Ambition Mission

I recently posted a reply to a Cahnnel Insider blog about whether or not pre-sales technical folks should recieve commissions as salespeople do or in some modified form.  Here is my reply:

No commissions for technical staff, whether they assist in the sales process or otherwise.

Rather, include the technical staff in a bonus for the company’s (or sales team’s) group performance.

Also, the pre sales technical role ideally should be rotated among the technical staff on a monthly or weekly basis.  Rotation is always a good thing for the technical staff and it allows ALL staff to cheer ALL salespeople. 

If the sales team does X, then all members of the technical team get Y.

Everyone on the team is motivated to assist “Sales.”  There is no more (or less) “Us versus Them” mentality between salespeople and technical staff.  And finally, ALL staff is aligned in the direction that bringing on new customers is good for all.

Since salespeople and technical staff have hugely different motivations and personalities, commissions should never be applied to a technical staff member - in rarely, if ever, has the desired effect of putting the “carrot” in the proper place.

Matt Makowicz

Matt@AmbitionMission.com

Link to the Channel Insider blog is:  http://blogs.channelinsider.com/content001/careers_salaries/the_channel_sales_commission_conundrum.html

One of the most common questions I constantly am asked is “What should I pay a new salesperson?”Like numerous business issues/questions, I usually ask a few other questions before I answer.the short answer to the above question is - It totally depends!First, no matter how or what a salesperson is paid, the compensation must be justified.  It doesn’t matter whether it is called base, draw, commissions, bonus, expense reimbursement, spiff, or whatever - the sum of that number (Cost of Sale) must be measured in relation to revenue and profitability.Second, BEFORE one goes out looking for a salesperson, it is imperative that the company is prepared to hire such an individual.  Is the sales process documented?  Are prices and offerings established firmly?  What decisions that are related to sales and/or customers are currently only able to made by the business owner?Third, make sure that the new salesperson will be trained and managed properly.  ALL new salespeople need training before he/she will be able to sell the products and services of a company the way the company wants them sold!  NEVER assume a person’s experience translates to not needing training as a salesperson.Salespeople can be whiney, greedy, lazy, and difficult to manage - but none of those are the leading reasons why salespeople fail.  In most cases the failure is due to A) an unprepared company, B) lack of training/direction/management.Comments welcome - but not possible until new web site launched.  Visit Facebook group or email me directly.Let Ambition Be Your Mission!

Any sales trainer worth his salt would stress to salespeople to never “pre-judge” if a prospect is going to buy or not.  All too often we are wrong, or more accurately put, our assumptions are incorrect.As someone who has sold various products and services over the last 18 years, I can definitely attest to the fact that I have been surprised upon numerous occasions.  We’ve all even heard the “war stories” of the “sure thing” that never happened or the “no chance in ___” buying big.Here is an exception to this all important rule:  FOLLOW YOUR GUT!I recently had a sales meeting with what would be a large customer prospect.  The dialogue was healthy, the dynamics of the meeting were fair.  The result of the meeting was statement of interest coupled with a “not now” objection.  However, the body language was off.  The meeting “felt” static.  It was like going through the motions.Everything was done right, but for whatever reason, I just felt that I would be barking up the wrong tree.  I of course followed up appropriately to get sporadic and non timely responses. - the deal is going nowhere, just like I felt I “knew” during the meeting itself.It’s difficult to teach “gut feelings.”  But when you know, you know.Advice to a new salesperson = “Never, ever, pre-judge a prospect.”Advice to a salesperson that is beginning to trust him/herself and her gut = “Never pre-judge, unless your gut tells you different.”Let Ambition Be Your Mission