Written By: Marissa Levin
In today’s market, there is just no cushion for hiring non-performing salespeople. If they aren’t driving revenue, then they are pure overhead. They are either building your profits or bleeding your profits.
On February 14, 1993 (yes I was married on Valentine’s Day), it appeared that I had finally found my prince, and that I would never have to live by this mantra ever again.
Well I was wrong. While I am still happily married to my prince, I have had to kiss many frogs in my sales organization at Information Experts.
Over the last 14 years, we have gone through at least 15 different sales representatives, sales executives, business development representatives, or whatever the title of choice was at the time, to drive revenue.
And while I am not an expert on Miller-Heiman, Dale Carnegie, SPIN Selling, or any of the other popular sales models, I do know this:
Salespeople will say and do whatever they need to do to convince you that they are the answer to your troubles.
After all, if they can’t sell themselves, how will they possibly be able to sell your product or service?
As our business started to grow, it became apparent to me that I was going to have to expand the sales team to include others than just myself. There was no way I could build revenue by supporting the entire business on my back.
Undoubtedly, the business owner is always the best salesperson. Hiring salespeople who are as knowledgeable, passionate, and emotionally invested in your business as you are is difficult.
But from time to time, a sales representative comes along that truly believes in what you do, can connect with the customer, is everything they say they are, and is highly motivated to bring in sales day after day.
If you connect with a certain number of people, you want to be able to count on closing a designated percentage of those connections. But for many businesses it is much more than a numbers game.
The sales process is much more complex than just being in the right place at the right time, or calling a prospect on exactly the day that they need what you are selling. Sometimes those stars align, but most of the time they don’t.
Finding your special sales ‘prince or princess’ requires several factors including:
In addition, the salesperson must be a match for your organization.
If you are selling a highly consultative solution that requires the sales person to construct a customized solution to a unique need, you can’t hire someone who sells off-the-shelf software, regardless of what their numbers have been or who is in their rolodex.
There is a HUGE difference between a product sale and a solution sale. A product sale is often black and white. You can put definitive parameters around the product. It is easy to do a comparison of one product to another product. A solution sale requires the creation of a strategic, trust-based relationship with a client.
Both have their places in the business world. When you purchase any commodity product, it is a product sale.
The chart below highlights some of the differences between product-based selling and solutions-based selling:
Product-Based |
Solutions-Based |
Product more important than the client |
Client requirements more important than product |
Very pervasive lead base; mostly anyone can be a potential client |
Much more targeted lead base |
Product fits many customers and applications; although there is customization the basic product is the same |
Highly customized solution |
Shorter sales cycle | Longer sales cycle |
Sales person is an order-taker |
Sales person is a highly trusted, valued advisor |
Sales engagement often begins with a product presentation |
Sales engagement begins with a needs analysis |
Considers the end of the sales cycle the conclusion |
Considers the end of the sales cycle an opportunity to learn more about the customer environment |
Over the years, we have made a lot of mistakes with our sales hiring process. We’ve hired salespeople:
We’ve also worked with every conceivable compensation structure – salary plus commission, commission only, salary plus draws, salary only.
As the owner, you can’t help but want to watch and measure their productivity every day. You are banking on them bringing in the revenue.
And the longer they are in the organization, the more money you have invested in them. So the days roll into one another as you anxiously wait for a sale to close. You think to yourself,
“I’ve already invested 6 weeks with them. What if that closed sales is right around the corner? I’ll give him another week.” It’s just as stressful to keep a non-performing sales person as it is to cut them loose.
In today’s market, there is just no cushion for hiring non-performing salespeople. If they aren’t driving revenue, then they are pure overhead. They are either building your profits or bleeding your profits. There is no in-between.
A lot of the decision process to bring on a sales person boils down to intuition.
After you have done your research – you’ve looked at their numbers, you’ve cross-checked their references and contacts, you’ve had multiple conversations about what you need and what they can do – you will have to do some soul searching to see if you are ready to make the leap of faith.
Whether that leap will land you on a lily-pad or in a castle is anybody’s guess, and only time will tell.
Hire better salespeople with our FREE 25 Page Step-by-Step Sales Manager’s Ultimate Sales Interview Guide.
Marissa Levin
As Founder and CEO of Information Experts, Marissa Levin leads IE’s efforts to create…
Join more than 360,000 professionals who get our weekly newsletter.
Self-paced courses from the
world's top sales experts
Live, interactive instruction in small
groups with master trainers
One-to-one personalized coaching
focused on your unique situation