strategi pemasaran.pptx
TRANSCRIPT
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STRATEGI PEMASARAN
Arriffin Mansor
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Value Creation Model:
Value Creation/ Destruction
Operating Income Total Assets WACC
Gross Profit Cost Structure
Current Assets Fixed Assets
Revenues Cost of Goods
WorkingCapital
Other Assets & Liabilities
Inventory
Debtors
Creditors
-
-
-
+
+
-
+
( )x
Long TermLiabilities+
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Value Creation/ Destruction
Operating Income TotalAssets WACC
Gross Profit Cost Structure
Current Assets
FixedAssets
Revenues Cost of Goods
WorkingCapital
Other Assets & Liabilities
Inventory
Debtors
Creditors
-
-
-
+
+
-
+
( )x
Long TermLiabilities+
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THE STRATEGIC GAPS• HOW MUCH GROWTH IS LEFT IN MY CURRENT
MARKETS? CUSTOMERS?• WHERE WILL MY FUTURE GROWTH COME FROM?• HOW WILL I CAPTURE MARKET SHARE?• WHAT ARE THE COMPONENTS OF MY
DIFFERENTIATION STRATEGY? • WHERE DO I GENERATE PROFITS? WHERE COULD I
GENERATE PROFITS?
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POSITIONING
Which segments / customers will we concentrate on ?
Whom will we challenge for these customers?
What incentives will we provide to get them to buy from us… rather than from competitors?
CUSTOMERTARGETS
COMPETITORTARGETS
CORESTRATEGY
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BUSINESS STRENGTHS
ACCOUNTATTRACTIVENESS
High
Low
Strong Weak
THE ACCOUNT PORTFOLIO
• Size• Growth• Profitability• Location• Purchasing criteria and
processes• Current suppliers• Status of customer
(prestige)
• Product range• Product efficacy• Service quality• Price• Technical services• Reputation/image• Past experience• Quality of sales staff• Quality of relationships
Invest / GrowSelectively
Invest
MaintainManage for
Cash / Withdraw
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Strong Strength of Position Weak
High
AccountOpportunity
Low
ACCOUNT PORTFOLIO ANALYSIS
Attractiveness:Accounts are very attractive since they offer high opportunity and sales organization has strong position.
Sales call strategy:Accounts should receive a high level of sales calls since they are the sales organization’s most attractive accounts.
Attractiveness:Accounts are potentially attractive since they offer high opportunity, but sales organization currently has weak position with accounts.
Sales call strategy:Selected accounts should receive a high level of sales calls to strengthen the sales organizations position.
KEY TARGET
MAINTENANCE WHY BOTHERAttractiveness:
Accounts are somewhat attractive since sales organization has strong position, but future opportunity is limited.
Sales call strategy:Accounts should receive a moderate level of sales calls to maintain the current strength of the sales organization’s position. And, efforts should be made to replace field sales calls with telephone sales.
Attractiveness:Accounts are very unattractive since they offer low opportunity and sales organization has weak position.
Sales call strategy:Accounts should receive no field sales calls and a minimum of inside sales resources.
