The Driver Inluencing The Relationship Between Sales Rep and Their Customer

Dissertation Report
ON
“The Driver influencing the relationship

between Sales Representative and Customer
and their impact on Sales”
For the partial fulfillment of the course

In
Post Graduate Diploma in Business Management.
(Session: 2007-2009)
Submitted By:-
Gopal Singh
Roll No-27119
Under The Guidance of

Ms. Sarika Tomar
NIILM- CENTRE FOR MANAGEMENT STUDIES

B-II/66, M.C.I.E., Sher Shah Suri Marg, New Delhi- 110044.
[1]
Certificate of Completion
This is to certify that Dissertation report on “the Summer Project Report on “The
Driver influencing the relationship between Sales Representative and
Customer and their impact on Sales” prepared by Gopal Singh Roll No.
“27119” Student of NIILM- Centre for Management Studies of PGDBM 2007-09
batch has been completed under my guidance and supervision.
________________________
Ms. Sarika Tomar
Asst. Professor
NIILM-CMS
[2]
ACKNOWLEDGEMENT
Success is not a destination, but a journey
The above saying is heard very often but I realized it even better during
my Dissertation research project. Any accomplishment requires the efforts of
many people and this work is no different. I have been fortunate enough to get the
help and guidance from many people. It is a pleasure to acknowledge them, though
it is still inadequate appreciation for their contribution.
I would not have completed this journey without the help, guidance and
support of certain people who acted as guides, friends and torchbearers along the
way.
I would like to express my deep gratitude and sincere thanks to my faculty

guide Ms. Sarika Tomar. for their keen support and valuable guidance. The
project could not be complete without their support and guidance. Thanking them
is only a small gesture for the generosity shown.
I am also thankful to all my friends, my family and the sales people and
distributor of various organization like; Coca-cola, Pepsi, Nestle, Reckitt
Benckiser, P&G, HUL, Camalin, Dabur, Mother Dairy, Amul, etc are the name of
few, who cooperated with me at every stage of the project and helped me a lot.
They acted as a continuous source of inspiration and motivated me throughout
the duration of the project helping me a lot in completing this project.
[3]
PREFACE
P.G.D.B.M. is the stepping stone to management career. In order to achieve practical,

positive and concrete result, the classroom learning has to be effectively supplemented to
relation of the situation existing outside the classroom for developing healthy managerial and
administrative skills in a potential manager. It is necessary that the theoretical knowledge
must be supplemented with exposure to the real environment.
The report comprises all the important aspects of the study and all the aspects have been
presented under different headings in the forthcoming pages. An attempt had been made to
present a report covering different aspects of the Research Study.
I would like to express my sincere thanks to all the Respondent, Distributor and Sales people
who helped in my endeavors during the training.
[4]
EXECUTIVE SUMMARY
Companies are continually trying to create value from their brands by increasing their
margins and/or selling more of their products. Taking cost out of the value chain gives the
company a competitive advantage, but this advantage is short lived as competitors also
reduce costs. (Mostly in FMCG companies) Differentiating a product through enhanced
features and benefits also provides a competitive advantage, but is also subject to imitation
by rivals. As competition increases, companies are looking for new avenues to differentiate
themselves. Relationship marketing has, as a result, increased its prevalence as a competitive
tool to provide that point of difference.
The primary objective of the study to investigated the factors that influence the relationships
between a sales representative and Distributor/Customer. The project was undertaken in Delhi
and NCR region due to various constraints.
A proper plan was devised as to how the market will be approached and the acceptability
level would be found out. For that, Sales people, Distributor’s, Customer responses were
collected through a simple questionnaire. All the findings of the project are mostly based on
primary data collection
This research Blue-print was developed after studying literature as it pertained to customer
relationship marketing. From the literature the foundation blocks in developing buyer-seller
relationships were studied. The research methodology tested the impact of certain factors on
the ability to build a relationship between buyer and seller and then tested the validity of
those answers using underlying determinants of a relationship.
These determinants included the ability to communicate, the ability to trust, the degree of
loyalty and the ability to influence a customer.
[5]
Table of contents
Project Completion Certificate……………………………………………………2

Acknowledgment …………………………………………………………………
3
Preface…………………………………………………………………………….4
Executive
Summary……………………………………………………………….5
CHAPTER 1: INTRODUCTION………………………………………………7
1.1: Purpose, Scope & Limitation…………………………………………...7
1.2: Benefits Gained through the project …………………………………...8
CHAPTER 2: RESEARCH PROJECT…………………………………………9

2.1: Literature Review ………………………………………………………....9
2.2: Research Objective…………………………………………………….....12
2.3: Research Problem………………………………………………………...12
2.4. Research Design & Methodology……………………………………..…17
2.4: Questionnaire Designing………………………………………………....17
3.5: Sampling and Data Collection……………………………………….......17
CHAPTER 4: DATA ANALYSIS AND RESULTS………………………….18

4.1: Data Analysis……………………………………………………………..18
4.2: Research Result…………………………………………………………..18
CHAPTER 6: …………………………………………………………………48
6.1: BIBLIOGRAPHY………………………………………………………48
6.2: ANNEXURE……………………………………………………………54
[6]
CHAPTER 1: INTRODUCTION
1.1: Purpose, Scope & Limitations:
Purpose: This project is titled “Study of preparatory educational segments for

exploring the Possibility of this segment as an avenue of growth for HT in Delhi”.
This project is undertaken to find out the critical factor of success factor of a sales
representative to maintain a relationship with the customer. There are a number of
companies whose sales representative fail to maintain the relationship with their
customer. Hence a effort has been made to identify the critical success factor of a
representative which led to healthy relationship with their customer. I tried to know the
effect of sales representative’s age, gender, educational qualification, language, place
of living in building the relationship with customer. So the companies can understand
the qualities of ultimate sales person and device them accordingly.
Scope: The whole project is divided into

