Description of Measures Evaluating Sales People

Oct 27 • Opinion • 1734 Views • No Comments on Description of Measures Evaluating Sales People

Evaluating the Sales People is a very important step in increasing marketing strategies, productivity of the sales people and increasing the sales of the firm. There are different measures that can be used to evaluate the sales people. These measures are objective measures and subjective measures. The objective measure use the statistical data  and the internal data of the organization to measure the performance of the sales people. The subjective method use the personal evaluation techniques and view of the sales manager to evaluate the performance of the sales personnel. Here in this post, various measures for Evaluating Sales People are described in detail.

Methods used for Evaluating Sales People

Objective Measure for improving Selling Techniques

  • First Objective Measure 
Evaluating Sales People

Measures Evaluating Sales

Here the common output factors are evaluated which includes the orders the sales person and made & the accounts considered. All the data in such type of measure is found in the management information system records of the company.          

  • Second Objective Measure

Here the common input measures are evaluated these include sales call that have been planned,made or unplanned. It also include the time of work and the number of days working and sales calls per day, total expenses made by the sales person and percentage of sales and quota achieved. This also include some non selling activities like sending letters and calling the prospects, giving formal proposals to the customers, organizing the meetings etc. This data can be collected from the records of the sales people.

Subjective Measure for improving Selling Techniques

  • First Subjective Measure 

This method includes the use of ratios to measure the performance of the sales personnel. Ratios are the quick and dirty way to measure the performance Some common ratios include expense ratio, account development and service ratios and the call activity ratio.

  • Second Subjective Measure

The main focus of this measure is how well the sales person does his job and what they do. They measure both qualitative and quantitative measures. Qualitative is difficult to measure than the quantitative. The qualitative measure is often filled with biases because they are based on human judgement.

  • Third Subjective Measure 

The main focus of this measure is to force consistent behavior in the judgement by eliminating biases and judging on the basis of the rating scale. There are some attributes that can be rated which are knowledge of the job, result of the sales, relationship with the customers and the company, management of the territory and personal characteristic of the sales person.

Some Problems in Evaluating Sales Person

  • Un-suited personality traits
  • Halo effect- judging on single characteristic
  • Leniency or harsh behavior
  • Bias-ness
  • Central tendency

Best ways to Evaluate a Sale Person

  • First: Does the Sales person has a pre-planned way to track all available prospects and suspects?
  • Second: Does a Sales person is capable of understanding significance required for Product Knowledge vs. Client Relationship?
  • Third: Evaluate Sales person’s qualifying questions for a prospect in a role playing session.
  • Fourth: Does the Sale person is efficient for representing product and services in a proper manner?

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