ABSTRACT
The study was conducted with the ultimate
aim of studying the management of sales territories in the brewery industry.
The research was carried out as a
result of some of the following
problems.
Sales
people represent their company to the outside world, consequently, opinion of a
company and its product are formed often from impression left by the sales
force. Decreasing time for face to face selling and times is always limited. In
order to solve these problems, research question (questionnaires) were served
to the sales men in Aba
territories. The major findings from the research shows that the potential of
an area is considered when setting up sales territories and its was also
discovered sales men visit and spend
more time with key account customers.
Finally,
the researcher advised that proper management of line and territory is an
effective method to maximize sales and profits.
TABLE OF CONTENT
Title
page
Approval
page
Dedication
Acknowledgement
Abstract
Table
of content
CHAPTER ONE
1.0 Introduction
1.1
Background of the study
1.2
Statement of problems
1.3
Objective of the study
1.4
Research questions
1.5
Statement of hypothesis
1.6
Significance of the study
1.7
Scope of the study
1.8
Limitation of the study
1.9
Definition of terms
CHAPTER TWO
2.0 Literature review
2.1
Introduction
2.2
Benefit of establish sales territories
2.3
The need to establish sales territories
2.4
Duty and responsibility of sales territories
2.5
Personal characteristics of successful
salesmen
2.6
Function of sales men
2.7
Sales quotas
2.8
Open sales territories
2.9
Reasons why companies establish sales
territories
2.10 Sales
records
2.11 Territories
organization
CHAPTER THREE
3.0 Research methodology
3.1
Introduction
3.2
Research and administration of questionnaires
3.3
Sources of data
3.4
Population of the study
3.5
Sampling size determination
3.6
Validity and reliability of measuring
instrument
3.7
Research instrument
CHAPTER FOUR
4.0 Presentation and analysis of data
4.1
Introduction
4.2
Interpretation of data
4.3
Analysis of the questions
4.4
Interpretation of results
CHAPTER FIVE
5.0 Summary of findings, conclusion and
recommendations
5.1
Introduction
5.2
Summary of findings
5.3
Conclusion
5.4
Recommendations
Bibliography
Appendix
CHAPTER ONE
1.0 INTRODUCTION
There is no gain saying the fact that the
survival of every business is anchored in the ability of the sales forces to
identify and sell to the customers or buyers what the company has produced and
brewery industry is not an exception. A popular slogan in marketing says that
“Nothing happens until somebody say something”. There is need for
communication, they necessitate having people whose responsibility is to ensure
that customers and or prospect are contact and convinced to accept the values
offered in exchange for a value desired by the organization.
In brewery industry, customers of
Guinness drinks are scattered every part of the country, and it is not very
easy to reach the consumers without adequately splitting the market into
territories, if the it is not properly done, it will deprived the firm from
achieving its objectives and cal also affect a firm having competitors
advantages over others firms in the industry.
It
is not proper to say that Guinness product is not available, consumers should
look for any other product e.g. Maltina, star etc. This is where sales
territory now assigns sales en to make the Guinness drink get to customers at
the proper place and time it desired by them.
A
sales territory is an organization pattern whereby sales people are assigned
separate sales are called territories and they report to their territorial
executives who finally report to the field sales manager. These territorial
sales executives bear such names as regional or strict sales management. The
sales representative specialized in selling the companies products mix, line or
items, and have such authority as if they are running their own business, but
not within control from the top. These territories are usually referred to as
profit centers of the organization as
they are the income sources by exchanging the firms goods for money.
The
creation of definite sales territories
for individuals sales men offer a greater incentive to cultivate the
territory with an eye for future business than the policy of permitting
salesmen for in the same firm to complete for business in the same territory
and also the allocation of a specific territory to individual sales men enables
a salesmen to specialized in one territory with its customers and conditions sales
person – relationship. The sales for is indeed the link between organizations
and their customers. A sales man has dual responsibilities as a territorial
manager, which is ensuring that customers derived adequate satisfaction from
buying organization output.
The
creation of sales territories are not sufficient for a company to achieve its
objectives but in proper management of these territories which gives rise to
topic “sales territorial management in brewery industry”.
A
sales territory can either: a geographical area in which a salesmen work (e.g.
in Nigeria, eastern sales
territory comprising Anambra, Enugu,
Imo and Abia states). A group of buyers assigned to a sales men.
1.1 BACKGROUND
OF THE STUDY
This
is the story of a truly successful company with a rich heritages and a great
track record of growth and strong performances. Guinnes Nigeria is not only
regarded as an icon, African company renowned internationally for its brand of
unmatched quality, but also as a company that believes in enriching the
communities within which it operates, through investment and active
participation in the positive evolution of society.
Guinness stout was first exported to
Sierra Leon
in 1827 an soon before popular across west Africa. In 1963, the Ikeja in Lagos Nigeria
was chosen as the first location Onitsha the British Isles to brew the iconic dark beer.. two years
later, in 1965, Guinness Nigeria
was listed on the Nigeria
stock exchange.
In 2004 Guinness Nigeria commissioned a new brewery at Aba, Abia state.
1.2 STATEMENT
OF PROBLEM
Some
territories are extra ordinarily large for effective management. This means
that some of the customers could not be satisfied. Sales men could get some of
other customers and could not get some of their customers due to the largeness
of their territory.
