Introduction to Sales Management – The Sales Organization
– Determining Sales Related Marketing Policies – Sales
Functions and Policies – International Sales Management
– Personal Selling.
Sales Planning – Sales Budgets – Estimating Market
Potential and Forecasting Sales – Sales Quotes – Sales &
Cost Analysis, Sales Force Management: Hiring and Training Sales
Personnel – Time and Territory Management –Compensating Sales Personnel – Motivating the Sales Force
– Leading the Sales Force – Evaluating Sales Force
Performance.
Marketing Logistics - Distribution as Marketing Mix
Element – Distribution Resource Planning – Marketing
Channel Integration – Channel Management – Nature of
Marketing Channels – Evaluating Channel Performance-
Specialized Techniques in selling – Tele Marketing – Web
Marketing
Distribution Cost Analysis: Managing Channel Conflicts –
Channel Information Systems – Wholesaling – Retailing –
Ethical And Social Issues in Sales and Distribution
Management.
3. Introduction
Mostly buy from producers and sell mostly to
retailers, industrial consumers, institutions and
other wholesalers
Includes all activities involved in selling goods
and services to those buying for resale or
business use
Sale of product between businesses, as opposed
to ultimate household consumers
Provides added by providing channel flows.
Value of these flows are often underappreciated
Tasks are mundane, but bundled with valued
services at low cost, treated as unglamorous
unlike other channel members
4. Types of Wholesaler
Types of
wholesalers
Merchant
wholesalers
Full Service Limited Service
AgentBrokers
5. Merchant Wholesalers
Independently owned businesses, take title to goods
Full-Service wholesalers: Provide a full line of
services, carrying stock, maintaining a sales force,
offering credit, making deliveries, providing
management assistance.
Wholesale Merchants – sell to retailers
Industrial Distributors – Sell to manufacturers
6. Merchant Wholesalers
Limited Service Wholesalers: Offer few services than
full-service wholesalers.
Cash-and-carry wholesalers: Carry a limited line of
fast-moving goods and sell to small retailers for cash.
Truck Wholesalers: Perform a selling and delivery
function (semi perishables)
Drop Shippers: Do not carry inventory or handle the
product. On receiving order, select a manufacturer, who
ships directly to customer.
Assumes title and risk from order to delivery. (coal,
heavy equipment, lumber)
_ Rack Jobbers: Serve grocery and drug retailers, in
non-food items. Bills only goods sold by retailers, title
retained.
7. Brokers and Agents
Do not take title to goods. Facilitate buying and selling on a
commission
Broker: Bringing buyers and sellers together and assisting in
negotiation. Paid by the party who hired them. Do not carry inventory,
do assume risk
Agents: Represent either buyer or seller on a more permanent basis
than brokers do
Manufacturers’ agents
Selling agents
Purchasing agents
Commission merchants
8. Trends in Wholesaling
Wholesale industry is facing considerable challenges
Fierce resistance to price increases and winnowing
out of suppliers who are not adding value based on
cost and quality
Distinction between large retailers and large
wholesalers is getting blurred
10. RETAILING
Retailing is the set of business activities that adds
value to the products & services sold to the
consumers for their personal or family use.
It is not only sale of products in stores but also
sale of services
Not all retailing done in stores
- direct sales of cosmetics, catalog sales, home
shopping n/w on cable TV ,haircut
12. Retailer
Retailers are at the end of the distribution chain &
involve in direct interface with the customer
Referred as intermediaries – pass on products from
producers & wholesalers to customers
Provision of channel in a convenient location to
provide a successful channel of distribution
Key objective: availability of right product, in right
qty, at right time – successful channel
Annual sales of Wal – mart, kmart. Sears are much
greater than annual sales of P&G,Pepsico
13. Functions of Retailing
Retailers perform business activities that increase
the value of product & service they sell to customers
Activities:
* Providing an assortment of products & services
* Breaking bulk
* Holding inventory
* Providing services
14. Providing an assortment of products
Supermarkets carry 15000 different items made
by over 500 companies
This assortment enables customers to buy wide
selection of brands,designs,sizes.colors & prices
in one location
Not the case in individual manufacture’s retail
outlets
15. Breaking Bulk
To reduce transportation costs, mfr’s ship whole
cases of their products to retailers
Retailers then offer the products in smaller
quantities tailored to individual consumers usage
pattern
Breaking the large shipments into smaller
consumer quantities – Breaking Bulk
16. Holding inventory
Function of retailers – to make the availability of
products when consumers want them
Consumers can have small inventory of products
at home as retailers will have the availability
By maintaining inventory,retailers reduce
customer’s cost of storing products
17. Providing services
Provide services that make it easier for customers
to buy & use products
Offer products on credit
Display products for ease of use by customers for
purchase
Assistance provided by sales people on purchase