In this article, we will discuss the 3rd Primary Internal Practice every company must have to achieve 9 Figure success. This encompasses the Sales Department. Each of the 8 Primary Internal Practices is essential to achieving real success and in my experience, the majority of Entrepreneurs really don’t understand why all 8 Primary Internal Practices are essential to achieving the real success they dream of achieving or how, when all 8 Primary internal practices are operating in harmony, they create massive synergy and consequently rapid growth for your company. Everyone knows sales are essential, however, there is a huge difference between being a great sales manager and being a great salesperson. The Sales Department is often the weakest department in an Entrepreneurial company often because the entrepreneur who founded the company is passionate about their company and is able to sell their product or service to their target audience yet have little understanding of how to build or train a great sales team which is essential to generating the cash flow the company needs to achieve growth let alone the rapid growth we help our clients achieve. Pay close attention to what you are about to learn, this department, like all 8 of the Primary Internal Practices in your company is essential to achieving consistent rapid growth.
Like each of the 8 Primary Internal Practices, this department is far more complex than the majority of Entrepreneurs realize. Most entrepreneurs believe they just need to find a good sales person or sales people and their business will grow. Many entrepreneurs will read a variety of sales training books and think they just need to apply what they have learned to the sales team and soon the sales will come flowing in. As we have discussed many times, we know proven science is essential in every sector of your company for it to achieve your goal of becoming a 9 Figure Company. One of the many sciences we apply in building a 9 Figure Company is from Gallup and what they discovered in their more than 46 years of research on what makes people achieve success effortlessly when they are working where their top five innate strengths work synergistically together to deliver the results, they are responsible to deliver for the company.
There can be many segments in the sales department, first is the sales management team which will be specifically designed for your company. Let’s look at all the possible segments you may have in a company. There is the tried and true salesperson who makes sales calls. These may be cold sales calls, warm calls and hopefully hot calls. The key element here is that they make the sales call. The success of these sales calls will depend on the sales persons innate sales skills combined with the training they have received on the product or services they are selling. Combined with whether the prospect is a cold, warm or hot prospect. This element is created by the marketing department and is not the responsibility of the sales department.
However, how the sales person interacts with the prospect can turn a hot prospect into a cold prospect or a cold prospect into a hot prospect. A great salesperson has great training combined with the innate skills to read a prospect, connect with a prospect, build rapport with a prospect and convert the prospect into a paying customer. The sales person learns these skills with two main items, one is sales training and the other is product training.
It is the sales management team that is responsible to train the sales person on both of these essential skills. Additionally, sales management must be tracking all the results of the sales person. Sales management needs to know what each sales person’s conversion rate is, did the conversion rate improve after the various training provided to the sales person, etc.
Has Sales Management created a customer service team that follows up with new clients to ensure they are absolutely happy with the investment they made in the product or service they purchased. Good Corporate Governance requires Customer Service to be a separate team from the sales team.
You may have some or all of the following sales teams in your company: Sales people that go to a prospect to win their business. An outbound call center that sells your product or service by calling prospects. An inbound call center that receives calls from various adds placed by marketing to motivate prospects to call and learn more about your product or service. Feet on the street, these are sales people that call on new prospects and/or calls back on existing customers to sell them new products or supplies. Online sales where prospects can find your product, review it and use a “Chat app” with a sales person to have their questions answered.
As your company grows you will need to hire a VP Sales to manage all the sub departments in the sales organization.
A very important part of sales is the art of negotiating. Many companies offer a list price and provide the sales team the option of lowering the price to “close” the sale, but do not train the sales team negotiating skills and this results in reducing your companies Net Profit and often this can have a very significant negative effect on the company. In future articles we will discuss this and many other topics specifically about sales and negotiations.
Until next time …