The Indian market and its challenges. Problem area number 1: systematic sales.
Fast sales success in India! But then just a yawning emptiness? WB market solutions®, which specializes in sales issues and market analysis in India, is a specialist department of the management consultancy Dr. Wamser + Batra GmbH, about a typical Indian phenomenon: the easy way instead of a methodical approach.
The first sales successes on the Indian market can sometimes come quickly. For example, at a trade fair you meet a promising Indian businessman who offers to act as your representative. After just a few weeks and a contract signed, he is already bringing the first leads from India. Or you can hire your own sales staff who will quickly fill your sales pipeline in the first few months. The first orders follow and you are satisfied with the results of your efforts.
But the long-term growth goals often cannot be met and the Indian business stagnates after the initial successes. The reason for this is partly due to the Indian (sales) mentality. “Indians” are generally characterized by an above-average level of talent and enthusiasm for selling. The trader mentality is part of Indian culture and is both famous and infamous. The stereotypical Indian businessman would be able to sell his own grandmother - or at least convince an Eskimo of the usefulness of a refrigerator.
What the classic Indian salesperson is usually not born with is: “systematic approach”.
“Indian Sales”: Hard sales into your own network
Crack the market through systematic market cultivation.
Many Indian dealers and sales employees behave in the same way as we know from the prejudices about insurance agents in Germany: someone enters the business because they expect good commissions there. First he visits his own relatives, then his circle of friends or his “community” (personal network) – until finally every relative, friend and acquaintance has been persuaded. But then it's over.
Marketing and sales often work in a similar way in India – across all industries. As a rule, you sell to where it is easiest and quickest. But not where the greatest market potential exists.
“In fact, there is often a lack of methodology, such as prioritizing market segments”, also confirms Mike D. Batra, Managing Director of Dr. Wamser + Batra GmbH and Head of Sales. “Rather, the simpler route is preferred. And before you are willing to go down a systematic path, you would rather turn to new products and just let the existing business continue on the side.”.
Quadrupling sales through strategic market development (case study)
Batra describes a specific example: “We once did a sales analysis in India for a German plant manufacturer. It was noticed there that they almost only sell to customers in Bangalore, but hardly realize any potential in northern India, for example. Ultimately, we were able to observe exactly the phenomenon described: As well as the Indian country manager in Bangalore was networked and as well as he was able to sell into his own network there, he was just as bad at selling outside of his network. Furthermore, he actually had no relevant information about the Indian market and therefore no strategy for the sales area assigned to him. He was simply happy with his business in 'his network' in Bangalore and didn't want to get overly involved beyond that.”
The Dr. Wamser + Batra GmbH then has one Market Analysis: to identify the most potentially attractive customers in India - regardless of the Indian CEO's personal network. It was found that the Indian sales company had only ever had previous contact with twelve of the almost 200 potential key accounts. After this analysis, the German parent company was able to introduce clear guidelines for acquisitions in India and monitor compliance with them. This ultimately led to the fact that the existing Indian managing director had to be separated because he was simply not willing to embark on this strategic path in the Indian market. The new Indian management team was able to quadruple sales within 18 months using a systematic sales approach.
The result could be significantly improved through simple measures and without major additional costs.
Market analysis is just one aspect of building sales in India. WB market solutions® enables sustainably successful market entry and strategic sales development for German and European companies in India. Existing sales strategies and sales structures are also put to the test and optimized.
Further information on the topics market analyses, Sales development and optimization, Und initial business contact can be found on our group page WB Market Solutions.
