For many new sales reps, it can take up to six months to ramp up and find their stride before generating any revenue. However, there’s a difference between when a sales rep is ramping up and when they’re just not performing.
So how do you know when poor performance suggests it’s time to clean house? There are three key behaviors you can use to identify underperforming salespeople and whether or not it’s time to replace them.
Daily Behaviors
Learn what a sales rep is doing on a daily basis to help understand whether a sales rep has the motivation to succeed but is just falling short, or just isn’t putting in the effort. First of all, what is the sales rep doing on a daily basis? Good sales reps should be asking questions and raising options. They should be seeking out advice to problems and come up with solutions. Are they the first ones in the office and the last ones out? If the motivation is there, but they aren’t making their numbers, then there is an option to coach or retrain them until they get a better understanding of the sales process and techniques. If they don’t have the drive and aren’t making quota, then it might be time to replace the sales rep.
Are they the first ones in the office and the last ones out? If the motivation is there, but they aren’t making their numbers, then there is an option to coach or continue training them until they get a better understanding of the sales process and techniques. If they don’t have the drive and aren’t making quota, then it might be time to replace the sales rep.
Sales Progress
Measuring a sales rep’s progress in moving prospects through the sales process is important when considering whether or not to look for a replacement. Where is the rep having issues? Is it in generating new leads, qualifying the account, or closing deals after the presentation? A sales rep with great client relationship skills but who is having trouble closing, for example, may make a better strategic account manager than a hunting sales rep. However, if they are not generating enough leads, it may be an indicator of lack of effort and a reason for termination. At a minimum, it will help you identify where to focus your coaching efforts.
Deal Closures
The final indicator of whether to replace a sales rep comes down to deal closures. How much revenue is the sales rep achieving for your company? How does he or she compare against quota? When a sales rep just isn’t able to make the numbers time and time again, then it would be irresponsible not to replace them. Evaluating a sales rep in these areas will help you get a better understanding of whether they will be able to succeed as a sales rep at your company, or if they ultimately need to be replaced.
If you are planning some spring cleaning and planning to hire some new sales reps, check out our Employer Interview Guide to find out what characteristics are unique for top-performing sales reps.
