Increase in Social Selling Yields No Improvement in KPI's

Posted by Dave Kurlan on Tue, Nov 05, 2013 @ 12:11 PM

Yeah, just in case you didn't get that, I'll lay it out for you.

In a recent mining of Objective Management Group's data from June of 2013, there was a huge increase in the number of salespeople using social sites like LinkedIn, Twitter, Facebook, Spoke, Plaxo and Reachable for selling.  The graph looked like this:

Social Selling Stats

I was impressed with this development...but...there is a huge problem with this.  For all the attention that these sites get, for all the salespeople who now spend their evenings perfecting their profile, adding people to their networks and asking for introductions, what hasn't changed for the better are these key metrics:

  • Calls-to-contact ratio is now over 10:1 - worse than ever before.
  • Contact-to-meeting ratio is worse, not better.
  • Sales cycle length is longer, not shorter.
  • Closing percentages are lower, not higher.

Weren't the social sites supposed to help with those metrics?

Not really.  These sites help salespeople connect - in the slightest of ways.  Do you even know half of the people in your network?  

Your network is like your neighborhood.  You know that they are there, you recognize them as they go by, in their cars, on their bikes or while walking their dogs.  But, you are only friendly with a small percentage of them.  How likely is it that salespeople could improve their effectiveness because of their neighborhood?  Well, the same is true of their networks.  And the online networks don't work any better than the real networks that they belong to in their home towns.  You know the ones I'm talking about.  The chamber, the business networking groups, the peer groups, the resource groups, etc.  In theory, they're all great, but in reality, how often do they produce measurable business from people who aren't your friends?

Networks provide the framework to connect, but nothing happens automatically.  Salespeople must still be effective enough, when reaching out, to convert that connection to a call, meeting, opportunity and sale.  And sadly, we just aren't seeing any improvement in the selling capabilities of the global sales population.  It's almost exactly the same as it was 10 years ago!

It's time that we stop expecting sales to increase as a result of CRM, social selling tools and email.  They are great tools, but none of them replace actual selling, and even worse, all of them serve as distractions, false safety nets and busy work that must be completed before salespeople are caught up and can get on the phone.

Topics: Dave Kurlan, Sales 2.0, twitter, sales metrics, linkedin, KPI, social selling

Subscribe via Email

View All 1,700 Articles

About Dave

Best-Selling Author, Keynote Speaker and Sales Thought Leader.  Dave Kurlan's Understanding the Sales Force Blog earned a medal for the Top Sales & Marketing Blog award for six consecutive years. This article earned a Bronze Medal for Top Sales Blog post in 2016, this one earned a Silver medal for 2017, and this article earned Silver for 2018. Read more about Dave.

Email Dave

View Dave Kurlan's LinkedIn profile View Dave Kurlan's profile

Subscribe 

Receive new articles via email
Subscribe
 to the Blog on your Kindle 

 

 

Most Recent Articles

Awards

Vendor Neutral Certified 100 SalesTech Vendor Objective Management Group

Sales & Marketing Hall of Fame Inductee

MVP2018_badge_winner_SPC

Leaading Sales Consultants 2018

Top Sales Awards 2018 - Individual Blog -  Silver

Top Sales Awards 2018 - Article/Post -  Silver


Top Sales Awards 2018 - Assessment Tool -  Gold

 2016 Top Sales & Marketing Individual Blog - Bronze

Top Sales & Marketing Awards 2015 -  Bronze - Thought Leader

2016 Top Sales & Marketing Podcast - Gold

2016 Top Sales & Marketing Webinar - Gold

Top Sales & Marketing Awards 2015 - Bronze - eBook/White Paper

Top 50 Sales & Marketing Blog 2019

Dave Kurlan Top 50 Sales Influencer 2015

Sales Pro Insider Blog

Top 50 most innovative sales bloggers

Top100Strategic

Top100SalesInfluencersOnTwitter



Hubspot Top 25 Blogs

 

Free Tools

Sales Process Grader

Sales Candidate Assessment Free Trial

Sales Ghost Calculator

Sales Force Grader

Sales Hiring Mistake Calculator

FREE Recruiting Process Grader