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Why use a territory management tool

August 22, 2011     ShareThis

Part A – Why use a territory management tool?

The opportunity to increase sales can sometimes be found in balancing territories. In today’s competitive world, no company should stick to inefficiently aligned territories, especially with automatic territory tools that make it so simple and easy to handle. Managers can use our mapping and territory management service to analyze, realign, redesign, optimize and manage their geographic field territories. A variety of companies with staff working in the field including sales reps, distributors, service personnel and many more, can benefit from territory optimization. Companies territories are usually based on criteria such as work load, driving distance, number of customers, lead distribution, etc and studies show that over 75% of the companies are missing 3% – 8% of unrealized sales because their territories are misaligned. When territories are misaligned, there is a loss of revenue and a waste of resources while sometimes only a small sales territory realignment can have a big impact on sales force productivity.

Territory alignments

There are a number of problems related to field rep. work that accurate territory alignments can solve:

  1. An average field sales rep spends approximately 20% of his time traveling. More efficient territory design results in less travel time and thus more selling time.
  2. Field sales reps are either under or over-capacity meaning that sales resources are being wasted. Balanced territories mean that money will not be left on the table.
  3. Not only time is being wasted, but there are other expenses such as fuel and wear and tear. Aligned territories and optimized routes minimize the travel distance and thus reduce fuel costs and wear and tear, not to mention their positive effect on your carbon footprint.

Balanced territories

Our mapping and territory management service provides a visual display that allows the user to easily review his team’s territories and make sure they are balanced, avoiding the problems mentioned above. Not long ago, people used to do this manually, with maps and pins, wasting hours on mapping their entire area and defining their territories. With an automatic mapping service, you’ll be saving time and money planning your territories.
Continue reading – Part B.