---
title: "Seven Theorems for Sales Managers"
description: "This article outlines seven principles for sales managers, covering topics such as understanding human behavior, the role of advertising, resilience in the face of failure, building effective teams, motivating through incentives, fair competition, and establishing sales channels. It emphasizes the importance of balancing 'benefit, emotion, and rules' in managing relationships with customers and team members."
author: "孙曰瑶"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
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published: "2016-08-05"
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# Seven Theorems for Sales Managers

> This article outlines seven principles for sales managers, covering topics such as understanding human behavior, the role of advertising, resilience in the face of failure, building effective teams, motivating through incentives, fair competition, and establishing sales channels. It emphasizes the importance of balancing 'benefit, emotion, and rules' in managing relationships with customers and team members.

I. The Chair Theorem
A sales manager's job is not to go out and sell products; it is primarily about dealing with people. Therefore, to determine if someone has the potential to become an excellent sales manager, they should ask themselves whether they genuinely enjoy interacting with people. Consequently, a sales manager must understand human behavior. I believe human behavior can be illustrated by the common chair in daily life. Everyone in society has a chair, just like titles: President Zhao, Director Qian, Chairman Sun, Chairwoman Li, etc. However, every chair has two sides: one is the chair itself, like General Manager, Director, Chairman, etc., which can be permanent; the other is the specific biological person sitting on the chair, who changes frequently. As the saying goes, "Iron camps, flowing soldiers." Thus, sales managers must clearly know who they are dealing with: the unchanging chair or the person on the chair! If dealing with the chair, it's business as usual; if dealing with the person, you're dealing with someone who has desires like you and me.
As a sales manager, you must create conditions to transform the person you seek from their chair into a natural person, then discover their needs, create their needs, and satisfy their needs.
That's why I believe a sales manager doesn't sell products directly but sells through others: How to gain consumer trust? How to convince merchants that distributing the product will be profitable? How to motivate your sales staff's enthusiasm, initiative, and creativity? Through years of practice, I believe the key is to use the three words: "benefit, emotion, and rules."
First, lure with benefit. The Art of War says, "Act when it is beneficial, stop when it is not." As a sales manager, you must be clear: what benefits does your product bring to consumers or users? What advantages does it have over competitors' similar products or substitutes? You must make distributors firmly believe that distributing this product will definitely be profitable. You must make your sales staff clear that good performance leads to higher income. It must be emphasized that benefits come in various forms: material interests, spiritual wealth, direct cash, or reward trips. Whatever the form, they must be what the recipients need. Also, the subject of "benefit" can be diverse: the person themselves or their family members.
Second, move with emotion. As natural beings with social attributes, we are inseparable from emotions. Therefore, when satisfying others' needs, you must cover it with a veil of warmth, not a naked money relationship. Every sales manager must establish customer files: each customer's characteristics, hobbies, parents' birthdays, wedding anniversaries, children's birthdays, etc. This is an important resource for building relationships, and more importantly, it's a small investment with big returns. For your sales staff, your best choice is: less temper, more guidance; less blame, more encouragement! If you persist in recognizing their strengths, even trivial ones, let them know you not only see them but also appreciate them. They will greatly boost their confidence and repay you not only with sales but also with precious friendship! When you tap into these emotional resources, you step down from the chair, drop the airs; it's the natural you communicating with the natural them, thus transcending the barriers set by the chair. Therefore, in natural science, the shortest distance between two points is a straight line, but in social life, the shortest distance is a curve.
Third, bind with rules. No matter how good the relationship, it's between you as natural persons; always remember: business is business, any commercial transaction must be under a legal contract, which is a chair-to-chair relationship.
I often hear many sales managers say: they'd rather fight in the market than return to the company to receive orders. The reason isn't that the outside world is exciting, but that the company is helpless. In the market, you can devote yourself fully to work, but once back at the company, you face complex interpersonal relationships. Among all these relationships, the most important is how to get along well with superiors. Sales managers must remember: your superior is both a chair and a flesh-and-blood person like us. As a chair, you must show respect; as a flesh-and-blood person, you must treat them with sincerity. I believe the relationship between subordinates and superiors can be divided into five combinations:
First, flattering superiors: always sweet-talking; if the superior is wise, they may think this subordinate is likable and trustworthy but not usable. Second, obeying superiors blindly: then the superior may think this subordinate is trustworthy but not usable or likable. Third, defying superiors: daring to argue; the superior may think this subordinate is trustworthy and usable but not likable. Fourth, threatening superiors: posing a threat to the superior's position; the superior will inevitably think this subordinate is untrustworthy, unusable, and unlikable. Fifth, subordinates who can "understand" their superiors: understanding the superior's fundamental interests, clarifying their thinking or implementation plans, rationally treating their instructions, and intelligently completing tasks; then the superior will inevitably think this subordinate is trustworthy, usable, and likable.
