• Title/Summary/Keyword: Sales Performance

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The Effect of Salesperson's Guanxi on Sale Performance : A Comparison with Customer Orientation

  • Lee, Sang-Jin;Song, Shan-Ji;Chang, Woo-Choul;Kim, Kun-Bae
    • International Journal of Advanced Culture Technology
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    • v.9 no.3
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    • pp.92-99
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    • 2021
  • In this research, it was investigated the competence of Korean salesmen in the insurance business(B2C, consumer goods marketing) and information communication industry(B2B, industrial goods marketing) at the individual level rather than the organizational level. The salesperson's Guanxi ability means the salesperson's ability to create, maintain, develop the Guanxi ability. Namely, it was investigated whether the Korean salesman's Guanxi ability is the effective and persuasive concept in explaining the sales performance(company performance, business performance). The purpose of this paper was to verify which variables, among Guanxi ability and customer orientation, better explain the sales performance of salespeople. The Western concept of marketing that is closest to Guanxi is the concept of the customer-orientation that is based on the theory of relationship exchange. Confucian culture in the East is the construct concept, Guanxi is the measurement. The relational exchange theory in the West is the construct concept, customer orientation is the measurement. As the result of the analysis, we found that the Guanxi proved a greater correlation with sales performance than customer orientation. In the information technology industry, there was a big difference compared to insurance industry, whereas Guanxi and customer orientation had a similar level of correlation with sales performance. In the case of the insurance industry, we found that the Guanxi and sales performance were significant but the customer orientation and sales performance were not. This means that sales performance can be accurately and sufficiently explained only by adding the Guanxi ability in addition to customer orientation. The result of analyzing the mediating effect of the Guanxi ability between customer orientation and company performance, customer orientation was significant with Guanxi, and customer orientation and company performance were also significant. But, when the Guanxi was used as the parameter, the Guanxi was significant with company performance, but the customer orientation was not. Even when the dependent variable was business performance, when the Guanxi was used as the parameter, we found that the Guanxi was significant with the business performance, but the customer orientation was not. Namely, it proved Guanxi ability and customer orientation are completely independent concepts. In addition, we found that the information technology industry, unlike the insurance industry, mediated the Guanxi ability between customer orientation and sales performance. We confirmed that in the future, salespeople should not only rely on rational methods to maintain and reinforce customer relationships, but must consider the emotional factors through empathy with customers.

The Effects of Customer Orientation and Sales Training on Salespeople Performance - Focused on Apparel Salespeople at Department Stores in Daegu - (백화점 판매원의 고객지향성과 판매원 교육이 판매원 성과에 미치는 영향 - 대구지역 백화점 의류 판매원을 중심으로 -)

  • Park, Kwang-Hee
    • Fashion & Textile Research Journal
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    • v.6 no.3
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    • pp.314-320
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    • 2004
  • The purposes of this paper were to investigate the effect of customer orientation on salespeople performance and the effects of sales training on customer orientation and salespeople performance. Data were obtained from 297 apparel salespeople working at 6 department stores in Daegu, Statistics used for data analysis were frequency, t-test, ANOVA, and regression analyses. The unanticipated result was found that the customer orientation of salespeople did not influence their performance. Though there was found the significance of the anticipated results that sales training affected customer orientation and salespeople performance, the results were not strong.

Effect of Customer-acquisition Orientation on Salespeople's Performance in Distribution of Pharmaceuticals

  • CHO, Yeonjin;JEON, Jin-A
    • Journal of Distribution Science
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    • v.20 no.10
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    • pp.119-129
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    • 2022
  • Purpose: The purpose of this study was to investigate sales managers' strategic focus on customer acquisition, specifically its effect on salespeople's performance. In addition, this study aimed to determine how salespeople's interpersonal skills, salesmanship skills, and technical knowledge affect the relationship between customer-acquisition management and salespeople's performance. Research design, data, and methodology: This study conducted a survey of 310 salespeople working at pharmaceutical companies. A structural equation modeling approach was applied to test the main effects and interaction effects using AMOS. Results: The results indicated that both managers' customer-acquisition orientation and salespeople's salesmanship skills and technical knowledge positively affected the latter's performance. Further, it was found that the higher the technical knowledge of the salesperson, the greater the effect of the customer-acquisition orientation on sales performance. Conclusions: Sales managers should enable salespeople to quickly acquire technical knowledge with respect to the market, products, competitors, and company policy so that they can bring greater synergy to the customer-acquisition orientation.