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HighA
CC
OU
NT
AT
TR
AC
TIV
EN
ES
S
Low
Strong WeakYOUR STRENGTH OF POSITION
ACCOUNT SEGMENTATION AND PRIORITIZATION
KEY ACCOUNTS
• 10-20% of your account base
• 80% of your GP$
• Receives less than 50% of your resources
TARGET ACCOUNTS(Your competition’s Key Accounts)
MAINTENANCE ACCOUNTS WHY BOTHER? ACCOUNTS
• Gets very little attention
• 40-45% of your account base
• 10-15% of your GP$
• Receives 30-40% of your resources
• 30-40% of your account base
• Less than 5% of your GP$
• Receives 20-30% of your resources
• Creates 90% of your “headaches”
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10 LANGKAH RANCANGAN PEMASARAN
Matlamat Pemasaran
Sasaran Pelanggan
Strategi Pemasaran
Perletakan Produk
Segmentasi
Titik Pulang Kos
Pengurusan Jualan
7 langkah menjual
Metrik Pemasaran
Ramalan Jualan & Kos
Penghantaran
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3 ways of doing business – M. Porter
Product Differentia
tion and premium
pricing strategy
Niche Marketing
Mass productio
n and cheap pricing strategi
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5 Langkah Rancangan Pemasaran`
1 1 •Analisis Kos volum dan untung•Strategi PTJ, PTA & PTE
2 •Modal kerja dan Modal Tetap•Strategi Perniagaan - Michael Porter
3 •Segmentasi dan Sasaran dan profile pelanggan•Saiz dan nilai pasaran
4 •Strategi 4 P•Positioning atau perletakan
5 •Strategi Pemasaran melaui BSC perspektif•Metrik Pemasaran
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Matlamat PerniagaanPTJ
• PTJ
Pusingan Aset
• PTA
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CORPORATE PERFORMANCEROE
ROA
ROS
ATO
EM
ASSETS
EQUITY
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PEMASARAN
Matlamat Pemasaran
Rancangan Jualan
Rancangan PemasaranStrategi Pemasaran
Rancangan Keuntungan
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5 Langkah Rancangan Pemasaran`1 1 •Titik pulang kos
•Matlamat Pemasaran
2 •Modal kerja dan Modal Tetap•Strategi Perniagaan
3 •Segmentasi ,Sasaran dan profile pelanggan•Saiz dan nilai pasaran
4 •Strategi 4 P•Positioning atau perletakan
5 •Strategi Pemasaran melaui BSC perspektif•Metrik Pemasaran
6 •Belanjawan Pemasaran
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STRATEGI PEMASARAN
•Margin premium atau murah•Kuantiti banyak x margin kecilHarga
ProdukPromosi
Saluran
•Kualiti atau biasa•Faedah produk diterang dgn jelas
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Working capital
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Kehendak Manusia
SELF ACTUALISATION
EGO
SOCIETY
SECURITY
BASIC
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Interaksi Pemasaran
Pelanggan
ProdukOrganisasi
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Penetapan Harga
Harga Kilang Kos Penghantaran
Overhead Pemasaran &
Syarikat
Untung Pemasaran
Harga Produk
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PEMASARAN STRATEGIK
1. Senario Ekonomi Malaysia2. Campuran Pemasaran3. Analisis Pemasaran (SWOT & Audit)4. Kajian Kes5. Penyediaan Pelan Pemasaran Strategik6. Pembentangan
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PEMASARAN STRATEGIK
Senario Ekonomi Malaysia• Perniagaan ialah 1 unit drpd satu sistem ekonomi• Perubahan dalam sistem yg besar beri kesan kpd
unit-unit sekeliling• Kepekaan kpd senario ekonomi semasa beri
kemampuan untuk bertindak ikut rentak sealiran dgn ekonomi
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PEMASARAN STRATEGIK
Petunjuk-petunjuk utama ekonomi (key economic indicators):
1. KNK (GDP)2. Indeks Komposit BSKL3. Belanjawan Negara4. Polisi Fiskal5. Polisi Kewangan
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PEMASARAN STRATEGIK
Senario Ekonomi Malaysia1. Kepentingan Usahawan2. Dunia Tanpa Sempadan3. K-Ekonomi4. Islam5. AFTA
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PEMASARAN STRATEGIK
Apa itu Pemasaran Strategik?• Suatu usaha untuk mempertahankan keuntungan
dan kelebihan kompetitif melalui satu Strategi Pemasaran yang komprehensif dan terkini
• 3 elemen pokok dlm Pemasaran Strategik ialah S.T.P (segmentation, targeting, & positioning)
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Sales Force Management
Fall 1999
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Product Life Cycle Impact: The Value Added Wall for HPBA Companies
Time
Sales
Profits
Product
Value AddedServices Price
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Profit Margin ManagementSales
Cost of Goods Sold
Gross Margin
Net Profit
Net ProfitMargin
TotalExpenses
Sales
÷