Many sales managers say they are too straightforward and complain that their superiors don't understand them. I suggest they learn from Bao Qingtian (Judge Bao). Lord Bao often clashed with the emperor, but the emperor didn't kill him. The fundamental reasons: first, Lord Bao deeply understood the emperor's fundamental interest—to keep the throne and the chair; second, when the emperor faced difficulties, Lord Bao always helped clarify his thinking and propose solutions, not just complain or watch from the sidelines; third, he rationally treated the emperor's edicts; if they were wrong, he argued from the emperor's fundamental interests; fourth, once the emperor agreed to his plan, Lord Bao executed it intelligently without exception. By intelligence, I mean strictly acting according to law, never using public office for private gain, fully using intellect rather than simply relying on power.
II. The Balloon Theorem
Every time I attend monthly sales manager meetings, I hear complaints about insufficient advertising, and at distributor meetings, the factory always wants distributors to increase sales, while distributors invariably remind the factory to increase advertising investment. In my view, under intense market competition, advertising is necessary, but it's not the only thing, nor is it isolated. Advertising's role is to add the finishing touch: you must first draw the dragon—build a sales team, produce excellent products, competitive prices, and an effective sales network; then add the eyes—based on target consumers' information channels, use a media mix to invest in advertising. Only then can the dragon soar. But many companies only want to "add eyes" without "drawing the dragon."
If the sales manager is the frontline commander of ground infantry attacking cities and territories, then advertising is the artillery. In every battle, after deployment and drawing the dragon, the artillery fires first to support the infantry. Thus, sales managers must understand advertising's role, especially regional sales managers. Advertising, whether hard or soft, is a beautiful lie, only mentioning advantages, never disadvantages, designing a beautiful trap. But when advertising, you must blow it like a balloon: if you don't blow, it won't expand or rise, but you must not over-blow, or it will burst. Even if it doesn't burst, you must tie a string and hold it tightly, or it may easily get out of control in the wind. Once out of control, it's inevitably "success through advertising, failure through advertising."
Sales managers, advertising budgets are always limited, and advertising agencies' levels need improvement. In such circumstances, you must keep a clear head: use the limited advertising budget on the cutting edge!
III. The Basketball Theorem
Sales management is not for everyone. Besides the inner impulse to interact with people, you must overcome your own obstacles: the crisis of confidence from repeated rejections and failures. Although the saying "failure is the mother of success" gives some self-consolation, and "persist despite repeated failures" gives some self-mockery, the market doesn't believe in tears. The market is not like the battlefield; the battlefield treats prisoners well, but the market doesn't. Sales managers, when facing setbacks, remember: learn from the basketball! A basketball doesn't bounce by itself; it relies on the downward force applied to it. The greater the downward force, the higher it bounces. But the premise is that the basketball itself must not be broken or deflated. As long as you don't fall yourself, no one can knock you down! Deng Xiaoping rose and fell three times, and each time he came back, his status and power greatly increased. When facing setbacks, complain less and think more about solutions! Imitate less and innovate more! Only then can you overcome setbacks and rise with borrowed force! To do this, you must know how to pool wisdom. Let's look at these two models—
1. The Gold Prospecting Model
The Gold Prospecting Model was proposed by the famous American knowledge economist Romer to explain the contingency of knowledge and technological innovation. Romer believed that the contingency of knowledge and technological innovation actually contains inevitability; the key is whether the enterprise or society has an environment and practice that encourages learning or innovation. Romer illustrated with an example: just like searching for gold mines, if you search alone, your chances are minimal; it seems you can only succeed by a miracle. But if you let 1,000 people search for gold mines across a geographical area, the chances of finding gold are much greater.
