In today's blog post, we discuss motivation in sales.  The problem, in many cases, is that the sales executive in charge of getting more out of their sales team has no idea what motivates those people on the team.  

Without knowing what motivates his/her employees, how could you possibly create a motivating environment?

How to Motivate Your Sales Team

Sales is the lifeblood of most businesses.  If you're a sales manager, or sales leader, you might be wondering how to better motivate your sales team.

Unlike most sales activities that can be measured, motivation is a more difficult metric to assess, but still vital to your sales team's success.

Here are a couple of ideas to help inspire your sales team.

How to Motivate Sales Team:

• Build trust among your sales reps
• Understand what motivates them 
• Set daily, weekly, monthly sales goals
• Give and promote recognition
• Lead with empathy

As many of you know, we use the Objective Management Group's (OMG) assessment to evaluate every organization that we do sales and sales management training, coaching and consulting for. 

The process helps us (and our clients) determine with great accuracy the answers to these 4 questions:       

1. Can we be more effective (sell more, more quickly at better margins)?
2. How much more effective could we be?
3. What would it take?
4. How long would it take?

Answering these four questions requires the ability to uncover at least two important contributors to improved effectiveness:

1. Their “will” to improve in selling and sales management
2. Their ability (sales and sales management DNA)

6 Factors That Determine Sales Motivation

There are 6 known contributing factors that OMG uses to determine “will to sell”  (click here to inquire about the pre-hire assessment tool).

1. Desire to succeed in selling
2. Commitment to succeed in selling
3. Motivation
4. Outlook
5. Responsibility
6. Enjoyment of selling

A CONSISTENTLY RECURRING QUESTION

I don't believe there is a way to effectively rank those factors in terms of relevant importance.  Having used the tool and delivered results to dozens of companies and hundreds of people, my experience is that these 6 work together to form a puzzle that gives you an overall picture of someone’s “will to sell”.  In this article, however, I want to focus on motivation because,often, when attending my workshops, attendees consistently the question,

“How do I motivate my sales team?”

ARE YOU MOTIVATED?

What motivates you?  If you are a manager, what is motivating your people?  If you are not motivated to:

• Be more effective
• Be more successful
• Compete to be the best
• Sell more to make your lifestyle dreams a reality

I have to ask: Why?

ALL ENCOMPASSING - MOTIVATION INVOLVES EVERYTHING

Let me address two things:

• Personal motivation
• Motivation of others

My experience – my own true, personal experience - about motivation is that when you desire something greatly in your heart, then you will live and breath the desire to make the dream a reality.  Many of you know I played football at UConn.  I always considered myself blessed beyond reason to have had the opportunity to make my dream a reality.  But blessed does not stand alone as the only contributing factor for the scholarship. 

Yes, I had some God-given talents (nature), but I also had some external factors (nurture) that contributed to my success.  Those factors were Mom and Dad and the attitudes they instilled in me regarding hard work, anything is possible, don’t give up, and success requires commitment.  I learned early on that, if you really want to accomplish something great in your life, you must be willing to give up some things to get where you want to go.

• When my classmates were going to Lee’s house to party after a game, I did not.
• I hated vegetables, but my dad told me he would tell Coach Cacia I wasn’t eating right – I wasn’t going to let that happen.
• At the end of a long day – 12 hours – working on the farm, I still ran my miles and lifted weights.
• When I got beat on a certain play during practice, I would make that person pay the price on the next play.
• I ran sprints every day at the end of practice.
  
  

THE REAL DEAL – MOTIVATION IS PERSONAL

When I answer the question - How do I motivate my people? - for workshop attendees, I tell them, “You cannot motivate them.  Motivation is an inside-out job and they have to come to the table with their own motivation.  The best you can do is create an environment where people want to come and they want to be motivated and excited because they have personal reasons to be successful.”

While assessing numerous organizations, we have found three things that hinder the motivation and success of the sales team: 1) 90% of the sales managers don’t believe they need to know what motivates their sales people.  2) 25% of the sales managers are not motivated to be successful in the role of sales manager and 3) Virtually 100% of the salespeople lack personal goals, lack a personal goal plan and fail to have a process in place to track if they are achieving goals.

Without knowing what motivates your salespeople, how could you possibly create a motivated environment or sales team? 

Why do so many of my salespeople fail to perform as expected?  It's a loaded question.  Or, is it?  In our corporate sales training experience, we've seen that evaluating underperforming salespeople in the pre-hire sales assessment is crucial for success in your business.

From poor diagnosis of the right contributing factors for success, to other candidates being eliminated due to weaknesses rather than hiring on sales STRENGTHS, there are specific reasons that not all of your salespeople are performing the way that you thought they would.

Did you hire them this way or did you make them this way?  Let's take a look...

