The Effects Of Customer Prospecting Methods On Sales Force Performance

Abstract

In recent years various insurance firms have set up shop in Eldoret town. This study therefore was aimed at studying the relationship between the insurance firms, their customers and sales teams. This research was carried out with an attempt to investigate effects to determine the effects of customer prospecting methods on sales force performance  within Eldoret Town. The study adopted explanatory research design in the research whereby questionnaires were used to collect data from a sample of 267 respondents who were working as sales persons for various insurance firms within Eldoret. Data was analyzed by use of descriptive statistics and inferential statistics especially multiple regression and pearson product correlation. The regression results showed that customer prospecting had a positive effect on Sales force Performance of the firms and was statistically significant (?=.506, p-value=0.000).This study recommends that insurance firms should at all times strive to put emphasis on customer prospecting methods by keeping good truck records of potential customers as it will make the work easy when it comes to locating customers, put in place guideline policy of attracting prospects and translating them to customers and getting a sales lead and qualifying it as sales. Also the study recommends that firms should develop a good relationship with the customers through referrals by existing clients as it has greater and lasting effect on sales force performance, firms should develop a well managed customer relations through incentives which leads to repeat purchasing and lay emphasis on customer value management and regular interaction with loyal customer and prospects as a strategy that will mend relations and reflect on the overall sales and finally maintain a cordial relationship with the clients so that they can receive feedback from the clients on its products and ways of doing business. In conclusion, the findings of the study suggest that insurance companies should at all times strive to practice customer relationship management activities’ that emerged from the study.

Key words: Customer, prospecting,  sales force, performance, insurance,firms