Q. 1 “Training of the sales force of your distributors is very important”.

For

which all industries / products do you think this statement is

important?

Ans. "Distribution is the single most viable alternative to complement and supplement a direct
sales organization," says Phillip L. Peck, director of sales for EagleBurgmann, US. Even the
most efficient companies will find it virtually impossible to be all things to all people at all times.
A strong distribution network can help make that scenario viable.

Manufacturers should recognize and treat distributors as an integral part of their teams.
"Distribution plays a unique role in that they are both a business partner and a customer at the
same time. Manufacturers benefit from distributors because they could easily dispatch their stock
simultaneously without having to bother themselves in delivering their stock from one retailer to
the other.

Most distributors are looking for "manufacturers that view them in a positive light and support
them with marketing tools and strategies to ensure they are competitive in their markets."
Manufacturers who take care of their distributors will find that they take care of themselves.The
manufacturing organization should implement all possible steps in order to train the sales force
of the distributor ,who actually sell the company’s products and are responsible for earning
revenue for the company.

Distributors play a huge role to enter a new marketplace successfully. Here

are some of the reasons:
 No Overhead: Unlike running your own sales team, a distributor will take care of the
hiring, managing, payment, and optimization of its channel. You're just borrowing their
distribution, while they handle the maintenance.
 Established Channel with Local Knowledge: A good distributor will already know all
the laws and customs of the market you're entering. You don't need to reinvent the wheel-
you can use someone who already has valuable local knowledge.
 Understand Pricing and Purchasing Power of Market: Along with knowledge of the
laws and customs comes knowledge about the most successful ways to price and market
your product locally.
 Cost Effective: Since you won't be paying for the above items, distributor relationships
are much more within reach of a small business trying to enter a new market.
Importance of training of sales force of Distributors:
1).Knowledge of the product:
The sales force should have proper knowledge of a product regarding its ingredients,
benefits,usage etc.When the sales force of the distributor is trained with respect to all the
essential things attached to a product,they are able to sell is effectively and with considerably
lesser efforts.
2).Communicating roles, expectations & responsibilities:
The job of the sales force is not just confined to selling a product but also performing other
functions such as carrying appropriate quantity,ensuring orderly and timely payment on the part
of retailers and wholesalers.The roles,expectations and responsibilities should be properly
communicated.
3).Enhancing effective representation of company’s products:
Sales force of a distributor is the actual representative of the company’s products in the market.
So, it becomes the responsibility of the company to educate the sales force regarding the brand
image of the company and its products.If proper education is not provided to them,then it could
prove to be catastrophic for the company.
4).Knowledge regarding customer base:
The sales force should also be educated regarding the customer base of the company.When
proper education regarding the same is imparted,then the sales force is able to reach the right
market in order to deliver company’s products.

Distributors can also help their sales forces by keeping up with emerging technologies. In fact, at
least half of midsized and large distributors currently use customer-relationship-management
(CRM) software products, and many distributors plan to introduce sales force automation
technologies by 2008.

Sales force training is the most important factor for success in generating higher sales revenues.
Many companies have realized this and have set up internal training teams for their sales forces.
Large companies have implemented advanced techniques and spend significant amounts on their
training. External training consultants may also be used. The interim motive behind sales force
training is to increase sales and improve productivity. However, the long term motive is to
motivate the sales force, build customer relations and reduce the sales.
The statement “Training of the sales force of your distributors is very important” is applicable
for the following industries :-

 Automobile Industry.
 Electronics Industry.
 Telecommunication Industry.
 Banking Industry.
 Pharmaceuticals Industry.
 FMCG Industry.

In all the above industries,training of the sales force of the distributors is of paramount
importance as they are the driving force.In the industries like pharmaceutical,the sales force
should be effectively trained regarding the product and its usage,as the product is a complexed
one.On the other hand in case of industries like FMCG,lesser amount of training is imparted to
the sales force and the distributor works in tandem with the company in order to train the sales
force.

To name a few, products for which companies use and train their distributor’s sales force are :-

 Nokia Mobile Handsets.

 Pepsi.
 Hyundai,Maruti(Cars).
 Confectionery items like chewing gums,toffees.
 Apparels like UCB,levis.
 Fast Food joints etc.
 SDM ASSIGNMENT

SUBMITTED TO: SUBMITTED BY:

Prof. Ravi Kumar Anubhav Chaturvedi
09BS0000346
Sec:D