How One IT Staffing Firm Boosted Profits Over 25% in One Year
I've written consistently about the need for IT staffing firms to adopt a sales methodology to build a scalable sales organization and accelerate growth. With a sales methodology, your IT staffing firm will be able to accelerate new hire onboarding, getting new reps selling productively faster, according to your proven playbook. A sales methodology will bring consistency to how your team sells, eliminating wild performance deviations and night-and-day differences between branches.
Sure, you might be saying, that all sounds good in theory, but can a sales methodology really make that much of an impact? It does sound like a lot of work, after all, to find or build a sales methodology that will give you an edge in the competitive, overcrowded IT staffing industry.
So let’s go beyond the theory and look at real-world results. This blog is about how one IT staffing firm boosted profits over 25% in one year.
When Reps Use a Sales Methodology, They Achieve 70 Percent of Their Targets
How many of your sales reps achieve (let alone exceed) their quota on a regular basis? For most firms I encounter, this number is abysmally low. It’s somewhere around 50 percent.
According to one Accenture study, on the other hand, sales reps who use a sales methodology 90 percent of the time achieve 70 percent of their targets. On top of that, the study found, 92 percent of reps who consistently used a sales methodology achieved their quota.
92 percent! According to my — admittedly rudimentary — calculations, that’s 42 percentage points higher than 50. Is a sales methodology starting to sound like it might be worth the effort?
One IT Staffing Firm Increased Profits Over 25 Percent With a Sales Methodology
With a sales methodology, win rates go up, sales cycles are shortened, sales reps meet their quotas, and the entire team feels confident no matter what situation they find themselves in with prospects. If you need more proof, here it is.
A few years ago , Selectek, a $12 million technical engineering and manufacturing staffing firm based in Atlanta, came to us for help. Selectek had long followed a “lone wolf” approach to sales, with each rep following his or her own process and methodology.
But now, Selectek was hoping to scale. The company’s leadership wanted to be able to grow the company without relying on the owner or any other single individual to be there to run it.
Here’s what we did:
- Designed and implemented a scalable and repeatable sales process.
- Configured Avionte (ATS) to automate the new Selectek sales process.
- Implemented a sales metrics and sales management methodology.
- Worked with Selectek and Avionte to configure and create sales reports and dashboards for sales management and leadership.
- Designed, deployed and trained the sales team on the Menemsha Group sales methodology.
The results speak for themselves. With the new sales methodology in place, Selectek’s revenue increased by $1.1 million. Overall gross profits increased 26 percent and total billable temporary employees increased 22 percent. And that was within just the first year.
This is why I constantly talk about how a sales methodology is one of the keys to unlocking your IT staffing firm’s growth potential. This stuff really does work.
So what do you need to know to get or create a sales methodology for your IT staffing firm? Find the answers in my latest ebook, “Sales Methodology 101 for IT Staffing Firms: Your 6 Big Questions Answered. Just click the banner below to read more and access it.
Click the banner below for your free copy of “Sales Methodology 101 for IT Staffing Firms: Your 6 Big Questions Answered.” Then come back here and ask any question you want — about a sales methodology or change management — in the comments section below.
About Dan Fisher
Dan Fisher is founder and owner of Menemsha Group, a provider of sales enablement solutions dedicated to helping IT staffing firms improve win rates, shorten their sales cycle, and increase revenue per sales rep. Since launching Menemsha Group in 2008, Dan has consulted with over 200 IT staffing firms and has invested over 5000 hours coaching IT staffing sales reps. He’s authored is his own proprietary sales methodology and has previously spoken at Staffing World, TechServe Alliance and Bullhorn Live 2012. Prior to launching Menemsha Group, Dan spent 16 years in the IT industry running local, regional and national sales teams. Dan worked for Kelly Services, Oracle Corporation and Alliance Consulting. Dan currently resides in Boston, Ma.