gems presentation group c sfcm
TRANSCRIPT
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Sales Force And
ChannelManagement-Assignment 2
Presented
1) Aks(20
2) An#(20
") !eb') a#) Aks
(20
em Soa$s and !etergents td
.S!/
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Gem Soaps and Detergents Ltd .
Major Player in Industry for 30years
Detergent Powder Talet form
Mar!et Leader in someGeograp"ies
#$ne Su%"&ity'
Distriuto
r (
GSDL*+ iggest &"annelPartners&learly De,ned
Territories-.ual Sales/eenues1mont"Signed (greements
/ules of$perations
Terms 2 &onditions
Main MandiMar!et
s &ustomerDis%ounts
4iolation of GSDL5orms
(SM Murli &ounselsession 6Separately1toget"er
5egle%t &oerage of 7ea!erMar!ets
5ew -8tensions and Lo%alitiesnot %oered
/edu%e %redit 9 in eat plans &redit used to lure ea%" ot"er
%ustomers &ompetition rand nile into
GSDLMar!et S"are
/etailer: Semi6/etailer ta!eadantagefor added ene,ts
&omplain aoutredu%ed margins
5ot admit t"eirprolems
Lo%ation Mandi 7"olesale Stores
;00yards from ea%"ot"er Low 4olume
earlier Manifold
in%rease
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T"e Solution of GSDL rings mProlems
GSDL laun%"es S"ampoo5ot gie ( 2 at all&onsiders Distriutor &
Good wit" &ompetitieProdu%ts
( 2 argue5ot %ontent wit"Detergent onlySay t"ey uilt GSDL in%ity
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hat do yo# think isthe #t#re or S!
distrib#tion in the city
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F34356 7F !S !,S45,*34
,n the gien case st#dy there is a sit#ation o con9ict bthe loyal distrib#tors o !S;
,S 4erent chann$artners so as to enhance the =#ality $roided by all o
For e?am$le@ a sol#tion hich hel$s S! kee$ ha$$y ethe channel $artners ill hel$ it create a stronger distrnetork across the $lace
ack o any channel con9ict indicates ga$ in market coe can only ork toards minimiing the con9ict;
Following are some ways in which the whole confict careduced :
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Sol#tion 1
A@ * and C m#st be asked to sign
agreements not to sell in otherBsterritories or com$etitorBs $rod#cts; Penalties o red#ction in Mark#$s can be
$#t on $a$er; , Cases ith com$etitorBs $rod#ct is o#nd
they o#ld get blacklisted;
, $roblems occ#r@ it sho#ld be sorted in ameeting ith M#rali as the mediator;
Additional ne territories ill beassigned by !S on basis o their$erormance;
S#btly gie A@ * C a message that S!onBt tolerate anti com$etitiebehaio#r@ co#ld introd#ce a 'th !istrib#tor or a
re$lacement
Assign Sham$oo to only C
!SBs goal sho#ld
sales o its $rod#cgo into the !istrib#
M#rali the ASM sthe Dght only #$ tonly hen it h#rts s
A * hae learnt to share territory
4his ill ens#rcom$etition@ ill nc#stomers not territories
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Feasible Sol#tion 2:
!isco#nted Pricing:- 4he bestay to ens#re that the channelcon9ict is red#ced is to gie as#itable disco#nted $rice to
the channel hich hasac=#ired the ma?im#m
$ercentage o its cons#mers inthe territory allotted to them
4his ill ens#re a com$etition@ b#t in
the di>erent distribno try to get c#sto
rom their territ
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Feasible Sol#tion-"
e diide the "di>erent $rod#cts andgie it to the di>erentdistrib#tors;
For e?am$le@ A getsSoa$@ * gets detergentsand C gets sham$oos asit is a ne $rod#ct and Cis a com$aratiely nedistrib#tor
4he geogra$hical e?$anse o the tonhas to be coered by all o the three
distrib#tors no; So the easibility has be checked in terms o inrastr#ct#re@distrib#tion e?$enses@ resh#Eed beat$lans etc; , the com$any manages toa$$ly the sol#tion as $er case1@ it ill
hae olloing beneDts:
F#rther thereill be no $ricears beteen
all thedistrib#tors
4he channel$artners can
share costs asthey are not
rials any more
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Feasible Sol#tion '- Distriu
Market deelo$ment$rograms
@uarterly or "alf yearlyassessment of distriutionpra%ti%es
mar!et penetration in termsof widt" and dept" ofdistriution
T"ere s"ould e monetaryrewards lin!ed to t"eseprograms
6?$enses reimb#rsements
T"e %ompanies generally reimurse t"e e8penses s%"emes and dis%ount o=ered in t"e mar!et in two winoi%ing itself or post sales?
To monitor t"e use of s%"emes: t"e %ompany s"ousales reimursements? In t"is %ase t"e e8e%uties ,t"e pattern of dis%ounts o=ered? T"is will a%t as a comechanism
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Feasible Sol#tion ' 5etaileholesalers
5elationshi$ b#ilding $rograms:4he com$any sho#ld r#n relationshi$ b#ilding $rograms ith maGor retailers ato get ass#red b#siness oer a $eriod o time;
4his can be done@ or e?am$le@ i there are reards or taking a certain =#antitoer a $eriod o say@ three months;
4hese reards can be monetary or non monetary like cons#mer d#rables; 4hisa#tomatically do one thing or the com$any@ the reards ill be $assed on to thonly thro#gh the distrib#tors ho are s#$$osed to cater them; , they take it rodistrib#tor@ o> the record@ they ill not get the long term reards;
Moreoer@ dealersB $erormance ill also be G#dged on the basis o s#ccess o t!eecting ill be a loss or them;
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Feasible Sol#tion ' Forsalesmen
,ncenties attached to goals:4he incenties sho#ld be $ro$erly linked to-
5eg#larity o billing at a $artic#lar o#tlet in their res$ectie be
Pro$er $lacement o $rod#cts in the o#tlets
,ncl#sion o ne acco#nts in the assigned area
8o incenties sho#ld be gien i a salesman is o#nd to be sellinretailers or holesalers;
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do to resole thechannel con9icts
and also ens#re the
s#ccess#lmarketing osham$oos
S! has already gien 1I e?tramargin or s#ccess#l marketing;
Coney the message that
sham$oo ill be taken o> rom#nder$erorming distrib#tors atthe end o the year(4he sham$oo has already $roen
good in test markets) C is an established distrib#tor and
can handle com$etition rom A * M#rali sho#ld oc#s on b#ilding
good relations ith C
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