Sales Territories Are Like A Box Of Chocolate…

Posted by Marty Levy in Territory planning | 0 comments

You should always know what you’re gonna get!

Unlike Forest Gump, who never knew what he was going to get from life, best-in-class territory managers have a plan for achieving the results they want.  They set clearly defined goals for their territory.  More importantly, they create a plan and engage in focused activities to accomplish their territory objectives.

Success for them is not by chance or based on random activities.  These sales people are most likely to meet their goals because of their preparation and the execution of defined territory plans. They win because they have made good choices about what to focus on, they know what must be accomplished, and they make deliberate decisions on how to invest their time to develop and win business.

Sales territories are like a box of chocolate.  With twenty-four varieties to choose from, which ones do you select and in which order?  Do you consume thousands of calories quickly or do you manage your consumption?  It all looks so good!  What do you do when someone else takes one of your favorites?

Know your territory, have a plan, execute by making considered, deliberate choices!

The best sales territory managers start by analyzing their territory to understand its revenue profile and potential.  S/he determines which accounts and which opportunities are most likely to result in wins.  Quantified objectives for each of these are established.  A detailed plan of activities is created and executed upon with focus.  They recognize the necessity for regular review and modification to the plan and they allocate time for that.  They are aware that others will try to eat their favorite chocolates (e.g. revenue, account, opportunity, deal).

Here are the fundamental elements and considerations that must be included in your sales territory plan:

A.  Accounts – know the “right” accounts and the reasons to invest in them

1. Industry trends and market conditions
2. Customer business conditions, direction, and key personnel
3. Your company’s products, execution support, and business priorities
4. Competitors activities

B.   Opportunities  – determine which are the  “best” to commit to

1. Current opportunity pipeline
2. Existing business with expansion potential
3. Undiscovered business
4. New leads

C.   Challenges – anticipate obstacles and changes

1. Industry trends and market conditions
2. Customer business conditions, direction, and key personnel
3. Your company’s products, execution support, and business priorities
4. Competitors activities

There is no one set of rules for effective territory management.  However, we know that sales goal achievement improves when sales leaders use a standardized planning model and conduct regular plan reviews.  A requirement that all sales territories have a plan must be established.  Each sales manager must be held accountable for creating their territory plan and executing consistently with that plan.

It is clear that the effort to carefully plan, establish goals, and to define the essential sales activities within a territory ensures the greatest likelihood that sales managers achieve the expected results.

Few sales managers can be effective using the Forest Gump approach with their territory.  Don’t be a “gump!”  Know what you’re gonna get.

Marty Levy is an advisor to Plan2Win Software on strategy, marketing, and sales app development.  He has been a VP of Sales for several Silicon Valley companies and is a thought leader on sales best practices.  You can find more at his website www.martylevy.net or see his profile on LinkedIn www.linkedin.com/in/martylevy .

Tags: territory management, territory planning