Can a New Sales Manager Be a Difference Maker?

Posted by Dave Kurlan on Wed, Nov 09, 2022 @ 06:11 AM

ghows-WL-07fdc7aa-d195-43a0-9c83-958193378009-8ef6bef7

For the longest time, my local Panera in Westboro Massachusetts was awful.  Like phone company awful. And cable company awful.

The problem was chronic.  The half and half was always empty.  The supplies of cup insulators and trays were nowhere to be found. The wait at the drive-through was intolerable.  Online orders were never ready at or even close to the time they provided for pickup.  Online orders were routinely screwed up.  

And then Panera wasn't a problem anymore.

Over the course of a few weeks in the summer of 2022, everything changed and they became remarkably reliable. What happened? 

They got a new manager! I'm guessing (I did not interview her) the new manager prioritized KPI's and accountability, hiring people who had attention to detail, who were committed to customer satisfaction, and who took personal responsibility.

Could companies that wanted to experience a similar uptick in sales performance achieve that by replacing their sales managers?

Maybe.

it would depend on with whom they replaced the sales manager.

I speak with so many sales leaders who tell me about the four sales managers they went through in the last two years.  I speak with CEOs who tell me about the three sales VPs they went through in the last eighteen months.

There is tremendous pressure to fill these roles because your team's performance will suffer without someone at the helm.  Or is that misinformation?  How much worse could a team perform than how they perform under a sucky sales manager?

Well thought-out role requirements, patience, and being uncompromising are important ingredients to landing the ideal sales leader and/or sales manager.  When companies try to quickly fill an opening and as they often do, make a mistake, they have essentially doubled the amount of time that it takes to put a competent leader in the role.  Had they adhered to the requirements, been patient enough to continue recruiting and interviewing until a candidate met the requirements, and committed to not compromising, it could take an extra month or two, but it will be well worth it.

The problem is that most companies don't really know how to properly set requirements for these two roles, don't have an effective way to ascertain that the sales management and/or sales leadership candidate has the required skills to meet the requirements, and aren't disciplined enough to invest the time to get it right.

I write about Objective Management Group (OMG) a lot, and especially OMG's role-specific, accurate and predictive Sales Candidate Assessments.  I rarely, if ever write about OMG's Sales Management Candidate Assessments or its Sales Leadership Candidate Assessments.  As I mentioned in this article, sales managers must spend the appropriate amount of time and be effective at coaching up salespeople.  How would anyone interviewing a candidate know the candidate was capable of this without the power of OMG's accurate insights?  Request a sample of the sales and/or sales leadership candidate assessments.

Other than actual experience, there are three primary differences between sales managers and sales leaders:

  1. Sales Managers are tactical (sleeves rolled up) and should focus on coaching while Sales Leaders are strategic and should focus on leadership (sleeves rolled down).  
  2. Sales Managers have salespeople reporting to them while Sales Leaders have Sales Managers reporting to them.   
  3. Sales Managers tend to earn in the $125,000 to $175,000 range while Sales Leaders tend to earn in the $250,000 to $350,000 range (US Dollars).

There are a lot of people carrying a Sales VP title who are actually performing the role of Sales Manager.  There are also some over-qualified Sales Managers who compensate for under-qualified and overwhelmed Sales VPs.  If companies could get these two roles right we would see an historic uptick in sales performance.

As part of OMG's Sales Team Evaluations, we conduct role analyses and can show you if you have the right people in the right roles and, if not, which roles they should be in.

OMG also conducts a pipeline analysis, a sales process analysis, a growth opportunity analysis, a sales cycle length analysis, a selling capabilities analysis a motivational analysis, a Sales DNA analysis and so much more.  Request a sample of the SEIA.

OMG has the greatest suite of tools for sales selection and development since sliced Panera Bread.  Would it help you to use OMG?  Contact us here.

Topics: Dave Kurlan, sales process, sales leaders, sales pipeline, sales managers, omg, OMG Assessment, panera, sales team evaluation

Bob Chronicles Part 6 - When Salespeople Suddenly Make Things Your Problem

Posted by Dave Kurlan on Thu, Jan 20, 2022 @ 07:01 AM

airplane

Both AT&T and Verizon have delayed activating their 5G networks near airports because it might cause interference with airplane guidance systems on certain planes, like Boeing 777s.

Forgive my cynicism, but how long have the airlines known about that?

They have probably had years to prepare for this deployment and update their own technology but didn't and now, at the eleventh hour, they sounded the alarm and tried to make it the carriers' problem.  

