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Advice needed for hiring sales reps!

by Ashley Wright
12 replies
Ok so I have come to the stage now where I believe it is time for me to start to recruit Sales reps, Field Sales, Sales Executives whatever you want to call them!

I am looking to start of by looking for commission only based reps to begin with and I am wanting to know if anyone has had any experience with this and how it has worked out?

Most of our business has came from referrals but now we are wanting to ramp things up when it comes to offline marketing.

All advice is welcome
#advice #hiring #needed #reps #sales
  • Profile picture of the author beeswarn
    Need some more information, first. Can you sell? If so, can you also train your new people to sell your services?
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    • Profile picture of the author The Sales Guy
      Originally Posted by beeswarn View Post

      Need some more information, first. Can you sell? If so, can you also train your new people to sell your services?
      Beeswarn makes a good point. You need to be able to replicate your sales ability with each salesperson.

      Based on my own experience, hiring commission only salespeople is extremely difficult. Why?
      Most "salespeople" aren't very good at what they do. So, taking a commission only job would be shooting themselves in the foot. They would have little - to no - pay at the end of the week...and your turnover would be sky high.

      Only the best of the best have the chops to work "straight commish." And unless you have a VERY lucrative deal, chances are you'll be hard-pressed to find one to work for you.

      Smarter move would be this...

      Find out what is acceptable for you in terms of revenue created each week by a salesperson, then offer a small salary in proportion to that number. For example...

      If you feel a salesperson should be generating $800 per week working 5 hours per day, 5 days per week, maybe offer somewhere in the $10 per hour range. This comes to $250 per week. Your profit is $650. Additionally, offer bonuses for different sales levels the salespeople hit, ie; 1-10 sales they get an additional $50 bonus, 11-15 sales they get an additional $100 bonus, etc.

      Most salespeople (in my experience) aren't superstars - they're just "average". Offering them a small salary will motivate them to actually work instead of talking throughout their shift or pretending to make dials
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  • Profile picture of the author Ashley Wright
    Thats a very good point! Yes I can sell, so training others to sell would not be a problem at all!
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  • Profile picture of the author beeswarn
    That does not necessarily follow, does it? That's the point I wanted to raise.

    Find out as soon as possible whether you can train people to sell and, if not, be sure to hire a sales manager first. A good sales manager is very, very valuable to a growing business.

    Congratulations on reaching this step. I hope you keep growing.
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  • Profile picture of the author Ashley Wright
    Smarter move would be this...

    Find out what is acceptable for you in terms of revenue created each week by a salesperson, then offer a small salary in proportion to that number. For example...

    If you feel a salesperson should be generating $800 per week working 5 hours per day, 5 days per week, maybe offer somewhere in the $10 per hour range. This comes to $250 per week. Your profit is $650. Additionally, offer bonuses for different sales levels the salespeople hit, ie; 1-10 sales they get an additional $50 bonus, 11-15 sales they get an additional $100 bonus, etc.

    Most salespeople (in my experience) aren't superstars - they're just "average". Offering them a small salary will motivate them to actually work instead of talking throughout their shift or pretending to make dials
    That is a smarter way to think of it! And at the same time they will be motivate with incentives etc of extra commission on top of their salary etc
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    • Profile picture of the author The Sales Guy
      Originally Posted by Ashley Wright View Post

      That is a smarter way to think of it! And at the same time they will be motivate with incentives etc of extra commission on top of their salary etc
      Yes, it is. Almost forgot to mention...

      After about a week or two AT THE MOST, take an axe and chop out all of the "dead wood" (people that can't sell or aren't producing a positive ROI). These people either do not have ability, or, can sell but are too burned out or lazy. This step is critically important. If you don't do this, the dead wood will quickly eat into your profits
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  • Profile picture of the author eguinan
    I've been in sales for many years. I have also attempted to hire and train sales people. In my opinion, the best sales people are not the best sales trainers. It's a totally different skills set. I enjoy having a sales manager who has been "in the trenches", but that person usually isn't the best trainer also.

    I have learned to be very careful about the people that I am hiring in the beginning and also weed them out quickly if they aren't a good fit. I simply cannot turn someone into a great salesperson who doesn't have the intuitive gifts to begin with. I can polish the list, watch statistics and repeat what works though.
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    • Profile picture of the author beeswarn
      Originally Posted by eguinan View Post

      In my opinion, the best sales people are not the best sales trainers. It's a totally different skills set. I enjoy having a sales manager who has been "in the trenches", but that person usually isn't the best trainer also.

