1. Trade Management  Module 6 Sales Plan  Learning Objectives:  Sales Plan Elements  Motivation  Compensation  Evaluation

2. Trade Management Sales Plan Importance Gives Direction to organization Sets goals/targets that can be measured Helps determine resources needed Many organizations do not bother ? Needs short, medium and long term(strategic) approach

3. Trade Management Sales Plan Hitting the target Planning basics Set objectives using forecasting Pareto principle 80/20 rule 80% of sales come from 20% of customers Key ratios (see table)

4. Trade Management Sales Plan Key Ratios: Annual Target$ 400,000 Average sales value$ 5,000 # sales required80/annum # working weeks40 Sales/week2 Key ratio: Appointment /sales4: 1 # appointments/week8 Key ratio: Tel calls/ meeting5:1 # of potential customers contacted/week 40

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6. Sales Plan Cycle: 1.Set objectives 2.Identify resources 3.Produce plan (needs to be flexible) 4.Implement plan 5.Review results and amend plan

7. Trade Management Sales Plan Objectives need to be SMART: 1.Specific 2.Measurable 3.Agreed(approve) 4.Realistic 5.Time bound

8. Trade Management Sales Plan Contents: 1.Sales Objectives (short,medium and long) 2.Resources (key players, sales budgets, equipment etc) 3.Market Analysis (competitors, existing Accounts) 4.Product Range (volumes) 5.Activity Analysis (targeted activity by salesman and product, key ratios and average lead times) 6.Training Plan 7.Resources Requirements 8.Analysis of sales strategy

9. Trade Management Annual Strategic Sale Plan Main Sections: Market Overview Sales Goals ( forecasting required) Customer Segments Customer Contact Continuum Support Resources and Systems Next fiscal year sales and improvement initiatives Long term perspective: Strategy and Investments

10. Trade Management Annual Strategic Sale Plan Benefits Goal setting Collaborative Input Field personnel HQ staff Key account holders Communication

11.  Sales Plan

12. Agenda  Executive Summary  Sales Objectives - Overall  Existing Sales Performance  Customer Segmentation & Action Plans  Opportunities & Territories  Salesforce Organization  Key Success Factors  Next Steps Sales Plan

13.  Executive Summary Sales Plan

14. Executive Summary  Your Sales Objectives  Your Action Plans  Rep Territory Plans  Rep Key Account Plans  Results Measurement and Reporting

15. Introduction: Sales Team Objective - Text Sales Plan

16. Sales Team Objective - Numbers CategoryQ1Q2Q3Q4Total Total Sales$$$$$ Sales of ______(pro duct) Unit Sales of __(product) Sales of ______(pro duct) Unit Sales of __(product) Sales of ______(pro duct) Unit Sales of __(product) Sales of ______(pro duct) Unit Sales of __(product)

17. Sales Team Objective - Numbers Market Share%%% %%% %%% %%%

18. Sales Team Objective - Other  a specific sales penetration plan for a specific market segment.  a specific sales plan to expand the customer base  the introduction of a new sales channel into the market.  the introduction of a new business partner into the sales channels.  the adoption of a new sales strategy.

19.  Existing Sales Performance Sales Plan

20. Prior 3 Years

21. Trade Management Sales Plan Motivation:

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24. Sales Plan Effective Quotas: Providing feedback Gaining goal commitment Building self-confidence

25. Trade Management Sales Plan Management Productivity Metrics (1) Leading Measures Sales forecasts Sales funnel performance # sales calls made lead conversion rates # new leads RFP’s Demo’s conducted Close rate Elapsed sales time to close

26. Trade Management Sales Plan Management Productivity Metrics (2) Leading Measures Market Development Activities Educational events Entertainment events Training channel partners Product placement Sales Time Allocation Overview of how personnel are spending time Ultimate use of FTE’s

27. Trade Management Sales Plan Management Productivity Metrics (3) Leading Measures Talent Inventory Tenure Previous experience Education Certificates Training programs- selling competences Turnover rate Employee engagement / commitment (surveys)

28. Trade Management Sales Plan Management Productivity Metrics (4) Lagging Measures Sales results Cost and Sales ROI CPR (Conversion, penetration & retention) Customer Service Measures Customer satisfaction rating Customer loyalty Customer advocacy Forecasting accuracy

29. Trade Management Sales Plan Compensation Options: Straight Salary Straight Commission Salary plus bonus Salary plus commission Combinations of the above sales support tools: cars computers mobile communication recognition rewards annual trip s

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31. Sales Plan Evaluation: Behavior-Based Evaluation Call reports Outcome-Based Evaluation Sales to quota Contribution-based evaluation Buying customers

32. Trade Management Successful Evaluation: System is used at all levels of the company Good evaluation system reflects company’s culture Peer influence is powerful in helping manage performance Team selling encourage each other Evaluation systems must leverage a person’s motivators positive feedback, specific goals Empowerment & direction Permits the manager to tailor the evaluation process Evaluation system must evolve