An online benchmark survey conducted by the Extraordinary Sales Performance Institute in April 2009 found that in a typical organization, the top sales performers, defined as the top 15% of the typical sales team, contributed 32% of the organization's sales revenue.
Among the other findings of this survey was that the two top performing segments of a typical sales organization accounted for 15% of the population yet contributed 32% of sales in 2008.
By adding the sales of the next 25% of the team, those rated as above average, the top 40% of a typical sales force contributes over 60% of all sales.
The survey also found that 80% of the organizations rank their salespeople by total dollars sold, while 20% of the respondents rank their salespeople by the extent to which they achieve their annual sales plan.
Meanwhile, what is happening with all of those people who aren't meeting their sales goals? A recent article by Michael Cannon, chief executive of the Silver Bullet Group Inc., Walnut Creek, Calif., said the typical pattern is that a company's executive team is not happy that the sales staff is not meeting expectations and a significant portion is fired.
"The spotlight then shifts to sales management, and in comes a fresh squad, which triggers another round of fire-and-hire through the sales ranks.
"When that doesn't work, the CEO fires the VP of Sales and hires the 'right person.' This change starts yet another round of fire-and-hire across the sales team," said Mr. Cannon.
But the people, he continued are not the problem. Rather it is the system that supports (or fails to support) the sale staff is the problem.
The "fire and hire" strategy is based on hope, which is management is hoping the sales person it hires is as good as the one being replaced. He said the odds of that happening are just 50%.
Then there are the financial costs - such as severance and unemployment for the fired person and recruiting and training for the new person. This approach, he said, also impacts sales productivity as managers are tied up in interviews rather than driving sales opportunities.
Mr. Cannon's "better way" is in a sales infrastructure checklist he created.
"Several components make up this system:
It includes having the appropriate positions, like inside versus outside sales or farmers versus hunters, plus the associated job descriptions and compensation plans defined and aligned with company objectives and market requirements.
It includes a hiring process that identifies competent salespeople, which means it needs to include a structured interview process and profiling or testing for the right skills, aptitude, and personality.
It includes a formal sales process or a set of best practices that is used to create leads, meetings, buying events, and orders.
It includes reports that track the sales activities, goals, and processes, and that distinguishes sales pipeline from sales forecast.
It ensures that the management team is effective in terms of providing coaching, accountability, and recognition.
It includes the providing of training in the areas of product and sales enablement, as well as traditional sales skills training.
It includes collateral and sales tools that are synchronized and that support the key steps in the sales processes.
And, of course, it includes high-quality messaging that is used across all the customer touch points, collateral, and sales tools.
"Experience has shown that focusing on the creation of a solid sales support infrastructure, as defined above, is essential to achieving and exceeding revenue, market share, and profit targets. And, great messaging - specifically great sales messaging - is one of the most critical components for building a successful sales support infrastructure," said Mr. Cannon.
To learn more about Mr. Cannon, visit
