Question

Mr. Lewis is the Marketing Manager of a leading fast-moving consumer goods company. He observes that a particular brand of shampoo manufactured by the company is not preferred in the market. As a result, the sale has declined over a period of time. It is found that dealers are unwilling to stock the shampoo.

1. Suggest five techniques of sales promotion to induce dealers to stock the shampoo.
2. How would you recruit and select new sales representative to persuade the dealers.

Answer 1

Five techniques of sales promotion to induce dealers to stock the shampoo are:

1. Price off: The manufacturer may provide a new or underperforming product to dealers at a lower price than its advertised price. Dealers allow price reductions to maintain fair profit margins.
2. Free goods: Manufacturers offer free goods to dealers who order above a certain quantity or volume. This could be in the form of cash gifts or advertising.
3. Allowance: Manufacturers provide dealers with unique privileges to promote their products through displays and marketing. This compensates them for promotion-related expenses. An advertising or display allowance compensates dealers for promoting or showing the manufacturer's products. 
4. Contests: A sales contest is a competition between a company's sales force or dealers to increase sales. Those that sell the most receive awards in cash or kind.
5. Free training: It could be organised to improve the efficiency of the dealers.

The shampoo brand will hire sales representatives internally by promoting and transferring top performers from other product divisions. The top sales representative will be assigned to challenging areas where dealers are reluctant.

Selection Procedure: Employee selection often involves the following steps:

1. Preliminary interview: Job hopefuls are greeted at the enterprise's reception counter. The receptionist or other official conducts a brief interview with candidates to assess their suitability for filling out the bank application form.
2. Blank application: After passing preliminary interviews, candidates must fill out a weighted application form.
3. Employment tests: Candidates may need to take employment tests to prove their qualifications for the job. These tests rely on sampling to predict human behaviour in real-world work situations.
4. Selection interview: The selection interview validates the information provided in the application form and test results.
5. Medical examination: A medical check is required for potential employees to prevent compensation claims from individuals with disabilities.