Can you think of any selling scenarios for which this would be a good analogy?  I can!

Scenario 1:  Your salespeople were scheduled to begin using new technology or even to take an OMG Evaluation and the night before the deadline you start hearing all the reasons why they haven't been able to set it up, enter their data, get online, complete the project, turn it in, upload, download, unload, or do it correctly and all of a sudden it has become your problem.

Scenario 2: Bob was informed 2 weeks ago that an important customer proposal would be due by the end of business today. At 4pm, Bob was in a panic, screaming that he needed pricing in the next 10 minutes or you'll lose the business.  Suddenly it has become your problem.

Scenario 3: Recently, an opportunity became closable and yesterday was the day to get it closed. Yesterday, for the first time, Bob learned there was another competitor who proposed an alternate solution that the customer liked and at a lower price. Bob must respond to this situation today and needs you to be on the call.  Suddenly it has become your problem.

Scenario 4: A decent sized opportunity has been stuck in the pipeline for weeks and Bob has assured you that despite the lack of movement it is still good to go. Your Spidy-sense suggests that it's anything but good to go and you urge Bob to follow up and you share your strategy with him.  Bob, who always knows the best way to proceed, resists and you know that if this opportunity sits another day it's as good as gone so if anyone is going to follow up it isn't going to be Bob.  His resistance to following up has made this your problem.

Scenario 5: Bob tells you that he has a huge opportunity but needs references before they will meet with him.  He doesn't have any good references of his own and wants to use your references so now this has become your problem.  Watch this 2-minute video rant to see how I feel about premature requests for references.

We know Bob is a weak salesperson and he isn't alone as half of the entire population of salespeople are very Bob-like in their behavior.  I'm sure you can think of a dozen more examples and I hope you will add them to the comments below.  I've written about Bob before and you can "catch up" here:

Part 5

Part 4

Part 3

Part 2

Part 1

Over the nearly 2,000 articles on this Blog we have discussed evaluations, assessments, sales performance data, consultative selling strategies, examples, closing, prospecting, qualifying, advanced selling tactics, coaching, recruiting, accountability, pipeline, sales process and more.  However, we have rarely, if ever, talked about the importance of being organized, proactive, detailed, prepared, and ahead of schedule to avoid the problems that sabotage so many salespeople.

I mentioned that Bob is among the weakest 50% of all salespeople.  You can see the data here.

You can avoid hiring salespeople like Bob by using the most accurate and predictive sales candidate assessment on planet earth.  You can check that out here.

You can evaluate your existing sales team to learn whether you have a team full of Bobs or only some Bobs.  You can learn more about that here.

Finally, if you want to see samples of our sales, sales management, sales leadership insight reports, sales team evaluations, or sales, sales management and sales leadership candidate assessments, click here.

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Topics: Dave Kurlan, sales pipeline, sales tips, sales calls, closing deals, time management, sales assessments, pipeline management, sales team, organizational skills

Top 10 Sales and Sales Leadership Articles of 2021

Posted by Dave Kurlan on Tue, Dec 07, 2021 @ 10:12 AM

top-10-articles

There are two articles that I post each and every December.  This is the first - the top articles of the year - and later this month I will post my annual Nutcracker edition which I have been doing since 2011.

There are several criteria for choosing the top articles of the year, including, but not limited to:

  • Views (Article)
  • Popularity (likes on LinkedIn and Twitter)
  • Engagement (comments to the article, via email, and on LinkedIn)
  • Personal (my favorites) 
  • Value (insights for the community)

Some of the criteria is subjective and some is measurable.  I believe value is most important, although it might not be reflected in views or likes, and then engagement.  I think views are less significant because people could read the article but not like it.  Popularity is a good barometer but not everyone sees what is posted on LinkedIn and Twitter and the time of day influences that.  So with all that said, here are the top 5 Sales Articles and the Top 5 Sales Leadership articles of the year.

Top 5 Sales Articles (in no particular order)

  1. 2 Questions That Will End Every Request for a Better Price
  2. Salespeople Will Close 50% More Business By Changing This One Thing They Do!
  3. Crappy Salespeople and Lack of Urgency Alignment  - The Bob Chronicles Part 4
  4. 31 Conditions That Predict Your Sales Opportunity is in Trouble  
  5. Data - Top Salespeople are 631% More Effective at This Than Weak Salespeople (Bob Chronicles - Part 3) 

Top 5 Sales Leadership Articles (in no particular order)

  1. How to Use Buckets to Improve Sales Performance and Coaching
  2. How Pitchers Fielding Practice is Exactly the Same as Salespeople Role-Playing 
  3. Startups Almost Always Get The Sales Thing Wrong 
  4. Why I Believe We Should Blow up the Business Development Rep (BDR) Role in Sales  
  5. MUST READ: Are Assessments as Evil as the Persona Movie Suggests? 

