CHAPTER 14
Time, Territory, and Self-Management: Keys to Success
LECTURE OUTLINE
I. THE CORE PRINCIPLES: TIME
A. Time is money because time is limited
B. People spend time doing what is most important in their lives.
C. Using your time in a career to help others results in a wonderful life.
II. THE MANAGEMENT OF TIME
A. How does effective salesperson manage time?
i. Plan by the day, week, and month.
ii. Qualify the prospect.
iii. Use waiting time.
iv. Have a productive lunch time; invite prospects.
v. Keep records and reports
B. Return on time invested.
i. Sales time should be in direct proportion to potential sales for each account.
ii. Break-even analysis may be used to analyze cost.
Break-even point in dollars=
Salesperson’s fixed costs
Percentage of gross profit
III. CUSTOMERS FORM SALES TERRITORIES
A. Sales territory – comprises a group of customers or a geographical area assigned to a
salesperson.
B. Why establish sales territories?
2. To establish a salesperson’s responsibility.
3. To evaluate performance.
4. To improve customer relations.
6. To allow better matching of salespeople to customer needs.
7. To benefit salespeople and the company.
C. Why sales territories may not be developed.
1. Restriction by a territory.
3. Not enough time or knowledge.
4. Personal friendship may be the basis for attracting customers.
IV. ELEMENTS OF TIME AND TERRITORY MANAGEMENT (TTM)
A. Salesperson’s sales quota.
B. Account analysis.
1. Identification and estimate of sales potential.
a. The undifferentiated selling approach – use the same approach on
accounts which are basically the same.
b. The account segmentation approach – accounts that have heterogeneous
needs and differing characteristics require different selling strategies.
(1) Key account.
(2) Unprofitable account.
2. Multiple selling strategies.
3. Multivariable account segmentation.
C. Develop account objectives and sales quotas.
i. Developing objectives and sales quotas for individual products and for current
and potential accounts.
D. Sales call allocation
i. How salespeople develop a plan to allocate sales calls within territories.
E. Customer sales planning – developing a sales call objective, a customer profile, customer
benefit program, and selling strategies for individual customers
F. Scheduling and routing.
i. Scheduling – refers to establishing a fixed time (day and hour) when the
salesperson will be at a customer’s place of business.
ii. Routing – the travel pattern that he/she uses in working the sales territory. They
G. Territory and customer evaluation
i. Territorial control is the establishment of standards of performance for the
individual territory in the form of qualitative and quantitative quotas or goals.
ii. Actual performance is then compared to these goals.
V. TECHNOLOGY USE CAN ENHANCE TIME EFFICIENCY
A. Sales technology is described as the transformation of manual sales activities to
electronic processes through the use of various combinations of hardware and software
applications
i. Assist salespeople with routine as well as strategic tasks, allowing them to focus
on actual selling time
B. Using technology for territory management activities
i. Sales route planners and schedulers are offered through companies such as
Mapline and Badger
1. Salespeople can quickly and easily visualize their sales territory by
integrating important information, such as customer lists, maps and their
calendar, into one mobile app
VI. SELF MANAGEMENT
A. Critical for salespeople to develop a personal time management plan, set priorities based
on their supervisors’ expectations, keep a watchful eye on the industry trends, and have a
vision for the future
B. Personal time management
i. Use time management software, such as an online calendar application, to plan
their time, to ensure they carry out their commitments to others, and to meet their
responsibilities
C. What might your sales manager tell you
i. Take initiative
ii. Accept feedback and coaching
iii. Do your due diligence
iv. Manage your time-well
v. Ask if you need help
vi. Be honest and ethical
vii. Meet deadlines
viii. Understand the business—you are key part of it
ix. Be careful with the use of technology
x. You won’t hit a home run every time
D. Executive presence
i. Salesperson is perceived as possessing a certain aura—comprised of qualities
including professionalism, ability, and authority.
ii. Research suggests executive presence is (a) the perception held by others about
you; (b) the perception results from your initial interaction with a group as well
as your ongoing interactions, and (c) the perception (held by others) that you
have a certain level of gravitas and influence
E. Emotional intelligence
i. Combination of four abilities (1) your ability to perceive other’s emotions; (2)
your ability to identify your emotions, (3) your ability
ii. to understand what’s causing your emotion, and (4) your ability to manage your
emotions.
iii. Salesperson who can identify her customer’s emotions and then suitably adapt
their sales conversation has an opportunity to be more effective.
Improve territory coverage.
F. Networking
i. Salespeople are immersed in a series of relationships—relationships with your
customers, relationships with your colleagues, relationships with your vendors,
relationships with your business partners, and relationships with your family and
friends
ii. Building and maintaining relationships requires the mutual investment of effort,
time, and resources
VII. WHAT’S HAPPENING IN SALES
A. Artificial intelligence and predictive analytics
B. Inside sales: firms are investing in more centralized inside sales centers
C. Greater collaboration between sales and marketing
D. Buyers are leveraging technology to learn about options and services and to move