Selling and Sales Management Lecture 2 PDF

Selling and Sales Management Lecture 02: Sales Environment Learning Objectives 1) Understand sales channels 2) Understand sales promotions 3) Understand exhibitions 4) Understand importance of public relations Environmental Factors Affecting Sales Activities of Distribution Channels...

Selling and Sales Management Lecture 02: Sales Environment Learning Objectives 1) Understand sales channels 2) Understand sales promotions 3) Understand exhibitions 4) Understand importance of public relations Environmental Factors Affecting Sales Activities of Distribution Channels Logistics / Channel Physical s Distribution Distributi Management on (PDM) Logistics or Physical Distribution Management (PDM) Order Processing Material Handling Warehousing Inventory Control Choosing a Sales Channel Consider you are a sales executive of a manufacturing firm. You are requested to evaluate and choose a distribution partners. What are the factors would you consider in choosing the distribution channel and why would you consider those factors ? Sales Channels – Factors to Consider The market Channel costs The product Profit potential Channel structure Product life- Four Types of Distribution Direct No middlemen Selective Sell to limited number of middlemen Intensive Maximum exposure – to as many outlets as possible Exclusive Restricted number of dealers Industrial / Commercial / Public Authority Selling Fewer markets Concentrated markets Complex purchasing decisions Long term relationships Reciprocal trading Selling Services Sales Promotions Encouragement of repeat Price purchases reductions Building of long-term Voucher or customer coupons loyalty Gift Encouragement of consumers s to visit a particular sales outlet Competiti on Building up of retail stock levels Lotteri Widening or es increasing the distribution of a Cash product or brand. bonuses Objectiv Includ Sales Promotions - Areas Consume Trade Persona r Promotio l Promotio ns Motivati nsPremiu (Pull) (Push) ms Discoun ts on Sales incentive schemes On-pack gifts Free holidays Continuiti Bonus es To increase es margin on Coupon sales plans Collection of points, stamps, Free Dealer vouchers and samples competition convert to merchandise Exhibitio ns Function of exhibition is to build up goodwill and prepare the way for future sales Characteristics a wide range of products a large number of competitors; a good amount of information on the products on show made available beforehand a large number of new products; nearness to the buyer’s home base; good exhibition hall facilities a simple stand that is always neat (no personal effects on Public Relations – Nature and Role PR practice is the deliberate, planned and sustained effort to establish and maintain mutual understanding between an organization and its public Basic Publics The community Employees The Government The financial community Distributors Consumers Opinion Leaders ANY QUESTIONS? Questions 1. There are three environmental factors such as behavioral forces, technological forces and managerial forces that affect sales. Explain the how these environment factors affect sales today. 2. Consider you are a sales executive of a manufacturing firm. You are requested to evaluate and choose a distribution partners. What are the factors would you consider in choosing the distribution channel and why would you consider those factors ? 3. In the context of sales channels why is it important to engage in segmentation and targeting? 4. Explain different strategies of distribution Questions 5. Explain the characteristics of services and how extended marketing mix could help in selling services. 6. How can sales promotion techniques be used to help the sales effort? 7. Using appropriate examples, explain how PR assists the sales function. 8. Explain the meaning of ‘push’ and ‘pull’ promotional techniques. How can each help the salesperson to plan sales more effectively?