Sales Management Report: Analyzing Sales Strategies, Unit 39, 2020

This report provides a comprehensive analysis of sales management principles, focusing on key aspects such as sales force development, sales techniques, and the coordination of sales operations to achieve business objectives. It examines the importance of sales planning, methods of selling, and consumer buying behavior, using United Parcel Service (UPS) as a case study. The report explores the principles of sales management, including managing individuals, leading by example, consistency, goal orientation, and direct communication. It also discusses the benefits of sales structures, such as faster decision-making, clarity of responsibility, and improved coordination. Furthermore, the report highlights the advantages of selling products through others, emphasizing its role in increasing revenue and brand awareness. Key principles and techniques for successful selling are evaluated, and the importance of developing sales strategies for enhanced profitability is emphasized. The report includes an examination of core finance principles, advantages and disadvantages of sales structures followed by UPS, and concludes with a summary of the findings.

SALES MANAGEMENT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
P1. Principles of sales management.............................................................................................3
P2. Benefits of sales structures....................................................................................................5
P3. Importance and advantages of selling products through others.............................................7
P4. Key principles and techniques for successful selling and its critical evaluation with regard
to UPS..........................................................................................................................................9
P5. Importance of developing sales strategies...........................................................................11
Core finance principles which lead to increase profitability.....................................................12
Advantages and disadvantages of sales structure followed by UPS..........................................13
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Sales management is a process of developing a gross revenue unit, subordinating the
sales dealings and implementation of sales tools and techniques to achieve the long term and
short term goals and objectives of the business, or we can say that consistently striking the sales
targets and even exceed the prescribed targets. Sales management strategy is a necessary element
to bring revenue in the business. With the help of proper knowledge of marketing and selling, the
managers can attain sales targets of the company because ultimately, the target of any business is
to achieve profits (Pyanikova, 2018).
United parcel service is an American multinational parcel delivery and supply chain
management company (Paesbrugghe, 2018). Company has offered a variety of services to its
customers from shipping to logistics.
This report will demonstrate the understanding of key principles of sales management in
relation to its importance of sales planning, methods of selling and their buying behaviour with
respect to consumers. The sales structure the company have following and its benefits will also
explained in this study. In addition to above mentioned points, this report will also highlight the
importance of “selling through” concept, principles and techniques of successful selling and
importance of developing sales strategies which lead towards the highest profitability (Cuevas,
2018).
MAIN BODY
P1. Principles of sales management
Sales management is a methods in which involves development of sales force,
implementation of techniques for sales and coordinating in the operation of sales which allows a
particular business enhance its sales and improve it as well. The sales management have three
major aspects strategy, analysis and operation. In the operation work manager generally makes
the team as sales team is very vital in any organization than in strategy of sales defining the sales
process in last sales analysis is to make a detailed report of sales. Therefore, the key principles of
sales management of UPS in relation to importance of planning, methods of sell and reporting in
sales.
Manage peoples on individual basis : the sales manager of UPS company tries to manage
peoples individually on the basis their skills and knowledge in the field of sales. For a good sales

management it might important to manage all the employee's separately. If the manager will
guide the peoples on individual than they will helpful in planning for sales in the international
market for United Parcel service. Manager of UPS has followed the principle of manage the
people which has contributed in planning the sales strategies, method of selling used in order to
achieve the end goals. Thus, it has enhanced the method in which the company is selling its
products. As the individual is well-trained and having a good skill than it will also help in
reporting process of selling.
Lead peoples with example : As the employees of UPS organization depends on manager and
leaders to present a good example. The manager of United Parcel Service try to set an example
for its employee's so that they can do with more effectiveness. The manager should have all the
necessary knowledge and follow the policies and procedure of UPS. Manager work in discipline
to set a favourable example in front of other so that they get inspire and lead to enhance the
selling process.
Consistency : This principle of selling management show the manager of UPS continuous
following all the process from planning to controlling on regular basis and communicate the
information to its employee's so that they get aware for the same. It doesn't mean that it is that it
is an inflexible process as little of flexibility is important in the sells process. With the help of
consistency the manager can modify its planning for sells and achieve the targeted peoples in the
market. Consistency will help the manager at every stage in sells and in any activities of United
Parcel service.
Goal oriented : As in the UPS company sales manager should have its goal to reach and make
required afford to range their. The group goal of sales team in United parcel service also
dedicated to reach the goal. The manager motivate its employee's to enhance their individual
performance so that the sales of UPS increase and achieve the organization goal of company.
Goal orientation will help to plan for the companies sales target.
Be direct or to the point : The manager of united parcel service should totally dedicate towards
the end goal so for that they provide required training and coaching to its employee's who are
lacking behind in the team. The training are organized to show the current position of employee's
and where they are standing in the organization. The directness of manager in its work will lead
the employee's. With the help of this manager will communicate all the required information to