The Most Viewed and Commented article was "Salespeople will close 50% More..."

My personal selection was a tie between my favorite for pure fun - Pitchers Fielding Practice - and for insights - the article on Evil Assessments.

There you have it - the top ten articles from 2021.  Which one is your favorite?

Image copyright 123RF

Topics: Dave Kurlan, sales process, sales leadership, sales pipeline, sales tips, sales assessments, personality assessment, best sales management articles, best sales articles

Salesenomics - Many Sales Organizations Are Stuck in the 1980's

Posted by Dave Kurlan on Mon, Nov 22, 2021 @ 07:11 AM

1980s

Today is moving day for Objective Management Group.  When we first toured our new space, John Pattison, OMG's COO said, "It looks like something the 1980's barfed up!"  I'm happy to report that thanks to big-time help from PENTA Marketing CEO Deborah Penta, our new space is bright, cheery, modern, energetic, open and functional! 

Thinking about the 80's got me thinking...

When was the last time you saw a black and white television or even a console color TV?

How about an electric typewriter?

Or a car that didn't have anti-lock brakes?

You would have to return to the 1980's to see those things and when it comes to their operations, some sales organizations are still in the 1980's.

For example, check out these statistics from OMG's evaluations of 30,000 sales teams and more than two million salespeople.

31% of companies don't use CRM.

44% do not have a way to track the opportunities in their pipelines.

89% do not qualify their proposals.

39% do not track whether their salespeople are under/over quota.  

54% do not track win rates

51% do not know their average order size

74% do not track the length of their sales cycle

40% do not track the number of opportunities in the pipeline

65% do not track the quality of the opportunities in the pipeline

35% do not track margins!

90% do not track the number of meetings required to close

96% do not track the cost of a sale

Unfortunately, there is more, but these are the head turners and it makes me wonder...

It's been widely reported for years now, that fewer than 50% of salespeople are hitting quota.  From the data shown above, we know that 39% of companies don't even track that.  What percentage of their reps do you think are hitting quota?  My guess is less than 20% (think 80/20 rule) so how much worse would it be if those companies were included in the data?  I'm guessing we would learn that fewer than 33% of all salespeople are hitting quota.  That's much closer to what I hear from companies every day.

We are no longer in the early stages of the information era.  Data is king so how can companies operate without this crucial information?  Even prior to the dawn of the information age, companies found ways to track this information, so why would some choose to ignore this today?

I'm guessing that most of the companies in question are small with less than $20 Million in revenue and fewer than 8 salespeople.  I assume that they are not tech companies and probably come from older industries, like building materials, small manufacturers and small industrial distributors.  But I'm just guessing.

You can easily track everything you should be tracking with the right CRM application.  OMG has an integration with what we believe is the best sales-specific CRM application in the world, Membrain.  It's user-friendly, ideal for complex sales, easy to customize, produces the most important data and reporting out of the box, and you won't have to nag your salespeople to use it. And for fans of Baseline Selling, there is a BLS specific edition of Membrain too.

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Topics: Dave Kurlan, sales pipeline, crm, omg, KPI's, objective management group, sales team evaluation

Sales Forecasts Do Not Have to Be as Wrong as Fortune Cookies

Posted by Dave Kurlan on Fri, Oct 29, 2021 @ 12:10 PM

Forecast

There has been much talk in the news about forecasts - and while most have been wrong they are still more accurate than Fortune Cookies!

Thanks to satellites, computer modeling and doppler radar, weather forecasts are more reliable than ever before.  Yet despite those advances, they are still guessing - educated guesses to be sure - but guessing about what will happen, when it will happen, and where it will happen.  I live in central Massachusetts and between late November and early April, most winter storms track up the east coast and when a storm tracks a few miles east, west or south of the New England coastline it determines whether it will bring, rain, snow, ice or a combination, and if mostly snow, how much snow to a given city or town.  They get it right - a lot - but they get it wrong often enough too.

We have also seen 19 months of COVID-19 case, hospitalization and fatality predictions which have been totally and consistently wrong.  Two weeks to stop the spread has turned into vaccine and mask mandates that show no sign of going away, especially when they treat each new variant like the pandemic is starting anew.  

