Introduction to Sales Management PDF

INTRODUCTION TO SALES MANAGEMENT Prof. EDGAR A. REYES COLLEGE OF MANAGEMENT AND TGECHNOLOGY  Learning Objectives After studying this chapter, the students should be able to: 1. Define sales management 2. Identify of selling activities to society, firm, and c...

INTRODUCTION TO SALES MANAGEMENT Prof. EDGAR A. REYES COLLEGE OF MANAGEMENT AND TGECHNOLOGY  Learning Objectives After studying this chapter, the students should be able to: 1. Define sales management 2. Identify of selling activities to society, firm, and consumers 3. Differentiate the 4 basic elements of sales management 4. Discuss the objectives of sales management 5. Follow selling process 6. Understand sales management 7. Differentiate between external to internal environment of a firm 8. Enumerate common mistakes in selling  Table of contents Definition of Benefits of 01 Sales 02 Selling Activities Management Elements of Objectives of 03 Sales 04 Sales Management Management The Selling Sales 05 Process 06 Management Process External and Common 07 Internal 08 Mistakes in Sales Environment INTRODUCTION: Selling has become more professional than before. The primary responsibilities of a sales manager, which include planning, organizing, leading, and controlling, are becoming increasingly professional. The previous concept of a sales manager as someone with a pleasant personality who, of course, sells a sufficient volume of products has changed. Today, sales team management is a combination of art and science, with an emphasis on effective team synchronization in order to achieve profit goals.  01 Definition of Sales Management  I. I. Definition by Salvacion I. Arañez (Philippine Author) Sales Management is defined as "the process of planning, organizing, leading, and controlling a sales team to achieve the company's sales goals and objectives while maintaining customer satisfaction and building long-term relationships." Arañez explains that Sales Management is about guiding and managing a team of salespeople to meet the company’s sales targets. This includes creating a plan, organizing the team, leading them to perform well, and checking their progress. The goal is not just to sell but also to make customers happy and create lasting relationships with them.  02 Benefits of Selling Activities II. Benefits of Selling Activities by Ernesto H. Mendoza (Filipino Author) 1. Economic Contribution Selling activities contribute to the economy by generating income and creating job opportunities. 2. Customer Satisfaction Selling ensures that customers find products and services that meet their needs, creating satisfaction and loyalty. 3. Innovation Encouragement Feedback from selling activities encourages businesses to innovate and improve their offerings. II. Benefits of Selling Activities by Ernesto H. Mendoza (Filipino Author) 4. Efficient Resource Use Selling helps businesses utilize their resources effectively by matching supply with demand. 5. Sustainability of Operations Consistent selling activities provide the funds needed to maintain and grow business operations.  03 Elements of Sales Management III. Elements of Sales Management by Salvacion I. Arañez 1. Goal Setting Setting clear short-term and long-term sales targets to guide the team and keep them focused. 2. Sales Territory Management Dividing areas or customer groups among salespeople to serve customers better and work efficiently. 3. Sales Process Management Organizing the steps in selling, like finding customers and closing deals, to make the process smoother. III. Elements of Sales Management by Salvacion I. Arañez 4. Budgeting and Resource Allocation Using money and resources wisely to support sales activities and reach goals. 5. Customer Relationship Management Building good relationships with customers to keep them coming back and staying loyal.  04 Objectives of Sales Management IV. Objectives of Sales Management Objectives of Sales Management by Salvacion I. Arañez 1. Increase Sales Revenue The primary goal is to boost the company’s income by achieving higher sales volumes 2. Build Customer Loyalty Foster long-term relationships with customers to encourage repeat business and trust. 3. Improve Sales Efficiency Streamline sales processes to save time and resources while maintaining quality. 4. Develop the Sales Team Train and motivate the sales team to improve their skills and performance. 5. Expand Market Reach Explore new markets and customer segments to grow the business.  05 The Selling Process V.A. What is Selling ? Modern Definition of Selling According to Sales Focus Inc., Selling is "the process of helping someone discover something of value." SALES FOCUS INC. tells that this perspective emphasizes that selling goes beyond mere transactions; it's about guiding customers to recognize and obtain value that meets their needs or solves their problems. By focusing on value discovery, sales professionals can build trust and foster long-term relationships with customers. V.B. Steps of Selling Process The selling process is generally divided into seven steps that, a salesperson needs to understand because it will empower him to sell virtually anything he wants and satisfies his customers. Here is the discussion of each STEP : V.b. Steps of Selling Process 1. Prospecting Finding people who might be interested in your product or service. 