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Marketing Communications
Personified Promotion
SALES TERRITORY
SALES TERRITORY DEFINED: as a number of present and potential customers, located within a
geographical area and assigned to a sales person, branch or middleman that is wholesaler or retailer.
REASONS FOR TERRITORY DESIGN
- To enable management achieve effective plans and control of marketing efforts at the lowest
organisational level. - Sales territories will ensure organised coverage of the defined market.
- Territorial assignments to salesperson has a reduction effect on selling expenses which
accrues to maintaining a salesman in a territory. - The use of sales territories makes it possible to meet competition more effectively.
- Territorial systems facilitate the allocation of revenue and expenses by market area.
- Good territorial designs help in maintaining sales force morale.
SALES FORCE MANAGEMENT MOTIVATION MIX
Motivation mix consists of a combination of factors used in sales management to motivate salespeople.
These factors are:
- THE BASIC COMPENSATION PLAN: this includes salary, commission and fringe benefits.
- SPECIAL FINANCIAL INCENTIVES: consist of contests, bonuses and company
sponsored trips. - NON-FINANCIAL REWARDS: include achievement awards, challenging work assignments,
psychological rewards such as praise and recognition. - LEADERSHIP TECHNIQUE: consists of elements such as style, personal contact methods
or feedback which include national, regional, district meetings, individual meetings, letters,
telephone calls and joint sales calls. - MANAGEMENT CONTROL PROCEDURES: encompasses performance evaluation, quotas
and reports.