A sales model is a framework or approach that a company uses to sell its products or services. It outlines the steps that a sales team should follow in order to identify potential customers, generate leads, make sales, and retain customers.
There are many different sales models that companies can use, and the best model for a particular company will depend on its products or services, target market, and overall business goals. Some common sales models include:
- Direct sales: This model involves the sales team directly contacting potential customers and making sales through face-to-face meetings, phone calls, or online communication.
- Channel sales: This model involves the use of intermediaries such as distributors or resellers to reach customers.
- Freemium: This model involves offering a basic version of the product or service for free, with the option for users to upgrade to a paid version with additional features or support.
- Subscription: This model involves customers paying a recurring fee to access the product or service on an ongoing basis.
- Licensing: This model involves selling the rights to use a product or service for a specific period of time.
A sales model is a general framework that defines an organization’s high-level approach to selling. It is important for a company to carefully consider which sales model will be most effective for its specific business, as the right sales model can help the company reach its target customers and achieve its sales goals.