sales team, direct channels, B2B marketing, channel selection, sales agents
Review the activity below or download the PDF student worksheet
Student Worksheet: Should You Have Your Own Sales Team
Student Discussion Activity
In this activity, you need to determine whether a new furniture manufacturer should set up its own sales team or utilize an established company of sales agents (as briefly outlined below). To help you determine the most appropriate option, a number of consideration questions have been provided for you.
Choose Between Sales Team Structure 1 or 2
- Set up your own team of ten sales representatives
- To be paid on a salary and commission basis
- They will need to create relationships with retailers
- They will only sell your firm’s products
- Use an established ‘sales agency’
- They have 50 sales representatives
- They sell furniture products for 22 different furniture manufacturers to over 200 furniture retailers
- You will pay them on a commission basis only
Student Evaluation Questions
- Which option will have better trained sales reps?
- Which sales reps will be more aggressive in promoting your products?
- Which sales reps will retailers prefer to deal with?
- Which set of sales reps will be easier to control and manage?
- Which option requires greater management time and commitment?
- Which option is likely to generate more sales?
- Which option is likely to generate more profit?
- Therefore, which option would you choose?