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    Eureka Forbes

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    Georgy Varghese Cyriac
    Eureka Forbes is a joint venture between Forbes India and Electrolux Sweden established in 1982. Their primary products are vacuum cleaners and water purifiers, which they sell directly to customers through field sales representatives called EuroChamps. Recently, revenues and sales closure rates have softened while EuroChamp attrition has increased. EuroChamps are missing easy sales and focusing more on completing demonstrations than developing customer relationships and closing deals. A new "Bettering the Best" program aims to address these issues but may introduce new challenges if not properly implemented.

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    Eureka Forbes

    Uploaded by

    Georgy Varghese Cyriac
    250 views10 pages
    Eureka Forbes is a joint venture between Forbes India and Electrolux Sweden established in 1982. Their primary products are vacuum cleaners and water purifiers, which they sell directly to customers through field sales representatives called EuroChamps. Recently, revenues and sales closure rates have softened while EuroChamp attrition has increased. EuroChamps are missing easy sales and focusing more on completing demonstrations than developing customer relationships and closing deals. A new "Bettering the Best" program aims to address these issues but may introduce new challenges if not properly implemented.

    Original Description:

    Solutions and brief by Georgy, Pranav and Krishnan

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    Eureka Forbes is a joint venture between Forbes India and Electrolux Sweden established in 1982. Their primary products are vacuum cleaners and water purifiers, which they sell directly to customers through field sales representatives called EuroChamps. Recently, revenues and sales closure rates have softened while EuroChamp attrition has increased. EuroChamps are missing easy sales and focusing more on completing demonstrations than developing customer relationships and closing deals. A new "Bettering the Best" program aims to address these issues but may introduce new challenges if not properly implemented.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    250 views10 pages

    Eureka Forbes

    Uploaded by

    Georgy Varghese Cyriac
    Eureka Forbes is a joint venture between Forbes India and Electrolux Sweden established in 1982. Their primary products are vacuum cleaners and water purifiers, which they sell directly to customers through field sales representatives called EuroChamps. Recently, revenues and sales closure rates have softened while EuroChamp attrition has increased. EuroChamps are missing easy sales and focusing more on completing demonstrations than developing customer relationships and closing deals. A new "Bettering the Best" program aims to address these issues but may introduce new challenges if not properly implemented.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 10

    EUREKA FORBES LTD.

    Managing the Selling Effort

    Georgy V Cryic
    EPGPKC060
    Krishnan
    EPGPKC060
    Pranav K Ullas
    EPGPKC06013
    CASE SUMMARY
     Eureka Forbes is joint venture of Forbes India and Electrolux
    Sweden started in 1982
     Primary products were vacuum cleaner and water purifier
     Focused on direct selling to customers through interactive
    channels
     In 2004, They have the largest field sales force (5000+) in Asia and
    one of the best employer of India
     Company’s target audience as those households in the 400 A-
    level cities (18 Million Households)
     EuroClean product line had market share of 70% and penetration
    level was 14%
    CASE SUMMARY CONT..
     EuroChamps are there front line sales rep of the company and
    contributed ~72% of sales revenue
     They brought the product into customer’s home to demonstrate
    it and close the deal
     Their people oriented approach is very important to close every
    deal
     Apart from two week shadowing a senior sales rep, a new
    training program called “My First Week at EFL” is introduced
     Commission is based on sales volume
     Multiple clubs to encourage the efforts put by EuroChamps
    PROBLEM IDENTIFICATION

     Revenues softened
     Sales closure rates were falling
     EuroChamps attrition rate was at their highest
     EuroChamps are missing easy sales. They are more focused on
    completing their demo
    SHOULD GOKLANEY ROLLOUT THE NEW “BETTERING THE
    BEST” PROGRAM THROUGH THE ENTIRE SALES
    ORGANIZATION?
     They should roll out the new “Bringing the Best” program through
    the entire sales organization
     In current situation EuroChamps are diverting from people
    oriented approach to target driven approach
     They are more focused on getting a demonstration and closing
    the deal
     The current commission system is focused on sales volume
     EuroChamp is the face of the company and how they interact
    with people is important
     ‘Bettering the best’ program will help EuroChamps to build self
    esteem
    WHAT CHANGES WOULD YOU RECOMMEND (IF ANY) TO
    THE CURRENT PLAN?
     Many challenges are attached to the new program
     Time consuming for EuroChamps as well as Group Leaders because
    of the manual task
     Risk of overstating the effort to gain more points
     Chances of moving focus from making a sale to gaining points
     Lack of knowledge to use computerized reporting system
     Suggestions
     Include trainings to use computerized systems
     Introduce sales to point ratio and provide reward or additional
    benefits
     Introduce points to training and mentoring
    DEFINE THE ROLE OF THE EUROCHAMP. WHAT ARE THE
    SALES TASKS THAT THE FIRM WANTS THE EUROCHAMP TO
    UNDERTAKE?
     EuroChamps are the face of the organization and the informal
    company logo
     Young, Extroverted, Enthusiastic
     Direct selling in the assigned territory
     Knocking the door to get an appointment in the evening
     Report status and feedback to group leader
     Demonstrating the product at customer’s premises
     Convince the value of the product, respond to customer’s objection
     Close the deal, Report the status to CRC
    QUALITIES OF EURO CHAMP
     RECRUITMENT BASED ON SUBJECTIVE JUDGEMENTS OF THE PEOPLE
     RESULT ORIENTED SALES METHODOLOGY
     EARNING LEARNING PRIDE&FUN
     SELL PRODUCTS WITHOUT BEING RUDE TO THEM
     PROPER PRODUCT KNOWLEDGE
     PROPER DRESS CODE AND COMMUNICATION SKILLS
    OTHER SALES REP
     IMPROPER DRESS CODE
     INABILITY TO CONVINCE CUSTOMERS
     LESS MOTIVATED SALES DRIVE
     BELOW PAR COMMUNICATION SKILLS
    SALES PROCESS FAILURES:REASONS
     DIRECT LINK OF COMPENSATION WITH VOLUME OF SALES
     LESS IMPORTANCE TO CUSTOMER RELATIONSHIPS
     MAXIMUM SALE WAS SOLE OBJECTIVE & HOW IT WAS ACHIEVED
    WAS NOT IMPORTANT
     EURO CHAMP MORALE WAS GOING DOWN SINCE INCENTIVE IS
    LINKED WITH VOLUME OF SALE ONLY
     MAIN EMPLOYEE CONCERN WAS TO COMPLETE THE TASK RATHER
    THAN ADDRESSING THE CONCERN AND WINNING THE CUSOMER
    CONFIDENCE

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