Good sales motivation isn’t just about money. There are tools that work better. Even the smallest salespeople experience little motivation from their employees, even though they only have a handful of salespeople. The main reason is the lack of interest of the shopkeepers in this field. They rely entirely on the role of critical appraisal, which is counterproductive in setting many small and medium businesses today.
Lehits entrepreneurs pay close attention to motivating salespeople. They know this affects sales.
The result is discontent on both sides. Salespeople complain that they do not enjoy working and are not being paid enough, and employers refer to a lax approach to sales and a lack of concern for results.
Rather, wasting time wondering what it was like before Chicken or eggsAny resentment of workers or owners, it is better to break this vicious circle. It’s hard to expect employees to do this.
“It is a widespread mistake that people only care about money.”
The intuitive businessman knows an enthusiastic seller is a necessity
Having enthusiastic salespeople sure is helpful. They are the ones who determine the success of your business in the first place. Neither prices nor good merchandise are the most important. Of course, it’s easier to set a discount or get a new product, but if the employees aren’t interested in selling it, you won’t get any much improvement.
It is a widespread mistake that people only care about money. Research says otherwise. But why do you constantly hear around you that your salespeople are only interested in how much you pay? there are many reasons. On the one hand, people are generally accustomed to taking situations that they think are expected. Public awareness says only an idiot can talk about money, so everyone prefers to say that they are primarily interested in money on payroll. Then there is a fear that if the money is described as insignificant, it will reduce or not increase its salary. Why not, when it appears that it is not a priority for him, the seller thinks.
Above all, there is a complete lack of other stimuli. If you imagine the general motive as a fund full of many incentives, then if you find money only here, its sum should replace whatever is lost. This, of course, is not the case.
How to motivate salespeople to sell actively
However, a smaller dealer is available A number of motivational toolsThat large chains could not help but calmly envy him. In particular, you are close to your employees and thus not your element in the personnel department. You usually meet them every day so you can work on them around the clock. Both by example and praise. An immediate appreciation for what the sellers are doing is a more effective incentive than cash rewards.
As for the monetary reward, it must consist of three components. In addition to the fixed salary, there are also bonuses based on the turnover achieved, as well as bonuses paid immediately for extraordinary activity, effort, etc. The rewards should then be evaluated on a weekly basis. Monthly summary arrives late – The period is closed and the employee cannot retroactively influence anything. I lost an entire month. However, with weekly billing, it can start to correct from Monday onwards and increase activity if the results of the previous period are not popular ( See also the article How to motivate salespeople).
In such a small team, it is also easier To create a comfortable human environment. Nobody puts their social (i.e. social) needs in the closet when they come to work, so workers want (and need) a positive human environment even during working hours. If you only have time to release work orders, now is the time to change that.
Effective sales motivation according to intuitive marketing
An effective incentive system must fulfill the following three requirements:
1. The goal must be measurable
2. The goal and its achievement must always be visible
3. Each employee can easily calculate the amount of pay by himself
Sales goal setting should then be understood as a very necessary prerequisite for you to be able to use the incentive system at all. As mentioned earlier, if there’s nowhere to go, people will turn idle. Not on purpose and out of bad faith, but because this is the way the human psyche works.
Perhaps the simplest and most effective of these is the expression of this goal in monetary terms, that is, in sales. There are, of course, instances where this may not be the case, where it would be better to focus on profit or, in terms of long-term sustainability, to prevent sellers from offering only the most expensive goods, but in most cases this criterion will suffice. It has the great advantage of being able to monitor and evaluate it constantly.
Determine sales goals
The famous Russian writer Fyodor Mikhailovich Dostoyevsky spent several years in a concentration camp in Siberia. He later described, among other things, how convicts always demanded to work on the task, even though it was higher than when they had only to do until the end of the allotted time. The prospect of finishing their work a little sooner and then being able to sit there drove them to high performance.
Of course the store is not a forced labor camp but basically here When it comes to motivation, the same thing is true. If people only had to sell, they would do so at a moderate pace. However, if they obtain a goal and promise a reward, their performance will increase.
Sure, a cash reward system exists in many stores, but merchants usually claim that it is not very effective. However, the error is not so much in the principle itself as in its implementation in practice. So let’s take a look at what he did to make the motivation work.
It is important to have a consistent overview of the sales volume
Once, a store manager proudly told me that data was always available to sales reps. However, when I asked where she saw them, she led me to her computer. He is said to show it to everyone upon request. Everyone can definitely imagine taking interest in such a possibility. The seller will not run from the counter or refill the shelves as soon as possible to know the current situation.
So it is up to the store owner or manager Actively display numbers for sellers. And preferably with commentary, for example at a quick daily meeting.
Because even that encouragement disappears quickly during the day, it is important that people always have the current numbers in front of their eyes. All you have to do is place two data in a visible place (for example on a cash register, on a counter, etc.) – plan and reality. Well, in everyone’s eyes, customers who don’t have a label will have no idea what this is all about. But the sellers did.
The third requirement states that the seller must be able to easily calculate the amount of his wages. At the aforementioned Baťa factories, they solved it by filling out a simple form at the end of each week and calculating the salary. This requirement is not an end in itself. Of course, they don’t have to fully account for your paycheck, you have accountants or payroll companies for that, but it’s important for everyone to know how much extra money you’ve actually earned. Maybe in the middle of a month or a week.
To do this, of course, it is necessary to have current numbers on hand, as follows from the second requirement. Then also simple rules. If you set up the motivation system is too complex and has many conditions, people will lose their orientation and quit. However, if it’s only a percentage of the sales volume (or the positive difference between plan and reality), it’s easy for everyone to understand.
Why is it important for motivation? First, when it comes to material encouragement, specific numbers are indispensable. Nobody hears about “some money”. Second, fear of the loss factor works well here. Imagine that, in the middle of the month, sales results will be counted at a premium of 1,000 kronor, but then will begin to diminish due to reduced sales. Most people make an effort to keep losing it.
When you deal with salespeople, they are treating customers
Many marketers say, “It’s a utopia,” noting that their salespeople have it The human approach was considered a weaknessWhich should be used. Again, this is based on general ideas and not on a real situation. Of course, if you treat your employees with these expectations, they will achieve them for you. However, if you expect a friendly approach, you get it too. And it is better to get rid of the remaining, inaccessible things than to lose a whole bunch of effective motivational tools because of them. Therefore, stimulate relationships first and foremost, with money in the second place.
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