Sales Management: Principles, Structures, and Techniques

This report analyzes the sales management operations of Marks and Spencer, focusing on key principles, advantages of sales structures, and techniques for successful selling. It explores sales planning, sales reporting, methods of selling, and the significance of 'selling through' others. The report also evaluates techniques and principles for successful selling and how they contribute to creating and managing customer relations within Marks and Spencer.

Sales Management

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
LO 1.................................................................................................................................................3
P1 Key Principles of Sales Management Relating to Sales Planning, Sales Reporting and
Methods of Selling.......................................................................................................................3
LO 2.................................................................................................................................................6
P2 Advantages of Sales Structures and How They are Organised within Marks and Spencer...6
P3 Significance and Benefits of the Concept of ‘Selling Through’ Others.................................7
LO 3.................................................................................................................................................8
P4 Evaluating Key Techniques and Principles for Successful Selling and How They
Contribute Towards Creating and Managing Customer Relations Within Marks and Spencer..8
LO 4...............................................................................................................................................10
P5 Significance of Developing Sales Strategies and Incorporating Account Management
Within Sales Structures..............................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................13

INTRODUCTION
The term sales is used to describe all activities of a business organisation that are related
to the selling of manufactured products, services or goods by the business organisation. Sales
management is the strategic business process through which the business organisation focuses its
efforts on the practical application of managing the business’s sales operations and making use
of all the various sales techniques efficiently in order for the business to be able to conduct its
operations successfully within the operational industries (Cummins, Peltier and Dixon, 2016).
This report analyses the sales management operations of Marks and Spencer, which is an
international retail business organisation that was founded in 1884, 136 years ago and has
successfully operated within the global retail industries since. Marks and Spencer specialises in
selling to the retail customers clothing, food and home products. Marks and Spencer currently
operates from its headquarters in London, England and through its varied and diversified
international operations operates around 1463 different retail establishments across numerous
countries around the world.
MAIN BODY
LO 1
P1 Key Principles of Sales Management Relating to Sales Planning, Sales Reporting and
Methods of Selling
Sales management is a strategic business operation through which the business
organisation such as Marks and Spencer controls and coordinates the various individuals within
the business in addition to its organisational resources with the intention to effectively and
efficiently accomplish the sales objectives and goals of the business organisation. The sales
objective of the business organisation can be related to a wide range of goals such as increased
profit ranges, enhanced sales volumes or continuous growth of sales within the business
organisation. The key principles of sales management are as follows:

Individual Management: Successful sales managers are required to manage the various
salespersons in one on one sessions, giving them individual attention and focus in order for them
to be become effective and successful at their sales operations (Johnston and Marshall, 2016).
This includes the training given to the salespersons, providing constructive criticism, taking
disciplinary actions etc.
Lead by Example: Successful sales managers are also required to lead their subordinates and co-
workers through their own personal example, by following all the organisational rules and
policies, operational procedures of the organisation and accomplishing the sales objectives nd
quota of the individual.
Discipline: Competent sales managers are also needed to instil discipline within the various
salespersons of the business organisation such as Marks and Spencer, for them to be able to
accomplish and achieve their sales quotas in an effective and efficient manner.
Fair: Successful sales managers are also required to be fair to all of their co-worker and
subordinate sales persons, treating them just as they wish to be treated themselves and
implementing organisational rules and policies towards all the employees in a fair and equal
manner.
Goal Oriented: Successful sales managers are required to be goal oriented (Chapman, Schetzsle
and Wahlers, 2016). They are required to effectively plan their sales strategies and assess
whether their chosen sales strategy can help them achieve their sales goals and objectives or not.
The significant elements of sales management are as follows:
Sales Planning: Sales planning is the strategic business operations of designing, strategizing and
setting sales objectives, goals, targets, quotas and forecasting sales within a business organisation
such as Marks and Spencer.
Sales Reporting: Sales reporting relates to the strategic sales operations of sales manager
analysing the key performance indicators of their sales teams and salespersons in order to
analyse the sales performance of their subordinates and any sort of deviations from the
standardised expectations. Through this analysis, the sales manager can make the necessary