If you are a sales leader and you look at your numbers and the people producing those numbers, do you ever scratch your head in confusion over why you are looking at a lack of sales results?

Certainly, you didn’t hire these people to be in the middle of the pack or at the tail end of the conga line, but that is right where they are.  I know you don’t believe you hired them that way, but it’s either that, or you made them that way.

Don’t get upset with me here.  The reality is that your team’s performance is a result of who you’ve hired or what you’ve done (or not done).

So, in general, why do so many salespeople fail to perform? I have detailed answers to that question that you will be hard pressed to find anywhere else besides right here.

• Underperformers have 80% of the desire of top performers. *Note – not all performers have off-the-chart desire – that is about 7% of all top sales people.
• Those that underperform have about 44% of the commitment to succeed in selling that top performers do.
• These two factors combine to measure motivational level. Underperformers have about 60% of the motivation of your top people.

SUMMARY – Underperformers just are not as motivated to succeed.

SOLUTION – STOP hiring people that are not motivated to succeed at the highest level of performance!

Using the Objective Management Sales Evaluation, there are over 100 data points to measure the opportunity for sales growth of a sales team/organization.  Additionally, this data helps us to predict the likelihood of success of new sales people and managers. 

Here are some interesting findings based on the raw data I have from assessing salespeople (as well as firsthand knowledge of some of the people in the study).

• Top performers are trainable and coachable
• Top performers have a high figure-it-out factor
• Top performers have a low need for approval and…
• Top performers score an average of 86.8 (higher score is better) and underperformers score 39.6 for handling rejection!
• Top performers are hunters, consultative sellers and closers (average score for skills is 55% of required skills while underperformers average 39.6% of required skills)

SUMMARY – Salespeople – regardless of tenure or previous success - need training and coaching. Also top performers handle rejection extremely well and move on.

SOLUTION – Do not hire based on past performance. (It’s like investing in a mutual fund – past performance is not a guarantee of future returns.)  During the interview process, reject the heck out of the candidate – the strong ones will recover and attempt to close you over and over again!

The following data indicates that sales strengths are better indicators of success rather than sales skills:

• Underperformers have 85% of the sales skills of top performers and have…
• Only 71% of the sales strengths that support execution of sales skills and…
• The severity of their sales weaknesses are 52% higher than that of top performers

SUMMARY – The skills are about the same, but those with strong strengths of desire, commitment, outlook and responsibility win.

SOLUTION – Make sure your pre-hire assessment process looks for strengths and “will sell” rather than just skills, personality and behavioral traits.

So, back to the original question:   “Why do so many of my salespeople fail to perform as expected?”:

• Poor diagnosis of the right contributing factors for success
• Candidates eliminated due to weaknesses rather than hiring for sales strengths
• Too much credit given to sales skills exhibited during interview process
• Lack of solid training and development on the root causes of poor performance

Now that you have the answers to the question, what will you do about it?

In Part 1 of "Negotiating on the First Tee, we discussed the practice of negotiating with your prospect before you begin your presentation.  In Part 2, we continue this discussion and add more to the conversation.

In order to increase sales and close more deals, you must understand the client's business strategy, build a strong foundation for negotiation, and cross off all the boxes for a killer Sales DNA.

1. Establishing the ground rules for time of presentation are critical. Before we get to that though, you must have a transitional discussion
   • "Let me take a minute to review where I think we are..."
   • "You have the following issues a,b, and c that if not taken care of within this time frame will cause the following to happen and this outcome is a have to fix problem"
   • "Your capacity to invest time, money and effort to fix the problem is this…"
   • "And I’m assuming for a minute that if we are able to fix this for you, in the budget you’ve identified with the right criteria and priorities, you would also want me to be in a position to answer any and all questions at that time"
   • "Did I get this right?" (Buyer says yes)
   • "Good, assuming we can do this I will be prepared to do all those things. If I can’t, I will call in advance and cancel our presentation meeting.  Fair?" (Fair)
2. Ground rules discussion:
   • "It may not be effective here, but there is a process that we recommend to make sure we are all on the same page, can I share that with you?" (Yes)
   • I need for you to be prepared as well:
     • "As I am going through my presentation, you will be thinking one of 2 things: 1) this makes all the sense in the world; let’s do this, 2) This won’t work for me, the money is wrong or I don’t think there is a fit"
     • "When I’m finished, I’m going ask you which one you are thinking. What objections do you have to that process?"
   • Anticipate and prepare for objections when you complete step six. Keep in mind that  an objection, stall or questions does NOT mean they are telling you no. They just need more information or you need to find out more clarity about compelling issues, capacity to invest or clarity on decision making. At the end, you do your best to eliminate any TIOs (Think It Overs)
   • Let's assume for a minute that this works for you. You are not done minimizing the opportunity for negotiation at time of presentation.  When you finish this discussion, you must return to your  office and write out and send the "As we agreed to letter" that covers the 3 “Cs” and inform the buyer you will call to confirm the information you’ve sent.  Then call to confirm.
   • Presenting to get a decision is as much of a mindset as it is a process:
     • Review what you’ve discussed
     • Review the as we agreed to letter including money and decision process that will take place today
     • Ask, “What’s changed?”
     • Make the presentation starting with their priority item not the first page in your presentation
     • Answer all of their questions about each solution, get them to score that solution on a scale of 1-10. If you are 7 or better you are in good shape but still you need to get them to a ten.  Once you get the ‘10’ you check that item off.
     • Ask our closing question:
       • "What where you thinking as I went through this. Assume for this discussion they said, This is really great we should do this! 
       • You ask, what should we do now?

