Posts Tagged ‘closing. clerking’

Who closes and who clerks.

Wednesday, April 29th, 2009

Let’s talk about salesmen for a bit.

First thought. It is said with confidence that 45% of salesmen don’t close. Personally I think this number is low, but I will run with the convention for this Blog.

That doesn’t mean that they don’t bring home the order, it simply means that in most cases they take the order, not develop it, THEY DON’T CLOSE! They function as clerks, not sales people, but of course they claim all the credit. In fact they will claim more credit for the sale because they know their weakness and will lie to cover it.

Because we managers are only interested in results we generally don’t seek to understand the difference. The problem is that this means we are out of control, our salesman’s performance is capricious, based on luck and Marketing in many ways. Is this bad? After all, we got the sale.

It is terrible for several reasons:

1 – We don’t know which of our efforts (marketing or sales) made the event happen, so where do we pour our limited resources, more marketing or more commissions?

2 – We loose predictability, the data about our sales pipeline is false or weak at best. If the salesman is really clerking then he in fact is doing three things.

A – Operating in the blind, most likely deceiving himself in the process.

B – Deceiving us, in essence selling us, most likely lying to us.

C – Not developing the customer meaning that customer retention is going to be harder and we are not getting maximum yield for that customer.

This lack of clear vision means that the actual effectiveness of our Marketing is not really understood, without this feedback Marketing cannot better tune itself, understand the success of that they are doing, get better at it.

Most important, we have a B or C player working for us in a time when A-players are on the market. If we understood the truth we could replace him with an A-player thus future-proof our company by increasing our overall quality of the process, moral, and power of our selling force.

I hope you like your clerks.