1. Sales Training: Objectives,
Techniques, and Evaluation
Management of the Modern
Sales Force
Marketing 6228

2. Training Investment
Mark W. Johnston and Gary W. Marshall, Sales Force Management,
McGraw Hill, 2006

3. Sales Training Issues
 Who should be trained?
 What should be the primary emphasis in
the training program?
 How should the training process be
structured?
– on-the-job training and experience?
– formal and more consistent centralized
program?
– web-based?
– instructor-based?

4. Sales Training Objectives
 Increase productivity
 Improve morale
 Lower turnover
 Improve customer relations
 Improve selling skills

5. Obstacles to Introducing
Training
 Top management not dedicated to sales
training
 Lack of buy-in from frontline sales
managers and salespeople
 Salespeople’s lack of understanding of
what training is supposed to accomplish
 Salespeople’s lack of understanding
regarding application of training to
everyday tasks

6. Well-Designed Training
Program
 Analyzes sales force needs
 Sets specific, realistic, and measurable training
objectives
 Allows for adequate development and timely,
effective implementation
 Subjects itself to evaluation and review
– What do we want to measure?
– When do we want to measure?
– How do we do it? What measuring tools are
available?
 Modifies to achieve greater effectiveness

7. Well-
Designed
Training
Program
Mark W. Johnston and Gary W.
Marshall, Sales Force Management,
McGraw Hill, 2006

8. Recent Shifts in Training New
Sales Recruits
 Companies with less than $5 million in annual sales
are spending more on sales training per new hire -
$5,500 worth of training per salesperson.
 Training in smaller companies has increased from
3.3 months to 4.4 months.
 Smaller companies are placing more emphasis on
training than several years ago.
 Companies are spending time and money on
training experienced salespeople
 Companies with more than $5 million in annual
sales, are spending less money on training
Source: Christen P. Heide, Dartnell’s 30th Sales Force
Compensation Survey: (Chicago: Dartnell Corp., 1999)

9. Training Costs and Duration
Mark W. Johnston and Gary W. Marshall, Sales Force Management,
McGraw Hill, 2006

10. Recent Shifts in Training
Experienced Sales Personnel
 Experienced sales reps are given, on
average, 32.5 hours of ongoing training
per year at a cost of $4,032 per rep
 Continuing increasing amounts of training
reflects a commitment to provide ongoing
learning opportunities for senior
salespeople
 Companies are spending an increasing
amount of time on product training and
less on training in selling skills
Source: Christen P. Heide, Dartnell’s 30th Sales Force
Compensation Survey: (Chicago: Dartnell Corp., 1999)

11. Training Costs and Duration

12. Sales Training Topics
 Product or service knowledge
 Market/Industry orientation
 Company orientation
 Selling skills
 Time and territory management
 Legal and ethical issues
 Technology
 Specialized topics

13. Product Knowledge
 Enables a salesperson to provide prospects and customers
with the critical information for rational decision-making
 Involves
– Knowing how the product is made
– How the product is commonly used, and
– How it should not be used.
 Customers often want to know how competitive products
compare on
– price
– construction
– performance
– compatibility with each other
 Companies that produce technical products spend a greater
amount of time on product knowledge

14. Market/Industry Orientation
Topics
 How a particular industry fits into the overall
economy
 Knowledge of the industry and the economy
 Economic fluctuations that affect buying behavior
and require adaptive selling techniques
 Customers' buying policies, patterns and preferences
in light of competition
 Customers' customers and what satisfies them
 Needs of both wholesalers and retailers

15. Company Orientation Topics
 Company polices that affect their selling
activities
 How to handle customer requests for price
adjustments, product modifications, faster
delivery and different credit terms
 Sales manuals that cover product line
information and company polices
 A well-prepared sales manual gives a sales
representative quick answers to a
customer's questions

16. Time and Territory
Management
 Salestrainees need to learn to
manage time and territories
 80/20 rule applies:
– 20% of the customers account for
– 80% of the business and
– Require a direct proportion of time and
attention

17. Legal/Ethical Issues
 Federal law dictates corporate action or
avoidance of action in areas of marketing,
sales and pricing
 Sales personnel need to understand the
federal, state and local laws that constrain
their selling activities
 Statements made by salespeople carry
both legal and ethical implications
 Lapses in ethical conduct often lead to
legal problems

18. Technology
 Notebook computers
– Presentations
– connecting to company intranet or extranet
– delivering documentation quickly and accurately
 Home offices eliminate the need to go to another
office
 Salesperson can be almost totally self-sufficient with
– high-speed network connection
– computer
– printer
– cell phone
 Effective computer use affords sales personnel more
face-to-face customer contact time

19. Specialized Training Topics
 Overcoming price objections
 Holdingthe line on price
 Working the trade show
 Problem solving

20. Training Methods - How
Mark W. Johnston and Gary W. Marshall, Sales Force Management,
McGraw Hill, 2006

21. Training Methods - Where
Mark W. Johnston and Gary W. Marshall, Sales Force Management,
McGraw Hill, 2006

22. Keys for Effective OJT
 Teaming - Bringing together people with different
skills to address issues.
 Meetings - Setting aside times when employees at
different levels and positions can get together and
share thoughts on various topics.
 Customer interaction - Including customer feedback
as part of the learning process.
 Mentoring - Providing an informal mechanism for new
salespeople to interact and learn from more
experienced ones.
 Peer-to-peer communication - Creating opportunities
for salespeople to interact together for mutual
learning.
Source: The Education Development Center (www.edc.org)

23. Classroom Training
 Trainee receives standard briefings in
– product knowledge
– company polices
– customer and market characteristics
– selling skills
 Formal training sessions avoid wasting
executive time
 Classroom sessions permit use of audiovisual
materials and technical resources
 Interaction between sales trainees builds
camaraderie

24. Measuring the Costs and
Benefits
 Salestraining consumes substantial
time, budget and support resources
 Relationship
between sales training
and revenue is difficult to measure

25. Broad Benefits
 Improved morale
 Lower turnover
 Higher customer satisfaction
 Management’s commitment to quality and
continuous improvement
 Measuring changes in skills, reactions and
learning assists both new and experienced
sales personnel

26. Training Evaluation
Mark W. Johnston and Gary W. Marshall, Sales Force Management,
McGraw Hill, 2006

27. Training Evaluation
Mark W. Johnston and Gary W. Marshall, Sales Force Management,
McGraw Hill, 2006

28. Key Terms
 sales training analysis
 on-the-job training (OJT)
 role-playing
 electronic training methods
 sales training costs