25% of Your Qualified Opportunities are Wasted by Poor Sales Calls

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25% of sales reps are wasting qualified leads

Activate Your Sales Managers To Start Converting More Qualified Opportunities Into Revenue.

Tweet this: Qualified opportunities are the lifeblood of your company’s existence.

The dirty secret of most sales organizations is that many qualified opportunities are wasted by sales organizations that are relying on ad hoc management processes. Sales leaders in these organizations are living on a hope and a prayer that their team can close enough deals to keep business leadership from giving them the boot.

Increase Sales Productivity up to 23%

Research by CSO Insights has shown that by managing your team to a process can improve their productivity by a whopping 23%. Developing your front line managers to activate them as growth coaches for sales reps is key to executing this process management.

The dirty secret of most sales organizations is that many qualified opportunities are wasted by sales organizations that are relying on ad hoc management processes.

Start With Your Sales Process

It sounds obvious, but it’s striking how many sales managers don’t do the basics. The first step is to define your sales process, and then the hard part: make sure you and your managers are managing to it.

I’m mostly indifferent to what sales process and tools you use—each company and sales organization need to use what works best for them. I am not; however, indifferent to whether or not you use a sales process at all. Defining a sales process, or methodology, is critical to the success of your sales team’s ability to maximize pipeline opportunities. Without one, your organization will flounder and miss goals.

Without a management plan, your front line managers don’t have the tools they need to help their teams guide qualified opportunities through the sales pipeline to close.

While most companies and sales leaders know this by now, many fail to take the next step and formalize a management plan around their sales process. Without a management plan, your front line managers don’t have the tools they need to help their teams guide qualified opportunities through the sales pipeline to close.

Your Reps are Likely Bumbling at least 25% of Their Qualified Opportunities
Tweet: Your Reps are Bumbling at least 25% of Their Qualified Opportunities https://ctt.ec/ZjJwb+

All sales processes experience the most acute loss of qualified opportunities at the top the funnel. Conversion rates are much higher in the latter stages of the sales funnel. So, ask yourself, what would a 5% improvement in your conversion rate at the top of your funnel mean for your overall result? It would be pretty impactful, wouldn’t it?

In our experience observing and assessing thousands of sales calls for our clients, we’ve found that at least 25% of sales reps’ interactions with prospects and clients are what we would score as red. That means that even the reps that you have invested heavily in training for are not properly applying the characteristics of what makes a successful call.

That’s 125 opportunities every week that you would have been better off not calling at all.

If you have 100 reps on your sales team and each of them are doing just one discovery call per day, that means your team is collectively throwing away 25 qualified opportunities every day. That’s 125 opportunities every week that you would have been better off not calling at all.

And these calls are going to continue every day, week in and week out, month after month. Until you find yourself at the end of the quarter trying to shake down your managers to eek out those last few deals to meet your objective before the clock stops. And then you have to start all over again in the new quarter.

Said differently, you would be better off if 25% of your sales reps just stayed home and didn’t make a single call. Because they are literally just throwing away qualified opportunities before that opportunity has a chance to really learn about the value of your solution due to ineffective discovery calls. If we can simply improve your discovery call conversion rate by 5%, and maintain your lower pipeline conversions, the revenue impact will be impossible to ignore! So, how can you do that?

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Activate Your Sales Managers to Drive Qualified Opportunity Conversion

stop wasting qualified opportunities CT graphicYour front line sales managers are the key to impacting this target.

For decades, companies have focused on skills training for business development and sales reps to improve sales team performance. We like to send them off to sales training where they’ll learn the proper skills they need to develop their individual territories and close deals. Investing in our market-facing reps to teach them better sales skills, conventional wisdom says, will impact revenue attainment from the bottom up.

This conventional wisdom has ignored the sales manager’s role in coaching and developing desired behaviors in sales reps over the long-term to ensure they are applying the skills they’ve been taught.

Your front line manager is so key to the success of your sales organization, and yet they’re simply thrown into the deep end without receiving guidance on how to manage their team.

How much training and development have your sales managers received? How often do you take the time to coach and develop your management team?

Further, do they have the tools that allow them to observe their sales reps’ behavior during the discovery call? Do they have the means and mechanisms to consistently assess their reps when they do observe them? And do they have the skills and the tools they need to become coaches that can develop and grow a high-performing sales team?

Your front line sales managers’ job is untenable. They have been recently promoted from account executive to management. They have had little or no formal training and suddenly find themselves managing 11 direct reports. This team likely includes two open head counts, three new hires, one low-performer, three mid-performers, and two high-performers—one of whom is threatening to quit. They have to report their 90-day forecast. They have pricing, product, messaging, Salesforce, their managers… The list goes on.

Your front line manager is so key to the success of your sales organization, and yet they’re simply thrown into the deep end without receiving guidance on how to manage their team.

If you want to narrow the performance variance you’re seeing in your qualified opportunities conversions, you will have the most success in doing so by activating your front line managers as coaches and multipliers. And you will want to get them to first focus on coaching and developing their under and mid-level performers.

Improve Under-Performing Sales Rep Behaviors

You know as well as I do that no two sales reps are created equal. The performance variance is fairly easy to calculate, yet difficult to narrow. But if you’re looking at improving conversion rates at the top of your funnel, from discovery call to proposal, for example, under-performing reps are going to be the lowest hanging fruit.

This is because under and mid-performing sales reps are the most likely to be wasting qualified opportunities at the top of your funnel. Your high-performing reps are already moving at least close to an optimized number of leads through this stage, so the improvement increment there will be minimal.

Activating your front line managers to improve under performers does not need to be complicated or time-consuming.

Activating your front line managers to improve underperformers does not need to be complicated or time-consuming. Once they know how to do it—and have the formal tools and/or processes in place to enable them—much can be accomplished within their normal, everyday workflow. They are likely already getting face-time with their reps on a daily, or at least weekly, basis. They simply need to add an observational element to see what their lower-performing sales reps are doing versus high-performers, and then include feedback and coaching during those scheduled interactions.

Let’s take another look at the discovery call. Your high performers are likely exhibiting behaviors that we would rate as good or excellent in most, if not all, of these characteristics of an effective discovery call.

  1. Start with an introduction and set a clear agenda.
  2. Share a compelling, provocative, and insight-led company story
  3. Identify a key issue or pain point personalized for the person on the other line
  4. Provide a relevant solution to the issue or pain.
  5. Qualify and close for next steps

Your low performers, on the other hand, either lack the knowledge that these are the key steps to converting their qualified opportunities or they lack the ability to apply this knowledge.

In either case, their behaviors need to be developed and coached through consistent, committed observation, assessment, and coaching to move them up to higher levels of performance. Your front line managers can effectively do this if they have a formal management plan, and the training and tools to execute it, they need to be successful.

Is your sales team simply throwing away hundreds of qualified leads every month? You have the power stop the waste by defining your sales process and formalizing how your sales managers are expected to manage to it. Your front line sales managers are the catalyst to moving your under-performing reps to improve their behaviors and conversions at the top of the pipeline, where the majority of your qualified opportunities are churning. If you can train and develop them into effective coaches, their impact will be multiplied throughout the sales organization to improve goal attainment.

 

FREE OPPORTUNITY MANAGEMENT GUIDE Click Here To Download