Sales management is an art of meeting and exceeding the sales goals of an organization through effective planning, controlling, budgeting and leadership. It includes marketing research, sales research, sales forecasting, formation of sales organization, appointment of selling force, training of selling force, determination of remuneration for selling force, advertisement, sales promotion and personal selling, etc. In other words, the sales management is the business discipline which is focused on the practical application of sales techniques and the management of a firm’s sales operations.
Sales Management Activities
- Formulates the sales strategy of a business unit through developing account management policies, sales force compensation policies, sales revenue forecasts and sales plan.
- Implements the sales strategy of a business unit through selecting, training, motivating, supporting the sales manpower and setting the sales revenue targets.
- developing and implementing the sales performance, monitoring and evaluating the sales techniques and by analysis of allied behavioral patterns and costs.
Meaning and Definition of Sales Management
According to American Marketing Association___” Sales management is the planning, direction and control of the personal selling activities of a business unit including recruiting, selecting, training, equipping, assigning, rating, supervising, paying and motivating as these tasks apply to the personal sales force”.
According to F.L Brech___” Sales management is the overall management of sales and it refers to only a specified application of the process of management as a whole”.
Objectives of Sales Management
- Conduct marketing research and plan.
- Introduce new products and services in the market.
- To control the sales performance, sales activities and expenditure of the business unit.
- To set the sales goals, formulate the sales policies and design the sales strategies.
- Develop and manage the sales manpower.
- Demand creation and Establishing sales territories.
- Evaluating production and sales budget.
Functions of Sales Management
- To develop sales organization structure.
- To allocate sales territories to the salesmen.
- Implement and monitor the programmes of advertisement and sales promotion.
- Developing new products.
- Identifying new market opportunities.
- To profit maximization.