Motivating Your Sales Force Effectively: Strategies and Practical Tips

1. Chapter 8 Motivating a Sales Force I believe I can fly, I believe I can touch the sky! R. Kelly, Space Jam

2. MOTIVATION IS THE CHOICE OF AN INDIVIDUAL TO… 1. Initiate action on a certain task … choice; 2. Expend a certain amount of effort on that task … intensity; 3. Persist in expending effort over a period of time … persistence. The amount of effort the sales person desires to expend on each activity associated with the job.

3. Fig. 8-2 Motivational Conditions Does better performance lead to greater rewards? Are the rewards worth the effort? YES YES Does more effort lead to better performance? YES GREATER EFFORT NO NO NO The same or less effort

4. Fig 8-3 Maslow’s Hierarchy of Needs… Fulfilledthrough: Self-actualization needs Self-development, challenge. Managerial actions: Provide/offer advanced training, assignments to special projects, more responsibility and authority. Esteem needs Fulfilled through: Status, recognition. Managerial actions: Recognize sales rep achievements personally and publicly through title changes, commendation Social needs letters, promotions. Fulfilled through: Affiliation, friendship, acceptance. Managerial actions: Use team selling, hold social functions, distribute employee newsletters, hold sales meetings, mentoring. Safety needs Fulfilled through: Job security, safety, income security. Managerial actions: Provide safe work environment, set mutually agreed-upon performance standards, communicate job performance expectations and consequences of failure to perform. Physiological needs Fulfilled through: Food, shelter, clothing, health care. Managerial actions: Provide/offer adequate income and good benefits package.

5. Hertzberg’s Dual-Factor Theory HYGIENE FACTORS MOTIVATION FACTORS • pay • company policies • supervision conditions • work • recognition • responsibility • challenge • growth opportunities

6. Fig. 8-5 Salespeople’s Perceived Reasons for Failure and Their Motivational Impact Motivational impact Perceived reasons Positive Negative Ability Seek help; get Become frustrated additional training; and discouraged; ask for supervisor’s give up assistance; increase effort Effort Work harder; make No change in behavior more calls; work longer hours Strategy Change selling No change in behavior strategy; adapt the presentation Task difficulty Work harder; Become frustrated change strategies; and discouraged; or seek help give up Luck No change in behavior Avoid the situation

7. Career Stages • Exploration • Primary concern is finding a suitable occupation • Underdeveloped skills and knowledge • Many drop out or are terminated • Low expectancy instrumentality, high valence for personal growth • Establishment • Primary concern is improving skills and performance • Lack of promotion may cause disengagement or quitting • New commitments make pay important • High expectancy instrumentality, high valence forpromotion and pay • Maintenance • Primary concern is maintaining position, status, and performance • Have highest sales volumes and percentage of quota and pay • High valence for recognitions, respect, and pay • Low valence for promotion • Disengagement • Primary concern is preparing for retirement and/or developing outside interest • Low valence for higher order and lower order rewards • Low instrumentality

8. Sales Contest Design Elements Promote & Publicize Sales Contest Design Attractive Variety of Prizes Equally Attainable Goals

9. Causes of Plateauing • No clear career path • Not managed adequately • Bored • Burned out • Economic needs met • Discouraged with company • Overlooked for promotion • Lack of ability • Avoiding risk of management job • Reluctance to be transferred