Posts Tagged: sales challenges

Root Causes of Sales Reps not meeting quota

I had an “aha!” moment a week or so ago reading through a thread on LinkedIn with a prompt: “Salespeople are getting worse.”

Why are only 53% of Account Execs (Reps) making quota? This stat comes from a CSO Insights report from Miller Heiman.

Reading through the extensive list of comments on the thread one finds many, many, MANY thoughts on what the problem might be.

  • Lack of understanding about the Customer’s:
    • business fundamentals
    • buying strategy
    • needs and desired outcomes
    • service and support expectations
    • need for tailored solutions
    • emotional or intuitive buying responses
  • Company
    • unrealistic quotas, not based on benchmarks or historical data
    • Rising quotas
    • unhealthy growth expectations
    • goals not based in reality
    • goals inconsistent or not communicated
    • Weak vision
    • Scattered products
    • No GTM strategy
    • Poor culture
  • Hiring / Retention
    • no methodology
    • no pre-assessment or vetting of candidates
    • Over-hiring
    • More reps fighting for same attention
    • Career development
  • Sales Training
    • how to sell at the company- sales process
    • Reps don’t want to adapt or learn
    • Should cover planning, thoughtfulness, positioning, analysis of decision-making, competition
    • Should include coaching and continuous learning
    • Fundamentals for reps and leaders
    • Ability to pivot on changes in industry
    • Different models for sales supply chains
    • Sales AND management training for managers
    • Manager coaching training, both sales and management
  • Product Training
    • time, support and tools to understand product
    • Effectiveness of product training
  • Market and Environment
    • Product offering meets actual need in the market
    • Changes to demographics, technology, buyer behavior and expectations
    • Digital disruption
    • Empowered and informed buyers
  • Sales Management
    • VPs coaching DOSs coaching AEs
    • Not open-minded to feedback or willing to change strategy
    • Don’t know how to sell
    • Obsessed with meaningless metrics
    • “Blowtorch” management
  • Sales Reps
    • don’t want to work, marketing has made them lazy
    • Scared of the phone
    • Ability to challenge the buyer’s thinking
    • Don’t do proper follow up
    • Too focused on social selling
  • Process
    • Lots of gurus selling theory
    • Picking the RIGHT process
    • Funnel / pipeline problems
    • Cycles have changed
    • Need a holistic analysis of the process
    • Need to automate the 64% of non-selling time
  • Product
    • doesn’t work, not viable
    • pricing is wrong
  • Sales Ops
    • use data and data science to reassess strategy and improve
    • Sales Ops identify trends not seen by Reps
    • Stop seeing Sales Ops as overhead
    • Doesn’t even exist in many orgs

That’s from ONE POST!

My question and “aha!” moment: who is analyzing all this to get to the 20% of these causing 80% of the gap? Which are Root Causes and which are Symptoms? Is anybody even doing correlation analysis (the first step) to see which of these might be root causes? I suspect there is a lot of guessing and tossing darts going on.

In a future post I’ll talk about some of the geeky details of how we answer these questions.