Salesperson Gone. Payroll Saved. Growth Sacrificed!

For more

 

By Debbie Nicholson

Printing companies are constantly talking about increasing sales, finding new customers, expanding into new markets, and improving profitability.

But then something strange happens.

A salesperson retires, accepts another opportunity, or is let go because they haven't met expectations. And what does the company do?

Nothing!person let go

No replacement. No recruiting. No real discussion about who will develop the next generation of customers.

Well, congratulations. You've reduced your payroll.

But what have you done to your future?

Have We Lost Faith in Salespeople?

I've heard just about every complaint imaginable regarding salespeople.

  • "They cost too much."
  • "They don't bring in enough business."
  • "They say they've got a big project coming in, and it never happens."
  • "They don't understand our applications."
  • "They bring in jobs we can't even produce."
  • "They're gone all day. Who knows where they've been?"
     

And I really like this one: "We hired a salesperson once, and it didn't work out."

Once? Really?

Imagine applying that same philosophy to production. We hire an operator who doesn't work out, so we decide we no longer need anyone operating that press or printer.

Sounds ridiculous, doesn't it?

Yet, when it comes to sales, some printing companies seem perfectly comfortable eliminating the position altogether.

Don't misunderstand me. Not every salesperson will be successful. Some lack the motivation, discipline, or willingness to learn what it takes to succeed.

But before we decide that salespeople are the problem, perhaps we should examine the people responsible for leading them.

When Did We Stop Managing Salespeople?

I've witnessed this far too often, even in larger printing companies (so don't get comfortable).

A salesperson is hired, and instead of reporting to a Sales Manager, Director of Sales, or Vice President of Sales, they're assigned to the President, Owner, Office Manager, or someone whose primary responsibilities have little to do with consistent sales development.

Now, there's nothing wrong with an owner managing sales, provided they understand what effective sales leadership requires and have the time to deliver it.

sales team trainingSales management is a profession, not an additional responsibility we assign to whoever has room on their organizational chart!

It requires understanding customer relationships, market opportunities, prospecting, sales pipelines, negotiation, profitability, and, perhaps most importantly, how to coach and motivate people.

I sometimes wonder what we think happens when we hire a salesperson.

We give them a tour of the facility, introduce them to the employees, explain what equipment we have, hand them a business card, and say, "Good luck!"

Then we expect them to go out and bring in profitable business.

Sounds simple enough, right?

What Have We Actually Taught Them?

Let's talk about what a salesperson needs to know before we send them out representing our company.

  • Do they understand the differences between substrates, finishing methods, installation requirements, and production capabilities?
  • Have we explained which products and services generate the strongest margins?
  • Do they understand estimating, overhead, labor costs, and why some projects are profitable while others should never have been accepted?
  • Can they confidently explain why our company provides greater value than the printer down the street?
  • Have we taught them how to sell solutions instead of simply taking orders?
     

And here's another question.

How can we expect someone to sell our company’s value when we haven't taken the time to teach them what that value actually is?

A salesperson who understands the production process, the customer's business, and the company's financial expectations becomes far more than someone carrying a price list.

They become a knowledgeable representative who can build relationships, spot opportunities, and bring in business that actually contributes to profitability.

Isn't that what we hired them to do?

Sales Goals Are Not Sales Leadership!

I absolutely believe salespeople should be accountable for their performance. They should have realistic goals, measurable expectations, and a clear understanding of what they're responsible for accomplishing.

But handing someone a monthly sales target and asking why they haven't reached it isn't sales management.

It's arithmetic!

Where is the coaching? Who is helping them identify prospective customers, develop larger accounts, and recognize opportunities within existing relationships?

Who is reviewing their pipeline and helping them understand why certain opportunities aren't moving forward?

Who is accompanying them on customer visits, helping them prepare presentations, and teaching them how to handle objections?

And perhaps we should be asking another question.

Are we measuring the activities that create future sales, or are we simply waiting for the numbers to appear at month's end?

Sales leadership isn't about looking backward at what didn't happen. It's about helping people understand what needs to happen next.

That requires consistent communication, accountability, and someone who genuinely knows how to develop sales talent.

Before You Celebrate Those Payroll Savings...

Let's look at what actually happens when a salesperson leaves, and the company decides not to replace them.

Yes, you've eliminated a salary, commissions, benefits, and perhaps a few travel expenses.

But have you calculated what you may have eliminated along with them?

Who's prospecting for new customers?

Who's developing relationships with larger accounts?

Who's introducing existing customers to additional products and services?

Who's identifying opportunities in markets you haven't explored?

And who's following up with prospects who haven't purchased from you yet?

Perhaps you've reassigned those responsibilities to someone else. That's perfectly acceptable, as long as that person has the time, skills, and accountability to do it.

But if the strategy is to let the owner handle sales between production emergencies, customer complaints, employee issues, and everything else that lands on their desk, we may have a problem.

So, Who's Leading Your Company's Sales Future?

I believe printing companies need to take a serious look at how they're developing their sales organizations.

Not every company can afford a Vice President of Sales or a full-time Sales Manager. I understand that.

But if we expect sales growth, someone must be accountable for developing the people, implementing the strategies, and strengthening the customer relationships necessary to achieve it.

That individual might be the owner, a qualified manager, an experienced sales professional, or an outside advisor.

What matters is that they understand how to lead sales, not simply review sales numbers.

And when a salesperson leaves, whether through retirement, a new opportunity, or termination, leadership should be asking how the company will continue developing business.

We spend thousands, sometimes millions, of dollars investing in equipment, technology, software, and production capabilities to help our companies grow.

Yet, somehow, we hesitate to make the same commitment to developing the people responsible for selling what all that equipment can produce.

Does anyone else see the contradiction here?

A printing company cannot build its future on equipment alone. Someone has to create the demand, develop the relationships, and bring profitable opportunities through the door.

So, the next time a salesperson leaves your company, perhaps you should resist that little happy dance over the payroll savings.

Because while you're celebrating the expense you eliminated, your competition may be celebrating the customers you're no longer pursuing.

And here's the question every printing company owner should be asking:

Did you really save money, or did you just eliminate the person who was supposed to help you make more of it?

 

This article was curated for American Printer eMag, published bi-weekly. To subscribe >>>

Share:

 


Prefer to comment without registration? Click in the Name field and select "I'd rather post as a guest"