prashant assignment

8/8/2019 Prashant Assignment

1/12


2/12

GEOGRAPHICALLY-SPECIALIZED SALES ORGANIZATION

Geographic Specialization is particularly suitable for an organization that operates in widespreadgeographic markets.

In this type of organization, each sales person is assigned to sell all products to all customers within

a specified geographic location. A typical structure of a Geographically-Specialized SalesOrganization is illustrated below.

The main advantages and disadvantages of the geographically-specialized organization structure areoutlined below.

Advantages Disadvantages

One of the advantages of this structure is that itstimulates development of strong ties between

sales people and their customers. In addition,travel time and selling costs can be substantially

reduced because each sales person covers a

limited sales territory.

One of the disadvantages of this structure is that aparticular sales person can handle only a limited

number of uncomplicated products or productlines.

PRODUCT-SPECIALIZED SALES ORGANIZATION

Product Specialization is generally used by industrial organizations that offer various lines of

products to the

This type of structure is effective in the distribution of different highly-technical products. In thistype of organization, each sales person is trained to handle a particular product or product line. Thus,

the number of sales people depends upon the variety of products handled by the organization.

A typical structure of a Product-Specialized Sales Organization is illustrated below.


3/12

The main advantages and disadvantages of the product-specialized sales organization are outlinedbelow.


One of the advantages of this structure is that it

stimulates development of sound productknowledge by sales people. This, in turn, enablesthe company to provide effective product and

technical support to their customers.

One of the disadvantages of this structure is that

each sales person must cover a much largerterritory which increases traveling time andselling expenses.

CUSTOMER-SPECIALIZED SALES ORGANIZATION

Customer Specialization is frequently used by organizations that offer their products to different

industries. In this type of an organization, each sales person is assigned to a particular industry orindividual customer.

A typical Customer-Specialized Sales Organization structure is illustrated below.

The main advantages and disadvantages of the customer-specialized sales organization are outlined


4/12

below.


One of the advantages of this structure is that it

allows the sales person to become an expert onthe customers' operations and stimulates the

development of strong company-customerrelations.

One of the disadvantages of this structure,

similar to the disadvantages of productspecialization, are that each sales person must

cover a wide territory, spend more time on theroad, and incur high selling expenses.

FUNCTION-SPECIALIZED SALES ORGANIZATION

Functional Specialization is most appropriate for organizations that offer relatively narrow product

lines to non-segmented and geographically concentrated markets. In this type of organization, eachsales person is assigned particular functional responsibilities for the entire range of customers.

Two basic responsibilities that are usually assigned to sales people in Function-Specialized Sales

Organizations are outlined below.

Main responsibilities in a function-specialized sales organization

1. Developing new accounts.

2. Maintaining existing ones.

Understand Various Types Of Sales Specialization

In a Functional Sales Organization, new accounts are generally developed by sales executives andexisting accounts are maintained by specially trained sales personnel. Functional specialization haslimited application for small and medium-sized organizations and is used infrequently.

It is essential that the sales manager understands the different types of specialization that can be used

in the sales organization development process. Companies with widespread markets usually usegeographic specialization, and those with diverse product lines find product specialization effective.

If customers have highly-specialized needs, customer specialization is frequently used, andfunctional specialization is applied when team selling is more appropriate.


5/12

Q2. Describe the development of Sales activities over the centuries.

Ans:-

People say marketing is as old as the Mankind. Marketing came into existence when the first barter

place. Barter later on evolved into the art of selling. According to some, Marketing first came intoexistence in 17th century in Japan. Peter Ducker believes that marketing was invented in 1935 in Jathe Mitsai family who settled in Tokyo as merchant and opened the first departmental store offeringlarge assortment of products to their customers. They had only a vague idea of quality, product cator process of marketing.

Lot of water has flown down the Ganges since then and marketing has evolved as a major disciplinethe years. It all started with the production concept, evolved as the selling concept, graduated into marketing concept and post graduated into the social marketing concept. Each phase of evolution balong with it various marketing concepts and strategies befitting the dynamic needs environment anmarket situations prevailing. The organization, which adapted to changes, survived strategies over years and which failed to do so succumb to the competition. The marketers have evolved variousstrategies over the years essential for the survival and success of their organization.

