Determining Training Needs* <ul><li>Judgment of: </li></ul><ul><li>Top Management </li></ul><ul><li>Sales Management </li>...
Sales Training Objectives <ul><li>Increase productivity  </li></ul><ul><li>Improve morale </li></ul><ul><li>Lower turnover...
Sales Training Topics <ul><li>Product or service knowledge </li></ul><ul><li>Market/Industry orientation  </li></ul><ul><l...
Product Knowledge Topics <ul><li>Critical information  for rational decision-making  </li></ul><ul><ul><li>Company’s produ...
Market/Industry Orientation Topics <ul><li>Industry fit into overall economy </li></ul><ul><li>Knowledge of industry and e...
Company Orientation Topics <ul><li>Company polices that affect their selling activities </li></ul><ul><ul><li>Personnel </...
Time and Territory Management <ul><li>Sales trainees need to learn to manage time and territories </li></ul><ul><li>Time s...
Legal/Ethical Issues <ul><li>Federal law dictates corporate action or avoidance of action in areas of marketing, sales and...
10.3 Ethics Training Part of  Sales Training <ul><li>Insurance industry suffers bad reputation of unethical behavior </li>...
Technology <ul><li>Notebook computers </li></ul><ul><ul><li>Presentations </li></ul></ul><ul><ul><li>Connecting to company...
10.4 Internet Training <ul><li>Increased control over content </li></ul><ul><li>Less costly </li></ul><ul><li>Comprises 15...
Specialized Training Topics <ul><li>Specialized, job-tailored training most effective </li></ul><ul><li>Sample topics </li...
ALLOCATING TRAINING TIME <ul><li>Average </li></ul><ul><li>Product knowledge   35% </li></ul><ul><li>Market/Industry Infor...
10.6 Training Road Blocks <ul><li>Training can’t solve the problem </li></ul><ul><li>Busy, jaded salespeople are not open ...
<ul><li>Eighty percent of a new field salesperson’s training should be focused on developing customer profiles, digging ou...
Table 11-5   Sales Training Evaluation Practices Criteria   Importance Measure   Type   Rank Trainee feedback Reaction    ...
<ul><li>1. Treat all employees as potential career employees. </li></ul><ul><li>2. Require regular re-training. </li></ul>...
Assess   Setting   Setting Training Objectives   Budget Needs What   Where Training   Trainers? Topics?   to Train? Method...
Instructional Methods Used in Training
Why Train Salespeople? <ul><li>Reduce turnover - high among new staff </li></ul><ul><li>Improve customer relations </li></...
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Ch11