2. Preparation Learning about your potential customers to understand their needs and plan your approach. 3. Approach Reaching out to the customer through calls, emails, or meetings to start a conversation. 4. Presentation Showing how your product or service can solve the customer’s problems or meet their needs. V.b. Steps of Selling Process 5. Handling Objections Answering the customer’s questions or concerns to help them feel confident about buying. 6. Closing Getting the customer to agree to buy your product or service. 7. Follow-Up Staying in touch with the customer after the sale to make sure they are happy and to encourage future business.  06 Sales Management Process  Sales Management Process ( Pagbuo ng Programa sa Pagbebenta ) The Sales Management Process is the sequence of activities involved in planning, implementing, and controlling a company’s sales efforts to achieve organizational goals. This process includes: 1. Setting Sales Goals: Defining clear, measurable targets. 2. Developing Sales Strategies: Creating plans to achieve those targets. 3. Managing Sales Operations: Overseeing day-to-day activities, such as territory assignments and resource allocation. 4. Monitoring Performance: Tracking sales metrics to evaluate success and make adjustments. 07 External and Internal Environment VII. External and Internal Environment 1. The External Environment Refers to all the factors outside the organization that can influence its operations and performance. These factors include: Economic Technological Natural Conditions Advancements Environment Legal and Social and Cultural Political Forces Influences  VII. External and Internal Environment 2. The Internal Environment refers to all the factors within the organization that can affect its functioning. These factors include: Goals, Financial Service Objectives, and Culture Resources Capabilities Production Research & Human & Supply Development & Resources Chain Technological Capabilities Capabilities  08 Common Mistakes in Sales VIII. Common Mistakes in Sales Salespeople, sales organizations, and sales teams have to change the way they are handling customers today in this very competitive world. The old ways of selling are changing and require all salespeople, sales managers, and sales organizations to think in a different way. Here are some common mistakes of salespeople in sales:  VIII. Common Mistakes in Sales 1. Do Not Understand Selling One common mistake that salespeople make is not fully understanding the art of selling. Selling is not just about pushing a product or service into customers; it requires building relationships, understanding customer needs, and providing solutions. Salespeople who do not take the time to learn and develop their selling skills often struggle to close deals and meet their targets. 1. Hindi nauunawaan ang Pagbebenta Ang isang karaniwang pagkakamali na ginagawa ng mga salesperson ay hindi lubusan na nauunawaan ang sining ng pagbebenta. Ang pagbebenta ay hindi lamang tungkol sa pagtulak ng isang produkto o serbisyo sa mga customer; ito ay nangangailangan ng pagtatayo ng mga ugnayan, pag-unawa sa mga pangangailangan ng customer, at pagbibigay ng mga solusyon. Ang mga salesperson na hindi nag-aaksaya ng oras upang matuto at pagyamanin ang kanilang mga kasanayan sa pagbebenta ay madalas na nag-aagaw sa pagsasara ng mga deal at pagkakamit ng kanilang mga target.  VIII. Common Mistakes in Sales 2. Expecting Things to Improve by Themselves Sales is a highly competitive field, and success does not come easily. It requires continuous learning, adapting to market trends, and staying ahead of the competition. Salespeople who simply wait for things to get better without taking proactive steps are likely to fall behind. 2. Inaasahan ang mga Bagay na Mag-i-improve Ng Sarili Ang pagbebenta ay isang lubhang kompetitibong larangan, at ang tagumpay ay hindi dumarating nang madali. Ito ay nangangailangan ng patuloy na pag-aaral, pag-aangkop sa mga trend sa merkado, at pagiging una sa kompetisyon. Ang mga salesperson na simpleng naghihintay na umunlad ang mga bagay nang hindi kumikilos nang proaktibo ay malamang na maiiwan sa likuran.  VIII. Common Mistakes in Sales 3. Talking Excessively and Not Listening Enough Effective communication involves active listening, understanding customer concerns, and addressing them appropriately. When salespeople dominate conversations without giving customers a chance to express themselves, they miss out on valuable information that could help them tailor their pitch and close deals more effectively. 3. Pagsasalita nang Labis at Hindi Sapat na Pakikinig Ang epektibong komunikasyon ay kinakailangan ng aktibong pakikinig, pag-unawa sa mga alalahanin ng customer, at pag-address sa mga ito nang naaayon. Kapag ang mga salesperson ay dominante sa mga usapan nang hindi nagbibigay ng pagkakataon sa mga customer na magpahayag, sila ay nawawalan ng mahalagang impormasyon na maaaring makatulong sa kanila upang i-customize ang kanilang paksa at magkasara ng mga deal nang mas epektibo.  