 Literature review and Hypothesis formation
 Survey, Feedback and Data analysis
It is suggested that positive relationships have an impact on the sales representative’s ability
to influence the store owner to activate certain in-store drivers which will increase the sales
volume of products through an outlet. In-store drivers have been defined as the availability of
a product through listing, the amount of forward share allocated to the product and the price
of the product. If the profile of a sales representative relative to that of a customer, has an
impact on the strength of the relationship, companies could “match” sales representatives to
customers based on their respective profiles. This “matching” would have a positive benefit
for the sales representative and his/her company.
[7]
Understanding what factors can improve or inhibit a relationship provides important insights
into how management can influence a competitive advantage in customer relationship
marketing.
1.2:Limitation of the study:
 The project is limited in scope due to restrictions over the length of questionnaire.
 The definition of the population may be restricted due to resource constraints or the
availability of adequate sampling frames. Thus, the results can only be generalized
with confidence to the group from whom the sample was taken.
1.2: Benefits gained through the project
Practical Experience: The most obvious benefit gained from conducting this project is
the practical experience, I acquired. I personally found that it was quite hard to
truly understand the concepts and ideas taught in the classroom until they are
required to apply them in an actual situation. Such a fundamental concept as market
segmentation takes on a new meaning when I were required to carefully identify,
define, and measure the characteristics of some important customer group(s).
Satisfaction of Producing a Product: I found considerable satisfaction in doing

the marketing research project. This exercise involved me from start to finish in
solving a practical problem. At that point, it was quite hard for me to imagine
what the final product would be like. However, at the end of the term I was felling
very proud to be a part of this project.
Application of Skills: This project required to apply a variety of skills. Some of these
skills were entirely new, such as gathering information through direct and telephonic
interviews with management people of various preparatory coaching institutes. Other
[8]
skills that I began to acquire in classes but had not applied to marketing
problems, for example, preparing statistical models in MS EXCEL.
2.1:LITERATURE REVIEW:
Defining a relationship, relationship marketing and customer relationship marketing.
A relationship is composed of a series of episodes between dyadic parties over time

Marketing in relational terms means to establish, maintain and enhance relationships with
customers and other partners, at a profit so that the objectives of parties involved are met.
This is achieved by mutual exchange. Relationship marketing (RM) is used to describe the
philosophy and orientation towards customer retention and is an important trend in
marketing. It is based on the organization’s effort to develop long-term, mutual beneficial
links with customers. CRM philosophy is based on the concept of building long-term quality
relationships with customers who will provide value to the organization. The Relationship
marketing perspective is based on the notion that on top of value of products and/or services
that are exchanged, the existence of a relationship between two parties creates additional
value for the customer and also for the suppliers or service provider
Customer relationship marketing (CRM) is regarded as the practical implementation of

relationship marketing and is the core business strategy that integrates internal processes and
functions, and external networks, to create and deliver value to targeted customers at a profit.
It is grounded on high-quality customer data and enabled IT. The general aim of any CRM
strategy is to develop more profitable relationships with customers. Some organizations do
this by taking cost out of the relationship and others do this by increasing the revenue earned
from a customer relationship. It was found that customers value relationships with trusted
suppliers. As a result of the association of value with relationships it is important for
suppliers to put effort into maintaining and constantly improving these relationships.
Boles, Hiram, Barksdale and Johnson identified a five-stage relationship evolution process.
These stages are pre-relationship stage, early stage, development stage, long term stage and
[9]
the final stage. Within these stages, there are certain identified categories of perceptions that
influence the future development of a relationship. Various researches identify one of these
categories as being the distance because of differences in social, geographic and cultural
backgrounds. In the early stage of development there is a need to reduce the social distance
between buyer and seller if a long-term sustainable relationship is to develop.
The sales person is the point of contact between the selling organization and the company. It
therefore becomes important to understand what factors will influence the strength of that
relationship and what the entry-level factors are that need to be considered prior to this stage.
The relationship gap between a buyer and a seller closes as knowledge of each firm becomes
known and as personal relationships develop between individuals.
There are different stages in building a relationship. These stages are represented in the
loyalty ladder depicted in Figure 1.
Figure 1: The customer ladder of loyalty

Source: Adapted from Payne (2006:112)
[10]
The ultimate goal is to reach the top of the ladder and develop a partner relationship, but
Payne (2006: 112) calls out the need to understand that it becomes more difficult to build a
relationship the higher one climbs up the ladder.
Key characteristics of relationships Satisfaction, trust and commitment are the core values in
relationship marketing. Satisfaction is a strong predictor for behavioral outcomes such as
repurchasing intentions, word-of-mouth or loyalty. Trust is one parties belief that its needs
will be fulfilled in the future by actions taken by the other party and according to the
commitment-trust theory by Morgan and Hunt. Trust is the key mediating variable that is
central to any relational exchange.
Commitment is defined by as an enduring desire to maintain a valued relationship and

committed relationship partners are unlikely to switch even if a competing supplier
outperforms the incumbents value offer. Parties identify commitment among exchange
partners as a key to achieving valuable outcomes for themselves and they endeavor to
develop and maintain this precious attribute in their relationship. Commitment is a
motivational force driving the individual towards an action or behavior and in marketing,
commitment to a relationship is widely accepted as a behavioral measure of performance.
Parties seek an on-going profitable relationship. This study examines the impact that age,
gender, education and culture have on the ability of a sales representative to build a
relationship with a customer. Culture is broken down into four categories and these
categories examined race, language, religion and area of residence of sales representative
relative to a customer and the impact these attributes have on the ability to build a
relationship.
[11]
2.2The research objective:
The primary research objective was to determine if a positive relationship has an impact on
the in-store drivers and ultimately the sales volume in an outlet.
2.3The research problem:
A company can produce a product, create the demand for it, but fail by not having that
product available for the shopper to purchase. The focus of this article is to examine the
factors which influence the relationship between a sales representative and a customer, and
the impact of the relationship on the sales within an outlet. A supplier can determine who to
send to a customer. If a particular profile of sales representative increases the sales volume
within an outlet it would be in the interests of the supplier to ensure that the “right” person
with the most appropriate profile is sent to that customer.
The study was developed to solve the following four research problems:
 The first related to whether there is a relationship between the profile of a sales
representative and that of the customer (linked to hypotheses 1 – 30).
 The second to determine whether the strength of a relationship will influence the
ability to affect the in store drivers (linked to hypotheses 31-33).
 The third to determine whether these in-store drivers affect sales volume (linked to
hypothesis 34-35).
The profile of a sales representative relative to the customer was defined by using the
determinants of gender age, education and culture.
[12]
2.4: Hypothesis:
The hypotheses below were formulated and linked to the four research problems.
Hypotheses linked to research problem one:
(H1 – H6)- To test the ability to build a relationship
H1: There is a significant relationship between sales representative age and their ability to
build a relationship with a customer.
H2: The ability to build a relationship with customers is the same irrespective of gender.
H3: There is a significant relationship between sales representative’s educational

