Sales Management in Hospitality Industry

This document discusses the key principles of sales management in the context of sales planning, selling methods, and sales reporting in the hospitality industry. It also explores the benefits of sales structure, the significance of sales-orientated staff, and various sales distribution channels used in the industry.

Sales Management

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Key Principles of Sales Management in context of sales planning, selling methods & Sales
reporting .....................................................................................................................................3
TASK 2............................................................................................................................................4
P2 Benefits of Sales Structure in context of Hospitality Industry .............................................4
P3 Significance of Sales-orientated Staff ...................................................................................5
P4 Various Sales Distribution Channels ....................................................................................6
TASK 3............................................................................................................................................8
P5 Key Principles & Techniques for successful selling in context of hospitality sector ...........8
TASK 4............................................................................................................................................9
P6 Importance of developing Sales strategies to improve sales profitability ............................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Hospitality Industry consider as the most essential industry and it is also engaged with the
tourism industry. This industry also help to increase the country economy because it also attract
the customers and gain more profit advantages. Hospitality industry provide many services and
facilities like foods, catering, transportation and loading etc. the role of this industry is very
essential because it work for the people and also do some innovation to for customers because
customer satisfaction is the main priority for the industry. Every industry want to increase the
sales so that they can lead the whole marketplace that's why many organisation use appropriate
activities and techniques for the sales management of the organisation. This report will cover the
sales management activities, principles of Savoy hotel, which is consider as the most famous
luxury hotel that located in London and established in the year 1889. This report mainly deal
with the sales management of the organisation and discuss its principles and also evaluate the
specific benefits of sales structure . This report also analyse the significance of sales staff and
determine the principles related to the successful selling.
TASK 1
P1 Key Principles of Sales Management in context of sales planning, selling methods & Sales
reporting
Sales management consider as the process of sales that mainly deal with all the sales
operations and sales department coordinate and implement all the sales techniques which are
helpful to improve sales target and enhance the overall performance of the organisation. Savoy
hotel is a big luxuries hotel that also use sales management principles to manage all the
methods , records and selling activities (Byun, 2018). Assistant sales manager of that hotel used
some specific key principles of sales management which are discussed below- Consistency - This is consider as the prominent principle of sales management that
specially adopted by the sales manager of the organisation. This is necessary to follow
this principle because it will help to evolve the sales of the organisation. Assistant sales
manager of the Savoy hotel also use this principle and follow the useful rules and
guidelines. Through this principle, hotel can flexibly conduct their sales work and
perform all the sales activities in an effective manner.

 Delegation – This principle is also helpful to boost the sale of the organisation and useful
to gain more profit advantages. Delegation is mandatory for the organisation because it
helps in shifting the authority , duties and responsibilities to one person to another person.
Assistant sales manager of the Savoy also use this principle to assign all the duties and
responsibilities to the right people who are more capable to do the sales tasks so that sales
manager can easily manage all the sales process step by step (Grigorova, 2019). Conviction - This principle is important because it helps to manage the critical situation
which are mainly occur during the sale time. Sales manager of the organisation use this
principle when he or she experienced some critical choices and tough conversations. It
will help in many situations like provide criticism, unwelcome sales news etc. Savoy
hotel used this principle to handle all the critical situations and maintain the sales records
with the help of sales methods ( Hazra, Fletcher and Wilkes, 2017).
 Equality - This is essential principle and also useful to maintain good relationship with
the sales staff members. To treat every employees equally is the one of the most
important principle that help to reduce the conflicts and disputes in the organisation.
Savoy sales manager also consider this principle and maintain sales records of all the
sales staff members through sales methods so that sales manager can solve all the issues
of employees without discrimination.
Relation of sales management principles with the sales planning, methods of selling & sale
reporting -
There are various principles of sales management which are mainly related to the sales
planning, method of selling and sales reporting. The description of all these principles
and its importance in respect of sales planning, methods of selling and also sales reporting of the
Savoy hotel are discussed below- Effectiveness of Sales Force – It is essential for the organisation to appoint the high
skilled employees so that they can easily get more productive environment and gain more
profit advantage. Labour force is considered as the prominent factor in which all type of
sales target totally depend. Qualified and capable employees help to identify the
customers need so it is easily for the organisation to set the sales target with the help of
specific sales planning and methods of selling. It is also mandatory for all the sales

