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Test 3 Results:

Test 3 Results:. Average = 79 Range: 96-48 A = 6 B = 13 C = 17 D = 2 F = 1. Sales Audit Guidelines. For the written report: 1. Cover Sheet: Student names, company name, date 2. Opening paragraph – identify company, name of person interviewed, date and time of audit

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Test 3 Results:

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  1. Test 3 Results: • Average = 79 • Range: 96-48 • A = 6 • B = 13 • C = 17 • D = 2 • F = 1

  2. Sales Audit Guidelines • For the written report: 1. Cover Sheet: Student names, company name, date 2. Opening paragraph – identify company, name of person interviewed, date and time of audit 3. Answer each question in a paragraph format. State the question in bold. Follow with the answer in regular type.

  3. Oral Presentation • Your team has a total of 7 minutes. • 7 minutes maximum! • You may use visual aids if you wish. • Keep any visual aids simple—you have only 7 minutes to share the material.

  4. Conducting A Sales Volume Analysis • The sales volume analysis is part of the company’s evaluation process. • A manager must look at end results—then find out (1) what happened, (2) why it happened, and (3) decide what to do about.

  5. Sales Volume Analysis (SVA) • “A careful and detailed study of the company’s sales volume; done to determine where sales come from” • The SVA is one half of a marketing profitability analysis. The other half is a marketing cost analysis (MCA) (Covered in Chapter 15). • MPA = SVA + MCA

  6. Subdivisions used to analyze sales: • By Territory • By Salesperson • By Product • By Customer • By Order Size

  7. 80—20 Principle • A phenomenon that occurs when 80 percent of customers, products, territories, or orders produce only 20 percent of total sales volume or profit. • This also means—20 percent of accounts produce 80 percent of volume or profit (called “key accounts”).

  8. What is a “soft spot?” • “a market segment or other unit of the company (product line, territory, etc.) that is suffering from below standard performance” • Soft Spot Principle—the manager achieves the greatest performance improvement by concentrating on the weakest areas of the company

  9. 80—20 Principle of Products • Often, a few popular products bring in most of the company’s sales volume. • Sales may be analyzed by product groups, product lines, or individual products. • There may be no relationship between a product’s volume and its profitability.

  10. Why do a sales volume analysis if sales are increasing every year? • Because important information or trends may be hidden in the aggregate sales data. • Study the Colorado Ski Company exhibits in Chapter 14.

  11. Colorado Ski Company

  12. Colorado Ski Company

  13. Colorado Ski Company

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