This document discusses various aspects of sales training, defining it as a crucial part of the learning experience to enhance productivity and customer relations. It outlines the training process, objectives, methods for assessing training needs, and evaluation practices to measure effectiveness. The text emphasizes the importance of ongoing training, involvement of salespeople in program development, and the necessity of reallocating resources during challenging times.

1. Part IV
Part IV
SALES FORCE COMPETENCIES
SALES FORCE COMPETENCIES
Teachers open
Teachers open
the door.
the door.

You enter
You enter
by yourself.
by yourself.
Chinese Proverb
Chinese Proverb
Chapter 8:
Chapter 8:
Sales Training
Sales Training

2. SHOULD IT BE CALLED
TRAINING OR EDUCATION?
• Learning is a relatively permanent change
Learning is a relatively permanent change
in behavior occurring as a result of
in behavior occurring as a result of
experience.
experience.
• Training is included in one’s experiences.
Training is included in one’s experiences.
Thus, training is part of an individual’s
Thus, training is part of an individual’s
total learning experience.
total learning experience.

3. What goes on in
What goes on in
Sales Training?
Sales Training?

4. SALES TRAINING PROCESS
SALES TRAINING PROCESS
Follow-Up Training
Planning for
Planning for
Sales Training
Sales Training
Developing the
Developing the
Training Program
Training Program
Evaluating Training
What Where Training Trainers?
Topics? to Train? Methods?
Assess Setting Setting
Training Objectives Budget
Needs

5. SALES TRAINING OBJECTIVES
SALES TRAINING OBJECTIVES
 Increase productivity
Increase productivity
 Create positive attitudes/improve morale
Create positive attitudes/improve morale
 Improved customer relations
Improved customer relations
 Reduce role conflict and ambiguity (turnover)
Reduce role conflict and ambiguity (turnover)
 Improve efficiencies (time and territory)
Improve efficiencies (time and territory)
 Introduce new products, markets, or
Introduce new products, markets, or
programs
programs
Why Train Salespeople?
Why Train Salespeople?

6. Experience
Less than 2 year 392 21 86
2-5 years 593 29 145
5-10 years 565 5 152
Over 10 years 470 8 139
Regions
Northeast 528 6 140
Southeast 520 8 161
Midwest 512 18 107
Southwest 421 26 111
West 544 21 131
Table 8-1
Table 8-1
Cross-Tabulations from Company Records
Cross-Tabulations from Company Records
Average Order
Average Order
Size per Salesperson
Size per Salesperson
New Customers
New Customers
Per Salesperson
Per Salesperson
Total Customers
Total Customers
Per Salesperson
Per Salesperson

7. Planning For Sales Training
Planning For Sales Training
1.
1. Assessing sales training needs
Assessing sales training needs
2.
2. Establishing specific objectives for the
Establishing specific objectives for the
training program
training program
3.
3. Setting a budget for the program
Setting a budget for the program

8. Judgment of:
Judgment of:
Top Management
Top Management
Sales Management
Sales Management
Training
Training
Department
Department
Interview With:
Interview With:
Salespeople
Salespeople
Customers
Customers
68%
68%
73%
73%
60%
60%
59%
59%
25%
25%
DETERMINING TRAINING NEEDS*
DETERMINING TRAINING NEEDS*
* Percent of firms indicating they often use these assessments to determine training needs.
* Percent of firms indicating they often use these assessments to determine training needs.

9. 1.
1. Interviewed key members or management to
Interviewed key members or management to
find out what changes are needed in
find out what changes are needed in
performance of the sales force.
performance of the sales force.
2.
2. Sent an anonymous questionnaire to customers
Sent an anonymous questionnaire to customers
and prospects asking:
and prospects asking:
 What do you expect of a salesperson in this industry?
What do you expect of a salesperson in this industry?
 How do salespeople disappoint you?
How do salespeople disappoint you?
 Which company in this industry does the best selling job?
Which company in this industry does the best selling job?
 In what ways are its salespersons better?
In what ways are its salespersons better?
3.
3. Sent a confidential questionnaire to each
Sent a confidential questionnaire to each
salesperson asking:
salesperson asking:
 What information do most of our salespersons need?
What information do most of our salespersons need?
 What information do you want to learn better?
What information do you want to learn better?
 What skills do most of our salespersons need to improve?
What skills do most of our salespersons need to improve?
STEPS IN PERFORMING A TRAINING ANALYSIS
STEPS IN PERFORMING A TRAINING ANALYSIS

