Module - High Performance Sales

Understanding the Role of Peripheral Sales Elements

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Sales environments
At the beginning of our discussion, we mentioned how important social media have become for today’s sales teams. It is necessary to
become aware of how technology and modern marketing approaches impact sales performance.

For example, Facebook, Twitter and Linkedin may transform the way we meet sales targets as leads may be generated in such a way
that sales teams are unable to carry out proper assessment and filtering. According to Rob McCarthy, a social media buying cycle
consists of the following stages:

Talk – members of the social network begin to discuss specific products and services following marketing campaigns and
promotional messages.
Attention – the initial discussion brings the specific products to the attention of all members of the social group and specific
communities who may have not been aware of the original marketing campaign.
Interest – those members whose requirements are aligned to the product features are likely to become interested and initiate
communication with the sales team.
Desire – the members who have found out more about the product enter the next stage, which includes a strong interest and
desire towards the product and its features.
Action (buy) – next the members engage in communication with the sales team, helping them to proceed with the purchasing of
the product.
Use – the product is being used and the members of the social media group become aware of the extent to which their needs
are satisfied by the product.
Opinion – customer experiences are posted in the form of specific opinions, which are shared in the social group and trigger a
new cycle, with community members responding to opinions and engaging in discussions.

It is evident that the cycle described above represents a very different sales environment from what we have been used to so far. It is
critical for businesses to understand how they need to adjust their sales efforts in order to be competitive and relevant in the
emerging environment. It seems that the technological evolution of the Internet and the proliferation of social media have had a huge
impact on the environment within which sales teams must operate.

It is, therefore, necessary for the sales team to consider the new environment and perform the following:

Picking the right target – there are so many social media types, which may confuse the marketing and sales teams when
targeting leads. It is important to identify the most appropriate social networks and communities to ensure leads are accurately
identified.
Researching the market – market segmentation has been affected by the existence of so many different sub-groupings, meaning
that market research must be based on in-depth analysis of each social network that may be a possible source of leads.
Assessing competitors – it is critical to assess the readiness of each competitor with regard to the penetration of social networks
and identification of suitable leads through social media.
Creating value propositions – as websites and online content become the main sources of information, it is necessary to identify
whether certain sales tactics may be replaced by structuring appropriate web content.
Aligning sales tactics – by communicating with the sales team, it may be possible to realign sales tactics to fit the new medium. It
is important to reflect on current practices of sales teams, as well as views on their own performance.
Observing sales practices – the benefits of monitoring and observating are invaluable as sales teams can obtain a clear view of
existing tactics and their success.
Revising resources – it may be possible to adapt existing practices and resources to fit the new medium by carefully reflecting on
what portions of sales resources and tactics have remained relevant.
Integrating social media – it is essential to provide the necessary training and engage in social media as part of the sales
process.
Nurturing relationships – as leads and customers are part of a global community, sales personnel must adopt the same
behaviour to ensure they are connected to the market and can also associate to the behavioural and usage patterns.
Communicating findings – both sales and marketing departments must communicate their experiences from the use of social
media and social networks.

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Quite often sales teams do not have the opportunity to reflect on the way they perform their role and meet their targets. It is essential
for sales teams to engage in frequent surveys or other means of communication in order to provide their views on the working
environment.

Some typical questions we could ask sales persons with regard to the working environment and peripheral elements of the sales
process might target the following areas:

Expectations associated with the sales person role

Availability of sales team leader
Advice and suggestions provided for sales activities
Sales questions that remain unanswered/unsupported
Approval process followed for sales tactics
Feedback provided for individual sales performance
Information provided for successfully conducting sales
Opportunities offered for improving sales skills
Clear sales goals and targets provided for team and individual
Reflection on quality of leads
Calculation of time, money and effort associated with each lead

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It is necessary to provide a positive sales environment, which will enable the sales team to reach its optimum performance. This
means that organisations must create those conditions that will minimise disruptions and obstacles to sales operations.

Consider the sales teams involved in selling time-share vacations. This is a product that was very popular in the 1980s and 1990s but
has not been in demand as much over the past couple of decades. This is a tough time for selling holiday deals which require the
customer to be committed for several years. Sales teams must have as much support as possible and a positive sales environment
can achieve this. Suggest the main actions that must be taken to provide such an environment.
Feedback
In order to create a positive sales environment, we must consider the ways we can better support the sales team and also how to
address the main customer needs. We can identify a few measures that can be easily taken, including:

Ensuring that the customer is not pressurised and remains in his/her comfort zone, able to make decisions in their own
time and after assessing all aspects affecting their sales decision.
Providing reassurance to the customer that the sales team is not there to take advantage of him/her and gain from a sale,
but to offer specific services and support in order to make an informed purchase.
Conducting the sales presentation in a way that the key points are clear to the customer and any additional information is
provided in a way that is not confusing and overwhelming.
Establishing professional manners, including the dress code and even the tone of voice and expressions used. At all
times, the sales team must look and act professionally.
Maintaining a consistent approach that is not affected by sales targets and individual objectives. The sales performance of
the team and the individual should not affect the way the sales activities are conducted.
Avoiding haste, even if sales calls must be completed in a certain amount of time. The outcome will be that customers will
feel pressured and hurried through the sales process, and it is quite common for these customers to avoid closing the sale.
Acquiring communication skills that are effective in the sense that the sales message comes across loud and clear. The
scope is not to trick the customer into purchasing goods but to make a decision that he/she will not regret in the future.
Providing a sales environment that is tidy, clean and looks professional. The sales team must be perceived as highly
organised, based on efficient coordination and professional attitudes.

