When companies and sales leaders fail on this front, the net effect is damaging: FLAT SALES, TURNOVER, and FRUSTRATION for the new hire, management, owners, and stakeholders.
As a sales leader, are you guilty of any or all of these mindsets or faulty systems?
3. Are you fulfilling?
If there is a handoff between the sales staff and fulfillment, whether it be an account manager, technologist, or a customer service associate, does the finished product resemble what the sales representative presented during the sales process?
Was it delivered on time?
Was it customized according to the customer’s wishes?
If not, companies have a problem. End result?
Unhappy clients, internal strife amongst your staff, broken promises, and a short-term customer.
Not long after these issues come to light a strong sales person puts two and two together and realizes that a lost client means a lost commission(s) and is likely to look for greener pastures.
This issue is on the short-list as one of THE biggest organizational challenges that we observe with companies that service the food manufacturing industry, and it’s one that’s inherently a people and process issue. If it’s not addressed and constantly honed and tweaked, you’ll lose business and you’ll lose your sales talent.
As your firm’s sales leader, have you taken responsibility for owning the sales process from start to finish?
4. Wrong compensation model
Your compensation plan should mirror your sales model (do you want NEW accounts or do you want more business from EXISTING accounts?).
Regardless of the sales model, match the incentive to the desired result.
If you want a sales person to pick up the phone and call a new prospect, their incentive should be based on converting new prospects to business. If you want a sales person to grow existing accounts, then incentivize them to do so. These tasks are different, require a different set of skills, have a different closing ratio, and have a different time-cycle. Don’t treat them the same.
As an HR executive or Sales Leader who’s tasked with developing plans, have you aligned your new rainmakers with account manager commission or bonus plans? Are your account “retainers” paid accordingly?
Studies have found that 75% of the compensation plans REPEL the best candidates when they should be ATTRACTING them.