10. 4.
4. Did field audits (making sales calls) with
Did field audits (making sales calls) with
20% of the sales force?
20% of the sales force?
5.
5. Interviewed sales supervisors.
Interviewed sales supervisors.
6.
6. Discussed and agreed on training priorities
Discussed and agreed on training priorities
with management.
with management.
7.
7. Determined trainable topics from
Determined trainable topics from
information gathered in Steps 1-5.
information gathered in Steps 1-5.
STEPS IN PERFORMING A
STEPS IN PERFORMING A
TRAINING ANALYSIS
TRAINING ANALYSIS

11. How much should it cost?
How much should it cost?

12. Table 8-2
Table 8-2
Average Cost and Training Period
Average Cost and Training Period
for Sales Trainees
for Sales Trainees
Consumer
Consumer
Industrial
Industrial
Service
Service
Consumer
Consumer
Industrial
Industrial
Service
Service
$5,354
$5,354
$9,893
$9,893
$9,060
$9,060
3.40 Months
3.40 Months
3.80
3.80
Months
Months
3.80
3.80
Months
Months

13. Table 8-3
Table 8-3
Average Cost of Training for Veteran Salespeople
Average Cost of Training for Veteran Salespeople
$0
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
Under $5 $5-$25 $25-$100 $100-$250 Over $250
Million Million Million Million Million
Median
Spending
Median
Spending
Company Size
Company Size
$3,752
$3,947 $3,902
$5,365
$4,824

14. What do you train on?
What do you train on?

15. ALLOCATING TRAINING TIME
ALLOCATING TRAINING TIME
Average
Average
Product knowledge
Product knowledge 35%
35%
Market/Industry Information
Market/Industry Information 15
15
Company Orientation
Company Orientation 10
10
Selling Techniques
Selling Techniques 30
30
Other topics
Other topics 10
10
Total
Total 100%
100%

16. Where do you train?
Where do you train?
1.
1. Centralized versus Decentralized
Centralized versus Decentralized
2.
2. Field Training
Field Training

17.  80%
80% of a new field salesperson’s training should be
of a new field salesperson’s training should be
focused on developing customer
focused on developing customer profiles
profiles, digging
, digging
out account
out account survey
survey data, and building working
data, and building working
relationships
relationships in the field.
in the field.
 15%
15% of time can then be invested in
of time can then be invested in learning
learning about
about
how your product or service is used by existing
how your product or service is used by existing
customers. The field is the place to gain
customers. The field is the place to gain product
product
knowledge
knowledge, not from an engineer or home office
, not from an engineer or home office
instructor.
instructor.
ON-THE-JOB SALES TRAINING
ON-THE-JOB SALES TRAINING

18.  Only
Only 5%
5% of a new field salesperson’s time, then,
of a new field salesperson’s time, then,
should be spent on developing
should be spent on developing selling skills
selling skills.
.
 Again, the place to do this is face-to-face with real
Again, the place to do this is face-to-face with real
customers:
customers:
– setting and testing real precall objectives
setting and testing real precall objectives
– asking for real opportunities to do business.
asking for real opportunities to do business.
 Understanding what has to be done to build selling
Understanding what has to be done to build selling
skills can be mastered in 15 minutes. Doing it takes
skills can be mastered in 15 minutes. Doing it takes
years of actual
years of actual, not simulated practice.
, not simulated practice.
ON-THE-JOB SALES TRAINING
ON-THE-JOB SALES TRAINING

19. Training Media
Training Media

20. Table 8-4
Table 8-4
Media Used in Sales Training
Media Used in Sales Training
77%
77%
Classroom with Instructor
Classroom with Instructor
Workbooks/Manuals
Workbooks/Manuals
Role Plays
Role Plays
CD-ROM
CD-ROM
Audiocassettes
Audiocassettes
Internet
Internet
44%
44%
34%
34%
32%
32%
39%
39%
54%
54%

