29 Oct What Successful sales management is governed by?
Sales management and bottom line growth are interrelated. Operative sales management strategies are the key that directs and drives the sales profit margin of every type of institution or organization. Sales management has a broader perspective, which also includes the execution of marketing activities such as advertising, sales promotions, distribution, pricing, and others.
Central objectives of sales management are threefold. They include:
- Increase sales volume and meet sales targets
- Augment profit growth
- Improve and manage growth cycle
Successful sales management is governed by effective preparation and planning, management, budgeting and good leadership.
Process of Sales Management
Planning is the primary stage, and it should include concrete steps that are clear and well-defined. Study your product well. Identify the USPs and advantages of the product in order to convince the end users.
Map out the target market and end users, as well as the sales planning in order to ensure that the products are available to end users at the right place and the right time. Effective sales planning updates the marketers and helps them to analyze customer demands. Sales planning should ideally include backup plans to account for fluctuations in the market. Formulate applicable strategies to increase product sales.
The second stage of sales management is accurate sales reporting. Reporting and recording relevant information are vital. It is a road map to higher sales figures. Systematic results should be recorded and discussed in order to learn from the mistakes and, more importantly, not to repeat them.
It is essential to assess the outcome of proposed strategies. Organizations depend on KPI [Key Performance Indicator, or simply Performance Indicator] to measure the efficacy of applied strategies. Allot funds to refine sales management strategies in order to reward independent initiatives and success. Motivation is the key tool or vehicle to ensure improved profit margins and help perpetuate the growth cycle.
Ask the sales team to submit reports periodically/annually/weekly where applicable. The management and sales team need to assess their performance periodically and then mark out the future course of action. Mapping the performance of each individual over time is crucial.
Sales reps should work as a single unit for maximum productivity. A systematic methodology results in error-free work. The management must ensure that the sales managers follow a suitable channel to reach out to the end users/customers. In the long run, it pays to adopt a step-by-step strategy. Keep in touch with the customers even after the purchase for increased customer retention.