Commercial Team

Your commercial team is responsible for obtaining and entering orders and for supporting distributors. It is organized by channel in order to better meet the needs of the distributors, and by brand. The team includes multiple categories of people and resources depending on the channels: sales representatives, customer support, merchandisers, web masters, blog managers, etc. The main tasks conducted by the commercial team are to visit stores, distributors and wholesalers; to enroll them in trade programs; to take orders; to handle out of stock situations; to participate in trade shows; and to help stores organize and conduct promotions.

The marketing department must specify the number of people to allocate to each channel and each brand. Commercial people may be reallocated at no cost across distribution channels and/or across brands. However, hiring or firing costs will be automatically charged to your department when the total size of the commercial team increases or decreases.

Your decisions must be entered each period in the Commercial Team decision form. The size of your commercial team must be entered in number of Full-Time-Equivalent (FTE), i.e. the equivalent of one person working full-time for one period.

The cost of your commercial team is proportional to the number of allocated FTEs plus the hiring or firing costs in case you have extended or decreased its size. Hiring and firing costs are calculated as a percentage of the FTE cost, as indicated in the newsletter. This cost includes the salary of the person plus additional expenses such as company car, medical/dental care, etc. It also includes a sales budget that commercial people can use in activities or tools aimed at increasing sales, such as trade programs, catalogs, permanent or temporary POS materials, gifts, etc. The commercial team will decide on the best mix of tools depending on the channel and the target consumers.