The post liberalization world has become place where there is a cut throat competition between theorganizations and only the fittest is going to survive. This makes marketing more special & the Marhave the tough task ahead, they will have to workout strategies for marketing the offerings of theircompany to much aware, more knowledgeable customer having so many alternative offers from thecompetitors, thus marketing strategy has today become the lifeline of any & perhaps every businesthe ultimate battlefield for any company to prove their endurance in market. Eventually the companwith-planned & strategically designed marketing strategies emerge as winners.

The following are the major trends, shifts & challenges that the marketer and business peoplneed to take into consideration for formulating the Marketing strategy.

Operational Symbiosis of Marketing with other Functions:

At the operational level after a series of clashes with production and other functions, marketing isgradually getting integrated with other Major function that are responsible of creating value for thecustomers. In the current situation, R&D, Design, and production should work in collaboration withmarketing to assess. Customer needs and deliver products/services to satisfy the same. This simplymeans that marketers will have to have a good understanding of the functioning of other departmewell.

Be Different/be what you are:

The future will belong to those who manage uniqueness in their projects by being different. There is

point in trying to imitate others, in the past; avenues were limited for advancement in life. In the agthe individual, it is enough to be what you are and bring out the best in you. In the same way, comthat are different and innovative will be successful.

Discount Effect:

Promotions, discounts are now known as the basic workhorse of marketing programme. Price promcan increase sales in only three ways: Growing the category, switching & purchase acceleration. Pripromotion can indeed benefit total category sales through brining down prices & added visibility thr


6/12

displays & other marketing activities. Consumers today seem to have a plethora of options to buy inamongst products and services of every kind. Choices so unlimited, that brand need to shout high athe decibel levels of parity product advertising. Parity distribution and 'Just-There' display andMerchandising. Price seems a key "P" to use. Using it innovatively makes it that much more of a creexercise to lure in the customers. The available price to discount is the same in the hands of everycompetitor in the organized segment. How you get a better "bang for the buck" is the important iss

consider. How you spend that money to create that much, more excitement in the heart of the consto loosen his purse at your outlet instead of in the den of your competitor. Discount & offers plays arole to attracting customer throughout the year especially on festivals. The offers that worked well wthe offers that had the consumer drooling and itching to run out and make that necessary andunnecessary purchase on festivals and occasions.

Profit from Complaints:

No one likes to hear complaints, but in this era of cut-throat competition effective handing of compcan be the life blood of any business. Complaints can be the educators of your business. Most dissacustomers do not complain. Complaints are not made because people think it is not worth the time effort. They do not know how or where to complain or they believe the company would be indifferen

them so a company needs to welcome complaints as a second chance to keep a customer. Keeping mind most of companies are now searching for effective customer satisfaction performance programwhere they area take opinion of customers, finding out what were the causes of the dissatisfaction, and what it would take to put things right.

Plethora ofPs:

As the four Ps (Price, Place, Product, Promotion) was found inadequate to meet the new developmethe market place, a plethora of new Ps was added to the marketing strategy literature. Boomes andadded the following "3Ps" to the traditional "4Ps" of marketing to make them relevant specially fomaking of services. There 3 Ps are

* Participants or People* Physical Evidence* Process

This fifth "P" People is also relevant to industrial products. Philip Kotler added the following "2Ps"entry into restricted markets.

In present scenario, multinational companies had to manage public opinion and local politics to enterestricted market like China, Russia, India etc.

According to the opinion of some marketing strategist in this present era of globalization someother 'P'sare also relevant, these are.

* Position* Profit* Plan* Performance* Pace & Passions* Patience


7/12

Customer Satisfaction to Customer Value Management:

The word value too often means cheap. It should mean satisfaction .Value should always measure iterms of total benefits & total cost. Value for money is cheap but added value is expensive. The meaof term Value Marketing is more than the price cutting, low margins, giving extra quantity & low buIncreased international competition makes the market wider but tougher & marketers are continuou

trying for enhancing the customer value. Customer satisfaction typically used to be monitored by thmarketers and they used to take the credit when it wept up and had to accept the blame when it wedown. But the fact is that consumers will choose that company which offers better value for their mProviding better value to customers is the job of the whole organization. This is a function of strategimportance, which cannot be left in the hands of a few marketing people. This has been managed bteam of cross-functional experts and monitored the top management.

