Welcome to week three of our seven week blog series on the predictive demographic traits of competitive sales reps. For those just joining us, the two previous characteristics that were covered were: (1) Coming from a Warm Referral Source; (2) Being Employed at the Time of Applying. This week’s predictive demographic trait is PREVIOUS COMPETITIVE SALES EXPERIENCE.
This characteristic is relatively obvious, but nonetheless extremely predictive of future sales rep performance and retention. Our research shows that individuals with > 3 years of competitive sales experience are ideal, as they have demonstrated a commitment and proficiency in this career path and the ability to network and prospect outside of their natural market (e.g., 2nd and 3rd generation referrals).
Individuals with previous sales experience understand and accept many of the features of a competitive sales career that typically deter or dissuade others. Take variable compensation for example. Many people without sales experience come from typical salary or hourly positions, and as such have little if any experience with variable compensation. Consequently, they have yet to experience the “ups” and “downs” inherent within such a compensation model, with the downs providing a great deal of stress and anxiety. Moreover, those without this valuable experience may not understand that their compensation is directly tied to their performance; that a sales career does not fit nicely into the typical 40 hour work week. As such, sometimes no matter how hard or long you work, there will not be a direct correlation with your pay cheque, which is something that many people without sales experience struggle with.
Another valuable aspect of previous sales experience is the exposure to rejection. As rejection is an inevitable and very frequent part of sales, being comfortable handling it and pushing through it are critical qualities. Those without previous sales experience often struggle immensely with rejection, with many taking these interactions personally. Moreover, as one’s compensation is tied to performance, rejection can also be internalized as failure. Therefore, being able to effectively manage and push through client rejection is a considerable strength for those with previous competitive sales experience.
As can be seen in the above table, sales reps with >= 3 years of previous sales experience perform on average 26.2% higher than the company average, while those with less (or no) previous sales experience perform on average 15.6% below the company average.
Overall, when this week’s characteristic is combined with the previous two, recruiters looking for competitive salespeople should be looking for individuals with >=3 years of experience, are currently employed, and should approach them directly when trying to recruit them.
Stay tuned for next weeks installment where we will unveil the 4th predictive demographic trait.