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SALES AND DISTRIBUTION MANAGEMENT

GROUP ASSINGMENT 2
SEC- B2C, GROUP - 7

PART – I
Two FMCG Products that we have chosen are –
✔ BISCUITS
✔ CHOCOLATES
The different Brands that the retailer store are –

BISCUITS CHOCOLATES
1) Britannia 1) Cadbury
2) Sunfeast 2) Nestle
3) Parle –G 3) Amul
4) Priya Gold 4) Hershey’s
Actually a small retailer (kirana shop) stores the Brand for which there are following features
(in order of the Preference) –
1) High Shelf Turnover
2) Regular Supply
3) Demand
4) Good Replacement Policies
5) Promotional Schemes
6) Good Margins
If some of these are missing for a particular Brand than the shopkeeper prefer not to store the
Brand. Again, it depends on retailer to retailer and their behaviour and also in some cases on
the Brand Equity.
In Biscuits, there is a huge diversity. We mean that for different types of biscuits he (the
retailer) prefer different brands. As for example, for Glucose Biscuits he prefer Parle-G, for
Marie & Cream him prefer Britannia, for Snacks (or namkeen) he prefers Priya Gold.
The reasons for the preferences are many as discussed earlier. But again for some Brands
there can be other reasons too. Like for Parle-G (glucose), the reason being the retailer has to
put a very low effort for the sale as customers come with a preparation to buy it and then if
he will try to persuade the customer for some other Brand then he may lose the sale.
In Chocolates, the interesting thing here to watch is that although Cadbury ranks average on
all the features what we have mentioned earlier for preferring a particular Brand then also it
is the most preferred Brand. Again, the reason is low effort for converting the prospective
buyer into actual buyer. We all know the dominance of Cadbury in the Indian Chocolate
Market. So, the preference of selling Cadbury is self-explanatory.

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SALES AND DISTRIBUTION MANAGEMENT
GROUP ASSINGMENT 2
SEC- B2C, GROUP - 7

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PART – II
BRITANNIA FOR BISCUITS
The sales person calls on weekly basis to the retailer.
On daily basis he visits 12-15 such stores and in a week a total of 60-70 stores.
The areas allocated to the sales person are –
✔ Bardi
✔ Dhantoli
✔ Ramdas Peth
Job Responsibilities of the sales person of Britannia –
1) Order Taking – The primary work of the sales person is to visit shops and taking order
every week from a particular shop and on a particular day of the week.
2) Handling of the Order Register to Office – At the end of each day the Order register has
to be handled to the office staffs. These office staffs prepare bills and then delivery is
made on generally on the next day.
3) Informing Retailer about the promotions and schemes – The next important task of a
sales person is to inform the retailer about different promotions and schemes that are on
for both the customers and retailers. This is a task which have to be done very carefully
as company’s sales depend a lot on this.
4) Taking decision on Replacements – Generally, the sales person takes decision on the
replacements at a particular shop. Any product that needs to be replaced at a particular
shop is inspected by the sales person at the point of order taking and then he takes
decision whether to replace it or not as per the company norms. It is very rare that the
decision is taken by some higher authority.
5) Cash Collection – The sales person also does the job of payment collection. The sales
person collects the payment against a particular order on his/her next visit (i.e. next
week).
6) Point of Purchase Advertisement – The sales person has an important role in deciding
about putting up of Displays, Hoardings, Banners, etc at a particular shop.
7) On the Job Training – The sales person also provides the on job training to new sales
personal. He/she does this by taking the new comer with him to market place (i.e. to
different retail shops) at the time of his visits.
Various Activities of the sales person at a retail shop –

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SALES AND DISTRIBUTION MANAGEMENT
GROUP ASSINGMENT 2
SEC- B2C, GROUP - 7

Of the job responsibilities which have been discussed above, activities 1, 3, 4, and 5 are the
ones which the sales person perform at a retail shop.

