As a wholesaler, Sales department at Raj Gold is a crucial vertical of the company. The sales department, in jewellery industry is responsible for sales of gold, payment status and relationship management with the client.
The selling process involves fewer personnel and is majorly guided by the product offering, commitment fulfilling process and response to the dynamics of the market. Thus the forecasting process depends upon the size of the customer and the nature of buying process. The thumb rule of sales i.e. “Big buyers buy from Big Suppliers” could be clearly observed, as the inventory cost is high and the payment conditions are more relaxed.
The basic mode of sales is by Personal/Direct selling, the selling team is head by the family …show more content…
To penetrate the potential market, of Karnataka and Tamil Nadu, Raj Gold initiated the strategy of ‘Company Sales Representatives’ in 2011.
This strategy involved the company’s sales head and a small wholesaler having a wide reach into the local market, but with very little capital to reach out to them. The sales representative were choose in accordance to their ability to sell, recommendation from known personnel and the market reach capability.
The payment to the sales representative depends on the quota of sales and a fix margin on each kg of jewellery sold. The sales representative is first required to approach the client and collect his company details and convey it to the sales head. This assures that the client data is passed on to the database, and thus allowing timely checks of records, relating to payment, buying pattern, buying capacity, personal details, etc. The major obstacle for Raj Gold was to penetrate into completely new market of small buyers, which did seem justified because of the operating cost. This was bypassed by including the economies of scale under which the sales representative will acquire the jewellery from the sales …show more content…
The strategy mitigates the obstruction because of supplier and complementors as it is taken care by the established position of the company. The network and capabilities of the sales representative will be the key roadmap to position the product superior to the existing suppliers of the retailers. The segmentation of market itself destructs the disturbance to be caused by the threat of substitute and the replication of the customers buying
The selling process involves fewer personnel and is majorly guided by the product offering, commitment fulfilling process and response to the dynamics of the market. Thus the forecasting process depends upon the size of the customer and the nature of buying process. The thumb rule of sales i.e. “Big buyers buy from Big Suppliers” could be clearly observed, as the inventory cost is high and the payment conditions are more relaxed.
The basic mode of sales is by Personal/Direct selling, the selling team is head by the family …show more content…
To penetrate the potential market, of Karnataka and Tamil Nadu, Raj Gold initiated the strategy of ‘Company Sales Representatives’ in 2011.
This strategy involved the company’s sales head and a small wholesaler having a wide reach into the local market, but with very little capital to reach out to them. The sales representative were choose in accordance to their ability to sell, recommendation from known personnel and the market reach capability.
The payment to the sales representative depends on the quota of sales and a fix margin on each kg of jewellery sold. The sales representative is first required to approach the client and collect his company details and convey it to the sales head. This assures that the client data is passed on to the database, and thus allowing timely checks of records, relating to payment, buying pattern, buying capacity, personal details, etc. The major obstacle for Raj Gold was to penetrate into completely new market of small buyers, which did seem justified because of the operating cost. This was bypassed by including the economies of scale under which the sales representative will acquire the jewellery from the sales …show more content…
The strategy mitigates the obstruction because of supplier and complementors as it is taken care by the established position of the company. The network and capabilities of the sales representative will be the key roadmap to position the product superior to the existing suppliers of the retailers. The segmentation of market itself destructs the disturbance to be caused by the threat of substitute and the replication of the customers buying