MANAGING YOUR TIME AND TERRITORY chapter 15 MANAGING YOUR TIME AND TERRITORY SOME QUESTIONS ANSWERED IN THIS CHAPTER ARE: Why is time so valuable for salespeople? What can you do to “create” more selling time? What should you consider when devising a territory strategy? How does territory strategy relate to account strategy and building partnerships? How should you analyze your daily activities and sales calls? How can you evaluate your own performance so that you can improve? Page 392 15-2 McGraw-Hill/Irwin

“Relevance means knowing your customer’s business, aligning its business drivers to your products and services, and articulating this to each and every person.” ~Lydia Pearce Page 393 15-3 McGraw-Hill/Irwin

The Value of Time 8 hours x 240 days = 1920 hours per year $40,000  1920 = $20.84 per hour $50,000  1920 = $26.05 per hour Salespeople must make every hour count to be successful Allocating resources well often spells the difference between stellar and average performance Page 394 15-4 McGraw-Hill/Irwin

The Self-Management Process Stage One Set goals and determine what is to be accomplished Stage Two Allocate resources and determine strategies to meet your goals Stage Three Implement time management strategies Stage Four Evaluate performance and determine whether the goals will be reached Page 394 15-5 McGraw-Hill/Irwin

The Self-Management Process Page 395 15-6 McGraw-Hill/Irwin

Setting Goals The need for goals The nature of goals Types of sales goals Performance goals Activity goals Conversion goals Pages 395-399 15-7 McGraw-Hill/Irwin

The Relationship of Goals Pages 396 15-8 McGraw-Hill/Irwin

Goal Calculations Monthly earnings goal (performance goal): $6000 Commission per sale: $750 $6000 earnings  $750 per sale = 8 sales Monthly sales goal (performance goal): 8 Closings goal (conversion goal): 10 % 8 sales x 10 prospects per sale = 80 prospects Monthly prospect goal (performance goal): 80 Prospects per calls goal (conversion goal): 1 in 3 80 prospects x 3 calls per prospect = 240 calls Monthly sales calls goal (activity goal): 240 240 calls  20 working days per month = 12 calls Daily sales calls goal (activity goal): 12 Page 397 15-9 McGraw-Hill/Irwin

Performance and conversion goals are the basis for activity goals Setting Sales Goals Performance and conversion goals are the basis for activity goals Activity goals must be the last goals set because they are determined by the desired level of performance at a certain rate of conversion Conversion rates are affected by the salesperson’s strategy Page 399 15-10 McGraw-Hill/Irwin

Allocating Resources Resources to be allocated Where to allocate resources Account classification and resource allocation Pages 399-400 15-11 McGraw-Hill/Irwin

Allocating Resources (continued) ABC analysis Ranks accounts by sales potential Grid analysis Classifies accounts on the basis of the company’s competitive position and sales potential Account opportunity Strength of position The grid and current customers Customer share vs. market share Pages 400-404 15-12 McGraw-Hill/Irwin

Allocating Resources (continued) Customer relationship management (CRM) software One database of customers More complete grid analysis Pipeline analysis Investing in accounts Allocating the appropriate amount of time and resources to accounts Pages 404-405 15-13 McGraw-Hill/Irwin

Implementing the Time Management Strategy Start early Manage responsiveness Schedule in advance Use down time wisely Pages 405-406 15-14 McGraw-Hill/Irwin

Implementing the Time Management Strategy (continued) Daily activity planning Guidelines Planning process Using the computer for planning Need for flexibility Pages 406-408 15-15 McGraw-Hill/Irwin

Activities Planning Process Page 407 15-16 McGraw-Hill/Irwin

Making More Calls Routing Types of routing plans Routine call patterns Variable call patterns Types of routing plans Circular routing Leapfrog routing Straight-line routing Cloverleaf routing Pages 408-409 15-17 McGraw-Hill/Irwin

The Circular Approach to Routing Page 410 15-18 McGraw-Hill/Irwin

The Leapfrog Approach to Routing Page 410 15-19 McGraw-Hill/Irwin

The Straight-line Approach to Routing Page 410 15-20 McGraw-Hill/Irwin

The Cloverleaf Approach to Routing Page 410 15-21 McGraw-Hill/Irwin

Making More Calls (continued) Zoning Using e-mail and telephone Pages 409-411 15-22 McGraw-Hill/Irwin

Handling Paperwork and Reports Every salesperson should learn to handle paperwork efficiently To minimize paperwork: Think positively about paperwork Do not let paperwork accumulate Set aside a block of nonselling time Using the computer to handle paperwork and communications Pages 411-413 15-23 McGraw-Hill/Irwin

Evaluating Performance Postcall analysis Write down what occurred and what needs to be done Activity analysis Set activity goals, then analyze Performance analysis Evaluate performance relative to performance goals set earlier Productivity analysis Identify which strategies work Pages 413-415 15-24 McGraw-Hill/Irwin

Summary A sales territory can be viewed as a small business. Managing a territory involves setting performance, activity, and conversion goals. To manage customers well, salespeople must analyze their potential. More calls can be accomplished by moving nonselling activities to nonselling time. Effective planning of the salesperson’s day requires setting aside time for important activities. Salespeople must manage their skills. Pages 415-416 15-25 McGraw-Hill/Irwin