Need Help? (888) 742-5060

In The News:

Tip: Assign Sales Resources Based on Customer Needs

December 13, 2010

The Management Tip of the Week blog will present one tip each week based on content in the MDM Archives. Sign up for the RSS Feed for this blog here.

Should outside or inside sales handle a particular customer? Mike Emerson of Indian River Consulting Group says evaluating the customer base with a critical eye and understanding of their economic drivers is essential to answering this question.

To start, consider customers' ratio of purchases relative to quote; whether the purchases are expected to change in the near future; how much untapped opportunity exists in that customer; how much a given customer relies on you to help select products; and whether the customer is significant enough to your business that an outside salesperson needs to call on him.

Emerson says: "The answers to these questions will identify what type of sales resource is appropriate for each customer based on a customer's needs. Customers that require assistance when selecting products clearly need active involvement while those that use internal capabilities to select products need passive involvement. Customers that rarely purchase but are constantly asking for quotes likely make buying decisions based on price, and an operational fax machine is the only selling resource required to maintain or grow sales within these customers. Customers whose purchases have changed little may only require support from inside sales as fulfillment, not selling, is all that is required."

Emerson says that most companies that complete this analysis will find that more than 20 percent of the accounts assigned to an outside sales representative can have their needs met by a lower cost function.

Here are a premium article on the topic:
Align Selling Resources to the Market

© 2019 Gale Media, Inc.

Please do not reprint MDM's content on your website without MDM's express permission as it is copyrighted material. To gain permission, email us, or call 1-888-742-5060. For information on PDF or print reprints, visit MDM welcomes inbound links from your site. Please cite Modern Distribution Management.

2018-top-distributors-listThe 2018 Top Distributors List

This free PDF includes lists of top distribution companies across 14 sectors.

You will also receive MDM Update, our daily distribution e-newsletter & other distribution-focused content.

Download the Free PDF now >>

MDM-UpdateMDM Update: Daily Newsletter 

Sign up to read the best source for news & trends in wholesale distribution, MDM Update. Delivered daily to your inbox. 

Sign-up for MDM Update >>

Post a comment to this article

Partner Center