      I have learned to be very careful about the people that I am hiring in the beginning and also weed them out quickly if they aren't a good fit.
      These are the real goods. And the second paragraph about being slow to hire and quick to fire is the way to the top. Most small businesses get that process backwards. Do not hire your friends or relatives, or you will too.
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    • Profile picture of the author The Sales Guy
      Originally Posted by eguinan View Post

      I've been in sales for many years. I have also attempted to hire and train sales people. In my opinion, the best sales people are not the best sales trainers. It's a totally different skills set. I enjoy having a sales manager who has been "in the trenches", but that person usually isn't the best trainer also.
      I respect your opinion. Honestly, I can see why you say that, but, I think you're painting with too broad of a brush. Surely, there are many salespeople who are also adept at training...myself being one of them. Yes, they are two different skill sets, but, who's to say someone can't do both?

      There are many sports figures who started out as players and transitioned into successful coaching careers. Many actors turned directors, etc., etc., etc. To reiterate, there are the ones that can't do both. Again, however, I simply don't believe you can definitively say "salespeople cannot train."

      I for one would MUCH prefer to have someone coaching me who's done what they are teaching me - for all the obvious reasons. They've been where I was. They've experienced it.
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  • Profile picture of the author beeswarn
    She's still right. You're arguing points that aren't at issue here and confusing the original poster. The OP asked for advice from people who've done this before, and we were giving it to him.

    Being a great salesman does not automatically translate to being a good sales manager. Great salesmen can be both, but they most often aren't. Sales training is an entirely different skill set.

    You're new here, and it's okay to wish to establish a reputation as The Sales Guy in the Warrior Forums. But you're never going to do it by trying to drown out the advice of experienced people.
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  • Profile picture of the author Jason Kanigan
    Your question gets asked about once a week. Use the Search function and find Offline threads about "hire sales reps" or "hiring sales reps.

    Here

    Are A

    Few To

    Start With.


    From my own experience:

    * expect it to take a few "rounds" to find good salespeople

    * the best are probably not going to work for free, or a tiny commission; they're probably already working now for more than you can pay them

    * do not hire stay-at-home moms, teenagers, students or anyone without a verifiable track record in phone sales; they will waste your time, give up after 2 hours, and not pan out EVER

    * do not involve friends or relatives, unless your relationship can survive you firing them (and I'm 99.999999+% sure it cannot)

    * self-motivation is the key quality for you to look for in a candidate. You cannot teach this, and since they are contractors, you cannot really put in any accountability system. When I do subcontracted calling, I use pamela for skype and ftp my call recordings up to my client. Then they hear and see exactly what I've done. But that's me. Others are simply not going to do that--or think to do that.

    I'm really unsure you can determine how well or poorly someone is doing after only a week. What I would do is ask about their task records: what did they do, when did they do it. If they don't have anything, then they probably didn't do anything.

    This is a tough path, finding good commission salespeople. Good luck.
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  • Profile picture of the author Bredfan
    Not sure I am the right person to chime in....I have not hired commission only sales people successfully. But I have done it, so maybe my mistakes can help??

    I've hired 3 times (in three years) and also hired a couple other types - appointment setters, and also account manager types.

    Ultimately, the commission only people didn't work out - they just didn't sell. This is my fault as much as theirs....just not the right people, skill set or expectation on my part.

    The appointment setters worked...a little. I hired a couple different people and also a company who specializes in outbound TM and appointment setting. IN both cases, the calling was not of sufficient quality for me to keep it going. **Though I did get one of my longest term, highest paying clients from the appointment setting company.

    Ultimately what worked for my company to scale was to develop business relationships with other types of companies: some who pass me leads, some who white label my production, and some who I use to outsource work to. This allowed me to scale without hiring sales people. Biz Dev relationships act as an extension of my business....they are my business.

    All that said...in my previous life, the top 2 SEO sales reps (out of 60) both came to my company from 100% commission jobs. These two ladies were sales MONSTERS. The right commission only reps will kill it...just a matter of finding the right person, the right skills, with the right goals and mindset.

    Post back with how your search goes...
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