I think two premises need to be clarified here:
First, whether the prospector recognizes gold ore, i.e., their knowledge constraints in gold geology; second, what prospecting tools they use, i.e., detection technology constraints. This includes physical observation, chemical analysis, and high-tech methods (i.e., remote sensing prospecting). Importantly, well-trained geological experts can find not only gold but also other mineral resources. Remote sensing technology is similar. Therefore, to find gold quickly, there are two practical approaches: one is the human wave tactic, i.e., training more professionals to cover as many small areas as possible, using physical and chemical methods. This is China's path. The other is the technology tactic, i.e., focusing on developing remote sensing technology with fewer trained professionals. This is America's path.
It must be emphasized that many sales managers despise theoretical learning, thinking theory is one thing and practice another. But in my practical experience, I've found that many sales managers lack sufficient development potential precisely because they lack theoretical learning. I always believe that the value of theory is twofold: first, theory is essentially a thinking tool; whether you use it depends on whether you truly understand and master it. Like remote sensing technology, it's a good tool, but if you don't know how to use it, it's useless to you. Second, practice guided by theory may still encounter setbacks, but once setbacks occur, you can clearly know where you went wrong and correct it easily. Here, I appeal to sales managers: learn more theory, drink less alcohol!
2. The Cross-Disciplinary Model
From practical results, the technology tactic is most effective and economically efficient. But this high-tech's biggest feature is the effective comprehensive innovation of multiple disciplines and technologies, not just geological expertise. Since China's higher education follows the Soviet model, emphasizing professional division and neglecting interdisciplinary education, it leads to "different trades are as separated as mountains" between specialties. Due to mutual ignorance of each other's fields, effective interdisciplinary research is impossible, resulting in severe technological innovation lag. In fact, as technical division of labor becomes finer, many gaps emerge, mainly between disciplines; studying these gaps is the edge science. From the practice of technological innovation in Europe, Japan, and America, more innovations come from such interdisciplinary cross-comprehensive research. The famous American futurist Toffler believed: major breakthroughs often come not from single isolated technologies but from parallel technologies or the synthesis of several technologies. And the chief designer of the American Apollo lunar rocket, Weber, once said: the technologies I used were all existing and ready-made; the key is synthesis. In practice, cross-synthesis is the most important and effective synthesis.
As a professional, after a period of study and practice, you form a relatively stable knowledge structure. If you don't continuously absorb knowledge from other disciplines to update your structure, your thinking will develop a track effect: forming a stable knowledge structure, like a built railway track, where the train (thinking) can only run on the built track (knowledge structure), resulting in linear thinking. This kind of thinking is hard to innovate. Therefore, to improve innovation capability, you must have high cross-disciplinary thinking ability, which requires a multi-disciplinary cross knowledge structure. There are two basic ways to form such a structure: First, individual mode: each professional engages in formal cross-disciplinary learning. One is vertical cross: undergraduate, master's, and doctoral stages can study different majors; the other is horizontal cross: pursuing two or more undergraduate majors, or two or more master's degrees, or two or more doctoral majors. Through these two methods, a good cross-disciplinary knowledge structure can be established. Second, group mode: let multiple professionals from different disciplines research a common topic together. The best way is group cross based on individual cross. The higher the talent, the higher the innovation opportunity, and it multiplies. Sales managers, if your sales staff search for gold with you and discuss solutions with you, there's no hurdle you can't overcome! No market you can't open!
IV. The Canal Theorem
If the enterprise is a reservoir, market consumers are farmland, then the sales team is water: products don't move from the enterprise to consumers' homes by themselves; they must go through the sales team's efforts to realize value conversion, i.e., irrigate the farmland. Therefore, I always believe: without a strong sales team, there is nothing for the enterprise! The problem is that it's easy to form a team but hard to manage it, and even harder to manage a sales team! If you manage strictly, they have no power, no enthusiasm, initiative, or creativity; if you manage loosely, goods get lost, payments are hard to recover. First, we need to understand that management is not control.
1. The nature of sales work is collective cooperation, individual assault, dispersed operations; no one can obtain their information timely and accurately, so it's impossible to implement one-on-one control. Like irrigation, you can't transport water molecules one by one; you must build canals, allowing water molecules (salespeople) to flow freely within the canal but also to reach designated points as required.
