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What does the sales function do?

Every department in a business spends; one brings money in. And the sales function is not about "persuading people to buy" — it is about turning market interest into revenue that is collected and repeated.

Chapter 1 · Lesson 1 of 59 min readBeginner level

Sales is a complete operational function with inputs, outputs, procedures and metrics, exactly like production or purchasing. Treat it as a personal talent residing in one energetic salesperson, and you build revenue that can neither be forecast nor repeated.

1 What the function actually does

1
Finds

Builds a list of prospects and qualifies them

2
Persuades

Understands the need and offers a solution with a price

3
Closes

Agrees the order and documents it

4
Keeps

Serves the customer and sells to them again

Four connected jobs — and failing at the fourth means starting from the first every time

The common error is to measure sales by the third alone. A business that rewards closing and neglects keeping buys a new customer every month at high cost instead of selling twice to one customer.

2 Sales and marketing: a common confusion

AspectMarketingSales
PurposeCreate demand and attentionConvert demand into a deal
ScopeThe market as a segmentThe customer as a person or business
HorizonMedium and longShort and tied to the period
OutputA qualified prospectA signed order and an invoice
MetricAwareness, reach, cost per leadRevenue, conversion rate, margin

Where the link between the two breaks

Marketing says: “I handed over 400 leads.” Sales says: “None of them was serious.” The fix is not another meeting, it is a written, agreed definition of a qualified lead: which conditions must be met before a name passes from marketing to sales?

3 Selling to businesses and to consumers

AspectSelling to businessesSelling to consumers
The decisionCollective: the user, finance, managementIndividual and quick
The cycleWeeks to monthsMinutes to days
Deal sizeLarge, and few of themSmall, and many of them
The driverReturn, cost and riskNeed, want and impression
Selling styleRelationship, advice and competitionDisplay, trial and price
CreditCommon: 30 to 90 daysRare: payment on purchase

In business selling, the decider is not the user

In a deal for accounting software, the user is the accountant, the influencer is the IT manager, the decider is the finance director and the buyer is procurement. Persuading only one of them does not close the deal, and neglecting any of them can stop it late.

4 How a sales team is structured

  • By territory: a region per salesperson. Simple and clear, and suits a single product.
  • By product: a team per product line. Suits anything needing technical depth.
  • By sector: one team for government, another for retail. Suits differing buying cycles.
  • By customer size: a key accounts team and a small accounts team.
  • Inside support: a sales coordinator handling quotes and orders so the rep can stay in the field.
Why a rep is measured on margin, not revenue

Two salespeople, each sold one million riyals this year. Commission is on revenue, so both earned the same:

ItemRep ARep B
Sales1,000,0001,000,000
Average discount given2%14%
Cost of goods sold700,000810,000
Gross profit300,000190,000

Result: a gap of 110,000 riyals in profit, and identical rewards. As long as commission sits on revenue, Rep B is behaving perfectly rationally: the discount is the shortest path to the number. The problem is in the system, not the person.

Lesson summary

  • Sales is a function with procedures and metrics, not a talent in one energetic person.
  • It has four jobs: find, persuade, close and keep — and the fourth is the one most neglected.
  • Marketing creates demand, sales converts it, and a written definition of a qualified lead joins them.
  • Business selling means a collective decision, a long cycle and credit; consumer selling is the opposite.
  • Measuring a rep on revenue alone produces a rep who sells on discount.

5 Test your understanding

Three quick questions

Pick the answer you believe is correct and you will see the result immediately.

1. Marketing hands sales 400 names a month and sales says none is serious. The root fix:

2. In an accounting software deal, persuading the accountant who will use it:

3. A rep hit the target in full but through heavy discounting. The original fault:

Sources and review: the concepts of the sales function, its structures and the difference between business and consumer selling as settled in sales management literature. The figures are illustrative. Last reviewed: September 2026.