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Continual Development of theSalesforce: Sales Training

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Sales Training As a Crucial

Investment General Need for Sales Training

Due in part to:

Inadequacies of current training programs

New salespeople join the salesforce

Need is continual

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Company Size and Sales Training

Larger firms have a tendency to haveformalized sales training programs

Smaller firms may try to hire salespeopleaway from the larger firms

Product/Service Complexity and Sales

Training Service organizations are developing sales

training programs

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Company Size and Sales Training

Level of Competitiveness and SalesTraining

Highly competitive markets require bettertrained salespeople

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7Time and MoneyInvestments in Sales

Training(Exhibit 7.1)

Training Periodfor New Hires Cost per Ongoing Training Cost

per(Months) Salesperson (Hours per Year)

Salesperson

Company SizeUnder $5 million 4.4 $5,500 30.1 $3,752$5-$24.9 million 4.2 $8,141 36.1 $3,947$25-$99.9 million 3.7 $8,091 37.0 $3,904$100-$249.9 million 1.7 $7,400 25.2 $5,365Over $250 million 3.6 $7,000 38.0 $4,824

Training Period

for New Hires Cost per Ongoing Training Cost per

(Months) Salesperson (Hours per Year) SalespersonType of Sales

Consumer Products 3.4 $5,354 35.8 $4,039

Consumer Services 4.2 $4,537 33.9 $3,623

Industrial Products 4.8 $9,894 31.6 $5,149

Industrial Services 4.8 $9,061 30.8 $4,867

Office Products 3.8 $6,269 41.8 $4,261

Office Services 3.2 $6,200 33.3 $3,470

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Managing the Sales Training

Process(Figure 7.1)

Assess

Sales

Training

Needs

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ProcessNeeds Assessment

Compares the specific performance-related skills, attitudes, perceptions,and behaviors required for success tosalesforce readiness

Why is it better to be proactive than

reactive in doing a needsassessment?

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ProcessMethods of Needs Assessment

Salesforce Audit "a systematic, diagnostic, prescriptive tool which

can be employed on a periodic basis to identify andaddress sales department problems and to preventor reduce the impact of future problems"

Is the training program adequate in light ofobjectives and resources?

Does the training program need revision?

Is there an ongoing training program for seniorsalespeople?

Does the training program contribute in a positive

manner to the socialization of sales trainees?

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Salesforce Audit

Performance Testing Specifies the evaluation of particular tasks or

skills of the salesforce

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Observation

Salesforce Surveys

Customer Survey

Job Analysis

Salesforce Audit

Performance Testing

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ProcessTypical Sales Training Needs

Sales Techniques - "how to sell"

Common mistakes identified by researchcan be prevented by proper training

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Sales Techniques

Product Knowledge Benefits, applications, competitive

strengths, and limitations of the product

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Sales Techniques

Product Knowledge

Customer Knowledge

(Ex. 7.2- Sales Training for Different Typesof Buyers)

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Competitive Knowledge

Time and Territory Management(TTM)

Why is TTM more important in declining,stagnant, or highly competitiveindustries?

Sales Techniques

Product Knowledge Customer Knowledge

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Process(Figure 7.1)

Assess

SalesTraining

Needs

Set

Training

Objectives

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ProcessSet Training Objectives

Increase sales or

profits. Create positive attitudes

and improve morale.

Assist in salesforcesocialization.

Reduce role conflictandrole ambiguity.

Introduce new products,markets, andpromotional programs.

Provide sales support

General training objectives include:

Develop sales people for

future managementpositions.

Ensure awareness ofethical and legalresponsibilities.

Teach administrativeprocedures.

Minimize salesforceturnover.

Improve teamwork and

cooperative efforts.

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Elements of an Objective What are the elements of a good

objective? An example?

Why use written objectives?

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Process(Figure 7.1)

Assess

SalesTraining

Needs

Set

Training

Objectives

Evaluate

Training

Alterna-

tives

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ProcessEvaluate Training Alternatives

Selecting Sales Trainers

It is estimated that only 10% of sales training

is done by external sales trainers. Why areinternal trainers used most often?

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Evaluating Sales Training Locations

The majority of training is conducted in theorganizations home, regional, or field salesoffices.

Central training facilities .

Video broadcasting and teleconferencing



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Selecting Sales Training Methods Classroom/Conference Training

On-the-Job Training (OJT)

Mentor

Job Rotation Behavioral Simulations

Role Playing

Absorption Training

Audiocassettes for use while driving



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Selecting Sales Training Methods

Selecting Sales Training Media

Communications and Computer Technology

Sales Pro Online, Inc.


http://4moresales.com/http://4moresales.com/

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Process(Figure 7.1)

Assess

SalesTraining

Needs

Set

Training

Objectives

Evaluate

TrainingAlterna-

tives

Design

SalesTraining

Program

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Process(Figure 7.1)

Assess

SalesTraining

Needs

Set

Training

Objectives

Evaluate

TrainingAlterna-

tives

Design

SalesTraining

Program

Perform

Sales

Training

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Process(Figure 7.1)

Assess

SalesTraining

Needs

Set

Training

Objectives

Evaluate

TrainingAlterna-

tives

Design

SalesTraining

Program

Perform

Sales

Training

Conduct

Follow-up

and

Evaluation

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Ethical and Legal Issues

Sales 7

Documents