qualities will outperform its more inwardly focused competitors.
In Part III, I outline the Sales Management Formula. I wish I could retitle all of my sales managers, calling them “sales coaches” instead. In my opinion, effective sales coaching is the biggest driver of sales productivity. All sales managers should maximize the time they invest in coaching. A common pitfall for new sales managers is the tendency to overwhelm their salespeople, especially new hires, with an endless list of feedback on current sales processes. My most effective sales managers avoided this trap of feedback bombardment. Instead, they perpetually identified the one skill that, if improved, would lead to the most substantial improvement in each salesperson's performance. They then customized coaching plans to hone in on the development of those particular skills. I encouraged HubSpot sales managers to use metrics to diagnose each salesperson's most deficient skill area. I call this sales management approach “Metrics-Driven Sales Coaching” and have keynoted on the topic at many events. I'll explain how to set up a culture of metrics-driven sales coaching, diagnose skill deficiencies through metrics, and motivate desired behaviors through contests and compensation structures.
In Part IV, I outline the Demand Generation Formula. The Internet has completely transformed the way buyers research products and services. Today's buyers are empowered to find the products they want, when they want them, with near-perfect information on the competitive landscape. Buyers may conduct a simple search in Google. Buyers may engage in a social media discussion. The buyer is in control. At HubSpot, we recognized this shift and completely reinvented the Demand Generation Formula to accommodate it. In Part IV, I illustrate how HubSpot built a modern Demand Generation Formula that aligns with today's buyer behavior and generated over 50,000 new inbound leads per month. You will also learn how we took a quantified approach toward aligning sales and marketing, using our Sales and Marketing Service Level Agreement.
In Part V, I discuss technology and experimentation. Over the past few decades, the business world has experienced so many advancements in the way Finance manages its budget, HR manages its people, IT manages its data, and sales executives manage forecasting. However, how has technology helped the frontline salesperson? It hasn't. Salespeople have largely been ignored by decades of technological advancements. In fact, in some cases, technologies used to run sales teams actually slow salespeople down. At HubSpot, we worked hard to equip our salespeople with technology to help them sell better, faster. This technology enabled better buying experiences for our customers by providing our salespeople with a view into their buyers' context and interests. Our salespeople were able to engage buyers in the most helpful way at the most helpful time. This same technology streamlined the processes salespeople followed every day, eliminating unnecessary administrative work and maximizing selling time.
In Part V, you will also learn the importance of experimentation throughout the sales scaling journey. Through a cadence of theory development, test execution, reflection, and iteration, I used the results of these experiments to constantly evolve our sales process. I will share the best practices behind experimentation by offering specific examples of some of our most successful work.
Business owners, sales executives, and investors are all looking to turn their brilliant ideas into the next $100 million revenue business. Often, the biggest challenge they face is the task of scaling sales. They crave a blueprint for success, but fail to find it. Why? Sales has traditionally been referred to as an “art form,” rather than a science. You can't major in “sales” in college. Many people question whether sales can even be taught. Executives and entrepreneurs are often left feeling helpless and hopeless.
The Sales Acceleration Formula completely alters this paradigm. In today's digital world, in which every action is logged and masses of data sit at our fingertips, building a sales team no longer needs to be an art form. There is a process. Sales can be predictable.
A formula does exist.
Part I
The Sales Hiring Formula
1
Uncovering the Characteristics of a Successful Salesperson
World-class sales hiring is the most important driver of sales success.
When you are scaling a sales team, the to-do list is endless. Hiring, training, coaching, pipeline reviews, forecasting, enterprise deal support, leadership development, and cross-functional communication are all part of the day-to-day. Dozens of urgent “fires” are blazing around you at all times. Unfortunately, you have only enough water to put out a select few. Choosing the right fires to extinguish might dictate your ultimate success…or failure.
This certainly described my situation in 2007 when I joined HubSpot, a marketing software start-up in Cambridge, Massachusetts. I was the fourth person to join the company and the first sales hire. In my first month, I acquired 23 new customers for the business. Clearly, we had identified a need in the market. We were on to something big. It was time to accelerate sales. It was time to scale.
The to-do list required to scale the sales team consumed my mind. I had a vision for what world-class execution would look like across each component of the scaling process. Unfortunately, like any start-up, funds and resources were limited. A world-class effort across all components would have meant a 150-hour workweek. I had the energy for about 80 hours per week, tops. Corners needed to be cut, at least temporarily. If I could be world-class in only one discipline, which should I choose? Which fire should I extinguish first?
The first bet was made: I would attempt to build a world-class sales hiring program.
To this day, I'm glad I prioritized sales hiring excellence. Even if I was world-class at sales training, managing, coaching, and forecasting, it would not be enough to offset a team of mediocre salespeople. On the other hand, a team of top performers will find a way to win under any circumstances.
Unfortunately, the behaviors I observe in company executives are often not aligned with this strategy. These executives pour their daily energy into closing a big account or running an inspirational staff meeting or coaching an underperforming salesperson through a skill deficiency. Sadly, when it comes to recruiting and interviewing for their own sales team, they simply wing it. They fail to invest in the strategies that will predictably yield a team of top performers. Closing that next big customer in order to make the quarter helps win the battle. Finding a top salesperson, one who will bring in hundreds of big customers for years to come, helps win the war.
“World-class sales hiring is the most important driver of sales success.”
So what does a world-class sales hiring program look like? What formula will help me identify whether I am sitting across the table from an A+ candidate?
Over the years, I have hired hundreds of salespeople for the HubSpot sales team. I have advised many companies on their own hiring process. After reflecting on these efforts, I found some very bad news.
The ideal sales hiring formula is different for every company.
I am merely speaking from experience. Some of my earliest hires had been top performers in their most recent positions. I recruited them aggressively – lunches, dinners, the full court press. I showed them why I thought we would be the next big company in Boston. I even convinced a few of them to join. These were the top dogs out of hundreds of salespeople! What could possibly go wrong?
Needless to say, some of them did not evolve into our top performers. What happened? Why didn't my plan work?
I realized that every salesperson has her unique strengths. Some are great consultative sellers. Some crush their sales activity goals. Some deliver exceptional presentations. Some are amazing networkers. Some just know how to make their customers feel like family.
Similarly, each company has its own unique sales context. Some firms sell to marketers. Some target IT professionals. Some sales processes are transactional, while others are complex and much more relationship-dependent.
When the unique strengths of the salesperson align with the company's sales context, it is a beautiful thing. When they do not, it becomes an uphill battle.
Unfortunately, some of my first hires wound up in the latter bucket.
For