SALES AND DISTRIBUTION MANAGEMENT

Unit I: Definition, Objectives and Scope, Role of Sales Management in Marketing Management, Recent trends in Sales Management

Unit I: INTRODUCTION
Evolution of Sales Management Situation before industrial revolution in U.K. (1760AD) Situation after industrial revolutions in U.K., and U.S.A. Marketing fun tion s!lits into sales and ot"er fun tions like #arket resear ", advertising, !"$si al distribution What is Sales Management? One definition: %&"e #anage#ent of t"e !ersonal selling !art of a o#!an$'s #arketing fun tion.( Another definition: %&"e !ro ess of !lanning, dire ting, and ontrolling of !ersonal selling, in luding re ruiting, sele ting, e)ui!!ing, assigning, su!ervising, !a$ing, and #otivating t"e !ersonal sales for e. Nature of Sales Management Its integration with marketing management

Relationship Selling ,alue added.ollaborative + /artnering *elations"i! + Selling *elations"i! + Selling

&ransa tional *elations"i! + Selling

Importan e of !ersonal Selling and Sales Management &"e onl$ fun tion + de!art#ent in a o#!an$ t"at generates revenue + in o#e &"e finan ial results of a fir# de!end on t"e !erfor#an e of t"e sales de!art#ent + #anage#ent Man$ sales!eo!le are a#ong t"e best !aid !eo!le in business 0t is one of t"e fastest and surest routes to t"e to! #anage#ent Roles and Skills of a Modern Sales Manager So#e of t"e i#!ortant roles of t"e #odern sales #anager are1 A #e#ber of t"e strategi #anage#ent tea# A #e#ber of t"e or!orate tea# to a "ieve ob2e tives A tea# leader, 3orking 3it" sales!eo!le Managing #ulti!le sales + #arketing "annels Using latest te "nologies (like .*M) to build su!erior bu$er4seller relations"i!s .ontinuall$ u!dating infor#ation on "anges in #arketing environ#ent

Skills of a Su essful Sales Manager !eople skills in lude abilities to #otivate, lead, o##uni ate, oordinate, tea#4oriented relations"i!, and #entoring Managing skills onsist of !lanning, organi5ing, ontrolling and de ision #aking "e hni al skills in lude training, selling, negotiating, !roble#4solving, and use of o#!uters "#pes of Sales Managers $ %evels of Sales Management !ositions
CE O/ Pre sid ent V. P. Sales / V. P. Marketing

National Sales Manager

Regional / Zonal / Divisional Sales Managers

District / Branch / Area Sales Managers

Sales rainee / Sales Person / Sales Re!resentative

Sales O&'e tives( Strategies and "a ti s &"e #ain o#!onents of !lanning in a o#!an$ are ob2e tives, strategies and ta ti s. &"eir relations"i! is s"o3n belo3

6.7. A o#!an$ 3ants to in rease sales of ele tri #otors b$ 18 !er ent, as one of t"e sales ob2e tives. (see ne9t slide) Emerging "rends in Sales Management 7lobal !ers!e tive *evolution in te "nolog$ .usto#er relations"i! #anage#ent (.*M) Salesfor e diversit$ &ea# selling a!!roa " Managing #ulti4 "annels 6t"i al and so ial issues Sales !rofessionalis#

Unit II: Sales Organization, Type of sales Organizational Structures, Sales !otential, Sales "uotas, Sales Territories and Sales #udgets$

