Sales Territory Design

 Sales Terrain Design Study Paper

Territory

Area Design

chap #9

Wh Use Te

Why Use Areas

Territory is defined as customers located

in geographic area which might be assigned to the

individual sales rep.

Specialties contain products, clients, or

functions

functions.

Moti

Motivation & Cost Keeping

Cost Sa

Use to benefits people

Sales agents responsible for whole area

Analysis & Control Units

Cont Units

Functionality of specific sales people can

be more very easily controlled and evaluated

with sale areas.

Wh

How come Territories Pointless

Territories aren't essential once sales

people contact buyers directly.

Place

Territory Design and style Procedures

Precisely what are triggering situations?

What are activating events?

The

The Buildup Method -- Six measures

1 . Select control units

Select control units

Census

Census tracts -- great for dividing cities

Counties practical and data readily

Areas - hassle-free and info readily

offered

available

installment payments on your Determine Portion Criteria

Area

Territory stability -- influence on morale

Consumer

Customer balance - distribute commission

Potential

Potential equilibrium - share business development

Size

Size balance -- reduce travel costs

Events triggering revenue

territory changes

1

Choose geographic

control units

Mergers

Division loan consolidation

Division divide

Sales force proceeds

Plant relocations

Product line improvements

2

Decide on

allocation conditions

3

Select

starting factors

4

Combine control models

adjacent to starting points

to starting details

5

Review territories about

allocation requirements

6

Assign salespeople to

salespeople to

new territories

Territory Style Process

Change territory

limitations to

stability workload

and potential

Geographic Control Units Used in Territory Design

Geographic Control Units Used in Area Design

Countries

States or perhaps provinces

Counties

Metropolitan areas

Towns

Zip codes

Census tracts

tracts

Customers

Area

Territory Design and style Procedures

3. Choose starting points

Select starting factors

Salesperson's

Salesperson's home

Significant customer

Huge customer -- cut travel cost

vehicles cost

Big

Big city - easy for companies

4. Combine Adjacent Control Units

Incorporate Adjacent Control Units

five. Compare Product sales Territories

Mountains roads population center

Mountains, roads, population center

places?

locations?

6th. Assign visitors to Sales Territories

6. Assign people to Product sales Territories

Evaluating

Comparing 3 Kentucky Revenue Territories

Potential as Scored by

Area

1

a couple of

3

Populace

1, 124, 897

you, 129, 290

1, 131, 137

Range of Counties

47

27

43

Territory Design Procedures

Area Design Techniques

Workload Approach

No

Zero starting details

Equates work to be carried out

May

May result in imbalance upon size

Typically raises travel costs

Often raises travel around costs

Good

Good once reps take salary

Essential: optimal contact frequency to get particular

Key: optimal contact frequency to get particular

classes

classes of customers

Workload Approach

1 .

Classify all consumers into product sales volume groups

2 .

Determine the frequency with which each kind of

bank account should be called upon and the ideal length of

each sell

several.

Calculate workload involved in covering up entire market

4.

Determine time obtainable per salesman

5.

Apportion the salesperson's time simply by task performed

6.

Determine the number of salesmen

Figure 11-4: Dividing a huge Territory

Very by sales mananger is definitely how to split a

territory.

Computer

Laptop Based Terrain Designs

Computers save time

Computers save time

Require

Need area & range of customers &

starting details

startin

Program

Program choices

minimize

decrease moment of inertia

Chart data draw boundaries -Graph data & draw limitations -- not really optimal maximum

design

design optimal areas -- expensive

Applications -- pharmaceutical repetitions...

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