AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION SILAY

AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION

A Thesis Presented to
the Faculty of Business and Accountancy Department
Silay Institute, Inc.

In Partial Fulfillment
of the Requirements for the Degree
Bachelor of Science in Business Administration

AMIL, AIZLL MAE B.

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AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION SILAY

CHAPTER 1

INTRODUCTION

Most consumers like to see what they are buying before making a purchase, but a

new trend is turning this concept on its head. The direct selling industries invest in their direct

sellers by offering products and providing them with business training. (Pete & Wotruba

2008).” Green Life Great Life” Personal Collection was born out of the desire to better the

lives of Filipinos through compassion, or what the company calls Malasakit. From what

started in a small warehouse with less than 10 employees, they have now grown through the

commitment of thousands of hardworking people striving to make a change across hundreds

of our retail establishments in the country.

Sales are shifting from a 20th Century “selling products and services” model to a 21 st-

century model in which salespeople focus on increasing customer productivity (Leighand

Marshall, 2001.) It operates through the mindset of hardworking people who have discovered

financial freedom and the great life that is the ultimate incentive for doing business with

Personal Collection. Direct Selling typically includes home selling situations such as door-to-

door solicitations, appointments, referrals, product parties, catalogs, and the Internet to

disseminate information. (Albaum 2005). The company was established on August 20, 2003,

and had many products in demand, like its fabric conditioner. The personal collection started

in a small warehouse as a single idea, and it grew to over 300 employees. They opened 30

retail establishments, relocated to a new office, built regional depots across the country, and

developed more products. Also, they launched a full-blown media campaign supported by

celebrity endorsers, billboards, and TV commercials, developed products with biodegradable

packaging, and created an e-commerce-ready website for our dealers.

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AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION SILAY

The researchers aim to investigate on sales strategy of Personal Collection Silay. Also, to

know the entire management they are using to maintain their success up until now and reach

400 plus branches nationwide rapidly. In addition, it to know how the consumer affects the

buying decisions in regards to the direct selling business of Personal Collection. The said

company offers competitive Salaries, Benefits, Product Incentives, and Bonuses to empower

their employees with an excellent working environment. It affects the employees’ strategies

on how their mindset manages to operate the business they are in. However, we, the

researcher, study how employee behavior affects the selling system of Personal Collection

Silay.

Based on the study by (Eades, 2003). A sales process refers to the way of applying steps

or the actions required to be able to sell a product or service. (William H. McNeese, 1991)

claims that the advantages of approaching a sale with a process perspective open up the

possibility of using tools from other process-oriented fields to enhance the sales process

outcomes. The purpose of a sales process is to divide the sales cycle into several steps to be

able to track the progress of each sales opportunity as it moves through the steps. Each of the

steps has various activities and measures related to it, which requires certain accomplishment

before moving to the next step (McNeese & Klein, 1991). In addition, (Terho et al. 2015)

investigate the sales strategy's impact on performance concerning the client-centric mediating

role. (Terho et al. 2015). (Bande et al. 2015) showed that promoting emotional skills is an

excellent way to reduce work stress and increase sales by considering the feelings and desires

of the salesperson regarding the effects of emotional intelligence and flexibility.

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AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION SILAY

Review of Related Literature

Sales strategy has been defined as “the extent to which a firm engages in a set of

activities and decisions regarding the allocation of scarce sales resources (i.e., people, selling

effort, money) to manage customer relationships on the basis of the value of each customer

for the firm” (Panagopoulos & Avlonitis, 2010)

Sales are shifting from a 20th-century “selling products and services” model to a 21st-

century model in which sales people focus on increasing customer productivity (Leighand

Marshall, 2017).

A sales strategy is a plan by which the organization performs its sales functions, the

goals of which are selling products or services or both, and to increase profits through organic

growth. An important part of a sales strategy is defining your customer base and

understanding the added value your organization can bring to your customers (Zolters, Sinha

& Lorimer, cited in Marcos, Donaldson & Lemmens 2016: 113)

The reason why it is important to take sales strategies into account is because of the

role sales organizations play in managing customer relationships. Traditionally what has been

considered to be the role of marketing has shifted towards sales and the building of customer

relationships. This can be seen in how resources are being allocated within companies from

marketing to strategic sales (Gould 2012: 5).

In business-to-business sales, rather than focusing on closing individual sales with

customers, the sales strategy looks at the bigger picture and the longevity of the relationships.

