Sales Training Sales Training Sales Training is one

Sales Training

Sales Training • Sales Training is one of the major ways how salesforce socialization is achieved. • Most new sales employees undergo a period of orientation with the company to familiarize themselves with the rules, procedures, norms and culture of the company • But training is also required for existing and experienced sales person, albeit different modules.

Company Orientation • • • Company History Policies Facilities Procedures Key people with whom the new recruits would have to interact with

Orientation Objectives • Positive initiation to task – degree to which a sales trainee feels competent and accepted as a working partner • Satisfactory Role definition – an understanding of what tasks are to be performed, what task priorities and time allocation to tasks Good sales training tends to minimize job conflicts leading to higher job satisfaction, involvement, commitment and performance

Role of Sales Training in Sales Force Socialization • Programmes aimed at new salespeople’s role ambiguity and improving their satisfaction, are most likely to be most effective in building commitment to the company • There is a positive relationship between job satisfaction and sales people’s commitment to the organization • Management’s active support to sales training activities helps to enhance sales persons commitment and satisfaction with the job

Sales Training as a crucial investment • What you do with your sales hires and what the new recruits do after they have been hired is extremely important for companies • 82% of top performing sales organizations mandate formal sales training • 39% of purchasing decisions depend on the effectiveness of th sales person, much larger than product, price or service. • Not only training is important in developing effective sales people, but also in retaining them. Inadequate sales training seems to be a driving force in turnover • For many companies sales training is a continual activity since the sales environment is constantly changing • Companies that invest more in sales training have a 45% higher median total stockholder return than companies that spend the market average and 86% higher than companies spending less than average • There is high correlation between training expenditures of a company to share prices. The top 100 training companies consider training a

Implementing Sales Training Programmes Most sales managers are not only involved in planning but are actively involved in implementing the sales training programmes. Activities could be • Arranging for sales people to work with key personnel in various departments • Selecting literature, sales aids, software and materials for study • Enrolling sales peoplein professional workshops or training programmes • Accompanying sales people in the field to critique their sales

Managing the sales training process Sales Training should not be reactive, but proactive. Therefore, it has to be a philosophy and companies need to believe that it can work for them Assess Sales Trainin g Needs Set Training Objectives Evaluate Training Alternatives Design Sales Trainin g Progra m Sales Training Process Perfor m Sales Trainin g Conduct Follow-up and Evaluation

Customers want sales people who • • Personally manage their desired results Understand their business Act as a customer advocate Are knowledgeable of product applications Are easily accessible Solve their problems Provide innovative responses to their needs

Product Knowledge Good product knowledge is a prerequisite. The sales person must know the customer and have the necessary sales skills to apply the knowledge of the product to the customer situation.

Customer Knowledge Sales training may include information relating to customer needs, buying motives, buying procedures and personalities. Training programmes must address multi-cultural differences and business protocol in subcultures and foreign countries.

Competitive Knowledge Sales people must know competitive offerings in terms of strengths and weaknesses. Customers may exploit a salesperson’s lack of competitive knowledge to negotiate terms of sale that may be costly to the selling firm

Competencies of successful salespeople • • • Aligning customer/supplier strategic objectives Listening beyond product needs Understanding the financial impact of decisions Orchestrating organizational resources Consultative problem solving Establishing a vision of committed customer/supplier relationship • Engaging in self-appraisal

Areas of inquiry to determine competitive situations • • • With whom has the customer met? What has the competitor sold to this customer to date? What value did the competitor provide? What does the customer perceive as the competitor’s strengths and weaknesses? What level of satisfaction does the competitor provide? What is the customer’s perception of the quality of competitor’s deliverables? What customer decision makers or influences sponsored the competitor? Who are the competitor’s allies? Who opposes the competitor? How does the competitor feel about the relationship? How does the customer feel about the competitor’s salesperson? How do we compare?

Training Objectives Every training module must have objectives which are specific, measurable and realistic eg. • Increasing sales and profits • Create positive attitude and improve morale • Reduce role conflict and ambiguity • Develop sales people for senior positions • Teaching administrative procedures • Ensuring use of technology aids • Improve teamwork and cooperative effort

Evaluation of training alternatives Considerations Other considerations • • • Who will conduct training? • Where will it be conducted? • What methods to employ? • Who would be the participants? Cost Location Venue Training aids Time

Training methods • • Classroom training On-the-field training Behavioural simulations Absorption training

Creating a winning sales force culture • • • Culture has to start from the top Innovation, empowerment and team work An unwritten set of rules that guides the behavior of the sales force in familiar and new situations. Develops a basis for decision making and helps define acceptable and desirable activity. • A winning culture embraces appropriate values and choices • Culture is based on consensus, which can only be done through strong leadership

Sustaining a winning culture • • • Communication to and with the sales force Reward appropriate behaviours Celebrate the heroes who make appropriate culture choices • ‘Walk the talk’.