Sales Channel Strategy
Ensuring that accounts receive selling effort coverage in an effective and efficient manner. Sales
channel options include:
Sales Forecasts & Planning
Sales Forecasts help answer
How many people do we hire?
How do we set up territories?
What are realistic team objectives and
individual quotas for our reps.
How do we compensate sales reps?
What products do we build?
Objectives and Quotas
The expected target for a group of sales people
(I.e. district, zone, region). They are derived
from the Sales Forecasting Process.
The expected target for an individual sales
person or a sales manager. The cumulative
Training is critical to maintaining selling edge, downsizing forces sales groups to be more
productive, and its less expensive to invest in reps vs. having to replace them.
Increase sales or profits
Create positive att
Importance of Recruitment
Problems associated with inadequate implementation:
Inadequate sales coverage and lack of customer follow-up
Increased training costs to overcome deficiencies
More supervisory problems
Higher turnover rates
Leading the Sales Team
The ability to influence others
to achieve common goals for
the collective good of the sales
organization and company.
Activities related to the
planning, implementing, and
controlling the sales f
- Salaries are simple to administer
- Planned earnings are easy to project.
- Salaries can provide control over
salespeoples activities, and
reassignments are less of a problem.
- Salaries are useful when
Strategic Marketing Planning Process
Strategic Marketing Process
Phase 1 / Planning Phase
Step 1: Situational Analysis (SWOT)
o Industry Trends
o Competitor Analysis
o Assess own company
Step 2: Market-product focus and goal setting
o Set goals
Sales Organization Structure
Flat vs. Tall Sales Organization Structures
Sales Organization Concepts
Specialization : The degree to which individuals perform some of the required tasks to the
exclusion of others. Individuals can become experts on certain
Evaluating Sales Reps
Reasons to Evaluate
1. Provide reps with formal feedback
2. To identify sales people whose employment should be terminated and to supply evidence
to support need of termination
3. To help explain sales audit results and improve plann
Performance Evaluation Methods
Characteristics any method should include
Graphic Rating/Checklist Methods
Salespeople are evaluated using
Sales Force Deployment
Sales Force deployment decisions can be viewed as providing answers to three interrelated
1. How much selling effort is needed to cover accounts and prospects adequately so that
sales and profit objectives will be achieve
Approaches to Management Ethics
Intentional and consistent management activity conflicting with what is moral (ethical).
Exploits opportunities for corporate gain. Cut corners when it appears useful.
Seeks profitability and organizat
Dimensions of Salesperson Performance Evaluation
Consists of criteria related to activities performed by individual salespeople
Should not only address activities related to short-term sales generation but should also include
Evaluating Sales Team
Sales Organization Audit
Although it is an expensive and time-consuming process, the sales organization audit generates
benefits that usually outweigh the costs.
Comprehensive, systematic, diagnostic and prescriptive tool.
Motivating the Sales Team
When doing the job is inherently motivating
When rewards (pay and formal recognition) act
1. Compensation: Given in return for acceptable performance or effort. Can include nonfinancial c