its employees so that the chances of mismatch and conflict are reduced and help in sales planning
and reporting process.
P2. Benefits of sales structures
Sales structures refers to the division of sales team in a specialized group. Sales structure is how
they organize the sales team which evaluate the region of organization serving, the products and
services that are offered in sale, size of sales team and sales industry of customer’s. The sales
structure in the USP organization have certain benefits.
Faster decision-making : sales structure in United parcel service is more effective as with their
sales structures they know their work and position in the company. With a clear and fair sales
structures the owner can easily suggest its subordinate to do their activities in achievement of
organizational goal. The senior and leaders in the team can easily communicate and transfer the
necessary information and take the required action immediately.
Clarity of responsibility in role : With the help of sales structure the employee's get clear about
their responsibility, and they do their work accordingly so with this the conflict chances get
reduced and less. The USP can enhance its sales with this. All the employee's get their individual
work in different fields of sales in market.
Stronger coordination and communication : the sales structure help to improve the
coordination and communication between superior and subordinate. The process of sales
structure needs a well-developed and balanced coordination so that sales get improve and
expand.
A more knowledgeable sales force : Sales structure help to make a specialized knowledge of
sales team that are ready to give their best so that UPS can gain competitive advantages. The
sales structure is used to arrange the employee's of United parcel service according to their skill
the higher knowledge people are appointed at higher post and lower skilled people are placed at
lower post so that they can perform well their.
The Ways sales organization structure is designed
The structure of sales have vital supporting on its success. The organization structure is designed
in four different types.

Geography organization structure : As per this the sale team of united parcel services divided
according to geography area and make familiarity with particular location or area. This structure
will track the local business, find its regional rivals and track the planned accounts. In this the
sale team report to their particular head and then head will report to central head so this sales
organization structure is well-designed.
Product/ service line organizational structure : In this type of organizational structure of sale is
used when the company is selling different types of products and services the structure help to
adjust the sales employee's to that of commodity and services. This structure use majorly when
the company needs to focus on product and services which they offer to people nor on what best
for buyers.
Customer organizational structure : The sales organized its account size with different popular
structure. This structure is build on basis of customer and its account size. As the different
business have different goals, budget and questions so their organizational structure is depends
on their that only. As the main aim of any organization is success and this structures require good
communication with its team members so that its client get a good quality of services (Bothe,
2019).
Industry Organizational structure : As the market having various kinds of industry, and they
will use the product and services of particular organization in different way. This structure is
used in a market where there are different industries in the market.

Ups use geographical organizational structure as this structure supports to communicate
closely with the customers and make strong teams that are collaborative at each of the location.
This structure improves the capability of serving local needs and tailor company's approach in
the local market and encourage positive rivalry between different departments (Mueller and et.al,
2018).
P3. Importance and advantages of selling products through others
Selling through others is very essential sales metric which allows organization to monitor
the specific efficiency of its supply chain. The aim to have effective and high rate of sell through
is mostly successful because this concept encourages motivation and make money according the
expected needs of business (Misra, 2019). Advantage of selling via collaborated partners
supports company to acquire maximum sales volume and brand recognition in the different parts
of the country. Concept of sales via others increases revenue, brand awareness, benefits in local
Illustration 1: Sales Structure of UPS
(Source: Channel Sales Structure For Ups Product,2019)

