Skip to main content
SpringerLink
Log in

Digitization of selling activity and sales force performance: An empirical investigation

  • Published:
Journal of the Academy of Marketing Science Aims and scope Submit manuscript

Abstract

Firms are creating a digitized selling capability by developing Web sites designed to provide information and conduct transactions with customers, replacing many routine sales force activities. The authors use the motivationability framework to shape a conceptual model that examines the effects of the digitization of selling activity on two salesperson outcomes: salesperson effectiveness and salesperson job-insecurity. Using data from salespeople in 168 firms, they assess the moderating effects of environmental-level motivational factors and firm-level ability factors on the impact of digitization of selling activity on salesperson effectiveness and job insecurity. The results reveal that digitization has the paradoxical effect of improving salesperson effectiveness and heightening job insecurity concerns, and also that managers can improve the technology-enabled multichannel capabilities of the firm by giving priority attention to human capital improvement, sales force control systems, and communication of the digitization strategy.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Similar content being viewed by others

References

  • Amit, Raphael and Christoph Zott. 2001. “Value Creation in E-Business.”Strategic Management Journal 22:493–520.

    Article  Google Scholar 

  • Anderson, Erin and Richard Oliver. 1987. “Perspectives on Behavior-Based Versus Outcome-Based Salesforce Control Systems.”Journal of Marketing 51:76–88.

    Article  Google Scholar 

  • — and Barton A. Weitz. 1989. “Determinants of Continuity in Conventional Industrial Channel Dyads.”Marketing Science 8:310–324.

    Google Scholar 

  • Anderson, James and David Gerbing. 1988. “An Updated Paradigm for Scale Development Incorporating Unidimensionality and Its Assessment.”Journal of Marketing Research 25:86–192.

    Google Scholar 

  • Ariely, Dan. 2000. “Controlling the Information Row: Effects on Consumers’ Decision Making and Preferences.”Journal of Consumer Research 27 (2): 233–248.

    Article  Google Scholar 

  • Armstrong, J. Scott and Fred Collopy. 1996. “Competitor Orientation: Effects of Objectives and Information on Managerial Decisions and Profitability.”Journal of Marketing Research 33:188–199.

    Article  Google Scholar 

  • — and Terry S. Overton. 1977. “Estimating Nonresponse Bias in Mail Surveys.”Journal of Marketing Research 14:396–402.

    Article  Google Scholar 

  • Arnold, Hugh and Daniel Feldman. 1982. “A Multivariate Analysis of the Determinants of Job Turnover.”Journal of Applied Psychology 67 (3): 350.

    Article  Google Scholar 

  • Arthur, Winfred, Winston Bennett, Pamela Edens, and Suzanne Bell. 2003. “Effectiveness of Training in Organizations: A Meta-Analysis of Design and Evaluation Features.”Journal of Applied Psychology 88 (2): 234–245.

    Article  Google Scholar 

  • Babakus, Emin, David W. Cravens, Kent Grant, Thomas N. Ingram, and Raymond W. LaForge. 1996. “Investigating the Relationship Among Sales, Management Control, Sales Territory Design, Salesperson Performance, and Sales Organization Effectiveness.”International Journal of Research in Marketing 13:345–363.

    Article  Google Scholar 

  • Bagozzi, Richard P., ed. 1994.Structural Equation Models in Marketing Research: Basic Principles. Cambridge, MA: Blackwell.

    Google Scholar 

  • Bakos, Yannis. 1997. “Reducing Buyer Search Costs: Implications for Electronic Marketplace.”Management Science 43 (12): 1676–1692.

    Google Scholar 

  • Barley, Stephen R. 1986. “Technology as an Occasion for Structuring: Evidence From Observations of CT Scanners and the Social Order of Radiology Departments.”Administrative Science Quarterly 31:78–108.

    Article  Google Scholar 

  • Becker, G. S. 1975.Human Capital. Chicago: University of Chicago Press.

    Google Scholar 

  • Behrman, Douglas and William Perreault Jr. 1982. “Measuring the Performance of Industrial Salespersons.”Journal of Business Research 10:335–370.