The Rise of Sports Marketing:

With television broadcasting and savvy sports agents as allies, sport has become an important vehimarketers to hawk their products. The sports marketing industry that includes broadcasting,endorsement, sponsorship, merchandising and ideas is growing in stature and relevance. Sport mar

is a sub-section of advertising, assimilating the use or association of sports with brands to promote brand. It includes creatively using sports to promote recall, use or brand attributes, as per Pitch GMestimate, the annual size of sports marketing business in the country is Rs. 900 crore. Sportspersdisplay attributes that people & brand would love to stand for. Determination, humor, style andflamboyance and attributed that marketers covet in order to establish a connect with consumers.

A Shift Towards One-On-One Marketing:

While the earlier paradigm aimed at meeting the needs of segments of consumers, the new paradigtreats every customer as unique. The development of technology has made it possible to address thneeds of individual customers, the day may not be very far off when a customer wanting to buy a tsoap may have to put his/her hand into a scanner which will sense the skin complexion and pop out

pouch of liquid soap that is ideally formulated to suit his/her skin.

Virtual Marketing:

Everything can be sold on the Net. With visionaries we will soon find villages connected to computenetworks. No marketer can afford to ignore this medium. Most of the people who surf the net for funot computer literate.

Standard of Living to Quality of Living:

There was a time when people felt it very important to acquire a car, TV, fridge, mobile and a washmachine for the house. A number of people may be planning to add an air-conditioner and a PC to t

house-hold items. All these add to the physical comforts. But after getting all these people look forimprovements in the quality of their living. Spiritual pursuit, environmental protection and universabrotherhood are things that really interest that really interest people who have attained a standard living.

Innovation is central to Marketing:

Innovation is more than creativity; it is the commercial realization of creativity. Consumers like whahave but also crave change. The word "New, Improved, Better" can influence the customer prefe


8/12

Innovation is the life blood of Marketing. Creative ideas are valuable but the greater part is harnessthem to profitable productive change.

Emphasis on Personal Selling:

Now personal selling is an organic part of the business fuelling not only customer relationships but

stimulating the marketing functions with feedback from the market. Network marketing firms such Amway, Tupperware etc. are using organized personal selling efforts in very innovative manner.

Retailing: The new marketing Mantra:

Call it by any name; it's the last point of return for any marketer. The modern trade calls it the last most vital leg of the value chain. You guessed it right; I am talking about retailing as an arm ofmarketing, which is the final point of fruition for all marketing activities. The strength and potential sector is evident from its sheer size, which is pegged at a whopping Rs. 9.0 lakh crore. The modtrade has now six types of retail formats like supermarkets, department stores, discount stores, andconvenience store, hypermarket & health / pharma chains.

Get closer to the customers:

Getting close to the consumers is no longer a management jargon but a reality and a survival stratethe times of tough competition. All the touch points with customer i.e. pre purchase, during the purand post purchase need to be carefully handled to satisfy customer expectations.

Emancipation of Women:

Women are now gaining their rightful place in society. This is going to lead to greater demand forproducts like beauty-aids, heat-and-eat stuff, healthcare and fitness for women, which could be expby marketers in the new millennium. Now women are more net-savvy than men.

E Business Center:

Education is one big business that cannot be ignored by marketers; it is not just the primary educabut the life-long education that has become necessary for survival in the modern ever-changing wois getting delivered more and more through the net which allows the learner to plan his course at hiand have a one-to-one interaction with instructors through e-mail. Eventually education will becomecentric from the current institute-centric mode.

Soul selling:

Even with all the material comforts, people have a sense of loneliness and certain hollowness insideis where soul selling comes to play. There are powerful preachers who come on the Radio, TV and I

and appeal to your soul, of course in return for a donation. Religion as big business and is expected grow further in future. If you can't be a preacher, sponsor a preacher to sell your products.

Rural Migration:

With comforts, communication and connectivity made available in the rural areas why would anyonewant to live in the congested, unhygienic and polluted big cities. Companies selling farmhouses andplantations exploit this desire for the green rural environment, with connectivity established through


9/12

satellites; rural area will become attractive locales for ever setting up of business organizations.

Eminent management thinker Peter Druker has once said, "Business is the creation of its customersin the present business scenario creating customers in not the end point, but more & more companistriving for retaining them & convert them as their advocates, marketing strategies play an importain this regard.

The Sales Execution Model: Pre-Sales Activities, Sales Activities, and

Post Sales Activities

I have heard it called Sales Execution Model, Sales Strategy Model, or just the Sales Model butwhatever you call it, its a process, or discipline, sales reps should follow to analyze, diagnose,

prepare, execute and evaluate in their territories or on their calls. There is a flow or strategy toselling that falls into three phases: `Pre-Sales Activities, Sales Activities, and Post Sales

Activities. We will review the three phases and look at how they apply to all sales rolls.