presence and replenish operational activities to an extent. It is really impossible for a company to
call every local market when it launched a new product (Hyun and Perdue, 2017). So, it is an
advantage for an organization to enter this concept in its strategy which supports to improve
goods flow and covers all the markets of consumers that company is hoping to reach. Basically
selling through others is known as distribution channel which are third party networks helpful in
boosting sales. Advantages of allowing sales through others let organization costs to be reduced
by extending its existing network and organization's geographical reach becomes wider and is
capable of covering almost every market very easily and quickly. Selling through these third
parties help to concentrate on the core competencies of company which means those other sellers
divide markets and local expertise themselves as per consumers requirements and take care of
production process that involves nitty-gritty. These sellers look over inventory management ,
consumer relationships and responsibly ship products to various locations. Collaborating with
sellers encourages efficient marketing as the organization does not need to spend extra
advertising cost to reach markets and customers (Singh and et.al., 2019). Selling through
distribution channels extends customer reach because products are distributed rapidly in large
geographical areas. Utilizing this concept also provides logistic support to the organization and
help to resolve issues and queries when an error occurs (Parke and et.al, 2018). The process of
selling goods via others also make feedback easily available and prove product value which
customers want and need. Selling and distributing goods all across the world. The organization
can target a huger geographic area because the functions of those third party performs highly
appreciable and are quite extensive as per their wish and target (Chen and Ho, 2019). Selling
goods thoroughly and continuously can save time and cost as performing sales through these
channels fewer company expenses like their will be no need of hiring representatives for sales.
Operations of distribution and mass delivery becomes very easier. This concept also helps in
collecting buyers data such as their postcodes and allow providing product review on retail stores
or on e-commerce website and that consumer feedback supports organization to make
modifications and improve quality of the goods and increase volume sales. Importance of sales
by others also helps to global access, improve services of clients with great flexibility and
increase professionalism. It also benefits in reducing wastes and fulfil opportunities to balance
business from anywhere worldwide (Reim, Sjödin and Parida, 2018). It is very helpful step of
expanding sales through others because it also makes organization capable of recognizing the

needs and demands as per generations trends and adapt it in strategy and produce products by
knowing its consumers purchase habits. Notion of boosting sales rate with the help of
distribution channels empowers to keep control on necessary needs and remain sustain in every
segment of the markets nationally and internationally (Kaleka and Morgan, 2017). Sometimes
tricks and techniques of those other sellers support effectively to deliver offers of product
assortment broadly (Stverkova and Pohludka, 2018).
P4. Key principles and techniques for successful selling and its critical evaluation with regard to
UPS
United parcel service is the largest package delivery company and known as a global
leader in logistics. The company creates value for its consumers through providing solutions that
lower the costs of their services, improve the service quality and provides highly custom-made
supply chain control (Hartmann, 2020). For effective selling their services to its customers the
company has follows certain principles which leads the company towards the success are:
 Do better perspective: Every sales should be converted into business must include the
consumers' perspective rather than the business person perception. The strategy of the
company never shows the statements like 'My product is perfect', it should be like 'How
can I help you' (Broséus, 2017).
 Consumers only buy products and services that benefit them: The consumers will
never attract towards the company because the sales person is great or the selling
techniques are superb, the customers always attract towards the products and services
because they have a belief in the services of the company that the particular product or
service will provide benefit them in some or other way. The customers of UPS also opt
this delivery service option because they have a trust factor towards the company.
 Value always comes with a price tag: This particular principle states the simple
phenomenon that the more the product or service provide benefits to the customers, the
more one can raise its price. Nothing comes free of cost. This principle is essential at
production phase, so as in UPS when they decide the services they would like to offer to
its customers, the marketing managers focuses on such key points (Lee, 2018).

