Wednesday, 2 October 2013

Sales Management

Understand the sales function:

Marketing is the management as well as creation of demand. Sales on the other hand is converting demand to revenue.
Consumer becomes a customer when the sale is over.




According to AMA,
The planning, direction, and control of the personal selling activities of a business unit, including recruiting, selecting, training, equipping, assigning, routing, supervising, paying, and motivating as these tasks apply to the sales force. 

Sales management involves three interrelated processes: (1) formulation of a strategic sales program; (2) implementation of the sales program; and (3) evaluation and control of sales force performance.

 In formulating the strategic sales program, sales management involves a number of activities including development of account management policies, demand forecasts, and quotas and budgets; sales organization; sales planning; territory design; deployment; and routing. 

In implementing the sales program, sales management activities include supervising, selecting, recruiting, training, and motivating the sales force. In addition, implementation requires the development of compensation systems and sales force incentive programs. The evaluation and control of sales force performance involves the development and enforcement of methods for monitoring and evaluating sales force performance. Sales management activities typically required for evaluation and control include behavioral analysis, cost analysis, and sales analysis.

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