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Class 12 Entrepreneurship Notes · CBSE

Sales Strategy

Sales Strategy — Learn what a sales strategy is, the difference between direct and indirect approaches, its components, function and the considerations for building one. CBSE Class 12 Entrepreneurship notes with a direct vs indirect comparison.

Last updated: 31 Jul 2026

Notes

Sales Strategy

Class 12 Entrepreneurship — Direct vs Indirect Selling, Components, and Considerations

What is a Sales Strategy?

Sales Strategy
A plan that positions a company's brand or product to gain a competitive advantage. Successful strategies help the sales force focus on target market customers and communicate with them in relevant and meaningful ways. Sales representatives need to know how their products or services can solve customers' problems — a successful sales strategy ensures the sales force spends time targeting the correct customers at the right time.

Why planning a sales strategy matters

1. Planning an effective sales strategy requires looking at long-term sales goals, analyzing the business sales cycle, and meeting with sales people about their personal career goals — giving owners and managers intimate knowledge of sales intervals, seasonal changes and what motivates the sales team.

Types of Sales Strategy — Direct vs Indirect

Same layout — flip to feel how the strategy changes.

Approach

Sales people attack the competition head on when talking to the customer — they talk about each feature of the competition’s product and compare it to theirs.

Also known as

Negative selling.

Tone

Aggressive / head-on.

Businesses employ one of two basic types of sales strategies — direct or indirect — to their overall plan.

Components of Sales Strategy

Product placement

Creates brand awareness by using the various marketing channels available today.

Promotion

Creates brand awareness alongside product placement; social media networks offer a free platform for increasing brand awareness — business owners can utilize these tools by spending time each day communicating with fans and followers on their social network pages.

Testimonials

Customer testimonials readily available for prospects to read or watch lend authority to a small business and the products and services it offers.

Core selling strategies

The fundamental selling approaches that tie the other components together.

The free channel

Social media networks offer a free platform for increasing brand awareness.

Function of Sales Strategy — Two Audiences

Regardless of whether a business uses a direct or indirect sales strategy, or a combination, sales managers need to work with sales people on techniques. New customer acquisition and customer retention require two approaches — a sales strategy lays out the steps and methods necessary for customers in different stages.

Potential customers

Need communication that introduces the brand and product or service in ways that show how it can solve their problems.

Current customers

Require more personal communication about new features or benefits to keep them engaged.

Motivating current customers: Promotions and referral discounts work to motivate current customers to spend their money and to spread the word to others.

Considerations for Building a Sales Strategy

Market knowledge

Awareness of competitor activities

Awareness of current trends

Detailed business analysis

Get help if needed

Small business owners creating a sales strategy for the first time may want to hire a professional business consultant to help guide the process.
Think about it:When a Reliance Jio salesperson compared Jio's plans point-by-point with Airtel's in a shop, that was direct (negative) selling. When a restaurant subtly highlights its farm-fresh ingredients without naming competitors, that is indirect selling. Both strategies live in your everyday shopping experiences.

Key Takeaways

  • A sales strategy positions the brand to gain competitive advantage and targets the right customers at the right time.
  • Long-term strategy drives monthly and weekly strategies, enabling short-term performance measurement.
  • Direct (negative selling) attacks competitors head-on; indirect selling subtly demonstrates superior features without naming competitors.
  • Components: product placement, promotion, testimonials and core selling strategies.
  • Potential customers need introduction-style communication; current customers need engagement communication plus promotions and referral discounts.