SALES AND DISTRIBUTION

MANAGEMENT

BY: MUKESH MISHRA

 Introduction
 Sales management means the planning,
direction and control of personal selling,
including recruiting, selecting,
equiping,routing, supervising, paying and
motivating as these task apply to the
personal sales force
 Its is basically management of sales force
Evolution of personal selling
Partnership
Strategies
Business
Consultative Selling Management
Negotiation
Persuasion
 Nature and Role of sales
Management
 The basic function and role of selling is to
generate sales and earn revenue for an
organization.
 Today`s selling approach also highlights
maintaining good customer relationship,
managing the profitability of firm, managing
customer complaints, and maintaining brand
value in the eye of customers.
 Nature and Role of sales
Management
 Even best marketing programmes may fail
if the sales staff is ineffective or they are
improperly managed
 For many customers the sales staff
represents the company and the impression
it carries determines its future business
relation with customers
 Nature and Role of sales
Management
 There is a cost aspect also as the cost of
recruiting, training, and managing the sales
force is high and any ineffective management
program will include diseconomy of scale of
enterprise.
 The job of sales manager is not only to
organize sales but also to carry out
management functions such as guiding and
leading a set of people to achieve sales target
 Nature and Role of sales
Management
 The function of sales manager can be
classified into two: personal selling and
sales management.
a) Personal selling
 it entails personal communication
between a seller and a buyer for the purpose
of determining and satisfying the buyers
current and latent needs.
 Nature and Role of sales
Management
 It involves an individual salesperson or a sales
team to establish and build a profitable and
symbiotic relationship with customer over a
time for multiple transaction cycle.
 In the process of building relationship, a
salesperson must determine a buyer`s needs
and influence or persuade the buyer to
purchase his product with the assurance that
the product or service will satisfy the buyer
more than the competitors products.
 Nature and Role of sales
Management
b) Sales Management
 It is more strategic and a long term
consequence, as it involve planning,
organizing, directing and controlling of all the
selling activities of an organization
 Management of sales force demands attention
towards the emerging roles and functions of
the salespeople in the context of an evolving
environment
 Nature and Role of sales
Management
 At the lowest level of the sales force is
sales executive and the next level is sales
manager who handles 10-15c sales
executive. Area manager handle a few sales
managers
 As the no. of hierarchy increases, more and
more management functions get added on
the primary job of selling
 Nature and role of sales
management
 The determination of sales force objective and
goals
 Sales force organization, size, territory, and quota
finalization
 Sales forecasting and budgeting
 Sales force selection, recruitment, and training
 Motivating and leading the sales force
 Designing compensation plan and control systems
 Designing career growth plans and building
relationship strategies with key customers
 Types of personal selling

• Industrial selling
• Retail selling
• Services selling
 Types of personal selling

1. Industrial Selling
 It is basically termed as BtoB selling but
in a traditional business model, it is
characterized as the manufacturing sector
selling.
 These are grouped into four categories on
the basis of their consumer base
 Types of personal selling

a)Selling to resellers
 A reseller is a wholesaler or a retailer or an
intermediary who buys finished goods and
resell them to the end –users..
b) Selling to business users
 This means the output of one producer enters
into production process of another producer
to manufacture a final goods for the
consumption of end users
 Types of personal selling

c) Institutional selling
 These institutional customers use the products in
their daily operation.
 Companies such as Xerox in photocopiers, J&J in
surgical equipments, and Reynolds in office
stationeries sell directly to institutions for
institutional consumption.
d) Selling to governments
 company is also selling their goods in govt.
organization. such as railway canteen,defence
canteen etc.
 Types of personal selling

2.Retail Selling
 Retailing is defined as the all the activities
directly related to the sales of goods and
services to ultimate customers for personal or
non business use or consumption
3.service selling
 Services such as insurance, airline, and travel
are intangible in nature. unlike products
services cannot be separated from their source
and hence cannot be stored for future use.
 Types of Selling
Inside Order Taker

Order
Takers Delivery Sales
People

Outside Order
Takers
Selling Order Missionary Sales People
Function Creators
New Business
Sales People

Front Line Organizational

Sales People Sales People

Order Getters Consumer

Sales People

Sales Technical Support

Support sales People
Sales
people Merchandisers
 Types of Selling

1.Order taker Salespeople

a) Inside order takers
 They are retail sales assistant's sales assistant role is to complete
the transaction
b) Delivery Salespeople
 Who delivers newspapers, magazines, and pizza. etc.
c) Outside Order Taker
 Who visit the customers regularly and their primary concern is
to respond to the customer calls rather than seek new customers.
 Sales people of Eureka Forbes are included in this category
 Types of Selling

2.Order Creators
 Missionary salespeople who normally
don’t close a sale but persuade the
customers to promote the sellers brand.
E.g. MR
 In this kind of selling, the objective is to
educate and make the people aware of the
product rather than closing a sale
 Types of Selling

