Introduction
Sales effectiveness in Managed IT Services (MSPs) presents a dual challenge of performance and cost. The industry faces a shortage of highly skilled IT service sales professionals, driving up costs and leading to high turnover rates within sales teams.
Despite these challenges, the pursuit of growth often leads MSPs to expand their sales teams. However, a deeper examination reveals that focusing on maximising the productivity of top performers may offer a more sustainable solution.
The Challenge: Scarcity of Skilled Sales Professionals
In today’s MSP market, attracting and retaining skilled sales professionals is a formidable task. Those with proven track records command premium salaries, contributing to high operational costs. The reliance on expanding sales teams as a solution often results in a revolving door of hires, with the majority of results driven by a small percentage of top performers – the 80/20 rule in action.
Shifting Focus: Productivity of Top Performers
Instead of perpetuating the cycle of hiring new salespeople, MSPs can achieve growth more effectively by maximising the productivity of their top 20%. This approach involves strategic initiatives to optimise their skills and time, ensuring they deliver maximum value to the MSP.
Strategies to Enhance Productivity
1. Streamlining Non-Core Tasks
- Identify and delegate non-core tasks away from top performers to support staff or automated systems.
- Freeing up their time for high-impact activities like client meetings, strategic planning, and relationship building.
- Focusing their efforts on quality efforts, such as engaging with qualified prospects rather than general market as a whole
2. Leveraging Technology
- Implement advanced CRM systems and sales automation tools to streamline workflows and reduce administrative burdens.
- Enable sales professionals to focus more on client engagement and less on administrative tasks.
3. Targeted Training and Development
- Design personalised training programs that enhance their skills in consultative selling, technical knowledge, and client relationship management.
- Foster a culture of continuous learning to keep their skills aligned with industry trends and client needs.
Conclusion
In conclusion, while expanding sales teams may seem like the obvious solution for MSP growth, a more strategic approach lies in optimising the productivity of top-performing sales professionals. By investing in their development, streamlining their tasks, and leveraging technology, MSPs can drive sustainable growth while managing costs effectively. This shift not only enhances sales performance but also strengthens the overall competitive position of the organisation in the dynamic MSP market.
