Sales Management Concepts Quiz

Introduction to Sales Management

• Edgar A. Reyes is the professor for the course
• The course is offered at the College of Management and TGECHNOLOGY
• The learning objectives include defining sales management, identifying selling activities impacting society, firms, and consumers, differentiating the four basic elements of sales management, and discussing the objectives of sales management.
• The learning objectives also cover understanding the selling process, sales management, differentiating external and internal firm environments, and identifying common mistakes in selling.

Learning Objectives

• Students should be able to define sales management after completing this chapter.
• Students should be able to identify the various selling activities impacting society, firms, and consumers.
• Students should be able to differentiate the four basic elements of sales management.
• Students should be able to understand the objectives of sales management.
• Students should be able to follow the selling process.
• Students should be able to understand sales management concepts.
• Students should be able to differentiate between the external and internal environments of a firm
• Students should be able to enumerate common mistakes in selling.

Table of Contents

• Definition of Sales Management
• Benefits of Selling Activities
• Elements of Sales
• Objectives of Sales Management
• The Selling Process
• External and Internal Environment
• Common Mistakes in Sales

Introduction

• Sales management is becoming more professional, shifting away from solely focusing on a salesperson's personality and sales volume.
• Modern sales management involves a combination of art and science, emphasizing team synchronization to achieve profit objectives.

Definition of Sales Management

• Sales management is the process of planning, organizing, leading, and controlling a sales team to achieve company sales goals and objectives while maintaining customer satisfaction and building long-term relationships (Salvacion I. Arañez).
• It involves guiding salespeople to meet targets, creating a plan, organizing the team, leading them, and monitoring their progress.
• The goal is not just to sell but also to make customers happy and establish long-lasting relationships.

Benefits of Selling Activities

• Selling activities contribute significantly to the economy by generating income and creating job opportunities (Ernesto H. Mendoza).
• Selling ensures customers find products/services meeting their needs, fostering satisfaction and loyalty.
• Feedback from these activities drives business innovation and improves offerings.
• Efficient resource use occurs by matching supply with demand.
• Consistent selling provides funds to maintain and grow business operations.

Elements of Sales Management

(Salvacion I. Arañez)

• Goal Setting: Setting clear short-term and long-term sales targets to guide the team.
• Sales Territory Management: Dividing areas or customer groups among salespeople to serve customers better and improve efficiency.
• Sales Process Management: Organizing steps in selling (e.g., finding customers, closing deals) to smoothen the process.
• Budgeting and Resource Allocation: Using money and resources wisely to support sales activities & achieve goals.
• Customer Relationship Management: Building good relationships with customers for repeat business & loyalty.

Objectives of Sales Management

(Salvacion I. Arañez)

• Increase Sales Revenue: Boosting company income through achieving higher sales volumes.
• Build Customer Loyalty: Cultivating long-term relationships with customers for repeat business & trust.
• Improve Sales Efficiency: Streamlining sales processes for time & resource saving while maintaining quality.
• Develop the Sales Team: Training & motivating the sales team to enhance skills & performance.
• Expand Market Reach: Exploring new markets & customer segments to further grow the business.

The Selling Process

• Selling is the process of helping someone discover something of value beyond mere transactions, guiding customers to recognize and obtain value that meets their needs or solves problems (Sales Focus Inc.)

Steps of the Selling Process

• Prospecting: Identifying potential customers interested in a product or service.
• Preparation: Gathering information about potential customers to understand their needs and plan the approach.
• Approach: Reaching out to customers (calls, emails, or meetings) to initiate a conversation.
• Presentation: Presenting the product or service to demonstrate how it solves customer problems or meets their needs.
• Handling Objections: Addressing customer questions or concerns to build confidence about the purchase.
• Closing: Getting customers to agree to buy the product or service.
• Follow-up: Maintaining contact with customers after the sale, ensuring satisfaction and encouraging future business.

Sales Management Process

• The sales management process is a sequence of activities involved in planning, implementing, and controlling a company's sales efforts to reach organizational goals (Pagbuo ng Programa sa Pagbebenta).
• Setting Sales Goals: Defining clear, measurable targets.
• Developing Sales Strategies: Creating plans to achieve those targets.
• Managing Sales Operations: Overseeing daily activities (territory assignments, resource allocation).
• Monitoring Performance: Tracking sales metrics to evaluate and adjust.

External and Internal Environment

• External Environment: Factors outside the organization influencing its operations & performance (Economic Conditions, Technological Advancements, Natural environment, Legal & Political Forces, Social & Cultural Influences)
• Internal Environment: Factors within the organization affecting its functioning (Goals, Objectives, Culture, Financial Resources, Human Resources, Production & Supply Chain Capabilities, Service Capabilities, Research & Development & Technological Capabilities).

Common Mistakes in Sales

• Not Understanding Selling: Focusing on product push rather than building relationships and understanding customer needs.
• Expecting Improvement on Its Own: Waiting for improved outcomes without proactive steps.
• Talking Excessively and Not Listening Enough: Dominating conversations and failing to understand customer needs.
• Saying Words That Kill Sales: Using negative or pushy language that alienates prospects.
• Not Knowing When to Close the Sales: Waiting too long to close deals or failing to recognize when a sale is likely to occur.
• No Sincerity: Failing to build a genuine relationship with customers, showing a lack of genuine care.
• Not Paying Adequate Interest to Details: Overlooking important product details, potentially leading to lost opportunities or damage to reputation.
• Letting Oneself Slump: Losing motivation in the sales process or becoming complacent.
• Not Keeping Connected: Neglecting communication and updates with customers, potentially leading to lost opportunities.

Test your knowledge of key sales management concepts and responsibilities in this quiz. Explore topics such as team organization, customer relationships, and the evolving role of sales managers. Understand the importance of effective selling and internal factors that influence sales success.