Академический Документы
Профессиональный Документы
Культура Документы
Chapter 6:
Sales Force
Organization
Learning Objectives:
Explain the various ways to
organize sales force.
Explain what a strategic accounts
management program means.
State the reasons for the growth
in telemarketing.
Tell why and when sales agents
are utilized.
Describe evolving trends in sales
force organization.
Chapter Outline:
1. Generalist
2. Product specialized
3. Customer specialized
4. Functional specialized
Generalist Structures
The most common and least complicated sales force organization
is a generalist structure, also referred as geographic organizations,
in which each salesperson sells the firms entire product line to all
accounts and prospects, usually within a specific geographic area.
The geographic area have small sales and minimal travel time.
Salespersons spend a high percentage of their time face to face
with customers.
Disadvantages
Less knowledge of the product.
Inability to create solutions for the
customers problems.
Focus on the easy to sell customers.
Sales Force Organization:
Generalist
National Sales
Manager
District of
Vermont New York Delaware Georgia Alabama
Columbia
Massachu
New York Virginia Maryland Mississip Florida
setts
pi
Eastern Regional
Sales Manager
Disadvantages
More expensive to operate
May result in duplication of sales calls to
clients
Customer Specialist
Structures
Referred also as vertical
marketing, in which each
salesperson or sales team sells
the entire product line to select
types of buyers.
Disadvantages
May conflict with marketing organization
Product expertise may be lacking
More expensive
Functional Specialization
Structures
Division
Marketing Manager
Market
Account System Reps Administrative
Executives (Technical Support)
(Training & Installation)
(Salespeople)
Advantages
More functional focused.
Ability to provide problem solutions.
Disadvantages
May conflict with marketing
organization
More expensive
Functional Specialists:
Alternatives
Alternatives Companies
New Customers American Express
Gillette
Retention Browning-Ferris Industries
Sales Engineers 3M
AT&T
Service IBM
Consultants McKesson Corporation
Sales Force
Organization
There is no one best way to
organize the sales force, and
companies are experimenting with
many different forms in order to
compete profitably.
1. Account selection
2. Organizational structure
Strategic account
management program
1. Strategic account selection:
Which customers should be treated as a strategic
account, many companies choose too many
accounts to participate in the program, resulting
in an over work for sales force , and under
serviced customers.
Increased profits
from national 83%
accounts
Increased 74%
market share
Improved customer
74%
communications
Improved customer
30%
coordination
Strategic Accounts Programs:
Insights from Strategic Account
Executives
Until the customer tell us were a strategic
supplier, I cant believe that they are
in fact a strategic account for us.
Different No difference in
training training for
for strategic account
strategic managers or other
account 26% sales staff
managers 37%
37% Provide no
training for
strategic account
managers
Strategic Account Programs:
Survey Results
Do your strategic account managers carry
an assigned sales quota?
No
Yes Response
3%
No
68% 29%
Strategic Account Programs:
Survey Results
Do strategic account managers have formal
authority over the rest of the sales
organization?
No Response
May assemble
7% temporary
virtual sales
24% teams that report
Sales team directly to the
reports 22% strategic account
directly to manager
the
strategic
account
47% No formal
manager authority over
others in the
sales
organization
Strategic Account Programs:
Survey Results
How do you measure the success
of a strategic account program?
Sales Volume 80%
Customer Satisfaction 53%
Profitability 45%
Volume of Recurring Revenue Stream 29%
Incremental Orders from Existing 22%
Accounts
Number of Customer with Strategic 11%
Account Agreements
Number of Transactions/Orders 6%
Number of Products Shipped 6%