There
are some cause of inadequate transportation facilities and these affected by
territories that are in a remote area. Sales men could not reach some of the
target customers. Some sales territories are not properly managed due to lack
of co-ordination in territories, that is they are not managed in an efficient
and organized way. Improper division of sales territories could result to
conflict.
Low
economic activities does not facilitates sales in territory.
1.3 OBJECTIVES
OF THE STUDY
The
purpose of this study is derived from the fact that a customers is always a
“King” and have to be treated as one. For a salesmen to return customer
loyalty, he should be ready to listen to customers problems.
Today
sales person is a problem solver, as a problem solver, the salesman should
understand that the buyers has a problem of need and want and purchase are made
to satisfy needs and wants.
Consequently,
to succeed the sales person must identify these needs, and wants and method of
satisfying them.
Travel
time and expenses will be minimized to fall within the bound of a small
geographical area. The sales forces that build effective relationship with the
customers and provide valuable service are usually high performance and top
achiever. High performance sales people understand the important of building
relationship with customers as well as with others who interact with them. The
bottom line for cooperation is to learn the everlasting support and loyalty of
the customers for their services/products and most successful cooperation
around the world area adopting very creative and innovation method to achieve
these goals.
Delivery of good is another point to
note, sales people have to deliver goods/services at the proper time and place
or condition desired by the customers patronage.
The main purpose of a sales person is not
just to make sales, but to create customers, identifying potential customers is
an important aspect of customers strategy. Basically, it is necessary to study,
how members of the brewery sales men manager their territories by having
marketing concept in focus and the impact of sales territorial management in
the achievement of the overall company set sales objectives.
1.4 RESEARCH
QUESTIONS
1. How
do you maintain good relationship with the customers in your territory?
2. How
did brewery develop its territories in the east?
3. What
are the method used in setting sales volume quotas to a sales men?
4. What
are the personal selling functions that are performed by each territory?
5. What
kind of problem do you encountered in your territory?
6. What
motivate your to go extra miles in achieving sales target?
7. What
are the criteria for setting each territory?
8. How
can sales person performance be appraised?
1.5 STATEMENT
OF HYPOTHESIS
Ho: The
functions performed by sales men in the territories are not effective.
Ho: The
sales men do not understand the importance of building relationship with
customers.
1.6 SIGNIFICANCE OF THE STUDY
A sound sales planning and proper
implementation will ensure a firm’s stated objectives. The researcher believe
that this study can improve performance of person selling in the brewery
industry. Apart from being practical significance to scholars, lectures, and
student alike the study is hope to
enrich the breweries on the quality and or management of marketing activities
expected in their territories.’
The
researcher also believes that customers of Guinness brewery will benefits from
this study because of the closer relationship between the sales representation
and their customers, product, price and other marketing adjustments and
adaptation are easily made to accommodate the various need of these customers
and get them satisfied.
1.7 SCOPE
OF THE STUDY
Arthur
Guinness started brewery ales initially in LEIXLIP, then at the James gate
brewery Dublin, Ireland from 1957. He signed a
9,000 years lease at [35 per annum for the usual brewery]. Ten years later in
1769 Guinness exported their product for the first time when six and a half
barrels were shipped to England.
The
first use of the word stout in relations to beer was in a letter in the Egerton
Manuscript dated 1677, almost 50 years before Author Guinness was born. The
first use of word stout in the context of Guinness beer was their stout –
porter of 1820.
Guinness
brewed their last porter in 1974 Guinness stout is also brewed under license
internationally. The Guinness brewery in park royal London closed in 2005. the introduction of
all Guinness sold in the U.K.
was switched to St James gate brewery Dublin. People in the U.K
had previously stated that Irish brewed Guinness tested much better than brewed
in London.
A brewery by product of Guinness yeast
extract (GYE) was produced until the 1950. due to the fact that Guinness
Nigeria Plc is a large company with high density coverage, they organize their
sales jobs based on geographical territories within the country where each
sales manager is assigned to a specific territory to take care of the marketing
activities in it.
1.8 LIMITATION
OF THE STUDY
Guinness
brewery have many territories which researcher cannot cover due to the time
provider for this study, the scope time provide for this study, the scope of
this study is restricted to Aba territories.
The
following acted as constraints towards the successful execution of this work.
LITERATURE
The
scarcity of materials for related literature in the research school library was
a constraints. So I have to move around to other schools, cyber café and
library and made do with what I was able to collect.
TIME:
The fact that the research was carried along with other important academic
activities within a specified period of time becomes a constraints.
FINANCE
Finance
was another major constraints that the research in search of relevant materials
and data collected was adversely affected by the limited finance at the researchers
disposal.
1.9 DEFINITION
OF TERMS
QUOTA:
A quota refers to an expected performance objective.
CUSTOMERS
VALUE: The unique combination of benefits received by target buyers.
CUSTOMERS
RELATIONSHIP MANAGEMENT: Is an outcome of is well developed and maintained
customers relationships.
TERRITORY:
Part of an area, assigned to a particular salesmen to manage.
GYE:
Guinness Yeast Extract:
SALESMANSHIP:
The ability to persuade, convince and motivate another person to think as to
you think and to take whatever action that you suggest.
PERSONAL
SELING: Persona selling is an oral presentation in a conversation with or more
prospective purchaser for the purpose of making sales.
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