Sales Motivation
Everybody is motivated by something. There is always some end result we’re ultimately seeking, whether our goal is to get in shape, get a promotion, or perhaps, to make a sale. Well, here we have some research on the science of motivation and the findings are quite surprising.
Career analyst Dan Pink conducted a study using science, examples and case histories to enlighten us on the best and most effective methods to get your sales team motivated. Let’s take a look.
“When the focus and goal are clear – incentives work great,” Pink says.
This condition is certainly in play for commission based salespeople, incentive programs, contests, rewards and awards. But are the focus and goals always clear? When salespeople take our assessments, one of the questions asks by how much they exceeded or missed their quota or goal. The data shows that a significant percentage of salespeople don't have a goal or a quota!
This seems like an easy fix; you’ll just need to establish a clear and attainable goal or quota for your sales team and voila – your salespeople will become more driven and accomplished. However, it gets a little more complicated.
If we look at the data from the 450,000 salespeople who have been assessed by Objective Management Group, the percentage of findings which show lack of money motivation (especially among higher income earners) has been increasing each year. Some of us may find it surprising that not everybody is motivated by money, but the bottom line for your sales people is that everybody is different.
So, for those who are clearly motivated by money, and where you have a clear goal and focus for them, their compensation should and must be commission-based. On the other hand, there are also those who may not be quite as money motivated as they were earlier in their career, when their money-motivation got them to their current level of income. These folks are often motivated more by recognition, awards, competition, time-off, public service, or philanthropy. With this, your compensation program should be flexible enough to compensate them in an appropriate manner too.
Take some time to find out what your sales people are motivated by and tailor your compensation or incentive programs to their desires. And don’t forget quotas!
Material inspired by Dave Kurlan of Objective Management Group.
Career analyst Dan Pink conducted a study using science, examples and case histories to enlighten us on the best and most effective methods to get your sales team motivated. Let’s take a look.
“When the focus and goal are clear – incentives work great,” Pink says.
This condition is certainly in play for commission based salespeople, incentive programs, contests, rewards and awards. But are the focus and goals always clear? When salespeople take our assessments, one of the questions asks by how much they exceeded or missed their quota or goal. The data shows that a significant percentage of salespeople don't have a goal or a quota!
This seems like an easy fix; you’ll just need to establish a clear and attainable goal or quota for your sales team and voila – your salespeople will become more driven and accomplished. However, it gets a little more complicated.
If we look at the data from the 450,000 salespeople who have been assessed by Objective Management Group, the percentage of findings which show lack of money motivation (especially among higher income earners) has been increasing each year. Some of us may find it surprising that not everybody is motivated by money, but the bottom line for your sales people is that everybody is different.
So, for those who are clearly motivated by money, and where you have a clear goal and focus for them, their compensation should and must be commission-based. On the other hand, there are also those who may not be quite as money motivated as they were earlier in their career, when their money-motivation got them to their current level of income. These folks are often motivated more by recognition, awards, competition, time-off, public service, or philanthropy. With this, your compensation program should be flexible enough to compensate them in an appropriate manner too.
Take some time to find out what your sales people are motivated by and tailor your compensation or incentive programs to their desires. And don’t forget quotas!
Material inspired by Dave Kurlan of Objective Management Group.