VIII. Common Mistakes in Sales 4. Saying Words that Kill Sales Communication plays a vital role in sales, and the wrong choice of words can instantly turn off potential customers. Salespeople must be mindful of their language and avoid using negative or pushy phrases that may alienate prospects. 4. Pagsasabi ng Mga Salitang Nakakasira sa Pagbebenta Ang komunikasyon ay may mahalagang papel sa pagbebenta, at ang maling pagpili ng mga salita ay maaaring agad na magpatakpan sa mga potensyal na customer. Kinakailangan ng mga salesperson na maging mapanuri sa kanilang wika at iwasan ang paggamit ng negatibong o pilit na mga parirala na maaaring magpalayo sa mga prospect.  VIII. Common Mistakes in Sales 5. Do Not Know When to Close the Sales Sales is a highly competitive field, and success does not come easily. It requires continuous learning, adapting to market trends, and staying ahead of the competition. Salespeople who simply wait for things to get better without taking proactive steps are likely to fall behind. 5. Hindi Alam Kung Kailan Isara ang Pagbebenta Ang pagbebenta ay isang lubhang kompetitibong larangan, at ang tagumpay ay hindi dumarating nang madali. Ito ay nangangailangan ng patuloy na pag- aaral, pag-aangkop sa mga trend sa merkado, at pagiging una sa kompetisyon. Ang mga salesperson na simpleng naghihintay na umunlad ang mga bagay nang hindi kumikilos nang proaktibo ay malamang na maiiwan sa likuran.  VIII. Common Mistakes in Sales 6. No Sincerity In today's competitive world, customers are looking for genuine connections and trust. Salespeople who fail to establish a sincere relationship with their customers often struggle to close deals and build long-term partnerships. It is crucial for salespeople to genuinely care about their customers' needs and provide personalized solutions. 6. Walang Sincerity Sa kasalukuyang kompetitibong mundo, hinahanap ng mga customer ang tunay na koneksyon at tiwala. Ang mga salesperson na hindi nagtatag ng isang tunay na ugnayan sa kanilang mga customer ay madalas na nag-aagaw sa pagsasara ng mga deal at pagtatayo ng pangmatagalang mga partnership. Mahalaga para sa mga salesperson na tunay na mangalaga sa mga pangangailangan ng kanilang mga customer at magbigay ng personalisadong solusyon.  VIII. Common Mistakes in Sales 7. Not Paying Adequate Interest to Details Salespeople who overlook important details about their products or services may lose credibility in the eyes of potential buyers. Customers expect salespeople to have a thorough understanding of what they are selling, including its features, benefits, and limitations. By neglecting these details, salespeople risk losing opportunities and damaging their reputation 7. Hindi Naninigurado ng Sapat na Koneksyon Kapag ang mga salesperson ay hindi nagpapanatili ng koneksyon, sila ay nagtataya sa mahalagang mga oportunidad sa negosyo. Pinahahalagahan ng mga customer ang regular na komunikasyon at mga update sa mga bagong produkto o serbisyo. Sa pagkakalimot na manatiling nakikipag-ugnayan, ang mga salesperson ay nawawalan ng pagkakataon na magdagdag ng mga produkto o serbisyo sa kanilang mga customer.  VIII. Common Mistakes in Sales 8. Letting Oneself Slump This refers to a lack of motivation or enthusiasm in the sales process. Salespeople who allow themselves to become complacent or disinterested will struggle to connect with customers and close deals. It is important for salespeople to constantly strive for improvement and maintain a positive attitude. 8. Pagpapabaya sa Sarili Ito ay tumutukoy sa kakulangan ng pagmamalasakit o sigla sa proseso ng pagbebenta. Ang mga salesperson na nagpapabaya sa kanilang sarili at nagiging kampante o hindi interesado ay mahihirapang makipag-ugnayan sa mga customer at makapagtapos ng mga deal. Mahalaga para sa mga salesperson na patuloy na magpumilit para sa pagpapabuti at panatilihin ang positibong pananaw.  VIII. Common Mistakes in Sales 9. Not Keeping Connected When salespeople fail to keep connected, they risk losing valuable business opportunities. Customers appreciate regular communication and updates on new products or services. By neglecting to stay in touch, salespeople miss out on the chance to upsell or cross-sell additional offerings. 9. Hindi Naninigurado ng Sapat na Koneksyon Kapag ang mga salesperson ay hindi nagpapanatili ng koneksyon, sila ay nagtataya sa mahalagang mga oportunidad sa negosyo. Pinahahalagahan ng mga customer ang regular na komunikasyon at mga update sa mga bagong produkto o serbisyo. Sa pagkakalimot na manatiling nakikipag-ugnayan, ang mga salesperson ay nawawalan ng pagkakataon na magdagdag ng mga produkto o serbisyo sa kanilang mga customer. END OF CHAPTER 1 LECTURE THANK YOU FOR LISTENING  CHAPTER 1 GROUP ACTIVITY Instructions: Create a business scenario that highlights common mistakes in sales management. Present the scenario by showcasing: 1. The mistakes made during the sales process or management activities. 2. The correct solutions or approaches that address these mistakes. 3. Ensure the scenarios are clear and demonstrate practical ways to improve sales management practices. Note : Video presentation for 4-6 minutes only Actual business setting 10 members each group Taglish or english language