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Managing Assets: Inventory and Accts Rec. are the keys
Inventory
AccountsReceivableCurrent Assets
Sales
AssetTurnover
FixedAssets
Total Assets
÷
Other CurrentAssets
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Calculating Return on Assets
Inventory
Accts Rec.Current Assets
Sales
AssetTurnover
FixedAssets
Total Assets
÷
Other CurrentAssets
÷
Net Profit
Net ProfitMargin
Sales Total Expenses
Gross MarginSales
Cost OfGoods Sold
Return onAssets
Net Profit/Total
Assets
x
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Sales management - Outline
• Role of the sales force in corporate strategy • Trends in personal selling and sales
management• Functions of the salesperson and sales
manager• Course overview
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Strategic Leverage of the Sales Force
• Customer focus• Enhances customer loyalty• Source of competitive advantage
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Enhances Customer Focus
• Allows a targeted market segment approach– one customer at a time– customize sales calls and presentations by needs– important source of market knowledge and
customer needs assessment
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Develops Customer Loyalty
• Creates high switching costs– salesperson (knowledge, expertise, relationship)
creates product/service differentiation, particularly when competitors’ products deliver the same basic benefits
• Loyalty reduces the customers’ price sensitivity
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Source of Competitive Advantage
• Creates a barrier to entry– costs of creating a sales force– market access
• Creates a medium-to-long term competitive advantage– unlike advertising (medium-term) or pricing
(short-term)
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Trends in Personal Selling
• Nature of the sales job:– Informed consultant:
• knowledge of customers, industries and applications
– Process (rather than event) driven– Team player – Customer advocate/Market feedback– Integration of promotional mechanisms (e.g. DTC)
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Trends in Personal Selling
• Nature of the sales manager’s job:– Decentralized management; greater span of
control– Automation – Database targeting/customer data– Evaluated on team performance (rather than
individual performance)– Reward in many ways (not just $$)
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Importance of Effective Sales Management
• Expensive part of marketing strategy• Cost of call:
– Overall average: $157– ($239 for a value-added selling environment)
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Sales and Marketing ManagementSales and Marketing Management
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Drivers Of/Barriers to Change
What’s driving you to
make these changes?
What’s stopping you from making these
changes??
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ELEMENT OFSTRATEGY
KEY / TARGET MAINTENANCE WHY BOTHER
• Order Processing Top priority. Secondary priority. Lowest priority.
• Technical Support Top priority Secondary priority. Not available.
• Training Yes. Yes. Hourly fee. Not available.
• Fill Rates X% Y% 100%. No backordersship complete.
• On-time Shipment
Stock items sameday if order placeby 4:00 p.m.
Stock items sameday if order placedbefore 1:00 p.m.
Stock items shippedwithin 48 hours.
• Product Mix Stock & non-stock from stock & non- stock suppliers.
Stock and non stock from stocking suppliers only.
Stock, in stock only.
• Non-stockSourcing
Yes. Yes, from stockingsuppliers only.
No non-stocks.
• Minimum OrderSize
No minimum. No min. on stock items; $200 minimum on non-stock items.
$200.
DIFFERENTIATING CUSTOMER SEGMENTS
Customer Segment
• Returns Yes. No restockingfee.
Yes, restocking feeof $X.
Only if over $Y,restocking fee of $X.
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Perspectives on the Sales Management Function
Traditional View New View
Do-er
Responsible for Volume
Short Run
Individual Customers
Field Work Rather Than Desk Work
Driver
Manager of ScarceResources
Profit Planning
Long Term and ShortTerm
Customer Types and Segment Differences
Systems for Market Analysis, Planning and Control
Leader
Developer of Sales Developer of People
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Better Understanding of Customer’s Needs
Better Selectivity
Better Selling Strategies
Better Time & Territory Management
TheSelling
Ballgame
Changing BusinessEnvironment
Leads to
Changing SellingEnvironment
Resulting in
Harder to Get and Hold Customers and It Costs
More!
