Salespeople - you are really the boss, now act like it!
A shift in thinking for salespeople
Lately I’ve been working with sales teams for several clients, and one common area of questions – particularly from managers – is in how the reps are organizing their time, and how performance can be measured other than revenue. These are weighty issues for any organization, but in a difficult economy or with the launch of new products, it’s particularly important to know that you have the right mix and tactics for your sales force.
I’ve shared with them many techniques for maximizing their efforts, and also written here to share these ideas with you. But upon deeper reflection of how I’ve managed my own sales efforts, I realized it comes down to this: you are your own CEO. You do not just work for a company as one of its sales reps, you do not just punch a clock, make some sales calls, process some orders, and fill out your call sheets for your boss. Your territory and accounts are your own little business, and it is up to you and only you to make this a profitable business. This is a radical shift for many sales reps that just view themselves as a cog in a machine and if revenue doesn’t come in, they simply make a bit less commissions.
How do we make that shift? First of all, think about all of the costs associated with your business. Your salary, commissions, benefits (don’t underestimate how much your employer spends on these), your expense reimbursements, office space, telephone, etc. And then, add marketing material, collateral and promotion done. Add this all up for yourself. Then, consider your sales efforts. How much revenue are you bringing in? If it hurts you to go through this math, it hurts your boss worse, trust me. When hiring a sales rep, managers are typically looking for a 3-4X return on investment. Meaning, you should be bringing in about 3-4X what you cost overall, including benefits. Are you generating enough?
Let’s take this a step further. Don’t come in on a Monday thinking about the weekend and getting through the day. Remember, you are your territory’s CEO, this is your business. You need to be motivated to grow it and make it (and you) successful. Now that you understand your cost structures and what revenue you need to generate, you are ready to begin calling on prospects and clients to grow your revenue base.
The message today? Take ownership. Become a dedicated employee that is ready to do whatever it takes for your advertisers and your employer to grow revenue. And, if you feel you already have that winning attitude, think like a CEO and ask yourself, is my territory profitable? Am I doing all I can do? Am I serving the needs of my advertisers effectively? Have I followed up thoroughly enough?
Now go out there and make your business grow!