adjustments and improve the operational performance and efficiency of their sales team and
salespersons.
Recruitment of Sales Staff: Another major element of effective sales management in a business
organisation relates to the sales manager being able to effectively recruit and select their sales
staff based on their skills, talent and past sales experiences, through which the sales operations of
the business organisation can effectively improve and contribute significantly towards
achievement of the sales targets and objectives of the business organisation.
Various Methods of Selling: Another key element of the effective sales management operations
within a business organisation relates to its sales manager making use of the different methods of
selling on the basis of their needs, requirements and preferences, with these methods of selling
contributing and allowing for the sales team within the organisation to achieve and accomplish
their sales targets, quotas and sales objectives (Reid and et.al., 2017). The different methods of
selling that a sales manager can make use of are as follows:
 One Off Selling: In this method of selling, relationship with the customer is not
important or essential. The salesperson sells to customers once through their store or shop
and does not depend on the past relationship that is created or maintained with the
customer. This method of selling relates to the sales that we see in regular retail stores
and shops.
 Relationship Selling: This is business to business selling technique through which the
salespersons of one business organisation sell their manufactured goods and services to
another business organisation. For example, electronic micro chips manufactured by a
business being sold to smart phone manufacturing business organisations.
 Customer Centric Selling: This method of selling creates a positive environment for their
customers at the point or place of sale and also through the after sale period, with the
intention to add value to the business organisation and create a productive bilateral
relationship with the customer.
Importance of the sales management operations within a business organisation such as Marks
and Spencer:
 It aids the business organisation explore new international markets.

 It reduces the overall costs related to the specific sales, distribution and management
operations within the business.
 It aids the business operations related to launching a new good or service into the
consumer markets in a successful manner (Flaherty and et.al., 2018).
 It improves upon the existing sales of manufactured products for the business
organisation.
 It also contributes effectively towards the growth of GDP of the country in which the
business organisation operates in.
LO 2
P2 Advantages of Sales Structures and How They are Organised within Marks and Spencer
The sales department of Marks and Spencer operates on the flat or horizontal sales
structure, as this sales structure is most useful within business organisations such as Marks and
Spencer who sell different ranges and types of goods and products to the customers within the
consumer markets. The horizontal sales structure helps Marks and Spencer align its sales persons
to the various product ranges and types of goods manufactured by the retail business
organisation. Through the horizontal sales structure, salespersons of Marks and Spencer are more
inclined to become experts on the specific type of product or good that they are responsible for
selling, thus improving their sales performance and efficiency and enhancing their capability to
effectively communicate with the customers about the various details and information about their
specific product and hence improving their entire sales operations. Using the horizontal sales
structure allows for Marks and Spencer to improve upon its decision making operations related
to sales management as this provides increased power to the sales manager and salespersons
within the retail business organisation (Sharma, 2016). On the other hand, making use of
horizontal sales structure within Marks and Spencer also has some disadvantage mainly relating
to the fact that using the horizontal sales structure the sales person of Marks and Spencer may
choose to have increased focus and emphasis on the features and details of the goods that they
are selling to the consumers, which may not always prove to be the best solution possible in
relation to all customers.

There are also other types of sales structures which have been implemented within Marks
and Spencer such as:
Geographical Sales Structure: For creating and operating on a sustainable basis, Marks and
Spencer is required to make the most optimum usage of their organisational natural resources
which are used as the raw materials for their manufacturing process. Marks and Spencer places
increased importance and emphasis on making the most optimum use of their natural
organisational resources and drawing the optimum levels of benefits out of them in order to
make the business operate sustainably.
Marketing Sales Structure: Even though Marks and Spencer themselves possess marketing
specialists, they also work and operate in collaboration with other external research and
marketing agencies in order to effectively forecast the current and future needs, demands, trends
and preferences of the retail customers in order to be able to effectively and successfully operate
within the global retail industry (Razmochaeva, Klionskiy and Chernokulsky, 2018). In order to
compete with the various business organisations that operate within the retail industry of UK,
Marks and Spencer sells its manufactured goods and products through traditional shops and
digital stores as well.
P3 Significance and Benefits of the Concept of ‘Selling Through’ Others
The concept of selling through relates to the a business organisation such as Marks and
Spencer making use of their established distribution network and channels with the intention to
sell their manufactured goods and services to the public in consumer markets of UK. Making use
of the selling through others strategy allows for Marks and Spencer to sell their manufactured
goods and products to their consumers through various external retailers, wholesalers, traders,
distributers etc., who Marks and Spencer has an established relationship with. This is immensely
useful and important for large sized business organisations whose scale of operations and
products are also proportionally expanded, as their customer base is also immensely large and
cannot be satisfied through the sales operations of the business organisation themselves, when
compared to small sized business organisations who possess limited number of customers and
can effectively satisfy the needs and requirements of their limited customers themselves (Hase
and Busch, 2018). The main advantages that large sized business organisations such as Marks
and Spencer gain when making use of the selling through other method are as follows:

