How to demotivate your sales team


The average software salesperson doesn't want to leave their current role.

After all, they're swapping a whole lot of knowns for a whole lot of unknowns.

Yet I've made a career of talking with 5-15 reps every week for almost 8 years now.

Most of them are currently employed.

Occasionally I hear a novel reason for looking around, but usually they are leaving for one of the following reasons.

  1. You've changed the comp plan on them
  2. There's been a lot of territory shifting / management changes
  3. The product they're selling has fallen behind on features

1: You've changed the comp plan on them

You know that line, big corporations like to use, about how "we've made improvements" but how as a customer, it is usually followed by verbal trickery that explains why you'll be paying more and getting less in the future?

Most comp plans changes are exactly the same.

This is the easiest way to lose top sales reps.

In a "it's only funny because if you don't laugh you'll cry" way, the worst is when someone in the finance department has decided a salesperson has made too much money. And so the comp plans will have to change (for the worse).

This is a double whammy.

Not only will you lose the top rep (and anyone else who aspires to be the top rep), you're reinforcing mediocrity.

The sales reps who are living off their base salaries, and aren't really closing deals won't move because of this.

They weren't overachieving anyway!

2: There's been a lot of territory shifting / management changes

While it's easy to call most comp plan changes stupid, this one is a bit trickier.

It's especially true when talking to enterprise reps.

After all, how can you expect someone to change territories every 6 months if they have an 12-18 month sales cycle?

3: The product they're selling has fallen behind on features

Salespeople are often called out for overselling a product, or selling features that don't exist.

That happens - and you need to be aware of what your reps are saying.

Less discussed is when product and engineering aren't delivering.

When competitors are able to deliver features that you don't have.

This is especially pronounced if reps are expected to expand accounts after the initial land.

If you'd like my help to poach great candidates from other companies making these sorts of mistakes, book a time to speak with me

Speak soon,

Sam

Hiring for Sales

I have a newsletter that helps startup founders hire great sales talent

Read more from Hiring for Sales

I’ve listened to a fair number of “success story” interviews over the years. And there’s one point that comes up again and again. To paraphrase: “Yeah it took longer than I thought… but honestly I was just spinning my wheels for the first year or so. Once I really kicked it into high gear, the result actually came pretty quickly.”I can relate far too well from my own experience building my recruiting business. There was a multiyear stretch where I was “in the trenches,” “grinding,” and all...

Let me tell you a bit more about Katie, the woman I worked with who recently signed a deal for $230,000 + a bunch of RSUs at Harvey. If you’re even vaguely aware of the game, you should be aware that Harvey isn’t the average startup to work for. It’s like joining Databricks in 2019. Stripe in 2014. It's resume gold. I could go on. But let’s get back to Katie. She emailed me on June 12th of this year asking a few questions about how to find good companies to work for. I’ll discuss this in more...

I’ve been teasing something big for a few weeks now… Here it is. Katie (name changed for privacy), joined my Summer Career Accelerator at the end of June… And she recently signed an offer with Harvey, the AI Legaltech startup, with a £170,000 OTE + RSUs. If you’re making USD, that’s ~$230,000. And for you Brits, don’t let anyone on Twitter tell you there are no high salaries to be found in the UK. All it took was ~6 weeks of focused execution with tight feedback loops working together. When...