A Study on the Prediction Model for Imported Vehicle Purchase Cancellation Using Machine Learning: Case of H Imported Vehicle Dealers (머신러닝을 이용한 국내 수입 자동차 구매 해약 예측 모델 연구: H 수입차 딜러사 대상으로)

  • Jung, Dong Kun;Lee, Jong Hwa;Lee, Hyun Kyu
    • The Journal of Information Systems
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    • v.30 no.2
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    • pp.105-126
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    • 2021
  • Purpose The purpose of this study is to implement a optimal machine learning model about the cancellation prediction performance in car sales business. It is to apply the data set of accumulated contract, cancellation, and sales information in sales support system(SFA) which is commonly used for sales, customers and inventory management by imported car dealers, to several machine learning models and predict performance of cancellation. Design/methodology/approach This study extracts 29,073 contracts, cancellations, and sales data from 2015 to 2020 accumulated in the sales support system(SFA) for imported car dealers and uses the analysis program Python Jupiter notebook in order to perform data pre-processing, verification, and modeling that is applying and learning to Machine learning model after then the final result was predicted using new data. Findings This study confirmed that cancellation prediction is possible by applying car purchase contract information to machine learning models. It proved the possibility of developing and utilizing a generalized predictive model by using data of imported car sales system with machine learning technology. It can reduce and prevent the sales failure as caring the potential lost customer intensively and it lead to increase sales revenue by predicting the cancellation possibility of individual customers.

The Feasible Linkage between Pay Dispersion and Job Performance in the Case of U.S. Retail Sales Workers

  • KANG, Eungoo;HWANG, Hee-Joong
    • Journal of Distribution Science
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    • v.20 no.4
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    • pp.111-119
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    • 2022
  • Purpose: This study seeks to address the omission through examining the manner in which demographic similarity affects the responses of employees in the retail sector towards horizontal pay dispersion. Through doing so the study will be effective in bolstering the recent efforts of more careful exploration of conditions. Research design, data, and methodology: Scant past studies are available to guide for practitioners in retail sector which compensation strategy might lead adequate job performance for retail sales workers. To suggest possible solution, the present authors used variables of pay dispersion and obtained 317 US retail sale workers in distribution channels to measure the association between pay dispersion and employee job performance. Results: The statistical findings indicated both first and second hypothesis could be acceptable with favorable Beta and T values, resulting high degree of pay dispersion leads a low level of job performance, while a low degree of pay dispersion can motivate retail sales workers to improve their performance. Conclusions: The findings of this study raises an argument that processes of social comparison work in a more vigorous manner. This is thus a representation of the propensity of a retail sales worker to voluntarily resign from an organization when dispersion rates are higher.

The Impact of Product Review Usefulness on the Digital Market Consumers Distribution

  • Seung-Yong LEE;Seung-wha (Andy) CHUNG;Sun-Ju PARK
    • Journal of Distribution Science
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    • v.22 no.3
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    • pp.113-124
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    • 2024
  • Purpose: This study is a quantitative study and analyzes the effect of evaluating the extreme and usefulness of product reviews on sales performance by using text mining techniques based on product review big data. We investigate whether the perceived helpfulness of product reviews serves as a mediating factor in the impact of product review extremity on sales performance. Research design, data and methodology: The analysis emphasizes customer interaction factors associated with both product review helpfulness and sales performance. Out of the 8.26 million Amazon product reviews in the book category collected by He & McAuley (2016), text mining using natural language processing methodology was performed on 300,000 product reviews, and the hypothesis was verified through hierarchical regression analysis. Results: The extremity of product reviews exhibited a negative impact on the evaluation of helpfulness. And the helpfulness played a mediating role between the extremity of product reviews and sales performance. Conclusion: Increased inclusion of extreme content in the product review's text correlates with a diminished evaluation of helpfulness. The evaluation of helpfulness exerts a negative mediating effect on sales performance. This study offers empirical insights for digital market distributors and sellers, contributing to the research field related to product reviews based on review ratings.

