CASE STUDY – “Comfortable and Underachieving” Sales Team of an International Manufacturer & Distributor of Building Products
Initial situation
- Nearly all of the team conveyed a sense of ‘being quite comfortable’.
- Sales force productivity, ROI and effectiveness was poor.
- Spending too much time with the ‘wrong’ customers.
- Greatest confidence was displayed in one-on-one interactions with ‘mates’.
- ‘Solution Selling’ didn’t not come easily to most of the team – closing was avoided.
- ‘Let me do a quote/estimation (and I’ll keep my fingers crossed that I can come up with a compelling story)’ is as close as they come to a ‘value proposition sell’.
What we did …
- Introduced a National ‘solutions’ aligned sales process.
- Introduced a Sales Productivity and Pipeline system.
- Realignment of selling time to high value customers and prospects.
- Developed advanced sales skills to sell higher up the food chain.
- Developed advanced merchandising/distributor development skills.
Outcomes …
- Replaced 70% of the sales team.
- Replaced 80% of the Sales Management team.
- Grew market share by 5% in a declining market.
- Measurement of sales force increased by 17% to ‘proactive & professional/consultative’ methodology.
Assessing whether a business has outgrown its salespeople depends on various factors, such as the company’s growth trajectory, market changes, and the skill set of the sales team. In such cases, businesses may need to reevaluate their sales strategies, invest in additional training and development for existing salespeople, or consider hiring new talent with the skills and experience needed to support the company’s growth objectives.
Identifying if your business has outgrown your salespeople involves assessing different aspects of your sales team’s performance and capabilities relative to the evolving needs and scale of your business.
Look at key performance indicators (KPIs) such as:
- sales revenue
- conversion rates
- average deal size
- sales cycle length
If your brand is consistently underperforming compared to industry benchmarks or internal targets despite efforts from your sales team, it could indicate that your salespeople are struggling to keep up with the demands of the business.
If your business is expanding into new markets, territories, or customer segments, assess whether your current sales team has the expertise, experience, and bandwidth to effectively penetrate these new areas.
A lack of specialisation or familiarity with these markets could hinder your brand’s growth potential.
As your business grows, customer needs and expectations may evolve
Consider whether your sales team possesses the necessary skills, product knowledge, and understanding of customer pain points to effectively address these changing needs. If your salespeople are struggling to adapt to new customer requirements or preferences, it may be a sign that they have been outgrown by the brand.
Evaluate the efficiency and effectiveness of your sales processes and tools
If your business has outgrown your salespeople, you may find that existing processes and tools are no longer scalable or sufficiently sophisticated to support the evolving needs of your business. Your sales team may struggle to keep up with manual or outdated processes, leading to inefficiencies and missed opportunities.
Assess whether your sales team has access to ongoing training, development, and support to keep pace with the growth of your business. If your business has evolved significantly since your sales team was initially hired or trained, they may require additional education or upskilling to effectively sell new products, services, or solutions.
Consider whether your sales leadership team has the skills, experience, and capacity to effectively manage and develop a growing sales organisation. If your business has outgrown your salespeople, it may also be a reflection of limitations or gaps in sales leadership capabilities.
Is your team adaptable?
Evaluate whether your sales team is scalable and adaptable enough to accommodate fluctuations in demand, seasonal trends, or sudden growth opportunities. If your sales team struggles to ramp up or adjust to changes in workload or market conditions, it could indicate that they have been outpaced by the growth of your business.
If you are no longer a “small” business, get the experts involved.
Healthy Business Builder Group Pty Ltd – 1300 833 574 or info@hbbausgroup.com.au
