1. Sales planning and budgeting

2. Why Plan? Provides direction Improves morale Cooperation and coordination Flexibility Individual and collective standards

3. Planning at different levels Strategic planning: CEO, Board of Directors- mission, vision, goals, overall budgeting Tactical planning: GM Sales: departmental, yearly quarterly plans, policies, procedures budgets. Monthly and weekly planning: Regional sales Managers: branch plans and budgets Daily planning: Sales supervisors and sales representatives- unit plans and budgets

4. Sales management information system (SMIS) SMIS collects information from within the company as well as from customers, suppliers and other outside sources for the purpose of supporting the decision making of sales managers at both headquarters and field levels. Task undertaken in SMIS Collection and transmission of the data Accumulation of the data Categorization of data Analysis Circulation of data analysis Scenario development

5. Sales Management planning process Analyze the situation Set goals Determine market potential Forecast sales Select strategies Develop detailed activities Allocate necessary resources( budgeting) Implement the plan Control the plan

6. Analyze the situation Market characteristics Competition Sales, cost and profit data for current and recent years Bundle of benefits offered by potential customers Promotional mix Distribution systems

7. Setting goals and objectives Goals : broad Objectives: specific

8. Determine market potential Market potential Sales potential Accordingly sales quotas and sales force are decided

9. Types of Sales Forecast Product level( total sales, industry sales, company sales, product line sales, product variant form sales, product item sales) Time period (long term, medium term, short range) Geographic area (world, nation, region, territory, customer)

10. Forecasting approaches Top down/ breakdown :done at SBU level. Forecast external environmental factors Forecast industry Sales( Market potential) Company sales potential= industry sales forecast X company’s share of total industry sales in percentage Company’s sales forecast Sales forecast for regions/branches etc

11. Market build up method Multiple factor index method Bottom up / build up approach

12. Selecting strategies growth strategies Current products New products Current markets Market penetration Product development New marketsMarket development diversisificati on

13. BCG growth share matrix HighLow highStarsProblem children LowCash cowsdogs Growth rate Relative market share

14. Budgeting Annual sales budget 1.Review and analyze the situation Salaries Direct selling expenses Commissions and bonuses Benefit package Office expenses Promotional materials advertising

15. 2. communicate sales goals and objectives 3.Identify specific market opportunities and problems 4.Develop a preliminary allocation of resources and selling efforts 5.Prepare a budget presentation to sell 6.Implement the budget and provide periodic feedback