Regular sales coaching has an extraordinary impact on sales performance.
If you are satisfied with what you have, what use is sales coaching? You are already rich and it may be hard to stir up the motivation to improve.
If you have unfulfilled aspirations, the chances are that you know the things to do. You know the actions that will move you towards fulfilment.
The question, “I know what to do so why don’t I do it?” rattles around in the mind of all those who struggle to make progress in any quest for greater success.
Whether you are new to selling, an established contributor, or a manager who gets things done through others, investing in sales coaching offers immediate support that accelerates achievement.
“But I know what to do!”
If you know what to do and work is getting in the way or you are struggling for motivation or simply haven't mastered procrastination, get a coach and commit yourself to follow instructions . . . scary thought.
A coach depends on his or her reputation for success. Leaving the coached to do or not, is no way to start. Suppose Murray didn’t listen to Lendl, how long would Lendl stay?
If you were a swimming coach and some of your squad regularly failed to show up for training, how soon would you lose interest in their success?
Should such written and unwritten agreements be transferred to the world of sales coaching and if they were, would it make a difference for those who know what to do yet still don’t do it?
Three Sales Coaching Modes
Discipline
The expectations of a coach inject the additional gumption we sometimes need to spur action. A coach makes you do it!
Teaching
Busy salespeople may find it difficult to make time for professional research and may be reluctant to reveal ignorance about new ideas and methods.
A coach can assume responsibility for sourcing and communicating the required knowledge, help establish the habits and practices necessary for using new know-how, and provide the feedback necessary for developing skills.
Mentoring - Drawing out nascent abilities and skills harboured in all of us.
This coaching activity is the opposite of teaching new know-how. It relies on a Socratic ability to avoid polluting another person’s thinking with one’s own ideas and biases.
In this mode, the coach helps the coached to find their own answers and inspiration. People are much more likely to act on their own ideas than anyone else’s.
Convinced? Need to learn more? Ready to give it a try?
The average improvement in a salesperson's results as a consequence of monthly coaching is 13%.
We guarantee a return of at least five times the investment.
Quantifying the Investment
So how much success is equal to five times the investment? This is a question that is difficult to answer in a general way because everyone’s circumstances are unique.
A single sales executive coaching intervention might be enough to unstick someone’s progress, help overcome a troublesome obstacle, or renew commitment.
In other circumstances, the continuous support of a coach can make all the difference. The degree of aspiration has a bearing on the value. For sales coaching, we can calculate the amount of investment and ratio of return.
Suppose your time including any missed opportunity cost is worth £300 per hour and your coach costs £150 per hour. Depending on your seniority, you might think these numbers are high. You might not be receiving £300 per hour compensation yet these numbers aren't so extreme.
Suppose a salesperson had a gross profit target of £300k per year. The missed opportunity cost of a 1-hour coaching session would be approximately £160 (target divided by hours worked). If the same person earned a very modest (in the hi-tech world that I inhabit) £50k for on-target performance, the cost to his or her employer would be in the region of twice this number. This adds an hourly £53 to the total for £263.
If our imaginary salesperson was committed to the sales coaching process, each session would be associated with some preparation and would be likely to generate some follow on exercises that may not have any immediate impact. Let’s add another £53 to cover related unproductive time. The total hidden costs associated with an hour of coaching for our modestly compensated individual would be £316. Let's round this up to £350.
If you plug in your own numbers, you are likely to have a different total.
Suppose sustaining improvement momentum meant one session a month (£4,200 for a year including hidden costs). A fivefold improvement over cost would equal £21,000 or an increase of just 7% on a £300k profit target. Less for higher yields. In some cases, particularly for beginners, and those stuck in a rut, improvement can be significantly greater than five times the investment. As mentioned, based on our research and experiences, the average improvement is 13% or nearly ten times the investment.
Convinced? Need to learn more? Ready to give it a try?
This framework scales to accommodate those responsible for teams or entire organisations. Perhaps it should form the basis for a sales executive coaching contract. At the very least, any sales coaching arrangement should encompass specific commitments associated with clear measurable objectives that are incumbent on both the coached and the coach.
As Winston Churchill put it, “However beautiful the strategy, you should occasionally look at the results.”
Article by Clive Miller
If you need to increase sales performance for yourself or a team and would like to explore the use of sales coaching, we can help. Telephone +44 (0)1392 851500. We will be pleased to discuss your needs or talk through some options. Alternatively, send an email to custserv@salessense.co.uk for a prompt reply or use the contact form here.
