The pain of sales department turnover is even more egregious considering the costs of replacing non- performing salespeople. Permanently Burned Territories Labor Costs Compensation, insurance, benefits, taxes, training, and equipment are expensive components in staffing and equipping a functional sales person. Sales Force Automation Sales force automation costs can range from a few thousand dollars to several hundred thousand dollars. Recruiting Recruiting costs can be absorbed internally through direct recruiting and hiring functions conducted by your inside HR department, or can be explicit costs paid to outside recruiters and advertising services. Normally, actual costs are a combination of giving up internal resources and hard dollar expense to outside recruiting vendors.
Smaller companies spend less than half that amount.
With Internet conferencing, instant polling, virtual chat rooms, and online seminars, a new sales training channel is being developed on the Web. This allows field sales teams to use their browsers to view new product demonstrations, watch streaming audio and video clips, and review slide presentations of relevant selling methodologies. Equipment Computer, software, office furniture, projector, cell phone, and product demos all cost real money. These expenditures are generally irreversible if the sales candidate leaves the company or is terminated.