Increased Reach: Selling through others allows for large sized business organisations such as
Marks and Spencer to extend the geographical reach of their business organisation and the
customers who can be effectively satisfied trough the goods and products manufactured by the
business organisation. Establishing Marks and Spencer’s own outlets at numerous geographical
locations and hiring, training a dedicated sales team to cover the vast geographical locations is
not the best solution towards increasing the reach of the business organisation and involves
significant effort in addition to increased financial investments. By making use of the selling
through others concept, Marks and Spencer can effectively use existing distribution network of
external retailers, traders, wholesalers, distributors etc., in order to satisfy the needs, demands
and requirements of customers which are out of reach of their geographical location of
operations.
Increased Customer Base: As selling through others allows for a large sized business
organisation to increase its overall reach, this results in the business organisation being able to
effectively increase its existing customer base, as through the selling through others method, they
are able to sell their manufactured goods and products to an increased segment of the consumer
markets, without their geographical limitation restricting the operations of the business
organistiaon, which effectively increases the overall base of customers for the business
organisation, effective also increasing the financial profit margins of the large sized business
organisation (Pyanikova, Kovaleva and Zaikina, 2018).
Reduced Responsibility: Selling through others also reduces the sales responsibility on the large
sized business organisation such as Marks and Spencer. This is because if the large sized
business organisation sells their manufacture products and goods themselves to the consumers
then they are required to train and develop a skilled sales team and also incorporate other
operational additions such as sales incentives, promotional support material etc., which is
completely made redundant should the large sized business organisation choose to sell its
manufactured goods and services through others.

LO 3
P4 Evaluating Key Techniques and Principles for Successful Selling and How They Contribute
Towards Creating and Managing Customer Relations Within Marks and Spencer
It is immensely essential for a business organisation such as Marks and Spencer to
change and update their selling techniques and methods with times, while also adhering to the
core key principles and techniques of selling to the consumers. The key techniques and
principles of successfully selling to the customers within the consumer markets of UK are as
follows:
 A major key principle of selling relates to being able to effectively create and maintain
relationships. For the sales operations of an organising or an individual to be successful,
creation and maintenance of healthy and productive relationships with their customers is
of immense importance and significance, as the relationship allows for rapport to be
created between the business organisation and its customers (Gustafson, Pomirleanu and
John-Mariadoss, 2018). The relationship also helps in identifying the need requirements,
demands and preferences of their customers and also contributes effectively towards
building a sense of trust within the customer towards the business organisation such as
Marks and Spencer, which is essential towards gaining the long term loyalty of the
customer and increasing the overall customer base, operational and financial productivity
of the business organisation.
 Another key principle of successfully selling goods and services to the consumer relates
to the sale being based on addressing or solving a problem or demand of the customer. It
is immensely important and essential for the business organisation such as Marks and
Spencer to identify the needs, demand and issues, problems that their customers face and
then create and sell products to them that are able to effectively satisfy their needs and
demands, while also being able to address the problems and issues that they face. If the
business creates such goods and products, then its selling operations will inevitably be
successful and contribute towards the sustained success of the business organisation
within its operational industry.
 For the sales operations of a business organisation such as Marks and Spencer or even an
individual to be successful, the value that their sold product gives to the consumers must

be proportional to the price charged by the business for their sold product. If the charged
prices of a product are significantly increased in comparison to the value that these
products provide to the customers, then the selling operations of the business or
individual will not be successful.
 Nowadays, technology also pays an important and essential role towards making the
selling operations of businesses such as Marks and Spencer successful. Technological
solutions such as customer relationship management (CRM) software are immensely
helpful towards creating and maintaining relationships with the customers and also
effectively aid the sales operations of the business organisation when used appropriately
(Razmochaeva and Klionskiy, 2019). Through the CRM software, sales manager and
sales teams of Marks and Spencer can effectively keep tract of the needs, requirements
and preferences of their individual customers and provide to them sales service that is
specifically catered to their individual demands and preferences, allowing for the selling
operations of Marks and Spencer to be increasingly successful.
LO 4
P5 Significance of Developing Sales Strategies and Incorporating Account Management Within
Sales Structures
In order for Marks and Spencer to be able to successfully operate within the retail
industry of UK, it is required to design and create sales strategies that are able to yield the
highest financial profit margins for the business organisation and are also able to incorporate the
account management within the sales structures of Marks and Spencer. This is because sales
strategies play an immensely important role within the retail business organisation of acquiring
new customers for Marks and Spencer from the external consumer markets of UK, which can
only be done if the sales strategy is able to create and maintain a productive healthy bilateral
relationship between the customer and the business organisation. Overall, the sales strategy used
by a business organisation is instrumental towards the business organisation being able to
accomplish and achieve its organisational goals and objectives and accomplishing the end vision
that has been created for the business organisation. There are multiple ways through which
Marks and Spencer can create sales strategies that are able to yield increased profit margins for