department employees to report their manager so sales reporting also considered the most
appropriate part which is directly related to the key principles of sales management. Development an specific reporting system – It is important to develop an specific
reporting system and most of the organisation contain this in their key principle of sales
management. Savoy hotel also maintain reporting system so that they can easily identify
those employees who are part of the sales team. Sales manager of the hotel analyse the
performance of their staff members so that they can provide them advanced training to
improve their sales task. With the help of methods of selling, manager can update their
employees from the latest tools and techniques and prepare a full prove plan to boost the
sales of the organisation. All the employees need to report their sales manager which can
help to maintain the sales record properly.
 Analyse the current and future situation through specific sales planning- As per to
conduct the sales management programs and activities in an effective manner
organisation need to do sales planning on the basis of current trends. Savoy hotel analyse
the whole market scenario internally and externally and then prepare a sales plan to
improve the selling of the hotel. It is essential for the sales manager to maintain the
specific link between the sales planning, sales record , sales management and sales
forecast system. All these factors are helpful to conduct the sales planning of the hotel.
TASK 2
P2 Benefits of Sales Structure in context of Hospitality Industry
Sales structure is consider as design and blueprint which are helpful in sales process and
activities of the organisation. Sales structure play a crucial role to maintain the sales performance
of the every industry and sectors. Hospitality industry consider many types of sales structure that
will help to gain the high market growth. Savoy hotel also contain specific sales structure that
full fill all the requirement of the hotel in context to get more profit (Huang Yin, Goh and Law,
2019). There are various benefits of sales structure that determined by the assistant sales
manager of the hotel which are given below- Geographic Structure - This structure also consider as the “ Territorial Sales Force
Structure” that specifically assign every sales on the basis of geographic areas. The main
benefit of this structure is that it is very low cost and it leads low geographic duplication.

Savoy hotel can easily target and analyse the requirement and preferences of their
customers belong to that particular geographic locations. With the help of this structure,
sales manager can use relevant methods to identify the need to the customers ( Leppänen,
2019). Product sales force structure- This sales structure follow the sales force area of the duty
and responsibility and define all the products groups and avoid the geographical areas
and aid to develop the products expertise in a relevant manner. The main benefit of this
sales structure is that sales rep evolve the products expertise and management of the
Savoy hotel can easily guide selling efforts. Market based structure – This sales structure also known as “ Customer Sales Force
Structure” it determined that sales reps are mainly grouped by the customers or
hospitality industry. The main reason to consider this structure by the Savoy hotel sales
manager is that it is beneficial to understand the need of customers and help in establish
healthy relation with them (Masiero and Law, 2016).
 Functional Structure - This structure determine that all the duties and responsibilities are
divided to the sales staff on the basis of their position in the sales process of the
organisation. Sales manager of the Savoy hotel can manage all the sales process
according to the functional structure. The main benefit of this structure is that it is helpful
in selling activities and determine and accomplish all the selling tasks more efficiently.
There are many more benefits of sales structure like it help to make clear all the
responsibility of the sales staff members. Sales structure also beneficial to create the strong
coordination & communication among the employees of the Savoy hotel. Sales structure also
beneficial to increase the transparency in decision making and help to reduce the conflicts among
employees and maintain strong relation (Nyame-Asiamah and Ghulam, 2019).
P3 Significance of Sales-orientated Staff
Sales orientated staff is playing a prominent part in the development of the sales in the
organisation. The importance of sales staff is more because it can help to maintain all the sales
activities in a systematic manner so that all the sales activities and operations perform in a right
manner. In context of hospitality industry, sales orientated staff are essential because this
industry mainly provide essential services and facilities to the customers and clients so that it is