    Article  Google Scholar 

  • Boulding, William and Richard Staelin. 1995. “Identifying Generalizable Effects of Strategic Actions on Firm Performance: The Case of Demand-Side Returns to R&D Spending.”Marketing Science 14 (3): G222-G236.

    Google Scholar 

  • Bresnahan, Timothy, Erick Brynjolfsson, and Lorin Hitt. 2002. “Information Technology, Workplace Organization, and the Demand for Skilled Labor: Firm-Level Evidence.”Quarterly Journal of Economics 117:339–376.

    Article  Google Scholar 

  • Browne, Michael W. and Robert Cudeck. 1993. “Alternative Ways of Assessing Model Fit.” InTesting Structural Equation Models. Eds. Kenneth A. Bollen and J. Scott Long. Newbury Park, CA: Sage, 136–162.

    Google Scholar 

  • Burke, Raymond R. 2002. “Technology and the Customer Interface: What Consumers Want in the Physical and Virtual Store.”Journal of the Academy of Marketing Science 30: (4) 411–432.

    Article  Google Scholar 

  • Burkhardt, Marlene E. and Daniel J. Brass. 1990. “Changing Patterns or Patterns of Change: The Effects of a Change in Technology on Social Network Structure.”Administrative Science Quarterly 35:104–127.

    Article  Google Scholar 

  • Churchill, Gilbert A., Jr. 1979. “A Paradigm for Developing Better Measures of Marketing Constructs.”Journal of Marketing Research 16:64–73.

    Article  Google Scholar 

  • —, Niel Ford, Orville Walker Jr., Mark Johnston, and John Tanner Jr. 2000.Salesforce Management. New York: McGraw-Hill.

    Google Scholar 

  • Coff, Russell W. 1997. “Human Assets and Management Dilemmas: Coping With Hazards on the Road to Resource-Based Theory.”Academy of Management Review 22:374–402.

    Article  Google Scholar 

  • Corfman, Kim P. and Donald Lehmann. 1994. “The Prisoner’s Dilemma and the Role of Information in Setting Advertising Budgets.”Journal of Advertising 23 (2): 35–48

    Google Scholar 

  • Cyert, Richard M. and James G. March. 1963.A Behavioral Theory of the Firm. Englewood Cliffs, NJ: Prentice-Hall.

    Google Scholar 

  • Deshpande, Rohit. 1983. “Paradigms Lost: On Theory and Research.”Journal of Marketing 47:101–110.

    Article  Google Scholar 

  • Dillon, William R. and Matthew Goldstein. 1984.Multivariate Analysis Methods and Applications. New York: John Wiley.

    Google Scholar 

  • DiMaggio, Paul and Walter Powell. 1983. “The Iron Cage Revisited: Institutional Isomorphism and Collective Rationality in Organizational Fields.”American Sociological Review 48:147–160.

    Article  Google Scholar 

  • Dragoon, Alice. 2003. ”All in One View.”CIO Magazine, July 1, 1.

    Google Scholar 

  • Dutta, Shantanu, Mark Bergen, Jan B. Heide, and George John. 1995. “Understanding Dual Distribution: The Case of Reps and House Accounts.”Journal of Law, Economics and Organization V11:189–204.

    Google Scholar 

  • Erffmeyer, Robert and Dale Johnson. 2001. “An Exploratory Study of Salesforce Automation Practices: Expectations and Realities.”Journal of Personal Selling & Sales Management 21:167–175.

    Google Scholar 

  • Folkes, Valerie. 1988. “Recent Attribution Research in Consumer Behavior: A Review and New Directions.”Journal of Consumer Research 14:549–565.

    Article  Google Scholar 

  • Fornell, Claes and David F. Larcker. 1981. “Evaluating Structural Equation Models With Unobservable Variables and Measurement Error.Journal of Marketing Research 18:39–51.

    Article  Google Scholar 

  • Frazier, Gary 1999. “Organizing and Managing Channels of Distribution.”Academy of Marketing Science 27:226–240.

    Article  Google Scholar 

  • Glaser, Barney G. and Anselm L. Strauss. 1967.The Discovery of Grounded Theory; Strategies for Qualitative Research. Chicago: Aldine.

    Google Scholar 

  • Green, Heather. 2003. “Web Smart 50: TaylorMade.BusinessWeek, November 24, 94.

