Business Opinion: Planned sales for entrepreneurial businesses

By Farai Chigora | Aug. 20, 2023

A business model that does not talk about selling and sales of a product/service is incomplete.

Our entrepreneurs end up having marketing myopia if they ignore the power of planned sales.

Real entrepreneurship considers sales from the onset as triggered by the customers themselves not production in the sense that launching a business idea should not talk about production in terms of quantities, colour, materials and costs only.

There should be a thorough market analysis and forecast so as to proactively influence and plan for sales.

This helps in producing what the market(s) is waiting for rather than what you as an entrepreneur think will sell.

Remember, the customer is the king and should be appreciated through regular consultation for a superb treat.

That is the same reason why in the evolution of marketing management the production concept was overtaken by relationship marketing.

Our sales start from the business idea itself through to the incubation until we directly place a product/service in the hands of the customer.

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There are no short-cuts to market dominance unless otherwise. In this edition, we talk about planned sales for entrepreneurial businesses where our thinking and operations should consider the customer first before a decision is made.

In its crux, a planned sale helps to customise our offerings according to the needs and wants of the targeted markets.

It is a good starting point for high value niche marketing as it allows us to engage with the markets first and serve their specific needs more than what we will have done in a broad market.

Selling will become part of our value chain from the beginning until we do after-sales services/follow-ups.

This is the beginning of revenue/profitability forecasting with precision as we will be able to ascertain demand as a variable, which we could not previously plan for beside costs of supplies.

To start with, selling is human driven when we consider relationship marketing as the orientation for viability.

Machines and artificial intelligence (AI) cannot complete all the needed efficiencies for valuable exchange with the customer(s).

Remember, humans have their specific concerns that should be given attention.

In such a way there is a need to have humans talk to humans more so as to understand some non-verbal communications that relate to the selling capacity of the enterprise.

We need to do sales calls that promote lasting relationships with our present and future markets.

Visiting where our customers operate/reside to talk business and any other helps in developing a symbiotic profitable relationship.

At the same time listening to their concerns for exclusive product/service customisation.

Here we are not disregarding innovation especially AI in this progressive world of entrepreneurial business modelling but it should be balanced.

Most of our SMEs cut their costs through not incentivising their sales force.

That is a recipe for disaster to say as they are the ones who are on your interface in order to connect and interact with the customers.

As aforementioned, they verbally and non-verbally talk with the customers (either as individuals or groups).

Their motivation for smart showcasing should be a priority here.

We have to budget for their incentives (whether financial or non-financial) at every level of our business growth.

Some wait for that day when they will have more money to consider such a practice but it is gradual.

That is the same reason why most thriving global businesses have considered not only payment by commission, but share options for that ownership as we grow together.

In that viewpoint most sales people for big global companies go an extra mile in their effort not only to move sales volumes but protecting the brand of the company and its offerings.

There is a great concern on the selling distributions that has become part of almost all growing businesses around.

Here we refer back to marketing diseconomies of scale as a concept in business economics.

Agents and any other parties who sell our products/services should be integrated with our brand vision and operational philosophies somehow they should have long-lasting mutually profitable relationships with them.

Otherwise that is where most promising entrepreneurial businesses are falling as their image is muddled by these distributors who cannot showcase the same customer care and vision like you will have done as the owner.

We should not leave our product/service in the hands of others and wait for sales reports only.

It should be a continued engagement as we do training, conferences and any other sort of arrangements reminding each other on how our markets need to be served.

Till then, there is more into sales rather than volumes.

That is the reason why we should continue in our planning for sales from a mere business idea to the anticipated growth.

*Dr Farai Chigora is a businessman and academic. He is the Head of Management and Entrepreneurship at the Africa University’s College of Business, Peace, Leadership and Governance. His doctoral research focused on business administration (destination marketing and bBranding Major, Ukzn, SA). He is into agribusiness and consults for many companies in Zimbabwe and Africa. He writes in his personal capacity and can be contacted for feedback and business at fariechigora@gmail.com, www.fachip.co.zw, WhatsApp mobile: +263772886871.