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Are great salespeople born or made?

The issue may be debated forever, but according to Vistage sales experts Jim Bleech, Gerry Layo and Jim Pratt, without effective sales training techniques, your company can never hope to achieve the growth needed to stay healthy in difficult times.

In the ongoing campaign to acquire customers, salespeople represent your company's front-line force. So quality sales training program development works best when it provides these tools:

• Expert customer relations skills
• Enhanced communication techniques
• Comprehensive product knowledge
• Advanced selling skills
  

Of course, it's not easy to custom-tailor every training program, especially when the sales staff is large and/or geographically dispersed. But typical training methods often suffer from inconsistent delivery of information and a lack of measurement tools to determine their effectiveness. They also suffer, Layo says, from insufficient preparation and planning for sales training program development.

"We plan our holidays and our vacations, do all the homework necessary to enjoy our break from work. Now look at your sales staff's plans for next week. Who are they calling on? What touch-pieces are going to prospects? How do they plan to go deeper and wider inside the customer's company?"

Before initiating a sales training program or  sales management training program, the CEO and sales manager should address certain key questions:

• What is each salesperson's current level of skill and product knowledge?
• How much support does the team get with updated product information and positioning statements? Does marketing support sales?
• Are sales goals clearly focused and established? What improvements have been made, both in the field and in the office, to make salespeople's work more efficient?
• How is the industry changing? Does the sales staff have a good working knowledge of your competitors' sales strategies and product development?
  
• Ask the sales staff: Is your company easy or difficult to work with? Is time consumed with needless paperwork or other activities that rate a poor second to actual selling?
• What are the sales training program's long-range goals (more repeat business, gaining entry to new territories, etc.)? Make sure goals are specific, attainable, measurable and meaningful.
  

Viewed from the CEO's desk, an effective sales training techniques program should have several broad objectives:

1. Increased productivity and profits. The sales team's role -- bottom line -- is growing profitable revenues.
2. Enhanced customer loyalty. "Your product can be top-quality and low-price," Bleech notes, "but without really good customer relations, your long-term prospects are weak."
3. Decreased turnover. If you recruit good people and provide career growth, they will be productive and loyal. Invest money where it will do the most good.
4. Self-managed staff. A well-trained sales team works from an ingrained sense of focus and purpose. It manages itself.
   

Serving the Customers

"Sales training should focus on teaching reps how to unearth the customers' highest value needs and educating them on opportunities they may not see for themselves," Pratt notes. "This is the kind of valuable information a company can use to modify its product offerings and deliver the specific benefits the customer really needs."

Of course, to know what the customer needs, you first have to talk to the customer. That's what Layo advises: "Train the sales force to engage your major customers in dialogue. What modifications to your existing products would better serve their needs? Are there products they'd like to have, but can't buy from you now?"

Survey your customers. Ask them about their long-range goals. Ultimately, they will give you the information you require to meet their needs. Done properly, this process demonstrates your commitment to them in ways that transcend the conventional buyer-seller relationship.

The CEO as Sales Leader

Companies with the strongest sales teams generally have at least one element in common, according to the Vistage sales experts. In each of these organizations, the chief executive officer has made a personal commitment to sales training and sales support. These CEOs don't view sales training as an expense; they view it as an investment.

"You can manage assets, but you have to lead people," says Pratt. "In sales training, that leadership quality manifests itself in strong support at the highest level. For the CEO, this includes showing up at sales training sessions -- even occasionally participating as an instructor."

Layo adds: "You can manage a company's assets and database, but you have to lead the salesforce. It's up to the organizational leader to create and maintain a culture of success, reflected in the attitude of each and every individual hired and trained as part of the sales team. The ideal attitude is 'I can, I will,' not 'What happens if I don't?'" His formula: "Attitude plus skills plus activity equals success."

All too often, CEOs preoccupied with bottom-line issues search for ways to cut the sales training program development and marketing budget. Instead, the Vistage experts say, they should focus on what can really help the business -- that is, helping build credibility for the sales team. "Having to establish credibility on their own, each time they hit the street, often leads to sales staff burnout and lackluster performance," Layo adds. "When work becomes drudgery, effort goes way down.

In other words, "challenge turns into misery," and CEOs are faced with high turnover, another draining expense for the organization.

Other reasons for sales staff burnout and turnover:

• Lack of focus. Some salespeople don't have strong personal and/or business goals.
• No direction. Salespeople want to follow a leader with a plan.
• Infighting. Corporate turmoil -- i.e., battles between departments like sales and production -- ends up sapping passion and momentum.
• Lack of tools. You've given the sales team a job to do. Do they have the tools to get it done?
  
