dsl.net.pk

Sales Force ManagementSales Force Management

Presented by: Abdullah Saeed

REDC-LUMS-2012

Learning objectiveLearning objective• SFM - a competitive advantage- Stepchange Consulting

• Importance of Motivation• Best practice

• Understanding decision making units/process• Generalist Vs Specialist• A good salesman-HBR David Mayer & Herbert

• 3 Do’s to make it work- John Carroll (President/CEO Unlimited Performance)

• 7 key performance factors- Accenture USA

• Changing Behavior• How to enable effective sales force

SFM - a compt. AdvantageSFM - a compt. Advantage• The Sales Challenge

• How to make it effective• Cost optimization• Resistance to change

• Common sales misconceptions1. “ Higher volume means higher profit”2. · “The customer is king”3. · “Prices are set by the market”4. · “Sales owns the customer”

SFM - a compt. Advantage SFM - a compt. Advantage • Higher volume means higher profit

• 15 % unprofitable on average (HBR Research)

• C.O.C.A• Angels paying for Demons

• The customer is King• Over servicing • Allocation as per segment• Cost inefficiency is masked• Prices are set by market• Fine tuning• Strong signal to base price• Can be varied by the type, quality and volume

SFM - a compt. AdvantageSFM - a compt. Advantage• Moving towards sales force effectiveness

• I.nsight• N.onunified• S.ituational• T.eam work • E.nablement• P.erformance management

MotivationMotivation• Financial

• Incentivization• “The example of crossing 300 signups”

• Non Financial• Mobilink sign boards• Sales man of the month• Newsletters• Foreign trips

Best practicesBest practicesHow to be a good salesman

Ability to feel With empathy

Without empathy

Best practicesBest practicesHow to be a good salesman• Need to conquer

• Hunger for sales• Customer as an opportunity

The salesman’s empathy, coupled with his intense ego drive ,

enableshim to home in on the target

effectively.

Best practicesBest practices• A generalist Salesman

• “Sticks to the knitting”

• A Specialist Salesman• Anticipates future needs• Sell tie with a suit• Up selling /cross selling

Decision making unit -MacroDecision making unit -Macro• A buying center

• Initiator - suggests purchasing• Influencers - affects the decision• Deciders - final decision• Buyers - Responsible for the contract• End users – Purchased for• Gatekeepers - Flow of information

Decision making process- MicroDecision making process- Micro

Accenture 7 key factorsAccenture 7 key factors• Time management

• Time is money

• Increase new product market share• Necessary support for product success

• HD Box• E-Fax• F.T.T.U

• Sell high margin stuff

• Organize sales functions

Accenture 7 key factorsAccenture 7 key factors• Minimize Ramp-up time

• Quick learning• Shorten the glide path

• Win the war of sales talent• Recruit to profile• Engage n motivate• Train and development

• Increase customer retention• Relationship• Customer loyalty

3 Do’s to make it work3 Do’s to make it work• Ask for “Referrals”

• Shorten the selling cycle• Enhance the chance of sales• Reluctant to ask• Fear of rejection

• Precisely take order• Assuming a sale• 50% sales calls• Fear of being aggressive or pushy• Product don’t sell it self

3 Do’s to make it work3 Do’s to make it work• Decision maker?

• Mediquip sales lost• Waste of time

John Carroll (President/CEO Unlimited Performance)Author: Sales Illustrated- 68 Sales Lessons from every day life

Changing BehaviorChanging Behavior• Increasing the ability

• Product knowledge• Job related knowledge• Customer related knowledge

• Motivating the team• Goal setting; what's expected• Performance is measured• Compensation

• Context• Work place environment• Systems process & people• Collaboration/team work

How to create an effective SFMHow to create an effective SFM• In-house salespeople

• Costs more but works best• Poor on best- skilled to average

• Hire carefully• Motivated by money Competitive• Eager to learn Great listening skills• Self confidence Physical and mental• Enjoy challenges Able to cope with rejection• Persistent

How to create an effective SFM How to create an effective SFM

• Expectations• Clear• Realistic• Tailored

• Training• Product knowledge

• What do we sell• Know your competitor

• SUCH TV• Industry seminars

How to create an effective SFMHow to create an effective SFM• Compensation

• Minimum income - rebuild morale in low times• Commission structure• Clearly communicated policies

• Non-financial motivators• Typically competitive• Like to be rewarded beyond the salary

• “Sales person of the month”• Paid vocational visits

Thank you !