How to achieve a successful organisation of sales teams?
The organisation of sales teams is a key factor in the success of any business. It is not just about recruiting the best salespeople, but also about assigning them the right roles, objectives and resources so that they can perform their job effectively and efficiently.
In this post we will explain how sales teams are organised, what types of structures exist and the advantages and disadvantages of each one. We will also give you some tips to improve the coordination, communication and motivation of your sales team.
What is the organisation of sales teams?
The organisation of sales teams is the process of defining and distributing tasks, responsibilities and resources among the members of the sales team, as well as establishing mechanisms for monitoring, evaluating and rewarding their performance.
The organisation of sales teams aims to optimise the performance of the sales team, align it with the company’s strategy and adapt it to the characteristics of the market, the customers and the products or services offered.
Organising sales teams involves making decisions on the following aspects:
- The size of the sales team: the number of salespeople needed to cover the potential market and achieve sales targets.
- The specialisation of the sales team: the degree of differentiation in the roles and skills of the salespeople, according to the type of product, customer, market or activity they perform.
- Territory allocation: the way in which the geographic market is distributed among salespeople, taking into account sales potential, competition, costs and coverage.
- Account allocation: the way in which customers or prospects are assigned to salespeople, based on criteria such as sales volume, purchase frequency, loyalty, service level or growth potential.
- The hierarchical structure: the level of authority, supervision and coordination that exists between salespeople and the different levels of sales management.
- Compensation systems: the set of financial and non-financial incentives offered to salespeople to stimulate their performance and job satisfaction.
- Evaluation systems: the set of indicators, criteria and methods used to measure and assess the performance of salespeople and the sales team as a whole.
What types of sales team structures exist?
There is no single way of organising sales teams, but it depends on the characteristics and objectives of each company. However, four basic types of sales team structures can be distinguished, which can be combined or adapted according to needs:
- Territorial structure: salespeople are assigned to a specific geographic territory, where they are responsible for serving all customers and carrying out all sales activities. This structure is simple, reduces travel costs and encourages salespeople’s autonomy and responsibility. However, it can lead to duplication, imbalances or conflicts between territories, and limit the specialisation and training of salespeople.
- Product-based structure: salespeople specialise in a specific product or product line, and are responsible for selling it to all potential customers, regardless of their geographic location. This structure allows the knowledge and experience of salespeople to be leveraged, and provides better service and advice to customers. However, it can increase travel costs, make coordination and communication between salespeople more difficult, and lead to rivalry or cannibalisation between products.
- Customer-based structure: Salespeople specialise in a specific type of customer or market segment, and are responsible for offering all the products or services they may need, regardless of their geographic location. This structure allows you to adapt to your customers’ needs and preferences, and to build closer and longer lasting relationships with them. However, it can increase travel costs, make coordination and communication between salespeople more difficult, and lead to rivalry or cannibalisation between customers.
- Structure by function: salespeople specialise in one activity or stage of the sales process, and are responsible for performing it for all products, customers or territories. For example, there may be salespeople who focus only on prospecting, others who focus only on presentation, others who focus only on closing, and so on. This structure can optimise the performance and efficiency of salespeople, and improve the quality and consistency of service. However, it can increase organisational complexity and bureaucracy, reduce salesperson motivation and commitment, and decrease customer satisfaction and loyalty.
How to improve the organisation of sales teams?
The organisation of sales teams is not static, but should be reviewed and adjusted periodically, depending on changes in the environment, the market, the company or the sales team itself. To improve the organisation of sales teams, the following recommendations can be followed:
- Analyse the performance of the sales team, identifying its strengths, weaknesses, opportunities and threats, and comparing it with the company’s objectives and expectations.
- Establish clear, realistic and measurable objectives for the sales team, both individually and collectively, and communicate them in a transparent and participative way.
- Allocate the necessary resources for the sales team, both material and human, and ensure their adequate distribution and use.
- Provide continuous and personalised training to the sales team, both in technical aspects and in sales skills, and encourage learning and the exchange of good practices among salespeople.
- Implement remuneration and incentive systems that recognise and reward the efforts and results of the sales team, and that are fair, motivating and consistent with the company’s strategy.
- Implement evaluation and monitoring systems that allow the performance of the sales team to be measured and controlled, and that provide constructive and improvement-oriented feedback.
- Foster communication, collaboration and trust among the members of the sales team, and between them and the other departments of the company, creating a positive and customer-oriented work environment.
- Involve and empower the sales team, delegating roles, responsibilities and decisions, and encouraging initiative, creativity and innovation.
- Recognise and celebrate the achievements of the sales team, both individually and collectively, and reinforce a sense of belonging and team pride.
The organisation of sales teams is a fundamental aspect for the success of any business, as it directly influences the productivity, profitability and competitiveness of the company. It is therefore important to design and manage the organisation of sales teams strategically, adapting it to the characteristics and objectives of the company, and always seeking customer satisfaction and loyalty.
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