By: Matt Tyre, Director, Client Services
Recently I participated in a study conducted by a business school that looked at influencing factors that motivate sales people. Motivation factors could be positive or negative as viewed by sales people. For example a Pay & Rewards can be motivating if performed effectively by companies or the opposite can occur. Sales people may be completely demotivated based on a poor program that doesn't provide expected pay & rewards for performance and results. The choices by organizations impacts the total rewards mix and the success of the company and sales force.
So what are motivating factors affecting sales people (in order)?
- Pay & Rewards
- Achievement
- Personal Life
- Relations with Customers
- Relations with Colleagues
- Work itself
- Job Security
- Status
What were standouts from the list that had more positive influences in motivation was Personal Life and Relations with Customers. These two factors clearly showed that sales people are motivated and find little issue in these areas.
Personal achievement does motivate sales people, but almost equally will demotivate if underachievement is a trend within your company.
What factors are de-motivating the sale force?
- Recognition
- Growth Opportunities
- Company Policy & Admin
- Career Progression
- Responsibility
- Working Conditions
- Relations with Supervisor
- Supervision
Not providing enough recognition for individual or team achievement can make for a negative work environment. Recognizing your sales people is one of the largest motivating factors and can influence the desired behaviours that a company seeks from their employees.
Company Policy & Administration ranked in the top three demotivating factors, however the majority of the feedback was negative, making this a bigger issue. Many companies have cut back resources and stretch resources thin over the past decade. One of the impacts is sales people responsible for their own administrative tasks and proposal which tie up much of their time and keep them from performing selling activities. As organizations have put this pressure on their sales people, they need to consider the competencies required for these administrative tasks, as well as the impacts of sales people not actively selling to perform administrative tasks.
Survey Author: Beaumont, Paul, Anthony - DipS, MCIM, Chartered Marketer
(Mature Student, MA Sales Management, Portsmouth University)
Survey participants: 632
Labels: incentive compensation, performance, sales compensation, sales compensation blog, technology