To the Society: If jobs are to be made available for all those, who want and expect them, the economy must continuously expand its production of goods and services. It involves a comparison of the actual with the desired results, finding out reasons for the deviation and taking corrective actions accordingly. Equally important here is the fact, that an economy needs individuals, to sell what is produced. But there is one more aspect to the contribution of profit by sales. For example, an insurance agent can analyze the hazards and risks that confront a client’s business or home-situation, examine existing coverage and offer helpful advice, in order to eliminate the gaps or overlaps in coverage, in addition to saving the client’s money. He is the one who plays a pivotal role in achieving the sales targets and eventually generates revenue for the organization. On the basis of the functions performed by the sales manager, he may be classified into … It involves planning, implementation and control of marketing programmes or campaigns. This is a crucial aspect of the business as net sales of products and services draw profit of the business. It requires the efficient use of resources combined with the guidance of people in order to reach a specific organizational objective. Companies, salespeople and customers are different levels in the marketing chain; and these stand to benefit by sales activities. The financial results of a firm depend on the performance of the sales department. Sales management facilitates the directions of activities and functions which are involved in the distribution of goods and services. The evaluation phase involves developing methods for monitoring and evaluating the performance of the sales force. Advertising 3. It is the income-producing division of a business. Geektonight is a vision to provide free and easy education to anyone on the Internet who wants to learn about marketing, business and technology etc. Revenue, sales, … Sales management today is the most important function in a commercial and business enterprise. Marketing Management: Meaning and Importance of Marketing Management – Explained! Posted by Dave Kurlan on Tue, Nov 10, 2009 @ 09:11 AM Tweet . Top 6 Qualities that makes a Successful Salesman – Explained. 4. The following are the other factors showing importance of the sales management: (i) Introduction of new products in the market. Sales management, apart, from the management of personal selling, encompasses marketing activities like advertising, sales promotion, marketing research, physical distribution, pricing, merchandising and so on. To assist in training of middleman’s sales personnel. Naturally, sales has a major contribution to profit and it is categorized as a profit functionin several organizations. Function, Objective, Process, Definition, Formulation of a Strategic Sales Programme. Planning and control of sales 7. To understand the functions of management, you must first examine what management is about. Advertisement policies such as media selection and target audience. It involves responsibility to achieve the objectives and to fulfill specific organizational purposes through economical and effective planning and regulation. Try Zoho CRM's Sales management software for free. It involves the determination of the structure of the sales force and delegation of authority which is supposed to be necessary to achieve the organisation’s objectives. Strategy and sales management . Sales Correspondence 4. It includes the planning, implementation, and control of sales programs, as well as recruiting, training, motivating, and evaluating members of the sales force. Systematic Approach: It is an organized way of handling the sales function of the comp… Because there are so many moving parts within an organization, the sales management process needs to be fully grasped to ensure each “aspect” of the collective sales effort is operating efficiently.. Distribution policies and channel selection criteria. Pricing policies and price fixing 3. Through their persistent efforts to create and stimulate demand, salespeople could be said to be the life and blood of a productive economic system. Control of sales force 5. The salesperson becomes an important source of field-intelligence by providing important (and sometimes very crucial) information, about the nature of competitive-activities, and also about the changing needs of customers. Sales Management: Functions and Importance of Sales Management – Explained! Sales management has gained importance to meet increasing competition and the need for improved methods of distribution to reduce cost and to increase profits. Profit maximization through increased consumer satisfaction and market share. This involves probing into the sales records of the company, analysing the reports of salespeople,... Planning. Liaison Functions, Read Complete: Sales Management Functions, The importance of sales management are:1. Sales refers to the process of selling, whereby product is offered for sale to the customer at a certain price and at a given period of time. Some companies might target a premium pricingfor a product to make it premium in the market. (ii) Increasing the production of existing products. 