3. Order Getters
A .Front line Sales People
a) New Business Sale people
 They are the front line salespeople who go door to door
to sell products. the function is to persuade new buyers
and non-users to buy a company products and services
b) Organizational salespeople
 They are industrial sellers who try to establish and
nurture a long term relationship with organizational
buyer.
 The selling job involve team selling where a cross
functional sales team, sales and technical staff joined
together, does a sales presentation.
 Types of Selling

c) Consumer sells people

 They are door to door salesperson who sells
insurance and other personal product for
individual consumption.
B. Sales support Salespeople
a) Technical sells support
 They support the frontline salespeople when
the product is technically complex
b) Merchandisers
 They prove sales support in retail and
wholesale.
Difference between sales and marketing
Starting
Focus Means Ends
point
Selling and Profits though
Factory Factory promoting sales volume

Selling concept

Market Customer Coordinated Profits through

needs marketing customer satisfaction

Market concept
Sales management process

Formulation of a strategic sales programme

Implementation of the sales programme

Evaluation and control of sales force performance

Sales management process

1. Formulation of a Strategic Sales

Management Programme
 It should consider the environmental
issues affecting the business.
 It should organize and plan the company`s
overall personal selling efforts and integrate
these with the other elements of firm
marketing strategies
Sales management process

 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.
 The organizational environmental factors
help in determining the nature of a sales
program
Sales management process

There are five key decisions that a sales manager

needs to take at this stage
 The sales manager should decide on how the
personal selling efforts can best be integrated
company`s environment and other element of
marketing strategy.
 The next decision is to find out and decide in
what way the potential customer`s can best be
approached, persuaded and serviced
Sales management process

 Design of sales organization suitable to market to

call and manage various type of customers as
effectively and efficiently as possible.
 Decision related to level of performance each
member of sales force expected to attain during the
planning period under consideration.
 The decision involves deciding on the sales
territories and allocation of these territories to the
sales people
Sales management process

2. Implementation of strategic sales

management program
 It involves selecting appropriate sales
personnel, training them, leading them and
motivating them, designing and
implementing of policies and procedures
that will direct the efforts of the salespeople
towards achieving corporate objectives.
Sales management process

There are five factors that influence the job

performance and behavior of sales people
 The ability of the salespeople to achieve the
desired level of outcome is always influenced
the environment they operate.
 E.g. situation in market, the level of
competition, the market demand of category,
and the condition of economy in providing
consumption power
Sales management process

 Perceived quality of product, the pricing

policy followed in the market, and the
promotional support also influence the sales
performance of the people in organization.
 A salesperson should be clear about his job
profile and the method he should follow to
execute the desired role in the organization
Sales management process

 The performance of a salesperson is also influenced

by his ability to perform the job.
 Personal characteristics, personality traits, level of
intelligence, analytical ability to coprehend the
selling situations will decide his success level in the
market.
 The sales person should have adequate knowledge
about product market conditions, competitors
product information,and should also have
knowledge about closing the sales through effective
presentation
Sales management process

A salespeople should be motivated enough to

stay committed to the job. People stay
committed due to the expected rewards in
financial terms, job enrichments, or promotion.
 A Sales manager should decide what kind of
aptitude is required for performing a selling
function and then should go to develop
recruitment and selection criteria to ensure that
right kind of people with right ability and
capabilities are hired for the enterprise
Sales management process

3.Evaluation and Control of a strategic Sales

Management Program
 The performance of every salesperson is measured
and evaluated
 Company use a structured performance
measurement based on all the activities of
salesperson in a organization, which includes the
sale call made, prospecting done, information
collected on market behavior, and annual sales
volume and customer satisfaction index generated
by employee in his area of operation
Sales management process

 Sales Analysis-Each salespersons sales

volume can be monitored and measured
again the quota allocated to him. Which
can be broken by territory, by product line
and result can be compared with quota
 Cost analysis- the cost can be evaluated on
the basis of an individuals sales man,
territory, by product line, by customer type.
 Technology

Emerging trends
Customer orientation in sales
Relationship selling
management
Technology

Global and ethical Diversity

Issues

New selling methods

Emerging trends in sales management

 Selling Skills and Selling
Strategies
 Product and services can be delivered to
potential customers in two ways
a) Indirect Marketing- it involves a process of
intermediation in which third party takes the
product and delivers it to the customers on
behalf of the producer, with a share in the
profits.
b) Direct Marketing- organization deliver
products and services to the customers directly
through salespeople.
 Selling Skills and Selling
Strategies
 Salespeople with proper selling skills not only
close the sales and utilize selling time
effectively but also are able to project a
positive image of the company through their
professional selling approach.
 Success in selling does not depend on some
inborn quality; rather it is based on application
of certain skills and development of
commitment and professionalism in selling
 Selling Skills and Selling
Strategies
Selling and Buying Styles
 The buying style vary depending upon the buyers
capability to pay, the qualtity of purchase, the
buyers ability to take risk,the bargaining power of
buyer in market, and competitive landscape in the
industry.
 People who are adventurous and have high risk
capital are the overnight buyers.
 These buyers are the innovators in market place,
who mostly buy on impulse and consider
nonfunctional reason for making a choice
 Selling Skills and Selling
Strategies
 This set of people are followed by another
group who accept new product and innovations
after observing in innovators using it.
 In B to B selling also the buying styles are
different. Many govt. organization always go
for buying the lowest priced commodity
irrespective of quality level, where as quality
conscious organizations may not give much
importance to the price factor in buying
situation
 Selling and buying styles
9 (1,9) People Oriented (9,9) Problem Solving Oriented

