The Effect of the Internet on Sales Management

[...] No waves
disturbed their journey. Especially the last decade this calm sea turned into a world of waves,
the tips of the waves blinking white, a sign for a restless sea and a build up of higher waves.
The Internet brought many companies into permanent white water, the ever changing business
environment. They need to adapt in order to remain profitable and secure survival. The
Internet is a type of global information infrastructure consisting of computer hardware and
software that is characterized as both general and open (Peterson, Balasubramanian and
Bronnenberg, 1997). In this definition “general” refers to the fact that the Internet has not
been designed for one particular set of services. “Open” implies that all specifications
necessary to use the Internet are publicly available. In other words, the Internet is a network
of networks. The Internet is a rapid growing phenomenon. One of the most fascinating
elements has been its amazing growth. The Bureau of Economic Analysis (2000) found that
U.S. consumers and businesses spending on information technology was about 10 % of the
U.S. gross national product (GDP) in the year 2000 compared to a merely 1.5 % in 1981. The
present popularity of the Internet as a commercial medium is due to its ability to facilitate
global sharing of information and resources, and its potential to provide an efficient channel
for advertising, marketing, and even direct distribution of certain goods and information
services. The Internet has been called the most important new marketing medium since
television. The use of the Internet allows companies to identify their customers, differentiate
them, interact with them, and then customize programs that will heighten customer
satisfaction and loyalty (Groossman, 1998). The Internet has radically changed the way
companies do business. For instance, it can be used as an effective business-to-business tool
to increase collaboration. Therefore, the main problem statement this paper answers is : What
is the effect of the Internet on Sales management?
First, the general advantages and disadvantages of the Internet will be discussed. Second, the
effect of the Internet on the buyer-seller relationship are enlightened. Third, change in the
sales representative’s job are elaborated on. After that a proposal is made to effectively
integrate the Internet in the sales force activities. The paper ends with a short conclusion.