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Internet and IT applications in selling and sales management

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Internet and IT applications in selling and sales management

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Internet and IT applications in selling and sales management

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1.Understand how a range of information technology (IT) developments has altered the selling and sales management functions

2.Appreciate that future developments in IT will continue to shape these sales functions in the coming decade

3.Appreciate how large organisations manage procurement using a variety of electronic means

4.Understand how small- to medium-sized enterprises (SMEs) can use internet technology to market and sell their products

5.Know how information technology can enable customer relationship management (CRM)

6.Understand how sales force automation (SFA) software is used to support the sales function in many organisations today

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Electronic commerce and electronic procurement 

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Electronic commerce and electronic procurement 

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Integration of the computer system and processes of traders is achieved to create a strong, formalised relationship

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Goods and services to be bought and sold over the internet

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=>Refers to interactive engagement with the user on the internet.

For example, Dell’s website provides online technical support services including email links to online technical support representatives.

Accordingly, the consumer and company representative engage in communication in a chat room environment.

This enables one-to-one dialogue, instant communication in real time and timely support.

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The provision of information to the customer electronically. It is one-way communication that may involve annual reports, press releases, information on products and services, recruitment opportunities and advertising

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Customer relationship management (CRM) is a term for methodologies, technologies and e-commerce capabilities used by firms to manage customer relationships

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1. Having a customer orientation and organising the CRM system around customers

2. Taking a single view of customers across departments and designing an integrated system so that all customer-facing staff can draw information from a common database

3. Having the ability to manage cultural change issues that arise as a result of system development and implementation

4. Involving users in the CRM design process

5. Designing the system in such a way that it can readily be changed to meet future requirements

6. Having a board-level champion of the CRM project, and commitment within each of the affected departments to the benefits of taking a single view of the customer and the need for common strategies – for example, prioritising resources on profitable customers

7. Creating ‘quick wins’ to provide positive feedback on the project programmes

8. Ensuring face-to-face contact (rather than by paper or email) between marketing and IT staff

9. Piloting the new system before full launch

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The real impact of the internet on selling and sales management

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The real impact of the internet on selling and sales management

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1. Building customer-centric selling arenas

2. Focusing on the right customer

3. Creating quality in communications

4. Understanding buyer behaviour patterns

5. Changing approaches to brand management

6. Pricing

7. Creating interactive opportunities with consumers

8. Building customer relationships

9. Performance measurement

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To support sales activities

To improve sales management

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1. Freeing salespeople from routine office administrative tasks, enabling them to spend more time with customers

2. Providing better customer service because the salesperson has immediate access to information such as stock levels or quotations

3. Capturing information that allows management to measure and monitor sales performance

4. Helping to create and manage sales opportunities so that a greater proportion is converted into sales

5. Getting up-to-date information in almost real time.

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Three generations of salesforce automation (SFA) software

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Three generations of salesforce automation (SFA) software

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Generation 1: Personal information and contact management

Generation 2: The networked salesforce

Generation 3: Technology-enabled selling:

Lead management: the ability for sales to receive leads from marketing and other departments

Opportunity management

Account management

Proposal management

Win/loss reporting

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The use of technology in the retail industry

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The use of technology in the retail industry

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1. Supply chain management

2. Supply chain management

3. Space management systems

4. Direct product profitability

5. Category management

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1. Accounting-based measures such as overall revenues achieved and profit margins, by team and by individual.

2. Sales activity measures such as calls per period, proposals submitted, sales pipeline coverage, sales forecast figures.

3. Customer relationship quality (CRQ) measures, which can identify how likely existing customers are to continue to buy from the same supplier, based on a measurement of the strength of the relationship that exists with that customer.

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Salesforces resist change

Salesforce incentives and compensation plans can work against achieving the best alignment

Realignment is a cumbersome task

Data required for alignment are often not readily available

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Recruitment and selection

Training

Sales forecasting

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Provide opportunities to help the sales process

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Provide opportunities to help the sales process

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Calling on new buyers

Building trust: potential clients can contact a firm’s customers through LinkedIn to check their experience. So long as they are positive, their responses can build trust and enhancethe firm’s credibility

Personal relationships: through social media, such as Facebook, buyers and sellers can develop personal relationships so that they can discover each other’s background and interests.

Event notification: Facebook can be set up to ‘pin’ a salesperson when it is a customer’s birthday.