The presentation discusses sales force automation and its evolution across three generations of sales tools aimed at improving sales productivity and strategic management through data utilization. Key insights include the significance of customer profitability, the transition to an information-based sales culture, and the necessity for organizational changes to fully realize the benefits of these tools. The conclusion emphasizes that implementing sales management tools can greatly enhance sales force performance and requires a cultural shift within the sales organization.

1. SALES MANAGEMENT
PRESENTATION
ON
SALES FORCE AUTOMATION
Presented by:
Nisha Gupta – 24/020
Prateek Chhabra – 24/022
Rahul Tanwar – 24/025

2. An Overview
 Sales Force Automation:
Sales executives normally think of sales management
tools as a way to automate & streamline sale processes.
 New sales management technique:
To create a sales culture where the sale force becomes
active contributors to the development of knowledge
about customers and competitors.
Automating paper-based processes
Information-Based sales paradigm

3. Information Based Sales Paradigm
 Customer profitability – to target & segment
customers.
 Customer purchasing patterns – to identify
opportunities to grow customer relationships.
 Best practice sales tactics & competitor’s product
offering – to improve product positioning.

4. Some Facts
 By spending average $10,000 - $13,000 and up to
$38,000 per Sales Representative(SR), leads to increase
in
 Operational cost saving – up to 25% reduction in cost
of selling.
 Sales force productivity – up to 30% increase in
productivity per SR.
 Sales cost + Marketing Cost = 15% to 35% of total
corporate cost.

5. First Generation Sales Tools
 It improves productivity of costly resource by
automating information management
 to help the sales force to manage their sales territory
 to help Sales managers to manage SRs
 Building blocks of 1st Gen:
1) Sale productivity system (SPS)
2) Service Quality System (SQS)
3) Marketing Encyclopaedias.

6. 1st Gen Outcomes
Increase Time on Selling
Efficient Sales Management
Continuity in Customer Relationships

7. Strategic Sales Management
 It involves drawing on data on customer purchasing &
customer contact to begin
 to segment customers according to their profitability
 To identifying & act on promising new growth
opportunities.
 Managing Customer Profitability (MCP):
 Rule of thumb: 30% of customers account = 70-80% of
profits
 Data Mining / Data Filtration

8. Second Generation Sales Tools
1) Relationship Management Software Systems
2) Sales Productivity System (SPS)
3) Sales Quality System (SQS)
 Some Facts:
 Customers contributing more than $3000 in net interest
margin are given to the Dedicated Sales Representative
(DSR)
 Remaining customers are assigned to branches without
DSR

9. Third Generation Sales Tools
 Managing Growth Opportunities:
 Objective - to look for opportunities to deepen
customer relationships - (Product Positioning)
 It helps SRs identify and act on the most promising
new sales opportunities.
 It focus on deepening existing customer
relationship’s rather than acquiring new customers
or expanding new product lines.

10. Some Facts
 40% of growth come through existing customer
relationship.
 All other growth categories:
 New customer in existing market
 New Products
 Mergers
 New customers in new market,
 Expected to account only 20% or less of growth.

11. Building Block of 3rd Gen
 Purchasing Profiles:
 It helps SR to develop a mental model or pattern of
customer purchasing behaviour
 Technologies used for PP:
1) Scripting tools or expert systems
2) Comparing customer’s current purchasing level to the
actual average purchasing level of similar customers

12. Building Block of 3rd Gen
 Using Competitor's Information:
 It helps with positioning products to convert a growth
opportunities into a sale
 Can be done by two ways:
 By developing Marketing Encyclopaedia
 By developing a Sales Solution Database (SSD) –
“Early Warning System”

13. Creating an Info Based Sales Culture
 Wining Sales Force Acceptance:
 Organize sales training around sales tool
 Change job expectations to reward tool use
 Ensure consistency in leadership support
 Create a user-friendly technical design
 Managing Sales Force Knowledge:
 Standardizing content and vocabulary
 Rewarding contributions to knowledge development
 Creating a knowledge manager role

14. Conclusion
 Sales Management Tools have the potential to
significantly improve sales force performance.
 Sales Force Automation is just the first step in a
broader transition to an information-based sales
paradigm.
 Sales Tools are creating a platform to manage
information about customers & competitors.
 Realizing both the operational or strategic benefits of
sales tools requires significant changes to the culture
of the sales organization.

15. THANK YOU..!!!