qualifications and their ability to build a relationship with a customer.
H4: The ability to build a relationship with customer is same irrespective of language.
H5: The ability to build a relationship with customer is same irrespective of place of living.
.
H6: The ability to build a relationship with customer is same irrespective of race.
To test the ability to communicate with a customer
communicate with a customer.
[13]
H8: The ability to communicate with customer is same irrespective of gender.

qualifications and their ability to communicate with a customer.
H10: The ability to communicate with customer is same irrespective of language.
H11: The ability to communicate with customer is same irrespective of place of living.
.
H12: The ability to communicate with customer is same irrespective of race.
(H13 – H18)- To Test The Ability Of Trust A Customer
trust a customer.
H14: The ability to trust a customer is same irrespective of gender.

qualifications and their ability to trust a customer.
H16: The ability to trust a customer is same irrespective of language.
H17: The ability to trust a customer is same irrespective of place of living.

.
H18: The ability to trust a customer is same irrespective of race.
(H19 – H24)- To Test The Degree Of Loyalty And
build loyalty with a customer.
[14]
H20: The ability to build loyalty with a customer is same irrespective of gender.

qualifications and their ability to build loyalty with a customer.
H22: The ability to build loyalty with a customer is same irrespective of language.
H23: The ability to build loyalty with a customer is same irrespective of place of living.
.
H24: The ability to build loyalty with a customer is same irrespective of race.
(H25 – H30)- To Test The Ability To Influence A Customer
influence a customer.
H26: The ability to influence a customer is same irrespective of gender.

qualifications and their ability to influence a customer.
H28: The ability to influence a customer is same irrespective of language.
H29: The ability to influence a customer is same irrespective of place of living.

.
H30: The ability to influence a customer is same irrespective of race.
Hypotheses Linked To Research Problem Two:
Hypotheses 31 – 33 were formulated to test the relationship between the strength of a

relationship and the impact this relationship has on the in-store drivers. It was assumed that
there will be a positive relationship between the strength of the customer and sales
[15]
representatives’ relationship and the ability of the sales representative to affect the listing of
products, the placement of cooling equipment and displays and the compliance to
recommended selling prices.
H31: The stronger the relationship a sales representative has with a customer the easier it is
to list a new product.
H32: The stronger the relationship that a sales representative has with a customer the easier it
is to get a display built in the outlet.
H33: The stronger the relationship that a sales representative has with a customer the easier it
is to get price compliance in an outlet.
Hypotheses Linked To Research Problem Three:
Hypotheses 34 – 35 were formulated to test the sales representative’s belief that the strength
of the relationship that he or she has with the customer will influence his or her ability to list,
increase forward inventory and get price compliance within an outlet.
H34: If you increase the amount of forward share in an outlet by building displays and
increasing the points of interruption you will increase the volume in that outlet.
H35: If you get price compliance in an outlet you will increase the volume within that outlet.
[16]
2.5: Research methodology:
Questionnaire design:
A questionnaire had been designed to gather information. The data variables in the
questionnaire were opinion based, except personal demographic question. Ordinal scale
questions were used to gather the opinion data. Nominal scales/category questions were used
to gather the respondent‘s demographic data. A five point multi-item Likert scale was used
anchored 1= “strongly agree” (very easy, very high) and 5= “Strongly disagree” (very
difficult, very low) in the questionnaire. 1 shows strongly agree and on the other extreme 5
shows strong disagreement with the statement. Total 100 questionnaires were administered,
20 out of them were insufficient. Hence only 80 questionnaires were analyzed.
Sampling and data gathering:
The research was conducted within Delhi & NCR region. NCR includes Noida, Faridabad,
Ghaziabad, and Gorgon. The research involved the gathering of information from the sales
representatives, sales managers, Distributors and various companies’ representatives. Each
question in the questionnaire was explained to the respondent.
Convenience sampling method was used to get the response from targeted population is
survey. Most of the questionnaire was administered by me and rests Questionnaire were
administered by my colleague, due to time constraint. The whole data collection process took
less than one week.
[17]
3.1: Data Analysis:
Statistical tool ANOVA is used for repeated ordinal measures. Chai-square test applied for
comparing several groups/categories.
All the data was transferred to an excel spreadsheet. The results from the survey were
matched to the volume growth. The data as it related to the strength of the relationship and
volume growth was transferred into two columns which were used in the correlation analysis.
The p-value was used to measure the significance of this correlation.
3.2: Research results:
Hypothesis results:
The following hypothesis results are linked to the ability of the sales representatives to build
relationships, their ability to communicate, their ability to build trust, their ability to build
loyalty and their ability to influence to influence the customer.
[18]
The Ability To Build A Relationship (H1 – H7):
Hypothesis 1: It is easier to build a relationship with a customer who is the same age or
younger than the sales representative.
SUMMARY
Varian
Groups Count Sum Average ce
0.4289
Column 1 80 117 1.4625 56
0.5061
Column 2 80 199 2.4875 71
0.3696
Column 3 80 128 1.6 2
ANOVA
Source of
Variation SS df MS F P-value F crit
Between 49.52 56.936 6.41888E 3.033
Groups 5 2 24.7625 33 -21 92
103.0 0.434915
Within Groups 75 237 612
Total 152.6 239
[19]
We reject null hypothesis and accept the alternate hypothesis at a 99% confidence level.
Here P value is almost equal to zero. Here we say that age play a vital role in building the
relationship with customer it is found that it is easier to build a relationship with a customer
who is the same age or younger than the sales representative. Its vary clear from the graph
itself.
Hypothesis 2: It is easier to build a relationship with customers of same gender.
SUMMARY
Averag Varian
Groups Count Sum e ce
0.9341
Column 1 80 164 2.05 77
0.8379
Column 2 80 292 3.65 75
ANOVA
Source of
Between 115.56 1.41724E 3.9009
Groups 102.4 1 102.4 57 -20 89
0.8860
Total 242.4 159
[20]
It is found that the representative can build a good relationship with the same gender. As it
was found that the average rating given to the same gender is 2.05 and to the opposite gender
is 3.65. Hence it shows that it is easier for a sales person to maintain the relationship with a
customer of same gender.
Hypothesis 3: It is easier to build a relationship with a customer who has a similar or less
educated to that of the sales representative.
SUMMARY
Averag Varian
0.5238
Column 1 80 113 1.4125 92
0.6101
Column 2 80 228 2.85 27
0.7454
Column 3 80 147 1.8375 11
ANOVA
Source of
Between 87.258 43.629 69.642 1.6182E 3.033
Groups 33 2 17 11 -24 92
148.47 0.6264
235.73
Total 33 239
[21]
It is clear from the bar-graph that it is easier for a sales representative to maintain a
relationship with a customer who is similar or less educated.
Hypothesis 4: It is easier for a sales representative to build a relationship with a customer