I believe that whether it's the general manager of a sales company or a regional branch sales manager, the primary management responsibility is to shape the unit's culture, i.e., through the softest culture, unite the minds of all sales staff. This cultural environment is mainly a set of shared values and a decision-making process that everyone participates in. From the practical experience of many enterprises, I see that any sales company or branch that is internally united will definitely see sustained growth. How to achieve this? As a sales manager, you must point out a bright future for your salespeople. Psychologist Line once said: if people can't see their future, they won't be motivated to strive. In other words, if anyone has no hope or imagination for their future, their work willingness will vanish.
A psychological experiment proves this fact: when the possibility of achievement is completely hopeless, desire is lost. The experiment: put a pike and small fish in a tank. The greedy pike develops the habit of swallowing small fish. After a while, insert a glass plate in the middle to separate them. When the pike is hungry, it tries to eat the small fish, but each attack hits the glass. Let the pike live in this "drawing cakes to satisfy hunger" environment for several days. One day, suddenly remove the glass plate; logically, the pike should pounce and feast. On the contrary, the pike loses its appetite for the small fish, gradually wastes away, and dies.
This experiment shows: if a state of insufficient desire persists for a certain period, the desire itself will decline.
Similarly, most young people have desires to realize their ideals. If they are kept in an environment where realization is impossible for a long time, their desires and willingness will gradually disappear. Therefore, as an excellent sales manager, you should discern this psychological trait, point out a bright future for your salespeople, giving them something to hope for and pursue.
Matsushita's current position is inseparable from Mr. Matsushita's "250-year long-term plan." In 1937, on the first anniversary of the company's founding, Matsushita announced to all employees: Matsushita Electric will, in 250 years, produce a large quantity of affordable daily necessities, as plentiful and fast as running water, so cheap they're almost free. The dream he painted, by ordinary imagination, would usually be scoffed at, but Matsushita had a way to make employees believe in this bright future. He divided the long-term plan into 10 stages, each 25 years. He further divided each 25-year stage into three periods: the first 10 years as construction, the second 10 years as activity, and the last 5 years as service to society, and so on. His first plan was very detailed, clear, and convincing; the later plans became more general.
The first 10 years were crucial. To make employees pursue this goal together, he took the first step steadily and seriously, implementing the first stage. As the plan was gradually implemented, employees' beliefs strengthened, greatly motivating them, and Matsushita Electric eventually grew into an international company.
It should be noted that if the goal is too low, it lacks charm; if too high, it creates despair. To keep the plan attractive, the key is to ensure its realization. An effective measure is to divide the grand goal into smaller, shorter goals, focusing on the long term while grounding in reality. Mao Zedong divided the War of Resistance against Japan into three stages: strategic defense, strategic stalemate, and strategic offensive. Deng Xiaoping divided China's modernization into a three-step strategy: first, solve food and clothing; second, achieve a moderately prosperous society; third, reach the level of moderately developed countries. A Japanese athlete who won the marathon on his first attempt divided the entire race into many short segments, setting a new goal after each segment until the finish.
At the same time, this concept applied to marketing can effectively overcome the spatial decay effect and greatly promote market expansion. Traditional location economics theory holds that the farther from the enterprise, the higher the freight and price, leading to lower sales. Market competition among enterprises in the same industry weakens with distance from the enterprise's location, gradually forming a circular market area. Since there are gaps between circular market areas, they are squeezed, overlapping market networks appear, and finally a hexagonal market area structure forms, and competition stops. But in reality, many enterprises have high market shares not only in their local area but also in distant regions. For example, according to my limited survey: at one time, Qingdao Hisense TV had a market share of about 30% in the northwest region, and as high as 60% in Qinghai Province, which geographically should be the absolute control area of Shaanxi Konka and Sichuan Changhong. Qufu's Sankong Beer had a market share of about 60% in Xuzhou for five consecutive years. Yantai Laizhou Beer had a market share of over 85% for more than ten years in Qingdao Jiaozhou, which is within Tsingtao Beer's sphere of influence.
Therefore, besides the distance factor that increases freight and price, non-distance factors are key to competing for markets outside the local area. Among non-distance factors, the most critical is the management capability of the regional market managers stationed in each area.
