SALES & DISTRIBUTION

MANAGEMENT
Importance of Motivation
1. Changes in marketing
environment
2. Conflicting company
objectives
3. Unique nature of the
sales job
4. Separate motivational
package


Motivational theories to
salespersons
1. Maslows heirarchy
of needs theory
2. Hertzbergs dual
factor theory
3. Vrooms expectancy
theory
Vrooms expectancy theory
Effort Performance
Reward
Expectancy
Instrumentality
Valance
Value of
Reward
Compensating the sales force
(Motivational Tools)

Financial
1.Financial compensation Plan
Salary
Commission
Bonus payments
Fringe benefits
Combination
2. Sales contests
Non financial
Promotion
Sense of accomplishment
Personal growth opportunities
Recognition
Job security
Sales meetings and
conventions
Sales training programs
Job enrichment
supervision


Objectives of a compensation plan
Companys Viewpoint
Salespersons viewpoint
Designing an effective sales
compensation plan
1. Examine job descriptions
2. Set up specific objectives
3. Levels of pay or compensation
4. Developing compensation mix
Basic types of compensation
plans
1. Straight salary
2. Straight
commission
3. Combination of
salary and
commission

5. Decide indirect payment plan
6. Pretest administer and evaluate the
compensate plan

Guidelines for motivating Salespeople
1. Difference between cant do and wont do
2. Include individual needs into motivational
programs
3. Pleateaued salespeople
4. Proactive approach

Monitoring and performance
evaluation
Purposes of Evaluating and Controlling the
performance of Sales people
Procedure for Evaluating and Controlling the performance of
Sales people
1. Set policies on performance evaluation and control
2. Decide the bases of sales peopless performance evaluation
3. Establish performance standards
4. Compare actual performance with standards
5. Review performance evaluation with sales people
6. Decide sales management actions and control
CONTROLLING THE SALES
TEAM
Analysis of Sales and Marketing Costs
Sales force expenses
Types of expense plans
i. Sales person pays all epenses
ii. Company pays
iii. Company partially pays
iv. Combination plans
Supervising sales people
Direct supervisory
methods
Indirect supervisory
methods