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Understanding Sales in Companies

Sales activities are one of the essential components in the company’s operations. Without optimal sales activities, a company will have a poor performance. Therefore, sales activities are often likened to being the spear point of a company. This article will provide comprehensive information for the readers about the understanding of sales in companies.

The Definition of Sales


Sales have a definition as a selling activity of goods or services to potential customers. In addition, sales can also be define as parties or a person conducting sales activities on goods or services from the company to customers.

In a company, sales activities can be done by a team that consists of several people. Often, the division of sales teams is divide into several categories. The several categories are based on the domicile of the sales area, target customers, and the products or services they sell. So, sales activities can run optimally.

A person who does sales activities is often called a salesperson. The primary responsibility is to offer goods or services from the company to potential customers. Because sales are an important component of the company, these activities are often being a company’s key success factor. If sales activities are not optimal, it can result in poor company performance.

The Distinction between Sales and Marketing

These two terms have different meanings even though both are interconnected. By definition, sales are the selling activity of goods or services from the company to increase the company’s revenue. Meanwhile, marketing is an activity that involves strategic planning to increase sales of products or services from the company.

We can see the distinctions between sales and marketing from their work process. The sales team will have in-direct contact with the consumers through telephone, social media, and other media. Unlike sales, marketing plays an important role behind the sales team. The marketing team finds out the most effective promotion strategies that the sales team can use to increase product sales.

Then, if we see the distinctions through their goals, the sales team has a goal to make the sales activity more optimal to achieve the product selling target. Meanwhile, the marketing team has a goal to maintain a good brand image through several strategies.

The Purposes of Sales

There are several purposes of sales. The sales team must have good communication skills. This is because sales have a role as a medium for offering the company’s products to potential customers. Then, the sales team will use several strategies so that potential customers are get interest in purchasing their products. 

Besides being a medium for offering a product to customers, the sales team also requires the ability to help potential customers provide their needs through the products offered. In sales activities, the sales team must convince potential customers that the product purchased matches what they need.

Also read: What is Sales Order and Its Benefit for Your Company

Various Terms in Sales

In sales, there are various terms that need to be know. Here are the various terms in sales and the explanations of each term:


The salesperson term has the meaning as someone who conducts sales activities on products or services from the company to the potential customers. A salesperson is require to have good ability in product knowledge and selling goods. These abilities become the determining factor of their sales activity success.


The prospect term in this case refers to how a sales team can use various strategies or techniques to reach out to potential customers for products selling. Later on, this strategy or technique will bring to the deal agreement.


Deal has an understanding as an approval process of product transactions between sellers and customers. In this case, the sales team has the authority to design the deal planning. Of course, by adjusting to the conditions and needs of the customers.

Sales pipeline

A sales pipeline can describe a whole ongoing sales activities. Through the sales pipeline, the sales team can know what stages must be passed or have been done by them in the sales activity to customers.

Sales plan

The sales plan has an overview that contains strategies and goals achieved by the sales team in the long term. The sales plan usually involves several aspects, such as market conditions to the target customer to be address.

Also read: Direct Selling: Definition, Types, and Tips for Product Sales

Variety of Jobs in Sales

Sales activities certainly have their specialties or position. Here are some specializations or positions in sales activities and the explanation of them:

Executive-level management

This position has the responsibility to set targets that will be achieve in the long term regarding the company’s products sales goals. Not only set the targets, but executive-level management must also make a good marketing plan to support the sales activities. This position needs to have a capable knowledge of sales activities.

Account executives

This position has more responsibilities than the sales manager position, although both have some similarities. The presence of account executives is to build relationships between a company and customers. This relationship will be helpful to create a positive brand image among the community. Account executives are also require to have wide-large knowledge about the product.

Sales administrative

As a sales administrative, they must be able to support the sales team in administrative affairs. The administration in this case is preparing a quotation. Sometimes, sales administrative in a company becomes a media link between sales and marketing.

Sales management

Sales management has the authority to be a leader of the sales team in a company. Not only lead the sales team, but this position must have the ability to analyze all sales activities. As a sales management, they must be able to build good relationships with the customers.

Sales representative

This position has the main responsibility in selling products or services from the company to potential customers. As a sales representative, several abilities must be owned, such as an excellent ability to serve customers and communicate proficiently. Unlike other positions, sales representatives are not required to have product knowledge in sales activities.

Also read: Five Promotion Strategy Business Should Apply


As the spear point of a company, sales can be said as an important component for a company. With optimal sales, this will be a driving factor for a company’s success. To make your company sales optimal, you can use the best ERP Software from HashMicro. Nowadays, many companies have chosen HashMicro to optimize their sales automatically. Contact us immediately to get the best deals and free demos.

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