nalysis of Market and

Unit II: Sales Organization

)on epts of Sales Organisation
A sales organisation assists t"e sales #anager to arr$ out needed tasks effi ientl$ and effe tivel$ to a "ieve results &"e basi on e!ts of t"e sales organisation are1 Degree of entralisation Degree of s!e ialisation :ine or staff !ositions Market orientation 6ffe tive o4ordination *asi "#pes of Sales Organisations Sales organisations are generall$ lassified into four basi t$!es1 :ine ;rganisation :ine and staff organisation <un tional organisation =ori5ontal organisation >e s"all dis uss #ain "ara teristi s, advantages, and disadvantages of ea " t$!e of sales organisation %ine Organisation )hara teristi s1 S!e ialist staff #anagers are available for senior #arketing + sales #anagers. Staff #anagers' role is to assist + advise line #anagers. Used in #ediu# and large si5e organisations Advantages1 ?etter #arketing de isions, su!erior sales !erfor#an e +isadvantages1 =ig" ost and oordination, slo3er de ision #aking, onfli t #a$ arise if staff #anagers' role is not lear

"ead#Marketing

Marketing Research Manager

Sales Manager

Pro$otional Manager

C%sto$er Service Manager

Area Sales Manager#&

Area Sales Manager#&

Area Sales Manager#&

Sales!eo!le

Sales!eo!le

Sales!eo!le

%ine and Staff Organisation ."ara teristi s1 S!e ialist staff #anagers are available for senior #arketing + sales #anagers. Staff #anagers' role is to assist + advise line #anagers. Used in #ediu# and large si5e organisations Advantages1 ?etter #arketing de isions, su!erior sales !erfor#an e Disadvantages1 =ig" ost and oordination, slo3er de ision #aking, onfli t #a$ arise if staff #anagers' role is not lear
"ead#Marketing

Marketing Research Manager

Sales Manager

Pro$otional Manager

C%sto$er Service Manager

Area Sales Manager#&

Area Sales Manager#&

Area Sales Manager#&

Sales!eo!le

Sales!eo!le

Sales!eo!le

,un tional Organisation )hara teristi s1 6a " fun tional s!e ialist "as line res!onsibilit$ over sales!eo!le. Used b$ a large fir# 3it" #an$ !rodu ts + #arket seg#ents, #ini#ising line aut"orit$ to fun tional #anagers Advantages1 @ualified s!e ialists guide salesfor e, si#!le to ad#inister "ead#Marketing Disadvantage1 onfusion due to #ore #anagers giving orders to salesfor e
Marketing Research Manager C%sto$er Service Manager

Sales Manager

Pro$otional Manager

Area Sales Manager '(

Sales!eo!le

-ori.ontal Organisation )hara teristi s1 *e#oves #anage#ent levels A de!art#ental boundaries. 69 e!t !lanning tea#, all ot"ers are #e#bers of ross4fun tional tea#s. Used b$ fir#s "aving !artnering relations"i!s 3it" usto#ers. Advantages: *edu tion in su!ervision, unne essar$ tasks, A ostB 0#!roved effi ien $ and usto#er res!onses.

Analysis of Mar et an! Sales "otential

Sales /uotas >"at are Sales @uotasC Sales )uotas are sales goals or targets set b$ a o#!an$ for its #arketing + sales units for a ti#e !eriod Marketing + sales units are regions, bran "es, territories, sales!eo!le, and inter#ediaries 7enerall$, o#!an$ sales budget is broken do3n to sales )uotas for various #arketing units ;b2e tives of Sales @uotas &o use )uotas as !erfor#an e standards or !erfor#an e goals &o ontrol !erfor#an e &o #otivate !eo!le b$ linking )uotas to o#!ensation !lans &o identif$ strengt"s and 3eaknesses of t"e o#!an$ "#pes of /uotas ;rganisations set #an$ t$!es of sales )uotas1 (1) sales volu#e, (D) finan ial, (E) a tivit$, (F) o#bination Sales volu#e )uotas <or effe tive ontrol, sales volu#e )uota s"ould be set for t"e s#allest #arketing units, su " as sales!erson, distri ts + bran "es, !rodu t ite#s + brands Sales volu#e )uotas an be stated in (a) ru!ees + dollars, (b) units, or ( ) !oints *u!ees + dollars sales volu#e )uotas are a!!ro!riate 3"en sales!eo!le are re)uired to sell #an$ !rodu ts Unit sales volu#e )uotas are suitable 3"en Sales!eo!le are selling a fe3 !rodu ts /ri es of t"e !rodu t flu tuate ra!idl$ /ri e of ea " !rodu t + servi e is "ig" /oint sales volu#e )uotas are a!!ro!riate 3"en t"e o#!an$ 3ants sales!eo!le to sell !rodu ts t"at ontribute #ore to !rofits

