Identifying Profit-producing Salesforce Members |
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| Authors: | René Y Darmon |
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| Institution: | René Y. Darmon (Ph.D., University of Pennsylvania) is currently an Associate Professor of Marketing at McGill University, Montreal, Canada. Before joining academia, he served five years in industry as product manager (Johnson Wax) and sales administration manager (IBM). His research interest in Quantitative Analysis is applied to marketing problems, especially to salesforce management and advertising. His main articles were published in journal of Marketing Research, Personnel Review, Operational Research Quarterly, Journal of Advertising Research, AMA Proceedings, and Sloan Management Review. He is co-author of Canadian Marketing: Principles and Applications (McGraw-Hill, 1981). |
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| Abstract: | AbstractA procedure for estimating a salesperson's long-run profit performance is proposed. Based on historical personnel and accounting data, it takes into account the flows of revenues and costs that a company is likely to experience when a “typical” salesperson of a prespecified profile is kept on territory. In the reported case study, salesmen with a degree in liberal arts (and to some extent in the sciences) and previous non-sales experience could be identified as the best long-run profit producers. The results showed important differences with the conclusions of a more conventional analysis which emphasized short-run sales performance. |
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