the business organisation and are also able to incorporate the account management within its
sales structures. These ways involve the sales strategy of Marks and Spencer to focus on the
following attributes:
Targeted Customers: It is immensely important for the sales strategy of Marks and Spencer to
focus on their targeted customers, as these are the most valuable to the business organisation and
can be prioritised by Marks and Spencer in cases of bulk of sales or overproduction in order to
maximise the profit margins of the business organisation.
Trends: It is also important for the sales strategies of Marks and Spencer to focus on the industry
and customer trends in order to maximise their profit margins (Schrock and et.al., 2018). This is
because through changing trends, the demands and preferences of the retail customers also
change with time and for Marks and Spencer to continue operating successfully in UK, its sales
strategies are required to place focus on the changing consumer and industry trends.
Customer Retention: Though acquisition of new customers is important for sustained success of
Marks and Spencer, it is also equally important for the sales strategies of Marks and Spencer to
place focus on retaining their existing customer base by gaining their long term loyalty towards
Marks and Spencer.
CONCLUSION
Based on the findings of this report, it can be concluded that effective sales management
operations contribute significantly towards the successful operations of Marks and Spencer
within the UK’s retail industry. This report analyses the key principles of sales management that
is in relation to the significance of sales planning, methods of selling and sale reporting. The
report also evaluates the advantages of sales structures and how they are organised within Marks
and Spencer. Further the report assesses the importance and significance of ‘selling through’
concept. The report determines the key techniques and principles for successful selling and how
these contribute towards managing and building customer relations within Marks and Spencer.
Finally, the report analyses the importance of sales strategies along with incorporation of account
management within sales structures.

REFERENCES
Books and Journals
Chapman, J., Schetzsle, S. and Wahlers, R., 2016. An innovative, experiential-learning project
for sales management and professional selling students. Marketing Education Review.
26(1). pp.45-50.
Cummins, S., Peltier, J.W. and Dixon, A., 2016. Omni-channel research framework in the
context of personal selling and sales management. Journal of Research in Interactive
Marketing.
Flaherty, K.E. and et.al., 2018. Sales scholarship: honoring the past and defining the future (Key
takeaways from the 2018 American Marketing Association Faculty Consortium: New
Horizons in Selling and Sales Management). Journal of Personal Selling & Sales
Management. 38(4). pp.413-421.
Gustafson, B.M., Pomirleanu, N. and John-Mariadoss, B., 2018. A review of climate and culture
research in selling and sales management. Journal of Personal Selling & Sales
Management. 38(1). pp.144-167.
Hase, S. and Busch, C., 2018. Sales management. In The Quintessence of Sales (pp. 77-122).
Springer, Cham.
Johnston, M.W. and Marshall, G.W., 2016. Sales force management: Leadership, innovation,
technology. Routledge.
Pyanikova, E.A., Kovaleva, A.E. and Zaikina, M.A., 2018. Sales Management Mechanism and
Methodologies for Solving the Problems of Special-Purpose Product Management and
Sales. In Emerging Issues in the Global Economy (pp. 333-340). Springer, Cham.
Razmochaeva, N.V. and Klionskiy, D.M., 2019, January. Data Presentation and Application of
Machine Learning Methods for Automating Retail Sales Management Processes. In
2019 IEEE Conference of Russian Young Researchers in Electrical and Electronic
Engineering (EIConRus) (pp. 1444-1448). IEEE.
Razmochaeva, N.V., Klionskiy, D.M. and Chernokulsky, V.V., 2018, September. The
Investigation of Machine Learning Methods in the Problem of Automation of the Sales
Management Business-process. In 2018 IEEE International Conference" Quality
Management, Transport and Information Security, Information
Technologies"(IT&QM&IS) (pp. 376-381). IEEE.
Reid, D.A. and et.al., 2017. Examining the use of sales force management practices. Journal of
Business & Industrial Marketing.
Schrock, W.A. and et.al., 2018. On the nature of international sales and sales management
research: a social network–analytic perspective. Journal of Personal Selling & Sales
Management. 38(1). pp.56-77.
Sharma, A., 2016. What personal selling and sales management recommendations from
developed markets are relevant in emerging markets?. Journal of Personal Selling &
Sales Management. 36(2). pp.89-104.