2010 Sales Trends Are In – Change the Way You Sell or Get Left Behind
Tuesday, February 23, 2010 at 8:00AM 
In annual research by CSO Insights and co-sponsored by Sales Performance International, the key trends analysis for 2010 contains some unsettling data. The 2010 Sales Performance Optimization study incorporated participation by 2,800 global firms ranging from small businesses to the largest global companies. Overall, the results reflected the difficult economic situation encountered in 2009. Key findings in the study include:
Quota Attainment Fell Significantly
The percentage of sales reps attaining quota in 2009 dropped to 51.8% (58.8% the prior year). According to the study, “While we have seen this percentage lower one time (49.1% in 2003), the 7% drop from 2008 to 2009 is the largest in the sixteen year history of our study.”
Revenue Plan Attainment Declined Significantly
How well did companies manage to attain their overall sales plans? Again, the results were quite disappointing. According to the study, “Here we see an even larger drop of 8% from 2008 to 2009 (also the largest decline in performance in the history of the study).” While general economic trends clearly contributed to these difficulties, the study noted multiple factors related to investment in sales, including:
- Reduction in lead generation spend
- Reduction is sales training budgets
- Deferred investment in sales knowledge management (SKM)
As a result, not only were sales conditions extraordinarily challenging, companies invested less in areas that consistently correlate to higher levels of sales performance.
Trusted Partners Continue to Outperform Vendors
One of the most intriguing aspects of the annual report is comparison of companies that have elevated their relationship with customers to that of a “trusted partner” versus companies that are perceived as a “vendor.” Even in a down year, the companies that have attained a trusted partner status with their customers significantly outperformed their vendor peers in all key performance areas. The trusted partners enjoyed the following performance advantages over vendors:
- 15% higher quota attainment
- 9% higher attainment of company plan
- 11% higher forecasted wins
- 5% less turnover
A key conclusion of the report was “you can raise individual rep quotas in a bad economy and achieve them if you change how you sell. Optimize process and relationships, and reps will be able to compete more effectively.” The question is how can your company successfully transform its approach to selling and realize the performance gains that trusted partners consistently achieve? For access to the 2010 key trends report, and a white paper that illustrates how your organization can move from vendor to trusted partner, follow the link below.
Reader Comments (4)
A trusted advisor will always supercede the vendor relationship status. Raising quotas and suggesting additional markets should assist the sales team in making their numbers. It won't help if they're are focused on their traditional markets that may not be in a position to buy in the first place.
The economy / recession is doing what it is supposed to do... weed out those who don't belong. If you're in sales today, improving your sales skills is the only way to survive.
The economy / recession is doing what it is supposed to do... weed out those who don't belong. If you're in sales today, improving your sales skills is the only way to survive.
Hi,
I´m new to solution selling. My question is - in case of an ACTIVE (looking) opportunity, where does it enter into the SDCBAW model ? How can I move them from stage to stage ?
Does the SDCBAW milestones works for ACTIVE opportunities ?