I am customer’s friend, I consult with the customer so as to

inform myself of all the needs in his
8
Concern for the customers

I want to understand him and situation that my products can satisfy.

respond to his feelings and We work towards a sound purchase
7 interests so that he will like me. It
is the personal bond that leads him
decision on his part, which yield him
the benefits he expects from it.
6 to purchase from me.
(5,5) Sales technique Oriented

5 I have tried an effective routine for

getting a customer to buy. It
motivates through a blended
4 personality and product emphasis (9,1) Push the product Oriented

3 (1,1) Take it or Leave it I take challenge of the customer

and hard sell him, polling on all
I place the product before the the pressure it takes to make him
2 customer and it sells itself as and buy
when it comes.
1 2 3 4 5 6 7 8 9
Concern for sale
 Selling skills
Effective
Problem
communication
solving skills
skills

Selling Skills

Listening Skills

Negotiation
and bargaining
skills

Conflict management and

resolution skills
 Selling Skills
1. Interpersonal skills, such as knowing how
to cope With and resolve conflicts.
a. Listening
b. Empathy
c. Optimism
d. Perceptive observation
 Selling Skills
2. Salesmanship skills, such as knowing how
to make a presentation and how to close a
sale.
a. Adaptability
b. Consultive selling
c. Negotiation and questioning
d. Salesperson cues and Communication style
 Selling Skills
3. Technical skills, such as knowledge of
product features and benefits, engineering
skills, and the procedures required by
company.
a. Customer Knowledge
b. Client evaluation cues
c. Buyers/Seller relationship Management
d. Competitive Information
 Negotiation Skills
 Negotiation occurs when someone else has what
you want, and you are prepared to bargain for it and
the vice versa.
 Successful negotiation is an attempt by two parties
to achieve mutually acceptable solutions, which
does not result in winner and a loser.
 The core skill required for successful negotiation
includes the ability to define and prioritize a range
of objectives, the ability to explore a wide range of
options, the ability to prepare well and interactive
competence
 Negotiation Skills
Negotiation Strategy
1. Separate the people from the problem
 It is natural that emotions will be entangled
with the objective issue in a negotiation when
the parties are involved in face-to-face
bargaining.
 Ineffective bargaining may occur when the
main issue of negotiation are framed in terms
of the personalities involved rather than the
interests of both the parties
 Negotiation Skills
2. Invent options for mutual gains
 By options we mean possible agreements or
pieces of possible agreements. Inventing
options for mutual gain involves searching for
a larger pie rather than arguing over size of
each piece.
 Developing options require innovative
thinking, the brainstorming sessions that help
to identify shared interest.
 Negotiation Skills
3. Insist on objective criteria
 When the opposing negotiator is
intransigent and argues over his position
rather than his interests, a good strategy is
to insist that the agreement must reflect
some objective criteria independent of the
position of either side.
 Negotiation Skills
4. Step to their side
 In many instances people do not negotiate
rationally. It is sometimes worth trying worth
trying by salespeople also.
 To cope with the irrationality of the counterpart,
the sales manager has to be all the purposeful and
rational.
 So before engaging in principled negotiation, a
favorable climate should be developed, so that the
other party`s anger and fears are removed.
 Negotiation Skills
5. Reframing rather than rejection
 The next step is to focus on each party`s
interest. Instead of rejecting the other
party`s viewpoint outright, which make
them more stubborn with those ideas, the
sales manager can direct their attention to
the problem of satisfying each party`s
interst.
 Selling Skills Scale
Interpersonal Skills
1. Ability to express yourself nonverbal.
 
