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CH 1

The document provides an overview of sales management, defining it as the planning, direction, and control of a sales force and all related marketing activities. It outlines the five key functions of a sales manager: planning, coordination, controlling, motivation, and communication, as well as the different levels of sales management positions. Additionally, it discusses the necessary skills for effective sales management, including people skills, managerial skills, and technical skills.

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Bikila Mitiku
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18 views18 pages

CH 1

The document provides an overview of sales management, defining it as the planning, direction, and control of a sales force and all related marketing activities. It outlines the five key functions of a sales manager: planning, coordination, controlling, motivation, and communication, as well as the different levels of sales management positions. Additionally, it discusses the necessary skills for effective sales management, including people skills, managerial skills, and technical skills.

Uploaded by

Bikila Mitiku
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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CHAPTER ONE

Introduction to sales management


What is sales management?
WHAT DO YOU THINK ABOUT SALES
MANAGEMENT?

A. Sales management taken us a chance


B. In sales mgmt. can not think for the
future
C. By sales management concept sales
persons can take from any place
D. sales mgmt. includes all marketing
activities
CO N T I NU E …
Sales management ; referred to the direction of sales
force personnel
Sales management meant management of all marketing
activities, including advertising, sales promotion, marketing
research, physical distribution, pricing, and product
merchandising.
 AMA’s definition, SM is the planning, direction, and control

of the personnel, selling activities of a business unit


including recruiting, selecting, training, assigning, rating,
supervising, paying, motivating, as all these tasks apply to
the personnel sales-force.
THE FIVE FUNCTIONS OF SALES MANAGER
Planning: a business cannot be taken as a chance.
 Every salespeople or person concerned have to see
for the future, in a planned way like what must be
done?and who will do it?
 The plan must be based on extensive market

research, and the facts must be verified at every


stage.
 The plan should also be evaluated, after

investigating the total-market, for a particular type of


product.
2). CO-ORDINATION:
Is all pervasive and permeates passes through
every function of the management-process.
 Similarly, organizing starts by co-ordination

wholly, partially inter-departmental and inter-


personnel matters.
 Co-ordination also helps in maximum utilization

of human-effort by the exercise of effective


leadership, guidance, motivation, supervision,
communication etc.
 The control-system also needs coordination.
(3) CONTROLLING:
The sales manager has to check regularly, that the
sales activities are moving in the right direction or
not.
He guides, leads, and motivates the subordinates,
so as to achieve the goals planned for the
business.
He has to take steps to ensure that the activities of
the people conform to the plans and objectives of
the organization.
 The controlling system should be such that one

can study the past, note the pitfalls and take


corrective measures, so that similar problems
CO N T I N UE . .
 The control-system has to;

 (i) Prepare sales and market forecasts;


 (ii) Determine the level of sales-budget;

 (iii) Determine the sales-quotas for each salesman;

 (iv) Determine, review and select distribution-channels;

 (v) Organize an efficient sales force;

 (vi) Establish a system of sales-reporting;

 (vii) Establish a system of statistical sales-credit;

 (viii) Establish stock control system(s);

 (ix) Review of performance of the sales force; and

(x) Establish periodical testing programmers.

From the weekly and monthly sales-reports, the control system is


established, that will prepare records whether a particular
4). MOTIVATION
Is essentially a human resource concept. It aims to weld
together distinctive personalities into an efficient team.
 For this, knowledge of human psychology is needed, as

a means of understanding behavior patterns.


5) Communicating:
A salesperson’s success is linked to his or her ability to
communicate clearly, concisely, and openly, while
maintaining positive client relationships.
Strong presentation skills, the ability to engage in
business conversations with customers at all levels,
negotiating from a win-win stance, and communicating
customer needs within their own company.
 Furthermore, it’s critical for salespeople to adapt their

message to the needs and preferences of the customer.