21. EVALUATING SALES TRAINING
EVALUATING SALES TRAINING
Level of
Level of
Evaluation:
Evaluation:
What to
What to
Measure:
Measure:
How to
How to
Measure:
Measure:
When to
When to
Measure:
Measure:
 Reactions:
Reactions:
“Are trainees
“Are trainees
satisfied?”
satisfied?”
 Perceptions
Perceptions
of training
of training
 Course
Course
evaluation
evaluation
 Instructor
Instructor
evaluation
evaluation
 Survey
Survey
 Interview
Interview
 At the
At the
completion
completion
of training
of training
 Learning:
Learning:
“Did the
“Did the
training
training
have its
have its
intended
intended
effect?”
effect?”
 Knowledge
Knowledge
of course
of course
content
content
 Exams
Exams
 Self-
Self-
assessment
assessment
 Interview
Interview
 At the
At the
completion
completion
of training
of training
and at points
and at points
in the future
in the future

22. Level of
Level of
Evaluation:
Evaluation:
What to
What to
Measure:
Measure:
How to
How to
Measure:
Measure:
When to
When to
Measure:
Measure:
 Behavior:
Behavior:
“Are the
“Are the
salespeople
salespeople
on the job
on the job
using their
using their
knowledge
knowledge
and skills on
and skills on
the job?”
the job?”
 Skills
Skills
 Job
Job
performance
performance
 Absenteeism
Absenteeism
 Turnover
Turnover
 Performance
Performance
indicators
indicators
 Observation
Observation
 Managerial
Managerial
assessment
assessment
 Self-
Self-
assessment
assessment
 Over the
Over the
first year
first year
after
after
training
training
EVALUATING SALES TRAINING
EVALUATING SALES TRAINING

23. Level of
Level of
Evaluation:
Evaluation:
What to
What to
Measure:
Measure:
How to
How to
Measure:
Measure:
When to
When to
Measure:
Measure:
 Results:
Results:
“What effect
“What effect
does
does
training
training
have on the
have on the
company?”
company?”
 Job
Job
satisfaction
satisfaction
 Customer
Customer
satisfaction
satisfaction
 Sales
Sales
 Profits
Profits
 ROI
ROI
 Survey
Survey
 Experiments
Experiments
 Managerial
Managerial
assessment
assessment
 A year after
A year after
the training
the training
EVALUATING SALES TRAINING
EVALUATING SALES TRAINING

24. Reactions:
Trainees
Supervisors
Learning:
Performance
Pre-vs. Post-Training
Behaviors:
Supervisor’s Appraisal
Customer Appraisal
Results:
Bottom Line
*Percent of firms indicating they often use these evaluations to measure training results.
*Percent of firms indicating they often use these evaluations to measure training results.
EVALUATING TRAINING EFFECTIVENESS*
EVALUATING TRAINING EFFECTIVENESS*
86%
86%
68%
68%
63%
63%
31%
31%
64%
64%
41%
41%
40%
40%

25. Table 8-5
Table 8-5
Sales Training Evaluation Practices
Sales Training Evaluation Practices
Measure
Measure Criteria Type
Criteria Type Importance Rank
Importance Rank
Trainee Feedback
Trainee Feedback Reaction
Reaction 1
1
Supervisory Appraisal
Supervisory Appraisal Behavior
Behavior 2
2
Self-Appraisal
Self-Appraisal Behavior
Behavior 3
3
Bottom-Line Measures
Bottom-Line Measures Results
Results 4
4
Customer Appraisal
Customer Appraisal Behavior
Behavior 5
5

26.  Treat all employees as potential career
Treat all employees as potential career
employees.
employees.
 Require regular re-training.
Require regular re-training.
 Spend time and money generously.
Spend time and money generously.
 Salespeople and sales managers must take the
Salespeople and sales managers must take the
lead in developing what goes into the program.
lead in developing what goes into the program.
 In times of crisis, increase, rather than
In times of crisis, increase, rather than
decrease, the training program.
decrease, the training program.
BUILDING A SALES TRAINING
BUILDING A SALES TRAINING
PROGRAM
PROGRAM