2. So, what constitutes the management capability of a regional market manager?
First, intellectual factors: mainly education. In China's fiercely competitive college entrance exams, getting into college at least proves higher intelligence. After years of university study, besides acquiring professional knowledge, it strengthens thinking ability, enhancing problem identification and solving skills.
Second, experience factors: mainly actual work time and performance. The more experience, the more experiential knowledge, or the stronger the ability to apply book knowledge, especially social skills in dealing with people.
Third, personality factors: mainly whether one is introverted or extroverted. From market competition practice, extroverts adapt better and communicate better with distributors and sales staff. Also, whether conservative or aggressive: conservative suits mature markets, while aggressive suits new market development.
Fourth, effort level: directly determines enthusiasm, creativity, and initiative. Factors affecting a regional market manager's effort include their sense of identification with the company, income incentives, internal competition pressure, assigned tasks, and company support. Among these, identification and income incentives are internal drivers; competition pressure, task allocation, and company support are external drivers. The key to external drivers is fairness. If the assessment system is fair, task allocation and support are relatively fair, the manager's effort will increase or at least not decrease.
To effectively improve regional managers' enthusiasm, initiative, and creativity, sales management particularly needs to delegate power, i.e., "if the general is capable, the ruler does not interfere." If there are only tasks and responsibilities without corresponding power, regional managers cannot function effectively. This is like in campaign command: Mao Zedong and Chiang Kai-shek had a notable difference. Mao only set the campaign's operational policy, while the specific battlefield command was exercised by frontline commanders, mainly the field army commanders and political commissars during the Liberation War. Chiang, however, always commanded by skipping levels, often moving troops without notifying the campaign commander.
The Art of War's chapter on offensive strategy says: "There are three ways a ruler can bring misfortune upon his army: ordering an advance when it shouldn't advance, ordering a retreat when it shouldn't retreat, which is called hobbling the army; not understanding the army's affairs but interfering with its command, causing confusion and doubt, then the feudal lords' troubles arise, which is called inviting defeat."
In practice, level-skipping command almost always comes from senior managers, bypassing middle managers to directly instruct grassroots managers or even staff. This disrupts the internal command system. Senior managers must learn from Chiang's level-skipping command and also from Zhuge Liang's doing everything himself, avoiding being bogged down in routine work that leads to strategic decision errors. Otherwise, not only does "the master labor and the subordinates idle," but it inevitably leads to decision errors and management chaos. Therefore, top decision-makers must effectively avoid this problem. Implementing power delegation not only greatly motivates regional managers' enthusiasm, initiative, and creativity but, more importantly, creates fertile soil for sales managers to play their roles and realize their value. With that, would they still need to switch jobs?
V. The Ladder Theorem
When mentioning the cat theory, most people think of Deng Xiaoping's famous saying: "It doesn't matter if it's a black cat or a white cat; as long as it catches mice, it's a good cat." But the cat theory I refer to here was proposed by Mao Zedong. In the book "Mao Zedong's Strategies" by Xiao Shimei, there's a story widely circulated in Shanghai in the 1950s: After meeting with capitalists, Mao summoned Liu Shaoqi and Zhou Enlai and asked an interesting question: "How can you make a cat eat chili?" Liu Shaoqi said, "That's easy! Have someone hold the cat, stuff the chili into its mouth, and then push it down with chopsticks." Mao shook his head in dissatisfaction, saying, "Never use violence; everything should be voluntary." Zhou Enlai said, "First, I'll starve the cat for three days, then wrap the chili in a piece of meat. If the cat is very hungry, it will swallow it whole." Mao obviously disagreed, because in his view, you can't fool people with deception. His method was: "It's easy. You can rub the chili on the cat's bottom. When it feels the burning sensation, it will lick it off itself and be happy to do so."
Actually, Mao's proposition itself is worth analyzing. Cats don't eat chili. No matter what measures you take, the cat will be unhappy after eating chili. Even if you follow Mao's method, the cat will think: who rubbed chili on my bottom? Therefore, to achieve Mao's goal, three assumptions are needed: first, assume the cat has no thoughts; if no thoughts, there's no happiness or unhappiness; second, assume the cat never investigates who rubbed chili on its bottom; third, assume the cat can never find out who did it. I believe once the cat knows the truth, it will hate the person who rubbed chili on its bottom even more!
