In my role managing sales teams across various companies, I have observed the vital role salespeople play in shaping the relationship between customers and their company. Salespeople are key in forging and sustaining these connections, especially with pivotal clients. Under the 80/20 rule, it’s crucial to keep a vigilant eye on these primary clients. However, sales teams must also understand the limits of these relationships.
The responsibility of the Sales Manager is to ensure these relationships are maintained in a balanced manner. For instance, while it’s beneficial for salespeople to develop strong bonds with major accounts, the sales manager understands that this is for higher sales commissions, and therefore he should monitor the extent of these relationships which requires careful consideration. I’ve seen instances where sales representatives, in an effort to appease clients, compromise the company’s interests by pushing for unnecessary discounts. This behavior reflects a lack of commitment to the company’s wellbeing. Therefore, a seasoned sales manager should have the capability of detecting most of such behaviors.
Effective management of those sales scenarios requires an experienced Sales Manager well-versed in the nuances of sales tactics. Additionally, it’s crucial to conduct regular visits to key accounts, both with and without accompanying sales staff. Visiting clients alongside salespersons is important, but solo visits by the Sales Manager are equally vital for uncovering insights into the customer-sales relationship, revealing potential problems and discrepancies that salespersons might not disclose. Consequently, managing sales remotely from the office, without consistent field visits both with and independently of the sales team, is likely to lead to failure.
Another challenge for Sales Managers is the internal competition within the sales team. In an ideal world, competition is supposed to be smooth and gentle and benefits the company. However, in real world, this competition between the sales team can be extremely intense and very furious. The sad reality in sales management is that the Sales Manager must be the initiator, orchestrator, yet judicious regulator of intense competition. This dynamic, energetic environment is key to driving revenue growth, as it brings out the best in the sales team through strong and methodical competition, which must be initiated by the Sales Manager. This role is crucial for ensuring that such competition enhances revenue growth, while also preventing it from becoming unmanageable. The Sales Manager’s ability to maintain control is essential, requiring not just leadership skills but also an in-depth understanding of the unique motivations and strategies of salespeople. This is why a background in sales is so vital for a Sales Manager – it’s what enables them to effectively ‘play the Maestro’ in managing a driven yet productive sales team.
Additionally, the Sales Manager must be respected and admired by the team, which is fundamental for leading them effectively towards achieving the company’s objectives. This necessitates that the Sales Manager not only motivates and guides the team, but also shows genuine care, helps them navigate market challenges, and earns their trust and respect. While fostering a healthy competitive spirit within the team is essential, it is equally important to keep this competition within manageable bounds. Thus, a successful Sales Manager must balance being a supportive leader and a strategic initiator of competition, ensuring it remains beneficial and controlled.
In conclusion, effectively managing sales teams involves more than just leadership skills. It requires a nuanced understanding of sales dynamics, the ability to maintain a balance between customer and company interests, and the skill to manage internal competition constructively.