We get economic forecasts, employment forecasts, and of course the most famous of all forecasts during October, political polling.  We know the polls are are always off by enough points to get the results wrong.

With all of these forecasts having the chance to be completely wrong, it makes me wonder about the way sales leaders and CEOs react to sales forecasts.  After all, should we expect anything different when it comes to sales?

For the longest time, sales forecasts were expected to be wrong because the salespeople themselves were the ones making the predictions.  That's like us predicting the weather.  "Oh, we're scheduled to go to the beach tomorrow so it has to be nice outside."  It's the equivalent of, "I've had some great conversations and I need one more deal to come in this quarter so it's looking good!"

Then, CRM's began to include calculated predictions to make the forecasts more accurate.  The calculations were based on how much of the sales process had been covered to date instead of how a sales rep felt.  It was supposed to improve the accuracy of the forecasts but it didn't because the percentage of sales stages completed is only as good as the sales process itself. To this day, most of the sales processes I review are missing entire stages, missing key milestones, or sequenced so poorly that they aren't really processes at all but are more like a bunch of loosely connected ideas about selling.  

I have personally reviewed hundreds of sales processes and Objective Management Group (OMG) has evaluated the sales teams of more than two million salespeople.  From that experience, I can tell you a few things with authority:

Overall, only 33% of all salespeople have the competency Sales Process as a strength or, if we flip that around, 67% have it as a weakness for all the reasons I mentioned in the paragraph above.  The good news is that 83% of the best salespeople in the world have it as a strength while only 6% of the weakest salespeople in the world have it as a strength.  The best salespeople are 1383% more likely to have sales process as a strength!

Related to that, but even more problematic, is CRM.  OMG has a sales competency called Sales Technology and CRM is the primary component of that.  Only 18% of all salespeople have it as a strength, 51% of the best salespeople have it as a strength, and only 4% of the weakest Salespeople have it as a strength.  Even though the scores are worse than for Sales Process, the best salespeople are still 1275% more likely to have it as a strength.

THE SINGLE THING that has the highest predictive accuracy is a properly built sales scorecard.  Not a marketing scorecard where you score how close an opportunity is to your sweet spot, but a scorecard that objectively - not subjectively - scores the opportunity itself based on six to seven very specific conditions.  While the conditions are different for every company and can vary by sales team or offering within a company, they can usually be selected from a group of no more than thirty-five possible conditions.  Then they must be prioritized, weighted and tested before being rolled out to the sales team.

But even after building it, I still see companies with inaccurate forecasts because of their inconsistent use of the scorecard.  Unless the scorecard becomes a required milestone in the qualification stage of the sales process, nothing will change.  Each opportunity must achieve a minimum score in order for a salesperson to proceed to a formal quotation or proposal and if it doesn't achieve that score, the opportunity should not be pursued.  That is a tall order for salespeople, frontline sales managers, and their sales leaders.  And when an opportunity does meet the required minimum score, it should be pursued with all available resources because that opportunity is winnable.

There is a time-tested and successful process for building a predictive sales scorecard and its success transcends industries, offerings, territories, audiences and verticals.  The question is, will you ask for help in getting a scorecard built, or will your forecasts continue to be as inconsistent as pandemic predictions have been?

Need help on this?  Send me an email or reach out over LinkedIn.

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Topics: Dave Kurlan, sales pipeline, sales forecast, pipeline review, sales scorecard

Most Sales Processes, Funnels and Pipelines are How Old?

Posted by Dave Kurlan on Wed, Sep 29, 2021 @ 16:09 PM

Have you ever conducted a Google or Amazon search for one thing only to be presented with search results that were completely different than what you were looking for?

I was looking for an image of a sales funnel and couldn't believe what I found!  My search results can be found here.  Can you believe all of those images of sales funnels?  Look them over and see if you can recognize the  problem with all of them.

There were a number of marketing funnels included on the page but I wanted to see the images for sales funnels. 

The first one I found had the title, "Sales Funnel Stages."  It had six stages and none of the stages were sufficiently defined so as to determine where a prospect is in the sales process or for forecasting whether the opportunity will close and when it will close.  The six stages were:

        1. Awareness
        2. Interest
        3. Consideration
        4. Intent
        5. Evaluation
        6. Purchase

I'm sorry, but that is not a predictive sales funnel.  Awareness is a marketing stage.  Purchase is post-pipeline.  Evaluation is just like consideration.  Intent - is that intent with us or intent in general?  This funnel is for an optimistic sales leader who wants things to look good but I guarantee that the win rate out of this funnel is brutal.

