Rethinking Sales Compensation

Compensation is probably the most discussed aspect of sales and the biggest chunk of the $900 billion that U.S. companies alone spend on selling. An estimated 85% of companies use incentive plans which, on average, account for about 40% of total sales compensation. Yet, in a survey of 700 firms, a whopping 20% reported that […]

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The Dialogue That Rarely Happens

The Dialogue That Rarely Happens                                                                                                          Frank V. Cespedes Originally published in Top Sales magazine (February, 2016)   In any organization, influence is bestowed as well as earned. It requires relevant expertise and results, but also being recognized by others as adding value.  Sales managers are no exception to the rule. In many firms, Sales is […]

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Does Social Media Sell? The Jury Is Out (and getting impatient)

My sincere thank-you to DrivingSales and Paul Moran for his response, “Does Social Media Sell? A Harvard Professor Says No,” to my HBR.org article, “Is Social Media Actually Helping Your Company’s Bottom Line?” Paul says I am taking “a shallow perspective” on this topic. I disagree, and here’s why: First, Paul does not take issue […]

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Reinvent Your Sales Process While Still Hitting Your Numbers

If you have a monopoly, then your reward is a quiet life, one devoid of having to deal with competition. But most firms face changing competition, threats to their installed base, and quarterly investor expectations — all of which place sometimes conflicting demands on sales efforts. Sales forces are expected to both: Maintain the current […]

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Managing Profitable Growth: The CFO’s Role

The goal of strategy is sustained profitable growth, and that means earning returns above your cost of capital or what economists call “Economic Profit” (EP). Companies seeking profitable growth, therefore, face two interdependent tasks: grow the top line and manage the costs and financial efficiency of their customer-acquisition efforts. While sales growth contains the “sizzle,” […]

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