• Wrong attitude from the top. "Sales goals and quotas should be ambitious, but not unrealistic," Bleech says. "When companies reduce sales support, cut training and cancel advertising, the message they're sending is: We don't have the commitment to get things done. Believe me, that message comes through loud and clear."
  

He adds: "I encourage CEOs to spend much more time involved in sales than they presently do. One example: salespeople should be able to call upon their own CEOs when they're making those all-important appointments. CEOs should spend time assisting the sales team in getting the kind of high-level customer appointments that really count."

Sales Training Programs

The right place to start with any sales training program development, the Vistage experts say, is by appointing a dedicated project manager. This person is charged ensuring that things happen the way they're supposed to happen -- on time, within budget, and according to set performance criteria.

The next step is linking sales training techniques to sales goals. "The best situation occurs when training with key business objectives is aligned with the company's mission," Bleech says. "Unfortunately, too many training programs focus on side issues or sales training techniques that aren't directly related to the bottom line. Always make sure that trainers and sales managers are in sync with the organization's overall strategic plan and vision. That's where support from the top becomes critical. Senior management providing ample support and resources paves the road to sales success."

A successful training program should also incorporate expertise in many, if not all, of the following areas:

• Company's market positioning and product line/mix
• New product launches
• New market penetration
• Sales skills
  
• Business management skills
  

"Many company training programs confuse product training with sales training," Bleech notes. "Don't make the mistake of infusing your team with product knowledge alone and then sending them out into the field. That's a waste of time, energy and money! Having the right sales skills will make all that product knowledge pay off."

"The first step in training is education," Pratt asserts. "A strong conceptual understanding of basic sales principles is the best foundation for effective training."

The next steps, according to Pratt, include:

1. Hands-on demonstration. "Someone with experience demonstrates the sales process to the trainee."
2. Application. The trainee participates in supervised skill practice of sales training techniques.
3. Coaching. This phase offers "in-flight corrections" to the trainee's performance.
4. Continuity. "Completing one or two sessions doesn't mark an end to the training process," Pratt says. "There must be continuous positive reinforcement."
   

Layo agrees: "Once the sales rep has the presentation down, most companies assume they'll perform well. The truth is, successful presentations only come with practice."

Salespeople are individuals; they don't come down assembly lines in a pre-fab, standardized, one-size-fits-all mold. To motivate them properly, Pratt says, you must find out what each one wants to achieve and then help them to do it.

"Contests, bonus plans, incentive schemes -- these activities will work with some people, but not all," he says. "Each person's motivation is different and it's the sales manager's job to identify them. Help each person create their own mission statement."

At the same time, he cautions, don't confuse motivational experiences with sales training. "They're not the same thing. A motivational speaker can fire up the troops, but once they're back in the field, they may still lack the essential tools to get the job done." His suggestion: be judicious in the use of motivational activities.

Layo adds: "We often assume that after hiring a sales rep and giving him basic training, he'll pick up on everything else he's required to do. When he doesn't, we either fire him or learn to live with the misery." The alternative? "First, never stop coaching. Second, assume nothing."

Sales Skills

What skills does an effective salesperson need? Pratt advocates starting with the basics: draw up a "skills profile" of the ideal salesperson you're looking for before hiring begins. The goal, he says, is recruiting and selecting to that profile through multiple interviews.

"First, look at the candidate's experience. Has the prospective salesperson attended a sales management training program or some other sales training? That comes from the bio. Then, during the interview, assess his or her talents. Is he articulate? Does she enjoy people? What kind of listener is he?"

Finally, assess the candidate's attitude. A positive attitude and the desire to become a supportive member of the sales team are absolutely essential. "Skills alone won't overcome a bad attitude," Pratt says.

Sometimes the sales staff has to educate the market about the product itself, Bleech notes. "In later phases-- after the market understands and is steadily using the product, sales often becomes little more than an order-taking process. Later stages of product development generally require skills that can be duplicated by technology. The problem is, if you end up selling a pure commodity, why should customers bother talking to sales reps at all? They can just as easily order the product off a Web site -- yours or your competitor's."

Layo agrees. "The salesperson's presentation depends on a knowledge of specific reasons why potential customers should buy the offering. I know a sales manager who begins his sales training techniques session by asking individuals to list ten specific and objective reasons why a prospect should buy. He insists on answers with depth -- not generalities like 'our quality is better' or 'our product is superior.' The sales force has to be thoroughly knowledgeable about the company and the products it sells."

In fact, Layo adds, everyone from the CEO on down should be able to list at least five significant reasons why a customer should buy your product or do business with you.

According to Bleech, two related traits -- integrity and credibility -- re crucial to building a customer's trust.

"Integrity means doing precisely what you say you'll do, each and every time. When you deliver, when in fact you actually do more by bringing new ideas to help the customer, you're building trust."

