This study seeks to investigate causal relationships between sales management programs designed to build customer relationships by solving customer problems and selling firm…
Abstract
Purpose
This study seeks to investigate causal relationships between sales management programs designed to build customer relationships by solving customer problems and selling firm performance.
Design/methodology/approach
Hypotheses were developed and supported based on theories developed from the market orientation and sales management literature. Using survey results from sales managers and reported profitability data, those hypotheses were tested using multiple regression.
Findings
Results indicate that consulting‐oriented post‐sales training and consulting‐oriented evaluation are significant influences on salesforce efficiency. Consulting‐oriented evaluation is a significant influence on customer retention. The strongest influences on profit growth are initial sales training and post‐sales training learning, but a composite variable of all elements of the consulting‐oriented sales management program is a significant influence on profit growth.
Research limitations/implications
The sampling frame of this study was limited to medium to large industrial manufacturing firms; therefore any conclusions drawn from this study cannot be generalized beyond these types of firms. Future consulting‐oriented sales management research should expand the types of firms studied. Future research should also measure the relationships between consulting‐oriented sales management programs, firm market and learning orientation, adaptive selling, and salesperson customer orientation.
Practical implications
In industries where relationship building and partnering are considered mutually beneficial and important by buyers and sellers there should be greater emphasis on: listening skills, diagnostic skills, and problem solving skills in sales training; sharing effective strategies to build customer relationships and sharing of effective customer problem‐solving strategies in post‐sales training learning; measuring customer cost savings and obtaining customer satisfaction feedback in evaluation systems; and compensating salespeople for customer retention, positive customer feedback, and increased sales from current customers.
Originality/value
This study fills a gap in the literature for firm level research on the consequences of sales management programs, particularly programs that encourage sales consulting. This study makes a contribution to the literature by determining whether industry conditions encourage those programs or moderate their relationship to performance.
Details
Keywords
The purpose if this article is to study the relative impact of industry competitive conditions on salesforce consulting time and consulting effectiveness, relative to the impact…
Abstract
Purpose
The purpose if this article is to study the relative impact of industry competitive conditions on salesforce consulting time and consulting effectiveness, relative to the impact of type of sales training.
Design/methodology/approach
Surveys were sent to sales managers and hypotheses were tested in simultaneous equation models.
Findings
Industry product differentiation has the greatest impact on consulting effectiveness. Industry customer segment number has a positive influence. The relationship between consulting time and consulting effectiveness is highest in commodity industries.
Research limitations/implications
Future studies should expand the sampling frame to include all manufacturing industries, service firms, and consumer goods firms. Future studies should include other firm variables such as strategy, structure, and level of market orientation to improve the explanation of variation.
Practical implications
Sales managers in commodity industries have a relatively high opportunity to enhance customer relationships by enhancing the consulting aspects of their sales management programs.
Originality/value
This study furthers our understanding of the contingency nature of sales management practices on salesforce behaviors and the contingency nature of the impact of those behaviors. This study provides managers in commodity industries with an understanding of the potential value of increasing the extent of consulting‐oriented sales training. This study also suggests that managers seeking to increase salesforce consulting should consider restructuring the salesforce by customer group.
Details
Keywords
This study empirically explores one of the important channel issues – the relationship between various channel support given to channel partners and the perceived (by managers…
Abstract
This study empirically explores one of the important channel issues – the relationship between various channel support given to channel partners and the perceived (by managers) goal‐orientation of a firm. Results from an emerging market, India, indicate that perceived orientation towards both profitability and market share is not associated with any of the channel support considered. Growth orientation however is strongly associated with most of the channel support activities – both business (e.g., business advice, pricing and ordering assistance, and personnel training) as well as marketing (advertising support, sales promotional material, and inventory management assistance) oriented activities. In contrast, perceived sales volume orientation is only associated with advertising support and business advice, however, the relationship is negative. These findings have interesting implications for channel management and channel motivation.
Details
Keywords
Poses the question is the influence of market orientation stronger in specialty markets with high levels of differences in product features and customer needs/applications…
Abstract
Poses the question is the influence of market orientation stronger in specialty markets with high levels of differences in product features and customer needs/applications, compared to commodity markets? Reports that regression results indicate that the only significant interaction is between customer differentiation and market orientation as an influence on new product success, relative product quality and customer retention. However, examination of partial correlations in the quadrants formed by customer and product differentiation indicates that market orientation seems to be a more important determinant of all aspects of performance in markets characterized by low levels of customer differentiation but high levels of product differentiation. Examination of these quadrants suggests that market orientation may be a more important determinant of performance in the high product differentiation/low customer differentiation quadrant, because of high levels of change in technology and customer needs. States that, in addition in this quadrant, there is an indication that since large firms have the advantage in R&D emphasis, small firms need more market orientation to compete. Although market orientation had no influence on performance in the commodity segment, there is an indication that smaller firms may need a higher level of market orientation to compete with large firms emphasizing low‐cost advantages.
