Highly skilled sales employees are one of the most prized assets of any organization. Their experience and expertise in securing and converting leads make them indispensable. Naturally, organizations remain highly concerned with retaining these top performers. In this post, we’ll cover some key retention strategies for sales employees.
With the number of employee resignations rising to 3.5 million in April 2019 alone, senior sales executives are calling employee turnover one of their biggest challenges. Due to the pivotal role that salespeople play in the growth of an organization, having to repeatedly hire and train new reps is an obstacle that must be overcome.
Additionally, a high employee turnover leads to steep costs, hindering revenue generation. Replacing your sales team isn’t easy. The average cost per sales rep amounted to $97,690 in 2017, and that cost will likely continue to grow with time.
Similarly, it takes considerable time (between 5-8 months) to sufficiently onboard and train sales reps so they can start generating revenue for the business. This makes the establishment of effective retention strategies a dire need for sales organizations across the globe.
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45% of sales reps start exploring their options within three months of joining a new organization, with only 19% deciding to stick around long term. This statistic highlights a general lack of specific retention plans for employees. Often, there is minimal effort made to address the root cause of the issue.
It’s important to be proactive to help reduce employee turnover. Here are some excellent tactics that sales organizations can use to put an end to the continuous cycle of sales turnover:
Begin your hiring process with a solid understanding of the ideal candidate profile for success in your unique sales environment. List the personality traits, behavioral characters, and skill candidates must possess to perform at a high level. Organizations that use sales assessments in the hiring process to validate compatibility before hiring experience a 39% increase in quota attainment, and lowering turnover by more than 11%.
HireDNA provides science-backed predictive sales assessments with a 92% candidate success rate. Learn more.
Due to increased workload and higher quotas, sales managers are often unable to coach their reps. This results in a team that is not aligned with the organization’s short- and long-term goals.
Taking this into consideration, ongoing sales training is a must for improving the performance of your sales reps. For example, training your sales reps to shift their mentality to ‘solution providers can result in them taking ownership, and in turn, increase loyalty.
It’s also important to create an emotional connection with your employees. To help improve team bonding, consider scheduling a casual monthly or quarterly team outing. This provides a space for team members to interact face to face in a friendly setting. Internal sales competitions can also be a great way to improve engagement.
By increasing engagement, you can build a relationship based on loyalty and trust with your team. This benefits both parties. As the Corporate Executive Board (CEB) reports, engaged employees have a 400% lower chance of leaving their workplace. Your engagement efforts can also improve employee productivity and eventually result in increased sales and customer satisfaction.
Sales reps perform best when faced with challenging situations and clients. Dull, repetitive work makes your employees feel like their talents are being wasted or simply unappreciated. To prevent your best members from losing interest in the company, give them fresh challenges that go further than just assigning them bigger clients.
For example, give your sales reps responsibilities that require them to implement complex strategies to attract enterprise accounts. Let them handle the launch of a new product or incoming leads from a specific marketing campaign. You can even consider assigning them an advisory role in addition to their regular work. This can help to keep them interested while also making them feel more valued.
Organizations need to provide salespeople with the right tools to ensure they are making the best use of their ability. As technology continues to improve, modern sales tools allow reps to have the right information at the right time.
For instance, a CRM system like HubSpot allows sales reps to access all customer/lead related information from a single dashboard. Additionally, modern tools support remote access, which allow sales reps to work on the go—increasing productivity and profitability, and improving flexibility in the workplace.
By providing teams with the right set of tools to grow, organizations can help ensure they don’t leave in pursuit of greener pastures.
As the largest generation of the US workforce, millennials need more than just monetary incentives to stay loyal to an organization. Research shows that 80% of millennials require a work culture that fosters personal development and growth. Similarly, they want to work towards something that makes a positive impact, and holds value.
To cater to this demand, businesses need to be extremely transparent about their goals and vision. Moreover, it is important for sales leaders to recognize and reward high-performing employees for the milestones they have achieved.
The key is to keep the goals realistic and implement performance tracking that encourages employees to perform better. Sending in regular performance updates and bonus reminders tends to go a long way to help improve employee dedication and performance.
Read our blog post on How to Create a Winning Sales Culture for more great tips!
Sales employee turnover is a common problem. As experienced salespersons desert the organization, supervisors are left to restart and rebuild—adversely impacting the overall performance and efficiency of the department.
With a concrete employee retention strategy in place, businesses can work to improve engagement and hold on to their experienced sales reps.
HireDNA is a leading sales recruiting and training firm. We offer a full range of services to help you build and retain a winning sales team:
Are you ready for all-time low employee turnover rate? Speak with our experts today.
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