Continual Development of the Sales Force: Sales Training Module Six

Real World Sales Training An Expert’s Viewpoint: Whirlpool developed a sales training program that mirrored MTV’s The Real World. National training manager Jackie Seib helped come up with the idea of putting a dozen or so strangers (new salespeople) in a house full of Whirlpool appliances. The new hires stay in the home for two months, using the appliances and working with engineers to learn how they work. Seib says “We really wanted them to understand the appliances as a consumer would, so they can bring real-world stories about the appliances to the sales floor.” Action

Real World Sales Training An Expert’s Viewpoint: The program’s impact on revenue has yet to be determined, but it has had a positive effect on employees. Of the first 40 salespeople to complete the program, 8 have been promoted—all attributing their success to the knowledge and confidence they received as a result of the training. Even though the program costs a bit more than the two-week classroom version, Whirlpool believes that the investment is worth it. Result

Role of Sales Training in Sales Force Socialization Initiation to Task — The degree to which a sales trainee feels competent and accepted as a working partnerInitiation to Task — The degree to which a sales trainee feels competent and accepted as a working partner Role Definition — An understanding of what tasks are to be performed, what the priorities of the tasks are, and how time should be allocated among the tasks.Role Definition — An understanding of what tasks are to be performed, what the priorities of the tasks are, and how time should be allocated among the tasks. Sales training helps socialize the new hires, providing them with a positive:

Sales Training as a Crucial Investment Most organizations see a link between sales training and salesperson productivityMost organizations see a link between sales training and salesperson productivity U.S. companies spend approximately $7.8 billion annually on trainingU.S. companies spend approximately $7.8 billion annually on training The need for sales training is continualThe need for sales training is continual Sales managers play a crucial role in the training processSales managers play a crucial role in the training process

Managing the Sales Training Process Assess Sales Training Needs Set Training Objectives Evaluate Training Alternatives Design Sales Training Program Perform Sales Training Conduct Follow-Up and Evaluation

Assess Training Needs Determine desired skill set and levels of performanceDetermine desired skill set and levels of performance Assess salesperson’s actual skill set and levels of performanceAssess salesperson’s actual skill set and levels of performance Analyze gap between desired and actual to determine training needsAnalyze gap between desired and actual to determine training needs

Assess Training Needs: Methods Sales Force AuditSales Force Audit Performance TestingPerformance Testing ObservationObservation Salesforce SurveySalesforce Survey Customer SurveyCustomer Survey Job analysisJob analysis

Typical Sales Training Needs Sales Techniques: Salespeople have an ongoing need to learn “how to sell”Sales Techniques: Salespeople have an ongoing need to learn “how to sell” Product Knowledge: Salespeople must know their product benefits, applications, competitive strengths, and limitationsProduct Knowledge: Salespeople must know their product benefits, applications, competitive strengths, and limitations

Common Mistakes Sales Training Addresses Ineffective listening and questioningIneffective listening and questioning Failure to build rapport and trustFailure to build rapport and trust Poor job of prospecting for new accountsPoor job of prospecting for new accounts Lack of preplanning of sales callsLack of preplanning of sales calls Reluctance to make cold calls (without an appointment)Reluctance to make cold calls (without an appointment)

Common Mistakes Sales Training Addresses Lack of sales strategies for different accountsLack of sales strategies for different accounts Failure to match call frequency with account potentialFailure to match call frequency with account potential Spending too much time with old customersSpending too much time with old customers

Common Mistakes Sales Training Addresses Over-controlling the sales callOver-controlling the sales call Failure to respond to customers’ needs with benefitsFailure to respond to customers’ needs with benefits Giving benefits before clarifying customers’ needsGiving benefits before clarifying customers’ needs Ineffective handling of negative attitudesIneffective handling of negative attitudes Failure to effectively confirm the saleFailure to effectively confirm the sale

Typical Sales Training Needs Customer Knowledge: Salespeople should know their customer needs, buying motives, buying procedures, and personalities.Customer Knowledge: Salespeople should know their customer needs, buying motives, buying procedures, and personalities. Competitive Knowledge: Salespeople must know competitive offerings in terms of strengths and weaknesses.Competitive Knowledge: Salespeople must know competitive offerings in terms of strengths and weaknesses.

Typical Sales Training Needs Time and Territory Management: Salespeople should learn to maximum work efficiency.Time and Territory Management: Salespeople should learn to maximum work efficiency.

Training Objectives Increase sales or profitsIncrease sales or profits Create positive attitudes and improve salesforce moraleCreate positive attitudes and improve salesforce morale Assist in sales force socializationAssist in sales force socialization Reduce role conflict and ambiguityReduce role conflict and ambiguity

Training Objectives Introduce new products, markets, and promotional programsIntroduce new products, markets, and promotional programs Develop salespeople for future management positionsDevelop salespeople for future management positions Ensure awareness of ethical and legal responsibilitiesEnsure awareness of ethical and legal responsibilities

Training Objectives Teach administrative proceduresTeach administrative procedures Ensure competence in the use of sales and sales support toolsEnsure competence in the use of sales and sales support tools Minimize sales force turnover rateMinimize sales force turnover rate Prepare new salespeople for assignment to a sales territoryPrepare new salespeople for assignment to a sales territory Improve teamwork & cooperative effortsImprove teamwork & cooperative efforts

Evaluate Training Alternatives Selecting Sales TrainersSelecting Sales Trainers –Internal –External Selecting Sales Training LocationsSelecting Sales Training Locations –Decentralized (e.g., district or regional offices) –Centralized (e.g., corporate headquarter)

Evaluate Training Alternatives Selecting Sales Training MethodsSelecting Sales Training Methods –Classroom/Conference Training –On-the-job Training (OJT) MentoringMentoring Job rotationJob rotation

Evaluate Training Alternatives Selecting Sales Training MethodsSelecting Sales Training Methods –Behavioral Simulations –Absorption Training Selecting Sales Training MediaSelecting Sales Training Media –Internet –Computer-Based (e.g., CD-ROM) –Paper-Based

Design the Sales Training Program Finalize the Training ProgramFinalize the Training Program Schedule Training SessionsSchedule Training Sessions Make Necessary Travel ArrangementsMake Necessary Travel Arrangements Make Necessary Accommodation ArrangementsMake Necessary Accommodation Arrangements

Perform Sales Training As the training is being conducted, the sales manager’s primary responsibility is to monitor progress of the trainees and to ensure adequate presentation of the training topics.

Conduct Follow-Up and Evaluation It is always difficult to measure the effectiveness of sales training. Nevertheless, a reasonable attempt must be made to assess whether current training expenditures are worthwhile and whether future modification is warranted.