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Factors Affecting Sales Plan

Posted: Sun Dec 22, 2024 7:57 am
by subornaakter10
They are used as a basis for drawing up a preliminary sales plan:

Personnel – employees who ensure production, sales, transportation, and so on.

Distribution method is the channel saudi arabia mobile number used by a company to sell its products.

Market position – a jump or decline in business influence.

Legislative reasons – the adoption of new amendments, the repeal or change of old laws will inevitably affect business and, consequently, sales.

Product range – their size, tendency to expand or decrease, demand, liquidity.

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Seasonality – the demand for many goods directly depends on the time of year.

The activities of competitors are something that you should always pay attention to. Any wrong action can turn potential buyers away from you and towards similar companies.

Own activities – sales promotion activities (advertising, marketing, promotions, contests, etc.).

Customers – you need to get to know your target audience better. This is the other side of sales. The data you collect will help you in the planning process, as it requires you to consider:

approximate number of clients;

solvency;

the level of audience demand for the product being sold, and so on.

In addition to these factors, sales volume will also be affected by the classification of products into interchangeable groups (an increase in the price of one will lead to an increase in demand for the other) and complementarity (there is a direct relationship here - this means that if one of the "pair" is needed, then the other will also be needed).

For example, when the price of desktop computers goes up, the demand for laptops goes up. As sales of washing machines go down, fewer and fewer people buy automatic laundry detergents.


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10 steps to create a sales plan
You can't expect your plan to be executed 100% perfectly, but it is important to have one. This way, you can set the tone and do everything possible to ensure that sales go as planned. In order for the plan to be as effective as possible, the process of creating it should include the following ten basic steps.

Market research

Don't rely on previous years' figures. Market conditions (demand, supply, competition, etc.) change quickly. Evaluate the current political, economic, social and cultural situation, study rumors. Only based on current information can you make forecasts regarding future demand, competitors' behavior, and so on.

It is important to understand the behavior of not only neighboring but also international competitors. The experience of other people working with similar products is always useful. You can get important information from them that will help you take your business to the next level.

Analysis of indicators for previous years taking into account the seasonality of the business and in specific product groups

A good way to do this is to plot a chart showing monthly sales figures. This method is convenient because it is compact: on one sheet of A4 paper, you can show the dynamics of the company's development for more than a year. In addition, you can see the impact of special circumstances, such as holidays, weather, the number of employees per shift, the growth of customers' solvency (due to wages), the beginning of the travel season, and much more. This data will be very useful when developing sales plans and advertising campaigns.