who has the same home language.
SUMMARY
Averag Varian
0.2151
Column 1 80 100 1.25 9
0.6860
Column 2 80 228 2.85 76
ANOVA
Source of
Between 227.23 2.16857 3.9009
Groups 102.4 1 102.4 6 E-32 89
0.4506
Within Groups 71.2 158 33
Total 173.6 159
[22]
who lives in a similar area.
SUMMARY
Averag Varian
0.9867
Column 1 80 178 2.225 09
0.9681
Column 2 80 269 3.3625 96
ANOVA
Source of P-
Variation SS df MS F value F crit
Between 51.756 51.756 52.950 1.51E 3.9009
Groups 25 1 25 14 -11 89
Within 154.43 0.9774
Groups 75 158 53
206.19
Total 38 159

who has the same race.
SUMMARY
Averag Varian
0.9867
Column 1 80 178 2.225 09
0.9681
Column 2 80 269 3.3625 96
ANOVA
Source of P-
Between 51.756 51.756 52.950 1.51E 3.9009
Groups 25 1 25 14 -11 89
Within 154.43 0.9774
Groups 75 158 53
Total 206.19 159
[23]
38
Ability To Communicate With A Customer (H7 – H12):
Hypothesis 7: It is easier for a sales representative to communicate with a customer of a