A salesperson establishes credibility by remaining visible to customers over a long period of time. Credibility also comes from generating ideas and solutions that relate directly to their needs.

"Don't focus on process over results," Layo says. "A salesperson who gets caught up in activities and neglects results suffers in the customer's eyes. As far as the customer is concerned, the process is secondary. No one really cares how you make something happen, so long as the result is what you promised, when you promised it."

The Sales Meeting as Training Tool

"A sales meeting represents an excellent chance to learn by incorporating ongoing sales training techniques and education," Layo says. "Here's an opportunity to practice, teach, coach and develop skills. The important thing is to plan ahead with a relevant, practical agenda."

Bleech agrees. "The overall purpose of a sales meeting is getting people pumped up to hit the ground running. Within that framework, the sales manager can use the occasion to share organizational news, communicate new initiatives, solve problems and offer encouragement."

"As much as possible, try to incorporate these elements into each sales meeting: exchange of information, leadership opportunities, sales skills training and education about your customers and the marketplace," Layo says. "Encourage the salespeople to speak up. Listen to their concerns and ideas."

Turning Around "Marginal Performers"

Sometimes, despite the best interview techniques and hiring procedures, a salesperson fails to live up to expectations. In most cases -- particularly if you can discern a basic aptitude for the job beneath the problems -- it's worth taking the extra time and effort to turn around these "marginal performers."

The key, according to the Vistage sales experts, is going through the process in a measured, step-by-step fashion.

The steps include:

• Verify the problem. Collect facts before tackling the behavior. Where are the flaws and shortcomings? What is the sales rep doing wrong? Pinpoint the gaps between what he's doing now and what you'd like him to be doing.
• Agree that a problem exists. You won't get anywhere until the sales rep acknowledges his or her difficulties.
• Assess the problems. Where is the selling behavior falling short? Ask the rep for his or her own assessment of the situation, then align that with your own analysis.
• Devise a plan. Together with the salesperson, develop a results-oriented plan that includes targeted improvements for a sales program development course customized for specific areas. In a written plan, itemize activities, timelines and results expected.
• Follow-up. Make sure the salesperson understands that there is now an "official" agreement between the two of you, and that results and sales efforts will be reviewed on a weekly basis.
• Support the plan. Do everything you can to help the sales rep on the path to recovery. Acknowledge progress along the way. Ask for objections and work them out before they become actual obstacles.
  

Pratt adds: "The most expensive time in a sales leader's life is when he or she loses faith in a salesperson and does nothing about it. If you don't replace under-achievers on a regular basis, you undermine the entire sales team."

Contributing Experts:These experts were selected from Vistage's stellar corps of expert resource speakers knowledgeable about advanced sales training techniques. Vistage expert resource speakers regularly share their expertise with individual Vistage groups in highly-interactive half-day sessions.

Jim Bleech
Jim Bleech is a Certified Professional Consultant to management with more than 25 years' experience in private industry. Jim and Dr. David G. Mutchler founded Leadership Development Center in 1990 as a national consulting practice with offices in Jacksonville, Grand Rapids and Chicago. The company specializes in working with CEOs and senior management on issues of corporate culture and strategic planning. At present, Jim provides consulting services to a nationwide clientele from his home office in Atlantic Beach, Florida. He is co-author (with David Mutchler) of two books, "Let's Get Results, Not Excuses!" and "When the Other's Guy Price is Lower." His third book (co-authored with Dr. Patricia Scarbrough) is a business novel titled "Knockdown!" Jim has conducted more than 250 presentations to Vistage groups across the United States.

Gerry Layo
Gerry Layo has more than 15 years' business experience - from starting out as an entry level sales rep in a business-to-business company to executive vice president of sales and marketing for publicly traded ITEX. Gerry has designed and delivered training sessions and keynote speeches to hundreds of groups across the U.S. He has also been a guest on several TV and radio talk shows, as well as conducting seminars, workshops and multi-day training sessions in a variety of industries. His Vistage presentation is entitled "Building a World-Class Sales Organization."

James C. Pratt
As chairman of The Pratt-Daly Corporation, a consulting and training company, Jim has earned a national reputation for successful sales, sales management and team building training. After successful personal selling, Jim built a sales force covering Europe, the Middle East and North Africa. He led this 5,000-member sales force of the Northwestern Financial Network. As co-founder and head of sales and marketing, he built the sales force of PMI Mortgage Insurance Company, one of the mortgage industry's major companies. He also served as executive vice president of one of the nation's ten largest savings banks and CEO of a real estate services company before starting his own consulting firm. Jim has conducted more than 100 presentations for Vistage groups in Australia, Canada, the United Kingdom and the United States. His book, "Sales Leadership" is available by calling 1-800-374-0300.