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Consider how customers experience a visit to any store when going out shopping. A trip to the shops may include a visit to a retail
unit that may sell clothes, electric devices or even furniture. It is quite common for most well-established chains to have a consistent
store layout and staff members who demonstrate similar behaviour. This is in line with a strategy for providing a professional service
and establishing a good reputation amongst the store visitors. We must consider that the sales environment consists of (i) the store
exterior, (ii) the store interior, and (iii) the store staff. For example, some of the most common features of the store interior are as
follows:

The way staff members are dressed.

 The way staff members address customers and answer questions.
The cleanliness of the store interior.
The organisation of any documentation, equipment and resources that may be used during the sale.
The professional style used when demonstrating products or answering questions.

For those scenarios involving e-commerce websites, consider how the shopping experience is based on similar concepts. The online
sales environment involves several features, such as:

The layout of the interface.

The tidy and clear web page design.
The clarity of any online actions being available to the users.
The straightforward navigation.
The specific guidelines during online financial transactions.

Resources
You can find further reading and useful resources as follows:

Changing the sales

environment https://www.researchgate.net/publication/261671558_The_Changing_Environment_of_Selling_and_Sales_Management
Collaborative sales environment https://www.entrepreneur.com/article/302126
Building a sales environment http://www.cunaopsscouncil.org/news/4700.html
Video on creating a sales environment http://www.youtube.com/watch?v=kbVHb2IQ4-M
Video on building a retail environment http://www.youtube.com/watch?v=i7W5kxd_u3M

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Managing sales
We have explained how the peripheral elements of the sales process may affect the outcome of most sales activities and it is
necessary to understand how the sales process is managed. It is critical for each member of the sales team to understand the
structures, processes and policies that are in place as they are likely to affect the way sales tactics are performed.

The first lesson for each sales representative is to consider how sales management involves several stages that contribute to the
performance of the sales department overall, whilst at the same time realise that these may also affect how each sales person meets
his/her targets.

The sales management process involves a number of stages that can be identified as follows:

Setting a suitable sales environment – this stage includes all those activities necessary for creating a positive sales environment
that supports high performing sales teams.
Putting together a marketing strategy – this stage is focused on creating a clear marketing strategy that determines how leads
are identified and provided for the sales team in order to turn them into opportunities and customers.
Organising sales management activities – this stage is concerned with the corrective and preventative measures that can be
taken to ensure that sales activities are in line with the organisation’s targets.
Identifying determinants for sales performance – this stage is focused on the identification of those criteria that can be used to
assess the sales performance of both individuals and teams.
Assessing sales outcomes – this stage provides an opportunity to reflect on various measurable criteria that describe the
performance of the sales team overall, as well as the progress of each individual member of the team.
Controlling the sales process – this stage provides the means for the sales manager to ensure that the sales process is in line
with the marketing and sales strategies, and that the identified goals are still relevant and achievable.

The sales operations of an organisation, as with most of its other processes, are subjected to external forces that are likely to have a
significant impact on their outcome. It is critical for organisations to become aware of how the external environment may affect their
operations and, in particular, the performance of their sales team. The main factors that must be taken under consideration include
the following:

Economic – focusing on issues such as disposable income, distribution channels and the economy at large (i.e. society or
national level).
Legal – focusing on issues such as laws and directives constraining the way businesses operate.
Political – focusing on government influence and initiatives from other institutions that may prevent certain activities (e.g.
consumer protection).
Technological – focusing on the impact new technologies and the evolution of existing ones have on organisations and their
 operations (e.g. design of new products, use of innovative technologies).
Natural – focusing on the availability of resources and the impact business operations may have on the environment (e.g. the
use of natural resources for producing certain goods and services).
Social – focusing on demographics and the mapping of societies affected by the business operations (e.g. target markets and
targeted social groups).
Cultural – focusing on ethical norms, values and beliefs that may affect the way products and services are perceived and
accepted.

The above list is usually described in the form of a PEST or PESTLE analysis of an organisation’s environment with the acronym
based on the factors used to perform the analysis.