2. Ability in general speaking skills.
 
3. Awareness and understanding of the nonverbal communications of
others.
 
4. Ability to control and regulate nonverbal displays of emotion.
 
5. Ability to present yourself socially, possibly through acting.
 
6. Ability to manipulate others to control the situation.
 
7. Awareness and understanding the verbal communications of others
 Selling Skills Scale
Salesmanship Skills
 
1. Ability to prospect for customers.
 
2. Ability to qualify prospects.
 
3. Ability to open relationships with prospects.
 
4. Ability to close the sale.
 
5. Ability to present the sales message.
 
6. Ability to service the account.
 
 Selling Skills Scale
Technical Knowledge
 
1. Knowledge of customers' markets and products.
 
2. Knowledge of your own company's procedures.
 
3. Knowledge of competitors' products, services, and sales policies.
 
4. Knowledge of product line, including product features and benefits.
 
5. Knowledge of customers' operations, such as store and shelf layout, and
employee training.
 
6. Imagination in supplying products and services that meet the customers'
needs.
 
 The Selling Process
Objectives
 To learn about the basic steps in the selling process
 To understand the needs of a prospect and the
method of prospecting
 To take not of various approaches to sales
presentations
 To learn various methods of handling objections
 To apply various methods of closing a sale
 To understand the concept of systematic selling
 The Selling Process
Process
 The selling process is defined as a process by which
a salesperson identifies and locates the prospects,
separate the prospects from suspects, approaches
them and makes a sales presentation, handle the
objections, and close a sale
 The selling process can help a salesperson to
identify the customers needs, arouse their interest in
product or brand, and motivate them to make a
purchase decision
 The Selling Process
 It is assumed to be a chain process that a
salesperson ha s to follow step by step to have
a synergistic effort.
 Each of these step can be called a sales
proposition,
 it is a n orderly process in which a salesperson
can respond to the decision making process of
the customers and close a sale to the end of the
process
 Stages in the selling process

Pre-
Pre-sale approach Approach to
Prospecting before the
preparation the customer
interview

Handling
Follow up Closing the Customer Sales
action Sale Objections Presentation

.
 The selling Process
1.Pre-Sale Preparation
In this stage , the salesperson prepares himself with
 Adequate knowledge about the product he will sell,
 The company he will represent,
 The market in which he will sell,
 The competitors products and prices,
 The category of customers or segment he will
target,
 The various selling techniques he will apply during
the sale
 The selling Process
Product Knowledge
 It includes knowledge about the quality of
product, SKUs, price point at which they will
sold to various customers, the USP, Value
proposition etc.
 If the sales person fail to supply the relevant
information the competitor may take advantage
of the situation and make the deal
 Sales mangers should train the salespersons
for acquiring adequate product information
 The selling Process
 The sales person should have knowledge
about type and timing of various consumer
promotion tools like coupons, contests,
refund offers, price pack and premiums
 They should have adequate knowledge
about transportation charges, they can be
FOB( free on Board)
 The selling Process
A salesperson has to collect information about
 The competitive environment
 The structure of industry
 Bargaining power enjoyed by each of the
force in business
 Prospecting
Successful prospecting

50 potential prospects 50 potential prospects

15 Qualified prospects 25 Qualified prospects
6 Interviews 17 Interviews
1 sale 7 sales

No Yes

Successful prospecting
 Prospecting
 Prospecting is the process of identifying potential
buyers who have a need for the products and
services offered by the company, the ability to pay
for it, and the adequate authority to buy it.
 A successful salesperson always efficiently utilizes
the selling time by distinguishing the prospects from
suspects.
 Suspects have no potential demand for the goods at
the point of probe in selling process. However, a
proper follow-up many a time results in converting
the suspects into prospects
 Prospecting
A salesperson identifies three sets of customers at the
stage of prospecting
a) Lead Customer-customer with a desire and need to
purchase the product but purchasing capacity not
known
 A sales person needs to screening skills to identify ,
their buying power, financial transaction capacity
 The process of collecting customer data and
checking lead parameter to make them qualify as
prospects are refereed as prospecting
 Prospecting
b)Prospect Customers
 The prospects are buying units who have a current
demand for the product and can get substantial
benefits through the acquisition of the product.
 A salesperson `s job in this case is to take
prospects higher in the decisions process
 Salesperson identifies the current stage of decision
making of the customers and then takes them
higher in decision making process for realizing a
sale
 Prospecting
c) Qualified Prospects
 The qualified prospects are those who have a need for
the product or services in offer and have the ability to
buy them, but need further persuasion about product
delivering the desired level of satisfaction
 The prospect in advance stage of decision making
become a qualified prospects for the salesperson.
 A good prospecting helps the salesperson to
differentiate between prospects and suspects among the
lead prospects so that his energy and efforts can be
used for achieving higher sales
 The Process of Prospecting

 Sources of prospects can be satisfied customers who

are ready to give referral, websites, newspapers and
technical publications, trade association
membership directory, company enquiry registers,
suggestions from salespeople in other territories,
and the company selling plans
 The company selling plan includes sales forecast
for specific industry in industrial market
Process of prospecting

