I don't really "get" sales contests, at least in the professional world of corporate sales. Oh, I’ve won my share of them, and have the plaques and crystal decanters to prove it, but (and here’s my dirty little secret) every time I’ve won it’s been pure, dumb luck. Naturally, since that's how I've always won them, I assume that's how everyone wins them. As with many corporate sales, I've always been involved in big-ticket purchases with long sales cycles. Do you think I started working on proposals in May so that I could be sure to close deals in September to win the contest? No, that just happened to be when the client decided to buy and I was the happy beneficiary.
There are many people who think Sales Contests are great for motivation or recognition and although I, of course, think motivation and recognition are great things, I don't believe sales contests are any good at doing either of those things. Oh, sure in certain situations they work - retail, telemarketing, new product introductions ("First person to sell one of our new gas/vodka hybrid generators gets a trip to Fiji") but once you get out of that realm - not so much.
Technically, if you distribute Sales tally sheets, you have a Sales Contest all year, every year. Every rep knows where they are, where the competition is and who they want to beat.
Professional sales people are self-motivated - give them a good product, a good story, good service and point them in the right direction and they're off. A sales contest won't make your products any better, your story any more compelling or your service any better. If you've got those things, you won't need sales contests. If you don't have those things, you should be spending your sales-contest dollars on getting those things.
Showing posts with label motivate. Show all posts
Showing posts with label motivate. Show all posts
Saturday, February 03, 2007
Monday, January 08, 2007
Fire the Coach?
It happens all the time in sports - at the end of a losing season, the manager or head coach gets fired. Obviously, that's easier than getting rid of all the players and, more importantly. it deflects responsibility for the team's failure away from management.
This same type of thing happens in the corporate world and for the same reasons. If sales are down, more likely than not sales management will take the heat and/or get fired rather than the sales reps and rather than senior management looking looking introspectively.
A case in point, from an anonymous correspondent;
"I work for a well-known East Coast based financial services firm and 2006 was a horrible sales year for our division. In December it was announced that our Sales Manager would be leaving and that our department would be rolled into a division that sells products complementary to ours. While none of this seems bad or unreasonable to the outside world, one key element was missing - any kind of real investigation as to why sales were down. The real problems were out-of-date products and horrendous service, problems upper management refused to fix, and therefore a terribly unmotivated sales force. The new management went into the change oblivious to what the issues were and treated us as if all we needed was a lesson in sales, some new laptops and a bigger quota. We don't want to be seen as crybabies or not as "team players", but until some of the underlying problems are addressed we still won't be selling and whose fault is that? I believe it's upper management's fault."
Now, I'm not sure the "management refused to fix" part is 100% accurate as it's likely as not that they were either unaware as to the extent of the problems or were unable (for one reason or another) to remedy them, but still. Even when the ball team's manager gets fired, usually management makes other changes to ensure that the new manager and the team is successful, or at least, more successful. Marching on as if the only change required is a change in middle-management is hardly ever the right approach.
If things are bad enough that team, or executive, management feels the need to fire the manager, you can be certain that other, more serious, problems are afoot and need to be attended to.
This same type of thing happens in the corporate world and for the same reasons. If sales are down, more likely than not sales management will take the heat and/or get fired rather than the sales reps and rather than senior management looking looking introspectively.
A case in point, from an anonymous correspondent;
"I work for a well-known East Coast based financial services firm and 2006 was a horrible sales year for our division. In December it was announced that our Sales Manager would be leaving and that our department would be rolled into a division that sells products complementary to ours. While none of this seems bad or unreasonable to the outside world, one key element was missing - any kind of real investigation as to why sales were down. The real problems were out-of-date products and horrendous service, problems upper management refused to fix, and therefore a terribly unmotivated sales force. The new management went into the change oblivious to what the issues were and treated us as if all we needed was a lesson in sales, some new laptops and a bigger quota. We don't want to be seen as crybabies or not as "team players", but until some of the underlying problems are addressed we still won't be selling and whose fault is that? I believe it's upper management's fault."
Now, I'm not sure the "management refused to fix" part is 100% accurate as it's likely as not that they were either unaware as to the extent of the problems or were unable (for one reason or another) to remedy them, but still. Even when the ball team's manager gets fired, usually management makes other changes to ensure that the new manager and the team is successful, or at least, more successful. Marching on as if the only change required is a change in middle-management is hardly ever the right approach.
If things are bad enough that team, or executive, management feels the need to fire the manager, you can be certain that other, more serious, problems are afoot and need to be attended to.
Monday, December 04, 2006
De-Motivating Sales Reps
I know you're thinking "Jeez, what a stupid title, who'd want to de-motivate a Sales Rep?" The original title was Why Salespeople Don't Sell but then I realized that there was a whole myriad of reasons that could be true (personal problems, looking for another position, just isn't good at her job, etc) so I decided to focus on the one area you, as a corporate executive, have some control over - keeping reps motivated, or rather not actively de-motivating them.