similar age or younger than him/her.
SUMMARY
Averag Varian
0.5618
Column 1 80 137 1.7125 67
0.6162
Column 2 80 245 3.0625 97
0.4803
Column 3 80 138 1.725 8
ANOVA
Source of
Between 96.308 48.154 87.101 4.3842E 3.033
Groups 33 2 17 98 -29 92
131.02 0.5528
227.33
Total 33 239
[24]
Hypothesis 8: The ability of a sales representative to communicate with customers is the
same irrespective of gender is rejected.
SUMMARY
Averag Varian
0.4871
Column 1 80 141 1.7625 84
0.4911
Column 2 80 176 2.2 39
ANOVA
Source of
Between 7.6562 7.6562 15.651 0.000114 3.9009
Groups 5 1 5 79 727 89
77.287 0.4891
84.943
Total 75 159
It is evident from the data that sales representative feel more comfortable to the same gender.
[25]
Hypothesis 9: It is easier for a sales representative to communicate with a customer of
similar or less educated.
SUMMARY
Averag Varian
0.4803
Column 1 80 162 2.025 8
0.4162
Column 2 80 163 2.0375 97
0.3791
Column 3 80 162 2.025 14
ANOVA
Source of
Between 0.0083 0.0041 0.0097 0.9902504 3.033
Groups 33 2 67 98 02 92
100.78 0.4252
100.79
Total 58 239
Hypothesis 10: It is easier for a sales representative to communicate with a customer whose
home language is similar to the sales representative’s home language.
[26]
SUMMARY
Averag Varian
0.3132
Column 1 80 110 1.375 91
0.6272
Column 2 80 214 2.675 15
ANOVA
Source of
Variation SS Df MS F P-value F crit
Between 143.75 5.77451 3.9009
Groups 67.6 1 67.6 24 E-24 89
0.4702
Total 141.9 159
Hypothesis 11: It is easier for a sales representative to communicate with a customer who
lives in the same area.
SUMMARY
Averag Varian
0.5544
Column 1 80 156 1.95 3
0.6677
Column 2 80 230 2.875 22
ANOVA
Source of
Variation SS Df MS F P-value F crit
Between 34.22 56.007 4.7385E 3.9009
Groups 5 1 34.225 77 -12 89
0.6110
130.7
Total 75 159
[27]
Hypothesis 12: It is easier for a sales representative to communicate with a customer who
has the same race that of sales representative.
SUMMARY
Averag Varian
0.5428
Column 1 80 147 1.8375 8
0.6556
Column 2 80 236 2.95 96
ANOVA
Source of
Between 49.506 49.506 82.608 3.97532 3.9009
Groups 25 1 25 45 E-16 89
94.687 0.5992
144.19
Total 38 159
The Ability Of Trust A Customer (H13 – H18):
Hypothesis 13: A sales representative has a higher degree of trust with the customer who is
in similar age or a younger customer.
[28]
SUMMARY
Averag Varian
0.5164
Column 1 80 136 1.7 56
0.2656
Column 2 80 241 3.0125 65
0.4745
Column 3 80 139 1.7375 25
ANOVA
Source of
Between 89.32 44.662 106.62 9.41537 3.033
Groups 5 2 5 31 E-34 92
99.27 0.4188
Total 188.6 239
It was found that it is easier to sales repsentatative to maintin trust with younger than older.
Hypothesis 14: Gender has impact on the degree of trust between a sales representative and
a customer. It is easier for sales representative to build trust with the customer of same
gender.
[29]
SUMMARY
Averag Varian
0.5681
Column 1 80 163 2.0375 96
0.4550
Column 2 80 218 2.725 63
ANOVA
Source of
Between 18.906 18.906 36.952 8.74152E- 3.9009
Groups 25 1 25 99 09 89
80.837 0.5116
99.743
Total 75 159
Hypothesis 15: The level of education of a customer relative to that of a sales representative
has a positive impact on the degree of trust between a sales representative and a customer. It
is easier for a sales representative to trust a customer of similar age to him/her.
SUMMARY
Varian
Groups Count Sum Average ce
0.2530
Column 1 80 119 1.4875 06
0.5310
Column 2 80 218 2.725 13
0.3791
Column 3 80 158 1.975 14
ANOVA
Source of P-
Between 80.182 2.53E 3.033
Groups 62.175 2
31.0875 15 -27 92
91.887 0.387710
[30]
154.06
Total 25 239
Hypothesis 16: It is easier to a sales representative to build trust with a customer whose
home language is similar to the sales representative’s home language.
SUMMARY
Averag Varian
0.3537
Column 1 80 198 2.475 97
0.3924
Column 2 80 180 2.25 05
ANOVA
Source of
Between 5.4274 0.021087 3.9009
Groups 2.025 1 2.025 81 71 89
0.3731
60.97
Total 5 159
Hypothesis 17: The area of residence of a sales representative relative to a customer has no
impact on the degree of trust.
SUMMARY
[31]
Averag Varian
0.5251
Column 1 80 229 2.8625 58
0.3732
Column 2 80 229 2.8625 59
ANOVA
Source of P-
Between 5.68E 5.68E- 1.27E- 3.9009
Groups -14 1 14 13 1 89
70.97 0.4492
70.97
Total 5 159
Hypothesis 18: A sales representative has a higher degree of trust with a customer that has
the same race.
SUMMARY
Averag Varian
0.4226
Column 1 80 143 1.7875 27
0.2778
Column 2 80 238 2.975 48
ANOVA
Source of P-
Between 56.406 56.406 161.05 6.87E 3.9009
Groups 25 1 25 15 -26 89
55.337 0.3502
111.74
Total 38 159
[32]
Ability To Build Loyalty (H19 – H24):
Hypothesis 19: A sales representative’s gets a higher degree of loyalty from a customer that
is similar in age or younger than the sales representative.
SUMMARY
Averag Varian
0.2973
Column 1 80 149 1.8625 1
0.4479
Column 2 80 223 2.7875 43
0.4651
Column 3 80 150 1.875 9
ANOVA
Source of P-
Between 45.02 22.512 55.795 1.39E 3.033
Groups 5 2 5 69 -20 92
95.62 0.4034
140.6
Total 5 239
[33]
Hypothesis 20: A sales representative gets a higher degree of loyalty from a customer who
is of the same gender.
SUMMARY
Averag Varian
0.2683
Column 1 80 248 3.1 54
0.3443
Column 2 80 168 2.1 04
ANOVA
Source of
Between 130.57 2.01349 3.9009
Groups 40 1 40 85 E-22 89
0.3063
Total 88.4 159
Hypothesis 21: A sales representative gets a higher degree of loyalty from a customer of a
similar level of education.
SUMMARY
[34]
Averag Varian
0.2626
Column 1 80 130 1.625 58
0.4177
Column 2 80 220 2.75 22
0.3037
Column 3 80 200 2.5 97
ANOVA
Source of
Between 55.833 27.916 85.096 1.40072 3.033
Groups 33 2 67 46 E-28 92
0.3280
133.58
Total 33 239
Hypothesis 22: A sales representative receive higher degree of loyalty from a customer who
speak the same home language same to representative.
SUMMARY
Averag Varian
0.2530
Column 1 80 119 1.4875 06
[35]
0.1770
Column 2 80 249 3.1125 57
ANOVA
Source of
Between 105.6 105.62 491.20 2.38377 3.9009
Groups 25 1 5 68 E-50 89
33.97 0.2150
Total 139.6 159
Hypothesis 23: A sales representative gets a higher degree of loyalty from a customer who
lives in the same area.
SUMMARY
Su Averag Varian
Groups Count m e ce
16 0.7390
Column 1 80 7 2.0875 82
24 0.3593
Column 2 80 7 3.0875 35
ANOVA
Source of P-
Between 72.832 1.1E- 3.9009
Groups 40 1 40 04 14 89
Within 86.77 15 0.5492
Groups 5 8 09
126.7 15
Total 75 9
Hypothesis 24: A sales representative gets a higher degree of loyalty from a customer with
the same race.
[36]
SUMMARY
Su Averag Varian
Groups Count m e ce
15 0.2276
Column 1 80 1 1.8875 9
26 0.3740
Column 2 80 6 3.325 51
ANOVA
Source of P-
Between 82.656 82.656 274.72 2.15E 3.9009
Groups 25 1 25 39 -36 89
Within 47.537 15 0.3008
Groups 5 8 7
130.19 15
Total 38 9
The Ability to Influence A Customer (H25 – H30):
Hypothesis 25: A sales representative finds it easier to influence a customer of same age or
younger than him/her.
SUMMARY
