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Top 4 Reasons Sales People Don't Hit Sales Targets
1. www.iainswanstononline.com
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Sales Targets – Top 4 Reasons Companies
Don’t Hit Them
November 25, 2013 by Iain Swanston – www.iainswanstononline.com
Sales Targets continue to elude many companies, but more importantly the reasons why
people do not hit sales targets has finally been uncovered. If you
are not already aware, every year Jim Dickie and his colleagues at
www.CSOinsights.com produce a fascinating report into the state
of the sales industry. The research is based on a survey of over
1,200 companies worldwide, collecting information on over 100
sales effectiveness related metrics. The in depth report is 17 pages
long and contains some great observations on the challenges that
Chief Sales Officers continue to wrestle with, as they try to
increase sales. I would encourage everyone to read the full
report, however for those who would rather a brief synopsis
please read on.
After reading the report my first thoughts, with respect to the participants, were how
fundamental the nature of the problems were. Many of the reasons people are not hitting
sales targets are basic Sales 1.0 rather than Sales 2.0, and because of this, I believe are more
difficult to fix. There is a tendency amongst some sales professionals to discount the basics,
as they have been in sales for ‘x’ number of years. (I have spent 16 years being a parent and I
am still struggling with it.) Any number of years in sales does not mean you can sell, or
mean you can consistently hit sales targets. Year on year statistics show a large percentage of
sales people not hitting their sales targets. Sales people are a very talented group of people,
but I continually see many “professionals” who make the most basic of errors, and the CSO
Insights report confirms this.
1. 4 out of 10 companies surveyed failed to fully understand the customers buying
process. The report provides a long list of areas where sales people failed to ask and
understand fundamentals such as Project Goals, Decision Makers and Decision
Criteria. Furthermore only 1 out of 10 were proficient at understanding the customers
buying process. In our sales training course Sales 101, we teach sales people that the value
of all sales people is not the information they give out, but the information they gather. Two
ears and one mouth = listen, ask questions and write it down.
2. Only 1 in 3 companies surveyed felt they could properly differentiate their products
and services. As the report quite rightly states, very few deals are uncontested, therefore the
ability to differentiate is vital for those companies looking to optimize win ratios. Only 2 out
of 10 thought they excelled at differentiating their products and services. Sales 101 tells