Sabyasachi Sahu (1501100)

Aniket Phadnis (1501068)

Kaushik Nath (1501082)

Pradeep Meena (1501090)

Saurabh Bose (1501103)

Group-8 Centra Software

Nature of product: Critical Facilitating good (cost-wise)
Sales Revenue: $ 23 mn (2000) and $50 mn (2001) est.
58% CAGR in synchronous learning market to overall size of $17bn by 2004
Avg. Revenue per customer = $ 52272
Main questions:
1. How to integrate salesforce of field sales and tele sales based on their
productivity and conversion rate?
2. How should Centra software distribute each of its products, without
underselling?
3. What market should Centra software concentrate upon and what products
should it sell in these markets?
Field Sales vs Tele Sales Productivity
#
Employe
es
Fiel
d
Sale
s
Tele
Sale
s

Qtrly
Revenu
e

Productiv
ity

Deals/
employ
ee

Conversio
n rate

25

Quarterly Salary
and
commission/empl
oyee
$ 46250

$54400
00

4.70

1.72

12

$ 24000

$46300
0

9.65

18

6%

Product Classification and Type of Salesforce required:

Product

E-meeting

% of
sales
revenue
3%

Nature of product
features

Suggested sales channels

Less features (stripped

vsn.)
Medium features

Telesales

Conferenc 19%
e
Symposiu
80%
All features
m
*Repeat customers not taken into account

Telesales and Field Sales

Telesales,Field &
Enterprise Sales

Reed
Disseminate within the client to each
and every operating unit
Consolidate and defend Centra S/ws
turf
Sales to only Global 2000
Risks associated with:

Lesser
penetrate across clients: Increase 10%
of global 2000 cos
Expand Centra Softwares turf

Penetration and then Disseminate

Higher customer acquisition cost and

Dissemination first
Making one client key client and thus

Telesales for under $200mn customers

Sabyasachi Sahu (1501100)

Aniket Phadnis (1501068)
Kaushik Nath (1501082)

Pradeep Meena (1501090)

Saurabh Bose (1501103)

Group-8 Centra Software

pressure on bottom line because of
lower conversion ratio
No consolidation

associated risk of too much

dependence on one client
No expansion and diversification

Issues:
1. Focus on tele-sales to fight Web-ex but, Web-ex focuses exclusively on emeetings and e-meetings is Centra Softwares least revenue generating
product
2. Tele sales force has to log into database to check for the client belonging
to field sales force
3. 70% Response to RFP (Quote) does not get acted upon

The Way Forward:

1. Penetrate and then disseminate: Lower associated risks and also field
sales contributing around 76% of $50 mn target whereas enterprise sales
contribute only 12%.
Also higher client coverage of the overall market pie.
2. Tele-sales and Field-sales as one team: Based on productivity and
conversion rate, Tele-sales(Productivity: 9.65 and conversion rate of 6%)
must be used as to penetrate across clients and Field Sales
(Productivity: 4.7 and conversion rate of 12%) must be used to close deals,
with Field Sales being majorly responsible for Enterprise Sales
3. Cultivate product endorsers in client companies and also through
alliance partners, majorly Infrastructure providers like CISCO etc.
4. Tele-sales must generate leads of Global 2000 and then work with field
sales to sell the more revenue generating products rather than closing the
deal by selling e-Meeting products
5. JV or acquire LMS vendors so that compatibility with Centras products
is done in-house and not be an added overhead
6. More sales people to work with Infrastructure partners: working
with their sales reps to get/convert more leads
7. Follow up with clients through salesforce to give reasonable quotes
(in tune with clients demand and budget with proper productrequirements fit) that have a higher % of getting acted upon

Penetration Target:
New Customers (20% increase over last year): 300 contributing around
$15.68 mn
Telesales: 60-70%
Field Sales: 40-30%

Sabyasachi Sahu (1501100)

Aniket Phadnis (1501068)
Kaushik Nath (1501082)

Pradeep Meena (1501090)

Saurabh Bose (1501103)

Group-8 Centra Software

Dissemination Target:
Total of 650 customers (or operating units within a client) contributing to around
$ 33 mn
Telesales: 10-20%
Field Sales: 80-90%