Sales Management Report: Sales Structures, Sell-Through Benefits

Verified

Added on  2022/12/16

|2
|1265
|63
Report
AI Summary
This report delves into the intricacies of sales management, examining various sales organizational structures and the concept of 'selling through.' The analysis begins by identifying different sales structures, such as market-based, geographic, and product sales force structures, highlighting their advantages and how they can be implemented. The report uses Argos as a case study, illustrating how a matrix structure, which combines elements of various structures, is used to adapt to market changes and meet customer needs. Furthermore, the report explores the concept of 'selling through,' which refers to the percentage of a product sold by a retailer after it's shipped by the supplier. It details the advantages of 'selling through' for both retailers and wholesalers, emphasizing its importance in identifying popular products, managing supply and demand, and providing customer recommendations. The report underscores the significance of this strategy in optimizing business operations and enhancing customer satisfaction.
tabler-icon-diamond-filled.svg

Contribute Materials

Your contribution can guide someone’s learning journey. Share your documents today.
Document Page
SALES MANAGEMENT
(Aadvantages of sales structure and how they are organized by using an example)
Identify advantages of sales structure
Sale Organization Structure- This structure depict the segmentation of sales team into groups
based on their specialization. In other words, this structure helps in designing sales team and it
also helps organization in meeting customer needs and gain competitive advantage.
The sales structure of Argos is matrix structure which is also followed by the parent company,
Sainsbury. This structure has more flexibility which helps in adapting change in any situation and
to effectively compete against other business in the industry. Some of the different sale structure
which are used by organization and their advantages for a business are explained below:
Geographic Organizational structure- This sales organizational structure can also be called as
territorial sales force structure which states that a company sign job roles to each and every sales
representatives of a certain geographical area through which business can make maximum sale of
their products and generate high revenues. Argos also use geographical sales structure in which
they assign all duties to all sales representatives which gives them clarity and the ca perform their
job roes effectively.
Advantages: This sale structure is less expensive and is also low in duplication of efforts with
customers. This sales structure also helps in management of proper territory which results in lesser
geographical duplication of efforts.
Product Sales Force Structure- In this sales organizational structure, the responsibility of sales
force area is determined from products and product groups while ignoring geographical lines.
Advantages: This sales structure helps sales representative in developing expertise for products
and sales department and it also create a guide for management through which the can effectively
put efforts for selling products.
Market Based Structure- This sales organizational structure can also refer to customer salesforce
structure which states that sales representatives are divided into team and groups by the companies.
Argos also follow market based sales structure through which they can understand the demands and
needs of their customers and meet maximum customer satisfaction which will lead to optimum
utilization of resources and high revenues can be generated.
Advantages: This sale structure helps sales representatives in understanding need of their
customers and also helps in establishing a strong relationship with their customers through effective
interaction and two-way communication. This structure also helps in establish control through
which all resources can be strategically allocated to various markets.
Functional Structure- In this sales structure, all responsibilities of sales department are divided
accordingly to position of employees in the organization which involves account managers, product
specialists, sales and so on.
Advantages: This structure is helpful in selling products services and activities which are offered
by the company.
For example, Argos use matrix structure which is a combination of structures and it is composed by
traditional hierarchy of management. Some of the advantages of using matrix organizational
structure facilitates cross-collaboration among staff members and departments and creates
opportunities through of working together or collaboratively. This structure helps in establishing
collaboration among different departments and also help employees in developing skills and
competencies. This sale structure also helps in facilitating interdepartmental communication and
define functional and managerial roles of al team member’s ad managers of sales departments.
tabler-icon-diamond-filled.svg

Secure Best Marks with AI Grader

Need help grading? Try our AI Grader for instant feedback on your assignments.
Document Page
Advantages of “Selling Through”
As we know gods and services can be sold through various mediums, some of the channels include
retailers and wholesalers. Some of the advantages of “Selling Through”, are mentioned below:
Advantages for retailers
High reach- Selling through retailers help business to extend their business more geographically. This
also minimize distribution cost and stock holdings and also reduces delivery cost on their products.
Argos connect and collaborate with some retailers through which they can provide their products to
more places and can attract more customers.
Additional customer base- With the help of retailers, it helps in dealing with additional customer base
and identifying the needs of the customers through which they can met demands of customers. With the
help of offering products to various markets, it helps Argos to attract new potential customers and
retain their loyal customers through which they can make their business profitable.
Advantages for wholesalers
Effectively organize business flow and manage supply and demand of customers- One of the basic
function of wholesalers is to effective manage the supply chain activity of the company through which
they can provide products to the customers on time and at right location which will help in meeting
demands and business can engage in high profitable operations and generate higher revenues. Argos
regularly track and interact with their wholesalers through which they analyse the supply and demand
of their products which can be met by company on time.
Increased inventory options- Retailers to provide greater inventory options, as more options and
products can be provided to customers which are easily accessible. Through distributing products to
wholesalers, it helps Argo to manage their stock effectively and provide products and services to right
customer at right time and at right location. This also help Argos to distribute all commodities
effectively and track all activities quickly and easily.
Sell-Through: It is a procedure which depicts percentage of a product which is sold by retailer
after the product is shipped by their suppliers. This basically highlights the percentage of
products which are sold. The percentage is calculated during a period or a specific time span
which is usually 1 month. In other words, these are sales which are made directly or can be
called as direct sales or it can be called as sales which are made through a medium or a
channel. Argos directly sell their products to their customers through which they can sell
maximum number of products, attract numerous customers, gain customer engagement and
reach maximum level of customer satisfaction through which they can earn high profits by
selling their products and services.
Importance of “Selling Through”
Sell through refers to the number of good which are sold by retailers which is shown in
percentage. It is a concept hic depicts the direct sale of goods and service which ae done by
the companies. Some of the factors which depicts the importance of selling through, are:
Helps in identifying popular sellers- Selling through technique helps in providing direction
to future activities through which business can identify and create a collection of their best
selling products. Argos conduct a research through which they can identify most selling
products of their companies which will help them in meeting customer demands and getting
maximum advantage and in generating higher revenues.
Helps in recommendation- Selling through is important to provide recommendation to their
customers and valuable opinions can be given to customers through which maximum
products can be sold. Argos focus on analysing choice and preference of their customers than
recommend products based on their preferences through which they can meet demands and
needs of their customers.
More informed customers- The selling through helps in getting immediate feedbacks as
salesman can easily judge and identify what customers are willing to buy and their
preferences.
SALES MANAGEMENT
(Importance and benefits of concept “selling though” others)
chevron_up_icon
1 out of 2
circle_padding
hide_on_mobile
zoom_out_icon
logo.png

Your All-in-One AI-Powered Toolkit for Academic Success.

Available 24*7 on WhatsApp / Email

[object Object]