I found a variation of that funnel without the evaluation stage and with intent replaced by decision.  In other words, they are evaluating!

The second funnel I found had the title, "Sales Funnel."  It was four stages so that seemed promising until I saw the stages:

        1. Awareness
        2. Interaction
        3. Interest
        4. Action

More awareness.  Interaction - you mean like a conversation to get them interested?  And once they were interested they were going to take action?  Wow.  I'm sure that has a high win-rate.  Not.

Then there was a variation of that funnel where Interest is replaced by Decision.  So we go from a conversation to a decision.  It's very transactional, isn't it?

Then I found a "Detailed Guide to Building a Sales Funnel" and it even had descriptions of its five stages:

        1. Unaware
        2. Lead
        3. Prospect
        4. Customer
        5. Fan

In this funnel, they go from lead to prospect to customer so the only part of the sales funnel that has anything to do with selling is stage 3 - prospect!  Guess what their win rate must be?  This is an incorrectly named marketing funnel!

Then I found a three-stage six-part funnel that had:

        1. Awareness
          1. Visit
          2. Lead
        2. Consideration
          1. Marketing Qualified Lead (MQL)
          2. Sales Qualified Lead (SQL)
          3. Opportunity
        3. Decision
          1. Customer

It appears more complex than the funnel before this one but it is essentially the same thing with the same problem.  The entire sales part of the sales funnel was 2.3 - opportunity.

It was only a matter of time before I found a graphically modern and pleasing version of the original sales process, AIDA:

        1. Awareness
        2. Interest
        3. Decision
        4. Action

Now it should make sense to you.  Nearly every single pipeline, funnel and sales process shown on that page full of funnel images is based on this old, antiquated AIDA process that was developed by St. Elmo Lewis in 1898.  That's right. In the 19th century, five years before Henry Ford rolled out the first Model A from his plant in 1903, St. Elmo Lewis gave the world a sales process that is still being used by most companies.

So what should a modern funnel look like?

It should have just four stages.  Any additional stages would be for marketing and if it's marketing-related it doesn't belong in the sales funnel!

The funnel should mimmic the sales process.  The stages don't necessarily need to have the same names but the stages should represent the same milestones.

The funnel or pipeline should trace the evolution of a sales opportunity as it moves from suspect to prospect to qualified opportunity to closable opportunity.

          1. Suspect - you have a first meeting, call, or video scheduled (3 milestones) based on discovering that they have issues that you can address
          2. Prospect - they have a compelling reason to buy what you sell and buy it from you (5 milestones)
          3. Qualified - they are thoroughly qualified to do business with you (7 milestones)
          4. Closable - they have given you a verbal and you are waiting to formalize the agreement (3 milestones)

If you want to see what a funnel should look like when you bring it to life, in the context of a full and comprehensive sales process, then watch this video.  It has a run-time of ten minutes.  I have shared this video before so if you have seen it and don't need to see it in the context of this article, feel free to skip past.

You heard and saw in the video that the only complete sales process with a built-in methodology is Baseline Selling.  Baseline Selling is pre-integrated and easy to further customize in the Baseline Selling edition of Membrain, simply the best sales-specific CRM application on the planet.  Check it out here

The danger of having your funnel rooted in 120-year-old theory becomes even more troublesome when your sales training and coaching is based on this and it is this which is integrated into your CRM.

It should be crystal clear by now that most of what you learn about sales today, is no more relevant, thorough, fresh, on-point or correct than the sales process served up by St. Elmo Lewis in 1898.

Topics: Dave Kurlan, sales process, sales pipeline, crm, sales funnel

How To Stop Sucking by Understanding and Changing Your Sales Metrics

Posted by Dave Kurlan on Mon, Aug 30, 2021 @ 09:08 AM

metrics

[Note - this article was written in August of 2001 so while the first paragraph is outdated, it still sets the stage for the sales part of the article which begins with the third paragraph.]

The CDC is back focusing on COVID case numbers.  Earlier this summer, Massachusetts was reporting fewer than 100 new cases each day but more 1,000 new cases per day have been reported for the past two weeks.  That particular metric supports the narrative that the Delta variant is spreading but it does not tell the real story that allows us to assess our risk.  

 

 

For the real story to materialize, we should know how many of those 1,000 cases occurred in vaccinated people, how many vaccinated people with COVID have symptoms, and how many of those cases required hospitalization.  Case numbers support that there is new spread, but a detailed breakdown would help us to understand our reality.

