Professional Documents
Culture Documents
Management may not want to take the time, or have the know-how.
Personal friendship may be the basis for attracting customers.
Differences in coverage difficulty represent differences in work loads. When final adjustments for coverage difficulties are made, sales territories have varying sales potential and different sized work loads, but none exceeds the maximum desirable work load depending upon the
capacity of the sales person.
There are two basic approaches commonly used for designing sales territories are: 1. Market build-up approach. 2. The workload approach.
WORKLOAD APPROACH
This approach is designed by WJ Talley on the basis of the workload performed by sales persons. The following steps should be considered important when using this approach:
Customers are grouped into class size according to sales volume. Optimum call frequencies for each class of customers are estimated.
Steps Continued
Present and potential customers are then located geographically and arranged volume-wise and value-wise. The number of present and potential customers in each volume/value group is then multiplied by the desired call frequency to get the total number of planned calls required for each geographical control unit.
ASSIGN TO TERRITORIES :
Some salespeople can handle large territories and the travel associated with them; some cant. Some territories require experienced salespeople; some are best for new people. Some people want to live in metropolitan areas; others prefer territories with smaller cities.
1.
Cloverleaf Pattern
2. c
c c Base c c c c c c c c c c c
c c c c
c c
3.
Major-City Pattern 2 1 5 4 3
1 - Downtown