,inan ial /uotas <inan ial )uotas ontrol (a) gross #argin or net !rofits, and (b) e9!enses of #arketing units 7ross4#argin + Get4!rofit )uotas .al ulate gross #argin b$ subtra ting H ost of goods sold' (i.e. ost of #anufa turing) fro# sales volu#e. Sales #anagers are not res!onsible for ost of #anufa turing Get !rofit )uotas are generall$ a e!ted b$ sales #angers as it is al ulated b$ subtra ting dire t selling e9!enses fro# t"e gross #argin 69!ense )uotas 0n #an$ o#!anies, e9!ense )uotas are stated as a !er entage of sales 69!ense )uotas to be ad#inistered 3it" fle9ibilit$, to #ake sales!eo!le ost ons ious, allo3ing reasonable e9!enses A tivit# /uotas &"ese are set 3"en sales!eo!le !erfor# bot" selling and non4selling a tivities ;b2e tive is to dire t sales!eo!le to arr$ out i#!ortant a tivities <or effe tive i#!le#entation, a tivit$ )uotas are o#bined 3it" sales volu#e and finan ial )uotas 6.7. .alling on "ig" !otential usto#ers, !a$#ent olle tion fro# defaulting usto#ers

)om&ination /uotas Used 3"en o#!anies 3ant to ontrol salesfor e !erfor#an e on ke$ selling and non4selling a tivities <o us on a fe3 t$!es of )uotas, to avoid onfusing sales!eo!le. An e9a#!le1 &$!e @uota of @uota A tual /er ent @uota >eig"t /er ent (0#!ortan e) @uota 9 >eig"t E D 1 D70 17J 1D8

Sales 8,00,000 F,80,000 I0 ,olu#e (*s) *e eivables F8 (da$s) Ge3 .usto#ers (Gos) 0F 80 08 JI 1D8

&otal

87E

&otal !oint s oreK87E+6KI8.8 for a sales!erson &$!i all$ use H!oints' as a o##on #easure to resolve t"e !roble# of different #easures used b$ various t$!es of )uotas Methods for Setting Sales /uotas Several #et"ods are used for establis"ing sales )uotas 0n !ra ti e, o#!anies use #ore t"an one of t"e follo3ing #et"ods to in rease t"eir onfiden e in sales )uotas &otal #arket esti#ates &erritor$ !otential /ast sales e9!erien e 69e utive 2udge#ent Sales!eo!le's esti#ates .o#!ensation !lan

>e s"all briefl$ dis uss ea " of t"e above #et"ods

"otal Market Estimates Method &"e /ro ess follo3ed b$ establis"ed o#!anies is as under1 1) 6sti#ate ne9t $ear's total #arket de#and, or industr$ sales fore ast, using sales fore asting #et"ods D) De ide t"e o#!an$'s esti#ated #arket s"are for ne9t $ear E) .o#!an$'s ne9t $ear sales fore astK (1) 9 (D) F) <ind ea " territor$'s !er entage s"are out of t"e total o#!an$ sales in t"e !revious $ear 8) &erritor$ sales )uota K (E) 9 (F) "erritor# !otential Method &"e !ro edure follo3ed b$ ne3 o#!anies is as under1 1) 6sti#ate ne9t $ear's industr$ sales fore ast or #arket !otential, using sales fore asting #et"ods D) 6sti#ate #ulti!le fa tor inde9 (M<0) for ea " territor$, based on fa tors t"at influen e sales of t"e !rodu t. &"ese fa tors are given 3eig"ts orres!onding to t"e degree of sales o!!ortunit$. E) 0ndustr$ sales fore ast in a territor$ (or territor$ #arket !otentialK(1)9(D) F) &erritor$ sales )uota K (E) 9 esti#ated #arket s"are of t"e o#!an$ in t"e territor$ !ast Sales E0perien e Method &"e !ro ess onsists of taking !ast one $ear's sales (or an average of !revious E to 8 $ear's sales), adding an arbitrar$ !er entage (or a !er entage b$ 3"i " t"e #arket is e9!e ted to gro3), and t"us setting ea " territor$ sales )uota &"e assu#!tion t"at future sales are related to !ast sales #a$ not be al3a$s orre t &"is #et"od s"ould not be t"e onl$ #et"od used /ast sales s"ould be one of t"e fa tors used for de iding sales )uotas E0e utive 1udgement Method

