratings or otherwise
influence their content.

3.3. The 8 Step Personal Selling Process

Personal selling is the most expensive form of advertising and to be effective because nestle company
use a step by step process to gain the most benefit. Personal selling can adjust the manner in which
facts are communicated and can consider factors such as culture and behavior in the approach. They
can ask questions to discover the specific need of the customer and can get feedback and adjust the
presentation as it progresses

The personal selling process is a consecutive series of activities conducted by the salesperson, the lead
to a prospect taking the desired action of buying a product or service and finish with a follow-up
contact to ensure purchase satisfaction.

Step One

Prospecting

The first step in the personal selling process. The process of looking for and checking leads is called
prospecting or determining which firms or individuals could become customers.
Up to 20% of a firm's customer base can be lost for reasons such as transfer, death, retirement,
takeovers, dissatisfaction with the company and competition. A steadily growing list of qualified
prospects is important for reaching the sales targets.

Qualifying a prospect

A lead is a name on a list. It only becomes a prospect if it is determined that the person or company
can benefit from the service or product offered. A qualified prospect has a need, can benefit from the
product and has the authority to make the decision.

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Step Two

The Pre-approach

This stage involves the collecting of as much relevant information as possible prior to the sales
presentation. The pre-approach investigation is carried out on new customers but also on regular
customers. Systematic collection of information requires a decision about applicability, usefulness and
how to organise the information for easy access and effective use.

Step Three

The Approach

The salesperson should always focus on the benefits for the customer. This is done by using the
product's features and advantages. This is known as the FAB technique (Features, Advantages and
Benefits).

Features: Refers to the physical characteristics such as size, taste etc.

Advantages: Refers to the performance provided by the physical characteristics e.g. it does not stain.

Benefits: Refers to the benefits for the prospect. E.g. saves you 20% on replacement cost.

Step Four

The Sales Presentation

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After the prospects interest has been grasped, the sales presentation is delivered. This involves a
"persuasive vocal and visual explanation of a business proposition". It should be done in a relaxed
atmosphere to encourage the prospect to share information in order to establish requirements. Some
small talk may be necessary to reduce tension but the purpose always remains business.

Step Five

The Trial Close

The trial close is a part of the presentation and is an important step in the selling process. Known as a
temperature question technique to establish the attitude of the prospect towards the presentation and the
product.

Step Six

Handling Objections

Objections are often indications of interest by the prospect and should not be viewed with misgiving by
salespeople. The prospect is in fact requesting additional information to help him to justify a decision
to buy. The prospect may not be fully convinced and the issues raised are thus very important. It also
assists the salesperson to establish exactly what is on the prospect's mind.

Step Seven

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Closing the Sale

This is the last part of the presentation. Many salespeople fear the closing of a sale. Closing a sale is
only the confirmation of an understanding. Fear will disappear if the salesperson truly believes that the
prospect will enjoy benefits after the purchase of the product .
Eight step

The follow up

The sale does not complete the selling process. Follow-up activities are very important and are useful
for the establishment of long-term business relationships. It is important to check if the products have
been received in good condition, to establish the customer is satisfied etc

Ch No:04

4.1. Territory management

Territory Design is a desktop solution bundled with Business Analyst to help business professionals
create, automatically balance, and maintain territories. The guided, intuitive, wizard-driven interface
and toolbar allow users to build territories easily. Complex balancing algorithms are applied to help
establish potential franchise areas and assign sales territories consisting of multiple variables and
levels. So due to this the nestle company divide its area into the different territories.

4.2. Steps to effective territory management

While making the different territories the nestle company takes some important steps for effectiveness
of the result .The steps are as followed:

Step 1: Do the research

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You cant develop relevant and meaningful goals, strategies, plans and actions unless you thoroughly
understand the landscape. You must examine and consider:

The makeup of and influences on the market in which you sell;

The nature of the customers to whom you sell;
The marketplace acceptance of the products/services you sell;
The existing strategies driving the process by which you sell;
The challenges you face and the opportunities available to you.
With that in hand, the salesperson can now develop a market profile that includes an analysis of the
customer relationships, market share product demand competitive positioning, market direction and
industry trends.

Step 2: Analyze the data

Once you have the data, youll need to analyze it in a manner that helps you better understand your
customers, your markets, the challenges you face and the opportunities available to you. Performing a
SWOT analysis identifying strengths, weaknesses, opportunities and threats is a useful method.

Step 3: Identify goals

Proper analysis of the data collected will enable you to identify:

Opportunities to increase your competitive advantage in areas that are important to the market
targets, whether they be new customers or existing customers;
Product and service offerings that will emphasize your strengths;
Challenges that threaten sales and profitability.
With that information, you can set goals for specific market sectors, revenue streams and customer
groups that will serve as guides for the allocation of department resources, territory assignments and
account targeting.

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Step 4: Develop strategies

Having identified specific goals, you can begin to develop strategies to reach the goals. You will have
to consider the interconnected relationship of your market, your customers, your products, your market
share and your competition. These factors rarely operate in isolation.

Step 5: Develop action plans

After analyzing territory opportunities, identifying goals and developing specific territory management
strategies, its time to develop plans to put the strategies into action.

These action plans will typically fall under three categories:

Market Level: Developed from a big picture view of your market.

Segment Level: Focusing on a particular market segment or revenue stream.
Account Level: Focusing on the most efficient and effective way to grow and service clients.
Ultimately, the goal of territory management is to decide where and how to allocate resources in such a
manner as to generate the greatest ROI of those resources.

4.3. KEY BENEFITS TO PARTICIPANTS

Frameworks on how to profile and understand a territory
Basic steps in developing a territory plan and strategies
Tools on how to maximize sales time around territory priorities
Numerous examples of current industry practices that provide participants with the opportunity
to consider what is most useful and appropriate for their respective sales territories
4.4. KEY BENEFITS TO COMPANY
Better insights on how to manage each sales territory
Frameworks on developing territory profile which is essential in formulating territory-centric
sales strategies
Tools to control sales costs
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