    Google Scholar 

  • Greenhalgh, Leonard and Zehava Rosenblatt. 1984. “Job Insecurity: Toward Conceptual Clarity.”Academy of Management Review 9:438–448.

    Article  Google Scholar 

  • Grewal, Rajdeep, James Comer, and Raj Mehta. 2001. “An Investigation Into the Antecedents of Organizational Participation in Business to Business Electronic Markets.”Journal of Marketing 65:17–34.

    Article  Google Scholar 

  • Hair, Joseph F., Ronald L. Tatham, Rolph E. Anderson, and William Black. 2000.Multivariate Data Analysis. Upper Saddle River, NJ: Prentice-Hall.

    Google Scholar 

  • Haveman, Heather A. 1993. Follow the Leader: Mimetic Isomorphism and Entry Into New Markets.”Administrative Science Quarterly 38:593–627.

    Article  Google Scholar 

  • Iyar, Subrah. 1999. “Establishing Web-Based Collaboration Between Field Sales and the Call Center. Call Center Solutions, 78–82.

  • Johnston, Mark W., A. Parasuraman, Charles M. Futrell, and William C. Black. 1990. “A Longitudinal Assessment of the Impact of Selected Organizational Influences on Salespeople—s Organizational Commitment During Early Employment.”Journal of Marketing Research 27:333–344.

    Article  Google Scholar 

  • Jones, Eli, Suresh Sundaram, and Wynne Chin. 2002. “Factors Leading to Salesforce Automation Use: A Longitudinal Analysis.”Journal of Personal Selling & Sales Management 22:145–156.

    Google Scholar 

  • Kogut, Bruce and Udo Zander. 1992. “Knowledge of the Firm, Combinative Capabilities and the Replication of Technology.”Organization Science 3 (3): 383–397.

    Article  Google Scholar 

  • Kuhnert, Karl, Ronald Sims, and Mary Anne Lahey. 1989. “The Relationship Between Job Security and Employee Health.”Group & Organization Management 14 (3): 399–411.

    Article  Google Scholar 

  • Li, Tiger and Roger Calantone. 1998. “The Impact of Market Knowledge Competence on New Product Advantage: Conceptualization and Empirical Examination.”Journal of Marketing 62:13–29.

    Article  Google Scholar 

  • Maclnnes, Deborah, Christine Moorman, and Bernard Jaworski. 1991. “Enhancing and Measuring Consumers’ Motivation, Opportunity and Ability to Process Brand Information.”Journal of Consumer Research 55 (October): 32–53.

    Google Scholar 

  • March, James G. 1981. “Decisions in Organizations and Theories of Choice.” InPerspectives on Organizational Design and Behavior. Eds. Andrew H. Van de Ven and William F. Joyce. New York: John Wiley, 205–244.

    Google Scholar 

  • Martin, Graeme, Harry Staines, and Judy Pate. 1998. “Linking Job Security and Career Development in a New Psychological Contract.”Human Resource Management Journal 8:20–40.

    Article  Google Scholar 

  • Menon, Anil, Sundar Bharadwaj, Tej Adidam, and Steve Edison. 1999. “Antecedents and Consequences of Marketing Strategy Making: A Model and A Test.”Journal of Marketing 62 (April): 19–41.

    Google Scholar 

  • Mercer Management Consulting. 2002. “Salesforce Effectiveness.” Retrieved from www.Mercermc.com.

  • Merton, Robert. 1957.Social Theory and Social Structure. Glencoe, IL: Free Press.

    Google Scholar 

  • Meyer, John P. and Natalie J. Allen. 1997.Commitment in the Workplace: Theory, Research, and Application. Thousand Oaks, CA: Sage.

    Google Scholar 

  • Narayandas, Das and Benson Shapiro. 1996.Salessoft Inc. Boston: Harvard Business School Press.

    Google Scholar 

  • Nord, Walter R. and Sharon Tucker. 1987.Implementing Routine and Radical Innovations. Lexington, MA and Toronto: Lexington Books.

    Google Scholar 

  • Reibstein, David. 2002. “What Attracts Customers to Online Stores, and What Keeps Them Coming Back?”Journal of the Academy of Marketing Science 30 (4): 465–473.

