In many businesses, the top sales performers drive a disproportionately large portion of overall sales volume. If this is the case for your business, it will be valuable to formulate a strategy for retaining your best sales talent. Highly productive account executives are not likely to stick around when they see no long-term value in working with their current company. Adam Ferrari, CEO and founder of Ferrari Energy, provides several strategies for keeping your top salespeople invested in the success of your business.
Successful salespeople are, in many ways, a different breed. They often respond differently to management strategies than other employees. Their risk profile–the amount of risk they are willing to assume versus their need for stability–is skewed more toward risk-taking than risk avoidance. Most importantly, they are motivated by different incentives than most people.
If you want your top-performing salespeople to stick around and keep performing, you need to understand their motivation and build a compensation package that fits their risk profile. It is not true that all salespeople are only motivated by money. Many are more motivated by recognition, providing value to customers, comp time, or other benefits.
One strategy that is often successful in salesperson retention is offering shares of the company in place of a bonus. Like any employee, salespeople want to know they are funding their future. Owning a portion of the company may be just what they need to keep them from entertaining offers from your competitors.
Money is always an essential part of any compensation package because often, it is money that your competitors will use to lure your top producers away. However, money is not always the most crucial factor. Many businesses find incentives like a vacation for the top performer to be a less expensive motivator than additional commission.
The key to finding the right strategy to incentivize your sales team to stay for the long run is understanding their risk profile. This understanding will come only by asking them. Ask them if they prefer a higher base and lower commission or vice versa. Let them tell you if a trip away is more attractive than a bigger bonus. If they feel like they are contributing to your long-term success and are appreciated for their efforts, they are less likely to look elsewhere for work opportunities.
Adam Ferrari is an accomplished petroleum engineer and is the founder of a private oil and gas company, Ferrari Energy. He was born and raised in the south suburbs of Chicago, IL. From an early age, Adam was taught the value and dignity achieved through a hard day’s work. The oil and gas industry provides good-paying jobs for millions of blue-collar men and women across America. This is one of many reasons Adam and his company are such staunch supporters of the oil and gas industry. Blue-collar men and women built America, and the modern oil and gas industry keeps America moving forward.
Through the successes at Ferrari Energy, the company has given back to various organizations in the greater Denver and Chicago regions, which are both cities that he has taken residence in and maintains strong ties to. Under his leadership, Ferrari Energy actively made annual donations to various non-profit organizations, including St. Jude Children’s Hospital, Freedom Service Dogs, Denver Rescue Mission, Coats for Colorado, and Next Steps of Chicago. His heart is especially close to Next Steps, which supports people with paralysis because one of his beloved family members suffers from this condition. Ferrari Energy encourages all who can find ways to make a difference in the lives of those who are less fortunate.