I think to motivate their enthusiasm, initiative, and creativity, you must first understand their behavioral characteristics: what do they "like to eat"? If they don't like chili but love fish, let them eat fish. The question is where does the fish come from? Some company bosses propose the cormorant theory: let the cormorant catch fish in the river; small fish for the cormorant, big fish for the owner. The problem is, to achieve this, there are three possibilities: first, feed the cormorant fully so it has no appetite, thus it hands over all caught fish; but this is impossible because once the cormorant is full, it has no motivation to catch fish; second, keep the cormorant hungry, giving it motivation; when it catches a fish, the owner grabs its neck and takes the big fish, but if there are many cormorants, you can't manage; third, train the cormorant in advance to give all fish to the owner, who then gives small fish as reward.
After all, people are not cormorants or cats!
To effectively establish an incentive mechanism, I think the ladder theorem can illustrate it vividly. This theorem holds that a stable ladder must have four vertical sides, forming two corresponding horizontal rungs. I believe these four vertical sides include two pairs: one pair is the promotion ladder formed by position and professional title, i.e., promotion incentives. Currently, in various Chinese enterprises, promotion is almost entirely based on position, using it as the benefit mechanism, resulting in overstaffing and severe internal friction. Professional titles reflecting technical level hardly play an incentive role, leading to a deformed promotion "ladder." The other pair is the reward ladder formed by material and spiritual incentives. In China's traditional system, spiritual incentives were overemphasized, while in reality, material incentives are overemphasized; both extremes lead to instability in the reward "ladder." Regarding material rewards for sales managers, most enterprises currently mainly use commission incentives. I believe commission incentives have significant negative effects. Commission means sales managers extract a certain percentage of income based on sales volume. The mechanism is: the higher the sales, the higher the commission. Generally, sales managers don't have pricing power, so to increase sales, they easily take two measures: first, cross-regional sales; second, collude with distributors to pressure the sales general manager to meet demands on price, distribution, or payment. Under this incentive mechanism, regional sales managers' income comes from the sales general manager's pocket, and expectations are unclear, so they inevitably adopt a "wait and see" mentality.
If annual salary incentives are adopted, it's the opposite. Under the annual salary system, regional sales managers have a clear expectation of annual income. If they complete tasks according to company policy, their income is clear; if not, their annual salary is deducted. This gives sales managers the feeling that the company is taking money from their own pockets, which is definitely different from taking money from the company via commission. Therefore, I believe the annual salary incentive mechanism is better for sales managers.
For example, set the annual salary at X ten thousand yuan, pay Y yuan monthly as living expenses, and the rest at year-end based on assessment results. The actual year-end salary is: X × task completion rate - 12Y. If the completion rate exceeds 100%, the annual salary can be higher than X, so no additional reward is needed. Regional managers' annual salaries are directly assessed and paid by the company.
For distributors, to solve issues like rebates, consider combining the advantages of agency and distribution systems, adopting the "four determinations" policy: "fixed location + fixed quantity + fixed price + fixed profit." "Fixed location" means determining the sales area for the distributor; "fixed quantity" means setting sales volume; "fixed price" means the distributor sells and collects payments at the retail price set by the company; "fixed profit" means after completing the above tasks, the company gives the distributor a certain rebate at year-end. This method ensures the distributor's interests. If the distributor agrees, a contract can be signed, with assessments every 3 months and seasonal rebates. The assessment method is: (3-month task volume / annual task volume) × annual rebate × (3-month actual sales / 3-month task volume). Regional managers can organize all distributors in their area, determine total sales and individual sales. Then, calculate seasonal rebates with the company based on total sales, and after receiving rebates, distribute them according to each distributor's actual sales proportion. This depends on whether the regional manager has such organizational ability.
But when material rewards reach a certain level, their incentive effect diminishes. At that point, spiritual incentives are especially needed. Regarding spiritual incentives, I think four effective methods can be adopted: first, establish a honor room, hanging large photos of outstanding regional market managers and sales staff selected through fair annual evaluations, with text descriptions; second, set up a merit wall, carving images and inscriptions of those who made significant contributions to the company's development; third, publish a company history book, publicly promoting the achievements of these meritorious personnel; fourth, provide key training for outstanding regional market managers or sales staff, including domestic and overseas training.