important to focus on the sales staff. The importance of sales-orientated staff in context of Savoy
hotel are explained below- Make clear understanding about products & services - This is also consider as the main
benefit to have the sales-orientated staff in as organisation. Sales-orientated staff is
essential because it help to make to generate clear understanding about the products and
services related to the organisation. Savoy hotel also focus on their sales staff because it
can help to develop the sale of the hotel (Ostanik, 100insights Inc, 2016). Sales-orientated
staff also promote hotel in a positive way on social media platforms so that they can
attract the large number of customers and clients. Sales-orientated staff advertise all the
products and services of the hotel in a right manner to target the customers. Address the Requirements of the Customers - Sales-orientated staff also helpful to
consider all the requirement and taste of their customers so that they can listed all the
needs and do some modifications according to the customers. Sales-orientated staff of the
Savoy hotel can determine all the useful guidelines to their staff members so that they can
easily address all the essential requirements of the customers. Establish strong relationship with the Customers – Sales-orientated staff is also
prominent because it can also help to create the positive relationship with the clients and
customers. Savoy hotel assistant sales manager provide training to their sales staff
members regarding how to establish positive relation with the customers so that they will
become their potential customers (Skiba, Saini and Friend, 2019).
 Maintain Consistency & Reliability – With the help of sales-orientated staff members .
Organisation can easily maintain the consistency and reliability in whole sales process.
Savoy hotel also know very well the importance of sales staff so that hotel can
continuously improve the skills and knowledge of all the employees according to the
latest trends. Sales-orientated staff help to obtain the hotel day to day task in an effective
way.
P4 Various Sales Distribution Channels
Distribution channels is like a chain that maintain all the operations of the business and
distribute all the goods and services in a systematic way so that wholesalers, retailer and other
distributes can get the products of a specific organisation in particular time durations. Savoy

hotel also follow various sales distribution channels and the description of these distribution
channels are as follows - Hotel Website - Website consider as the most appropriate distribution channel of the
sales. This sales distribution channel help to increase the sales of the organisation so that
the growth rate will become high. This is also consider as the cost effective tools that
help to improve the marketing of the organisation. Savoy hotel also promoting their
business online and most of the customers and clients use hotel website to book the
rooms and venue for the party and other celebration. SEO also consider as the main tool
that help to develop the marketing of the hotel and also consider the website visit rate
(Tervo-Kankare, Kaján and Saarinen, 2018). Online Travel Agents - This is also contain as the another sales distribution channel that
help to generate more revenue for the organisation. For instance- Booking.com,
Orbitz.com and Expedia are consider as the online travel agents that help to booking and
of the hotel and also provide various discounts and benefits. Savoy hotel also take help of
online travel agents so that they can make easily booking and also do marketing of the
hotel to invite more customers. Globally Distribution System- This is also know as “GDS System” that specially help
the customers. This sales distribution channel mainly used by travel agents so that they
can book the hotel rooms for their customers and clients. This distribution channel helps
in faster booking so that national and international clients and customers can easily book
room on their choice hotel. Savoy hotel is consider this sales distribution channel to
enhance the hotel brand and increase the number of customers (Wirtz and Lovelock,
2016).
 Tours and Tourism Operators - This is also another sales distribution channel that help
to improve the sales and gain more revenue. This sales distribution channel contain
variety of tour package so that all the guests and customers can take it according to their
convenience level. Savoy hotel also adopt this sales distribution channel because it help
to increase the sales of the hotel.

TASK 3
P5 Key Principles & Techniques for successful selling in context of hospitality sector
Every organisation want to improve their position at the marketplace and also achieve the
high market growth. To improve the market position, it is essential to focus on the sales process
of the organisation. More selling determine the high market growth rate so that organisation can
obtain most possible positive outcomes so it is important to increase the sales of the organisation.
Savoy hotel use specific principles and techniques to improve the selling process of the hotel so
that it will give the successful results. The description of key principles for successful selling are
in context of Savoy hotel are given below- Understand the market – This is consider as the most essential principle for the
successful selling of the organisation. Sales manager need to understand the market and
then start to prepare the marketing strategy which will help to improve the selling of the
organisation. Assistant manager of the savoy hotel is very well aware about the market
and also conduct appropriate market research so they hotel sales manager can easily
understand the whole scenario of the market and then target the customers according to
their needs (Xie, Kwok and Wang, 2017). Price & Value of the products & services go hand in hand – This principle also help to
understand the importance of price and value. Sales manager determine that hotel need to
set the price of the products and services on the basis of their quality and value so that it
will help to attract the massive number of customers. Savoy hotel also set the rooms and
other venue price on the basis of their value. Hotel set continent price so that people will
know the value of money.
 Always listen to their Customer – This is another key principle that help to improve the
selling of the organisation. Sales manager of the organisation can use this techniques to
improve the sales of the hotel. Savoy hotel sales manager use this principle and always
focus on customers because they are consider that customer satisfaction is the key of
success so they are always take care of their customers which can help to enhance the
profitability of the hotel.