• Or your alternative is:
  1. Do you believe based on what we presented that we understand your business and what you are trying to accomplish?
  2. Do you feel we can help?
  3. Do you want our help?

6. Despite this great process and effort, you can expect buyers to ask you questions that they haven’t asked yet, raise objections, or present you with stalls.  The first thing is this: Be prepared by conducting pre-call strategy meetings and role play these challenges.  Always understand that prospects are looking out for their best interests and not yours. Do not get emotionally involved when they throw you the curve ball!

Now I bet you are thinking, Tony, where is all the negotiation stuff?  Well that’s it right there. You win the bet on the first tee.

Sales pipelines are similar to the story of "Goldilocks and the Three Bears. " This one is too fat, this one is too skinny, and the rarest one of all; this one's just right. 

Why does this happen with pipelines and what should leaders be doing about it?  In today's blog, we discuss developing better pipelines to improve your coaching skills, increase sales within your organization, and to build better habits in 2020 and beyond.

Fat Pipelines

This usually results from the overly optimistic salesperson.  They call on a prospect and come back thinking some iteration of this, “We really hit it off . . . They really liked what we can do . . . We have a LOT in common”. 

Another cause for a fat pipeline is that it feels like comfort food.  Their pipeline has $X amount in it and they feel pretty good about it.  I mean, come on, some of it has to close doesn’t it?  This type of thinking gives them great comfort.  Pipelines need two things:

• The proper amount given their ability to win business (close ratio)
• It must be properly staged

Here is where your leadership plays a critical role.  Your skills at asking great questions are absolutely essential.  Tone and tonality are of paramount importance, AND they must be fierce and helpful.  Questions like:

• What did you hear the customer say that leads you to believe they would be a great customer for us?
• When you asked them the impact of not fixing this problem, what did they say?
• Who else in their organization will be impacted if they switch providers?
• What did they say when you asked about their decision making criteria (not process, criteria, there is a difference)
• When is the last time they chose a supplier that wasn’t the lowest cost?
• How much is in their budget to make this problem go away
• When asked them “How do you envision working with us”, what was their response?
• How did they choose their current provider?

Never EVER ask, “How’d the call go?” It’s a waste of time.  Be great at asking questions.  By asking great questions, you are coaching your salespeople.  The questions listed above are the type of questions they should be asking the prospect.  Your coaching session is nothing but a sales call.  Be curious and when you coach, simply keep this in mind when meeting with your team, “Am I asking questions or am I making statements?”

Also, by asking great questions to your team, you find out where your people need to be coached.  If you hear your salesperson say, “I didn’t ask that question” during your pipeline discussions, you need to find out if they are unable to ask those questions (they need more sales training) OR if are they unwilling to ask those questions.

Skinny Pipelines

There are two main reasons that a salesperson might have a “skinny pipeline”.  They are getting beat up if something doesn’t close, or their activity isn’t where it needs to be.  My question to you as a leader is, “When a piece of business doesn’t close, what does your lost business conversation sound like?” 

There is no sin in losing a sale, the only sin that occurs is if nothing is learned from it.  Don’t let one loss beat you twice.  A couple of quick questions “What did you learn?” and “How will you get better because of it?” 

The other reason for a skinny pipeline is activity.  What are you measuring, how frequently are you measuring it (you need to measure weekly), and are you allowing excuses for poor effort?  Salespeople fail for two reasons:  Lack of Effort and/or Lack of Execution.  You need to know which it is. 

Just Right Pipelines

These types of pipelines are the rarest of all because they require the salesperson and manager to have a great and open relationship, while staying committed to their sales process and understanding the metrics needed to win business.  For the salesperson, they need to understand what is their late-stage (close in 30 days) win ratio?  If their late-stage win ratio is 50% and their monthly goal is $100,000, they need to have a minimum of $200,000 in late-stage opportunity each month.   

The only reason a “Just Right” pipeline is possible because the salesperson is finding opportunities all-the-time.  They understand prospecting is an all-the-time thing.  They are constantly making calls, asking for introductions, and networking.  