The reason is that most organizations have grown out of being traditional product

manufacturers, and with the growing global competition it is not enough for organizations to

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AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION SILAY

only manage products, but to offer services that enable their customers to achieve their own

targets thus creating additional value for them. (Kaario 2009: 21, 26).

The way sales strategies have developed in the past decades mirrors the changes in the

relationships between suppliers and their customers. Customers have increased power and

room for negotiation which is partly due to globalization and developing markets. This has

enabled customers to have more freedom of choice concerning their suppliers. Overall know-

how within industries has also increased and customers are able to make strategic

procurement decisions and segment their supplier base. The aim is to achieve long-term

savings and increase the value gained from supplier relationships (Marcos et al. 2016:)

Having a sound sales strategy ensures that the resources allocated in sales will be spent

towards winning customers which are of strategic relevance to the organization, and a step-

by-step sales process can be formulated which is in line with the customer expectations or as

Gould (2012: 87) put it "Customer Journey".

Synthesis

By selecting target clients and selling channels and then developing a sales process to

match, a sales strategy creates a way to reach revenue targets. A sales plan is never complete.

It must constantly adjust to economic and market change, always looking for ways to

accomplish more with less. A sales strategy is a framework for matching sales resources with

customer and seller demands in order to boost revenue. Use this one-page template to explain

to important stakeholders the major components of your sales strategic plan. Your company's

sales strategy must put a strong emphasis on client conversations if it is to be truly

productive. These expertly conducted discussions are what set your business apart from the

competition, produce a different purchasing experience for your customers, and convey value

to them.

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AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION SILAY

Statement of the Problem

This study aims to investigate the sales strategy of Personal Collection Silay

Precisely, this study aims to:

1. What is the demographic profile of the RESPONDENTS in terms of the following

a. Age

b. Sex

c. Years in service

2. What are the sales strategy being implemented in PC Silay?

3. Which among these strategies is most effective as perceived by the respondents?

4. What is the level of satisfaction of PC Silay in terms of;

5. Is there a significant difference in the investigation of the sales Strategy of Personal

Hypothesis

NULL HYPOTHESIS: There is no significant difference in the investigation on the

sales strategy of Personal Collection Silay according to the aforementioned variables.

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AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION SILAY

Significance of the study:

The result of this study can provide important and meaningful information which can

be significant to the following:

Employee.

This study will help the employee to know their functions in their organization. In

every organization, the employee is one of their assets. However, this study will focus on the

employee to know their contribution to their organization, what they are gaining, and what

their benefits as an employee.

Management.

The result of this study would be beneficial to the management for them to access

current information that will help the organization grow more as a direct selling company.

Management would give direction to the organization with regard to the salary and benefits

of every employee under that organization. In addition, with the help of a management

system, performance and opportunities would be gained as a part of that organization.

Consumer.

This study will affect the consumers purchasing behaviours in the way of buying the

most valued product to achieve their satisfaction, also to provide more in-depth information

in regard to the wants, needs, behaviours, and expectations of consumers to said products and

services offers of personal collection. The result of this study will benefit the consumer by

identifying information to have a big profit.

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AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION SILAY

Theoretical Framework

Social Exchange Theory

Social Exchange Theory (SET) emerged at the end of the 1950s and has since developed

into a large body of research on social behavior. The theory has been widely used to explain

both utilitarian and sociological views on relations within social networks (Blau, 2017;

DeLamater & Ward, 2013; 1987; Homans, 1961). Peter Blau (1964) greatly expanded on the

importance of the “social” context to which economic and exchange principles were being

applied. He noted that social exchanges differ from economic exchanges in that terms of

social exchanges are not spelled out per se, but rather left for a given individual to decide.

In the context of sales strategy, the development of social exchange theory is to help

each employee to emphasize the concepts that best fit their own application. As such, social

exchange theory has been applied to almost every type of social situation – organizational

management, consumer buying decisions, television viewing, politics, marriage, and

decisions to terminate romantic relationships.

With this theory, this study is to know the important to take sales strategies into

account because of the role, in addition sales strategy ensures that the resources allocated in

sales will be spent towards winning customers which are of strategic relevance to the

organization, in the social exchange between Personal Collection Silay and its employee.

The Sales Strategy of the organization is a factor in determining whether the employees are

satisfied with their disposition and productivity with their jobs. The theory will set a

foundation for finding out the social ties between the organization and its employee.