Various Forms/ Formats that the sales person maintains –


The sales person maintains an Order Book (register), a cash collection sheet, and
replacement forms. A sample of all these are given in Appendices.
Order and Delivery Process –
The sales person at a particular retail shop collects the order by calling name of each and
every SKU (Stock Keeping Unit) which is there in its Order Register and also which is in
stock. Now, the retailer has to respond by saying the quantity which he requires of a
particular SKU.
Again, sometimes if a retailer doesn’t order for a particular SKU then the sales person tries to
persuade the retailer for ordering by again recalling the different promotions and schemes
which are there for that SKU or if there is no such promotions and schemes and still the sales
person has to make a sale then he persuade by some other means.
The frequency of delivery always matches the frequency of Order Taking. Generally, both
equals to once a week but in some cases if there is urgent order and a sufficiently huge order
then the delivery can be made more than once a week. But this is a rare case to happen. The
delivery is done on the next working day of which the order is taken.
The cash is collected on the next visit at a particular retail shop and in some cases the cash is
collected at the time of delivery too depending on the credit policy of the company for a
particular retail shop.
Role of a sales person in educating the Retailer about the new product –
This is an important role of a sales person in an industry like biscuit. The reason being here
the sales person is the only link between company and retailer on a regular basis. So, if a new
product is launched by the company then that information and its features has to be passed to
retailers through sales person only. Now, educating the retailer about the new product is not a
huge task as there is it involves no technicality.
A typical day in the life of a sales person –

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SALES AND DISTRIBUTION MANAGEMENT
GROUP ASSINGMENT 2
SEC- B2C, GROUP - 7

The sales person typically reaches his/her office by 8.30 am. Here, he/she collects his order
register and the Billing Challan against which he has to collect payments. Then he/she leaves
the office around 9.00 am and goes out in the market place on visits to retailers.
He/she visits different retailers as per the schedule (fixed earlier by him/her at his/her
convenience) that he/she has to visit on that particular day. He/she takes order from each of
the shop and also performs other activities which need to be performed by him/her.
At around 1.00 – 2.00 pm he/she takes an half our break for lunch. Then after the lunch time
he/she again starts with his/her regular activities at retail shops. After completing the quotas
of retail shop which he/she had to on that particular day he/she returns to office in evening by
around 5.00 pm.
After reaching to the office, he/she hands over the Order Book to office staffs. The payment
which he/she collected is handed over to Cash Department.
Once in a week or as per company norms he/she has to report to his supervisor/boss in
evening.

CADBURY FOR CHOCOLATES


The salesperson calls on weekly basis to the retailer.
On daily basis he/she visits 15-20 such stores and in a week a total of 75-85 stores.
The areas allocated to the sales person are –
✔ Bardi
✔ Dhantoli
✔ Ramdas Peth
✔ Dharam Peth

Job Responsibilities of the salesperson of Cadbury –


1) To take orders – One of the jobs of a salesperson is to take orders from the shops that are
located in the particular area that has been allotted to him.
2) Collecting cash – The other important job of the salesperson is to collect the cash from
the shops. This is in accordance with the credit terms of the cadbury’s.
3) Reporting to the office – At the end of each day the salesperson is expected to document
all the proceedings of the day and to hand over the report to the office.

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SALES AND DISTRIBUTION MANAGEMENT
GROUP ASSINGMENT 2
SEC- B2C, GROUP - 7

