ABSTRACT

This study analysed the effect ofsales target on marketing performance of animal feed distributors in Abia State, Nigeria. To achieve this, the specific objectives were to; examine the sales target mechanisms for the distributors; examine the effect of sales target on market share, and distributors sales volume; analyze the influence of sales target on productivity of animal feed distributors; determine how sales target affects service quality; and to ascertain factors affecting sales force target realization. The population of this study comprised the sales teams of all animal feed producing firms and feed distributors in Abia State of Nigeria. The research design used for the study was the survey method, which involved the use of questionnaire to solicit information from a group ofrespondents selected from the population. The probability sampling ofrandom sampling technique was used by the researcher to select a sample of 171 respondents for the study. The analysis of data obtained from the field survey was performed according to the stated objectives ofthis study. All the objectives were analyzed using regression model. All analyses were done electronically using the STATA software version 8. Findings from the studied animal feed distributors revealed that the strategy applied is often determined by the sales objective pursued by the animal feed firm. While some firms pursue volume sales, some others are driven by value (naira) sales. Few others combine the two strategies. On sales calls performance of the feed distributors in the study area, it was found that most ofthe animal feed distributors (44%) make sales calls twice weekly while only 14% make sales calls on a daily basis. Regression result also showed that sales target exerts a positive and significant effect on market share and sales volume of the studied animal feed distributors. The study also found that sales target was a positive and significant factor that influences sales productivity of the studied animal feed distributors. With the r-square value of 0.471, it means that 47% of the variation seen in sales productivity is explained by the variation in sales target. The study recommended that an understanding ofthe right approach ofsetting such sales targets is required by sales managers. Through such understanding, sales managers will be better able to create processes and strategies that have a direct and positive effect on sales target attainment. There is also the need to allow sales people and distributors to get involved in setting individual sales goals. Having sales people involved in setting individual goals will satisfy a common need of having them buy into expecting marketing performance levels. Furthermore, the active involvement of sales people in setting their sales targets will help in setting attainable sales targets.