Don’t blame salespeople for poor sales.
With sales margins being pushed south I was reminded, yesterday, by a sales Director of a statement that I made from a conference stage a few years ago “Sales teams are often blamed for poor sales when it’s not their fault”.
So who or what is to blame?
Too often sales teams limp along with undiagnosed problems when a “new process” is implemented in the hope that it will have immediate improvements. In my experience there are a number of issues that need to be considered before rushing into another and potentially expensive new sales process. These include:
- There is little understanding how departments such as legal, accounts and IT impact on sales
- Senior managers don’t appreciate how the existing sales process works
- People don’t understand why the business makes sales and more importantly loses sales
- Too few of the sales team contribute too much of the sales result
- Sales forecasting is based on “Gut feeling” and “Hope”
- Sales forecast is made on a short term basis (This month or next)
Take time
There are many actions that can be taken to solve the above list but “blaming the sales team” isn’t always one of them. Instead correctly diagnose where the business needs to look for improvements in the sales cycle. The other thing to remember is that there’s no pill that will provide instantaneous results. Time, good analysis and correct implementation needs to be taken when delivering sales improvements.
Sales Teams Restructure
I’ve noticed over the past few months that many businesses are concentrating on restructuring their sales teams as part of their business strategy. The problem is that so mant sales appointments fail to deliver what was anticipated.
Sales teams have contacted me to advise on how to select good salespeople. The point I always make is that whilst the interview is useful always worth check on the information given by the candidate. Follow up references, check sales statistics given for previous posts and so on.
The next step is to integrate the individual into the team. Relying on just past experience for the individual to succeed is a recipe for job failure too often. Remember that only 60% of new hire salespeople succeed.The 40% that fail cost huge amounts of management time and lost opportunity costs.
Strategies for Restructuring Your Sales Team
Over the past weeks I’ve been talking to various businesses about the strategies that they are developing for 2012 and beyond and in the light of continued hard times.
The one common factor in my discussions is that there seems to be a great emphasis on sales and sales team restructure to maintain growth. Identifying the successful sales team members isn’t difficult and identifying those that need replacing isn’t difficult either. The problem is that those at the top probably won’t be able to deliver more and those at the bottom are difficult to motivate.
Greatest potential growth
Possibly the greatest potential growth from a sales team will come from the average performers. That is those that are producing between 90% and 125% of their target on a regular basis. This is partly because this group tends to have more people in it than the top or the bottom and motivating them to produce more has the greatest potential for success.
Sales team restructure strategy
When developing strategies for a sales team restructure they should include changing territory, clients, working times, information and support given to the sales team and a good study of the recruitment process and criteria for those joining the team.
This video on sales and marketing interview questions might help