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AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION SILAY

SME’s Theory: Unlocking Sales Success: A Comprehensive Guide for Small and

Medium-Sized Enterprises

According to Ali Reza 2023, in today's competitive business environment, small and

medium-sized enterprise (SME’s) often face an uphill battle when generating enough leads

and meeting sales goals. With limited financial and human resources, the task can seem

insurmountable. However, SMEs can survive and thrive in the marketplace by adopting a

strategic, well-crafted annual sales plan.

By understanding and implementing these key strategies, your company can create a

focused, results-oriented approach to sales that is both efficient and effective. To have

journey to sales success is to have a sales strategy designed specifically for the unique

challenges of small and midsize enterprises, and these are: (1) Defining your customer profile

is crucial to maximizing the effectiveness of your sales efforts. (2) Market research is

essential for staying ahead in a competitive business landscape. (3) A customer relationship

management (CRM) system is critical for managing your sales pipeline and tracking

customer interactions. (4) In today's digital age, social selling has become vital to a

successful sales plan. (5) A well-structured quarterly plan helps track your progress and

enables you to make necessary adjustments to achieve your sales goals.

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AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION SILAY

Conceptual Framework

For this study, the researchers want to investigate on sales strategy of personal

collection silay and its significant differences given the variables; salary and benefits,

management system, performance, and opportunities. Also, the respondents’ demographic

profiles will be gathered. A self-made questionnaire will be used to gather information from

the employees involved who were chosen to be the respondents for this study, specifically the

regular employees of Personal Collection Silay. The researchers have gathered information

on the investigation of the sales strategy of personal collection silay.

This chapter shows the step-by-step procedure of the study which contains the input,

process, output, and project proposal of the study. With this, the researchers stressed the

variables that are important to be considered in the workplace for employees to have better

job performance and for them to engage with work.

The input of this study represents the personal information of the respondents, the regular

employees, described in terms of age, sex, civil status, and length of service. This profile

might have an impact on the investigation of the sales strategy of personal collection silay to

the respondents for it shows various results based on different studies. With this, the

respondents' demographic profile helps support data to better understand the overall analysis.

The process of the study is to gather data and will be answered through the use of self-

made questionnaire prepared by the researchers and will be validated by the three (3)

validators. In line with this, there are three variables that the researchers have made to be

answered by the respondents that may serve as their reference to determine an investigation

on sales strategy of personal collection silay. These independent variables which are the

salary and benefits, management system, performance, and opportunities for development is

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AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION SILAY

supported by different studies with various results that could possibly affect employees’ work

engagement and job performance toward their job.

The output of this study will show an investigation of the sales strategy of personal

collection silay. The result of this study will help the researchers determine the factors and

their significant differences that may help them conclude what the company should consider

in fostering their employees’ work engagement that directly impacts job performance.

Schematic Diagram

INPUT PROCESS OUTPUT

Demographic
Profile Gather data and will be Investigation of the
answered through the Sales Strategy of
a) Age use of self-made Personal Collection
b) Sex questionnaire. Silay
c) Years in
service

Definition of Terms

The terms used were conceptually and operationally defined

Salary and Benefits-conceptually, the organization should be motivating their employees for

the best performance or to achieve the organizational goals, in fact, motivation is the tool for

the best performance and there are many discussions about motivation and the relationship

between every employee’s efficiency and organizational efficiencies. Motivation will lead to

the fact that workers or employees of the organization will seriously do their duties and

responsibilities (Azar and Shafighi, 2013).

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AN INVESTIGATION ON SALES STRATEGY OF PERSONAL COLLECTION SILAY

Management System-conceptually, it is significant, in the overall management system, to

have a clear vision and exact directions with regards to key organizational tasks. It is also

imperative to determine the main purpose and methodology of an organization, which is

actually the basis for organizational strategic planning (Armstrong 1986).

Performance and Opportunities- conceptually, those organizations who have tended to

adopt justice strategies among their employees in their workplace and encourage them to do

their best in their work. It has achieved a great result on the part of satisfied customers and its

quality work. Pfeffer, (2005)

Employee engagement – conceptually, this refers to the emotional connection of an

employee feels toward an employment organization that tends to influence his or her

behaviors and level of effort in work-related activities. (Business Dictionary, 2019)

Regular Workers – conceptually, this refers to an employee whose employment is

reasonably expected to continue longer than one (1) year, although such employment may be

terminated earlier by action on the part of the Company or the employee. (Lawinsider

Dictionary).

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