Identify and define prospects

Search for sources of potential

accounts

Qualify the prospects from the

suspects
 The Process of Prospecting
1.Identify and define the prospects
 In this process salesperson has to identify the
attributes and features of the prospects,
 The urgency of the need of product,
 Ability to make payment,
 Expectations and practices of credit payments,
 Authority and department involved in making
the purchase decision.
 The Process of Prospecting
2.Search of Sources of potential accounts
a) Primary sources- it include the immediate groups
like family, friends, relatives, suppliers of goods and
services, employees, business associates,
shareholders, and customers of the firm.
b) Secondary Sources-it includes those from which
lists of prospects are generated through a deliberate
process , such as surveys, replies to queries in the
past, enquiries generated through ad , lists of
customers published by trade associations, the
directorate of commercial intelligence in the govt. at
centre and state level.
 The Process of Prospecting
3.Qualify the prospects from suspects
 In this process salesperson distinguish the
prospects from the suspects and then determine
the probable requirement of the prospects.
 It is the process by which the salesperson ranks
the prospects on the basis of their payoffs.
 The payoff or expected value is the probability
of the prospect buying multiplied with
magnitude of sales from the prospects
 The Process of Prospecting
 It is a process of estimating the probabilities
and sales potential
 The salesperson will like to classify the
prospects at the beginning to effectively utilize
is selling time, his relationship building
strategy, and also his effectiveness in handling
customer objections.
 A salesperson will classify a lead as a prospect
when the lead have a reasonable probability of
buying, has sufficient needs to justify a
profitable sale, has the financial resource to
buy and cane classified as eligible to buy.
 Methods of prospecting
Cold canvassing
 Endless chain customer referral
 Prospect pool
 Centers of influence
 Non competing sales force
 Observation
 Friends and acquaintances
 Lists and directories
 Direct mail
 Telemarketing
 Trade shows and demonstrations
 Pre-Approach Before Selling

1. Determination of call objectives

2. Development of customer profile
3. Determination of customer benefits
4. Determination of sales presentation
 Pre-Approach Before Selling
 Before the salesperson approaches the
customers for a sale, it is necessary to develop
a sales strategy by collecting customer data
and combining them with product attributes as
fit for satisfying the individual and
organizational needs.
 The more a salesperson become
knowledgeable about the customer`s behavior
and his requirement, he is better equipped to do
a sales presentation.
 Pre-Approach Before Selling
 Different personality elements may be found in
customers like price sensitiveness, varied level of
intellect, capacity and propensity to bargain, level of
self indulgence, and a salesperson has to develop
different selling strategies for each type of
customers.
 A pre approach selling strategy for each prospect
requires a clear understanding of his personal
characteristics and needs, and how a salesperson`s
product and service will satisfy his need
 Pre-Approach Before Selling
 The need- benefit match is the initial process of
developing a sales strategy.
 The salesperson contacts the customers and uses the
generalized need identified beforehand as an
induction method to develop a positive attention
towards the product.
 The selling plan of the company also helps in
building up the selling strategy because it explain
the call norms and objectives, additional benefits,
and differential advantage to be offered to the
customers and the suggested closure of the deal with
various rallying pricing points corresponding to
customers demand and tenure of relationship with
the firm
 Pre-Approach Before Selling
 The next stage of building the sales strategy
is to develop the call objective
 Call objectives explain the action that a
salesperson wants the prospect to take.
 Pre-Approach Before Selling
Benefits
1.The salespeople buildup a high level of self
confidence before meeting the customers
2. They are able to develop an atmosphere of
goodwill and trust with the customers
3.This will help in creating an image of
professionalism in the eye of customer
4.This increases the scope of achieving higher
sales because people are prepaid for making
a sale
 Approach to customer
 This step is crucial because in this step the salesperson
tries to get customer`s attention and generate interest in
him for the sales presentation.
 In the cold calls, the salesperson should try to impress
the customer with manner rather than sales talk.
 The goals of any sales approach can be summarized as
getting the prospect`s attention, removing any
inhibitions, gaining the prospect`s respect and
confidence, probing for the benefit most wanted by the
prospect, and arousing their interest for hearing the
presentation
 Approach to customer
There are various approach used for this purpose
a)Customer benefits approach
 In this approach a salesperson would like to begin
by saying' would you like to save 20% by buying of
this particular line of adhesives that also save the
average wear and tear by 10%`
b) The referral Approach-it is valid when the prospect
values the status and opinion of the referee.
c) Introductory approach- in this sales person
introduces himself and the company and in the
product approach the salesperson hands over the
product to the consumer for generating interest and
attention
 Sales Presentation
In this process the salesperson presents his
product and services before the prospects and
make effort to create and modify their interest
into sales realization for the company.
 In presentation sales people should always try
to link the features and attributes of the
products with customer needs so that the gap
or conflict and level of customer objection can
be reduced in the subsequent stages
 Sales Presentation
 Presentation should be always be made by
keeping in mind the level of customer interest,
nature of the product, and time available for
the presentation and for leading the prospect
in next stage
 If the customer agrees with the opening idea,
the salesperson goes for a trial closure. If the
customer looks for more information and probe
furthur, the salesperson delivers additional
benefits; if the customer is indifferent and the
response cannot be classified, the salesperson
should probe for further information
 Sales Presentation
 If the customer has some doubt regarding the
product performance and delivery of brand
promise, a proof should be demonstrated to the
customer during the presentation.
 Objections of the customers should be
classified as minor or major, and the
salesperson should wait for customer response
at each stage before moving to the next stage
 Probing helps in confirming the fit between the
stated need and promised brand benefit.
 Sales Presentation
Approaches to Sales Presentation
A normal presentation style covers
 Summarization of the situation
 Statement of the idea
 Description of how the idea works
 Statement of promised benefits
 Recommended action of buying
 Sales Presentation
There are three approaches used during the
sales presentation
1.Attracting Customer Attention