Implications
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Customer Results
Sales Force Activity
Company Results
THE INTEGRATED MODEL
People and Culture
Sales Force Drivers
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PURPOSE OF A BUSINESS• Purpose of a business is to create a customer.• Profit is only a test of management decision making.• Profit is required to maintain the customer.• A business only has two primary functions, sales and innovation,
everything else is just cost.
INNOVATION MARKETINGThe world according to Peter Drucker
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BALANCED SALES TEAM
THE LOGIC
Communicating and Linking Communicating and
educating Setting goals Linking rewards to
performance measures
Planning and Target Setting Setting targets Aligning strategic
initiatives Allocating resources Establishing
milestones
Strategic Feedback and LearningClarifying the Focus Articulating the focus and
strategy Facilitating strategy
review and learning
Clarifying and Translating the Focus and Strategy Clarifying the focus Gaining consensus
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INCREASEBENEFITS
REDUCECOST
Lessen cost and effort of acquisition
Create extraordinary value for a few
very largecustomers
Intrinsic Value Customers(buying on product value alone)
Strategic Value Customers(leveraging supplier’s
enterprise competencies) Extrinsic Value Customers
(buying beyond product value)
Create new value through sales efforts
STRATEGY DEVELOPMENT
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Functions of the Salesperson
• Prospecting• Communicating: two-way• Allocating & coordinating: company
resources, time• Servicing• Helping define marketing strategy
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Functions of the Sales Manager
• Communicate expectations: tell salespeople what you expect them to do
• Make the work doable: an important component o the SM role here is removing obstacles to performance
• Evaluate and give feedback: reward successful behavior, apply corrective actions for behavior that is not acceptable
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Course Overview
• Effective Personal Selling• Strategic Issues• Tactical Issues• Industrial Settings
– informed buyers– discipline of repeat purchase– often genuine differentiation is possible
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PEMASARAN STRATEGIK
Petunjuk-petunjuk utama ekonomi (key economic indicators):
1. KNK (GDP)2. Indeks Komposit BSKL3. Belanjawan Negara4. Polisi Fiskal5. Polisi Kewangan
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Pyramid Metrics
Return on Equity
Return on Assets
Gearing ratio
Resource Efficiency
Profit per person
Sales per hour
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Course Overview (continued)
• Effective Personal Selling– What is effective personal selling?– Business to business selling and the Buyclass
Framework (Case: Lawford Electric)
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Course Overview (continued)
• Strategic Issues– Vertical Integration (Case: Jamestown)– Control Systems– Structuring the Sales Force(Cases: Wright Line &
Siebel Systems– Sales Force Allocation: Deployment & Organization
(Case: Syntex)– Territory Assignment & Design– Strategy for Optimal Sales Productivity
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Course Overview (continued)
• Tactical Issues– Sales Analysis (Case: Milford A)– Performance Evaluation (Case: Milford B)– Compensation (Case:Mary Kay Cosmetics) &
Motivation (Case: IMAGE)– Selection (Case: IDS) & Training– Information Systems/Sales Force Automation
(Case: Profiling at National Mutual)– Sales Force Automation
Personal Selling
“Everybody lives by selling something.”Robert Louis Stevenson
Careers in Sales High demand but not a career for everybody,but, good experience early in any career…Negative perceptions$…$…$
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Personal Selling 7 steps
Selling Process
1. Prospecting2. Customer Profile3. Approaching4. Presenting/Demonstration5. Handling Objections and Questions6. Closing7. Follow-up
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Personal Selling
Sales force activities– Cultivating new clients– Communication– Selling– Servicing– Information gathering– Allocating scarce resources
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Personal Selling
ObjectivesUnits or $ soldMarket share by territoryTarget profit per saleMaximize sales per $ costMaximize number of sales calls per period
…but these mostly conflict…?
