1. Evaluating the Effectiveness of the Organization
Sales Management 13
Evaluating the Effectiveness of the Organization

2. Marketing Audit Horizontal Audit Vertical Audit Marketing Mix Audit
Look at all elements of the marketing mix
Vertical Audit
Look at single element, e.g. Promotion
Sales management mix

3. Horizontal Audit Vertical Audit Product Price Place Promotion Sales
Advertising
Promotion PR

4. Benchmarking
Benchmarking is an ongoing _________and _________process that compares an organization’s current operating _________with the “best _________” used by world-class organizations.

5. Elements of Sales Analysis
Gathering classifying, comparing, and studying company sales data
Highlights products, customers, orders, or territories where there is a concentration of sales.

6. Key Decisions in Sales Analysis I
Type of evaluation system
Simple (first time) vs. comparative
Basis for Comparison
Quota
Last year’s sales
Sales forecast
Other territories, salespeople
Type of Reporting System
All comparisons
Only significant deviations (both + and -)

7. Key Decisions in Sales Analysis II
Sources of Information
Sales _________
One of the most _________source documents
Customer name, location
Product, volume/$
Salesperson
Salesperson call report
Salesperson expense accounts
Warranty cards
Store audit/scanner data
Diary panel

8. Key Decisions in Sales Analysis III
Sales Breakdowns
Geographic regions or sales territories
Product, package size, grade, etc.
Customer or customer size
Class of customer (discounter) or distribution channel
Sales method
Size of order
Terms of sale
Financial arrangements

9. Hierarchical Sales Analysis
Look at multiple levels
Understand situation
Top to Bottom

10. Hierarchical Sales Analysis
Region 1
Company
Region 2
Region 3
Region 4
District 1
Territory 1
Territory 2
Territory 3
Territory 4
Territory 5
Territory 6
District 5
District 4
District 3
District 2
Sales
$50,000,000
$55,000,000
$45,000,000
$60,000,000
$8,000,000
$9,000,000
$8,500,000
$5,000,000
$9,500,000
$800,000
$900,000
$850,000
$950,000
$300,000
Additional
Analysis