The exact same thing is happening with the sales numbers reported by most companies.

Suppose a company reports that its win rate is 24%.  Does that tell you anything other than they suck?  It doesn't tell us how badly they suck, why they suck, how long they've sucked, who sucks, or whether there is any hope for them to stop sucking.  And even if their win rate is double the 24%, the same questions apply. Let me explain.

How badly they suck depends entirely on the stage in the sales process from which the conversion is being measured.  Win rates are not calculated consistently so a 24% win rate could mean five different things:

  • Proposals to closed - if they are only closing 24% of their proposals they are demonstrating the highest possible degree of suck.
  • Qualified to closed - if they are closing 24% of their qualified opportunities they suck at qualifying!
  • Prospects to closed - if they are closing 24% of the opportunities that move past a first meeting, that could be an acceptable rate.
  • Suspects to closed - if they are closing 24% of the prospects they get first meetings with that is something to brag about.
  • Leads to closed - if they are closing 24% of their leads they are freaking awesome!

Every company handles this conversion differently but in my opinion, proposals to closed provides incomplete information because we don't know how many companies they were competing against.  Prospects to closed, suspects to closed and leads to closed are inferior because we don't yet know if the opportunities are thoroughly qualified. Therefore, only qualified to closed provides the intelligence to determine how badly they suck.

Knowing why they suck requires that a sales process includes all of the required milestones and the milestones have also been integrated into their CRM.  We need to know how many qualified opportunities failed to meet all of the company's criteria/milestones be be fully qualified.  If you want to know which milestones should be included, watch this ten-minute video on the most popular sales processes and methodologies.


In order to know how long they've sucked, look at win rates over time using the exact same criteria that is being used today for comparison.  What was the win rate last quarter, and each quarter before that?  Are we trending up or down or is it the same as it was earlier in the timeline?

Who sucks? Unless your reporting includes win rates by salesperson, you won't have the ability to see how you arrived at 24%.  You probably have someone who is closing closer to 50% and there is probably someone closing closer to 10%.  Why is that?  What are they each doing that is so different?  

Is there any hope that they can improve?  This is the most important question of all.  The other metrics we were discussing report lagging data and won't be of much help.  Improvement must be forward looking and the best forward looking metrics have nothing to do with win rate and everything to do with the pipeline.  Is it larger than last quarter, prior quarters and prior years?  Do the opportunities in the pipeline have a larger value than over the same period of time last year?  Is the quality of opportunities in the pipeline higher than it was over the same period of time last year? 24% of 200 opportunities is better than 24% of 100 opportunities.  24% of $2 million is better than 24% of $1 million.  And if the quality is better that would suggest that the win rate will be better than 24%.  That is one way to answer the hope question. 

The other way to measure hope is to conduct an OMG (Objective Management Group) evaluation of your sales team. OMG's evaluation is unique in that it will very clearly show why salespeople aren't selling more, the specific sales competencies where the gaps are, who could be selling more, how much more, the required coaching and training to get them there, how long it will take to get them there, and so much more. Most companies feel that the money spent on an OMG Sales Force Evaluation is the best money they ever invested in sales.

You can get a sample of an OMG Sales Team Evaluation here (checkmark next to sales force eval).

You can see data on the 21 Sales Core Competencies here.

You can learn more about a sales team evaluation here.

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Topics: Dave Kurlan, sales process, sales pipeline, sales backed by science, sales metrics, sales milestones, sales team evaluation

FOX News and CNN Can Help You Conduct Better Sales Opportunity Reviews

Posted by Dave Kurlan on Mon, Aug 17, 2020 @ 13:08 PM

cnn-fox-news_list

I don't really care whether or not you like, approve of, tolerate, or agree with President Trump and/or the issues he stands for.  Doesn't matter to me.  And you shouldn't care what I think of him or which side of that invisible center line I am on.  Shouldn't matter to you.  While this is an article about coaching salespeople, I am going to use the current divisiveness as an analogy to help you better understand how sales leaders can have a huge impact on your salespeople.

If you're on the side that hates the President and can't wait for him to leave office when Biden gets elected, you might be watching CNN.  They will report on and amplify anything that Trump does that can possibly be ripe for attack.  They will rarely, if ever, share any of his accomplishments, wins or achievements and even lie to make sure he is constantly vilified.  What fun for his critics!

