PIVOT 2-Minute Drill
Designing Effective Sales Territories


Effective Sales
Territory Design



4 Required Elements
to Build Fair Sales
Territories
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Realistic Growth Plan:
arrow_right_50x50 Based on the market share the company achieved in the previous year. Any company that is in a growth mode should be targeting a ½ point to 1 full point of market share growth.


Current Customer Product Mix:

arrow_right_50x50 We need to evaluate the customer mix of product, by segment, of the MIF of each existing Sales territory.

arrow_right_50x50 Lower segment populated territories will require far more-base that higher-segment populated territories… so we need to evaluate the territory on this criteria.

arrow_right_50x50 We recommend that the average retail territory have a base that can generate $20,000 to $25,000 in current customer renewal business and an additional $5,000 to $10,000 in net new business opportunity.


How Much of Your Based if Term-Based Business:

arrow_right_50x50 Term based business is a combination of leased and bid business.

arrow_right_50x50 No one knows the upgrade timing of a purchased device; so… we recommend using term business as the criteria for the value of the MIF and let purchased equipment upgrades be the “cherry on top of the cake”.


Understand The Company’s Average Selling Price:

arrow_right_50x50 Know the average selling price the company is realizing, by segment….. for black and white and business color devices.


Building quality Sales Territory assignments used to take weeks. Now, in less than an hour, PIVOT will build you the most accurate sales territories your company has ever assigned

 

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