Is that new sales rep going to make it? It can be so hard to tell for sure during an interview process
In the early days, until you have a great VP of Sales, it's your job to figure that out
Here are 8 Signs of a Sales Rep That Isn't Going to Make It: 8⃣⬇️⬇️
1/ Immediate, massive discounting
Mediocre and failing sales reps do this because they have no other idea how to close a deal or create urgency.
Discounts don't create urgency, they create agency. They get the deal from the red zone to the end zone.
2/ Don't truly understand the product.
Way too many AEs don’t even really understand, let alone use, the product they are selling.
They don't know how to tweak it, configure it, sell to different personas, and more.
Early reps have to be product gurus. And evangelists.
3/ Fear of the competition.
This is different than respect. The best salespeople deeply respect the competition ... and see it as a challenge and game to beat them. Especially to beat them when sometimes maybe they’d otherwise deserve to lose.
4/ Blame others.
Sales is hard. It's a lot of No's and a lot of pressure.
So failing reps, when they come up short, they blame marketing, or the leads, or the lack of support. It’s usually all true in part ... but still a sign when it's too much blame.
5/ No updates, or the same update again and again and again.
A terrible or even mediocre salesperson just plain has no updates to share. They're quiet in team meetings and deal reviews.
6/ Bad mouths their boss.
This accomplishes nothing. It’s really another type of excuse.
7/ Doesn’t know a lot about their top deals.
A bad salesperson doesn’t know who their key buyer is in a big deal. Or who the other stakeholders are. Or how far along the deal is. Or if or when it will close.
This is more common than you'd think. Ask.
8/ Doesn’t believe.
It’s really hard to sell a product you don’t believe in. Sales is hard enough as it is. And the competitor is always better somewhere.
It can be easy to stop believing. But a rep that doesn't believe, can't sell.
If you've hired your first 10+ sales reps, you're now seeing how different their playbooks are
Probably 2 of them close 2x-5x more than the rest, and a few struggle to close much at all
Here are the 9 Qualities of a Great Sales Rep: 9⃣⬇️⬇️
#1. The Best Reps Really Listen.
Mediocre sales reps just start diving immediately into their script, and try not to deviate from it. Great salespeople learn their prospects’ needs, issues, and pain.
#2. The Best Reps Adjust the Pitch and Story to Suit the Prospect.
Every prospect is a bit different, and sometimes, a lot different. The best reps tailor the pitch, the demo, the functionality shares, the case studies, etc. to suit the needs of the prospect.
5 Simple Tips to Improve Sales Rep Performance in the early-ish days
These always work: 🔽🔽🔽🔽🔽
#1. Concentrate leads in those who can close
If you have a rep or two that just can’t close, that doesn’t work in early days. Leads are too precious. Let them go. Not to save money, but to concentrate leads you do have in those that can close them
The best reps close 2x-9x more
#2. Be more involved as the CEO with sales. Prospects and customers love to talk to CEO. They love it
If you get more involved, at least in bigger deals, you will close more
Top mistake I see CEOs make is to scale back time they spend in sales once they hire few reps.
Just moving on from the lowest performer (or two) gives you a 10%+ boost right then and there
Leads are precious for quite a while
Once you hire a strong VP of Sales, this problem will solve itself. She’ll make the calls, and backfill her team, and cover all the leads one way or another.
But if you’re still running sales yourself after 2 reps or so, you’ll usually hire a few reps that simply can’t repeat the quirky playbook of the 2 you hired that can close
That’s your fault, not theirs. But it happens in almost every startup I’ve worked with.
Datadog is the latest Cloud leader to grow faster than ever
It's now growing 75% at $1.2 Billion in ARR!!
The key? Getting customers to buy 4+ products
5 Interesting Learnings: 🔽🔽🔽🔽🔽
#1. 1,800 customers with ARR of $100,000 or more, a year-over-year increase of 66% from 1,082.
Datadog isn’t leaving smaller customers behind, but they are increasingly a smaller % of revenue. $100k+ customers have gone from 50% of revenue in 2016 to almost 80% today:
#2. More product, more products, more products.
10 new products this year. Almost all the Cloud leaders accelerating after $100m ARR, let alone $1B ARR, are multi-product.