    Article  Google Scholar 

  • Rousseau, Denise M. 1995.Psychological Contracts in Organizations: Understanding Written and Unwritten Agreements. Thousand Oaks, CA: Sage.

    Google Scholar 

  • Sawhney, Mohan and Jeff Zabin. 2001.The Seven Steps to Nirvana: Strategic Insights Into e-Business Transformation. New York: McGraw-Hill.

    Google Scholar 

  • Sheth, Jagdish, Rajendra Sisodia, and Arun Sharma. 2000. “The Antecedents and Consequences of Customer-Centric Marketing.”Journal of the Academy of Marketing Science 28:55–66.

    Article  Google Scholar 

  • Speier, Cheri and Viswanath Venkatesh. 2002. “The Hidden Minefields in the Adoption of Salesforce Automation Technologies.”Journal of Marketing 66:98–111.

    Article  Google Scholar 

  • Tushman, Michael L. and Philip Anderson. 1986. “Technological Discontinuities and Organizational Environments.”Administrative Science Quarterly 31:439–465.

    Article  Google Scholar 

  • —, William H. Newman, and Elaine Romanelli. 1986. “Convergence and Upheaval: Managing the Unsteady Pace of Organizational Evolution.”California Management Review 29:29–45.

    Google Scholar 

  • Varadarajan, Rajan P. and Manjit S. Yadav. 2002. “Marketing Strategy and the Web-Based: An Organizational Framework.”Journal of the Academy of Marketing Science 30:296–312.

    Article  Google Scholar 

  • Wang, Guangping and Richard G. Netemeyer. 2002. “The Effects of Job Autonomy, Customer Demandedness, and Trait Competitiveness on Salesperson Learning, Self-Efficacy, and Performance.”Journal of the Academy of Marketing Science 30:217–228.

    Google Scholar 

  • Watson, Richard, Pierre Berthon, Leyland Pitt, and George Zinkhan. 2000.Electronic Commerce: A Strategic Perspective. Chicago: Dryden.

    Google Scholar 

  • Weiss, Allen M. and Erin Anderson. 1992. “Converting From Independent to Employee Salesforce: The Role of Perceived Switching Costs.”Journal of Marketing Research 29:101–115.

    Article  Google Scholar 

  • Wheelwright, Steven and Kim B. Clark. 1992.Revolutionizing Product Development. New York: Free Press.

    Google Scholar 

  • Wu, Fang, Vijay Mahajan, and Sridhar Balasubramanian. 2003. “An Analysis of E-Business Adoption and Its Impact on Business Performance.”ournal of the Academy of Marketing Science 31:425–447.

    Article  Google Scholar 

  • Zinkhan, George. 2002. “Promoting Services via the Internet: New Opportunities and Challenges.”Journal of Services Marketing 16 (5): 412–423.

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Northeastern University, Boston, USA

    Devon S. Johnson

  2. Goizueta Business School at Emory University, Atlanta, USA

    Sundar Bharadwaj

Authors
  1. Devon S. Johnson
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Sundar Bharadwaj
    View author publications

    You can also search for this author in PubMed Google Scholar

Additional information

Devon S. Johnson (Ph.D., London Business School, dj@devonjohnson.com) is currently an assistant professor of marketing at Northeastern University, Boston. Previously, he was an assistant rofessor of marketing in the Giozueta Business School at Emory University. His research interests are the role of social capital in relational exchange and technology consumption and implementation.

Sundar Bharadwaj (Sundar_Bharadwaj@bus.Emory.edu) is an associate professor of marketing in the Goizueta Business School at Emory University. His general research interests focus on marketing strategy and performance and risk. His research has been published in theJournla of Marketing, Management Science, and theJournal of the Academy of Marketing Science, among others.

Rights and permissions

Reprints and permissions

About this article

Cite this article

Johnson, D.S., Bharadwaj, S. Digitization of selling activity and sales force performance: An empirical investigation. J. of the Acad. Mark. Sci. 33, 3–18 (2005). https://doi.org/10.1177/0092070304266119

Download citation

  • Issue Date:

  • DOI: https://doi.org/10.1177/0092070304266119

Keywords

Search

Navigation