 Believability is dependent upon trust and expertise: The UPS inbuilt the trust in its
consumers and clients by attaining and presenting expertise in its servicing fields i.e.
parcel delivery. This generates a feeling of trust among the customers.
 It is a give and give relationship: United parcel service will sell its products or services
with a perspective of 'Give and Give' rather than 'Give and Take'. Company offers
genuinely valuable gift to its consumers apart from what they have actually paid for.
Because of this the customers come again and again to take services from the UPS.
Effective techniques used by the UPS which contributes in building customer relationships are:
 Understanding the market needs: With the help of understanding the market trends and
needs of the customers, company is able to attract more and more customers and
maximize the profit margins of the company which is the ultimate goal of any business.
Like UPS also tries to provide best of its services to its consumers in order to provide fast
delivery services of parcels which satisfies the customers to its core and enhance the
customer base for the United Parcel Service.
 Focus on the correct leads: When a company focuses on right leads, they tend to see
better win rates and higher consumer value for the company. UPS mainly focus on the
customers or businesses who deal in online transactions and would like to opt for home
deliveries according to various delivery options such as time and place of delivery
changing option, date change option etc. For such kind of services the UPS have to just
make sure about the timings and quality of their service offered and the customers are
automatically ready for what the company is offering to them.
 Customer centric: For UPS, the customers are always belongs to first place. They try
their best at each and every level to provide premium service to their customers. They
work with an ideology that the customers are always first, company second, team
members third and individual as last.
 Be data informed: Unites parcel services focuses on complete data analysis of its
company although it takes a lot of time but still the organization focuses on in-depth and
detailed report analysis in order to analyse the current marketplace situation of the
company.

 Focus on helping: The company's focus is to provide help to needy consumers in order
to satisfy them to its core. UPS completely understands the buyer's persona, and the
challenges the customers are facing while attaining the services from UPS will help the
parcel delivery company in working towards the pain points of the customers and get
them feel satisfied by providing services according to the customers expectations.
With variety of principles and techniques used by the United parcel service company, the
establishment feels that there are some advantages and disadvantages while achieving successful
selling. Large number of buyers and customers base helps the UPS in building extensive
experiences through its services offered. Due to this, the company is able to achieve its targets of
maximizing profits (Domingues, 2017). The big-chested infrastructure and usage of the latest
technologies also helps the courier service company to expand the customer base. While on the
other hand there are some cons which affects the courier services such as due to large number of
clients, the services offered by the company are often feel impersonal by its consumers. Call
centres, impersonal live chats and dealing with different persons every will leave customers
feeling like they do not really know the service persons.
P5. Importance of developing sales strategies
A successful business and sales strategy is a key to business growth. Strategy basically
create circumstances for operating business decisions. A clear plan or strategy is mandatory to
guide decision-making, resources of the organization, setting of goals and define directions.
Strategy is a set of choices that defines the nature, ways and worth system of rules of any
company. Lack of strategical decisions made in the company leads the organization towards the
losses. Poorly understood strategy, weak execution of strategies in the organization, inability to
adapt the changes in the marketplace according to customer needs and market trends, lack of
systematic approach and disciplines are some of the reasons for the failure of the businesses.
Successful sales strategies and their effective implementation plan may leads to solve all the
problems of the organization and companies such as UPS which do plan and strategize
effectively enjoy greater profits and higher valuations in front of their competitors (Hwang,
2018). Effective sales strategy addresses common business challenges such as:
 Static sales revenue

