Sales and

Distribution
management
MODULE 1
Module 1
 Concept, Objectives and functions of Sales Management
 Evolution of Sales Management
 Nature and Role of Sales Manager’s Job
 The Personal Selling Process
 Technology’s Impact on Sales (Big Data, Sales Force
Automation, Cloud CRM, Social Platforms, Mobile
Technology
 New Means of Selling
 Ethical Issues in Sales Management
Marketing Approaches 3

Marketing Strategy deals with company’s

orientation towards marketplace. It deals
with mainly four concepts:
a) Production Concept
b) Product Concept
c) Selling Concept
d) Marketing Concept
Evolution of marketing concept
Consumers prefer products that are
widely available and inexpensive.
Production Concept

Consumers favor products that

Product Concept offer the best quality, performance,
or innovative features

Consumers will buy products only if

Selling Concept the company aggressively
promotes/sells these products

Focuses on needs/ wants of target

Marketing Concept markets & delivering value
better than competitors
Starting
point Focus Means Ends

Existing Selling and Profits through

Factory products promotion sales volume

(a) The selling concept

Customer Integrated Profits through

Market needs marketing customer
satisfaction

(b) The marketing concept

Sales as a component of Marketing Mix 6
Definition : Sales Management 8

 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.

Definition : Sales Management
 Itis focused on the practical application of sales
techniques
 It is management of a firm’s sales operations.
 It
facilitates net sales through sale of products
and services
 It
results into profits drives in most commercial
business
10
 Functions of Sales Management

1) Past Present
2) Sales Environment
Overview 3) International environment
Sales
Environment

Supervising Planning Personal

Sales Sales Reps
Managers
Motivating
Recruiting

Training

Managing a sales force involves recruiting, hiring, training, supervising, compensating

salespeople, motivating them to become problem solvers, and providing the proper
planning and backup support so they can perform their jobs properly.
 Functions of Sales Management

1) Automation
2) Forecasting
Overview 3) Financial Planning
Sales
4) Quotas
Environment
5) Time and Territory

Supervising Planning Personal

Sales Sales Reps
Managers
Motivating
Recruiting

Training

Planning-is the conscious, systemic process of making decisions about goals and activities that an
individual, group, work unit, or organization will pursue in the future and the use of resources
needed to attain them
 Functions of Sales Management

Overview
Sales 1) Recruiting
Environment 2) Selecting

Supervising Planning Personal

Sales Sales Reps
Managers
Motivating
Recruiting

Training

Recruitment- set of activities and processes used to legally obtain a sufficient number of individuals that takes the people’s and the sales
force’s best interests into consideration
The sales manager should recruit individuals whose values and goals match those of the firm
 Functions of Sales Management

Overview
Sales
Environment

Supervising Planning Personal

Sales Sales Reps
Managers
Motivating
Recruiting

2) Developing 1) New sales force

current sales Training
training
force
Sales Training- effort put forth by an employer to provide the salesperson job related culture, skill, knowledge, and attitudes that
result in improved performance in the selling environment
Functions of Sales Management

Overview
Sales
Environment

Supervising Planning Personal

Sales Sales Reps
Managers
Motivating
Recruiting

1) Motivating
2) Compensating Training
3) Indirect Incentives
Motivating
The most commonly used definitions of salesperson motivation include three
dimensions:
(1) intensity, referring to the amount of mental and physical effort put forth by
salespeople,
(2) persistence, describing the salesperson’s choice to expend effort over a period of
time, and
(3) direction, implying that salespeople choose where their efforts will be spent among
various activities.

 Motivating

 Recognition
 Awards
 Special communications
(Source: Ford, Walker, and Churchill)
 Sales Management

1) Leadership Overview
2) Supervision Sales
Environment
3) Evaluating

Supervising Planning Personal

Sales Sales Reps
Managers
Motivating
Recruiting

Training

Managing a sales force involves recruiting, hiring, training, supervising, compensating

salespeople, motivating them to become problem solvers, and providing the proper
planning and backup support so they can perform their jobs properly.
Personal selling
MODULE 1 (SALES AND DISTRIBUTION MANAGEMENT)
 Selling
Approaches
 Transactional Selling: Get the sale as
quickly as possible. Little thought is
given to lifetime value of customers.
 Affiliative Selling: Based on friendship
in between salesperson and
individual buyer, it becomes a basis
for business to business selling.
 Consultative selling: Involves
identifying and solving a prospective
client’s problem. Hence it is also
known as need-satisfaction selling
 Enterprise Selling: it is a Business to
Business concept that reflects a 19
Selling Situations
Developmental selling:
 business development sales executives
 contact the potential customers and
 build business for the firm.

Maintenance selling:
 Involves the act of servicing the existing
accounts,
 securing promotional cooperation,
 counting inventory and taking
replenishment orders, and
 delivering the products.