 Senior e9e utives use t"eir 2udge#ent 3"en t"e !rodu t, territories, and t"e o#!an$ are ne3 or ver$ little #arket infor#ation is available 69e utives !redi t o#!an$ sales budgets and also territor$ sales )uotas &"is #et"od s"ould generall$ be used along 3it" ot"er #et"ods Salespeople2s Estimate Method So#e fir#s ask t"eir sales!eo!le to set t"eir o3n )uotas Man$ sales!ersons eit"er set ver$ "ig" or too lo3 sales )uotas Salespeople2s Estimate Method 3)ontinued4 <or setting !ro!er )uotas, #an$ sales #anagers use D or E of above #et"ods, dis uss 3it" sales!ersons to get t"eir in!uts, and de ide sales )uotas )ompensation !lan Method So#e organi5ations set )uotas to fit 3it" t"eir sales o#!ensation !lan 6.7. A o#!an$ 3ants to !a$ a #ont"l$ salar$ of *s 8000, and a o##ission of EL on #ont"l$ sales above *s 1,00,000. &"e )uota of *s 1,00,000 is set in su " a 3a$ t"at sales!erson 3ould find it ver$ diffi ult to ross total o#!ensation of *s J000 !er #ont" (8000ME000) Sales )uotas s"ould not be based onl$ on t"is #et"od, be ause it 3ould %!ut t"e art before t"e "orse( Insight into Setting 5 Administration of Sales /uotas Set realisti )uotas Understand !roble#s in setting )uotas 6nsure sales!eo!le understand )uotas ?$ allo3ing sales!eo!le to !arti i!ate in t"e !ro ess ?$ ontinuous feedba k to sales!eo!le on t"eir !erfor#an e o#!ared to )uotas =ave fle9ibilit$ in ad#inistering )uotas ."ange )uotas in ases of #a2or "anges in #arket de#and or o#!an$ strategies Use #ont"l$ or )uarterl$ )uotas for in entives and annual )uotas for !erfor#an e evaluation

 Sele t a fe3 )uotas t"at "ave relations"i!s 3it" #arketing environ#ent and sales situations

Sales "erritories A sales territor$ onsists of e9isting and !otential usto#ers, assigned to a sales!erson Most o#!anies allot sales!eo!le to geogra!"i territories, onsisting of urrent A !ros!e tive usto#ers Ma'or Reasons $ *enefits of Sales "erritories 0n rease #arket + usto#er overage .ontrol selling e9!enses and ti#e 6nable better evaluation of salesfor e !erfor#an e 0#!rove usto#er relations"i!s 0n rease salesfor e effe tiveness 0#!rove sales and !rofit !erfor#an e !ro edure for +esigning Sales "erritories Sele t a ontrol unitN <ind lo ation and !otential of !resent and !ros!e tive usto#ers 3it"in ontrol unitsNN De ide basi territories b$ using ?uild4u! #et"od, ;r ?reak4do3n #et"od NA ontrol unit is a geogra!"i al territorial base NNUnne essar$ A e9!ensive for onsu#er !rodu ts !ro edure in *uild6up Method De ide usto#er all fre)uen ies .al ulate total usto#er alls in ea " ontrol unit 6sti#ate 3orkload a!a it$ of a sales!erson Make tentative territories Develo! final territories ;b2e tive is to e)ualise t"e 3orkload of sales!eo!le !ro edure in *reakdown Method 6sti#ate o#!an$ sales !otential for total #arket

