Term
| Objectives of sales training programs |
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Definition
-improved self-management
-improve customer relations
-improved communications
-increased sales productivity
-lower turnover
-improve morale |
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Term
| Line Executive training salespeople |
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Definition
Advantages- have much more credibility and ensures that salespeople truly understand supervisor's expectations, better rapport can be established
Disadvantages- lack of time and teaching ability |
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Term
| Staff trainers training salespeople |
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Definition
Advantages- has more time, more resources, and better training skills
Disadvantages- lacks control, authority, and is generally not feasible for smaller companies |
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Term
| Outside Specialist training salespeople |
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Definition
Advantages- has a great deal of expertise in focused areas
Disadvantages- presents program content that may not be specific to company needs |
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Term
| Attitude of why to train immediately: |
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Definition
-no rep should be placed in the field until he or she is fully trained
-cannot risk exposing customers to poorly trained reps |
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Term
| Attitude of why to delay training: |
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Definition
-much easier to train people who had some field experience
-weak salespeople are eliminated before company spends more money training them |
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Term
| Pros and cons of decentralized training |
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Definition
Pros- allows for highly skilled trainers to lead sessions in which reps are focused 100% on training. Also allows interaction with home office.
Cons-is more expensive and keeps reps away from home and family |
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Term
| Pros and cons of decentralized training |
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Definition
Pros- allows for highly skilled trainers to lead sessions in which reps are focused 100% on training. Also allows interaction with home office.
Cons-is more expensive and keeps reps away from home and family |
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Term
| Pros and Cons of centralized training |
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Definition
Pros- is less expensive and allows the sales manager more time to make sure training is done correctly.
Cons- leads to training done by the sales manager, who often lacks time and skill to properly train. |
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Term
| Maslow's Hierarchy of Needs |
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Definition
1. Physiological needs- food, shelter, clothing, etc.
2. Safety needs- job security, safety, income security
3. Social needs- affiliation, friendship, acceptance
4. Esteem needs- status, recognition
5. Self-actualization needs- self-development, challenge |
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Term
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Definition
| Effort -> Performance -> Reward |
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Term
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Definition
| Probability that greater effort leads to higher performance |
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Term
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Definition
| Probability that higher performance leads to more reward. |
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Term
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Definition
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Term
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Definition
1. Exploration
2. Establishment
3. Maintenance
4. Disengagement |
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Term
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Definition
-no clear career path
-not managed adequately
-bored
-burned out
-economic needs met
-discouraged with company
-lack of ability
-reluctance to be transferred |
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Term
| Steps in designing a sales compensation plan |
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Definition
-review job description
-identify plan's objectives
-establish level of compensation
-develop the method of compensation
-decide on indirect monetary compensation
-pretest and install plan |
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Term
| Compensating cross-functional teams |
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Definition
-shared reward
-role-reward congruence
-team-member input
-peer evaluations |
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Term
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Definition
| a performance goal assigned to a marketing unit for a specific period of time |
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Term
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Definition
-sales volume
-gross margin or net profit
-expenses
-activities
-combination |
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Term
| Pros and Cons of Salespeople paying own expenses |
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Definition
Pros- simple for sales manager and firm, no costs to firm, allows flexibility
Cons- reps may not spend enough and hurt customer satisfaction |
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Term
| Pros and Cons of an Unlimited Payment Plan for sales reps |
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Definition
Pros-flexible and fair, allows for differences in territories
Cons- encourages excessive spending |
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Term
| Pros and Cons of Limited Payment Plan-limits per each item |
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Definition
Pros-limited and predictable expenses, helps control rep activities
Cons- inflexible, reps resent it. Plus, this plan involves close monitoring to ensure reps do not cheat by switching expenditures |
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Term
| Pros and Cons of Limited Payment Plan- flat allowance |
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Definition
Pros- limited and predictable expenses
Cons- Inflexible, reps resent it |
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Term
| Legal tax deductions through IRS regulations |
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Definition
| 50% of legitimate business entertainment expenses |
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Term
| The IRS allows tax deductions of up to _______ for gifts given to a customer over the course of a year |
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Definition
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Term
| Other methods of expense control |
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Definition
-training and enforcement
-credit cards
-expense bank account
-change in nature of entertainment
-telemarketing
-careful travel planning |
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Term
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Definition
| is the total expected sales of a given product for the entire industry. |
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Term
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Definition
| refers to the maximum share (or percentage) of market potential that an individual firm can reasonable expect to achieve. |
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Term
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Definition
| is an estimate of sales (in dollars or units) that an individual firm expects to achieve during the forthcoming time period, in a stated market, and under a proposed marketing plan. |
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Term
| Estimating Market and Sales Potential |
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Definition
-Market-factor derivation
-surveys of buyer intentions
-test markets |
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Term
| Pros and Cons of sales force composite |
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Definition
Pros- relatively simple, fairly accurate, involves those people who are responsible for the results
Cons- Salespeople are sometimes overly optimistic, salespeople may sandbag to look better, time consuming |
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Term
| Pros and cons of test markets |
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Definition
Pros- very accurate
Cons- time consuming, high cost |
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Term
| Pros and cons of executive opinion |
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Definition
Pros- quick, easy, and simple
Cons- subjective, lacks analytical rigor |
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Term
| Pros and cons of survey of buyers' intentions |
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Definition
Pros- done by those who will buy the product, so accuracy should be good
Cons- time consuming, high cost, customer may not cooperate |
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Term
| Pros and cons of trend projections |
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Definition
Pros- objective and inexpensive, uses historical data
Cons- no consideration for major product or market changes, require some statistical analysis |
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Term
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Definition
| (L)*Sales + (1-L)*Forecasted Sales |
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Term
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Definition
| a + (B x independent variable) |
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Term
| Guided principles for forecasting |
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Definition
-Fit the method to the product/market
-Use more than one method
-Minimize the number of market factors
-Recognize the situation limits
-Use the minimum/maximum technique
-Understand math and statistics |
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