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Personal Selling
Salary versus Commission
control…incentive
security…fairness
simplicity…flexibility
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Personal Selling
4 E’s1. Energy for long hours2. Enthusiasm for job, product3. Empathy for customer4. Ego, victory, desire to win
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Blowing in the Wind Video
Annoying Sales Promotion Works
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Cost-Volume-Profit Graph
Revenue Total Revenue
Total Cost
Unit soldX
Y
Loss
Profit
X = Break-even point in unitsY = Break-even point in revenue
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Profit-Volume Graph
Profit
- F
Loss Break-Even PointIn Units
Units
Slope = P - V
I = (P - V)X - F
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Example 3
The Rapid Meal has two restaurants that are open 24 hours per day. Fixed costs for the two restaurants together total $450,000 per year. Service varies from a cup of coffee to full meals. The average sales check for each customer is $8.00. The average cost of food and other variable costs for each customer is $3.20. The income tax rate is 30%. Target net income is $105,000.
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Example 3 Cont’dCompute the total dollar sales needed to obtain thetarget net income.
How many sales checks are needed to break even?
Compute net income if the number of sales checksis 150,000
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Assume the following: Regular Deluxe Total PercentUnits sold 400 200 600 ---- Sales price per unit $ 500 $750 ---- ---- Sales $200,000 $150,000 $350,000 100.0%Less: Variable expenses 120,000 60,000 180,000 51.4 Contribution margin $ 80,000 $ 90,000 $170,000 48.6%Less: Fixed expenses 130,000Net income $ 40,000
=======
Multiple-Product Example
1. What is the break even point?
2. How much sales revenue of each product must be generated to earn a before tax profit $50,000?
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Pulangan terhadap ekuiti
Pulangan terhadap Jualan
Pusingan Aset
Gandaan Ekuiti
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Pulangan Prestasi Utama
PTJ
PTA
PTE
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KEY PERFORMANCE INDICATORS
U/J = UNTUNG BERSIH
J/A = PUSINGAN MODAL
A/E = GANDAAN HUTANG
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KEY PERFORMANCE INDICATORS
U/J = UNTUNG BERSIH
J/A = PUSINGAN MODAL
A/E = GANDAAN HUTANG
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Maximising ROS strategies
Profit
Sales
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Maximising ROA strategies
Profit
Assets
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Maximising ROE strategies
Profit
Equity
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Costs plus profit
Variable costs
Fixed costs
Profit
Price
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Harga Pengilang
Harga Kilang
Bahan Mentah
Upah Overhead
Untung Kilang
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Harga Jual
Harga Jual
Harga Kilang
Upah JualPenghantaranOverhead Jualan
Overhead syarikat
Untung Pasaran
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Kos Overhead Syarikat
Kos Overhead Syarikat
CEOCFO
CLO
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Overhead KilangOverheadKilang
Overhead
Syarikat
Overhead Kilang
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OVERHEAD JUALAN
Overhead
Jualan
Overhead
syarikat
OverheadJualan
81
Total Capital
Working Capital
cash
stock
debtors
-creditors
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Financial Leverage:
Assets Liabilities
83
Harga Kilang
Bahan Upah diKilang
Overhead Kilang
Overhead syarikat
Untung Syarikat
84
Harga Produk
Harga Kilang Bahan
Upah
Overhead Kilang
Overhead Syarikat
Untung Jualan
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Value Chain
Inputs Process Output Outcome
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Inte
rnal
Pro
cess
Stak
ehol
der
Lear
ning
& G
row
th
Reduce Re-Activities thru ABC/M
Establish Web Based Self Services
Knowledge Management
Human Capital
Improved Returns on
Investments