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Ch11

  1. 1. Determining Training Needs* <ul><li>Judgment of: </li></ul><ul><li>Top Management </li></ul><ul><li>Sales Management </li></ul><ul><li>Training Department </li></ul><ul><li>Interview With: </li></ul><ul><li>Salespeople </li></ul><ul><li>Customers </li></ul>68% 73% 60% 59% 25% *Percent of firms indicating they often use these assessments to determine training needs. Source: Robert Erffmeyer, K. Russ, and Joseph Hair, “Needs Assessment and Evaluation in Sales Training Programs,” Journal of Personal Selling and Sales Management , 11,1 (Winter, 1991), p. 21.
  2. 2. Sales Training Objectives <ul><li>Increase productivity </li></ul><ul><li>Improve morale </li></ul><ul><li>Lower turnover </li></ul><ul><li>Improve customer relations </li></ul><ul><li>Improve selling skills </li></ul>
  3. 3. Sales Training Topics <ul><li>Product or service knowledge </li></ul><ul><li>Market/Industry orientation </li></ul><ul><li>Company orientation </li></ul><ul><li>Selling skills </li></ul><ul><li>Time and territory management </li></ul><ul><li>Legal and ethical issues </li></ul><ul><li>Technology </li></ul><ul><li>Specialized topics </li></ul>
  4. 4. Product Knowledge Topics <ul><li>Critical information for rational decision-making </li></ul><ul><ul><li>Company’s product specifications </li></ul></ul><ul><ul><li>Common product uses/misuses </li></ul></ul><ul><li>Competitive products comparison on </li></ul><ul><ul><li>Price </li></ul></ul><ul><ul><li>Construction </li></ul></ul><ul><ul><li>Performance </li></ul></ul><ul><ul><li>Compatibility </li></ul></ul><ul><li>Technical products require more time on product knowledge training </li></ul>
  5. 5. Market/Industry Orientation Topics <ul><li>Industry fit into overall economy </li></ul><ul><li>Knowledge of industry and economy </li></ul><ul><li>Economic fluctuations that affect buying behavior and require adaptive selling techniques </li></ul><ul><li>Customers' buying policies, patterns and preferences in light of competition </li></ul><ul><li>Customers' customers needs </li></ul><ul><li>Wholesaler and retailer needs </li></ul>
  6. 6. Company Orientation Topics <ul><li>Company polices that affect their selling activities </li></ul><ul><ul><li>Personnel </li></ul></ul><ul><ul><li>Structure </li></ul></ul><ul><ul><li>Benefits </li></ul></ul><ul><li>Handling customer requests for price adjustments, product modifications, faster delivery, different credit terms </li></ul><ul><li>Sales manuals </li></ul><ul><ul><li>Hard copy, online </li></ul></ul><ul><ul><li>Product information </li></ul></ul><ul><ul><li>Company policy information </li></ul></ul>
  7. 7. Time and Territory Management <ul><li>Sales trainees need to learn to manage time and territories </li></ul><ul><li>Time spent training out of the field is costly </li></ul><ul><li>80/20 rule applies: </li></ul><ul><ul><li>20% of the customers account for </li></ul></ul><ul><ul><li>80% of the business and </li></ul></ul><ul><ul><li>Require the same proportion of time and attention </li></ul></ul>
  8. 8. Legal/Ethical Issues <ul><li>Federal law dictates corporate action or avoidance of action in areas of marketing, sales and pricing </li></ul><ul><li>Sales personnel need to understand the federal, state and local laws that constrain their selling activities </li></ul><ul><li>Statements made by salespeople carry both legal and ethical implications </li></ul><ul><li>Lapses in ethical conduct often lead to legal problems </li></ul>
  9. 9. 10.3 Ethics Training Part of Sales Training <ul><li>Insurance industry suffers bad reputation of unethical behavior </li></ul><ul><li>Insurance Marketplace Standards Association (IMSA) created in response </li></ul><ul><li>IMSA certification requires </li></ul><ul><ul><li>Ensuring salespeople pursue ethical practices </li></ul></ul><ul><ul><li>Ethical practices training for all agents and staff </li></ul></ul><ul><ul><li>Administering an exam for all sales professionals </li></ul></ul>Source: IMSA, www.imsaethics.org , Fall 2007.
  10. 10. Technology <ul><li>Notebook computers </li></ul><ul><ul><li>Presentations </li></ul></ul><ul><ul><li>Connecting to company intranet or extranet </li></ul></ul><ul><ul><li>Delivering documentation quickly and accurately </li></ul></ul><ul><li>Home offices eliminate the need to go to another office </li></ul><ul><li>Salesperson can be almost totally self-sufficient with </li></ul><ul><ul><li>High-speed network connection </li></ul></ul><ul><ul><li>Computer </li></ul></ul><ul><ul><li>Printer </li></ul></ul><ul><ul><li>Cell phone </li></ul></ul><ul><li>Effective computer use affords sales personnel more face-to-face customer contact time </li></ul><ul><li>Effective use requires training </li></ul>
  11. 11. 10.4 Internet Training <ul><li>Increased control over content </li></ul><ul><li>Less costly </li></ul><ul><li>Comprises 15-20% of all training today </li></ul><ul><li>Expected to be 50% within 5 years </li></ul>
  12. 12. Specialized Training Topics <ul><li>Specialized, job-tailored training most effective </li></ul><ul><li>Sample topics </li></ul><ul><ul><li>Price negotiations </li></ul></ul><ul><ul><li>Trade show effectiveness </li></ul></ul><ul><ul><li>Reading body language </li></ul></ul><ul><ul><li>Addressing SCA </li></ul></ul>
  13. 13. ALLOCATING TRAINING TIME <ul><li>Average </li></ul><ul><li>Product knowledge 35% </li></ul><ul><li>Market/Industry Information 15 </li></ul><ul><li>Company Orientation 10 </li></ul><ul><li>Selling Techniques 30 </li></ul><ul><li>Other topics 10 </li></ul><ul><li>Total 100% </li></ul>
  14. 14. 10.6 Training Road Blocks <ul><li>Training can’t solve the problem </li></ul><ul><li>Busy, jaded salespeople are not open to learning new skills </li></ul><ul><li>Conflicting methods and philosophies are taught at each session </li></ul><ul><li>The training isn’t relevant to the company’s pressing needs </li></ul><ul><li>The training format doesn’t fit the need </li></ul><ul><li>E-learning is overused, or used in wrong situations </li></ul><ul><li>There’s no follow-up after training </li></ul><ul><li>The trainer can’t relate to the sales team </li></ul>
  15. 15. <ul><li>Eighty percent of a new field salesperson’s training should be focused on developing customer profiles, digging out account survey data, and building working relationships in the field. Fifteen percent of his time can then be invested in learning about how your product or service is used by existing customers. The field is the place to gain product knowledge, not from an engineer or home office instructor. </li></ul><ul><li>Only 5% of a new field salesperson’s time, then, should be spent on </li></ul><ul><li>developing selling skills. Again, the place to do this is face-to-face with real customers: setting and testing real precall objectives and asking for real opportunities to do business. Understanding what has to be done to build selling skills can be mastered in 15 minutes. Doing it takes years of actual, not simulated practice. </li></ul>ON-THE-JOB SALES TRAINING
  16. 16. Table 11-5 Sales Training Evaluation Practices Criteria Importance Measure Type Rank Trainee feedback Reaction 1 Supervisory appraisal Behavior 2 Self-appraisal Behavior 3 Bottom-line measures Results 4 Customer appraisal Behavior 5
  17. 17. <ul><li>1. Treat all employees as potential career employees. </li></ul><ul><li>2. Require regular re-training. </li></ul><ul><li>3. Spend time and money generously. </li></ul><ul><li>4. Salespeople and sales managers must take the lead in developing what goes into the program. </li></ul><ul><li>5. In times of crisis, increase, rather than decrease, the training program. </li></ul>Building a Sales Training Program
  18. 18. Assess Setting Setting Training Objectives Budget Needs What Where Training Trainers? Topics? to Train? Methods? Evaluating Training Follow-Up Training
  19. 19. Instructional Methods Used in Training
  20. 20. Why Train Salespeople? <ul><li>Reduce turnover - high among new staff </li></ul><ul><li>Improve customer relations </li></ul><ul><li>Better morale & confidence </li></ul><ul><li>Control - consistence message </li></ul><ul><li>Increased sales </li></ul>

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