Now I know it'd be stupid to actively try to encourage a Sales Rep to not sell and of course most de-motivation is inadvertent. It's well known that professional Sales Reps can only be effective when they believe in what they're selling. The opposite of that is true, too: if I don't believe in what I'm selling, I'm either A.) not going to be very good at it or B) I won't sell it at all. So, as noted in the previous post, things happen that cause reps to believe that the things they're supposed to be selling are lies. I clearly won't be trying to get business from that client for a while, because they won't believe what I'm supposed to tell them and neither will I.
Am I going to cut out selling every time the billing goes sideways or some customer service reps have a bad day? Of course not. If that was the case no one would ever sell anything. Accidents happen. If, OTOH, the billing issues, service problems, product failures or brain-deadness of the organization is an on-going and constant thing, you can be damn sure that your reps will shut down (and look for a way out). Again, I'd hope that if these problems were that bad, they'd be apparent to you and you'd have them fixed, however knowing the speed with which a giant organizational ship can be turned, sometimes even knowing the problems isn't enough. And then there are those firms that refuse to address the problems. The situation noted in the prior post (and I would venture to say, most good large corporations) fall into the former category. We know we've got issues; it's just that addressing them takes time and resources. In the meantime, no sales, because the reps aren't willing to throw their reputations under the bus. And note: asking a salesperson to burn their reputation so that you can get some sales is a surefire way to lose reps rather than gain sales.
Back to the issue of those that refuse to address the problem, let me pass along an anecdote from an an anonymous correspondent. This woman works for a firm that produces tradeshow graphics and booths. Now in her business everything is time-sensitive (getting the booth the week after the show is kind of a non-starter), so her clients are very specific as to when and how the products are delivered. The problem is that the boss is very scattered, disorganized and consistently over-promises and under-delivers. So the rep will have an order due, say, December 6th at 5PM. On the morning of December 6th, the boss will clear all the scheduled jobs in order to rush through the one that either he A) promised and forgot about or B) thinks is more important. The rep's job is now late. As before, if this was a once-in-a-while problem, no big deal, but at her firm it happens so often (and no one dares confront the boss) that she can never be sure that the promises she makes can be kept. She can never be sure that the job will be done on time. How can someone sell in that situation?
The bottom line is that, as a rep with any sort of pride, we need to be able to deliver what we promise on a fairly regular basis. That's what our clients count on and that's what our reputations are built on. If we don't believe that our promises will be kept, we won't be able to make them, and that's really all sales is - making a promise we know will be kept. If you can't make that happen for us, we can't sell for you.
Now I know it'd be stupid to actively try to encourage a Sales Rep to not sell and of course most de-motivation is inadvertent. It's well known that professional Sales Reps can only be effective when they believe in what they're selling. The opposite of that is true, too: if I don't believe in what I'm selling, I'm either A.) not going to be very good at it or B) I won't sell it at all. So, as noted in the previous post, things happen that cause reps to believe that the things they're supposed to be selling are lies. I clearly won't be trying to get business from that client for a while, because they won't believe what I'm supposed to tell them and neither will I.
Am I going to cut out selling every time the billing goes sideways or some customer service reps have a bad day? Of course not. If that was the case no one would ever sell anything. Accidents happen. If, OTOH, the billing issues, service problems, product failures or brain-deadness of the organization is an on-going and constant thing, you can be damn sure that your reps will shut down (and look for a way out). Again, I'd hope that if these problems were that bad, they'd be apparent to you and you'd have them fixed, however knowing the speed with which a giant organizational ship can be turned, sometimes even knowing the problems isn't enough. And then there are those firms that refuse to address the problems. The situation noted in the prior post (and I would venture to say, most good large corporations) fall into the former category. We know we've got issues; it's just that addressing them takes time and resources. In the meantime, no sales, because the reps aren't willing to throw their reputations under the bus. And note: asking a salesperson to burn their reputation so that you can get some sales is a surefire way to lose reps rather than gain sales.
Back to the issue of those that refuse to address the problem, let me pass along an anecdote from an an anonymous correspondent. This woman works for a firm that produces tradeshow graphics and booths. Now in her business everything is time-sensitive (getting the booth the week after the show is kind of a non-starter), so her clients are very specific as to when and how the products are delivered. The problem is that the boss is very scattered, disorganized and consistently over-promises and under-delivers. So the rep will have an order due, say, December 6th at 5PM. On the morning of December 6th, the boss will clear all the scheduled jobs in order to rush through the one that either he A) promised and forgot about or B) thinks is more important. The rep's job is now late. As before, if this was a once-in-a-while problem, no big deal, but at her firm it happens so often (and no one dares confront the boss) that she can never be sure that the promises she makes can be kept. She can never be sure that the job will be done on time. How can someone sell in that situation?
The bottom line is that, as a rep with any sort of pride, we need to be able to deliver what we promise on a fairly regular basis. That's what our clients count on and that's what our reputations are built on. If we don't believe that our promises will be kept, we won't be able to make them, and that's really all sales is - making a promise we know will be kept. If you can't make that happen for us, we can't sell for you.
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