8/16/2019 Sales in FMCG Industry

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Sales in FMCG Industry:

Sales function is the main prot driver in FMCG industry as the main focus is on

volumes, with higher volumes companies gain economies of scale and resultantly

make higher prots Sales management is mainly dividend in to two ma!or types of 

roles namely: Strategic roles and Control roles In strategic roles the goal setting is

the ma!or o"!ective so as to have a target in mind #hese strategic roles involvesetting sales targets, $uotas, sales forecasting, demand planning and sales

planning #he control roles however include setting up sales routes, analysis of sales

reports and recruitment and training of sales sta% #hese roles point towards the

evaluation of sales function so as to keep moving in the targeted direction #ypically

the management structure is very hierarchical in sales with &ational sales manager

'&SM( looking after )onal sales managers who in turn manager regional sales

managers '*SM( #he area sales managers '+SM( reports to the *SMs, while

 #erritory eecutives, -rder "ookers and .istri"utor salesmen all reporting to +SM

 #he !o"s are divided into types of products, accounts, distri"ution method or even

order si)e like /ey accounts managers "eing appointed to look after modern trade

or companies having di%erent kinds of products appointing +rea product managersetc -ther FMCG0s have decided to focus more on their core competencies while

outsourcing the sales function altogether to a single distri"utor or multiple

distri"utors in such cases the control roles are passed on to the distri"utor while

colla"oration is done with distri"utor's( on strategic roles &o matter which model is

followed, Customer *elationship Management 'C*M( has "een given ma!or

importance in aligning Sales, Marketing, Customer Service and #echnical Support

functions #he C*M system implementation results in having "etter grip over

Strategic and Control roles as it generates higher customer satisfaction and delivers

$uality