What is Sales Management?


Sales management is the art of meeting and exceeding the selling goals of an organization through effective planning, controlling, budgeting and leadership. It includes marketing research, sales research, sales forecasting, formation of the sales organization, the appointment of selling force, training of selling force, determination of remuneration for selling force, advertisement, sales promotion, and personal selling, etc.

In other words, It is the business discipline that is focused on the practical application of sales techniques and the management of a firm’s sales operations.

Sales Management Activities

  • Formulates the selling strategy of a business unit through developing account management policies, sales force compensation policies, selling revenue forecasts, and selling plans.
  • 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.

Definition

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 the sale and it refers to only a specified application of the process of management as a whole”.

Objectives

  • 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

  • To develop sales organization structure.
  • To allocate sales territories to the salesmen.
  • Implement and monitor the programs of advertisement and sales promotion.
  • Developing new products.
  • Identifying new market opportunities.
  • To profit maximization.