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Mapping and Territory Management web-service

August 29, 2011     ShareThis

Part B – How to use a territory management tool? (Part A)

When you start working on your territories, first you should determine the number of territories needed based on your criteria. Criteria can include equitable distribution of leads or workload, account assignment, number of sales people, travel time, location of distributors, and other variables relevant to your business.

Designing new territories

SDSU in one of its articles, indicates a number of factors to consider when designing new territories:

  1. Territory should have the potential for a salesperson to make a good living.
  2. Salesperson should be able to work the territory efficiently and economically.
  3. Territory should have a few ongoing accounts not just all new potential buyers.
  4. Territory should be designed to minimize overnight travel.
  5. Territory should be designed such that transportation facilities allow access for supervisors and efficient delivery of merchandise.
  6. Territory should yield an adequate return for the company.
  7. Territories should be approximately balanced for income among salespeople.

Your territories should achieve these goals, as many as possible:

  1. Balancing workload among sales representatives by grouping customer types.
  2. Increasing sales by minimizing windshield time.
  3. Improving customer service through consistent contact with rep.
  4. Increasing morale and motivation among sales force by providing equal opportunities.
  5. Reducing costs by maximizing customer coverage.

By creating aligned territories, the right way, managers can benefit from:

  1. Viewing their territory status, in all levels.
  2. Better insight into sales effectiveness and performance.
  3. Planning routes more effectively.
  4. Easily updating territories.
  5. Collaboration between sales teams who have close territories.
  6. Increased productivity and sales at a relatively low cost.
  7. Reduced staff turnover rate.

Companies usually conduct a yearly review of sales territories. An update to this review should be done when the business changes, for many reasons, such as staff turnover, workload, customers, or products and if there is any chance of a decrease in productivity.

Remember – Aligned territories provide a competitive advantage for you.

Analyze, realign, redesign, optimize and manage your field territories to constantly improve your ROI.