More rapid and accessible services
Leadership Development
Inve
stm
entsStrategy Map: Capture a Cause Effect
Relationship from the Bottom Up
IT Infrastructure
Facilities and Fixed Assets
Economic Model Process
Expand Global Facility Reach
87
Managing Assets: Inventory and Accts Rec. are the keys
Inventory
AccountsReceivableCurrent Assets
Sales
AssetTurnover
FixedAssets
Total Assets
÷
Other CurrentAssets
88
Perspektif BSC
Kewangan
Pekerja dan Kemahiran
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Perspektif BSCMargin x PusinganPelanggan Baru dan
Pelanggan lamaKecekapan perkhidmatan & Jualan Kredit
Perkhidmatan kaunter & Jurujual dan pemberian kredit yang bijak
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Perspektif BSCKewanganPelangganProses Dalaman
Pekerja dan Kemahiran
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Harga Kilang
Penghantaran
Upah JualOverhead jual
Overhead Syarikat
Untung Jualan
Harga Jual
KOS DAN HARGA
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Strategi Pemasaran
Perspektif
KEWANGAN
PELANGGAN
OPERASI
PEKERJA
KPIsMargin JualanPertumbuhan pelanggan
Pasaran Baru
Customer retentionAcquisitionpenetration
Kos per unitDelivery time
Produktiviti
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Matlamat Pemasaran
PTJ •untung•Jualan
PTA •Jualan•Jumlah Aset
GE •Aset•Ekuiti
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Produk
isiIntangible JaminanBungkusan
95
Kualiti Produk
durabiliti
beauty
functional
keselamatan
economy
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STRATEGI PEMASARAN
PULANGAN
TERHADAP JUALAN
PUSINGANASETGANDAAN
EKUITI
PULANGAN TERHADAP
EKUITI
Jualan tunai dan belian secara kredit
Kurangkan kos tingkatkan jualan
Sewa jangan beliJika beli dengan pinjaman bank
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Rancangan PemasaranPTE
Positioning
Strategi pemasaran
Segmentasi Pelanggan
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PEMASARAN
Segmentasi
Perletakan
Strategi
Marketing PlanMarketing Objectives Product Place Price Promotion
Increase Market Share New Product Penang Reduce Price of
product AHave web
based promotion
Gain New Customers Add benefits Direct selling Higher margin networking
Market Penetration
Better brochures
Existing klang valle channel
Reducing Price by 3% CRM
Improve Sales Margin Change packing Reduce
marketing costs Increase PriceUsing web
based marketing
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Strategi Pemasaran perspektif BSC
• Tingkatkan Pulangan
• Syer pasaran
• Tambah Pelanggan
• Nilai Jualan
• Masa penyampaian
• Kos menurun
• Kompetensi• Teknologi baru
Matlamat Kewangan
Kepuasan Pelanggan
Proses Dalaman
Pekerja & Latihan
101
Rancangan Pemasaran
• Analisis kos, volum dan untung.• Belian atau harga kilang• Tunai + penghutang + stok• Kos Penghantaran• Overhead Pemasaran
102
14 Langkah Rancangan PemasaranAnalisis Kos volum dan
untung
Matlamat Pemasaran
Segmentasi Pelanggan
Strategi Pemasaran –
4ps
Perletakan Produk
Pengurusan Jualan
7 Langkah menjual
Belanjawan Belian atau harga kilang
RamalanJualan Bualanan
Modal Kerja
Kos Penghantaran
Overhead Pemasaran
Metrik Pemasaran
Belanjawan Pemasaran
COMPTENCY DEVELOPMENT
RoleIdentified
competenciesAssessment
resultAreas of
improvement Action plan
Dr. MG Jomon, XIMB
104
Current Sales Trend
105
Musical stairs
106
Terima Kasih
Soalan soalan jika ada
107
“Bottom Line”
A business can no longer rely on the uniqueness of their
products to retain customers or grow new sales revenue.
Customers will align their business with strategic suppliers who understand their business and bring a unique offering which adds value by
impacting their “bottom line” through increased sales revenue or reduced costs
108
Inadequate Sales Performance
Aware of whatwas expected
Aware of ownperformance
Uncontrollablenegative factors
Lack of ability
Lack of want-to
How can goals and standardsbe made clear?
How can the salespersonbe sensitized?
How to avoid, eliminate,or ignore?
How to train?
How to motivate?
No
No
Yes
Yes
Yes
Yes
Yes
No
No
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Evaluating Sales Performance
InformationSources
Data Analysis
Observation
Interview
110
Possible Situations...
