Did you know that hiring a sales rep can cost on average $115,000? A study conducted by DePaul University in 2012 found that the average total cost to hire a new sales rep is $115,000. This has probably grown.
On average it costs $29,000 to hire someone. This includes things like job posting and recruiting costs, salary costs for all interviewers and travel. Additionally, it costs $36,000 to train an employee. Time spent by the training staff (or fellow reps), management and the employee, as well as any additional resources and training courses cost a lot of money.
Here are a few basic, but important best practices that I’ve found over the past 15 years...
#1 Always Recruit
EP Huddle #49
Sales training is an ongoing function that every organization needs to commit to from the day it begins selling in the market. But, too often we find that companies stop their training programs after a new employee has spent 30, 60 or 90 days in the role. And, according to a 2013 DePaul University study, 60% of firms stopped the sales onboarding and training process after only 30 days after hire. Explore Study
Over the past 15 years, inside sales has become a more effective and much more productive method of getting a service or product to market. Sure, field sales still has its place in the workforce (we believe field sales is critical too), but inside sales has many benefits that field sales does not. A) More prospects can be targeted in a day by inside sales. B) Presentations can be given over Skype, Web-Ex, etc. C) Cost of customer acquisition is lower. And...
D) Training can be done in real-time, and is more consistent with an inside sales team than with a team of field reps spread across a geographical region. Here are 6 areas to focus on when thinking about your inside sales training program.
As a team:
Who is responsible for sales training in your company? What is your philosophy? Are key employees dedicating daily attention to the sales team to help them develop and continue to improve?
Inside sales mirrors athletics in the sense that practice makes perfect, and key behaviors are instilled in people over time. Good performance relies on consistent coaching.
EP Huddle #48
Staffing an inside sales team is a challenging, yet critical aspect of building out a winning organization. While many companies think it's easy to hire a salesperson (and maybe it is), hiring the right person isn't always simple. In fact, I've spent 15 years hiring, training and coaching inside salespeople, and it's always a blend of science mixed with some level of learned intuition.
Here are three fundamental steps that will guide you towards effective hires and proper staffing decisions.
As a team:
Talk with your leadership team and determine a plan for how you can consistently recruit, even if you're not currently looking to fill a headcount. Also discuss what the key personality traits are for your team. If you aren't sure about the personality traits and attitudes that are required for an effective salesperson, contact Engaged Prospect and let us share how we recruit, interview, hire and train.
Next, talk with your existing employees (sales team, and all other departments too) and make sure you are offering effective development and growth opportunities. Is your team engaged? They say it's 7 times easier to keep an existing customer than to find a new one. The same goes for a good employee. Are you treating your employees well and offering enough to keep them engaged?
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All departments within an organization should have a daily 10 minute quick meeting. People call these huddles, stand-ups, meetings, etc. Here you'll find ours.