Why Making Quota Doesn’t Always Make the Cut

By: David Brock

Imagine you have two salespeople with goals of $5 million each. Their company has two core product lines, each strategic to achieving growth.

Salesperson A makes their numbers—but only selling their favorite product line, C. That’s where they’re most confident, and they know they’ll always make their goal.

Salesperson B also makes their numbers, but their performance is balanced half and half between product line C and a newer, slightly tougher product line, D.

So who’s the better performer? You may be tempted to respond, “Both are performing equally.” But in reality, it’s Salesperson B. Sure, Salesperson A is making their numbers, but they’re actually underperforming the potential in their territory—and they could be hurting your agency’s bottom line.

Salespeople are responsible for executing a company’s big-picture strategy in the face of the customer. To achieve your agency’s overall strategic vision, it’s critical for them to sell the complete product line. Countless companies struggle to execute their overarching business strategy because their sales force is reluctant to align performance with it.

Consider the above example. If salespeople can make their numbers selling the old product line C, they will do just that. In the meantime, the new product line, which leadership has deemed vital to the company’s future viability, is withering away. As a result, the company may not achieve the results necessary to support the ongoing development of that product line—which not only kills the product, but also adversely impacts long-term growth strategy.

All companies are in a constant state of change. Maturing product lines may drive the bulk of current revenues, but they can’t sustain that growth over time. You introduce new product lines to support the changing needs of the marketplace and your company’s overall strategy.

No salespeople can afford to sell only their favorite products—even if they can make their numbers doing so. Make sure your producers balance their performance across your agency’s portfolio and priorities.

Dave Brock has worked in sales, marketing and executive management capacities with IBM, Tektronix and Keithley Instruments, and has consulted with a wide range of clients including HP, Nokia, AT&T, Microsoft and more.

One Step Ahead

In the above example, Salesperson A is not only neglecting the new product line—they’re also leaving a lot of opportunity untapped in their territory. By focusing only on selling product line C, their competition gets the opportunity to sell product line D by default.

Salesperson A is giving away a huge amount of opportunity to competition. Is that the kind of performance you want from your sales team? They may be making quota, but they’re not achieving what’s possible. —D.B.