Firms in the United States invest three times more in selling than advertising, 20 times more than online media and 100 times more than social media, according to research presented in a 2013 Harvard Business Journal article. In fact, the money spent on sales training is often the biggest learning expense in firms, fragmented across branches, business units and functions.
Worse, it’s getting more expensive. Due to big data and analytical tasks facing many sales forces, productivity ramp-up times have increased. Each new sales person now represents more spending and more time that has to be devoted to training. Further, even in a recession, sales turnover averages 25 to 30 percent annually, according to research done by industry research organizations Chief Sales Officer Insights. At many firms, that means the equivalent of the entire sales force must be replaced and trained every four years or so.
It’s never been more important to get the most from sales force investments. The following “do’s” and “don’ts” for CLOs focus on sales tasks and behavioral goals to maximize learning ROI and minimize retention issues:
