We all know that a motivated sales team is critical to the success of any business. The relationships they build with your clients and customers create the foundation of your business — not just in terms of individual sales, but also your overall reputation and growth.
So how can you motivate your sales team without just focussing on money? There are many different ways to motivate a sales team. Some companies use a traditional sales structure with set targets and commission paid in line with reaching these. Others go the “fun” route with contests, trips, tickets, dinners and other innovative rewards. All of these things are great and have their place but in my experience sales professionals need more than gift cards or event tickets: they also want to succeed in their chosen profession by climbing up the ladder whilst having a fun and dynamic environment to work in.
In the past traditional rewards of lower base salaries with a commission structure sitting alongside it (typically based on number of sales) have been commonplace. The majority of salespeople are used to a system that rewards only the top sales performers, however the tide is turning (and arguably has already turned). More recent trends show that employers are becoming much more savvy and imaginative when it comes to rewarding their sales teams.
Some companies are now following the trend of using reward systems that reward the individual that tries the hardest. Dan McGraw, founder and CEO of Fuelzee, said that one of the best ways his company learned about motivation was by rewarding the sales team for ‘no’s. “Every time someone got a ‘no’, we tracked it in our system, and the person with the most ‘no’s received a $100 gift card every week”, McGraw said. ”This might sound crazy, but you get a lot of no’s when doing sales. The more no’s you get, the closer you are to getting a yes. The prize of getting a yes is way larger than $100, so you still wanted to get there. This nearly doubled our outbound calls and motivated the whole team.”
You might think that a scheme like this could detract from your biggest sellers, but don’t worry, managed properly it won’t and it will simply act as a motivator to those who have the potential to get to a top spot in your business by providing them with recognition as they progress through the business.
Create a fun working environment. For some salespeople, the ability to have a little fun during work time is as much of a motivator as money (remember that your salespeople are working long hours and are in the office for a large proportion of their week) Common rewards for reaching sales goals or benchmark include leaving work early, attending a happy hour or maybe giving a trip to reward success over a long period of time.
Fun in small spurts can be just as rewarding as the financial rewards you offer. Rick Hanson, VP at Hewlett- Packard has said that his company uses Fantasy Sales Team to award points to “players" (sales reps) for carrying out their daily tasks, like increasing a pipeline or closing a deal. The unique twist is that the reps don’t just compete as individuals, Hanson said: they build teams just as in fantasy football. “Reps earn points for their FantasySalesTeam based on the performance of their chosen peers and friends, and this creates an environment of encouragement and pressure amongst the players” he said. “To win the game, they must rely and push on each other to perform. Even more exciting is just how many reps in our sales organization can, and want to, participate”.
Personally in businesses where I have worked you ‘hear’ when a sales representative succeeds. For instance, a closed deal results in the playing of a song of the salesperson’s choice, and sometimes a subsequent team dance (!).
Create Competition and take advantage of your team members’ natural competitiveness as a way to engage your people, boost morale, and make work more fun. Competitions are also excellent for improving performance during slow periods. Focus on a strategic business goal that you all need to meet. Devote a wall in the office to the contest, and post news about wins, display real-time updates and standings, and celebrate achievements. To make it more interesting and valuable, offer a small prize or reward.
Ask your team members what they would like to receive, or use your own judgment to come up with something creative and remember that it doesn’t have to cost the earth!
Take time to celebrate the good times and recognize success publicly. Jeremy Hudson, director of sales at Logic Supply’s motivational secret is “When the wins come, we celebrate them. It can be as simple as a shout- out on the sales floor, an email message to the whole company to recognize the efforts, or on occasion I will request that the CEO take them out for lunch.” Getting the ‘big dog’s’ involved in some of the rewards and incentives can work wonders as your sales team are likely to value some dedicated face to face time with a Director.
Career progression is a simple cost effective way to motivate your sales team too. Although the fun and financial rewards often work, for some sales employees, the ultimate reward is the opportunity to get ahead in their careers. Intrinsic motivators such as development and personal growth play a huge part with a competitive sales team and so don’t underestimate the power of offering training, and development opportunities, showing that you are supportive of allowing them to develop their skills to help move them to the next level or win that promotion (download our complimentary E-book on rewards for more information on intrinsic and extrinsic here).
The simple things can also have an impact on your sales team’s motivation. The majority of employers now offer table football, ping pong tables and similar activities to their staff. And although you might not think that a Ping-Pong table for the office would push people and drive behaviours, I would recommend that you try it, from my experience these types of incentives can make a real difference.
Try to think outside the box and try simple, one off recognition schemes. Colleen Stanley, president of SalesLeadership Inc., believes that email is nice, but a handwritten note is much more meaningful because it shows you’ve taken time to find a card and write a personal note. “I have seen cards sitting on a salesperson’s desk, however, have never seen an email propped up.”
You could also consider sharing content across your sales team. If you have intellectually curious salespeople on your team share with them a cool book, podcast, video or blog - something that you have personally found helpful and really enjoyed. Just be sure to pick topics that are relevant to the jobs or your industry to keep it ‘on point’!
When it comes to understanding how to motivate your sales team there is no simpler approach than asking them. You can do this via a survey, face-to- face or through team meetings but make sure that they understand that by giving their suggestions does not mean that you will put the reward in place. Gather ideas and suggestions and consider what works best for your business, employees and your culture.
These are just some of the ideas you can use to motivate your sales team without just focusing on money. Try to keep things fresh in your business and consider what your employees want to see and use this as a basis to generate new innovative ideas. By offering a variety of rewards, you stand a greater chance of having a motivator for every personality type on your team and developing all of your salespeople into top-tier team players. When your goals and their goals align, only the best things can happen.
For further information or advice and support on motivating your sales team join us at www.thehrhub.co.uk.