Su Averag Varian
Groups Count m e ce
13 0.3340
Column 1 80 7 1.7125 19
25 0.2555
Column 2 80 5 3.1875 38
Column 3 80 16 2.05 0.4531
[37]
4 65
ANOVA
Source of P-
Between 95.558 47.779 137.46 2.32E 3.033
Groups 33 2 17 48 -40 92
Within 23 0.3475
Groups 82.375 7 74
177.93 23
Total 33 9
Hypothesis 26: A sales representative’s ability to influence a customer is the same for both
genders hypothesis is rejected in the evidence of p value which is near to zero. Data shows
that it is easier for a sales representative to influence a customer of same gender.
SUMMARY
Averag Varian
0.3188
Column 1 80 135 1.6875 29
[38]
0.3352
Column 2 80 259 3.2375 85
ANOVA
Source of
Between 293.83 6.99193 3.9009
Groups 96.1 1 96.1 26 E-38 89
51.67 0.3270
147.7
Total 75 159
Hypothesis 27: A sales representative finds it easier to influence a customer who has a
similar or lower level of education relative to his/her level of education.
SUMMARY
Su Averag Varian
Groups Count m e ce
13 0.2879
Column 1 80 0 1.625 75
23 0.6424
Column 2 80 0 2.875 05
13 1.7215 0.3829
Column 3 79 6 19 93
ANOVA
Source of P-
Between 77.270 38.635 88.204 2.48E 3.0340
Groups 93 2 47 21 -29 83
Within 103.37 23 0.4380
Groups 34 6 23
180.64 23
Total 44 8
[39]
Hypothesis28: A sales representative’s ability to influence a customer who speaks same
home language is higher than the customer who’s home language is other than sales
representative’s home language.
SUMMARY
Averag Varian
0.3023
Column 1 80 117 1.4625 73
0.4297
Column 2 80 258 3.225 47
ANOVA
Source of P-
Between 124.25 124.25 339.44 3.43E 3.9009
Groups 63 1 63 22 -41 89
Within 57.837 0.3660
Groups 5 158 6
182.09
Total 38 159
[40]
Hypothesis 29: It is easier for a sales representative to influence a customer who lives in a
similar area to that of the sales representative.
SUMMARY
Averag Varian
0.3993
Column 1 80 186 2.325 67
0.4289
Column 2 80 267 3.3375 56
ANOVA
Source of P-
Between 41.006 41.006 99.010 2.05E 3.9009
Groups 25 1 25 32 -18 89
Within 65.437 0.4141
Groups 5 158 61
106.44
Total 38 159
Hypothesis 30: A sales representative finds it easier to influence a customer who has the
same religion.
SUMMARY
Avera Varian
Groups Count Sum ge ce
1.787 0.4226
Column 1 80 143 5 27
3.137 0.2719
Column 2 80 251 5 94
ANOVA
Source of P-
Between 209.89 8.38E 3.9009
Groups 72.9 1 72.9 89 -31 89
Within 54.87 0.347
Groups 5 158 31
[41]
127.7
Total 75 159
Table 1 below depicts the profile of the ultimate sales representative based on the research
results above.
Table 1: The Ultimate Sales Representative:
Variable Qualities
Age Same age or older
Gender Either Male or Female
Education Similar or Higher to Customer
Language Similar to Customer
Area of residence Near to Customer
Race Similar to Customer
The variables and qualities depicted in Table 1 provide the necessary context for the
interpretation of the results based on the strength of relationships to follow.
[42]
Relationship Ability To Influence In-Store Drivers :
The next section of the study was related to the impact of the customer relations on the in-
store drivers linked to research problem two. Table 2 provides a summary of the hypotheses
results as they relate to the impact on relationships.
The individual results on H31 – H35 and the interpretation thereof are discussed below:
Hypothesis 31: The sales representative believes that there is a positive relationship between
the strength of the relationship he/she has with a customer and the ability to list a product in
an outlet.
It was observed that 75 percent of respondents strongly agree with the above hypothesis. The
mean responses differ with overwhelming evidence. The test has a high degree of
[43]
significance with a p-value of 0,0000. Based on this evidence the null hypothesis was
rejected in favour of the alternative hypothesis. It can therefore be concluded that the stronger
the relationship between a sales representative and a customer the easier it is for the sales
representative to list a new product.
the strength of the relationship he/she has with a customer and the ability to get a display
built in the outlet.
It is observed that 70 percent of respondents strongly agree with the above hypothesis. The
significance with a Chi square of 23,096 and a p-value of 0,0000. Based on this evidence the
null hypothesis is rejected in favour of the alternative hypothesis. It can therefore be
concluded that the stronger the
relationship between a customer and a sales representative the easier it is to get a display built
in the outlet.
[44]
the strength of the relationship he/she has with a customer and the ability to influence the
price that products are sold for in an outlet.
It is observed that 39 percent of respondents strongly agree and 31 percent agree with the
above hypothesis. The mean responses differ with overwhelming evidence. The test has a
high degree of significance with a p-value of 0,0000. Based on this evidence the null
hypothesis is rejected in favour of the alternative hypothesis. It can therefore be concluded
that the stronger the relationship between a customer and a sales representative the easier it is
to get price compliance in an outlet. The ability to influence price is not as strong as that of
listing or building a display in an outlet. The correlation between in-store drivers and sales
volume The next section of the study was related to the correlation between in-store drivers
and sales volume linked to research problem three.
[45]
Hypothesis 34: If a sales representative increases the amount of forward share in an outlet
there will be an increase in sales volume within that outlet.
significance with a p-value of 0,0000. Based on this evidence the null hypothesis is rejected
in favour of the alternative hypothesis.
[46]
Hypothesis 35: If the sales representative gets price compliance in an outlet there will be an
increase in sales volume within that outlet.
significance with a Chi square of 87,216 and a p-value of0,0000. Based on this evidence the
null hypothesis is rejected in favour of the alternative hypothesis.
[47]
Table 2: Impact of relationship
Frequency on
Hypothesis P- Hypothesis
a five Point
likert scale Value Result
H36: The stronger your relationship with your 76% 0,000 Reject
customer the easier it is to convince him or her to
list a new product
H37: The stronger the relationship with your 70% 0,000 Reject
customer the easier it is to get a display built in
the outlet
H38: The stronger the relationship with your 38% 0,000 Reject
customer the easier it is to get price compliance
in an outlet
H39:If you increase the amount of forward share 62% 0,000 Reject
in an outlet by building displays and increasing
the points of interruption you will increase the
volume in that outlet
H40: If you get price compliance in an outlet you 61% 0,000 Reject
will increase the volume within that outlet
*Note: 1 = strongly agree and 5 = strongly disagree.

