Page 111 - DMGT507_SALES AND PROMOTIONS MANAGEMENT

Unit 5: Organising Sales Effort

Notes

Task Consider any state in India and choose its key cities. Map the child insurance
sales potential in those key areas of the state and based on that design sales
territories. (Use internet to study the facts and figures about the state and
its cities and prepare an estimate)

5.5 Summary

Sales quotas are of major importance because they establish the ‘end state’—the bottom
line sought by the sales force. They are not static but dynamic guides to sales force behaviour.
Quotas are constantly changing due to experience, feedback and internal and external
forces related to the organisation. They are not static but dynamic guides to sales force
behaviour.
Quotas are constantly changing due to experience, feedback and internal and external
forces related to the organisation.

Territorial control allows actual performance to be compared with standards of performance
for evaluation purposes. Companies want to avoid costly sales leakages.

5.6 Keywords

Expense Quotas: Related to selling costs within reasonable limits

Field Sales Force: Consists of salespersons who work primarily with customers in person
Routing: Setting up of a pattern for a salesperson to use when making sales calls
Sales Quotas: Expected routine assignment to sales units

Sales Territory: Geographical area or type of customers assigned to a sales unit such as salesperson,
sales manager, franchisee, distributor, or agent.

5.7 Self Assessment

Fill in the blanks:
1. In……………….quotas, the amount of sales or the number of units to be sold is assigned to
the salesmen.

2. Setting sales quotas and sales volumes is a part of……………….
3. In……………approach of territory design, the customers are grouped as per the quantity
of products bought by them.
4. An area in which a salesman operates is known as his……………….
5. If given a ………….route, the sales person works backwards in a zigzag manner.

6. A salesman is given a goal of making atleast 3 sales presentation daily. This is an example
of ……………….quota.

7. …………………is a tool for effective time management.
8. …………………pattern of routing is more common in B2B markets.

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