It’s healthy to have a pipeline “flush” on a regular basis.  An opportunity moves through the pipeline or moves out of the pipeline on a regular basis.  If a salesperson wants to cling to an opportunity, and want to defend keeping it their pipeline, is probably because they have nothing else to take its place.   Coach them, encourage them, challenge them.

In today's blog, we discuss the notion that effective sales leadership requires leaders to meet the challenge during times of major change. 

In this article, we bring you 11 concepts to adopt for managing yourself and your salespeople; to help increase sales, productivity, and trust within your organizations.

1. What would you do if today where your first day on the job?
2. What kind of attitude would you have?
3. How would you respond to the responsibilities of your new job?
4. You would you interact with your new co-workers?
5. You come in the 2^nd day of your new job and the company asks you to do something different. How do you respond?
6. Who is more valuable in the marketplace, someone that adapts or someone that resists change?

Consider this: “You think you understand the situations, but what you don’t understand is the situation has changed.”  Putnam Investment advertisement

Concept #1 – Commitment is a gift you should give to yourself

• What are you committed to?
• If you are not committed to do whatever it takes to succeed and increase sales, then you must:
  • Set personal goals that are non-negotiable
  • Have a vision of where you want to go (and where you want to end up)
• Failure to do these things will lead to failure to fully commit 

Concept #2 – Senior management must empower all others to think like a CEO.  If senior management can accomplish this, then non-managers will think and act like they are CEOS; looking out for the entire company, and not only for themselves.

• Support people to make decisions
• Train them on how to make decisions
• If bad decisions are made, it is because of the following:
  • Leadership hired the wrong people
  • Failure to communicate well
  • Failure to train on decision-making

Concept #3 – The use of technology

• You must use it and demand it of yourself and your team!
• If you have people that have a belief that ‘You can’t treat old dogs new tricks’, get those people off of your stage

Concept #4 – Flexible thinking and changing beliefs are critical.  There are some truths that you will have to accept.

• Life isn’t fair!
• Life isn't fair!
• Life isn't fair!

Concept #5 – Companies are curious:

• How can you increase my top line?
• How can you add to the bottom line?
• How will you prove it via accountability to measurable achievements?

Concept #6 – Your company will be asking, “Why should I keep you”? 
You must demonstrate that:

• You are a good employee
• You work hard
• You get things done
• You are capable of learning
• You have experience that is valuable to YOU and to the future of the compnay

Concept #7 – Lifetime learning

• Information doubles every 5 years
• Power and speed of the microchip doubles every 18 months (Moore’s law)
• The cost of computing drops roughly 30% every year while working faster and better
  • Are you twice as smart today as you were 5 years ago?
  • Have doubled your capacity in the last 18 months?
  • What are you doing today to be twice as smart in 18 months?
  • How much are you costing the company? Are you a better “buy”

Concept #8 – Job security

• The ability to initiate new relationships
• Being able to create and sell creative solutions to qualified buyers
• Your ability to facilitate decisions to buy from you

Concept #9 – Make sure you contribute more value than you cost

• The company’s perception about contribution vs cost is the reality
• You are not entitled
• Prove your worth
• If you consider leaving, would the company do whatever it takes to keep you?
• How is your value measured by the company?
• How is your cost measured?
• The value of every company is outside the company (The marketplace) what are you doing to bring that value into the company?

Consider This: “The factory of the future will only have two employees, a man / woman and a dog.  The person will be there to feed the dog and the dog will be there to make sure the person doesn’t touch the equipment.”  Warren Bennis

Concept #9 – Serving others

• What does it take to please them (everyone in your sphere is a "them")
• How can you contribute to the success of others?
• The person at the next desk, down the hall on another floor; make no mistake they are your clients and customers.
• The "Best Bargain" is based on the value you bring. The consumer will seek and find the best bargain. They will either get it from you or from someone else. 

Concept #10 – Ownership / Responsibility / Accountability

• You are responsible for your attitude
• Philosophy > Attitude > Behavior

Concept #11 – Be a fixer, not a problem creator

• Create or find solutions vs. announce and identify problems
• Base conversations and actions on principles rather than your own personal position
• Focus on getting outcomes instead of creating rules regulations and procedures.

Consider This:  Who are you holding captive for your success, you or your employer?

How appropriate are these concepts today?  Everyone of these thoughts, ideas and action items can and will help you lead yourself and others through challenging times. 

What I think you might find interesting is that these notes are a result of a book I read by Pritchett and Associates titled: The Employee Handbook of NEW WORK HABITS FOR A RADICALLLY CHANGING WORLD.

Price Pritchett does a great job of outlining 13 ground rules for job success in the information age. The booklet was written in 1994!  However, the principles and ideas make as much sense today as they did back then.  Some of the technology data might be a bit off given the advancement of the IT science but if anything, the technology has gotten smarter and faster due to big data capabilities.