Sales Turnover: How to AvoidOn December 1, 2021 by blog-admin
The end of the year is coming, turnover is high, more than a third of your team has already changed in this year of 2020 and how are we going to make this not happen again in 2021?
I’m André, General Manager here at Reev Academy.
Come to Home Office Friday today and we’ll teach you how to make it happen.
What is turnover?
Stop for a second and take a look at your sales team these past 12 months.
How many people who have not left it, who are no longer part of this team.
In B2B sales, turnover, also known as turnover, is historically very high.
It hits a third of the team, more than 30% of the team leaving that company every year.
In 3 years, you’ve already changed 100% of your sales team basically.
And to make matters worse, to develop a new salesperson on a team, it takes at least three months, sometimes going over 6 months.
So looking at these two data basically the manager is running a risk of more than 30% chance of him wasting the work of a whole year that he did with the seller.
This happens because you are training him, adapting to the new process and when he leaves, it ends up taking all your time invested.
And unfortunately what we have, most of the time, is the manager’s disappointment in the end when that turnover really happens, when the person ends up leaving the team after a few months he joined.
Now, managers who have a well-structured hiring process and especially who know how to deal with the salesperson in this evolution process can keep him motivated over time.
A good tip that can be used when hiring is the following.
The manager has to align expectations with that new person he is bringing to the team, how he will perform, how he will develop, how he will run and improve the process on a daily basis.
These managers are able to assemble a team full of top performers who deliver results with consistency and who do not abandon this team after a few months.
How to reduce turnover
So what differentiates these managers who are successful in hiring and developing new talent versus managers who suffer from turnover and all the frustration that this brings to their daily lives?
As a manager here at Reev Academy and talking to several managers every day here in my process, what I noticed that most differentiates these managers who do not suffer from turnover is that they are not aware of the main pitfalls that cause demotivation in their team.
Basically they know that the salesperson will not want to stay with their company and on their team if they don’t deliver constant evolution for that salesperson both in his career and in the skills he develops.
In addition, he will also not want to stay for long if the commission plan, his variable remuneration is not well organized, is not fair and there is no clear thing for him in what is happening that he is receiving.
Lastly, if his job is boring being just an operational task and full of process bureaucracy, he will not be motivated.
Just by being aware of these points, these managers are already able to structure and adapt to provide the best evolution experience within that new team for the salespeople they are hiring.
And then obviously turnover rates reduce a lot too.
So I’ll explain a little better how these managers manage to make this happen.
3 pillars that impact turnover
When we talk about seller motivation over time, there are three points that team of Capital Smart City would say are the most impactful within this sphere.
1# – The first one is that the seller feels challenged in some way on a daily basis. It needs to be an established and realistic challenge…
And even because of the profile we normally see in sales professionals, this is something that adds a lot in terms of motivation, of really wanting to reach that goal.
2#- The second one ends up being about productivity and also about the importance of the professional engaging with that process, because if you are not very productive, just doing operational tasks or things that do not bring results in the end, you will lose motivation.
Naturally you will feel that you are not that important in the process, and this is something that helps a lot to keep the person motivated to feel that they are making an Impact.
Especially when we talk about generations of millennials because they give a lot of importance to this part of having an impact and making a difference.
And delivering productivity to this professional, he will naturally feel that he is delivering a lot more too, and then stay motivated.
3#- And finally, of course it is the commissioning and valuation part as a whole, not only the variable remuneration, it is super important also because in the end nobody lives patted on the back and congratulations, this is a very part of recognition and appreciation.
But the salesperson also has to get a feel for it, that he really matters to the company and that he is being rewarded for the good results he brings.
How to apply and secure talents
So now that you know what problems are causing turnover and you also know what is the situation in the ideal scenario that we have to reach.
Team of Blue World City will show you a little bit of how this midway develops, how you’re going to get to this scenario where your team is motivated
He wants to stay with your company and obviously everyone benefits from that situation in the end.