VI. The Horse Racing Theorem
As early as the Three Kingdoms period, Cao Cao said: "I employ the wisdom of the world, govern with the Way, and nothing is impossible." And the second president of IBM, Thomas Watson Jr., wrote in his memoirs: "I always unhesitatingly promote people I don't like. The pleasing assistant, the good-natured fellow who likes to go fishing with you, is a trap in management. Instead, I look for sharp, critical, sharp-tongued, almost obnoxious people who can be frank with you. If you can arrange to work with such people and listen patiently to their opinions, the achievements you can make will be limitless."
Mao Zedong believed that once the correct line is determined, cadres are the decisive factor. So how are sales managers produced? I think the long history of feudal dynasties proves that the horse-appraising theory is unreliable. Even Bole's son, using Bole's manual, went to find a fine horse and ended up with a frog. I firmly believe: whether it's a mule or a horse, take it out for a run! Only through fair horse racing can you find a good horse.
The so-called horse racing theory means that enterprises must provide a fair competitive environment for all employees. Through fair competition, all employees are fully and effectively utilized and reasonably allocated, resulting in higher knowledge economic benefits. To establish an effective fair competition environment, enterprises should adopt two measures: first, implement an internal open bidding system for regional market manager positions. The enterprise divides its market into several regions, including sales targets, time, and budget for each. Each regional market manager position is open to internal bidding, and the winner is responsible. Second, for new sales staff, correctly handle the relationship between education and performance. For new college graduates, when determining positions and income, you can adopt: first year based on education, second year half education and half performance, third year based on performance. This provides development opportunities for new graduates while also providing fair development opportunities for all employees.
To this end, a scientific horse racing procedure is needed:
Step 1: Announcement
The HR department posts a notice announcing vacancies for sales staff or regional sales managers. Interested employees can submit applications to HR, self-recommending, and provide reasons why they are qualified for the position.
Step 2: Examination
First, physical fitness test: sales work requires abundant physical energy, so various methods can test applicants' fitness.
Second, essay test: given a topic range, applicants complete an essay within a specified time. This mainly examines knowledge breadth, novelty of views, and writing ability.
Third, written knowledge test: a knowledge exam for the applied position, including true/false, multiple choice, and fill-in-the-blank questions. This mainly examines knowledge preparation, thinking ability, judgment, and memory.
Fourth, oral test: examines applicants' adaptability.
Step 3: Balancing
The HR department conducts a preliminary evaluation, then proposes a list for the manager to decide.
Step 4: Interview
Shortlisted employees must be interviewed by members of the selection committee, composed of business and HR cadres. After each interview, the committee scores applicants based on selection criteria. If the score passes, the employee qualifies for training.
Step 5: Training
Training mainly covers professional skills and related knowledge needed for the new position, including theoretical study and sales department internships.
Step 6: Evaluation
After training, evaluate candidates' judgment, learning ability, adaptability, concepts, work quality, and coordination ability.
Step 7: Formal Appointment
VII. The Spider Theorem
The spider's ecological habits are: first, judge where insects frequently pass, then choose a favorable position to weave a large and sturdy web. Once everything is ready, patiently wait for insects to enter the web.
The most basic work for a sales manager to expand the market is to establish effective sales channels in the right place and in the right way. Because sales channels are the bridge connecting manufacturers and consumers, in market competition, whoever controls effective sales channels controls the market.
In today's Chinese market, almost every industry has formed a certain ranking. Enterprises in lower positions must clearly recognize that they are not opponents of the leading enterprises in the national market, nor can they compete in major cities, but they can surpass them in more specific and effective places, such as point-of-sale, especially major retail stores. To this end, they must particularly strengthen counter promotions in central shopping malls in large and medium cities.
Taking Qingdao Hisense Electric as an example, its specific measures are: first, adopt various methods to strengthen personal relationships with mall home appliance managers, making comprehensive emotional investments; second, differentiate situations and increase promoters. Service includes pre-sale, in-sale, and after-sale. If pre-sale and after-sale form a bridge, then in-sale service is the pier supporting the bridge. Hisense Electric does well in after-sales service, but in pre-sale (advertising), due to cost constraints, it's hard to make big moves. But even with more investment, without strong in-sale (point-of-sale sales induction) as the "pier" support, it's hard to play a greater effective role.
