SM_OUTLINE_CHAPTER6

SM_OUTLINE_CHAPTER6 - CHAPTER 6 DESIGN AND SIZE OF SALES...

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CHAPTER 6 DESIGN AND SIZE OF SALES TERRITORIES I. WHAT IS A SALES TERRITORY? A. Who Is Responsible For Territorial Development? 1. A sales territory is composed of a group of customers or a geographic area assigned to a salesperson. 2. Why Establish Sales Territories? a. To obtain thorough coverage of the market b. To establish a salesperson's responsibility c. To evaluate performance d. To improve customer relations e. To reduce sales expense f. To allow better matching of salesperson to customer g. To benefit salespeople and the company B. Why Sales Territories May Not Be Developed II. FACTORS TO CONSIDER IN DESIGNING SALES TERRITORIES A. Sales Force Objectives – goals for a company's sales force in a specific territory based on contribution to profits, sales/costs ratios, or market share. B. Select Basic Control Units 1. Usually, territorial boundaries are based on: a. States. b. Counties.
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SM_OUTLINE_CHAPTER6 - CHAPTER 6 DESIGN AND SIZE OF SALES...

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