 <ore ast sales !otential for ea " ontrol unit 6sti#ate sales volu#e e9!e ted fro# ea " sales!erson Make tentative territories Develo! final territories ;b2e tive is to e)ualise sales !otential of territories Assigning Salespeople to "erritories Sales Manager s"ould onsider t3o riteria1 (A) *elative abilit$ of sales!eo!le ?ased on ke$ evaluation fa tors1 (1) /rodu t kno3ledge, (D) #arket kno3ledge, (E) !ast sales !erfor#an e, (F) o##uni ation, (8) selling skills (?) Sales!erson's 6ffe tiveness in a &erritor$ De ided b$ o#!aring so ial, ultural, and !"$si al "ara teristi s of t"e sales!erson 3it" t"ose of t"e territor$ ;b2e tive is to #at " sales!erson to t"e territor$ Management of "erritorial )overage 0t #eans1 =o3 sales!erson s"ould over t"e assigned sales territor$ 0t in ludes t"ree tasks for a sales #anager1 /lanning effi ient routes for sales!eo!le S "eduling sales!eo!le's ti#e Using ti#e4#anage#ent tools Routing *outing is a travel !lan used b$ a sales!erson for #aking usto#er alls in a territor$ ?enefits of or *easons for routing1 *edu tion in travel ti#e and ost 0#!rove#ent in territor$ overage 0#!ortan e of routing de!ends on t"e a!!li ation1 Gature of t"e !rodu t - 0#!ortant for <M.7 &$!e of 2obs of sales!eo!le - 0#!ortant for driver4 u#4 sales!erson 2ob, but reative selling 2ob needs a fle9ible route !lan !ro edure for Setting up a Routing !lan 0dentif$ urrent and !ros!e tive usto#ers on a territor$ #a! .lassif$ ea " usto#er into "ig", #ediu#, or lo3 sales !otential

De ide all fre)uen $ for ea " lass of usto#ers ?uild route !lan around lo ations of "ig" !otential usto#ers .o#!uterised #at"e#ati al #odels are develo!ed .o##onl$ used routing !atterns are1

S heduling S "eduling is !lanning a sales!erson's visit ti#e to usto#ers. 0t deals 3it" ti#e allo ation issue =o3 to allo ate sales!erson's ti#eC Sales #anager o##uni ates to sales!erson #a2or a tivities and ti#e allo ation for ea " a tivit$ Sales!erson re ords a tual ti#e s!ent on various a tivities for D 3eeks Sales #anager and sales!erson dis uss and de ide "o3 to in rease ti#e s!ent on #a2or a tivities .o#!anies s!e if$ all nor#s for urrent usto#ers, based on sales and !rofit !otentials, and also for !ros!e tive usto#ers "ime Management "ools &o "el! outside sales!eo!leN to #anage t"eir ti#e effi ientl$ and !rodu tivel$, t"e tools available are1 =ig"4te " e)ui!#ent like la!to! o#!uters and ellular !"ones 0nside sales!eo!le to !rovide leri al su!!ort, te "ni al su!!ort, and for !ros!e ting, and )ualif$ing, as t"e$ re#ain 3it"in t"e o#!an$ ;utside sales!eo!le an t"en s!end #ore ti#e getting #ore orders A building relations"i!s 3it" #a2or usto#ers N;utside sales!eo!le travel outside t"e organisation