2.Creating Interest

3. Arousing desire and conviction building

 Sales Presentation
1.Attracting customer Attention
 It involves understanding the buyer`s mind and
thought, and placing the product information
so that it matches their mind
 The interest factors include the customers
choice and preferences, personal problems, and
expectation from the buying
 This helps the salesperson to create a positive
impression that the salesperson is sensitive to
the customer issue and also it helps in doing a
survey whether the customer really needs the
product or is on a window-shopping spree.
 Sales Presentation
2.Creating interest
 People show in interest in things that help to solve their
problems. Creating interest approach is classified further
as
Benefit Approach Opinion Approach
Factual Approach Praise and compliment
Curiosity Approach Article feature approach
Dramatic Approach Premium Approach
`I am here` Approach Visualization Approach
Information Approach
Problem Solving Approach
 Sales Presentation
3.Arousing Desire and Building Conviction
Customer interest takes the form of desire when
 The customer agree that he is in need of a
product.
 His emotional needs will be satisfied by the
buying motive
 The advantage of using the product have
influenced his mind
 The salesperson has been able to generate the
consumer confidence in the product
 Sales Presentation
 The salesperson has to identify the consumer
needs unmet by the existing product use and
the sources of dissatisfaction sources

 Salesperson make it clear that his product will

satisfy his need better than the curent product
used by the consumer and then make it clear
to the consumer about the advantage and
benefits he will receive by using this product
 Sales Presentation
 The salesperson will be able to generate conviction
when the customer is convinced by his talks and has
full confidence in the salesperson`s words.
 Such conviction can be built up only when the
salesperson is able to give satsfactory answer to the
complaints and objection raised by the customer.
 The salesperson will be able to build conviction by
allowing inspection and demonstration of the product,
by the offer of warranty, by giving faccts and
arguments, by stating the goodwill and brand image of
seller and by offering a right to consumers to claim
compensation against damages
 Sales Presentation
Method of Presentation

1. Canned Presentation
2. Organized Presentation
3. Tailored Presentation
 Sales Presentation
1.Canned Presentation
 It is prepared by company, and there is little
scope of modification for each prospect
 It is based on the research and designed by
experienced people in the organization.
 New sales people can use the presentation that
addresses all the relevant issues for the
customers. This type of presentation helps in
building the confidence of the new salespeople
 This kind of presentation sounds very
mechanical, discourages the prospects
participations, and is non enthusiastic in nature
 Sales Presentation
2. Organized Presentations
 In this salespeople have enough scope to word
the presentation, but on the line of company
policy and systems.
 This brings more flexibility and encourages
participation of the prospective customers, and
overall structure is as per company guide lines.
 The presentation can be developed on the basis
of information collected from field search,
which is not available with individual
salesperson
 Sales Presentation
3. Tailored Presentation
 It is developed from the detail evaluation of
a prospective customer`s business and is
specifically designed for that specific
customer.
 This is most common method in B to B
business selling
 This method is also applicable in the case of
reseller like retailer and wholesalers
Selling Process in HUL
 Planning Essentials of TSO
1. Target Planning
2. PJP Planning
3. Coverage Planning
4. Merchandising Planning
5. Planning to make an effective sales call