Taking that first problem we mentioned is that the professional does not feel that he is evolving both in his career and in his abilities, the first thing we have to do is to have a career plan.
Having evolution, if you only have one type of salesperson, put different tiers, Junior, Senior, or if you have SDR and Account Executive, you align the time or result that that SDR needs for him to be promoted.
A career plan is not such a complex thing to put together, after that so taking the skills part you have to have a very well-structured training process for all these salespeople.
Both new salespeople, which is the famous onboarding process, but also the training process for those who have been on the team for a long time.
This salesperson needs to feel that he is always evolving within his team, so you have to be well aligned with him that every day, for example, he will invest 15 minutes consuming some content, doing a sales course or even just talking to you that is the manager or with another member of the team.
Some of the constant training process, this will make him not forget the things he is learning, if we do not reinforce new learnings after a month or so we have already forgotten more than 90% and what we learned in the first place.
So it has to be a routine thing.
And besides, after this salesperson is already established in that team, our goal has to be to improve 1% a day, in the end it works, but as he has already gone through onboarding, he is already ramped up.
He has already reached his potential, the idea is to make incremental evolutions, you keep him motivated and of course, you improve his results in the end too.
So, to solve this problem of lack of evolution, you have to have a well-structured career plan for this team and also everyone has to have a routine training process, a habit of evolution within your team.
And then, in this part of training, I created a spreadsheet for you to diagnose the main points your team needs to evolve and also for you to structure, put the training process on paper and know what your team’s evolution routine will be from here to front beauty.
Speaking of the training process, I was invited by our team here to give a workshop on sales training there at our Reev Unite event, and I put together a spreadsheet for you to structure your own training process.
We know that it is not easy to understand what are the most relevant issues to train the team or how we establish this routine, what types of training we can use, if we use a RolePlay, if we do coaching, if we use content, training, courses, on this worksheet you will be able to do all this, a diagnosis of your team to understand what are the most important points to be trained.
And of course a model for you to put your training routine on paper and pass it on to the rest of your team, it’s time to see the staff evolving, bringing real results.
Now talking about the commissioning and variable compensation part, I’m not even going to go into it that much here because we have an epic blog post, it is the most complete guide ever on commissioning and variable compensation.
It certainly doesn’t make sense for me to tell you something else here because you will have much more insight on how to strategically build this in your sales operation.
And then jumping to the third problem, which is the problem of unproductivity, we want the seller to have many deliveries and that he feels important in the process.
This I would say is the most universal problem we see here in the Brazilian market, to give you an idea, basically 65% of a salesperson’s day is spent on operational tasks.
That it’s not directly linked to a sale, it’s not a sales meeting, a conversation with a lead, or anything else is an operational task.
And so you can have an idea of almost a third of these operational tasks on the salesperson’s day, they are just logging tasks in CRM, putting information there.
So if the salesperson spends more than half of his day on tasks that are not sales-related, it’s tasks like putting things in CRM and other operational things that don’t bring a direct result.
How do you want this salesperson to stay motivated, how do you think he’s going to really feel that he’s important, that he’s making a positive impact on that team for that operation.
So what we have to do to solve this is to make our process as efficient and as less operational as possible on paper, it’s not such an easy thing to do but doing an analysis, documenting properly, talking and talking to the whole team, you will definitely have some good ideas of what can be improved in this process.
But really, to reach maximum efficiency, we will need technologies to help with this productivity as well.
If you have this possibility of technologies to help you then you can rest assured that you will certainly be able to greatly reduce these operational tasks for your team and then, in the blink of an eye, you will see their motivation and, of course, the results also increasing. a way you’ve never seen it happen before.
So for your team not to be unproductive for them to feel that they are important and that they have an impact on your operation, you have to have a structured process as efficiently as possible for them.
And you need to have these technologies to take you one step further and actually reduce that operational work more significantly.
In terms of processes and organization, I’m indicating here another home office Friday for you too, which is precisely about these points and I’m sure it will bring you several practical insights for you to optimize your process and make it as efficient as possible. before.
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