Thought Leadership - Sharing insights

Timely reminders

I’ve been looking through some old sales training material. Its something I do around this time of year. It refreshes the parts other notes can’t reach. 

Something that has caught my attention today is Point of Purchase Drivers. These bring the four areas Account managers try to influence, together to increase the volume and hence the profit to the customer. The four key elements are distribution, price, promotion and merchandising but what are the influence circles that are deployed to address outcome? 

With distribution, we know that the core parts are depth, breadth and availability. But what priorities do they have with the commercial relationship under development against the desired success? What impact will price, distribution, promotion and merchandising have on the outcome?

Let’s look at promotion. The three elements are:

  • the quantity of offer,
  • type of offer
  • depth of offer.

Understanding how these elements impact on the:

  • promotions offered,
  • the added value
  • impact on returns,

will drive success.

As for price, balancing retail price and cost price against both parties commercial expectations defines the quality of the trusted relationship. Finding the common ground determines the strength of the commercial relationship.

And finally, merchandising transverses across the store enticing he shopper to the brand. Consequently, 

  • siting,
  • space,
  • layout,
  • theatre
  • visibility

are the primary focus points to be addressed. Get the balance right here and the shopper will engage. Deliver empty nonfunctional space and the shopper will walk past.

The plan is to know your outcome to give you clear thinking and deliberate direction for communication in any situation. Understanding the other party’s position increases success as you communicate effectively.

Keeping is simple is key. Too many well-intentioned negotiators over complicate. Information retention is remarkably low so use fewer words. Be yourself and you will get there quicker.

Finally, invite feedback. Be open to their responses, listen, appreciate and tailor your communications to suit.

By focussing on Outcome, Giving and Receiving simultaneously, you will improve outcome.