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 21

Types of Personal Selling

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23
24
 25
Prospecting
Prospecting
 Cold canvassing
 Direct mail
 Prospect pool
 Centers of influence
 Observation
 Endless chain customer referral
 Non-competing sales force
 Trade shows/demonstration
 Telemarketing
 Networking

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PRE APPROACH.
 Obtaining appointment.

 Planning --- sales call objective-The action

salesman wants the customer to take.

 developing customer profile,

 customer benefit program- FAB analysis-

Features, advantages and benefits.

 sales presentation strategies.

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APPROACH.
 Meeting prospect

 Getting prospects attention

 Removing any inhibitions

 Gaining trust

 Probing for benefits wanted

 Arousing interest for sales pitch.

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Presentation. Further uncovering needs; relating
product benefits to needs using demonstration,
dramatization, visuals, and proof statements.
Trial close. Asking prospects’ opinions during and
after presentation.
Objections. Uncovering objections.
Meet objections. Satisfactorily answering objections.
Methods of Handling Customer
 Superior feature method
Objections
 Yes…But method
 Indirect denial method
 Comparison method
 Another angle method
 Testimonial method
 Question or WHY
method

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Asking prospect’s opinion after overcoming each objection and immediately
before the close.
Close. Bringing prospect to the logical conclusion to buy.
Follow-up and service. Serving customer after the sale.
Selling by ICICI bank
New Means of Selling

 Technological Revolution
 Customer Relationship Management
 Sales Force Diversity
 Team Selling Approach
 Managing Multi Channels
 Ethical and Social Issues

34
Technology’s Impact on Sales
 36

• There is a rapid change in scope and scale of business asking for

Introduction
networking among players in marketing organizations.

• Mass marketing and broad marketing are no longer in practice.

• Role of information technology in sales and marketing is on a rise.

• There is a need to update information at real time by the field

sales force.
 37

It is a business management tool that records every sales

opportunity that comes into the business from the first phone call to
Sales Force Automation
the closure of the business which should provide the organization
with a single comprehensive solution that automates and
streamlines all sales cycle in any business. Its objectives are:
 Build customer experience

 Develop customer insight

 Build customer relationship management programmes

 Big data comprises gathering, analysing, and using
massive amounts of digital information from customer
touch points to-

Big Data for

improve business operations

sales Getting a 360-degree view of their audiences

managemen Customer engagement how customers view your brand

t
Improved customer acquisition

leverage real-time data in cloud computing environments

It provides business intelligence that results in time and cost savings

 Examples of big data

 Big Data is a non-negotiable competency for every organization

 Discovering consumer shopping habits

 Personalized marketing

 Fuel optimization tools for the transportation industry

 Monitoring health conditions through data from wearables

5 Vs of Big
Data
 E-commerce platforms using big data

 Including a customer's purchase history, search history and reviews on specific

products,

 To display more effective advertisements customised for a particular customer.

 Increase the chances that a customer purchases an item or service.

 Big data can also help professionals determine where they should place ads.

 For example, they may choose to have an ad appear as a pop-up window or in

a certain location on the website to attract the customer's attention.
Cloud CRM (or CRM cloud) means
any customer relationship management
(CRM) technology where the CRM
software, CRM tools and the
organization's customer data resides in
the cloud and is delivered to end-users
via the Internet.
 Sales force automation (SFA) is
an integrated application of
customizable customer relationship management (CRM)
tools that
automate and streamline sales inventory, leads, forecasting,
performance and analysis.
 51

 Lead Management
 In this system, sales manager can find out who the prospect is and how many of
them can be converted into leads.

Sales Force Automation
It answers the following questions:
 How long is the average sales cycle?
 How does the company sales cycle compare with
customers?
 What percentage of leads is converted to sales?
 What is the lead time for a lead to be converted to an
order?
 How many sales call leads to an order makes in a typical
market?
 52

 Contact Management
 It helps in organizing and managing customer data across the enterprise and
within a company’s client and prospect organization.
 Sales
It answers the Force
following Automation
questions
 Which set of customers was part of the recent
promotional program?
 What is the client’s address and telephone numbers?
Who are the responsible personnel for the sales?
 Who is the purchasing agent for the client firm?
 When is the next call? When it should be?
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Knowledge Management
 Sales Force Automation
It helps in converting tacit knowledge available with sales people into explicit
knowledge inside the organization and make it available for other users.
 The list of information that can be made available include
 Sales Presentation slides
 Company profile and phone list
 Contract documents
 Business Proposal templates
 Sales expense report forms
 Past sales and revenue Reports
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 Product Specific Configuration Support
Types of Sales Force Automation
 Sales Module

 Services Management Module

 Advanced Configuration Module

 Order Capture Module

Linking Sales Process
with Sales Activity

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