 Merger of sales team-mates
 Starting up new project
 Introduction of new products
 Launch of new competitor
 Expansion to new market
Sales strategies are differed for different customers which allow the businesses to address the
needs and wants of customers at every stage. Assisting a new customer requires different
approaches than handling the current customers (Gil, 2020). New customers requires education
and product features explanation while existing consumers requires assistance regarding services
of the company.
Core finance principles which lead to increase profitability
Financing is the procedure of collection of monetary funds to invest in a proper
systematic way. Proper financing requires core principles to ensure the maximization of benefits
to the organization are:
 Risk and Return: Investors should have to concerned about the risk and return factors of
the business. Higher the risk higher the rate of return and vice a versa lower the risk
indicated the lower rate of return. In organization financing the comparison of risk and
return takes place.
 Profitability and liquidity of risk: From the investor's perspective the profitability and
liquidity is very much important because investor wants to ensure on both the grounds.
Liquidity ensures that the investors are able to easily get cash by selling the investment.
 Diversity: Diversity indicates that the investment of the company should be divided into
different variables so that if something wrong happens the company have a chance to
handle the situations. To ensure this point investors have invested some part in highly
risk activities and some in medium so that the average of the risk management can
become lower.
 Time value of money: This principle indicates that the value of money will decrease as
the time passes. So, before investing, investors have to think about the inflation rates of
the economy of country which ensures that the return value of money is higher than the
inflation rate, which ultimately provides profits at the time of maturity.

Advantages and disadvantages of sales structure followed by UPS
Organizational structure provide directions to all employees of the establishment that
directs the workflow of the company. A formal structure makes it easier for the employees to
follow the hierarchy and to resolve their queries and concerns as well as the company is also able
to add new positions in the company with the proper and systematic structure. The sales structure
are classified into may categories such as geographic organizational structure, product sales force
structure, market based structure and functional structure (Gimenez, Fernandez, 2020). The
geographical organizational structure has been followed by the United parcel service courier
company. This particular structure brings the employees of the organization together according
to different geographical divisions. The UPS have split its operations into different regions and
territories to serve its customers at different locations. The advantages of geographical structure
of sales within the company are:
— Powerful local basal helps the organizations managers to develop a sense of education
regarding their customer base as they are aware about the tastes and preferences of the
consumers.
— Flexible market responses also works as an advantage for the United parcel service.
— Logistical efficiencies which helps to supply efficient services to consumers according to
their likings and demands.
— Good training for managers as the strategy is built for all geographical locations must be
efficient enough to provide effective services to the customers and lead to achieve goals
and objectives of the establishment.
— Low cost is also one of the positive aspect of geographical structure chosen by company
as same strategy is used for different locations. Therefore, no cost need to be incurred in
order to frame new strategy or plans for achieving company goals.
— Proper territory management which leads to lower geographical duplication of
information.
— Low duplication with respect to transfer of information within consumers irrespective of
their own transfer from one place to another.

However, on the other hand there are some disadvantages of this structure based sales which
leads to arise problems up to an extent (Stodick, 2019). The disadvantages include:
— Territory sizing might be challenging which resulting in uneven revenue and
opportunities.
— Sales representatives find it difficult in developing product or market specialization
which lead barriers in effective achievement of goal.
— One major disadvantage is that in this structure one strategy has been prepared by the
managers of the organization across their branches but one strategy can never fulfil and
satisfies the needs and demands of different zone consumers.
CONCLUSION
This report concludes that managing sales in an organization is very vital division of
fulfilling duties with total responsibility. It is concluded that tools of sales management have
certain potential to significantly improve performance of sales force. Entire report discusses the
transition and information related to sales volume which manage customers and rivals
information. It also makes conclusions that are related to key performance sales management
related to the necessity of planning effective sales, selling methods and to report sales is very
vital for evaluating the discussed principles in responses to the behaviours of consumer as well
as business. The report also concluded that calculating the sales structure which is geographical
in UPS is crucial that supports in recognizing the value and essential factors of selling goods by
seeking supports from third party supporters. The entire report is based on managing the sales in
which it gives conclusions that a specific concept is necessary for maintaining the important
implementation to contribute in creating and balancing relationships with customers in the
application of this conceptualization of developing strategies of sales which yield profitability of
Usp in incorporating management of account in the structure of sales.

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Online
Channel Sales Structure For Ups Product,2019, [Online]. Available
through:<https://www.slideshare.net/lokeshgupta80/channel-sales-structure-for-ups-
product>.
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