Fix theproblem(ROTI)
Forget theproblem
orTerminatethe person
Causes of the problem are fixable
Causes of the problem are fixable, butnot work fixing
Causes of the problem are not fixable
111
THE SALES REPRESENTATIVE THINKS…
The Planning Process Priorities Programs Processes The Numbers
1. What is expected of me?
The Feedback Process Metrics Performance Appraisals Field coaching Meetings Compensation
2. How am I doing?
The Adjustment ProcessCorrective actionsContinuous ImprovementKIP’s, PIP’s New planning for the
future
3. How do I need to change?
112
QUOTES FROM PERFORMANCE APPRAISALS
• “This individual has talents but has kept them well hidden.”
• “Combs his hair to one side and appears rustic.”
• “A quiet, reticent, neat appearing individual— industrious, tenacious, diffident, careful, and neat. I do not wish to have this person as a member of my staff at any time.”
• "His leadership is outstanding except for his lack of ability to get along with his subordinates.”
• “He hasn’t any mental traits.”
• “He needs careful watching since he borders on the brilliant.”
• “Believes sincerely in the power of prayer and it is astonishing to note how many times his prayers are answered.”
• “He never makes the same mistake twice but it seems to me that he has made them all once.”
• “Gives the appearance of being fat due to the tight clothes he wears.”
113
QUOTES FROM PERFORMANCE APPRAISALS–2
• “Is keenly analytical and his highly developed mentality could best be used in the research and development field. He lacks common sense.”
• “An independent thinker with a mediocre mentality.”
• “Recently married and devotes more time to this activity than to his current assignment.”
• “Tends to create the impression of unpositive personality through needless and undiscerning gentility and soft spokenness.”
• “Of average intelligence except for lack of judgment on one occasion in attempting to capture a rattlesnake for which he was hospitalized.”
114
The Key Challenge
Implications
1. Less discounting.
2. Selling higher margin products.
3. Selling more product lines to each customer (cross-selling).
4. Being more selective and discriminating in qualifying potential buyers.
5. Better use of selling time (deployment).
Sales Productivity =G.M.
C.O.S.
Where: G.M. = Gross Margin DollarsC.O.S. = Cost of Sale in Dollars
115
SUMMARY
Defined Getting in front of Using skills and abilitiescustomer at minimum to maximize salescost potential
Mechanisms Working harder: Working smarter:for improving – time management – coaching
– incentives – skills training– call reports – account strategies– territory design
Measures – penetration – success rates– call rates – repeat business– cost / call – sustainable margins
Sales Efficiency Sales Effectiveness
116
MOVING TO ACTION
• Efficiency:– Can be driven top down
• Effectiveness:– Acting differently– Hard to drive top down– Salespeople and managers do it
Source: The Klompmaker Consulting Group
117
Logistics – A Strategic Perspective
• Measured by Cost• Technology allows firms to manage inventory
they cannot see and sometimes do not own• Disintermediation• Creating wholesaler value
118
Two Views of Inventory Management
Velocity
Level
119
Inside the Buyer’s Mind• What do you offer?• What do you offer that no one else has?• What do you offer of value?• Does it really fill my need?• Is it real world?• Will it work?• Will it work in our environment?• How will it impact our people?• How could it impact our success?• Will senior management buy in?• Will my people use it?• How will we produce as a result of the purchase?• How will we profit as a result of the purchase?• Do I trust the people I’m buying from both as people and for their ability to deliver
what they promise?• How will it come together?• How do we buy it?• Do I have the comfort to sign off now?
120
ABC Analysis Based on Annual Dollar Volume Annual Dollar Volume Percentages
1 2 3 4
Item Unit Cost
Annual Usage (units)
Annual Usage (dollars)
% of Total Dollar Usage
1 4.00 1,000
2 2.50 1,500
3 3.00 5,000
4 30.00 4,000
5 31.00 10,000
6 1.20 8,000
7 25.00 1,500
8 20.00 100
9 8.00 625
10 6.00 2,000
Total 100% 1. Now rank the answers from the highest annual dollar usage to the lowest:
1 2 3 4 Item Annual Usage
(dollars) % of Total Cumulative % Classification