4) Informing the retailer about the current offers of cadbury – One of the tasks that a
salesperson of Cadbury does is to inform the retailer about the various offers that are
available for both retailers and customers.
5) Information gathering – One of the works that they do is to collect various information
about the customers’ attitude towards cadbury’s product, its competitor’s product, and the
trends, etc. which are used by the company to make changes in future.
6) Building relationship – One of the primary jobs of the salesperson is to build a long term
relationship with the retailer.
7) Negotiating/Securing the order – Sometimes a salesperson is supposed to negotiate and
secure an order. This can also mean to keep a new product of Cadbury.
8) Problem Solving/Taking decisions – Many a time a salesperson may face problems like a
particular retailer wants to discontinue a particular SKU of Cadbury etc. Such sort of
problems must be handled and rectified on-the-spot. Hence it is the job of the salesperson
to take care of such problems efficiently. Here, they might be forced to take decisions
without consulting the higher authorities.
9) Point of Purchase jobs – The salesperson many a times might be asked by the retailer to
arrange the products of cadbury’s on display or put up the banners for advertising etc.
10)On the Job Training – The salesperson may also be responsible for providing the on job
training to new sales personal. He does this by taking the new salesperson with him to
different retail shops at the time of his visits.
Various Activities of the salesperson at a retail shop –
Of the job responsibilities which have been discussed above, activities 1, 2, 4, 5, 7, 8, 9 and
10 are the ones which the salesperson performs at a retail shop.
Various Forms/Formats that the salesperson maintains –
The salesperson maintains an Order Book (register), a cash collection sheet, and replacement
forms.
Order and Delivery Process –
The sales person at a particular retail shop collects the order by calling name of each and
every SKU (Stock Keeping Unit) which is there in its Order Register and also which is in
stock. Now, the retailer has to respond by saying the quantity which he requires of a
particular SKU.
When a retailer doesn’t order for a particular SKU then the sales person tries to persuade the
retailer for ordering that SKU and asks the reason for the same from the retailer.
The frequency of delivery always matches the frequency of Order Taking.

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SALES AND DISTRIBUTION MANAGEMENT
GROUP ASSINGMENT 2
SEC- B2C, GROUP - 7

The cash is collected as per the credit policies. It may be collected immediately by cheque or
at a later date by cash.
Role of a sale person in educating the retailer about the new product –
This is one of the tasks that every salesperson has to do some day or other. Whenever a new
product is launched by cadbury’s, the retailers do not come to know of it automatically. The
salesperson goes to the retailers and urges the retailer to keep this product. The salesperson
describes the product to the retailer so that he/she can sell it to the customers. In this way
he/she educates the retailer about the pros and cons of the product over other chocolates.

A typical day in the life of a salesperson –


0900 hrs: The salesperson reaches his office.
0930 hrs: He/she collects his order register, billing book and other necessary registers and he
leaves the office to visit the retailers.
1000 hrs to 1300 hrs: He/she visits different retailers as per the schedule (fixed earlier by him
at his convenience or by order from higher authority) that he/she has
to visit on that particular day. He/she performs different activities at
different retail shops as required.
1300 hrs: He/she takes a lunch break at more or less 1pm.
1400 hrs: By this time he/she resumes his/her work after the lunch break.
1700 hrs: He/she reaches the office after completing his/her day’s task. Here, he/she does all
the office tasks such as reporting, cash depositing etc.
1800 hrs: He/she completes his entire task for the day.

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SALES AND DISTRIBUTION MANAGEMENT
GROUP ASSINGMENT 2
SEC- B2C, GROUP - 7

APPENDICES

1) A Sample Order Book Sheet


NAME OF THE RETAILER -
_________________________________________________________________

ADDRESS - ____________________________________________________________________________

CONTACT PERSON - _________________________________. CONTACT NO - _____________________

01/06 02/06 03/06


Tiger 88gm
Marie 90gm
Marie 180gm
Marie 360 gm
Thin 90 gm
Thin 180 gm
Thin 360 gm
Milk Bikis 75gm
Milk Bikis 225gm
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SALES AND DISTRIBUTION MANAGEMENT
GROUP ASSINGMENT 2
SEC- B2C, GROUP - 7

Time Pass 90gm


Time Pass 125 gm
Time Pass 225gm
Cream Craker 90gm
Cream Craker 180gm
Cream Craker 360gm
Good Day Kaju 90gm
Good Day Kaju 225gm
Good Day Butter 90 gm
Good Day Butter 290 gm
Good Day Chocochips 90gm
Good Day Cookies 90gm
Good Day Pista 90gm
Little Hearts Rs. 5
Little Hearts Rs. 10
Good Day Cup Cakes

2) A Sample Cash Collection Sheet

CASH COLLECTION SHEET


NAME OF THE
RETAILER BILL AMOUNT AMOUNT RECEIVED BALANCE DUE (IF ANY)
Rs. P Rs. P Rs. P

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SALES AND DISTRIBUTION MANAGEMENT
GROUP ASSINGMENT 2
SEC- B2C, GROUP - 7

TOTAL

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