TASK 4
P6 Importance of developing Sales strategies to improve sales profitability
Every business need to adopt specific strategies that can help to gain more revenue and
obtain the more sales profitability in the organisation. The importance of sales strategies are
increasing rapidly which will help to develop the position of the organisation. Savoy hotel is use
many sales strategies so that they can improve their sales profitability. The description of
importance of developing appropriate sales strategies are given below-
 Improve the level of sales - Sales strategy is crucial because it can help to improve the
sales level of the organisation. With the help of appropriate sales strategy, sales manager
can maintain the sales process and also growth rate. Savoy hotel also use many sales
strategy to improve the sales so that hotel can maintain their position in the market. Determine the market scope – Sales manager of the organisation also know the
importance of sales strategy that's why sales manager mainly focus on the sales strategy
which will lead the possible outcome and help to determine the market scope of the
organisation. Savoy hotel use sales strategy on the basis of scope of market so that they
can easily obtain the hotel goals. Enhance the level of profitability - To develop a specific sales strategy is prominent fro
the growth because it can help to enhance the profitability level of the organisation.
Savoy hotel also consider sales strategy which is prepared by the assistant sales manager
of the hotel. With the help of effective sales strategy, hotel can easily maintain the high
market growth and also improve the customers satisfaction level by provide them quality
services (Zhang, et.al., 2016). Promotional Activities – The importance of sales strategy is more because it helps in
promotional activities of the organisation. Through promotional activities, sales manager
can promote and advertise the products and services of the organisation so that all the
customers can get the information through social media and other offline promotional
channels. Savoy hotel also use sales strategies to promote hotel in various areas and
locations which will help to improve the profitability of the hotel. Sales Planning – This is main part of the sales management process is sales planning and
it can help to boost the sales marketing of the organisation. Savoy hotel formulate the

specific sales planning and trained their sales team on the basis of strategic planning. It is
essential for the sales manager to identify the requirement of the customers which can
help to develop the productivity and profitability of the hotel.
 Methods of selling – This is consider as the another strategy of the sales management
that can help to boost the sales of the organisation. There are various methods of selling
like consultative, non manipulative, creative and traditional methods which are
implemented in the sales planning that can help to improve the performance of the hotel.
 Sales Reporting – In this strategy, organisation can effectively track the sales
performance of their employees. This strategy follow a specific sales process methods
that can help to analyse the sales task that performed by the employees. The sales
manager of the Savoy hotel prepare a sales report and focus on the each and every sales
activities of their employees which can help to gain more profitability.
Importance of sales developing strategy that mainly provide the higher profitability
 To full fill the customers requirements - This is also contain as the most essential sales
strategy that can help to provide the high profitability to every organisation. It is
important to analyse the requirements of the customers and address some notification in
the sales planning which is useful to gain customers satisfaction so that Savoy hotel can
easily improve their profitability.
 Maintain effective brand image in the competitive market – With the help of this
strategy, organisation can effectively improve their brand image at the marketplace.
Savoy hotel can adopt various sales strategy that can help to maintain the hotel market
position effectively and also increase the profitability.
Incorporating account management within sales structures
There are various sales structure are determined by the Savoy hotel which are discussed
below-
 Product sales structure – This structure can determined the effectiveness of the sales and
analysed the sales activities in an appropriate manner. Savoy hotel need to develop the
various sales design which can help to boost the sales structure of the organisation.
 Geographical sales structure – Through this structure, organisation can easily maintain
the account management and analyse the sales task effectively. It is essential to determine
the geographical location which is useful to leading the sales of the organisation.

CONCLUSION
According to this report it can be said that hospitality industry deal with many types of
sectors and departments and also provide various services. The main motive of hospitality
industry is to satisfy all the requirements of the customers. Hospitality industry provide
numerous services to their customers like food, accommodations, travel, transportation etc. this
report discussed about various principles of the sales management and also identified the
importance and benefits of sales structure. This report also determined about the significance of
sales-orientated staff and identified their contribution in the growth of the organisation.
Moreover, this report determined that develop the sales strategies is more essential to get the
positive results.
REFERENCES
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