Sales Management is the backbone of the marketing function as it manages sales force personnel and sale operations of the company. Today in this article we have shared a complete overview of Sale Management, its meaning, definition, objective, and importance.
► What is Sales Management?
Sales Management is known as the management of overall sales activities such as developing sales personnel, making sales techniques, and managing sales operations.
Sales operations include activities i.e. Recruiting, Selecting, Equipping, Assigning, Routing, Supervising, Paying, and Motivating salespersons.
◉ Sales Management Meaning
Sales Management means the planning, direction, and control of the salesforce in sales-related activities.
Planning, implementing, and control of salesforce and sales programs designed to achieve the targets and profits of the firm.
What are Sales?
- A Sale is an activity of exchange of a commodity or service in return for money or the action of selling something.
- Here the transfer of ownership of property, product, or service takes place after the money is received in return.
◉ Definition of Sales Management
“Sales Management can be defined as the process of, Developing Salesforce, Coordinating Sales Activities, Implementing effective Sales Techniques to increase Sales & Profit for the company.”
According to American Marketing Association (AMA),
“Sales Management is an act of planning, directing, and control of personal selling, including recruiting, selecting, equipping, assigning, routing, supervising, paying, and motivating as these tasks apply to the personal sales force.”
► Objectives of Sales Management
- Better Sales Planning
- Sales maximization
- Profit Maximization
- Benefit to Consumer
- Benefit to Company
- Benefit to Society
- Boost Morale of Salesforce
- Ensure Organizational Growth
► Functions of Sales Management
Here are the main functions of Sale management that are listed below;
- Establishing Sales Goals
- Identify Gap in Salesforce
- Creating Sales budget
- Assigning Sales Quota
- Designing Sales Territories
► Nature / Characteristics of Sales Management
The nature and characteristics of sale management are as follows;
- Continuous process
- Systematic approach
- Relationship building
- Integration with marketing management
- Profit Oriented
- Strong planning
- Customer dealing
► Importance of Sales Management
- Helps in Product Development
- Improves Distribution
- Facilitates Financial Decisions
- Improve Sales Efficiency
- Increase Profits of the Company
- Better Customer Satisfaction and Brand Loyalty
► Scope of Sales management
- Determining Sales Objectives
- Developing Sales force size
- Recruiting and Selecting Salesperson
- Training Sales personnel
- Compensating salespeople
- Motivating salespeople
- Designing Sales Territories
- Controlling and Evaluating sales force performance
► Stages in Sales Management
✔ Initial – At the Initial stage, the focus is only on closing deals and lack of leading indicators.
✔ Motivate – At this stage, Leaderboards are created and stake rankings based on the sales performance of the employees are given.
✔ Engage – Now at this stage management clearly defined the selling process to the salesforce. Performance standards are set for the salespeople. Sales pipelines are determined.
✔ Coach – Developing reps and front-line managers is a high priority. Training and development programs are conducted. The onboarding process for freshers and Sales associates is well defined.
✔ Align – Sales operations are data-driven and sales quota and targets are provided. Management monitor and control the salesforce in real-time.
► Frame-work of Sales Management
- Sales Strategy
- Sales Process
- Sales People
- Sales Channels
- Sales Technology
- Sales Customers
- Sales Leadership
► Component / Phase of Sales Process
- Lead Generation
- Lead Qualification
- Lead Conversion
- Sale Management
- Deal Closing
- Post Sale Activity
► Process of Selling
- Prospecting and Qualifying
- Pre approach
- Presentation and Demonstration
- Handling objections
- Follow up
Must Read :Process of Selling (Explained in Detail)
► AIDA Model for Sales & Marketing
✔ Attention: The consumer becomes aware of a category, product, or band (usually through promo & advertising).
✔ Interest: The consumer becomes interested in learning about brand benefits & how the brand fits with their lifestyle.
✔ Desire: The consumer develops a favorable disposition towards the brand or product.
✔ Action: The consumer forms a purchase intention, shops around, engages in a trial, or makes a purchase.
► Types of Selling in Sales
- Order Taker
- Order Creator
- Order Getter
✔ 1. Order Taker
- Inside Order Taker
- Outside Order Taker
- Delivery Salesperson
✔ 2. Order Creator
- Missionary Salesperson
- Hard selling (door-to-door selling)
✔ 3. Order Getter
- Sale Support Salesperson
- Technical Support Salesperson
- Merchandisers Salesperson
► Qualities of a Successful Salesperson
Qualities or Skills of a Successful Salesperson with reference to B2B, B2C Marketing.
- Active Listening
- Commitment to Growth
- Always Confident
- Finding an emotional connection
- Understanding of the product
- Excellent Communication (Interpersonal Skills)
- Sales as a Service Approach
- Putting oneself in other’s shoe
- Exhibiting Emotional Intelligence (EI)