Pre-Sales Activities

ThePre-Sales Activities can be broken into two areas, planning and preparing for the call.

Planning, by definition, is action based and is a scheme or method, developed in advance, fordoing, proceeding or making something. Planning, in the Pre-Sales Activities, can include

Prospect/Customer identification, Product/research/customer analysis review,competitor/industry research, creating a call strategy, evaluation of your products and services

relative to the competition. This not an inclusive list but a good start in planning for the call.How many of us do that much research? Come on, be honest, we dont spend that much time.

Some of us may engage in the research but we do not do so thinking ahead how we will use thisdata in our sales calls; we should.

To prepare is to put together or make by combining various elements or ingredients. So how do

you prepare for the sales call? Its time to transfer your plan to a written document. How do youuse the information gathered in the planning phase? You will use that information when you

write a clear objective for each sales call. Write an objective, determine the processes you willuse to achieve those objectives, set quantifiable goals for each objective and practice for the call.

Pre-Sales Activities around preparation will look like creation of meeting presentation material,

proposal/pricing creation, contract generation, determining use of marketing material, identifyingcustomer objections, and planning to address those in the presentation or meeting, and definingthe quantifiable return you expect to see after the meeting. After you have set the objective and

determined how to meet the objective, you must practice for the call; that practice is integral inpreparing for the sell.

Wow, seems like we are spending a significant amount of time in Pre-Sales Activities. Well, weare. Analysis indicates most sales reps do not spend enough time in pre-sales. The reps that do


10/12

more planning and preparing see a higher return on the time investment and tend to be lessfrustrated after sales calls.

Sales Activities

We all know what Sales Activities look like right? Probably but lets make sure we are all on thesame page. Sales Activities are the execution of all your hard work planning and preparing.These activities may include the sales call/meeting, negotiation or follow-up, closing the

deal/order taking, and relationship building and networking. Easy? Easier when you areprepared and carry out your plan. In another article we will dive deeper into how to execute.

Post Sales Activities

How many sales reps live for, or even like, Post Sales Activities? Be honest, not many of us.

Thats because Post Sales Activities such as product/service implementation, customer service

and support, gathering customer feedback, continued customer relationship building, future sales

forecasting, and evaluation of the sales call are not what we want to do. None of these activitiesare highlights of the sales reps day but they are all integral. I would point out that of all PostSales Activities, the one that should be of most interest to the sales rep is evaluation after a call.

Given open and honest diagnosis of your sales call, this activity will set you up better for yournext call and will, in and of itself, lend to more productive sales in the future. Why you ask? If

you truly evaluate and determine what went well/what could have gone better on the last call andmake changes based on this data, future calls will go more smoothly.

So, no matter what you call the Sales Execution Model it should consist of three phases, Pre-Sales Activities, Sales Activities and Post Sales Activities. Remember to spend more time, do

your due diligence, in the Pre-Sales Activities phase. This will garner you better results.

Over the years, substantial changes have taken place in the selling environment, sparking a

change in the sales function too. The various trends that have shaped the sales function

include shorter product life cycle, longer, more complex sales cycle, reduced customer

loyalty, intense competition among manufacturing firms, rising customer expectations,

increasing buyer expertise, electronic revolution in communications, and the entry of

women into the sales force.


11/12

Q3. What are the recent innovations in theSales techniques?

Answer:

Sales Techniques

The foundations of most modern sales techniques lie in five stages of action. These began in the1950's and include:

1. Attention: You have to get the attention of your prospect through some advertising or

prospecting method.

2. Interest: Build their interest by using an emotional appeal such as how good they will

look to their boss when they make this deal that will save the company thousands ofdollars!

3. Desire: Build their desire for your product by showing them its features and letting

them sample or test-drive it.

4. Conviction: Increase their desire for your product by statistically proving the worth ofyour product. Compare it to its competitors. Use testimonials from happy customers.

5. Action: Encourage the prospect to act. This is your closing. Ask for the order. If they

object, address their objections. There are then many variations of closing techniques that

can help get the business.

New techniques are:-

1)sales force automations

2)use of software as services

3)analyst and reporting of sales team

4) mobility

5)enhance communication

6)social networking


12/12

7)use of girls

8) use ofcold calls

9) on line sales.

prashant assignment

Documents