SALES MANAGEMENT POSITIONS
(TYPES OF SALES MANAGERS)
In the structure of many organizations, several levels or
positions are involved in sales management.
 There are three levels of sales managers in the

organizational hierarchy as shown in figure 1.1


 a) Strategic or top-level managers

 The highest level in sales management is often called

vice-president, or general manager (sales), or national


sales manager.
O N T I N UE . .
C
It is highest level in sales management is often called
vice-president, or general manager (sales), or national
sales manager.
They are responsible for
Long-term marketing or sales planning including
scanning external environment,
Setting long-term and short-term objectives and goals,
Marketing decisions for implementing strategies and
action plans, and controlling the performance.
 They are also a part of top management team for the

organization’s strategic planning and coordination


between various functional areas.
T I N U E ..
CON
 b) middle-level (tactical) sales managers; these
positions mostly carry the title of regional, zonal, or
divisional sales manager.
 Major responsibilities are to manage several branches or

districts reporting to them and also to implement the


strategies and action plans approved by the top-
management.
 c) first-line (operational) sales managers; this is the

first level of sales management with titles such as branch


sales managers, area sales managers or district sales
managers.
 They are directly responsible to achieve sales goals and

objectives by providing day-to-day supervision to sales


people. They implement the procedures and rules
HOW ONE DOES BECAME A SALES
MANAGER?
 Excellent sales manager goes promoted from that company’s
sales representative. Because of that top managers usually
feel that a person with sales experience has the credibility
and the back-ground to assume higher position.
 It is advisable to promote sales managers from well
experienced sales personnel. Because it allows him/her to:

 a) Learn about the attitudes and procedures of the company’s


sales people
 b) Learn about customer’s attitudes toward the company’s
products and sales person
 c) Learn about the company’s competitors- who are the
competitors, what sales strategies they follow
 d) Gain knowledge of products and their applications which is
most important in technical sales.
Q…..
 Excellent sales manager goes promoted from
that company’s sales representative. But at
this promoted from sales persons to sales
manager what changes are occur ?
 What is the role of the sales manager is

an effective pathway to generate


revenue?
 A. Manage sales

 B. Manage employee

 C. Manage resource

 D. Manage record

 E. All
SELLING SKILLS
Sales managers are responsible to give professional as well as authority
directives they are required to have selling skills.
 Right person is selected for the position of a first-line sales manager,

important to give a short training on sales management, because the


person aware of change the position of a sales person to sales manager.

 Some of the changes are indicates;

 a) Changes in goals and objectives:

 A sales manager achieves organizations goals and objectives, but a sales


person tries to achieve personal goals of sales volume, sales calls,
customer satisfaction, and soon.

 b) Change in responsibilities:
 The major responsibilities of a sales manager are sales administration
work, including managing sales people reporting to him /her. However, the
major responsibility of sales person is selling, therefore, it is better to
made aware of his/her changed responsibility while assigned as a sales
manager.
CON…
 c) Changes in views:

 A sales person sees his job as completing certain activities


given by the superiors.

 d) Change in skill requirement:

 A sales person need to have selling, negotiation and


communication skills. In addition to these skills, a sales
manager must have managerial skills such as planning,
directing, training, and controlling a sales person.

 e) Change in relationship:
 A sales person needs to have a good relation with customers,
peers and supervisors, So to promote the position of a sales
manager, develop new relationship with other managers,
subordinates, creating external relations, such as a relation with
channel members, regulators and other stock holders.
CON….
 Q? Helen and Daniel are graduated by marketing
management in 2023 after one month graduation apply the
new sales job in Ethio telecom then pass the exam and both
are join us this big organization but the knowledge these
job applicant about sales are theoretical only
so the companies decides these two applicant give practical
show how to sales and get money in the market by the
branch sales managers of Ethio telecom.
 In above context which of the following sales management
skills adopted by the company sales manager?
 A.people skill
 B. managerial skill
 C. Technical skill
 D. All are adopted by sales manager
SALES MANAGEMENT SKILLS
 The skills that are critical for the success of a sales manager are:
 I. people skills:
 The people skills include the sales manager’s abilities to motivate,
lead, communicate, and co-ordinate effectively with the people
around him/her.
 Possessing this skill enable sales managers to be acceptable and
respected by others.

 II. Managing skills:


 For managing the sales force, the sales manager should have
administrative or managing skills like planning, controlling, and
decision making.

 III. Technical skill:

 These are specific tasks or functions such as training, selling,


negotiating as well as the ability to use computers (or IT skills) and
o u
k y
a n
T
h

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