HARIHAR 2006 1

Sales Training

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Developing and Conducting a Sales Training Program

Training assessment

Program design

Reinforcement

Evaluation

Establish program objectives

Identify who should be trained

Identify training needs and specific goals

How much training is needed?

Who should do the training?

When should the training take place?

Where should training be done?

Content of training

Teaching methods used in training program

Determine how training will be reinforced

What outcomes will be evaluated?

What measures will be used?

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Objectives of Sales Training Programs

Increased Sales

Productivity

Improved Self-

ManagementLower turnover

Improve customer relations

Improve morale

Improved communicatio

n

Sales training program

objectives

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Who Should Be Trained?

New hires – Initial / Continual

Experienced sales persons – concentrate on the middle 60%

Dealers

Dealer staff

Sales Managers

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Examples of Specific Training Objectives

Company orientation and administrative skills:

Understand company goals and objectivesUnderstand company selling philosophyUnderstand organizational structureUnderstand company policies and proceduresImprove call reportsImprove call patternsImprove time management

Knowledge: Existing products - features, benefits, and applicationsNew products - features, benefits, and applicationsIndustry trendsCompetitive products - features, benefits, and applicationsSpecific customer applications and problemsPromotional programs

Selling skills: Improve pre-call planningImprove prospecting methodsImprove strategy selectionImprove presentation skillsImprove closing techniquesImprove understanding of and handling objectivesImprove customer sensitivity

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Sales Training Topics

Product or service knowledge Market/Industry orientation Company orientation Selling skills Time and territory management Technology Specialized topics

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Product Knowledge

Enables a salesperson to provide prospects and customers with the critical information for rational decision-making

Involveso Knowing how the product is made o How the product is commonly used, ando How it should not be used.

Customers often want to know how competitive products compare on o priceo constructiono performanceo compatibility with each other

Companies that produce technical products spend a greater amount of time on product knowledge

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Company Orientation Topics

Company polices that affect their selling activities How to handle customer requests for price

adjustments, product modifications, faster delivery and different credit terms

Sales manuals that cover product line information and company polices

A well-prepared sales manual gives a sales representative quick answers to a customer's questions

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Time and Territory Management

Sales trainees need to learn to manage time and territories

80/20 rule applies:

o 20% of the customers account for

o 80% of the business and

o Require a direct proportion of time and attention

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Technology

Notebook computerso Presentationso connecting to company intranet or extranet o delivering documentation quickly and accurately

o Legal Issues• Commitments, misstatements

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Specialized Training Topics

Overcoming price objections

Holding the line on price

Problem solving

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Who Should Train Salespeople?

Source Advantages Disadvantages

Line Executive

-Greater credibility-Clearer expectations-More thorough evaluation of candidates

-Lack of time-Lack of teaching ability

Staff Trainer

-Greater time-More resources-Better training skills

-Additional expense-Lack of authority-Less credibility

Outside Specialist

-Greater specialization and expertise

-Additional expense-Program content not specific to company needs

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When Should Training Take Place?

Two basic attitudes:Train immediately because…

No rep should be placed in the field until he or she is fully trained.Cannot risk exposing customers to poorly trained reps.

Delay training because…much easier to train people who have had some field experience.weak salespeople are eliminated before company spends money on training them.

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Where Should Training Take Place?Where? Advantages Disadvantages

Decentralized Training

-Less expensive

-Can take more time.

-Involves the sales manager.

-Sales manager often lacks time and skill to properly train.

Centralized Training

-Involves personnel dedicated to and highly skilled in training.-Allows interaction with home office.-Reps focus on training.

-More expensive.-Limited amount of time.-Reps kept away from home and family.

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OJT Classroom Training

Trainee receives standard briefings ino product knowledgeo company policeso customer and market characteristicso selling skills

Formal training sessions avoid wasting executive time

Classroom sessions permit use of audiovisual materials and technical resources

Interaction between sales trainees builds camaraderie

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Keys for Effective OJT

1. Teaming - Bringing together people with different skills to address issues.

2. Meetings - Setting aside times when employees at different levels and positions can get together and share thoughts on various topics.

3. Customer interaction - Including customer feedback as part of the learning process.

4. Mentoring - Providing an informal mechanism for new salespeople to interact and learn from more experienced ones.

5. Peer-to-peer communication - Creating opportunities for salespeople to interact together for mutual learning.

Source: The Education Development Center (www.edc.org)

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Reinforcement

Retention only 13% at the end of 30 days

Sales Manager should continue as coach in field visits

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Measuring the Costs and Benefits

Broad benefits- Job satisfaction, Emotions and enthusiasm.

Specific benefits – New- account sales, Conversion rate, reduction in complaints, positive feedback from customers, selling more profitable items.

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