If you're on the side that loves, likes or tolerates the President and you prefer that he be reelected instead of Biden, you might be watching FOX.  They will report on and amplify anything that Trump does that can possibly be ripe for praise.  They will rarely, if ever, share his disappointments, defeats or mistakes and even lie to make sure he is praised (except on their hard news shows which do tend to go right down the middle).  What fun for his fans!

OK, so that should have been detached and objective enough to prevent anyone getting upset with me so far.  Hooray for me because that isn't easy these days.  But you ask, what does all this have to do with coaching salespeople through an opportunity review?

There are two sides to every story.  Trump is rarely as horrific as CNN makes him out to be and rarely as awesome as FOX makes him out to be.  The truth is always somewhere in the middle. The same holds true for your salespeople when you ask them to tell you about a current opportunity and why it might be in a stage of the pipeline that it's been stalled in for weeks or months.

Your salesperson might explain what a great opportunity this is, how well they have connected with their contact, the good feedback they have received from their conversations, why they expect movement in a week or two, how this is just the tip of the iceberg because there's more where this came from, and they are extremely confident.  Like FOX talking about Trump.

You look in your CRM application and observe that critical milestones have not been met, it's been stuck in stage 2 for 60 days, the salesperson still has not met with the decision maker, doesn't know the compelling reason why they would switch to your company, and noted that their company has been buying from the same incumbent for 8 years yet the salesperson hasn't uncovered a single negative issue about that incumbent.  You begin to think that this is about getting a lower price from you to keep the incumbent honest.  You conclude that this is a terrible opportunity.  Like CNN talking about Trump.

As with the coverage of Trump, an opportunity review with a salesperson is often two tales about the same prospect.  The salesperson's version compared with yours.  FOX compared with CNN.

This is very important!  If you begin to review an opportunity without that difference in mind, without looking for holes, without looking to challenge them, without looking to invalidate or dismiss their optimism, it will be a wasted review.  Your job is to help your salespeople to better understand their own next steps to either move the opportunity forward, justify leaving it where it is, or abort the opportunity altogether.  Often times, your salespeople are way too close to the opportunity to see it clearly and objectively.  This will be especially true when your salespeople don't have enough opportunities in their pipeline, causing them to be even more attached to and hopeful for the few opportunities they do have.

Your salespeople don't know what they don't know and can't do what they can't do.  That's why you're there!

Politics is the business of where different parties stand on various issues.  It's supposed to be about healthy debate.  It's not supposed to be as divisive and nasty as it has become.  Similarly, a solid, thoughtful, helpful opportunity review should be a healthy debate about the opportunity.  The salesperson should not be attacked or made to feel bad.  All criticism should be constructive.

Are you conducting productive and effective opportunity reviews with every salesperson every day?  If not, then today is a great day to start!

Topics: Dave Kurlan, Sales Coaching, sales pipeline, crm, sales opportunities, fox

15 Things Salespeople Must Do to Make up for a Lackluster 2nd Quarter

Posted by Dave Kurlan on Wed, Aug 12, 2020 @ 09:08 AM

risk

Last week we moved our son into his dorm to begin his freshman year of college. The college President's opening remarks were virtual, so we joined the Zoom stream from our hotel room and listened in.  He had some really useful things to share with the new freshmen and while his thoughts were targeted to the students, they apply quite equally to salespeople.

Among the points he made, these seemed to be just as applicable to salespeople:

  • Show up
  • Do the Work
  • Try approaches that you haven't previously attempted
  • You will be uncomfortable but do it anyway
  • Ask for help
  • Ask lots of questions
  • The effort is even more important than the results
  • You will be pushed
  • Push yourself
  • Take responsibility
  • Show tolerance of people whose beliefs and opinions are different than yours
  • Wear your mask and socially distance

Translating his hopes and expectations to sales, here are 15 things salespeople could do that they may not have been doing, comfortable with or effective:

  • Proactively prospect - push yourself - 34% of salespeople do not prospect consistently
  • Live in CRM - be considerate of those in management who need to see what's in there in real time - 90% of salespeople do not live in their CRM applications
  • Fill the pipeline - the more that's in there the more will close - only 35% of salespeople maintain a full pipeline
  • Follow the sales process - it's there for a reason - only 30% of salespeople have and follow a sales process
  • Be more consultative, listen more and ask more good, tough, timely, effective questions - this is how you differentiate - - only 27% of salespeople listen and only 25% ask enough questions
  • Thoroughly qualify - stop wasting your time - only 30% of all salespeople do this
  • Work harder to build solid relationships - get past rapport and be authentic - Only 52% of salespeople succeed at this
  • Learn your video platform inside and out - stop being so ignorant - only 30% have done this
  • Attempt to schedule all of your sales calls virtually over video - what are you waiting for?  Only 49% prefer video to phones
  • Have a more tidy and professional background or use a non-distracting virtual background for virtual selling - get with the program - 40% are using virtual backgrounds
  • Take an interest and show that you care - don't be so transactional 
  • Be a problem solver - not a presenter
  • Stop focusing on price and sell value - it's time - Only 40% are strong at selling value
  • Stop giving yourself a pass because you aren't comfortable - suck it up.