What is a Sales *udget? 0t in ludes esti#ates of sales volu#e and selling e9!enses Sales volu#e budget is derived fro# t"e o#!an$ sales fore ast - generall$ slig"tl$ lo3er t"an t"e o#!an$ sales fore ast, to avoid e9 essive risks Selling e9!enses budget onsists of !ersonal selling e9!enses budget and sales ad#inistration e9!enses budget Sales budget gives a detailed break4do3n of esti#ates of sales revenue and selling e9!enditure /ur!oses of t"e Sales ?udget /lanning .oordination .ontrol Sales *udget !ro ess Man$ fir#s follo3 a !ro ess for !re!aration of annual sales and o#!an$ budgets. 0t generall$ in ludes1 *evie3 !ast, urrent, and future situations .o##uni ate infor#ation to all #anagers on budget !re!aration - guidelines, for#ats, ti#etable Use build4u! a!!roa ", starting 3it" first4line sales #anagers 7et a!!roval of sales budget fro# to! #anage#ent /re!are budgets of ot"er de!art#ents

"he Sales !ro ess

As a !art of selling a tivities, if sales!eo!le follo3 t"e ste!s or !"ases s"o3n belo3, t"eir "an es of su ess are far better.

&"e se)uen e of above ste!s #a$ "ange to #eet t"e sales situation in "and. So#e of t"e above ste!s #a$ not be a!!li able for selling to t"e trade >e no3 dis uss a!!li ation of above ste!s to industrial selling

!rospe ting
0t is identif$ing or finding prospe ts i.e. !ros!e tive or !otential usto#ers. Methods of prospe ting or sales lead generation are1 (1) referrals fro# e9isting usto#ers, (D) o#!an$ sour es (3ebsite, ads., trades"o3, tele!ros!e ting), (E) e9ternal sour es (su!!liers, inter#ediaries, trade asso iations), (F) sales!ersons' net3orking, (8) industrial dire tories, (6) old anvassing

/ualif#ing
.o#!anies )ualif$ sales leads b$ onta ting t"e# b$ #ail or !"one to find t"eir interests (or needs) and finan ial a!a it$. :eads are ategori5ed as1 -ot, Warm, and )ool

!reapproa h
Information gathering a&out the prospe t7 Sour es of information: t"e 0nternet, industrial dire tories, govern#ent !ubli ations, inter#ediaries, et . !re all planning

 Setting all ob2e tives &entative !lanning of sales strateg$1 3"i " !rodu ts, features and benefits #a$ #eet t"e usto#er needs

Approa h
Make an a!!oint#ent to #eet t"e !ros!e t Make favourable first i#!ression Sele t an a!!roa " te "ni)ue1 0ntrodu tor$ .usto#er benefit /rodu t @uestion /raise &"e a!!roa " takes a fe3 #inutes of a all, but it an #ake or break a sale

!resentation and +emonstration

&"ere are four omponents: Understanding t"e bu$er's needs Kno3ing sales !resentation #et"ods + strategies Develo!ing an effe tive !resentation Using de#onstration as a tool for selling >e 3ill e9a#ine ea " of t"e above !oints 8nderstanding the &u#er2s needs <ir#s and onsu#ers bu$ !rodu ts + servi es to satisf$ needs &o understand bu$er's needs, ask )uestions and listen 0n business situations, !roble# identifi ation and i#!a t )uestions are i#!ortant E797 =ave $ou e9!erien ed an$ !roble#s on )ualit$ and deliver$ fro# t"e e9isting su!!liesC >"at i#!a t t"e )ualit$ and deliver$ !roble#s 3ill "ave on $our osts and usto#er satisfa tionC :nowing Sales !resentation Methods$Strategies <ir#s "ave develo!ed different #et"ods + st$les + strategies of sales !resentation Stimulus response method $ anned approa h7

