Lecture 10: Salesforce Evaluation PDF
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Uploaded by gopimuthuraman
MAPS College
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Summary
This document is a lecture on salesforce evaluation. It details quantitative and qualitative measures of sales performance, including evaluation processes and ratios to determine sales success. It also compares evaluations between small and large firms, and provides a salesperson evaluation matrix.
Full Transcript
Selling and Sales Management Lecture 10: Salesforce Evaluation Learning Outcomes 1) Be able to use quantitative measures of performance for salesforce 2) Be able to use qualitative measures of performance for salesforce Purposes of Evaluation Evaluation Process...
Selling and Sales Management Lecture 10: Salesforce Evaluation Learning Outcomes 1) Be able to use quantitative measures of performance for salesforce 2) Be able to use qualitative measures of performance for salesforce Purposes of Evaluation Evaluation Process Set salesforce objectives including; Profit Customer Customer Revenues Market share expenses contribution satisfaction service Determine sales strategy Set performance standards for; Company Region Products Salespeople Accounts Measure results and compare with standard Action taken to improve performance Quantitative Measures of Performance Output Related sales revenue achieved; profits generated; percentage gross profit margin achieved; sales per potential account; sales per active account; sales revenue as a percentage of sales potential; number of orders; sales to new customers; number of new customers. Input Related number of calls made; calls per potential account; calls per active account; number of quotations (in part, an output measure also); number of calls on prospects. Hybrid Ratios – Combining Output and Input Ratios Can Be Used To Get Answers! (a) Is the salesperson achieving a satisfactory level of sales? (b) Is sales success reflected in profit achievement? (c) Is the salesperson ‘buying’ sales by giving excessive discounts? (d) Is the salesperson devoting sufficient time to prospecting? (e) Is time spent prospecting being rewarded by orders? (f) Does the salesperson appear to be making a satisfactory number of calls per week? (g) Are they making enough repeat calls on different customer categories? (h) Are they making too many calls on low-potential customers? (i) Are calls being reflected in sales success? (j) Is the number of quotations being made reflected in orders taken? (k) How are sales being achieved – a large number of small orders or a few large orders? (l) Are the profits generated per order sufficient to justify calling upon the account? Qualitative Measures Sales skills Customer relationships Self-organizations Product knowledge Cooperation and attitude Attitude towards company, its products and hard work Using Quantitative Evaluative Criteria – Small Firms vs. Large Firms Using Qualitative Evaluative Criteria – Small Firms vs. Large Firms Salesperson Evaluation Matrix ANY QUESTIONS?