**Note: H0: The percentage contribution of answers across the five point Likert scale will all
be the same i.e.p1=p2=p3=p4=p5=0.2 (20%).
It can therefore be concluded that there is a positive relationship between the amount of
forward share in an outlet and the sales volume within that outlet.
[48]
4.1: Managerial implications and recommendation:
Most of the companies’ device their sales force with any consideration of all these factor
which have been discussed in the research study. Since it is found that there is a positive
correlation between a sales person profile and his/her ability to build relationship with
customer/distributor. And the ultimate result of this relationship come out in the form of
sales.
There has been a natural alignment of profile between customers and sales representatives.
The current strength of the relationship between a sales representative and a customer (outlet)
can be regarded as strong, but the following recommendations should be considered:
 African customer whose home language is Punjabi/Tamil/English should be

served by sales representatives who also have the similar home language.
 Customers should be matched on the basis of age to sales representatives. A
similar age is preferable. Or the age of sales representative should be little older
than his/her customer.
 Better education is an advantage from a sales perspective. It was pointed out that
it is easier to
 Influence a customer with same or a lower level of education. Training and a
higher level of intelligence relative to the customer can give the company a
sustainable competitive advantage.
 Assigning sales routes which are similar to those where the sales representative
live is an advantage.
A data base capturing the profile of customers relative to sales representatives needs to be
established. While it is not logistically possible to match everyone, an understanding of the
current situation is important. Targets as to what should be achieved or maintained need to be
established if the organization is to become relationship focused. Establishing a current
reality picture and a destination are crucial management steps which need to be considered.
[49]
5.1: Conclusion:
There is significant evidence that the profile of a sales representative does have an impact on
his or her ability to build a relationship with a customer and that from a sales representative’s
perspective there is a link between the relationship and the ability to impact the in-store
drivers.
It is easier for a sales representative to build a relationship with a customer who is a similar
age. It is however easier for the sales representative to influence a younger customer or the
customer who is similar in age to him/her. With respect to education, a stronger relationship
exists between a customer and sales representative of a similar education. Again it is easier
for a representative to influence a customer who has a lower or similar level of education.
Race does have an impact on the ability to build relationships. The research showed that a
Punjabi sales representative should service a Punjabi customer. There was a positive link
between matching sales representatives and customers who come from similar areas and have
the same religion.
Further to this, the sales representatives believe that manipulating the in store drivers will
have a positive impact on the sales volume within an outlet. The growth in volume over one
year it was found during the discussion with industry specialist. As competition increases
relationships will play more of a critical role in selling. It is important to understand the link
and develop a process which will give the organization a competitive advantage for the
future.
[50]
Research Assignment Questionnaire:
Questionnaire No…………………..
Date Completed…………………….
As part of my Final year dissertation at NIILM-CMS, I am doing a research project on “The

Driver influencing the relationship between Sales Representative and Customer and
their impact on Sales.” As part of this project I will be evaluating the impact of gender,
culture and educations have on the ability of a sales representative to develop a relationship
with customer. The research project will examine the strength of the relationship and the
impact on sales.
Below is a list of question which you are requested to answer. It is important to answer
question from your personal point of view. There is no right answer or wrong answer. Put a
tick which you feel is most relevant. Your answers will be kept confidential and used only for
academic purpose.
Thank you for being part of the survey.
[51]
Gopal Singh
PGDBM (NIILM-CMS)
Contact NO-9871586038
1. ABILITY TO BUILD A RELATIONSHIP:
Neither easy
Nor Difficult Very Difficult
Very easy
1.1 A customer who is similar age to 1 2 3 4 5

you…………………………..
1.2 A customer who is older than 1 2 3 4 5

you……………………….………
1.3 A customer who is younger than 1 2 3 4 5

you………………………….
1.4 A customer who is same gender as 1 2 3 4 5

you……………………….
1.5 A customer who is opposite gender to 1 2 3 4 5

you………………….
1.6 A customer who has similar level of 1 2 3 4 5

education to you…
1.7 A customer who has higher level of 1 2 3 4 5

education to you…
1.8 A customer who has lower level of 1 2 3 4 5

education to you….
1.9 A customer who has similar home language 1 2 3 4 5

to you.
1 2 3 4 5
1.10 A customer who has home language other to you.
1.11 A customer who lives in similar area to 1 2 3 4 5

you…………
1.12 A customer who lives different type of 1 2 3 4 5

area to you.
1.13 A customer who has same race to 1 2 3 4 5

you…………………….
1.14 A customer who has other race to 1 2 3 4 5

you…………………….
[52]
2. ABILITY TO COMMUNICATE WITH A CUSTOMER:
Neither easy
Nor Difficult
Very Difficult
Very easy
2.1 A customer who is similar age to you…………………………..

you……………………….………

you………………………….

you……………………….

you………………….

education to you…

education to you…


to you.
2.10 A customer who has home language 1 2 3 4 5

other to you.

you…………

area to you.
2.13 A customer who has same religion to 1 2 3 4 5

you……………
2.14 A customer who has other religion to 1 2 3 4 5

you……………
[53]
3. ABILITY TO TRUST THE CUSTOMER:
Neither Low Very Low

Nor High
Very High

you……………………….………

you………………………….

you……………………….

you………………….

education to you…

education to you…


to you.....
3.10 A customer who has home language 1 2 3 4 5

other to you.

you…………

area to you.
3.13 A customer who has same religion to 1 2 3 4 5

you……………
3.14 A customer who has other religion to 1 2 3 4 5

you…………….
[54]
4. DEGREE OF LOYALTY:
Very loyal Not loyal at all

you……………………….………

you………………………….

you……………………….

you………………….

education to you…

education to you…


to you.
1 2 3 4 5

you…………

area to you.

you………………….

