Employing a full time sales person for software & web design

Hi,

I have a second business which I have been doing alongside this one for around a year (separate Ltd companies). It is a software and website development company, and digital marketing. I am going to be leaving my current main business (computer repair shop) in the hands of a full time staff member, so that I can work for the software company full time.

I am planning to move into some offices at the beginning of September, and I will be taking on an apprentice through a local scheme, and I am also wanting to take on a full or part time sales person, which is what my question is about.

We have a few off the shelf software packages, as well as offering bespoke software development, and we also do web design and digital marketing. So far, business has came from usual online purchases/enquiries, word of mouth etc. However, with the business growing, taking on more expenses, I was thinking a sales person would help boost the amount of sales we are getting. Does anyone have any experience in taking on a sales person for this type of role, and if so, do they have any guidance on what sort of sales figures I should be expecting to get from them, and what the best route to go down is, in terms of hiring, commission levels, etc.

Any advice would be appreciated, look forward to your replies!
 

AllUpHere

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    Jun 30, 2014
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    My advice (predictably) would be to spend the money on marketing strategy rather than a sales person. Or even if you wanted to employ a sales person, make sure your marketing strategy is spot on first.

    Personally, I can't see how the numbers could stack up against my thinking. Say you were going to employ someone on a basic of £20,000 per year. I can't see how anyone willing to work for that could get better results than I (or anyone else with my expertise) could, by working for you for 2 or 3 days per month.

    Just thought I'd throw that in to give you something else to think about.
     
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    I agree with above, outsource the marketing & sales. This work can be picked up by someone experienced and allow you to shift your budget between different types of marketing / advertising. Like uphere says, you are going to drop £20k just on having a staff member, £10k to a marketing/sales company + £10k on something like adwords would yeild a far higher ROI in my view.
     
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    wearewattle

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    I outsource sales and work in the same space, ironically despite trying various methods it has been the biggest source of new business leads - it is down to the amount of competition in the market and the complexity of the services, people just seem to prefer to speak to people. I am going to explore a pay per lead type situation at some point in the near future, and am considering getting someone in full time on the phones, but it is cost effective to outsource...
     
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    AllUpHere

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    - it is down to the amount of competition in the market and the complexity of the services, people just seem to prefer to speak to people.

    That is the key to selling services like yours. Forget clever adverts and flashy marketing 'campaigns', it's all about having the best plan to engage with real people, build relationships with real people, and then sell to real people.

    It's about stripping away all the BS, and working out how best to get people to want to buy from you. 9 times out of 10, this will involve building strategic relationships that you can gain an advantage from.
     
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    T

    Tihbtlrmvc

    I think Its important not to mix up marketing with sales.
    No amount of marketing will bring in a sale unless someone converts it.
    You need lead generation AND you need people selling to people in any business I have ever been involved in apart from ecommerce, but conversion is even more important and harder there.
     
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    AllUpHere

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    I think Its important not to mix up marketing with sales.
    No amount of marketing will bring in a sale unless someone converts it.
    You need lead generation AND you need people selling to people in any business I have ever been involved in apart from ecommerce, but conversion is even more important and harder there.

    I think you are confusing marketing with advertising. If you get your marketing right you won't need anyone doing sales.
     
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    Phil Richardson

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    I think you are confusing marketing with advertising. If you get your marketing right you won't need anyone doing sales.

    I disagree completely with this. For many B2B companies it doesn't matter how good your marketing is if you don't have sales staff then you will never close any business. Most of our clients in the software industry have to have sales staff that go out to complete the sale.

    Don't get me wrong the right marketing strategy/plan is crucial but marketing and sales working together is key.

    It comes down to the age old technique of knowing completely your target market, their pains, issues, how they buy, how they source suppliers etc. etc.
     
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    AllUpHere

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    I disagree completely with this. For many B2B companies it doesn't matter how good your marketing is if you don't have sales staff then you will never close any business. Most of our clients in the software industry have to have sales staff that go out to complete the sale.

    Don't get me wrong the right marketing strategy/plan is crucial but marketing and sales working together is key.

    It comes down to the age old technique of knowing completely your target market, their pains, issues, how they buy, how they source suppliers etc. etc.

    The reason why so many companies still operate in this way is more through tradition, than it being the best way to do business. Many of the companies, when faced with a 'hot lead' will just try to book an appointment for one of the sales team to visit to close the deal, it's just the way it is done, because it's the way they have always done it. I would go as far as to say that some would probably still try to book an appointment if they had a prospect call who was actually ready to buy.

    I'm perfectly happy for all of those companies to continue working in such an inefficient way.

    Personally, I prefer the marketing I do for my clients to supply them with leads who are ready to buy.
     
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    wearewattle

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    The reason why so many companies still operate in this way is more through tradition, than it being the best way to do business. Many of the companies, when faced with a 'hot lead' will just try to book an appointment for one of the sales team to visit to close the deal, it's just the way it is done, because it's the way they have always done it. I would go as far as to say that some would probably still try to book an appointment if they had a prospect call who was actually ready to buy.

    I'm perfectly happy for all of those companies to continue working in such an inefficient way.

    Personally, I prefer the marketing I do for my clients to supply them with leads who are ready to buy.

    I know what you are saying but in our space I have found that it takes a face to face to close down a piece of business, unless you are dealing with people that don't have a website (or piece of software you are flogging) then you are often trying to convince the prospect that they need to do something differently from what they already have. Yes you can achieve this via marketing but it is often more expensive than a meeting where you can establish a clear need and tailor the offering to the prospect.

    The problem is we don't sell widgets, we sell solutions, each one is different, it takes a consultative approach to closing the business.

    I am not saying this is the correct answer, it is just the only way I have found that works, and I have tried a lot! I even packaged up an Umbraco product for a vertical market, created a brochure, ran an extensive campaign across multiple channels and still people wanted face to face meetings...it is just the way it is done in the B2B world (so it seems).
     
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