If your sales force could spend 10% more time selling, how much top-line revenue would be created?
Maximizing revenue per sales head requires you to balance customer requirements, company revenue expectations and sales rep workload to grow revenues. If you would like a hand, be my guest at The Studio, a multi-million dollar, one-of-a-kind, state-of-the-art executive briefing center. It was developed by SBI specifically for executive teams inside of companies with aggressive revenue growth goals, who don’t have a lot of time to waste, and have a lot on the line.
Would a 10% increase in selling effectiveness eliminate the need to hire additional resources? The first step in building a more effective sales force is defining current state. This article outlines three methods to baseline your selling time.
Developing a baseline of your selling time will give you much needed clarity. Some reps only make their revenue objectives by selling to the easy accounts. Others are spending too much time with accounts that do not fit the ideal customer profile. And yet, some sales reps have so many accounts to cover they cannot serve all of them correctly. Territory misalignment is a common cause of missed revenue targets.
Measuring Selling Time
1. Time Survey: Download this Time Tracker Excel Template and create 15-20 main buckets that represent the majority of the sales team’s time (e.g. Prospecting, Face-to-Face Meeting, CRM Data Entry). Send as a survey to all members of the sales force and ask them to enter the amount of hours they spend on a monthly basis on each activity. Take the aggregate hours from all selling activities and divide by the sum of hours spent in the role.
2. Direct Observation: Get in the car with your reps for a full day and record where they spend time. Create a template with buckets that represent major time investments for sales professionals.
3. Stop Watch: Each sales professional carries a stop watch. Every 30 minutes have them record what activity they are engaged in. Have each participant do this for at least two weeks.
Selling time activities:
- Face to Face Customer Meetings
- Proposal Preparation
- Prospecting, Cold Calling
- Pre-call Preparation
- Post-call Follow-up
- Account Specific Research
- Demonstration Preparation & Delivery
- Account Planning
- Opportunity Specific Emails/Communication
Now that you have base-lined current state selling time, set a goal for optimal future state. Develop a strategy on how to shift non-selling time to less costly resources and allow your sales professionals to focus on revenue growth.
Organizations typically shift non-selling tasks to sales support staff, customer support functions, marketing, or inside sales. After shifting tasks, measure the impact on selling time and revenue on a regular cadence. Direct your sales operations team to download the Baseline Time Tracking tool and capture your baseline to determine steps to increase the revenue per head.
We can set up a workshop at The Studio to review the worksheet with you team and co-develop a solution to hit your number. The Studio is SBI’s multimillion dollar, one-of-a-kind, state-of-the-art executive briefing center located in Dallas, Texas. A visit to The Studio increases the probability of making your number because the sessions are built on the proven strength and stability of SBI, the industry leader in B2B sales and marketing.