 0t is a #e#orised sales talk or a !re!ared sales !resentation. &"e sales !erson talks 3it"out kno3ing t"e !ros!e t's needs. E797 Used b$ tele4#arketing !eo!le ,ormula method $ formulated approa h7 0t is also based on sti#ulus res!onse t"inking t"at all !ros!e ts are si#ilar. &"e sales!erson uses a standard for#ula - A0DA (attention, interest, desire, and a tion). 0t is used if ti#e is s"ort and !ros!e ts are si#ilar. S"ort o#ings are1 !ros!e ts' needs are not un overed and uses sa#e standard for#ula for different !ros!e ts. Need ; satisfa tion method 0ntera tive sales !resentation <irst find !ros!e t's needs, b$ asking )uestions and listening Use <A? a!!roa "1 <eatures, Advantages, ?enefits 6ffe tive #et"od, as it fo uses on usto#ers )onsultative selling method $ !ro&lem6solving approa h Sales!eo!le use ross4fun tional e9!ertise <ir#s ado!t tea# selling a!!roa " 0t is used b$ soft3are + onsulting fir#s +eveloping an Effe tive !resentation So#e of t"e guidelines are1 /lan t"e sales all Ado!t !resentation to t"e situation and !erson .o##uni ate t"e benefits of t"e !ur "ase /resent relevant and li#ited infor#ation at a ti#e Use t"e !ros!e t's language Make t"e !resentation onvin ing - give eviden e Use te "nolog$ like #ulti4#edia !resentation 8sing +emonstration Sales !resentation an be i#!roved b$ de#onstration De#onstration is one of t"e i#!ortant selling tools E9s: &est drive of arsB de#onstration of industrial !rodu ts in use *enefits of using de#onstration for selling are1

?u$ers' ob2e tions are leared 0#!roves t"e bu$er's !ur "asing interest =el!s to find s!e ifi benefits of t"e !ros!e t &"e !ros!e t an e9!erien e t"e benefit

Over oming Sales O&'e tions $ Resistan es

;b2e tions take !la e during !resentations + 3"en t"e order is asked &3o t$!es of sales ob2e tions1 /s$ "ologi al + "idden :ogi al (real or !ra ti al) Met"ods for "andling and over o#ing ob2e tions1 (a) ask )uestions, (b) turn an ob2e tion into a benefit, ( ) den$ ob2e tions ta tfull$, (d) t"ird4!art$ ertifi ate, (e) o#!ensation

"rial lose and )losing the sale

&rial lose "e ks t"e attitude or o!inion of t"e !ros!e t, before losing t"e sale (or asking for t"e order) 0f t"e res!onse to trial lose )uestion is favourable, t"en t"e sales!erson s"ould lose t"e sale So#e of t"e te hni<ues used for losing t"e sale are1 (a) alternative4 "oi e, (b) #inor !oints, ( ) assu#!tive, (d) su##ar$4of4benefits, (e) &4a ount, (f) s!e ial4offer, (g) !robabilit$, and (") negotiation

,ollow6up and Servi e

Ge essar$ for usto#er satisfa tion Su essful sales!eo!le follo34u! in different 3a$s1 <or e9a#!le, ."e k order details <ollo3 t"roug" deliver$ s "edule ,isit 3"en t"e !rodu t is delivered ?uild long4ter# relations"i! Arrange 3arrant$ servi e

Negotiation
Sales!eo!le, !arti ularl$ in business to business selling, need negotiating skills When to negotiate?

(a) >"en t"e bu$er !uts ertain onditions for bu$ing to t"e seller, (b) >"en agree#ent bet3een t"e bu$er and t"e seller is needed on several fa tors, ( ) >"en t"e !rodu t is usto#ised, (d) >"en t"e final !ri e is to be de ided -ow to prepare for negotiation? (a) !lanning, (b) building relations"i!, ( ) !ur!ose St#les of negotiation (a) 0 3in, $ou lose, (b) ?ot" of us 3in (or 3in43in st$le), ( ) Oou 3in, 0 lose, and (d) ?ot" of us lose