How Should Units Allocate Popcorn Sales for Store Front Sales

Posted on

teacher_and_student_11776Parents from around the country have ask me. “What is the best way to allocate the sales from the store fronts?”  My answer has been “It Depends.”

The two main considerations when determining what method your Unit should use.  The first is your Council Incentive Program.  Many Councils around the country have incentives based on either the number of containers sold, number of customers which bought, or particular dollar amount sold.  If containers or customers are the main incentive criteria then the Unit will want an allocation system to account for this.  If dollars are the incentive, then finding the best way to split the sales are important.  The second consideration is equity.  Units must determine the most equitable way to divide the sales while making it easy to track.  Below are a few ways I have seen allocations for Store Front Sales with some advantages and disadvantages:

Direct Scout Allocation

This method is exactly as it states.  The Scout gets credit for the actual product he sells.  This format is easiest when there is only one Scout selling at a store front.  If there is more than one Scout at the store front, then have the sales alternate between the Scouts.  One Scout gets the first sale then the second Scout gets the next sale.  As far as Military Donations goes, as soon as you reach the appropriate dollar amount to place a Military Order, the next Scout places the order on his order form.  It is his sale and the next sale goes to the next Scout.  The easiest way to track this is using the order form.  As they make the sale, write it on the form.  It is import to make sure the total dollar amount per Scout at the end of the shift is similar so it is equitable for all concerned.  I have found that dollar amount tend to be within $5 of each other.  If it is not then even it out.

Advantages

  • Easier to track every item sold and apply it directly to a Scout
  • Easier to track inventory
  • Better salespeople get credit for their effort

Disadvantages

  • Sales can vary between shift, location, and date of sale
  • Better salespeople do better

Scout Hours Worked

This method is based on giving all Scouts credit for the number of hours worked.  Units take the total product sold for all store front locations and divide it by the total number of man hours works.  For example, if the Unit sells four days with 8 hours worked each day and two Scouts selling at all locations you have 64 total man hours.  Let’s say the Units sell $3200 total product at all location sites.  Using this example, each Scout would receive a $50 credit per hour they worked.  If a Scout worked more hours than others, they would get the appropriate credit for the number of hours they worked.  Remember, it is important to keep all Military Donations separate, divide them up appropriately and place the orders.

Advantages

  • Do not have to track sales by shift or day
  • Easier to track inventory
  • There is no advantage to which time slot or day a Scout sells

Disadvantages

  • Better salespeople do not get more credit
  • Scouts do not know how much they are credited until the end of the sale

Modified Sales Tracking

Just as it states, this method is a combination of the two methods above.  Usually this takes one item into consideration to give more credit to higher performing Scouts.  As an example, Units can take the Scout Hours Worked method and track this by shift or day.  For example, If you had 4 two-hour shifts at a location with two Scouts per shift and you sell $1600, then those Scouts would get $100 per hour.  If on the next day using the same shifts and location the Unit sells $800 then those Scouts that sold on that day would get $50 per hour.  The split can be done by shift, day, or location.

Advantages

  • Better sales people get credit for their effort

Disadvantages

  • Sales can vary between shift, location and date of sale
  • Fewer Scout sign ups later in the sale
  • Often have to create a separate Unit spreadsheet to track sales

Every Unit has different needs based on Council Incentives and what makes it easiest to track.  Units should make their determination based on their needs and how detailed they want to get when giving credit to Scouts.

vr_button

Comment on Blog Article

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s