Sales and Distribution Management: This Photo by Unknown Author Is Licensed Under CC BY-SA
Sales and Distribution Management: This Photo by Unknown Author Is Licensed Under CC BY-SA
• Before the industrial revolution, which began about 1760 A.D. in England, small-
scale manufacturers had a commanding influence on the economy.
Manufacturing received most of the attention, because that was the major
problem. Goods were sold to nearby customers without any problem. After the
industrial revolution in United Kingdom and the American Revolution in the
United States, largescale manufacturing organizations with huge quantities of
goods started dominating the economy. Separate functional departments were
established, which included manufacturing, finance and sales.
• Due to manufacturing of large quantities of goods,
selling to nearby markets was not adequate and there
was a need to expand the market. This was possible
with the involvement of intermediaries such as
wholesalers and retailers, selling the company’s goods
to consumers who were located far away from the
manufacturing unit. In the meantime, marketing
activities like advertising and sales promotion,
conducted by the manufacturer’s sales department,
became not only important, but also complex. It,
therefore, became necessary to split the marketing
functions into sales functions and other support
functions like advertising, sales promotion, marketing
research and market logistics (or physical distribution).
• The nature or characteristics of sales
management can be explained by
Nature of the following three ways:
• (i) Its integration with marketing
Sales management
Management:- • (ii) Scope of sales management
• (iii) Role and skills of modern sales
managers
Integration with Marketing Management
• During the early period of gradual development of sales management, the scope of sales
management was narrow. The main activities of sales management were recruiting, selecting,
training, motivating and supervising salespeople.
• At the present, sales management has much broader scope. In addition to the traditional
activities as defined by American Marketing Association that is indicated earlier, sales
managers are responsible for many more tasks. These include participating in strategic
planning, forecasting sales, taking part in budgeting process, designing sales territories,
developing sales force organization structure, coordinating internally with various
departments or functions in the company and externally with customers and advertising
agencies. Sales managers should ensure that all these tasks are effectively integrated.
Roles and Skills of Modern Sales
Manager-