6. g
 Planning Essentials of TSO
1.Target Planning
 Based on Ops Plan
 Break down the JC target RS wise- RSSM
wise- Beat wise and then finally outlet wise
for different RSSM
 Before starting the day, check whether you
have plan for the day both in the terms of
secondary sales and TLSD
 Takes SKU availability for the day to meet the
day target
 Planning Essentials of TSO
2.PJP Planning(Market Planning)
 To have a clear idea on your priorities
 Optimum utilization of time at the least
possible cost
 Which are the market you need to visit
 For how many days you need to visit
 No. of call to be made in a JC
 No. of call to be made in a beat construct
 Minimum No. of productive calls in a bear
 TLSD
 Planning Essentials of TSO
3. Coverage planning
a) Effectiveness
Planned Calls for the day : 40
Total Calls Made actual : 30
Productive Call : 20
Productivity : 20/40 = 50%, Effectiveness
 Planning Essentials of TSO
b) Efficiency
Planned Calls : 40
Total Calls Made : 30
Productive Calls : 20/30 = 66.6%. THIS IS
EFFICIENCY
 If we focus on effectiveness, most of our
problems in the market place in the terms
of achieving targets will be sorted out
automatically
 Planning Essentials of TSO
Therefore your coverage plan should focus on
 Sequential visits of outlets
 Complete the beat of the day effectively
 Update trade service card during each call
 Be channel specific
 Shelving and sachets to be put up while making the
sales call
 Use RSSM effectively of merchandising/shelving
while making a call
 Planning Essentials of TSO
After you have planned for all the essentials, it
is necessary that you look for these elements
also, so that your day become more effective
 Trade service Card
 Beat Card
 Merchandising Kit
 Stock Availability
 Product sample for demonstration
 Planning Essentials of TSO
Once you have finished all that, you are set to visit
the market. Before entering each call,plz do the
following
Check
 Cumulative performance and review the
secondary target for this outlet
 What has been TLSD target and what has been
achievement
 What are the focus packs and what is my
merchandising plan
 Planning Essentials of TSO
It is also necessary for you to understand the
following before entering into an outlet
 Retailers name
 Have I taken care of the commitments made
earlier and what have I done towards it?
 Likely reaction of the retailer/dealer
 If there are customers in the shop- what do I
do?
 Planning Essentials of TSO
The Power of One
JUST ADD- ONE LINE per productive call
JUST ADD- ONE PRODUCTIVE CALL per
day
What happen?
Assume the cost of one line is Rs 100/-
Assume that no. of productive calls is 30
Then….by just adding one line, your value
increase to Rs. 100/- x 30= Rs 3000/-
 Planning Essentials of TSO
Now adding one more productive call-say value
comes to Rs. 300/- then the increase in sale
for the day is Rs 3,300/-
There are 24 working days in a JC and hence
your increase per JC= 24X 3300= Rs.79,200
 The 7 Vital Sales Tools
1.Trade Service Card
2.Trade Briefing Folder
3. Beat Card
4.Ops. Plan document
5.Samples for demonstration
6.Merchandising templates
7.TSO pass book
 The 7 Vital Sales Tools
1.The Trade Service Card
 Which is normally called as a `Janam
Kundali`(Life History) of the market.
 You get to understand the trends in the
market place
 Helps you know areas of growth, and
improvement
 Reminds you of lines- in a Sales calls
 The 7 Vital Sales Tools
2.Trade Briefing folder
 Helps you picurise the product to the
retailer
 Helps you talk the Sales Story in structured
manner
 Create an Audio-visual impact while
presenting
 The 7 Vital Sales Tools
3.Beat Card
 Give you detail of beat construct
 Gives you inputs on which are the outlets to
concentrate on and which packs to focus
on
 Help you analyze trends
 The 7 Vital Sales Tools
4.Ops Plan
 Gives you a detailed picture of the the
Schemes of the JC
 Talks about QOC packs and where to focus on
5.Samples for demonstration
 What is seen is 70% more understood that
what is told
 Easy to you to discuss features and thereby
benefits
 The 7 Vital Sales Tools
6.Merchandising Templates
 Talks about the norms to be followed in particular
type of outlet
 Gives you details on:
-what product/ what SKU
- What quantity
- Where to merchandise
7.TSI Pass Book
 A one stop information bank which gives you the
picture of your entire territory
 Gives you trends
 Helps you track your performance better
The 7 Steps of the basic Call Procedure

Before
Before entering
entering the
the Outlet
Outlet

Salutation
Salutation

Merchandising
Merchandising &
& Stock
Stock Check
Check

Always
Always Start
Start with
with aa Promoted
Promoted Pack
Pack

Rigor
Rigor in
in Selling
Selling SKUs/lines
SKUs/lines

Trade
Trade Grievance
Grievance Handling
Handling &
& Comp
Comp Monitoring
Monitoring
 Salutation
 Greet the retailer by name
 Introduce yourself to make sure the retailer knows who
you are
- pronounce your name
- the organization you represent
- The PC you represent

g
 Salutation
Understanding 4X20 Rule
1. The First 20 feet
 If you walk confident to an outlet, the shopkeeper
feels talking to you
 You tend to pass on the positive energy you carry
and this helps in making the sale better
2. The First 20 Seconds
 Look at the shelves and see what is happening in
the outlet, rather than playing around with the
products on the rack or just standing there
 Salutation
3.The First 20 cm.
 It says smile, because smile increases your
face value and take you miles ahead
4.The First 20 Words
 Never ask negative questions. Don`t ask
question like…. How is sale? How is
season etc… which will normally evoke a
negative response
 Merchandising and stock
Check
1. Merchandise effectively as per
norms(visibility templates)
2. This will help you to spend time in the outlet
3. Check stock when you are in
4. This will help you to build sales story
5. Sudden change in competition stocks tells
you the condition of the outlet
 Merchandising and stock
Check
When you do merchandising and stock
check- ensure
 Is the stock now face up?
 Have you ensured product hygiene?
 Shelf arrangement as per category
guidelines and merchandising templates?
 Always start with a promoted
Packs
 Promoted packs generate interests
 It brings him to a buying mood
 Helps open new outlet
when you start with promoted packs… do FAB ing
F= Features
A= Advantage
B= Benefits

g
 Always start with a promoted
Packs
Feature
 A feature describe characteristics of your
product or service
 E.g. this JC you have special offer on LuX… a
scheme of 8.33% i.e. 12+1
Advantage
 How your promotion is better than others
Benefits
 Why? Easy to sell
 Because? profitble
 Closing Techniques
1.Direct Proposition Techniques
 This is what I am sending
2.Everest Technique
 You tell him that you are selling in 2 cases,
and then retailer agree to ½ casees
3 .Push Acceptance
Sales Organization
 Principles of Organization Design
 Organizational structure should reflect a marketing
orientation
 Organization should be built around activities, not
around people
 Responsibility and authority should be related
properly
 Span of executive control should be reasonable
 Organization should be stable but not flexible
 Activities should be balanced and coordinated
 (Figure 4-2)

