Building a Culture of High Performance: Sales Games

During this time of year, sales management should be reviewing pipeline levels and goals for the fourth quarter to see if there is enough activity to exceed targets. Companies need to pay attention to the short-term sales cycle of 30 days and the end of the year, but they also need to keep a long-term view. As an executive, you should also work on fostering an environment of fun, high performance, and teamwork.

In this blog, I want to share some ideas from my books on sales management: *Leading High Performance Sales Teams* and *Creating Sales Compensation Plans for High Performance.* In both books, I discuss concepts for sales contests and games, along with tips on how to implement and manage them effectively. I’ve often seen great contest ideas poorly executed, so it’s important to consider your goals and desired outcomes. Be sure to clearly outline your objectives, rules, and incentives. The first rule is to avoid using cash as a reward in sales games—that’s what your commission plan is for. The second rule is to focus on making your sales culture fun. While you might want to attract new clients or promote certain products, the main goal of sales leadership should be to ensure that the contest is an enjoyable experience. *“If it isn’t fun, it isn’t selling.”*

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Different types of contests will help you achieve different goals. Some should be held annually to address sales objectives, company business strategies and potential seasonal fluctuations. Others can be scheduled as needed to help launch new products or services, promote new releases or upgrades or tie into your customers’ larger campaigns. Still others can consist of short-term incentive games designed to motivate sales personnel to accomplish specific objectives by a specific deadline.

A Contest Sampler

Following are a few typical goals, along with ideas for contests that may help achieve them:

  • Increasing sales volume. Consider adding a cash bounty for each additional new seat, new customer, or revenue sold beyond a certain target value. Set a quarter-to-date objective above your sales goal; that way, everyone on the team can win.
  • Improving customer service. Periodically survey your entire customer base. If satisfaction reaches a certain goal—for instance, when 95 percent of your clients say they’re “highly satisfied”—and if your company is profitable, everyone gets a cash bonus. Keep a visible scorecard of your goals and results so that everyone maintains a constant awareness of your objectives.
  • Acquiring new clients. To boost the number of new clients you add each quarter, consider creating a “bounty bonus” plan. For example, salespeople could earn a bounty bonus—either in cash or in points that can be redeemed for rewards—for each new client or each competitive replacement of a specific vendor’s customer. In addition, you could offer bounty bonuses for salespeople who exceed their quarterly or annual quotas for new accounts or net new revenues. You might even create and post “Most Wanted” posters with the bounties prominently displayed to help keep salespeople focused on contest objectives.
  • Overcoming seasonal slumps. If your sales typically slow down over the summer, try launching a prospecting activity contest in March, April and May. For instance, award sales team members points for each new face-to-face call or sales demonstrations that they make during those months, with accumulated points eventually eligible for prizes. Such an effort can go a long way toward increasing the number of opportunities in the pipeline from June through August.

Competition Considerations

Following are some issues to consider and questions to answer as you plan sales contests:

  • Determine what you want the contest to accomplish
  • Set the ground rules. Are all sales executives on an equal basis for the contest? Be sure to put the rules in writing, making provisions for those and other situations that could arise.
  • Make the contest length the same as the sales cycle.
  • Set specific goals that can be measured weekly or monthly.
  • Incorporate an exciting theme.
  • Consider making rewards gifts, rather than cash.
  • Boost team members’ motivation by getting their families involved.
  • Never run contests to the last day of the month or sales period.