you………………….
[55]
5. ABILITY TO INFLUENCE A CUSTOMER:
Very easy Neither Easy Very difficult

Nor Difficult

you……………………….………

you………………………….

you……………………….

you………………….

education to you…

education to you…


to you.
1 2 3 4 5

you…………

area to you.

you…………………..

you……………………
6. THE IMPACT OF RELATIONSHIP:
Neither Agree
Nor Disagree
Strongly Agree Strongly Disagree
[56]
6.1 The stronger the your relationship with your customer
1 2 3 4 5
the
Easier it to convenience him/her to list a new product…
6.2 The stronger the relationship with your customer the

Easier it get a display built in the outlet………… 1 2 3 4 5
6.3 The stronger the relationship with your customer the

Easier is it get price compliance in an outlet………… 1 2 3 4 5
6.4 If you increase the amount of forward share in an outlet by

Building display and increasing the point of interruption 1 2 3 4 5
will increase the volume in that outlet
6.5 If you get price compliance in an outlet you will

1 2 3 4 5
increase
the Volume within that outlet…………………………
7. PERSONAL INFORMATION:
7.1Your Name……………………………….
7.2Your Ag………………20-24……….….25-29…………..…..30-34………..
……….35-39…………..>40
[57]
7.3Gender……………………………….Male....…………Female
7.4 Educational qualification…
…………..High school…………..Intermediate………….Graduate……………..Post Grad
7.4Religion……………………………………..
7.5How long have you been on your current sales route (yrs)……….
...0-1….………….1-2……………..2-5..…………….>5…………….
References:
[58]
Bhagat, P.S. & Williams, J.D. 2008. ‘Understanding gender differences in professional
service relationships’, Journal of Consumer Behaviour, 25 (1):16 – 22. Boles, J., Hiram, C.,
Barksdale, J.R. & Johnson, J. 1997.
‘Business relationships: an examination of the effects of buyer-salesperson relationships and

willingness to refer and recommend’, Journal of Business & Industrial Marketing,
Buttle, F. 2005. Customer relationship management concepts and tools. Oxford, Butterworth
Heinemann.
Ford, D. 1982. ‘The development of buyer-seller relationships in industrial markets’. In

Hakansson, H. (Ed.). International marketing and purchasing of industrial goods.
Chichester: John Wiley & Sons.
Little, E. & Marandi, E. 2003. Relationship marketing management. London, Thomson.
Moorman, C., Zaltman, G. & Deshpande, R. 1992. ‘Relationships between providers and
users of market research: The dynamics of trust within and between organizations’, Journal
of Marketing Research, 29(3): 314- 328.
Morgan, R.M. & Hunt, S.D. 1994. ‘The commitment-trust theory of relationship marketing’,
Journal of Marketing, 58 (3):20 – 38.
Payne, A. 2006. Handbook of CRM – Achieving excellence in customer management.

Burlington: Butterworth- Heinemann.
Ulaga, W. & Eggert, A. 2006. ‘Relationship value and relationship quality – Broadening the
nomological network of business-to-business relationships’, European Journal of Marketing
[59]

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Dissertation Report

“The Driver influencing the relationship

For the partial fulfillment of the course

Under The Guidance of

NIILM- CENTRE FOR MANAGEMENT STUDIES

batch has been completed under my guidance and supervision.

Success is not a destination, but a journey

I would like to express my deep gratitude and sincere thanks to my faculty

P.G.D.B.M. is the stepping stone to management career. In order to achieve practical,

Project Completion Certificate……………………………………………………2

CHAPTER 2: RESEARCH PROJECT…………………………………………9

CHAPTER 4: DATA ANALYSIS AND RESULTS………………………….18

1.1: Purpose, Scope & Limitations:

Purpose: This project is titled “Study of preparatory educational segments for

Scope: The whole project is divided into

1.2:Limitation of the study:

1.2: Benefits gained through the project

Satisfaction of Producing a Product: I found considerable satisfaction in doing

Defining a relationship, relationship marketing and customer relationship marketing.

A relationship is composed of a series of episodes between dyadic parties over time

Customer relationship marketing (CRM) is regarded as the practical implementation of

Figure 1: The customer ladder of loyalty

Commitment is defined by as an enduring desire to maintain a valued relationship and

2.3The research problem:

Hypotheses linked to research problem one:

(H1 – H6)- To test the ability to build a relationship

H3: There is a significant relationship between sales representative’s educational

To test the ability to communicate with a customer

H9: There is a significant relationship between sales representative’s educational

H10: The ability to communicate with customer is same irrespective of language.

(H13 – H18)- To Test The Ability Of Trust A Customer

H14: The ability to trust a customer is same irrespective of gender.

H15: There is a significant relationship between sales representative’s educational

H16: The ability to trust a customer is same irrespective of language.

H17: The ability to trust a customer is same irrespective of place of living.

(H19 – H24)- To Test The Degree Of Loyalty And

H21: There is a significant relationship between sales representative’s educational

(H25 – H30)- To Test The Ability To Influence A Customer

H26: The ability to influence a customer is same irrespective of gender.

H27: There is a significant relationship between sales representative’s educational

H28: The ability to influence a customer is same irrespective of language.

H29: The ability to influence a customer is same irrespective of place of living.

Hypotheses Linked To Research Problem Two:

Hypotheses 31 – 33 were formulated to test the relationship between the strength of a

Hypotheses Linked To Research Problem Three:

Sampling and data gathering:

3.2: Research results:

Total 152.6 239

Hypothesis 2: It is easier to build a relationship with customers of same gender.

Total 242.4 159

Hypothesis 4: It is easier for a sales representative to build a relationship with a customer

Total 173.6 159

Hypothesis 6: It is easier for a sales representative to build a relationship with a customer

Total 206.19 159

Ability To Communicate With A Customer (H7 – H12):

Hypothesis 7: It is easier for a sales representative to communicate with a customer of a

Total 141.9 159

The Ability Of Trust A Customer (H13 – H18):

Total 188.6 239

Total 88.4 159

Total 139.6 159

The Ability to Influence A Customer (H25 – H30):