SALES MANAGEMENTPRESENTATION
ON
SALES FORCE AUTOMATION
Presented by:
Nisha Gupta – 24/020
Prateek Chhabra – 24/022
Rahul Tanwar – 24/025
An Overview
Sales Force Automation:
Sales executives normally think of sales management
tools as a way to automate & streamline sale processes.
New sales management technique:
To create a sales culture where the sale force becomes
active contributors to the development of knowledge
about customers and competitors.
Automating paper-based processes
Information-Based sales paradigm
Information Based Sales Paradigm
Customer profitability – to target & segment
customers.
Customer purchasing patterns – to identify
opportunities to grow customer relationships.
Best practice sales tactics & competitor’s product
offering – to improve product positioning.
Some Facts
By spending average $10,000 - $13,000 and up to
$38,000 per Sales Representative(SR), leads to increase
in
Operational cost saving – up to 25% reduction in cost
of selling.
Sales force productivity – up to 30% increase in
productivity per SR.
Sales cost + Marketing Cost = 15% to 35% of total
corporate cost.
First Generation Sales Tools
It improves productivity of costly resource by
automating information management
to help the sales force to manage their sales territory
to help Sales managers to manage SRs
Building blocks of 1st Gen:
1) Sale productivity system (SPS)
2) Service Quality System (SQS)
3) Marketing Encyclopaedias.
1st Gen Outcomes
Increase Time on Selling
Efficient Sales Management
Continuity in Customer Relationships
Strategic Sales Management
It involves drawing on data on customer purchasing &
customer contact to begin
to segment customers according to their profitability
To identifying & act on promising new growth
opportunities.
Managing Customer Profitability (MCP):
Rule of thumb: 30% of customers account = 70-80% of
profits
Data Mining / Data Filtration
Second Generation Sales Tools
1) Relationship Management Software Systems
2) Sales Productivity System (SPS)
3) Sales Quality System (SQS)
Some Facts:
Customers contributing more than $3000 in net interest
margin are given to the Dedicated Sales Representative
(DSR)
Remaining customers are assigned to branches without
DSR
Third Generation Sales Tools
Managing Growth Opportunities:
Objective - to look for opportunities to deepen
customer relationships - (Product Positioning)
It helps SRs identify and act on the most promising
new sales opportunities.
It focus on deepening existing customer
relationship’s rather than acquiring new customers
or expanding new product lines.
Some Facts
40% of growth come through existing customer
relationship.
All other growth categories:
New customer in existing market
New Products
Mergers
New customers in new market,
Expected to account only 20% or less of growth.
Building Block of 3rd Gen
Purchasing Profiles:
It helps SR to develop a mental model or pattern of
customer purchasing behaviour
Technologies used for PP:
1) Scripting tools or expert systems
2) Comparing customer’s current purchasing level to the
actual average purchasing level of similar customers
Building Block of 3rd Gen
Using Competitor's Information:
It helps with positioning products to convert a growth
opportunities into a sale
Can be done by two ways:
By developing Marketing Encyclopaedia
By developing a Sales Solution Database (SSD) –
“Early Warning System”
Creating an Info Based Sales Culture
Wining Sales Force Acceptance:
Organize sales training around sales tool
Change job expectations to reward tool use
Ensure consistency in leadership support
Create a user-friendly technical design
Managing Sales Force Knowledge:
Standardizing content and vocabulary
Rewarding contributions to knowledge development
Creating a knowledge manager role
Conclusion
Sales Management Tools have the potential to
significantly improve sales force performance.
Sales Force Automation is just the first step in a
broader transition to an information-based sales
paradigm.
Sales Tools are creating a platform to manage
information about customers & competitors.
Realizing both the operational or strategic benefits of
sales tools requires significant changes to the culture
of the sales organization.
THANK YOU..!!!