Regarding the selection of promoters, based on circumstances, three methods are used: first, if the mall agrees, the company recruits and trains them before entering the store; second, if the mall doesn't allow manufacturers to send promoters, the company can build good personal relationships with TV counter salespeople; third, negotiate with the mall to directly recruit from existing salespeople.
Regarding possible promotional effects, we can analyze from the buyer's point-of-sale purchase behavior. Every TV buyer, before leaving home for the mall, may have some impression of brands like Changhong, TCL, Konka, Hisense, but after arriving at the mall, they will definitely visit each brand's booth, mainly to compare. This shows that these buyers' brand-directed purchase rate is not high; although they have a tendency to buy a certain brand, it's not unchangeable. In this comparison process, according to a questionnaire survey, about 20% of potential consumers think promoters have a big influence on them, about 60% think they have some influence, and another 20% think they have no influence. Clearly, the on-site guidance of promoters is very important. If promoters can explain in detail to customers, the more they know, the more reassured they are, and the more likely they are to buy. Especially price differences: as long as you explain clearly why the price is higher, a certain price difference not only won't hinder the deal but can have a positive effect.
In a situation where the overall environment is hard to have a clear competitive advantage, to create more effective sales advantages at major points of sale, Hisense adopts the following measures: first, include the number of promoters in the assessment of each office and branch, assessing not only sales but also market share in large and medium shopping malls in their area; second, film the actual promotional activities of existing excellent promoters as training materials; third, strengthen communication with promoters, including helping them and their families as much as possible, motivating them emotionally; during market inspections, the company general manager dines with them at each location; fourth, hold promoter performance competitions, with heavy rewards for outstanding performers, including converting temporary workers to contract workers, increasing base salary, and setting up senior promoter titles within the company; fifth, issue a certain number of discount coupons to them monthly for their own use. This increases sales and gives them opportunities to take care of friends and family.
Hisense Group's strategy fully conforms to Mao Zedong's military theory of base areas—developing in rural areas where enemy forces are weak (especially border regions of multiple provinces, hilly and mountainous areas, lakes and surrounding areas), and expanding outward from these bases to ultimately achieve comprehensive victory.
Mao's main criteria for choosing base areas were: first, weak enemy forces; second, the strategic role of radiating from point to area; third, ample space for advance and retreat; fourth, mutual support between bases.
In competition, no matter how strong one side is, it cannot form a strong and uniform force layout nationwide; there are always strengths and weaknesses, and always vulnerable points. By analyzing the regional differences in the opponent's forces, finding their weak points, concentrating your own forces, using a wedge strategy, targeting market share, and persisting unremittingly, you will surely succeed. Therefore, in market competition, we must first use consumer needs as the standard, carefully investigate competitors' advantages and disadvantages, and promptly develop products or services that better satisfy consumers and replace competitors.
At the request of many distributor friends, the fourth B-end e-commerce inspection class of this platform will go to Nanjing and Hangzhou from August 15-18 to inspect Qianmi.com and Alibaba Retail Link. Distributor friends interested in transformation can join us for on-site inspection:
Activity process:
Time: August 15-18
> Nanjing · Hangzhou
> 15th: Check in at designated hotel in Nanjing;
> 16th: On-site inspection of Qianmi.com, then high-speed rail to Hangzhou in the afternoon;
> 17th: Participate in the "FMCG Distributor B2B Transformation Exchange Summit";
> 18th: On-site inspection of Alibaba Retail Link in Hangzhou;
**Distributor friends interested in transformation are welcome to join us to learn and inspect on-site** :
**Organization format**
1. Company visit
2. Actual market case visit
3. On-site explanation
4. One-on-one communication
Participating distributor friends only need to pay a 200 yuan registration fee.
Other expenses are self-covered.
Note: This inspection is limited to distributors.
Interested distributor friends can register by long-pressing the QR code below.
When adding, please note: "Fourth Registration".
**Non-participants, please don't disturb**
**Group photos from previous inspections:**
**3rd B-end e-commerce inspection group photo, from top to bottom: Yunbao Shangmeng, Weijie Chengpei, Wanshang Yizhan.**
**2nd B-end e-commerce inspection group photo, from top to bottom: Jinhuobao, Caiba, Yishang.**
**1st B-end e-commerce inspection group photo, from top to bottom: Piduoduo, Beiquan, Yishang.**
-END-
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