Stepsmart Fitness Case Solution & Answer

Stepsmart Fitness Case Solution 


Step-smart Fitness operates on manufacturing for work out or exercise equipment. The company was situated in the United States. Six months ago, company appointed new CEO named Mark Wallace. In 2011, company acquired total estimated industry’s sales revenue of 18% share which is $3.5 billion.For 2011, Step Smart totals sales were determined to be $630 million. The number of employees in the company were five hundred and forty. The organization needed to target various set of clients.Therefore, the sale force of the company was further classified into groups of three:

  1. Commercial Products: this group’s contributed 30 percent in the sales and its market share is 17 percent in this segment.
  2. Retail Products: this group’s contribution in the Step Smart’s U.S sales was estimated to be 63 percent and its market share was estimated to be 27 percent.
  3. Private and Institutional: this group’s contribution in the Step Smart sales was estimated to be 7 percent and its market share was estimated to be 10% because this segment recently entered this market.

Problem Statement

The problem Step Smart was facing with the sales force performance in the New England distinct because they were unable to achieve the sales targets of the company. For Northeast district, CEO promoted the manager Ben Cooper as a vice president of sales. The Company demanded from Cooper that he expect to lead, bring change in the system of New England district sales force, find out the problems and suggest-innovative strategies to improve company’s performance in the future. However, cooper encounter with a challenge that if sales force unable to achieve the revenue targets in nighty days of time period. Then, half of the team of sales’ employees would be terminated.

Symptoms and Causes

The symptoms and causes of the problem regarding-decrease of sales target, was differed from employee to employee. Some employees were not able to meet sale target due to larger territories, some employees were having family and personal problems. Others were too focused on existing customers and don’t approaching new potential clients and were showing resistance.

Case Analysis

The issue was the bad performance of sales force and those issues could be recognized if he explored the sales team virtually. Consequently, he went there for two days and spent time with every sales representative and distinguished numerous issues that existed in them. The Case of Avery is one of the issues, he was a knowledgeable worker of Step Smart and furthermore had a lot of experiences, and however the issue was that he was particularly associated with creating new idea, developments, and executing them in his real life experiences. Additionally, he was less keen on covering the less populated regions like the northeast areas in New England. That was an issue as his work requested, carrying development to the work and furthermore covering that load of regions to look for the chances. Although, in the case of foster, Cooper came to realize that his performance was going incredible, however his outcome began to decrease in a year. The explanation was that he was upset from his marital issues and because of that he was not emotionally in a decent condition. Once, female customer whined about his terrible conduct……………….

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