Line-and-Staff Sales
Organization
Chief Marketing Executive

Advertising Marketing General Sales Sales

Manager Research Sales Promotion Analysis
Manager Manager Manager Manager

Salespeople

Line authority
Staff advisory authority
 (Figure 4-3)

Functional Sales Organization

Chief Marketing Executive

Advertising Marketing General Credit Sales

Manager Research Sales Manager Promotion
Manager Manager Manager

Salespeople

Line authority
Staff advisory authority
(Figure 4-4)

The Horizontal Corporation

Manufacturing
Product Design and Team
Development Team Systems Engineering
Customer Research Production
Customer Analysis Quality Control
Design Engineering

Strategic
Planning Team
VP Strategic Planning
VP Finance & Information
Chief Operating Officer
Human Resources
Administration

Customer Customer
Support Team Fulfillment Team
Information Pricing and Promotion
Training Sales
Service Distribution
Research
 (Figure 4-5)

Geographical Sales
Organization
Chief Marketing Executive

Advertising Marketing General Sales Sales

Manager Research Sales Promotion Analyst
Manager Manager Manager

Western Regional Eastern Regional

Sales Manager Sales Manager

4 District 4 District
Sales Managers Sales Managers

Salespeople each Salespeople each

with own territory with own territory
 (Figure 4-6)

Sales Organization with Product-

Specialized Sales Force
Chief Marketing Executive

Advertising Marketing General Sales Customer

Manager Research Sales Promotion Relations
Manager Manager Manager Manager

Sales Manager Sales Manager Sales Manager

Product A Product B Product C

Salespeople Salespeople Salespeople

Product A Product B Product C
 (Figure 4-7)

Sales Organization with Product-

Managers as Staff Specialists
Chief Marketing Executive

Advertising Marketing General

Manager Research Manager Manager Manager
Sales
Manager Manager Product A Product B Product C

Assistant
Sales
Manager

Salespeople
 (Figure 4-8)

Sales Organization Specialized by

Type of Customer
Chief Marketing Executive

Advertising Marketing General Sales Customer

Manager Research Sales Promotion Relations
Manager Manager Manager Manager

Sales Manager Sales Manager Sales Manager

Transportation Steel Industry Petroleum Industry
Industry

Salespeople Salespeople Salespeople

(Figure 4-9)

Organizational Options for the

2000s
Strategic account
management

Independent Organizational
E-commerce and
reps Options for the telemarketing
2000s

Team selling
 The Relationship Between A
Sales Team and a Buying Center
Organization Sales-person Exchange Purchasing
Organization
Process Agent
al selling al buying
center center
Information
Problem Solving
Marketing Purchasing
Negotiation
Sales
Friendship, Trust Manufacturin
Manufacturin
Product/Services g
g
Payment
R&D R&D
Reciprocity
Engineering Engineering
 Uses of Telemarketing
 Identify prospective customers
 Screening, qualifying leads
 Sales solicitation: small customers,
re-orders
 Order processing
 Product service support
 Account management
 Customer relations
 Competitive reporting
 Expense reporting
 Procedure for re-designing
sales territories
Build-up Method
 The basic territories are set up by building up from
the control units. The objective to be achieved is to
equalize the workload of salespeople
1. Decide call frequencies
 It means how many times a customer should be
visited by company`s salesperson per year.
 The factor that influence call requency are the
customers sales/ profit potential, cost of visiting the
customers, buying behavior of the customer, and
the nature of the product or service offered.
Procedure for designing sales
territories
District-X District-Y
Call No. of No. of
No. Of
frequenc No. of call call
customer
Custome y per customer per per
s
r type month s year year
A 4 3 144 4 192
B 2 7 168 8 192
c 1 20 240 28 336
Total 30 552 40 720
 Procedure for designing sales
territories
2.Calculate the total no. of calls in each control unit.
 Total no. of sales call needed in districts x and y are 552 and
720 respectively
3. Estimating workload capacity of a salesperson
 A salesperson`s normal workload capacity is estimated by
multiplying average no. of calls a salesperson can make in a
working day by the no. of working day in a year
 E.g. the average no. of calls a salesperson make in a day work
out to be 5 based of average travel time of 30 minute per call,
the average length of one hour of each call, and 8 hours per
day working. If the no. of working day in a year is 250 then
estimated workload capacity for the salesperson per year work
out to be 1250 calls( 250X 5)
 Procedure for designing sales
territories
4.Make tentative territories
 In this step, the company should group adjing
control units until yearly no. of call needed in
those control units equal th total no. of calls a
salesperson can make e.g. district x and y
together need 552 + 720= 1272 visits per years
which is almost equal to 1250 calls of normal
workload of a salesperson