Baseball, basketball and hockey recently restarted  - with changes.  The changes affect the players, coaches and fans but that's the way it is right now.

We must adapt! 

You might feel that there is risk associated with doing something you haven't done before.  None of these things will get you killed or even hurt, so unless you believe there is risk in having better quality sales conversations with your prospects, there isn't any risk.

There should be a greater urgency to get our products and services sold to make up for the lackluster second quarter that many companies experienced.  There should be even more urgency to make up for the personal dip in commissions from the same time period.  And if you took your foot off the gas during March through May because you were uncomfortable asking people to buy and pay then you have only 4 months to make up for your self-inflicted second quarter disaster.

Take responsibility.  

Show the world what you are capable of, stretch, do the one thing you've never done before in sales, and start right now!

Image Copyright 123RF

Topics: Dave Kurlan, Consultative Selling, sales process, sales pipeline, Relationship Selling, selling value

The Real Reason Why So Many Salespeople are So Bad at Selling

Posted by Dave Kurlan on Mon, Jun 08, 2020 @ 12:06 PM

construction

Would you like to start a business?  Can't figure out what business to start?  I have three ideas for you:

In the past four weeks, I have tried and tried and tried to get a glass company to replace the tabletop for a large outdoor patio table after the glass exploded in an early April storm.  Four weeks later, we still don't have the glass replaced.

One of our garage door openers needs to be replaced because in every five out of six attempts to lower the door, the opener sends it back up again.  After calling six dealers in four weeks, I have not received a single return call. 

We have a double swinging gate at the bottom of our driveway and the electronics are twenty years old and need to be updated.  After four weeks of calling dealers I have not received a single return call.

In case you're thinking that it must be me, I have had success getting plumbers, stone masons, electricians, carpenters, power washers, and painters to the house but those other three categories are the outliers.  Start one of those three businesses today and you'll make a fortune!

In today's article, I will explain why this problem exists and how it relates to a bigger problem in sales.

The people who don't return calls are usually technical in nature.  The garage door openers, gate electronics, and glass people are all entrepreneurs running small businesses and their expertise is not sales or customer service, it's their technical subject matter expertise.  

By and large, "salespeople" like these make up a large portion of the bottom 50% of all salespeople.  They are passionate about what they do, know their product, can answer technical questions, are experts in their industry but don't have a clue about what it means to sell.  They believe that answering questions, explaining their products and producing a quote or proposal constitutes selling.  They have little concept of sales process, sales posturing, messaging, positioning, listening and asking questions, qualifying, or closing, and even less on how to do any of that effectively.  They don't know what they don't know.

A good example of this can be seen at Objective Management Group's (OMG) Statistics site.  Navigate to the site, click the "tell us what industry you are in" button, and expand Construction (23).  Select 238 or Specialty Contractors and then scroll through the 21 Sales Core Competencies.  You'll notice that the industry specific scores are consistently lower than the average scores for all salespeople.  Interestingly, the biggest gap is in the Hunting Competency where you will see that contractor salespeople score 18 points lower than the average for all salespeople.  The reality is that they do little hunting, getting their new business from existing customers and RFQ's.

The good news is that after senior management makes it clear that those in a selling role will be expected to proactively sell, rather than explaining and quoting alone, things do improve.  While some in the role are not well-suited for selling, with exposure to sales process, strategy, tactics and methodology, most will improve, become more comfortable, and more effective.  After an evaluation, introduction to the company's new formal sales process, and appropriate sales training, most of these people become more comfortable, more aware, and as a result, more effective.

Image copyright 123RF

Topics: Dave Kurlan, sales process, sales pipeline, sales effectiveness

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Best-Selling Author, Keynote Speaker and Sales Thought Leader,  Dave Kurlan's Understanding the Sales Force Blog earned awards for the Top Sales & Marketing Blog for eleven consecutive years and of the more than 2,000 articles Dave has published, many of the articles have also earned awards.

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