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Sales and Distribution
Management, 2e
Dr Tapan K. Panda, Great Lakes Institute of Management, Chennai
Dr Sunil Sahadev, University of Sheffield, UK

Copyright © 2011 Oxford University Press

Chapter 1: Introduction to Sales
Chapter 1
Introduction to Sales Management

Copyright © 2011 Oxford University Press

Chapter 1: Introduction to Sales
Personal selling strategies
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.

Willingness to go to bat for the buyer within the supplier firm
Thoroughness and follow through
Knowledge of the sales person’s product line
Market knowledge and keeping the buyer posted
Applying his product and services to buyer’s needs
Knowledge of the buyer’s product line
Preparation for sales calls
Regularity of Sales calls
Diplomacy in dealing with operating departments
Technical education

Copyright © 2011 Oxford University Press

Chapter 1: Introduction to Sales
Evolution of personal selling

Negotiation

Consultative
Selling

Business
Management

Partnership
Strategies

Persuasion

Copyright © 2011 Oxford University Press

Chapter 1: Introduction to Sales
Marketing concepts

1)
2)
3)
4)
5)

Production concept
Product concept
Selling concept
Marketing concept
Societal concept

Copyright © 2011 Oxford University Press

Chapter 1: Introduction to Sales
Societal marketing concept

Production

Sales

Customers

(Sales Orientation)
Customer
Needs

Production

Sales

Emphasis on
Seller’s Needs
(Marketing Orientation)

Copyright © 2011 Oxford University Press

Emphasis on
Customer
Needs

Chapter 1: Introduction to Sales
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

Copyright © 2011 Oxford University Press

Chapter 1: Introduction to Sales
Types of personal selling

• Industrial selling
• Retail selling
• Services selling

Copyright © 2011 Oxford University Press

Chapter 1: Introduction to Sales
Types of selling

• Order taker sales people
• Order creators
• Order getters

Copyright © 2011 Oxford University Press

Chapter 1: Introduction to Sales
Types of Selling
Inside Order Taker
Order
Takers

Delivery Sales
People
Outside Order
Takers

Selling
Function

Order
Creators

Missionary Sales
People
New Business
Sales People
Front Line
Sales People

Order Getters

Consumer
Sales People
Sales
Support
Sales
people

Copyright © 2011 Oxford University Press

Organizational
Sales People

Technical Support
sales People
Merchandisers
Chapter 1: Introduction to Sales
Difference between sales and marketing
Starting
point

Focus

Factory

Factory

Means
Selling and
promoting

Ends
Profits though
sales volume

Selling concept
Market

Customer
needs

Coordinated
marketing

Profits through
customer satisfaction

Market concept

Copyright © 2011 Oxford University Press

Chapter 1: Introduction to Sales
Marketing management process
MARKET ANTICIPATION
Marketing mix
Producer
Marketer

•Product
•Price

Consumer

•Place
•Promotion

Exchange offer of value

Copyright © 2011 Oxford University Press

Chapter 1: Introduction to Sales
Sales management process

Formulation of a strategic sales programme
Implementation of the sales programme
Evaluation and control of sales force performance

Copyright © 2011 Oxford University Press

Chapter 1: Introduction to Sales
Emerging trends in sales management
Technology

Customer orientation

Emerging trends
in sales
management

Relationship selling

Technology

Global and ethical
Issues

Diversity

New selling methods

Copyright © 2011 Oxford University Press

Chapter 1: Introduction to Sales

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Chap 1

  • 1. Sales and Distribution Management, 2e Dr Tapan K. Panda, Great Lakes Institute of Management, Chennai Dr Sunil Sahadev, University of Sheffield, UK Copyright © 2011 Oxford University Press Chapter 1: Introduction to Sales
  • 2. Chapter 1 Introduction to Sales Management Copyright © 2011 Oxford University Press Chapter 1: Introduction to Sales
  • 3. Personal selling strategies 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. Willingness to go to bat for the buyer within the supplier firm Thoroughness and follow through Knowledge of the sales person’s product line Market knowledge and keeping the buyer posted Applying his product and services to buyer’s needs Knowledge of the buyer’s product line Preparation for sales calls Regularity of Sales calls Diplomacy in dealing with operating departments Technical education Copyright © 2011 Oxford University Press Chapter 1: Introduction to Sales
  • 4. Evolution of personal selling Negotiation Consultative Selling Business Management Partnership Strategies Persuasion Copyright © 2011 Oxford University Press Chapter 1: Introduction to Sales
  • 5. Marketing concepts 1) 2) 3) 4) 5) Production concept Product concept Selling concept Marketing concept Societal concept Copyright © 2011 Oxford University Press Chapter 1: Introduction to Sales
  • 6. Societal marketing concept Production Sales Customers (Sales Orientation) Customer Needs Production Sales Emphasis on Seller’s Needs (Marketing Orientation) Copyright © 2011 Oxford University Press Emphasis on Customer Needs Chapter 1: Introduction to Sales
  • 7. 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 Copyright © 2011 Oxford University Press Chapter 1: Introduction to Sales
  • 8. Types of personal selling • Industrial selling • Retail selling • Services selling Copyright © 2011 Oxford University Press Chapter 1: Introduction to Sales
  • 9. Types of selling • Order taker sales people • Order creators • Order getters Copyright © 2011 Oxford University Press Chapter 1: Introduction to Sales
  • 10. Types of Selling Inside Order Taker Order Takers Delivery Sales People Outside Order Takers Selling Function Order Creators Missionary Sales People New Business Sales People Front Line Sales People Order Getters Consumer Sales People Sales Support Sales people Copyright © 2011 Oxford University Press Organizational Sales People Technical Support sales People Merchandisers Chapter 1: Introduction to Sales
  • 11. Difference between sales and marketing Starting point Focus Factory Factory Means Selling and promoting Ends Profits though sales volume Selling concept Market Customer needs Coordinated marketing Profits through customer satisfaction Market concept Copyright © 2011 Oxford University Press Chapter 1: Introduction to Sales
  • 12. Marketing management process MARKET ANTICIPATION Marketing mix Producer Marketer •Product •Price Consumer •Place •Promotion Exchange offer of value Copyright © 2011 Oxford University Press Chapter 1: Introduction to Sales
  • 13. Sales management process Formulation of a strategic sales programme Implementation of the sales programme Evaluation and control of sales force performance Copyright © 2011 Oxford University Press Chapter 1: Introduction to Sales
  • 14. Emerging trends in sales management Technology Customer orientation Emerging trends in sales management Relationship selling Technology Global and ethical Issues Diversity New selling methods Copyright © 2011 Oxford University Press Chapter 1: Introduction to Sales