"A sales territory is usually a specific geographic area that contains present and potential customers and is assigned to a particular salesperson." Territory management involves generating sales by improving the productivity of salespeople by following specific strategies. By assigning sales territories, market coverage is enhanced by minimizing selling cost, customer relationships will be stronger, a more effective sales force will be built, sales evaluation will be bettered, and coordination of sells with other marketing functions will be achieved. The minimization of selling
cost like commutation, lodging will design cost-effective territories. Efficient territories will enable salespeople to strengthen relationship since they get more time to interact with potential and existing customers, travel time is reduced. Performance of the salespeople will be increased since they can focus on a particular area only, and get more authorization to make decisions which improve their productivity. Thus we can say that well-managed territories can help to achieve balance, and satisfaction factors between customers, salespeople, and the company.
The right salesperson should be chosen on the basis of physical, social, and cultural characteristics that match with a particular territory. The salesperson jumping to another may be misleading, high costs, inefficient selling, and low morale in the sales. So it is important to match the right salesperson for the right territory.
