Sales Goals: Activities Don’t Necessarily Produce Results

Sales Goals: Activities Don’t Necessarily Produce Results

I have written before about the need for sales managers to focus on activity goals with their salespeople as opposed to being only focused on the outcome goals (or closed business goals). There are many reasons for this:

Nobody can control whether or not the prospect or customer actually buys, so focusing exclusively on sales goals allows salespeople some room for excuse making. “The guy was never going to buy.” “He was such a jerk. It’s probably good he didn’t buy.”

If the sales manager gives direction to the salesperson to sell more, frequently the salesperson doesn’t really know how to make […]

How to Construct the Right Sales Compensation Plan

How to Construct the Right Sales Compensation Plan

I have recently had multiple discussions with business owners and CEOs about appropriate compensation plans for their sales teams.  Clearly there is not a “one-size fits all” plan,  but I thought I would share some thoughts that I use as guiding principles to help business leaders construct the right plan for their situation.

There are a couple of basic foundations that might seem obvious, but don’t always translate well to a good plan.

1. Incent the behavior you want.

This is obvious enough, but I am constantly surprised by compensation plans that are no longer relevant, because the business has changed, or the […]