Dealer Training Programs - A New Trend*



Case Code : CLSDM018
Publication date : 2005
Subject : Sales and Distribution
Industry : Diversified
Length : 04 Pages
Price : Rs. 100

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Key words:

Corporate Training Market, Dealer Training Programs, Automobile Companies, Maruti, JD Power Asia Pacific, Customer Satisfaction Index (CSI), NIS Sparta, leadership, Business Planning, Self-Empowerment, Behavioral Interventions, Vijay Kohli, Consumer Appliances Manufacturers, Philips India, 'Unique Selling Programme' (USP), Soft-Selling Skills, HLL, 'Project Dronacharya', Total Lines Sold per Day (TLSD), Gujarat Cooperative Milk Marketing Federation (GCMMF), Amul, Tata Chemicals


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The caselet examines the increased focus of Indian corporates on dealer training programs. It discusses the dealer training programs conducted by some of the leading manufacturing companies such as Maruti, HLL, Philips, GCMMF, and Tata Chemicals. The outcome of these training programs and their impact on the sales and customer service of the companies also form a part of this caselet.


Role of channel members in sales & distribution function of an organization
Need for dealer training programs and its impact on customer service
Training sales personnel


In India, the corporate training market was pegged at Rs 25 billion (by the end of 2004) and was growing at a rate of 30% annually. Though sales training was not a new concept in Indian industry, the trend of extending sales training initiatives to business partners was slowly catching up.

The automobile companies were among the first to implement dealership training programs. For example, when Maruti got the highest rank in customer satisfaction in the JD Power Asia Pacific India customer satisfaction index (CSI) study in 2000, it launched 'Project Hat Trick' in consultation with NIS Sparta, a leading training and consulting organization...

Questions for Discussion:

1. Indian companies, which used to focus mainly on sales training programs for their own sales force, are now extending these initiatives to their business partners. What are the major reasons behind the increasing prominence of such initiatives among Indian companies? Also throw light on the advantages and disadvantages of outsourcing the training activities to third parties.

2. Behind every successful dealer is a smiling and efficient dealer salesperson. Explain the relative importance of dealers in the consumer durables industry over and above those in the FMCG industry. How have consumer durable players improved the performance of their dealers through training?