In addition, there are also some internal factors that are likely to affect the way a business performs its sales. In particular, the
following factors are likely to have an important contribution on the way the sales process is managed:

Goals and objectives – focusing on identifying common goals, aligning individual and team aims, and providing a list of SMART
objectives for each member of the sales team.
Corporate culture – focusing on how the organisation’s mission and vision are likely to affect everything from policy making to
conducting sales operations.
Human resources – focusing on the workforce that is likely to be involved in the sales process, as well as any members of the
organisation that are going to be affected by the performance of the sales team.
Financial resources – focusing on the budget allocated for sales processes and the impact that business finances have on sales
performance.
Supply chains – focusing on the existence of a clearly defined supply chain and the way the supply chain is managed.
Production and service capabilities – focusing on the capability of the organisation to create and support specific products and
services to fit the needs of its customers.
Research and development capacity – focusing on the ability of the organisation to introduce products and services that take
advantage of research and development activities and exploit the use of creative and innovative solutions.

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Regardless of whether the sales team belongs to a large or small organisation, its performance is affected by the way the sales
environment changes over time. This can be described as follows:

Increasingly, sales teams face a new obstacle associated with thelack of time experienced by customers. People are too busy
to spend time discussing with sales personnel, and shopping decisions usually now take less time than they used to.
The impact of personal relationships on sales deals is not as high as it used to be. These days more people think more about
the savings they can make and the costs associated with purchasing products and services. In the past, a significant proportion
of customers valued relationships and the way sales personnel would treat them.
The need for expertise is more demanding than ever. Customers require sales personnel to be informed about the product
features and the benefits that are likely to be gained from using the specific product. Customers needs sales people to educate
them in the way products meet their needs.
The sale process is driven by the sale person, and not the customer anymore as customers become time-starved, having no
time to provide detailed descriptions of their own requirements. The sales personnel must come up with suggestions and
possible solutions.
The role of social media is important for the formulation of customer needs, perceptions and requests. The sales process
attempts to match the product features to the requirements generated through social networks.
The impact of technology on sales is extremely important as more and more products and services are reliant on the use of
technology.

We can consider the rather specialist sector of children’s educational toys. The market has been affected by the introduction of global
players, resulting in a significant proportion of products being similar across regions and countries. The changing sales environment
means that sales are affected as follows:

Time-starved parents are less likely to invest time in researching the best learning toys for their children if the sales team has
already grouped products according to theme, age and learning activity.
The parents are likely to purchase toys online or go to larger stores with better offers and cheaper prices rather than visit small
corner shops where sales personnel might establish a long-standing relationship while their children grow up.
Sales people must be able to answer many questions regarding the specific characteristics of each toy and the learning
activities it involves.
Sales personnel are likely to make suggestions to customers who may not be willing to spend time on lengthy browsing
sessions and have specific needs that must be fulfilled.
The fact that both parents may be members of certain online communities and social networks is likely to affect their judgment
and preference for certain toys already chosen by other parents.
 Finally, the role of technology is significant both for toys that are likely to involve certain technological aspects and the way
parents receive marketing information for specific toys.

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Assuming that you have to manage a sales team consisting of several individuals who help customers select a mobile phone and a
suitable network tariff, discuss the way you would manage the sales process and provide specific examples of how you would support
your team in performing according to the highest possible standards.
Feedback
You should consider concentrating your efforts as follows:

Establishing a clear focus on individual customers as they enter the store in an effort to identify what their real needs are.
Training individual members of the sales team in attitudes, skills and techniques throughout their career and offer
opportunities for retraining after staff induction.
Ensuring that individual members of the sales team have a clear awareness of their own role and the responsibilities that
come with it.
Enforcing behaviours and communication that are required from professional sales personnel.
Providing opportunities for the sales team to bond and celebrate meeting individual and common goals and targets.

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Recently, a few national chains in the UK have been under administration following the economic downturn of the nation and the
global financial crisis. However, quite a few of these organisations include businesses that did not manage to adapt to changing
times, had significant expenses and costs that could not be matched by revenues streams, and were based on old-fashioned sales
models. The Internet has been a huge factor in the failure of so many businesses that used to be thriving in the past. Two of the best
known examples are HMV (the retailer of entertainment products including music CDs and DVDs) and Blockbusters (the DVD and
console game rental business).

Apart from providing a healthier breakdown of infrastructure and costs, these businesses must reassess the way they conduct their
sales. The sales managers must focus on:

Keeping motivation and commitment high amongst the sales team members who will survive any redundancies.
Having a clear understanding of the reasons why customers certain have remained loyal to the chain.
Attracting feedback from customers with regard to the way the business is still able to meet their needs, or in cases where it fails
to do so.
Maintaining a strong relationship with customers through communication and added value in the form of further services.
Adapting the sales practices to be in line with modern times, by integrating technology and innovative sales tactics.
Establishing a trusting and positive sales environment with emphasis placed on providing a pleasant and rewarding shopping
experience for customers.

Resources
You can find further reading and useful resources as follows:

Sales management blunders http://sbinformation.about.com/od/sales/a/salesmanagement_2.htm

Online sales resources http://www.thesalesresourcecenter.com/

Managing sales reps http://www.evancarmichael.com/Sales/4102/Managing-Sales-Reps-with-Attitude-Problems.html

Managing sales performance https://www.xactlycorp.com/blog/what-is-sales-performance-management/

Video on managing sales http://www.youtube.com/watch?v=08r0TqRt_Wo