Company: Vestel, Istanbul, Turkey
Nomination Category: Sales Training
As of 2015 our company made a strategy change to switch from a producer perspective to a retail perspective. Now our vendors need to determine customer needs and sell accordingly rather than just sell the products we determined. Also the economic conditions grew to be more challenging, the sales and operation skills of the vendors became that much more critical as a success factor. This meant that retail management and sales skills were needed more; however our vendors were lacking in this kind of skill and experience.
We made a clear determination that a “Vendor Network Sales Development Program” was needed both for our vendors to determine customer expectations and to fulfill these expectations accurately and achieve financial success through increasing sales.
As a result of the need analyses we arrived at the conclusion that the principles specified below, would be our solution:
- We realized that it would not be efficient to call in our vendors, which were spread all over Turkey and subject them all at one time to long periods of training. Therefore we decided on a modular structure of training in which we invited them to training at certain intervals.
- We decided to work with consulting companies and trainers that are experts in their field in order to efficiently combine academic information with industrial practice - We decided it was not sufficient for only the vendor owners to participate, that the employees in contact with customers were our target audience too and transformation could only be achieve with an integral approach.
Therefore we designed a program in phases that included store managers in addition to vendor owners.
The program is not limited to in-class trainings. It includes a variety of communication development tools in order for vendors to get accustomed to the new company culture, establish interaction within itself and use a mutual language.
In summary, our Vendor Network Sales Development Program was diversified for 2 different profiles and is a mixed development program comprised of 4 modules each.
These 4 modules were prepared according to skills in a similar way and they were made into levels that could be added to each other. Therefore the participant is not able to move onto another module before completing the previous one.
Vendor Owner Program:
1. Business and People Management
2. Finance and Risk Management
3. Sales Management
4. Management, Marketing and Sales
Store Manager Program:
1. The Store Management and Retail Mathematics
2. Visual Merchandising
3. Communication and Persuasion
4. Problem Solving and Decision Making
The vendors that complete 4 modules successfully earned an “Excellence in Retail Certificate”. In addition to this, a 5 Module the “Local Campaign Management and Customer Focus” training developed to reinforce a culture of constant development and continue the training and development of our vendors is planned for this year after they have completed the program and received their certificates.
Before in class training, we used professional tests like MBTI so that our vendor owners in particular could see their own management styles and skills. Later these tests were evaluated by the trainer and used for fortifying store management.
Our participants were in the program with the same colleagues starting with the first module. This made the social relationships in the class stronger. “Whatsapp” groups were established so that the vendors could maintain contact and interaction with each other. They continued to share in these groups the campaigns they conducted and their improvements in retail.
Presentations and articles relevant to the training our vendors received were shared on the Vendor Communication Portal to achieve sustainable education and development after the in class training. The rate at which these shared elements were read was constantly monitored and the learning process was continued over the online platform.
Program has great positive effect on business results.
a) Conversion ratio: Conversion rate was 5.29% among trained vendors it was 4.31% among untrained.The average conversion rate of vendors in training increased by 1.89% after the training, there was no change for vendors who did not participate.
b) Basket Size : Annual average basket size of trained vendors is 6% more than untrained vendors with similar qualities.
c) Sales/personnel ratio: Sales per personnel in trained vendors were 40% more compared to untrained vendors. Trained vendors increased their rate 27% after completing their training.
d) Pre training/post training sales volume ratio: While the average retail sales amount of trained vendors increased by 22% in 2016, this rate remained at 17% in untrained vendors.
e) Customer Satisfaction: Average number of complaints per trained vendor was 1,3. (untrained: 3,36)