The Impacts of Education Service Quality in the Traditional Market Merchant College on Business Performance (전통시장 상인대학 교육서비스 품질이 경영성과에 미치는 영향)

  • Choi, Dong-Gyu;Hwang, Hee-Jung;Song, In-Am
    • Journal of Distribution Science
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    • v.11 no.10
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    • pp.81-92
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    • 2013
  • Purpose - This study empirically analyzes the effect of improvements in the quality of service management performance of college education on traders' conscious change of business management innovation and diverse sales expertise for a year. The use of traders' conscious changes and sales expertise as variables for the verification of the effects of parameters related to the active trader's traditional education market is a desirable direction. The method of research reflects the quality of education service, management result, traders' conscious changes, and sales expertise to understand the precise essence and definition of teaching quality at merchant colleges through theoretical consideration. Moreover, its impact on traders' conscious changes and sales expertise in empirical analysis acts as an intermediary. Research design, data, methodology - The hypothesis of this study leverages the SPSS statistical program. To gather actual proof, sample survey for theoretical research examined 262 valid papers of the 300 papers written by 10 merchants who graduated from merchant's university. First, using the SERVQUAL model, Parasuraman et al. (1996) indicated that for quality of education service, the configuration of factors is the same as the sympathetic performance, that is, responsiveness and empathy, and traders are aware of these elements. However, our preliminary investigation revealed that traders' university education has been excluded as a component of quality of service in the earlier studies. Moreover, we found that certainty of knowledge, reliability, and sympathy are influenced by challenges and by the changing intentions of merchant consciousness. In addition, our study confirms that improvements in convincing abilities and sales technique have a positive impact. Second, merchants' and traders' expertise are proven to affect business performance. In other words, university education of traders and merchants affects the consciousness of consumers, and changes patterns of sales. Third, the quality of service management education and change in the consciousness has a considerable impact on the trader, thereby maximizing business performance and acting as an intermediary for verification. Fourth, the quality of service management education affects the trader's sales expertise to maximize business performance. Results - To summarize, the quality of college educational services relates to the improvement of business performance and the role of the resulting virtuous cycle. Consequently, we can look for suggestions in the traditional markets, where the Government pays attention to the exterior environmental factors as well as to the changing business environment. However, the most important aspect is the merchant awareness. That is, a merchant should understand the distribution environment. Several competitor and trend analyses should be conducted to meet customers' expectations positively and proactively cope with any challenges related to changes. Further, expertise in sales and marketing skills need to be acquired to improve customer convincing abilities and develop a customer-oriented mindset. Conclusions - According to the changes in consumption trends of business enterprises, new management techniques are required to survive competition by improving traditional markets, which will necessitate more competitive education programs in merchant universities.

Effects of Emotional Regulation Processes on Adaptive Selling Behavior and Sales Performance