Details
Keywords
Norzalita Abd. Aziz and Norjaya Mohd. Yasin
The Internet technology has been recognised as a key business resource and is increasingly being used and integrated into firm’s marketing activities. This study explored the…
Abstract
The Internet technology has been recognised as a key business resource and is increasingly being used and integrated into firm’s marketing activities. This study explored the relationship between market orientation and marketing competency and investigated the role of the Internet marketing integration in the market orientation‐marketing competency linkage. From an analysis of a survey data from 47 manufacturing firms involved in exporting and 33 travel agencies, four dimensions – Providing Customer Value, Competitor Orientation, Management Commitment and Customer Retention were extracted from factor analysis result of market orientation. However, this study found that Competitor Orientation and Management Commitment influenced marketing competency of the firm. Compared to the previous study, the integration of the Internet marketing did not seem to moderate the influence of market orientation on marketing competency. In addition, the Internet‐oriented profiles of the Malaysian exporters and travel agencies were constructed using characteristics in terms of its size, age in operations, the importance of different regional market to the firm, level of market orientation, and market area responded, which can be used for future research.
Details
Keywords
Dinesh Sharma, B.S. Sahay and Amit Sachan
Previous research in the area of distributor performance proposed different scales, mostly in western, developed country context. These studies also lacked the consideration of…
Abstract
Previous research in the area of distributor performance proposed different scales, mostly in western, developed country context. These studies also lacked the consideration of dynamic interaction between variables, which determine the distributor’s performance. This paper proposes a composite Distributor Performance Index (DPI) to evaluate distributors’ performance based on at the “Enables” and “Results”, taking a system dynamics approach. The model results have been discussed and validated, in business marketing channel. The context of this study is India, an emerging market.
Details
Keywords
Raija Komppula and Helen Reijonen
The purpose of this study was to identify those factors that are supposed to be the most important in terms of small business success in tourism industry. The empirical data is…
Abstract
The purpose of this study was to identify those factors that are supposed to be the most important in terms of small business success in tourism industry. The empirical data is collected within one region in Finland. The respondents were asked to evaluate the importance of the given factors for the firm's success and how highly the respondent evaluated the company's expertise in each factor in their operations. Questionnaires were sent by mail to a total of 214 tourism businesses. The final response rate was 43% (92 businesses). According to the analysis of the data, the respondents emphasise the importance of customer orientation, good skills in leadership, internal marketing and a good reputation of the firm and the product. The impact of external advice (incubators, consultants, research organisations) was evaluated as the least important factor of success. So, market orientation seems to play a key role in the performance of small and micro tourism firms. Customer orientation is also well mastered according to the businesses. The greatest development needs would be in the areas of price and accessibility, as well as in customer orientation. The results of this study indicate that there are no statistically significant differences in the views held by slowly or fast growing tourism businesses regarding the importance of the success factors. The same factors are considered important and less important in both slowly and fast growing businesses. Neither were there any statistically significant differences in these businesses as to the expertise in these success factors.
In 1899 the medical practitioners of Dublin were confronted with an outbreak of a peculiar and obscure illness, characterised by symptoms which were very unusual. For want of a…
Abstract
In 1899 the medical practitioners of Dublin were confronted with an outbreak of a peculiar and obscure illness, characterised by symptoms which were very unusual. For want of a better explanation, the disorder, which seemed to be epidemic, was explained by the simple expedient of finding a name for it. It was labelled as “beri‐beri,” a tropical disease with very much the same clinical and pathological features as those observed at Dublin. Papers were read before certain societies, and then as the cases gradually diminished in number, the subject lost interest and was dropped.
We observe with pleasure that the French Analytical Control, which is known as the Controle Chimique Permanent Français, continues to make satisfactory progress. The value and…
Abstract
We observe with pleasure that the French Analytical Control, which is known as the Controle Chimique Permanent Français, continues to make satisfactory progress. The value and importance of the system of Control cannot fail to meet with appreciation in France—as it cannot fail to meet with appreciation elsewhere—so soon as its objects and method of working have been understood and have become sufficiently well known. From the reports which appear from time to time in l'Hygiène Moderne, the organ of the French Control, it is obvious that a number of French firms of the highest standing have grasped the fact that to place their products on the market with a permanent and authoritative scientific guarantee as to their nature and quality, is to meet a growing public demand, and must therefore become a commercial necessity. An ample assurance that the Controle Chimique Permanent Français is a solid and stable undertaking is afforded by the facts that it is under the general direction of so distinguished an expert as M. Ferdinand Jean and that he is assisted by several well‐known French scientists in carrying out the very varied technical work required.