3. The general functions of sales management or marketing management are as follows: 1. An important function that takes much time of a sales manager is the management of the sales force. One of the functions of sales management is to ensure that targets are reached, but targets that are set too high will never be reached. He should know what he is supposed to do at the workplace. Come on! The various functions of sales department are: 1. Along with this, there may be other department s also like Finance, HR, Sales and Marketing departments etc. This includes communicating updated goals based on performance, the economy, and the competitive environment. Copyright 10. To service existing accounts, (customers). According to Philip Kotler, “Marketing management is the analysis, planning implementation and control of programmes designed to bring about desired exchanges with target markets for the purpose of achieving organisational objectives. Sales management refers to the administration of the personal selling component of a company’s marketing program. Effective sales management helps you get the most out of your salesforce. Sales brings turnover for the company and this turnover results in profits. Related to all the activities which facilitates flow of goods to customers. (v) Development in the means and communication of transportation within and outside the country. Before publishing your articles on this site, please read the following pages: 1. Implementation of the Sales Programme 3. The business, is now society-oriented, on human-welfare aspects. In recent years, that process has changed dramatically as the vast majority of sales take place online or over the phone instead of in person. It should organize and plan the company’s overall personal-selling efforts and integrate these with the other elements of the firm’s marketing strategy. It is indirectly responsible for the fulfillment of the objectives of top management. So sales management is a balancing act between providing guidance and direction without taking this to extremes. To assist the dealer in selling the product line. Recruitment: An essential part of the effective sales force management is recruitment. Additionally, there was no common sales support and management structure. Sales ManagementSales Management Sales management is attainment of an organization'sSales management is attainment of an organization's sales goals in an effective & efficient manner throughsales goals in an effective & efficient manner through planning, staffing, training, leading & controllingplanning, staffing, training, leading & controlling organizational resources. Sales management is the process of handling all aspects of a sales team's activities to ensure that company goals are met. Most sales support activities were performed independently and inconsistently for each country, resulting in a lack of standardization and repeated bid and proposal activities. The implementation phase involves selecting appropriate sales personnel as well as designing and implementing policies and procedures that will direct their efforts towards the desired objectives. The management must make sure sales managers follow a proper channel to reach out to the customers. Sales manager is hired to look after the sales and to manage them. Further their sales plans to a greater extent rest upon the requirements and motives of the consumers in the market aimed at. Sales management objectives are categorized into two types: Sales management is viewed as having a systematic relationship with each other. Marketing is understanding the requirements of the customers in such a way that whenever any new product is introduced, it sells itself. Different sales management functions are: A sales manager looks after and manages a firm’s personal selling functions. 2. Importance of Sales Management; Image Source: pixabay.com. It includes but is not limited to Customers’ personal details, past contacts, nature of the discussion, orders and order status, etc. Report a Violation. A sales manager is … Two sales management definition are mentioned below: American Marketing Association (AMA) define sales management as: “The planning, direction and control of personal selling, including recruiting, selecting, equipping, assigning, routing, supervising, paying and motivating as these tasks, apply to the personal sales force“. Sales management is a business discipline which is management of a firm’s sales operations and focused on practical applications of techniques used in sales. Functions of Sales Force Automation. These are also typically the goals and performance indicators of sales management. Sales management process have three stages: The strategic sales programme should consider the environmental factors faced by the firm. To change this, the company adjusted its sales support functions and manager oversight to the ideal ratios we’ve outlined. The objective of sales management is to sell the product at the optimum price. Market Research 2. Society 2. Advisory functions 4. It is one of the fastest and surest routes to enter into the top management bracket. Perhaps more than in any other business area, sales people need hands-on support and guidance to help them succeed in a particularly challenging role. To keep personal expenses within specified limits. Sales managers who are responsible for hiring and firing members of their sales team must learn some human resources skills. Sales management system is a software that automates and manages the sales processes (such as creating sales force, implementing sales strategies) to increase sales. A sales manager must be very clear about his role in the organization. Canfield define Sales Management involves the direction and control of salesmen, sales planning, budgeting, policymaking, coordination of marketing research, advertising, sales promotion and merchandising and the integration in the marketing programme of all business activities that contribute to the increased sales and profits.”. Achieving the sales targets of the organisation. However, a sales manager would know that any sales-based organization is dependent on their revenue, profits and the public image of their sales people. The general functions of sales management are as follows: 1. To achieve this objective the organisation has to give heed to the right pricing, effective advertising and sales promotion, discerning distribution and stimulating the consumer’s through the best services. Disclaimer 9. To the Consumers: Professional people know their product or service, its major uses, limitations and benefits; which helps them to serve their customers, quite effectively. 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