  • Kim, Joonhwan;Lee, Sungho;Shin, Dongwoo;Song, Ji-Hee
    • Asia Marketing Journal
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    • v.16 no.1
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    • pp.71-100
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    • 2014
  • While the role of emotional antecedents of effective selling behavior would be important, the issue has not been fully addressed in the sales literature. To fill this gap, we conceptualize and empirically examine the relationships among salesperson's emotional regulation processes such as emotional intelligence (EI) and emotional labor (EL), effective selling behavior, and sales performance on the basis of educational, occupational, social psychology literature and marketing literature (e.g., Henning-Thurau, Groth, Paul, and Gremler 2006; Kidwell et al. 2011; Liu et al. 2008; Mayer, Salovey, and Caruso 2008). First, salesperson's EI is defined as his or her capability that enables correct perceptions about emotional situations in sales interactions. The EI is expected to work as psychological resources for different types of EL (i.e., deep acting and surface acting) to be performed by salesperson as emotional expression strategies (e.g., Lie et al. 2008). It is, then, expected that the features of EL selected by the salesperson would lead to different levels of adaptive selling behavior (ASB) and thereby sales performance (Monaghan 2006). Further, given that salesperson's customer orientation (CO) is found to be an important correlate of ASB (Franke and Park 2006), it is expected that CO would moderate the relationship between EL and ASB (Rozell, Pettijohn, and Parker 2004). Hence, this research attempts to shed additional light on emotionally-driven (EL) as well as cognitively-driven (CO) antecedents of ASB (Frank and Park 2006). The findings of the survey research, done with 336 salespersons in insurance and financial companies, are summarized as follows. First, salespersons with a high level of EI are found to use both deep acting (regulating the emotions themselves) and surface acting (controlling only emotional expressions) in a versatile way, when implementing EL. Second, the more the salesperson performs deep acting, the more he or she shows ASB. It is, then, important for salespersons to use deep acting more frequently in the EL process in order to enhance the quality of interacting with customers through ASB. On the other hand, the salesperson's surface acting did not have a significant relationship with ASB. Moreover, CO was found to moderate the relationship between the salesperson's deep acting and ASB. That is, the context of high CO culture and individual salesperson's deep acting would synergistically make the selling efforts adaptive to customer preferences. Conceptualizing and empirically verifying the antecedent roles of important emotional constructs such as EI and EL in salesperson's effective selling behavior (ASB) and sales performance is a major theoretical contribution in the sales literature. Managerially, this research provides a deeper understanding on the nature of tasks performed by salespersons in service industries and a few guidelines for managing the sales force. First, sales organizations had better consciously assess EI capacity in the selection and nurturing processes of salespersons, given that EI can efficiently drive EL and the resulting effective selling behavior and performance. Further, the concept of EL could provide a framework to understand the salespersons' emotional experiences in depth. Especially, sales organizations may well think over how to develop deep acting capabilities of their sales representatives. In this direction, the training on deep acting strategies would be an essential task for improving effective selling behavior and performance of salespersons. This kind of training had better incorporate the perspectives of customers such that many customers can actually discern whether salespersons are doing either surface acting or deep acting. Finally, based on the synergistic effects of deep acting and CO culture, how to build and sustain CO is always an ever-important task in sales organizations. While the prior sales literature has emphasized the process and structure of highly customer-oriented sales organization, our research not only corroborates the important aspects of customer-oriented sales organization, but also adds the important dimension of competent sales representatives who can resonate with customers by deep acting for sales excellence.

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A Study in Effect of Private Banker's Characteristics on Sales Behavior and Moderating effect of Organizational Support System in the Korean Securities Industry (증권회사 PB의 개별 특성이 영업행동에 미치는 영향과 조직의 지원의 조절 효과에 관한 연구)

  • Shin, Jae-Young;Ha, Kyu-Soo
    • The Journal of the Korea Contents Association
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    • v.13 no.9
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    • pp.355-368
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    • 2013
  • In securities companies where corporate management performance is heavily dependent on the ability of salespeople, excellent sales-force with the ability to create high performance is very important. However, in the meantime, there was lack of studies on Private Banker's characteristics and sales behavior or sales performance. This study analyzed the effect of PB's characteristics on sales behavior in the Korean Securities Industry. The survey was conducted in March, 2013. 523 responses were used in the data analysis. As a result, PB's 4 characteristics- attitude to work, performance orientation, learning orientation, customer orientation- showed a positive impact on the sales behavior, and the organizational support showed positive moderating effect on this model. In this study, we reported that securities companies must reinforce training and self-development programs in order to improve the characteristics of the PB and to upgrade management performance. In particular, the securities has to rebuild organizational support system to improve the individual characteristics of the PB.

The Relationship between Creativity and Salespersons' Work Performance: Depending on the Classification of Sales Work and the Industrial Category (영업사원의 창의성과 업무성과와의 관계: 영업업무 분류와 산업군의 구분에 따라서)

  • Kim, Jhong Yun
    • The Journal of the Korea Contents Association
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    • v.19 no.2
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    • pp.305-316
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    • 2019
  • This study aims to examine a relationship between creativity and work performance of salespersons, and understand how the relationship between salesperson's creativity and their work performance changed depending on the classification of sales business and the industrial category. An on-line survey was targeted for salespersons who were working in consumer goods sales, industry materials sales, financial business, and service industry. A total number of the completed surveys was 588. According to the study, creativity is an important competency to improve salespersons' work performance. Also, companies should focus on the investment in developing creativity of employees who are in charge of industrial materials sales compared to people in other industrial categories.